Title: Disaster Tax Relief and Airport and Airway Extension Act of 2017
Policy area: Taxation

Summary:
Disaster Tax Relief and Airport and Airway Extension Act of 2017
This bill extends several federal aviation programs, aviation taxes, and public health programs. It also modifies requirements for purchasing flood insurance and provides tax incentives for individuals and businesses affected by recent hurricanes.
The bill extends several expiring Federal Aviation Administration programs and authorities through March 31, 2018. The bill also amends the Internal Revenue Code to extend through March 31, 2018, the expenditure authority for the Airport and Airway Trust Fund and the taxes that finance the fund, including: fuel taxes, ticket taxes, and taxes related to fractional ownership programs.
The bill extends several public health programs, including: (1) the Teaching Health Center Graduate Medical Education program, (2) the Special Diabetes Program for Indians, and (3) the Medicare Patient Intravenous Immunoglobulin (IVIG) Demonstration Project. The bill also reduces funding for the Medicare Improvement Fund.
With respect to flood insurance, the bill specifies that private flood insurance offered outside of the National Flood Insurance Program satisfies the requirement for homeowners to maintain flood insurance coverage on properties that have federally-backed mortgages and are located in a flood zone.
The bill modifies several tax provisions and rules for individuals and businesses in areas affected by Hurricanes Harvey, Irma, and Maria, including provisions regarding: early withdrawals and loans from retirement plans, employment-related tax credits, deductions for charitable contributions, deductions for personal casualty losses, and income requirements for the earned income tax credit and the child tax credit.

[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3823 Introduced in House (IH)]

<DOC>






115th CONGRESS
  1st Session
                                H. R. 3823

To amend title 49, United States Code, to extend authorizations for the 
airport improvement program, to amend the Internal Revenue Code of 1986 
  to extend the funding and expenditure authority of the Airport and 
   Airway Trust Fund, to provide disaster tax relief, and for other 
                               purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           September 25, 2017

   Mr. Brady of Texas (for himself, Mr. Shuster, and Mr. Curbelo of 
   Florida) introduced the following bill; which was referred to the 
   Committee on Ways and Means, and in addition to the Committees on 
   Transportation and Infrastructure, Energy and Commerce, 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 committee concerned

_______________________________________________________________________

                                 A BILL


 
To amend title 49, United States Code, to extend authorizations for the 
airport improvement program, to amend the Internal Revenue Code of 1986 
  to extend the funding and expenditure authority of the Airport and 
   Airway Trust Fund, to provide disaster tax relief, and for other 
                               purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Disaster Tax 
Relief and Airport and Airway Extension Act of 2017''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
                   TITLE I--FEDERAL AVIATION PROGRAMS

Sec. 101. Extension of airport improvement program.
Sec. 102. Extension of expiring authorities.
Sec. 103. Federal Aviation Administration operations.
Sec. 104. Small community air service.
Sec. 105. Air navigation facilities and equipment.
Sec. 106. Research, engineering, and development.
Sec. 107. Funding for aviation programs.
                 TITLE II--AVIATION REVENUE PROVISIONS

Sec. 201. Expenditure authority from Airport and Airway Trust Fund.
Sec. 202. Extension of taxes funding Airport and Airway Trust Fund.
                 TITLE III--EXPIRING HEALTH PROVISIONS

Sec. 301. Extension of certain public health programs.
Sec. 302. Extension of Medicare Patient IVIG Access Demonstration 
                            Project.
Sec. 303. Funds from the Medicare Improvement Fund.
        TITLE IV--DEVELOPMENT OF PRIVATE FLOOD INSURANCE MARKET

Sec. 401. Private flood insurance.
       TITLE V--TAX RELIEF FOR HURRICANES HARVEY, IRMA, AND MARIA

Sec. 501. Definitions.
Sec. 502. Special disaster-related rules for use of retirement funds.
Sec. 503. Disaster-related employment relief.
Sec. 504. Additional disaster-related tax relief provisions.
Sec. 505. Budgetary effects.

                   TITLE I--FEDERAL AVIATION PROGRAMS

SEC. 101. EXTENSION OF AIRPORT IMPROVEMENT PROGRAM.

    (a) Authorization of Appropriations.--
            (1) In general.--Section 48103(a) of title 49, United 
        States Code, is amended by striking the period at the end and 
        inserting ``and $1,670,410,959 for the period beginning on 
        October 1, 2017, and ending on March 31, 2018.''.
            (2) Obligation of amounts.--Subject to limitations 
        specified in advance in appropriations Acts, sums made 
        available pursuant to the amendment made by paragraph (1) may 
        be obligated at any time through September 30, 2018, and shall 
        remain available until expended.
            (3) Program implementation.--For purposes of calculating 
        funding apportionments and meeting other requirements under 
        sections 47114, 47115, 47116, and 47117 of title 49, United 
        States Code, for the period beginning on October 1, 2017, and 
        ending on March 31, 2018, the Administrator of the Federal 
        Aviation Administration shall--
                    (A) first calculate such funding apportionments on 
                an annualized basis as if the total amount available 
                under section 48103 of such title for fiscal year 2018 
                were $3,350,000,000; and
                    (B) then reduce by 50 percent--
                            (i) all funding apportionments calculated 
                        under subparagraph (A); and
                            (ii) amounts available pursuant to sections 
                        47117(b) and 47117(f)(2) of such title.
    (b) Project Grant Authority.--Section 47104(c) of title 49, United 
States Code, is amended in the matter preceding paragraph (1) by 
striking ``September 30, 2017,'' and inserting ``March 31, 2018,''.

SEC. 102. EXTENSION OF EXPIRING AUTHORITIES.

