I
105TH CONGRESS
1ST SESSION
H. R. 2333
To provide improvements for the financial and emotional security of seniors.
IN THE HOUSE OF REPRESENTATIVES
JULY 31, 1997
Mr. FOX of Pennsylvania introduced the following bill; which was referred to
the Committee on Ways and Means, and in addition to the Committees
on the Judiciary, Banking and Financial Services, and the Budget, for
a period to be subsequently determined by the Speaker, in each case for
consideration of such provisions as fall within the jurisdiction of the com-
mittee concerned
A BILL
To provide improvements for the financial and emotional
security of seniors.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘Senior Citizen Bill of
Rights Act of 1997’’.
SEC. 2. REPEAL OF INCREASE IN TAX ON SOCIAL SECURITY
BENEFITS.
(a) IN GENERAL.—Subsection (a) of section 86 of the
Internal Revenue Code of 1986 (relating to social security
and tier 1 railroad retirement benefits) is amended by
adding at the end the following new paragraph:
‘‘(3) PHASEOUT OF ADDITIONAL AMOUNT.—In
the case of any taxable year beginning in a calendar
year after 1997 and before 2002, paragraph (2)
shall be applied by substituting the percentage deter-
mined under the following table for ‘85 percent’ each
place it appears:
‘‘In the case of a taxable
year beginning in cal-
endar year:
The percentage is:
1998 .......................................
75 percent
1999 .......................................
65 percent
2000 .......................................
60 percent
2001 .......................................
55 percent.’’
(b) TERMINATION OF ADDITIONAL AMOUNT.—Para-
graph (2) of section 86(a) of such Code is amended by
adding at the end the following new flush sentence:
‘‘This paragraph shall not apply to any taxable year
beginning after December 31, 2001.’’
(c) CONFORMING AMENDMENTS.—
(1) Paragraph (3) of section 871(a) of such
Code is amended—
(A) in subparagraph (A), by striking ‘‘85
percent’’ and inserting ‘‘50 percent’’, and
(B) by inserting before the last sentence
the following new flush sentence:
‘‘In the case of any taxable year beginning in a cal-
endar year after 1997 and before 2002, subpara-
graph (A) shall be applied by substituting the per-
centage determined for such calendar year under
section 86(a)(3) for ‘50 percent’.’’
(2)(A) Subparagraph (A) of section 121(e)(1)
of the Social Security Amendments of 1983 (Public
Law 98–21) is amended—
(i) by striking ‘‘(A) There’’ and inserting
‘‘There’’;
(ii) by striking ‘‘(i)’’ immediately following
‘‘amounts equivalent to’’; and
(iii) by striking ‘‘, less (ii)’’ and all that
follows and inserting a period.
(B) Paragraph (1) of section 121(e) of such Act
is amended by striking subparagraph (B).
(C) Paragraph (3) of section 121(e) of such Act
is amended by striking subparagraph (B) and by re-
designating subparagraph (C) as subparagraph (B).
(D) Paragraph (2) of section 121(e) of such
Act is amended in the first sentence by striking
‘‘paragraph (1)(A)’’ and inserting ‘‘paragraph (1)’’.
(d) EFFECTIVE DATE.—
(1) IN GENERAL.—The amendments made by
this section shall apply to taxable years beginning
after December 31, 1997.
(2) 
SUBSECTION
(C)(2).—The 
amendments
made by subsection (c)(2) shall apply to tax liabil-
ities for taxable years beginning after December 31,
1997.
SEC. 3. EXEMPTION FROM TAX FOR GAIN ON SALE OF PRIN-
CIPAL RESIDENCE.
(a) IN GENERAL.—Section 121 of the Internal Reve-
nue Code of 1986 (relating to one-time exclusion of gain
from sale of principal residence by individual who has at-
tained age 55) is amended to read as follows:
‘‘SEC. 121. EXCLUSION OF GAIN FROM SALE OF PRINCIPAL
RESIDENCE.
‘‘(a) EXCLUSION.—Gross income shall not include
gain from the sale or exchange of property if, during the
5-year period ending on the date of the sale or exchange,
such property has been owned and used by the taxpayer
as the taxpayer’s principal residence for periods aggregat-
ing 2 years or more.
‘‘(b) LIMITATIONS.—
‘‘(1) DOLLAR
LIMITATION.—The amount of
gain excluded from gross income under subsection
(a) with respect to any sale or exchange shall not ex-
ceed $250,000 ($500,000 in the case of a joint re-
turn where both spouses meet the use requirement
of subsection (a)).
‘‘(2) APPLICATION
TO
ONLY
SALE
OR
EX-
CHANGE EVERY 2 YEARS.—
‘‘(A) IN
GENERAL.—Subsection (a) shall
not apply to any sale or exchange by the tax-
payer if, during the 2-year period ending on the
date of such sale or exchange, there was any
other sale or exchange by the taxpayer or his
spouse to which subsection (a) applied.
‘‘(B) PREMARRIAGE
SALES
BY
SPOUSE
NOT TAKEN INTO ACCOUNT.—If, but for this
subparagraph, subsection (a) would not apply
to a sale or exchange by a married individual
by reason of a sale or exchange by such individ-
ual’s spouse before their marriage—
‘‘(i) subparagraph (A) shall be applied
without regard to the sale or exchange by
such individual’s spouse, but
‘‘(ii) the amount of gain excluded
from gross income under subsection (a)
with respect to the sale or exchange by
such individual shall not exceed $250,000.
‘‘(C) PRE-1998 SALES NOT TAKEN INTO AC-
COUNT.—Subparagraph (A) shall be applied
without regard to any sale or exchange before
January 1, 1998.
‘‘(c) EXCLUSION FOR TAXPAYERS FAILING TO MEET
CERTAIN REQUIREMENTS.—
‘‘(1) IN GENERAL.—In the case of a sale or ex-
change to which this subsection applies, the owner-
ship and use requirements of subsection (a) shall not
apply and subsection (b)(2) shall not apply; but the
amount of gain excluded from gross income under
subsection (a) with respect to such sale of exchange
shall not exceed—
‘‘(A) the amount which bears the same
ratio to the amount which would be so excluded
if such requirements had been met, as
‘‘(B) the shorter of—
‘‘(i) the aggregate periods, during the
5-year period ending on the date of such
sale or exchange, such property has been
owned and used by the taxpayer as the
taxpayer’s principal residence, or
‘‘(ii) the period after the date of the
most recent prior sale or exchange by the
taxpayer or his spouse to which subsection
(a) applied and before the date of such sale
or exchange,
bears to 2 years.
‘‘(2) SALES AND EXCHANGES TO WHICH SUB-
SECTION APPLIES.—This subsection shall apply to
any sale or exchange if—
‘‘(A) subsection (a) would not (but for this
subsection) apply to such sale or exchange by
reason of—
‘‘(i) a failure to meet the ownership
and use requirements of subsection (a), or
‘‘(ii) subsection (b)(2), and
‘‘(B) such sale or exchange is by reason of
a change in place of employment, health, or
other unforeseen circumstances.
‘‘(d) SPECIAL RULES.—
‘‘(1) JOINT
RETURNS.—For purposes of this
section, if a husband and wife make a joint return
for the taxable year of the sale or exchange of prop-
erty, subsection (a) applies if either spouse meets
the ownership and use requirements of subsection
(a) with respect to such property.
‘‘(2) PROPERTY OF DECEASED SPOUSE.—For
purposes of this section, in the case of an unmarried
individual whose spouse is deceased on the date of
the sale or exchange of property, the period such un-
married individual owned such property shall include
the period such deceased spouse held such property
before death.
‘‘(3) TENANT-STOCKHOLDER IN COOPERATIVE
HOUSING CORPORATION.—For purposes of this sec-
tion, if the taxpayer holds stock as a tenant-stock-
holder (as defined in section 216) in a cooperative
housing corporation (as defined in such section),
then—
‘‘(A) the holding requirements of sub-
section (a) shall be applied to the holding of
such stock, and
‘‘(B) the use requirements of subsection
(a) shall be applied to the house or apartment
which the taxpayer was entitled to occupy as
such stockholder.
‘‘(4) INVOLUNTARY CONVERSIONS.—
‘‘(A) IN GENERAL.—For purposes of this
section, the destruction, theft, seizure, requisi-
tion, or condemnation of property shall be
treated as the sale of such property.