    (a) Section 47107(r)(3) of title 49, United States Code, is amended 
by striking ``October 1, 2017'' and inserting ``April 1, 2018''.
    (b) Section 47114(c)(1)(F) of title 49, United States Code, is 
amended--
            (1) in the subparagraph heading by striking ``for fiscal 
        year 2017''; and
            (2) in the matter preceding clause (i) by striking ``for 
        fiscal year 2017 an amount'' and inserting ``for each of fiscal 
        years 2017 and 2018 an amount''.
    (c) Section 47115(j) of title 49, United States Code, is amended by 
inserting ``and for the period beginning on October 1, 2017, and ending 
on March 31, 2018'' after ``fiscal years 2012 through 2017''.
    (d) Section 47124(b)(3)(E) of title 49, United States Code, is 
amended by inserting ``and not more than $5,160,822 for the period 
beginning on October 1, 2017, and ending on March 31, 2018,'' after 
``fiscal years 2012 through 2017''.
    (e) Section 47141(f) of title 49, United States Code, is amended by 
striking ``September 30, 2017'' and inserting ``March 31, 2018''.
    (f) Section 186(d) of the Vision 100--Century of Aviation 
Reauthorization Act (117 Stat. 2518) is amended by inserting ``and for 
the period beginning on October 1, 2017, and ending on March 31, 
2018,'' after ``fiscal years 2012 through 2017''.
    (g) Section 409(d) of the Vision 100--Century of Aviation 
Reauthorization Act (49 U.S.C. 41731 note) is amended by striking 
``September 30, 2017'' and inserting ``March 31, 2018''.
    (h) Section 140(c)(1) of the FAA Modernization and Reform Act of 
2012 (126 Stat. 28) is amended by striking ``2017'' and inserting 
``2018''.
    (i) Section 411(h) of the FAA Modernization and Reform Act of 2012 
(49 U.S.C. 42301 prec. note) is amended by striking ``September 30, 
2017'' and inserting ``March 31, 2018''.
    (j) Section 822(k) of the FAA Modernization and Reform Act of 2012 
(49 U.S.C. 47141 note) is amended by striking ``September 30, 2017'' 
and inserting ``March 31, 2018''.
    (k) Section 2306(b) of the FAA Extension, Safety, and Security Act 
of 2016 (130 Stat. 641) is amended by striking ``October 1, 2017'' and 
inserting ``April 1, 2018''.

SEC. 103. FEDERAL AVIATION ADMINISTRATION OPERATIONS.

    Section 106(k) of title 49, United States Code, is amended--
            (1) in paragraph (1)--
                    (A) in subparagraph (D) by striking ``and'' at the 
                end;
                    (B) in subparagraph (E) by striking the period at 
                the end and inserting ``; and''; and
                    (C) by inserting after subparagraph (E) the 
                following:
                    ``(F) $4,999,191,956 for the period beginning on 
                October 1, 2017, and ending on March 31, 2018.''; and
            (2) in paragraph (3) by inserting ``and for the period 
        beginning on October 1, 2017, and ending on March 31, 2018'' 
        after ``fiscal years 2012 through 2017''.

SEC. 104. SMALL COMMUNITY AIR SERVICE.

    (a) Essential Air Service Authorization.--Section 41742(a)(2) of 
title 49, United States Code, is amended by striking ``and $175,000,000 
for each of fiscal years 2016 and 2017'' and inserting ``$175,000,000 
for each of fiscal years 2016 and 2017, and $74,794,521 for the period 
beginning on October 1, 2017, and ending on March 31, 2018,''.
    (b) Airports Not Receiving Sufficient Service.--Section 41743(e)(2) 
of title 49, United States Code, is amended by inserting ``and 
$4,986,301 for the period beginning on October 1, 2017, and ending on 
March 31, 2018,'' after ``fiscal years 2012 through 2017''.

SEC. 105. AIR NAVIGATION FACILITIES AND EQUIPMENT.

    Section 48101(a) of title 49, United States Code, is amended by 
adding at the end the following:
            ``(6) $1,423,589,041 for the period beginning on October 1, 
        2017, and ending on March 31, 2018.''.

SEC. 106. RESEARCH, ENGINEERING, AND DEVELOPMENT.

    Section 48102(a) of title 49, United States Code, is amended--
            (1) in paragraph (8) by striking ``and'' at the end;
            (2) in paragraph (9) by striking the period at the end and 
        inserting ``; and''; and
            (3) by adding at the end the following:
            ``(10) $88,008,219 for the period beginning on October 1, 
        2017 and ending on March 31, 2018.''.

SEC. 107. FUNDING FOR AVIATION PROGRAMS.

    (a) In General.--Section 48114 of title 49, United States Code, is 
amended--
            (1) in subsection (a)(2) by striking ``2017'' and inserting 
        ``2018''; and
            (2) in subsection (c)(2) by striking ``2017'' and inserting 
        ``2018''.
    (b) Compliance With Funding Requirements.--The budget authority 
authorized in this title, including the amendments made by this title, 
shall be deemed to satisfy the requirements of subsections (a)(1)(B) 
and (a)(2) of section 48114 of title 49, United States Code, for the 
period beginning on October 1, 2017, and ending on March 31, 2018.

                 TITLE II--AVIATION REVENUE PROVISIONS

SEC. 201. EXPENDITURE AUTHORITY FROM AIRPORT AND AIRWAY TRUST FUND.

    (a) In General.--Section 9502(d)(1) of the Internal Revenue Code of 
1986 is amended--
            (1) in the matter preceding subparagraph (A) by striking 
        ``October 1, 2017'' and inserting ``April 1, 2018''; and
            (2) in subparagraph (A) by striking the semicolon at the 
        end and inserting ``or the Disaster Tax Relief and Airport and 
        Airway Extension Act of 2017;''.
    (b) Conforming Amendment.--Section 9502(e)(2) of such Code is 
amended by striking ``October 1, 2017'' and inserting ``April 1, 
2018''.

SEC. 202. EXTENSION OF TAXES FUNDING AIRPORT AND AIRWAY TRUST FUND.