‘‘(B) APPLICATION OF SECTION 1033.—In
applying section 1033 (relating to involuntary
conversions), the amount realized from the sale
or exchange of property shall be treated as
being the amount determined without regard to
this section, reduced by the amount of gain not
included in gross income pursuant to this sec-
tion.
‘‘(C) PROPERTY ACQUIRED AFTER INVOL-
UNTARY
CONVERSION.—If the basis of the
property sold or exchanged is determined (in
whole or in part) under section 1033(b) (relat-
ing to basis of property acquired through invol-
untary conversion), then the holding and use by
the taxpayer of the converted property shall be
treated as holding and use by the taxpayer of
the property sold or exchanged.
‘‘(5) RECOGNITION OF GAIN ATTRIBUTABLE TO
DEPRECIATION.—Subsection (a) shall not apply to
so much of the gain from the sale of any property
as does not exceed the portion of the depreciation
adjustments (as defined in section 1250(b)(3)) at-
tributable to periods after December 31, 1997, in re-
spect of such property.
‘‘(6) DETERMINATION OF USE DURING PERIODS
OF OUT-OF-RESIDENCE CARE.—In the case of a tax-
payer who—
‘‘(A) becomes physically or mentally in-
capable of self-care, and
‘‘(f) ELECTION TO HAVE SECTION NOT APPLY.—
This section shall not apply to any sale or exchange with
respect to which the taxpayer elects not to have this sec-
tion apply.
‘‘(g) RESIDENCES ACQUIRED IN ROLLOVERS UNDER
SECTION 1034.—For purposes of this section, in the case
of property the acquisition of which by the taxpayer re-
sulted under section 1034 (as in effect on the day before
the date of the enactment of this sentence) in the non-
recognition of any part of the gain realized on the sale
or exchange of another residence, in determining the pe-
riod for which the taxpayer has owned and used such
property as the taxpayer’s principal residence, there shall
be included the aggregate periods for which such other
residence (and each prior residence taken into account
under section 1223(7) in determining the holding period
of such property) had been so owned and used.’’
(b) REPEAL
OF NONRECOGNITION
OF GAIN
ON
ROLLOVER OF PRINCIPAL RESIDENCE.—Section 1034 of
such Code (relating to rollover of gain on sale of principal
residence) is hereby repealed.
(c) CONFORMING AMENDMENTS.—
(1) The following provisions of the Internal
Revenue Code of 1986 are each amended by striking
‘‘section 1034’’ and inserting ‘‘section 121’’: sections
25(e)(7), 
56(e)(1)(A), 
56(e)(3)(B)(i),
143(i)(1)(C)(i)(I), 
163(h)(4)(A)(i)(I),
280A(d)(4)(A), 
464(f)(3)(B)(i), 
1274(c)(3)(B),
6334(a)(13), and 7872(f)(11)(A).
(2) Paragraph (4) of section 32(c) of such Code
is amended by striking ‘‘(as defined in section
1034(h)(3))’’ and by adding at the end the following
new sentence: ‘‘For purposes of the preceding sen-
tence, the term ‘extended active duty’ means any pe-
riod of active duty pursuant to a call or order to
such duty for a period in excess of 90 days or for
an indefinite period.’’
(3) Subparagraph (A) of 143(m)(6) of such
Code is amended by inserting ‘‘(as in effect on the
day before the date of the enactment of the Senior
Citizen Bill of Rights)’’ after ‘‘1034(e)’’.
(4) Subsection (e) of section 216 of such Code
is amended by striking ‘‘such exchange qualifies for
nonrecognition of gain under section 1034(f)’’ and
inserting ‘‘such dwelling unit is used as his principal
residence (within the meaning of section 121)’’.
(5) Section 512(a)(3)(D) of such Code is
amended by inserting ‘‘(as in effect on the day be-
fore the date of the enactment of the Senior Citizen
Bill of Rights)’’ after ‘‘1034’’.
(6) Paragraph (7) of section 1016(a) of such
Code is amended by inserting ‘‘(as in effect on the
day before the date of the enactment of the Senior
Citizen Bill of Rights)’’ after ‘‘1034’’ and by insert-
ing ‘‘(as so in effect)’’ after ‘‘1034(e)’’.