    (a) Fuel Taxes.--Section 4081(d)(2)(B) of the Internal Revenue Code 
of 1986 is amended by striking ``September 30, 2017'' and inserting 
``March 31, 2018''.
    (b) Ticket Taxes.--
            (1) Persons.--Section 4261(k)(1)(A)(ii) of such Code is 
        amended by striking ``September 30, 2017'' and inserting 
        ``March 31, 2018''.
            (2) Property.--Section 4271(d)(1)(A)(ii) of such Code is 
        amended by striking ``September 30, 2017'' and inserting 
        ``March 31, 2018''.
    (c) Fractional Ownership Programs.--
            (1) Treatment as noncommercial aviation.--Section 4083(b) 
        of such Code is amended by striking ``October 1, 2017'' and 
        inserting ``April 1, 2018''.
            (2) Exemption from ticket taxes.--Section 4261(j) of such 
        Code is amended by striking ``September 30, 2017'' and 
        inserting ``March 31, 2018''.

                 TITLE III--EXPIRING HEALTH PROVISIONS

SEC. 301. EXTENSION OF CERTAIN PUBLIC HEALTH PROGRAMS.

    (a) Extension of Program of Payments to Teaching Health Centers 
That Operate Graduate Medical Education Programs.--Section 340H(g) of 
the Public Health Service Act (42 U.S.C. 256h(g)) is amended--
            (1) by striking ``and $60,000,000'' and inserting ``, 
        $60,000,000''; and
            (2) by inserting ``, and $15,000,000 for the first quarter 
        of fiscal year 2018'' before the period at the end.
    (b) Extension of Special Diabetes Program for Indians.--Section 
330C(c)(2) of the Public Health Service Act (42 U.S.C. 254c-3(c)(2)) is 
amended--
            (1) in subparagraph (B), by striking ``and'' at the end;
            (2) in subparagraph (C), by striking the period at the end 
        and inserting ``; and''; and
            (3) by adding at the end the following new subparagraph:
                    ``(D) $37,500,000 for the first quarter of fiscal 
                year 2018.''.
    (c) Technical Corrections.--Part D of the Public Health Service Act 
is amended by redesignating--
            (1) the second subpart XI (42 U.S.C. 256i; relating to a 
        community-based collaborative care network program) as subpart 
        XII; and
            (2) the second section 340H (42 U.S.C. 256i) as section 
        340I.

SEC. 302. EXTENSION OF MEDICARE PATIENT IVIG ACCESS DEMONSTRATION 
              PROJECT.

    Section 101(b) of the Medicare IVIG Access and Strengthening 
Medicare and Repaying Taxpayers Act of 2012 (42 U.S.C. 1395l note) is 
amended--
            (1) in paragraph (1), by inserting after ``for a period of 
        3 years'' the following: ``and, subject to the availability of 
        funds under subsection (g)--
                    ``(A) if the date of enactment of the Disaster Tax 
                Relief and Airport and Airway Extension Act of 2017 is 
                on or before September 30, 2017, for the period 
                beginning on October 1, 2017, and ending on December 
                31, 2020; and
                    ``(B) if the date of enactment of such Act is after 
                September 30, 2017, for the period beginning on the 
                date of enactment of such Act and ending on December 
                31, 2020''; and
            (2) in paragraph (2), by adding at the end the following 
        new sentences: ``Subject to the preceding sentence, a Medicare 
        beneficiary enrolled in the demonstration project on September 
        30, 2017, shall be automatically enrolled during the period 
        beginning on the date of the enactment of the Disaster Tax 
        Relief and Airport and Airway Extension Act of 2017 and ending 
        on December 31, 2020, without submission of another 
        application.''.

SEC. 303. FUNDS FROM THE MEDICARE IMPROVEMENT FUND.

    Section 1898(b)(1) of the Social Security Act (42 U.S.C. 
1395iii(b)(1)) is amended by striking ``during and after fiscal year 
2021, $270,000,000'' and inserting ``during and after fiscal year 2021, 
$220,000,000''.

        TITLE IV--DEVELOPMENT OF PRIVATE FLOOD INSURANCE MARKET

SEC. 401. PRIVATE FLOOD INSURANCE.

    (a) Flood Insurance Mandatory Purchase Requirement.--
            (1) Amount and term of coverage.--Section 102 of the Flood 
        Disaster Protection Act of 1973 (42 U.S.C. 4012a) is amended by 
        striking ``Sec. 102. (a)'' and all that follows through the end 
        of subsection (a) and inserting the following:
    ``Sec. 102. (a) Amount and Term of Coverage.--After the expiration 
of sixty days following the date of the enactment of this Act, no 
Federal officer or agency shall approve any financial assistance for 
acquisition or construction purposes for use in any area that has been 
identified by the Administrator as an area having special flood hazards 
and in which the sale of flood insurance has been made available under 
the National Flood Insurance Act of 1968, unless the building or mobile 
home and any personal property to which such financial assistance 
relates is covered by flood insurance: Provided, That the amount of 
flood insurance (1) in the case of Federal flood insurance, is at least 
equal to the development or project cost of the building, mobile home, 
or personal property (less estimated land cost), the outstanding 
principal balance of the loan, or the maximum limit of Federal flood 
insurance coverage made available with respect to the particular type 
of property, whichever is less; or (2) in the case of private flood 
insurance, is at least equal to the development or project cost of the 
building, mobile home, or personal property (less estimated land cost), 
the outstanding principal balance of the loan, or the maximum limit of 
Federal flood insurance coverage made available with respect to the 
particular type of property, whichever is less: Provided further, That 
if the financial assistance provided is in the form of a loan or an 
insurance or guaranty of a loan, the amount of flood insurance required 
need not exceed the outstanding principal balance of the loan and need 
not be required beyond the term of the loan. The requirement of 
maintaining flood insurance shall apply during the life of the 
property, regardless of transfer of ownership of such property.''.
            (2) Requirement for mortgage loans.--Subsection (b) of 
        section 102 of the Flood Disaster Protection Act of 1973 (42 
        U.S.C. 4012a(b)) is amended--
                    (A) by striking paragraph (7);
                    (B) by redesignating paragraph (6) as paragraph 
                (7);
                    (C) by striking the subsection designation and all 
                that follows through the end of paragraph (5) and 
                inserting the following:
    ``(b) Requirement for Mortgage Loans.--
            ``(1) Regulated lending institutions.--Each Federal entity 
        for lending regulation (after consultation and coordination 
        with the Financial Institutions Examination Council established 
        under the Federal Financial Institutions Examination Council 
        Act of 1974) shall by regulation direct regulated lending 
        institutions not to make, increase, extend, or renew any loan 
        secured by improved real estate or a mobile home located or to 
        be located in an area that has been identified by the 
        Administrator as an area having special flood hazards and in 
        which flood insurance has been made available under the 
        National Flood Insurance Act of 1968, unless the building or 
        mobile home and any personal property securing such loan is 
        covered for the term of the loan by flood insurance: Provided, 
        That the amount of flood insurance (A) in the case of Federal 
        flood insurance, is at least equal to the outstanding principal 
        balance of the loan or the maximum limit of Federal flood 
        insurance coverage made available with respect to the 
        particular type of property, whichever is less; or (B) in the 
        case of private flood insurance, is at least equal to the 
        outstanding principal balance of the loan or the maximum limit 
        of Federal flood insurance coverage made available with respect 
        to the particular type of property, whichever is less.
            ``(2) Federal agency lenders and mortgage insurance and 
        guarantee agencies.--
                    ``(A) Federal agency lenders.--A Federal agency 
                lender may not make, increase, extend, or renew any 
                loan secured by improved real estate or a mobile home 
                located or to be located in an area that has been 
                identified by the Administrator as an area having 
                special flood hazards and in which flood insurance has 
                been made available under the National Flood Insurance 
                Act of 1968, unless the building or mobile home and any 
                personal property securing such loan is covered for the 
                term of the loan by flood insurance in accordance with 
                paragraph (1). Each Federal agency lender may issue any 
                regulations necessary to carry out this paragraph. Such 
                regulations shall be consistent with and substantially 
                identical to the regulations issued under paragraph 
                (1).
                    ``(B) Other federal mortgage entities.--
                            ``(i) Coverage requirements.--Each covered 
                        Federal mortgage entity shall implement 
                        procedures reasonably designed to ensure that, 
                        for any loan that--
                                    ``(I) is secured by improved real 
                                estate or a mobile home located in an 
                                area that has been identified, at the 
                                time of the origination of the loan or 
                                at any time during the term of the 
                                loan, by the Administrator as an area 
                                having special flood hazards and in 
                                which flood insurance is available 
                                under the National Flood Insurance Act 
                                of 1968, and
                                    ``(II) is made, insured, held, or 
                                guaranteed by such entity, or backs or 
                                on which is based any trust certificate 
                                or other security for which such entity 
                                guarantees the timely payment of 
                                principal and interest,
                        the building or mobile home and any personal 
                        property securing the loan is covered for the 
                        term of the loan by flood insurance in the 
                        amount provided in paragraph (1).
                            ``(ii) Definition.--For purposes of this 
                        subparagraph, the term `covered Federal 
                        mortgage entity' means--
                                    ``(I) the Secretary of Housing and 
                                Urban Development, with respect to 
                                mortgages insured under the National 
                                Housing Act;
                                    ``(II) the Secretary of 
                                Agriculture, with respect to loans 
                                made, insured, or guaranteed under 
                                title V of the Housing Act of 1949; and
                                    ``(III) the Government National 
                                Mortgage Association.
                    ``(C) Requirement to accept flood insurance.--Each 
                Federal agency lender and each covered Federal mortgage 
                entity shall accept flood insurance as satisfaction of 
                the flood insurance coverage requirement under 
                subparagraph (A) or (B), respectively, if the flood 
                insurance coverage meets the requirements for coverage 
                under such subparagraph and the requirements relating 
                to financial strength issued pursuant to paragraph (4).
            ``(3) Government-sponsored enterprises for housing.--The 
        Federal National Mortgage Association and the Federal Home Loan 
        Mortgage Corporation shall implement procedures reasonably 
        designed to ensure that, for any loan that is--
                    ``(A) secured by improved real estate or a mobile 
                home located in an area that has been identified, at 
                the time of the origination of the loan or at any time 
                during the term of the loan, by the Administrator as an 
                area having special flood hazards and in which flood 
                insurance is available under the National Flood 
                Insurance Act of 1968, and
                    ``(B) purchased or guaranteed by such entity,
        the building or mobile home and any personal property securing 
        the loan is covered for the term of the loan by flood insurance 
        in the amount provided in paragraph (1). The Federal National 
        Mortgage Association and the Federal Home Loan Mortgage 
        Corporation shall accept flood insurance as satisfaction of the 
        flood insurance coverage requirement under paragraph (1) if the 
        flood insurance coverage provided meets the requirements for 
        coverage under that paragraph and the requirements relating to 
        financial strength issued pursuant to paragraph (4).
            ``(4) Requirements regarding financial strength.--The 
        Director of the Federal Housing Finance Agency, in consultation 
        with the Federal National Mortgage Association, the Federal 
        Home Loan Mortgage Corporation, the Secretary of Housing and 
        Urban Development, the Government National Mortgage 
        Association, and the Secretary of Agriculture shall develop and 
        implement requirements relating to the financial strength of 
        private insurance companies from which such entities and 
        agencies will accept private flood insurance, provided that 
        such requirements shall not affect or conflict with any State 
        law, regulation, or procedure concerning the regulation of the 
        business of insurance.
            ``(5) Applicability.--
                    ``(A) Existing coverage.--Except as provided in 
                subparagraph (B), paragraph (1) shall apply on the date 
                of enactment of the Riegle Community Development and 
                Regulatory Improvement Act of 1994.
                    ``(B) New coverage.--Paragraphs (2) and (3) shall 
                apply only with respect to any loan made, increased, 
                extended, or renewed after the expiration of the 1-year 
                period beginning on the date of enactment of the Riegle 
                Community Development and Regulatory Improvement Act of 
                1994. Paragraph (1) shall apply with respect to any 
                loan made, increased, extended, or renewed by any 
                lender supervised by the Farm Credit Administration 
                only after the expiration of the period under this 
                subparagraph.
                    ``(C) Continued effect of regulations.--
                Notwithstanding any other provision of this subsection, 
                the regulations to carry out paragraph (1), as in 
                effect immediately before the date of enactment of the 
                Riegle Community Development and Regulatory Improvement 
                Act of 1994, shall continue to apply until the 
                regulations issued to carry out paragraph (1) as 
                amended by section 522(a) of such Act take effect.
            ``(6) Rule of construction.--Except as otherwise specified, 
        any reference to flood insurance in this section shall be 
        considered to include Federal flood insurance and private flood 
        insurance. Nothing in this subsection shall be construed to 
        supersede or limit the authority of a Federal entity for 
        lending regulation, the Federal Housing Finance Agency, a 
        Federal agency lender, a covered Federal mortgage entity (as 
        such term is defined in paragraph (2)(B)(ii)), the Federal 
        National Mortgage Association, or the Federal Home Loan 
        Mortgage Corporation to establish requirements relating to the 
        financial strength of private insurance companies from which 
        the entity or agency will accept private flood insurance, 
        provided that such requirements shall not affect or conflict 
        with any State law, regulation, or procedure concerning the 
        regulation of the business of insurance.''; and
                    (D) by adding at the end the following new 
                paragraphs:
            ``(8) Definitions.--In this section:
                    ``(A) Flood insurance.--The term `flood insurance' 
                means--
                            ``(i) Federal flood insurance; and
                            ``(ii) private flood insurance.
                    ``(B) Federal flood insurance.--The term `Federal 
                flood insurance' means an insurance policy made 
                available under the National Flood Insurance Act of 
                1968 (42 U.S.C. 4001 et seq.).
                    ``(C) Private flood insurance.--The term `private 
                flood insurance' means an insurance policy that--
                            ``(i) is issued by an insurance company 
                        that is--
                                    ``(I) licensed, admitted, or 
                                otherwise approved to engage in the 
                                business of insurance in the State in 
                                which the insured building is located, 
                                by the insurance regulator of that 
                                State; or
                                    ``(II) eligible as a nonadmitted 
                                insurer to provide insurance in the 
                                home State of the insured, in 
                                accordance with sections 521 through 
                                527 of the Dodd-Frank Wall Street 
                                Reform and Consumer Protection Act (15 
                                U.S.C. 8201 through 8206);
                            ``(ii) is issued by an insurance company 
                        that is not otherwise disapproved as a surplus 
                        lines insurer by the insurance regulator of the 
                        State in which the property to be insured is 
                        located; and
                            ``(iii) provides flood insurance coverage 
                        that complies with the laws and regulations of 
                        that State.
                    ``(D) State.--The term `State' means any State of 
                the United States, the District of Columbia, the 
                Commonwealth of Puerto Rico, Guam, the Northern Mariana 
                Islands, the Virgin Islands, and American Samoa.''.
    (b) Effect of Private Flood Insurance Coverage on Continuous 
Coverage Requirements.--Section 1308 of the National Flood Insurance 
Act of 1968 (42 U.S.C. 4015) is amended by adding at the end the 
following:
    ``(n) Effect of Private Flood Insurance Coverage on Continuous 
Coverage Requirements.--For purposes of applying any statutory, 
regulatory, or administrative continuous coverage requirement, 
including under section 1307(g)(1), the Administrator shall consider 
any period during which a property was continuously covered by private 
flood insurance (as defined in section 102(b)(8) of the Flood Disaster 
Protection Act of 1973 (42 U.S.C. 4012a(b)(8))) to be a period of 
continuous coverage.''.