(7) Paragraph (3) of section 1033(k) of such
Code is amended to read as follows:
‘‘(3) For exclusion from gross income of gain
from involuntary conversion of principal residence,
see section 121.’’
(8) Subsection (e) of section 1038 of such Code
is amended to read as follows:
‘‘(e) PRINCIPAL RESIDENCES.—If—
‘‘(1) subsection (a) applies to a reacquisition of
real property with respect to the sale of which gain
was not recognized under section 121 (relating to
gain on sale of principal residence); and
‘‘(2) within 1 year after the date of the reacqui-
sition of such property by the seller, such property
is resold by him,
then, under regulations prescribed by the Secretary, sub-
sections (b), (c), and (d) of this section shall not apply
to the reacquisition of such property and, for purposes of
applying section 121, the resale of such property shall be
treated as a part of the transaction constituting the origi-
nal sale of such property.’’
(9) Paragraph (7) of section 1223 of such Code
is amended by inserting ‘‘(as in effect on the day be-
fore the date of the enactment of the Senior Citizen
Bill of Rights)’’ after ‘‘1034’’.
(10) Paragraph (7) of section 1250(d) of such
Code is amended to read as follows:
‘‘(7) DISPOSITION OF PRINCIPAL RESIDENCE.—
Subsection (a) shall not apply to a disposition of
property to the extent used by the taxpayer as his
principal residence (within the meaning of section
121, relating to gain on sale of principal residence).’’
(11) Subsection (c) of section 6012 of such
Code is amended by striking ‘‘(relating to one-time
exclusion of gain from sale of principal residence by
individual who has attained age 55)’’ and inserting
‘‘(relating to gain from sale of principal residence)’’.
(12) Paragraph (2) of section 6212(c) of such
Code is amended by striking subparagraph (C) and
by redesignating subparagraph (E) as subparagraph
(C).
(13) Section 6504 of such Code is amended by
striking paragraph (4) and by redesignating the suc-
ceeding paragraphs accordingly.
(14) The item relating to section 121 in the
table of sections for part III of subchapter B of
chapter 1 of such Code is amended to read as fol-
lows:
‘‘Sec. 121. Exclusion of gain from sale of principal residence.’’
(15) The table of sections for part III of sub-
chapter O of chapter 1 of such Code is amended by
striking the item relating to section 1034.
(d) EFFECTIVE DATE.—
(1) IN GENERAL.—The amendments made by
this section shall apply to sales and exchanges after
December 31, 1997.
(2) BINDING CONTRACTS, ETC.—At the election
of the taxpayer, the amendments made by this sec-
tion shall not apply to a sale or exchange after De-
cember 31, 1997, if—
(A) such sale or exchange is pursuant to a
contract which was binding on such date, and
at all times before such sale or exchange, or
(B) without regard to such amendments,
gain would not be recognized under section
1034 of the Internal Revenue Code of 1986 (as
in effect on the day before the date of the en-
actment of this Act) on such sale or exchange
by reason of a new residence acquired on or be-
fore such date.
This paragraph shall not apply to any sale or ex-
change by an individual if the treatment provided by
section 877(a)(1) of the Internal Revenue Code of
1986 applies to such individual.
SEC. 4. REPEAL OF FEDERAL TRANSFER TAXES.
(a) GENERAL RULE.—Subtitle B of the Internal Rev-
enue Code of 1986 (relating to estate, gift, and genera-
tion-skipping taxes) is hereby repealed.
(b) EFFECTIVE DATE.—The repeal made by sub-
section (a) shall apply to the estates of decedents dying,
and gifts and generation-skipping transfers made, after
December 30, 1997.
SEC. 5. CONTINUATION OF COVERAGE FOR PERSONS 55
AND OLDER UNTIL ELIGIBLE FOR MEDICARE.
(a) IN GENERAL.—Section 4980B(f)(2) of the Inter-
nal Revenue Code of 1986 is amended by adding at the
end the following:
‘‘(F) COVERAGE
FOR
PERSONS
AND
OLDER
UNTIL
ELIGIBLE
FOR
MEDICARE.—In
the case of a covered employee who has attained
the age of 55 before a qualifying event de-
scribed in paragraph (3)(B)—
‘‘(i) in no case shall the period of con-
tinued coverage under subparagraph (B)(i)
with respect to such event end before the
applicable 
date 
under 
subparagraph
(B)(iv), and
‘‘(ii) the premium requirements for
any period of continuation of coverage sole-
ly be reason of clause (i) shall be deter-
mined by substituting ‘110 percent’ for
‘102 percent’ in subparagraph (C)(i), un-
less the last sentence of subparagraph (C)
otherwise applies.’’.