       TITLE V--TAX RELIEF FOR HURRICANES HARVEY, IRMA, AND MARIA

SEC. 501. DEFINITIONS.

    (a) Hurricane Harvey Disaster Zone and Disaster Area.--For purposes 
of this title--
            (1) Hurricane harvey disaster zone.--The term ``Hurricane 
        Harvey disaster zone'' means that portion of the Hurricane 
        Harvey disaster area determined by the President to warrant 
        individual or individual and public assistance from the Federal 
        Government under the Robert T. Stafford Disaster Relief and 
        Emergency Assistance Act by reason of Hurricane Harvey.
            (2) Hurricane harvey disaster area.--The term ``Hurricane 
        Harvey disaster area'' means an area with respect to which a 
        major disaster has been declared by the President before 
        September 21, 2017, under section 401 of such Act by reason of 
        Hurricane Harvey.
    (b) Hurricane Irma Disaster Zone and Disaster Area.--For purposes 
of this title--
            (1) Hurricane irma disaster zone.--The term ``Hurricane 
        Irma disaster zone'' means that portion of the Hurricane Irma 
        disaster area determined by the President to warrant individual 
        or individual and public assistance from the Federal Government 
        under such Act by reason of Hurricane Irma.
            (2) Hurricane irma disaster area.--The term ``Hurricane 
        Irma disaster area'' means an area with respect to which a 
        major disaster has been declared by the President before 
        September 21, 2017, under section 401 of such Act by reason of 
        Hurricane Irma.
    (c) Hurricane Maria Disaster Zone and Disaster Area.--For purposes 
of this title--
            (1) Hurricane maria disaster zone.--The term ``Hurricane 
        Maria disaster zone'' means that portion of the Hurricane Maria 
        disaster area determined by the President to warrant individual 
        or individual and public assistance from the Federal Government 
        under such Act by reason of Hurricane Maria.
            (2) Hurricane maria disaster area.--The term ``Hurricane 
        Maria disaster area'' means an area with respect to which a 
        major disaster has been declared by the President before 
        September 21, 2017, under section 401 of such Act by reason of 
        Hurricane Maria.

SEC. 502. SPECIAL DISASTER-RELATED RULES FOR USE OF RETIREMENT FUNDS.

    (a) Tax-Favored Withdrawals From Retirement Plans.--
            (1) In general.--Section 72(t) of the Internal Revenue Code 
        of 1986 shall not apply to any qualified hurricane 
        distribution.
            (2) Aggregate dollar limitation.--
                    (A) In general.--For purposes of this subsection, 
                the aggregate amount of distributions received by an 
                individual which may be treated as qualified hurricane 
                distributions for any taxable year shall not exceed the 
                excess (if any) of--
                            (i) $100,000, over
                            (ii) the aggregate amounts treated as 
                        qualified hurricane distributions received by 
                        such individual for all prior taxable years.
                    (B) Treatment of plan distributions.--If a 
                distribution to an individual would (without regard to 
                subparagraph (A)) be a qualified hurricane 
                distribution, a plan shall not be treated as violating 
                any requirement of the Internal Revenue Code of 1986 
                merely because the plan treats such distribution as a 
                qualified hurricane distribution, unless the aggregate 
                amount of such distributions from all plans maintained 
                by the employer (and any member of any controlled group 
                which includes the employer) to such individual exceeds 
                $100,000.
                    (C) Controlled group.--For purposes of subparagraph 
                (B), the term ``controlled group'' means any group 
                treated as a single employer under subsection (b), (c), 
                (m), or (o) of section 414 of the Internal Revenue Code 
                of 1986.
            (3) Amount distributed may be repaid.--
                    (A) In general.--Any individual who receives a 
                qualified hurricane distribution may, at any time 
                during the 3-year period beginning on the day after the 
                date on which such distribution was received, make one 
                or more contributions in an aggregate amount not to 
                exceed the amount of such distribution to an eligible 
                retirement plan of which such individual is a 
                beneficiary and to which a rollover contribution of 
                such distribution could be made under section 402(c), 
                403(a)(4), 403(b)(8), 408(d)(3), or 457(e)(16), of the 
                Internal Revenue Code of 1986, as the case may be.
                    (B) Treatment of repayments of distributions from 
                eligible retirement plans other than iras.--For 
                purposes of the Internal Revenue Code of 1986, if a 
                contribution is made pursuant to subparagraph (A) with 
                respect to a qualified hurricane distribution from an 
                eligible retirement plan other than an individual 
                retirement plan, then the taxpayer shall, to the extent 
                of the amount of the contribution, be treated as having 
                received the qualified hurricane distribution in an 
                eligible rollover distribution (as defined in section 
                402(c)(4) of such Code) and as having transferred the 
                amount to the eligible retirement plan in a direct 
                trustee to trustee transfer within 60 days of the 
                distribution.
                    (C) Treatment of repayments for distributions from 
                iras.--For purposes of the Internal Revenue Code of 
                1986, if a contribution is made pursuant to 
                subparagraph (A) with respect to a qualified hurricane 
                distribution from an individual retirement plan (as 
                defined by section 7701(a)(37) of such Code), then, to 
                the extent of the amount of the contribution, the 
                qualified hurricane distribution shall be treated as a 
                distribution described in section 408(d)(3) of such 
                Code and as having been transferred to the eligible 
                retirement plan in a direct trustee to trustee transfer 
                within 60 days of the distribution.
            (4) Definitions.--For purposes of this subsection--
                    (A) Qualified hurricane distribution.--Except as 
                provided in paragraph (2), the term ``qualified 
                hurricane distribution'' means--
                            (i) any distribution from an eligible 
                        retirement plan made on or after August 23, 
                        2017, and before January 1, 2019, to an 
                        individual whose principal place of abode on 
                        August 23, 2017, is located in the Hurricane 
                        Harvey disaster area and who has sustained an 
                        economic loss by reason of Hurricane Harvey,
                            (ii) any distribution (which is not 
                        described in clause (i)) from an eligible 
                        retirement plan made on or after September 4, 
                        2017, and before January 1, 2019, to an 
                        individual whose principal place of abode on 
                        September 4, 2017, is located in the Hurricane 
                        Irma disaster area and who has sustained an 
                        economic loss by reason of Hurricane Irma, and
                            (iii) any distribution (which is not 
                        described in clause (i) or (ii)) from an 
                        eligible retirement plan made on or after 
                        September 16, 2017, and before January 1, 2019, 
                        to an individual whose principal place of abode 
                        on September 16, 2017, is located in the 
                        Hurricane Maria disaster area and who has 
                        sustained an economic loss by reason of 
                        Hurricane Maria.
                    (B) Eligible retirement plan.--The term ``eligible 
                retirement plan'' shall have the meaning given such 
                term by section 402(c)(8)(B) of the Internal Revenue 
                Code of 1986.
            (5) Income inclusion spread over 3-year period.--
                    (A) In general.--In the case of any qualified 
                hurricane distribution, unless the taxpayer elects not 
                to have this paragraph apply for any taxable year, any 
                amount required to be included in gross income for such 
                taxable year shall be so included ratably over the 3-
                taxable-year period beginning with such taxable year.
                    (B) Special rule.--For purposes of subparagraph 
                (A), rules similar to the rules of subparagraph (E) of 
                section 408A(d)(3) of the Internal Revenue Code of 1986 
                shall apply.
            (6) Special rules.--
                    (A) Exemption of distributions from trustee to 
                trustee transfer and withholding rules.--For purposes 
                of sections 401(a)(31), 402(f), and 3405 of the 
                Internal Revenue Code of 1986, qualified hurricane 
                distributions shall not be treated as eligible rollover 
                distributions.
                    (B) Qualified hurricane distributions treated as 
                meeting plan distribution requirements.--For purposes 
                the Internal Revenue Code of 1986, a qualified 
                hurricane distribution shall be treated as meeting the 
                requirements of sections 401(k)(2)(B)(i), 
                403(b)(7)(A)(ii), 403(b)(11), and 457(d)(1)(A) of such 
                Code.
    (b) Recontributions of Withdrawals for Home Purchases.--
            (1) Recontributions.--
                    (A) In general.--Any individual who received a 
                qualified distribution may, during the period beginning 
                on August 23, 2017, and ending on February 28, 2018, 
                make one or more contributions in an aggregate amount 