(b) EFFECTIVE DATE.—
(1) IN GENERAL.—Except as provided in para-
graph (2), the amendment made by subsection (a)
shall apply with respect to plan years beginning
after the date of the enactment of this Act.
(2) SPECIAL RULE FOR COLLECTIVE BARGAIN-
ING AGREEMENTS.—In the case of a group health
plan maintained pursuant to one or more collective
bargaining agreements between employee representa-
tives and one or more employers ratified before the
date of the enactment of this Act, the amendment
made by subsection (a) shall not apply to plan years
beginning before the later of—
(A) the date on which the last of the col-
lective bargaining agreements relating to the
plan terminates (determined without regard to
any extension thereof agreed to after the date
of the enactment of this Act), or
(B) the date that is two years after the
date of the enactment of this Act.
For purposes of subparagraph (A), any plan amend-
ment made pursuant to a collective bargaining
agreement relating to the plan which amends the
plan solely to conform to any requirement added by
this section shall not be treated as a termination of
such collective bargaining agreement.
SEC. 6. TELEMARKETING FRAUD PREVENTION.
(a) FORFEITURE OF FRAUD PROCEEDS.—
(1) CIVIL.—Section 981(a)(1) of title 18, Unit-
ed States Code, is amended by adding at the end the
following:
‘‘(G) Any property, real or personal, con-
stituting, derived from, or traceable to, any pro-
ceeds obtained directly or indirectly to a viola-
tion of section 2326. Notwithstanding any other
provision of law, any property forfeited under
this subparagraph, or the proceeds of such
property, shall be used, to the extent needed, as
determined by the Attorney General, for the na-
tional information hotline established under sec-
tion 250008 of the Violent Crime Control and
Law Enforcement Act of 1994 and other en-
forcement of section 2326.’’.
(2) CRIMINAL.—Section 982(a) of title 18,
United States Code, is amended by adding at the
end the following:
‘‘(6) The Court, in sentencing an offender
under section 2326, shall order that the offender
forfeit to the United States any real or personal
property constituting or derived from proceeds that
the offender obtained directly or indirectly as a re-
sult of the offense. Any property forfeited under this
paragraph, or the proceeds of such property, shall be
used, to the extent needed, as determined by the At-
torney General, for the national information hotline
established under section 250008 of the Violent
Crime Control and Law Enforcement Act of 1994
and other enforcement of section 2326.’’.
(b) PRIORITY FOR MANDATORY RESTITUTION.—Sec-
tion 2327(a) of title 18, United States Code, is amended
by adding at the end ‘‘The payment of an amount due
pursuant to such restitution shall have priority over the
payment of any fine or the forfeiture of any property
under section 982(a)(6) from which such payment could
be made or derived.’’.
(c) SENTENCING IN CASES WITH VULNERABLE VIC-
TIMS.—The United States Sentencing Commission shall
amend the sentencing guidelines to increase by 2 levels
the vulnerable victim adjustment.
(d) INCREASED PUNISHMENT FOR USE OF FOREIGN
LOCATION TO EVADE PROSECUTION.—The United States
Sentencing Commission shall amend the sentencing guide-
lines to increase the offense level for any fraud offense
by 2 levels if defendant conducted activities to further the
fraud from a foreign country in order to impede prosecu-
tion for the offense.
(e) INFORMATION ABOUT VICTIMS
OF CERTAIN
CRIMES.—Any presentence report required under the Fed-
eral Rules of Criminal Procedure shall include information
about the age of each victim of each fraud offense for
which a defendant is convicted.
SEC. 7. TRANSITIONAL PRIMARY INSURANCE AMOUNTS
UNDER TITLE II OF THE SOCIAL SECURITY
ACT TO BE NO LOWER THAN THOSE DETER-
MINED UNDER PRE-1977 FORMULA.
(a) IN GENERAL.—Section 215 of the Social Security
Act (42 U.S.C. 415) is amended by adding at the end the
following new subsection:
‘‘Transitional Primary Insurance Amounts to Be No
Lower Than Those Determined Under Pre-1977 Formula
‘‘(j)(1) Notwithstanding any other provision of this
title, in any case where—
‘‘(A) a transitional primary insurance amount
as otherwise determined under this section is lower
than it would be if it were determined under the pre-
1977 formula, or
‘‘(B) the maximum amount of benefits payable
on the basis of any transitional primary insurance
amount as otherwise determined under section
203(a) is lower than it would be if it were deter-
mined under the pre-1977 formula,
such transitional primary insurance amount or maximum
amount of benefits (as otherwise so determined) shall be
increased to the amount at which it would be fixed if it
had been determined under the pre-1977 formula, as
though title II of the Social Security Amendments of 1977
(and any subsequent amendments to the provisions af-
fected by such title) had not been enacted.
‘‘(2) For purposes of paragraph (1)—
‘‘(A) the term ‘transtional primary insurance
amount’ means the primary insurance amount of an
individual who attained age 62 during the period be-
ginning January 1, 1979, and ending December 31,
1986, and
‘‘(B) the term ‘pre-1977 formula’ means (with
respect to a primary insurance amount) the provi-
sions governing the computation of primary insur-
ance amounts which were contained in this section
as in effect immediately prior to the enactment of
the Social Security Amendments of 1977, or (with
respect to the maximum amount of benefits payable
on the basis of a given primary insurance amount)
the provisions governing the determination of maxi-
mum benefits which were contained in section
203(a) as in effect immediately prior to the enact-
ment of such amendments.’’.
(b) CONFORMING AMENDMENTS.—
(1) Section 215(a)(1)(A) of such Act (42
U.S.C. 415(a)(1)(A)) is amended by striking ‘‘shall
(except as otherwise provided in this section)’’ and
inserting ‘‘shall, subject to subsection (j) (and except
as otherwise provided in this section),’’.
(2) Section 203(a)(1) of such Act (42 U.S.C.
403(a)(1)) is amended by striking ‘‘except as pro-
vided in paragraphs (3) and (6)’’ and inserting
‘‘subject to section 215(j) and except as provided in
paragraphs (3) and (6) of this subsection’’.
(c) EFFECTIVE DATE.—The amendments made by
this section shall apply with respect to monthly insurance
benefits payable under title II of the Social Security Act
for months after the month in which this Act is enacted.
Notwithstanding section 215(f)(1) of the Social Security
Act, the Commissioner of Social Security shall recompute
primary insurance amounts to the extent necessary to
carry out the provisions of this section.
SEC. 8. PET OWNERSHIP IN FEDERALLY ASSISTED HOUS-
ING BY ELDERLY PERSONS AND PERSONS
WITH DISABILITIES.
Section 227 of the Housing and Urban-Rural Recov-
ery Act of 1983 (12 U.S.C. 1701r–1) is amended to read
as follows:
‘‘SEC. 227. PET OWNERSHIP IN FEDERALLY ASSISTED RENT-
AL HOUSING.
‘‘(a) RIGHT OF OWNERSHIP.—A resident of a dwell-
ing unit in federally assisted rental housing who is an el-
derly person or a person with disabilities may own com-
mon household pets or have common household pets
present in the dwelling unit of such resident, subject to
the reasonable requirements of the owner of the federally
assisted rental housing and the requirement that the resi-
dent maintain the animals responsibly and in compliance
with applicable local and State public health, animal con-
trol, and anticruelty laws. Such reasonable requirements
may include requiring payment of a nominal fee and pet
deposit by such residents owning or having pets present,
to cover the operating costs to the project relating to the
presence of pets and to establish an escrow account for
additional such costs not otherwise covered, respectively.
To the extent that a public housing agency has the author-
ity under Federal law to exempt an assisted family from
payment of the minimum amount otherwise payable by the
family for rental of the dwelling unit of the family, the
authority may grant an exemption from payment, in whole
or in part, of any fee or deposit required pursuant to the
preceding sentence.