                not to exceed the amount of such qualified distribution 
                to an eligible retirement plan (as defined in section 
                402(c)(8)(B) of the Internal Revenue Code of 1986) of 
                which such individual is a beneficiary and to which a 
                rollover contribution of such distribution could be 
                made under section 402(c), 403(a)(4), 403(b)(8), or 
                408(d)(3), of such Code, as the case may be.
                    (B) Treatment of repayments.--Rules similar to the 
                rules of subparagraphs (B) and (C) of subsection (a)(3) 
                shall apply for purposes of this subsection.
            (2) Qualified distribution.--For purposes of this 
        subsection, the term ``qualified distribution'' means any 
        distribution--
                    (A) described in section 401(k)(2)(B)(i)(IV), 
                403(b)(7)(A)(ii) (but only to the extent such 
                distribution relates to financial hardship), 
                403(b)(11)(B), or 72(t)(2)(F), of the Internal Revenue 
                Code of 1986,
                    (B) received after February 28, 2017, and before 
                September 21, 2017, and
                    (C) which was to be used to purchase or construct a 
                principal residence in the Hurricane Harvey disaster 
                area, the Hurricane Irma disaster area, or the 
                Hurricane Maria disaster area, but which was not so 
                purchased or constructed on account of Hurricane 
                Harvey, Hurricane Irma, or Hurricane Maria.
    (c) Loans From Qualified Plans.--
            (1) Increase in limit on loans not treated as 
        distributions.--In the case of any loan from a qualified 
        employer plan (as defined under section 72(p)(4) of the 
        Internal Revenue Code of 1986) to a qualified individual made 
        during the period beginning on the date of the enactment of 
        this Act and ending on December 31, 2018--
                    (A) clause (i) of section 72(p)(2)(A) of such Code 
                shall be applied by substituting ``$100,000'' for 
                ``$50,000'', and
                    (B) clause (ii) of such section shall be applied by 
                substituting ``the present value of the nonforfeitable 
                accrued benefit of the employee under the plan'' for 
                ``one-half of the present value of the nonforfeitable 
                accrued benefit of the employee under the plan''.
            (2) Delay of repayment.--In the case of a qualified 
        individual with an outstanding loan on or after the qualified 
        beginning date from a qualified employer plan (as defined in 
        section 72(p)(4) of the Internal Revenue Code of 1986)--
                    (A) if the due date pursuant to subparagraph (B) or 
                (C) of section 72(p)(2) of such Code for any repayment 
                with respect to such loan occurs during the period 
                beginning on the qualified beginning date and ending on 
                December 31, 2018, such due date shall be delayed for 1 
                year,
                    (B) any subsequent repayments with respect to any 
                such loan shall be appropriately adjusted to reflect 
                the delay in the due date under paragraph (1) and any 
                interest accruing during such delay, and
                    (C) in determining the 5-year period and the term 
                of a loan under subparagraph (B) or (C) of section 
                72(p)(2) of such Code, the period described in 
                subparagraph (A) shall be disregarded.
            (3) Qualified individual.--For purposes of this 
        subsection--
                    (A) In general.--The term ``qualified individual'' 
                means any qualified Hurricane Harvey individual, any 
                qualified Hurricane Irma individual, and any qualified 
                Hurricane Maria individual.
                    (B) Qualified hurricane harvey individual.--The 
                term ``qualified Hurricane Harvey individual'' means an 
                individual whose principal place of abode on August 23, 
                2017, is located in the Hurricane Harvey disaster area 
                and who has sustained an economic loss by reason of 
                Hurricane Harvey.
                    (C) Qualified hurricane irma individual.--The term 
                ``qualified Hurricane Irma individual'' means an 
                individual (other than a qualified Hurricane Harvey 
                individual) whose principal place of abode on September 
                4, 2017, is located in the Hurricane Irma disaster area 
                and who has sustained an economic loss by reason of 
                Hurricane Irma.
                    (D) Qualified hurricane maria individual.--The term 
                ``qualified Hurricane Maria individual'' means an 
                individual (other than a qualified Hurricane Harvey 
                individual or a qualified Hurricane Irma individual) 
                whose principal place of abode on September 16, 2017, 
                is located in the Hurricane Maria disaster area and who 
                has sustained an economic loss by reason of Hurricane 
                Maria.
            (4) Qualified beginning date.--For purposes of this 
        subsection, the qualified beginning date is--
                    (A) in the case of any qualified Hurricane Harvey 
                individual, August 23, 2017,
                    (B) in the case of any qualified Hurricane Irma 
                individual, September 4, 2017, and
                    (C) in the case of any qualified Hurricane Maria 
                individual, September 16, 2017.
    (d) Provisions Relating to Plan Amendments.--
            (1) In general.--If this subsection applies to any 
        amendment to any plan or annuity contract, such plan or 
        contract shall be treated as being operated in accordance with 
        the terms of the plan during the period described in paragraph 
        (2)(B)(i).
            (2) Amendments to which subsection applies.--
                    (A) In general.--This subsection shall apply to any 
                amendment to any plan or annuity contract which is 
                made--
                            (i) pursuant to any provision of this 
                        section, or pursuant to any regulation issued 
                        by the Secretary or the Secretary of Labor 
                        under any provision of this section, and
                            (ii) on or before the last day of the first 
                        plan year beginning on or after January 1, 
                        2019, or such later date as the Secretary may 
                        prescribe.
                In the case of a governmental plan (as defined in 
                section 414(d) of the Internal Revenue Code of 1986), 
                clause (ii) shall be applied by substituting the date 
                which is 2 years after the date otherwise applied under 
                clause (ii).
                    (B) Conditions.--This subsection shall not apply to 
                any amendment unless--
                            (i) during the period--
                                    (I) beginning on the date that this 
                                section or the regulation described in 
                                subparagraph (A)(i) takes effect (or in 
                                the case of a plan or contract 
                                amendment not required by this section 
                                or such regulation, the effective date 
                                specified by the plan), and
                                    (II) ending on the date described 
                                in subparagraph (A)(ii) (or, if 
                                earlier, the date the plan or contract 
                                amendment is adopted),
                the plan or contract is operated as if such plan or 
                contract amendment were in effect, and
                            (ii) such plan or contract amendment 
                        applies retroactively for such period.