‘‘(b) PROHIBITION AGAINST DISCRIMINATION.—No
owner of federally assisted rental housing may restrict or
discriminate against any elderly person or person with dis-
abilities in connection with admission to, or continued oc-
cupancy of, such housing by reason of the ownership of
common household pets by, or the presence of such pets
in the dwelling unit of, such person.
‘‘(c) DEFINITIONS.—For purposes of this section, the
following definitions shall apply:
‘‘(1) FEDERALLY
ASSISTED
RENTAL
HOUS-
ING.—The term ‘federally assisted rental housing’
means any multifamily rental housing project that
is—
‘‘(A) public housing (as such term is de-
fined in section 3(b) of the United States Hous-
ing Act of 1937;
‘‘(B) assisted with project-based assistance
under section 8 of the United States Housing
Act of 1937;
‘‘(C) assisted under section 202 of the
Housing Act of 1959 (as amended by section
801 of the Cranston-Gonzalez National Afford-
able Housing Act);
‘‘(D) assisted under section 202 of the
Housing Act of 1959 (as in effect before the en-
actment of the Cranston-Gonzalez National Af-
fordable Housing Act);
‘‘(E) assisted under section 811 of the
Cranston-Gonzalez National Affordable Hous-
ing Act;
‘‘(F) assisted under title V of the Housing
Act of 1949; or
‘‘(G) insured, assisted, or held by the Sec-
retary or a State or State agency under section
236 of the National Housing Act.
‘‘(2) OWNER.—The term ‘owner’ means, with
respect to federally assisted rental housing, the en-
tity or private person, including a cooperative or
public housing agency, that has the legal right to
lease or sublease dwelling units in such housing (in-
cluding a manager of such housing having such
right).
‘‘(3) ELDERLY PERSON AND PERSON WITH DIS-
ABILITIES.—The terms ‘elderly person’ and ‘person
with disabilities’ have the meanings given such terms
in section 3(b) of the United States Housing Act of
1937.
‘‘(d) REGULATIONS.—Subsections (a) through (c) of
this section shall take effect upon the date of the effective-
ness of regulations issued by the Secretary to carry out
this section. Such regulations shall be issued not later
than the expiration of the 1-year period beginning on the
date of the enactment of the Senior Citizen Bill of Rights
Act of 1997 and after notice and opportunity for public
comment in accordance with the procedure under section
553 of title 5, United States Code, applicable to sub-
stantive rules (notwithstanding subsections (a)(2), (b)(B),
and (d)(3) of such section).’’.
SEC. 9. OFF–BUDGET TREATMENT OF EXPENSES OF ADMIN-
ISTERING THE OLD-AGE, SURVIVORS, AND
DISABILITY INSURANCE PROGRAM UNDER
TITLE II OF THE SOCIAL SECURITY ACT.
(a) AMENDMENTS TO THE OMNIBUS BUDGET REC-
ONCILIATION ACT OF 1990.—Section 13301(a) of the Om-
nibus Budget Reconciliation Act of 1990 is amended by
inserting ‘‘(including the expenses of administering the
old-age, survivors, and disability insurance programs)’’ be-
fore ‘‘shall’’ and by adding at the end the following new
sentence: ‘‘No expenses of administering the old-age, sur-
vivors, and disability insurance programs shall be subject
to sequestration under the Balanced Budget and Emer-
gency Deficit Control Act of 1985.’’.
(b) AMENDMENTS TO THE BALANCED BUDGET AND
EMERGENCY DEFICIT CONTROL ACT OF 1985.—
(1) Section 250(c)(4)(B) of the Balanced Budg-
et and Emergency Deficit Control Act of 1985 is
amended by inserting after ‘‘appropriations’’ the fol-
lowing: ‘‘, except that expenses for the administra-
tion of the social security old-age and survivors in-
surance trust fund and the disability insurance trust
fund (20–8006–0–7–651 and 20–8007–0–7–651)
shall not be considered to be within any category’’.
(2) Section 253(b) of such Act is amended by
striking ‘‘and’’ after paragraph (2), by striking the
period and inserting ‘‘; and’’ after paragraph (3),
and by adding at the end the following new para-
graph:
‘‘(4) any spending excluded under section
250(c)(4)(B).’’.
(3) Section 256(h)(4) of such Act is amended
by inserting at the end the following:
‘‘(J) The old-age, survivors and disability
insurance (OASDI) programs.’’.
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