SEC. 503. DISASTER-RELATED EMPLOYMENT RELIEF.

    (a) Employee Retention Credit for Employers Affected by Hurricane 
Harvey.--
            (1) In general.--For purposes of section 38 of the Internal 
        Revenue Code of 1986, in the case of an eligible employer, the 
        Hurricane Harvey employee retention credit shall be treated as 
        a credit listed in subsection (b) of such section. For purposes 
        of this subsection, the Hurricane Harvey employee retention 
        credit for any taxable year is an amount equal to 40 percent of 
        the qualified wages with respect to each eligible employee of 
        such employer for such taxable year. For purposes of the 
        preceding sentence, the amount of qualified wages which may be 
        taken into account with respect to any individual shall not 
        exceed $6,000.
            (2) Definitions.--For purposes of this subsection--
                    (A) Eligible employer.--The term ``eligible 
                employer'' means any employer--
                            (i) which conducted an active trade or 
                        business on August 23, 2017, in the Hurricane 
                        Harvey disaster zone, and
                            (ii) with respect to whom the trade or 
                        business described in clause (i) is inoperable 
                        on any day after August 23, 2017, and before 
                        January 1, 2018, as a result of damage 
                        sustained by reason of Hurricane Harvey.
                    (B) Eligible employee.--The term ``eligible 
                employee'' means with respect to an eligible employer 
                an employee whose principal place of employment on 
                August 23, 2017, with such eligible employer was in the 
                Hurricane Harvey disaster zone.
                    (C) Qualified wages.--The term ``qualified wages'' 
                means wages (as defined in section 51(c)(1) of the 
                Internal Revenue Code of 1986, but without regard to 
                section 3306(b)(2)(B) of such Code) paid or incurred by 
                an eligible employer with respect to an eligible 
                employee on any day after August 23, 2017, and before 
                January 1, 2018, which occurs during the period--
                            (i) beginning on the date on which the 
                        trade or business described in subparagraph (A) 
                        first became inoperable at the principal place 
                        of employment of the employee immediately 
                        before Hurricane Harvey, and
                            (ii) ending on the date on which such trade 
                        or business has resumed significant operations 
                        at such principal place of employment.
                Such term shall include wages paid without regard to 
                whether the employee performs no services, performs 
                services at a different place of employment than such 
                principal place of employment, or performs services at 
                such principal place of employment before significant 
                operations have resumed.
            (3) Certain rules to apply.--For purposes of this 
        subsection, rules similar to the rules of sections 51(i)(1) and 
        52, of the Internal Revenue Code of 1986, shall apply.
            (4) Employee not taken into account more than once.--An 
        employee shall not be treated as an eligible employee for 
        purposes of this subsection for any period with respect to any 
        employer if such employer is allowed a credit under section 51 
        of the Internal Revenue Code of 1986 with respect to such 
        employee for such period.
    (b) Employee Retention Credit for Employers Affected by Hurricane 
Irma.--
            (1) In general.--For purposes of section 38 of the Internal 
        Revenue Code of 1986, in the case of an eligible employer, the 
        Hurricane Irma employee retention credit shall be treated as a 
        credit listed in subsection (b) of such section. For purposes 
        of this subsection, the Hurricane Irma employee retention 
        credit for any taxable year is an amount equal to 40 percent of 
        the qualified wages with respect to each eligible employee of 
        such employer for such taxable year. For purposes of the 
        preceding sentence, the amount of qualified wages which may be 
        taken into account with respect to any individual shall not 
        exceed $6,000.
            (2) Definitions.--For purposes of this subsection--
                    (A) Eligible employer.--The term ``eligible 
                employer'' means any employer--
                            (i) which conducted an active trade or 
                        business on September 4, 2017, in the Hurricane 
                        Irma disaster zone, and
                            (ii) with respect to whom the trade or 
                        business described in clause (i) is inoperable 
                        on any day after September 4, 2017, and before 
                        January 1, 2018, as a result of damage 
                        sustained by reason of Hurricane Irma.
                    (B) Eligible employee.--The term ``eligible 
                employee'' means with respect to an eligible employer 
                an employee whose principal place of employment on 
                September 4, 2017, with such eligible employer was in 
                the Hurricane Irma disaster zone.
                    (C) Qualified wages.--The term ``qualified wages'' 
                means wages (as defined in section 51(c)(1) of the 
                Internal Revenue Code of 1986, but without regard to 
                section 3306(b)(2)(B) of such Code) paid or incurred by 
                an eligible employer with respect to an eligible 
                employee on any day after September 4, 2017, and before 
                January 1, 2018, which occurs during the period--
                            (i) beginning on the date on which the 
                        trade or business described in subparagraph (A) 
                        first became inoperable at the principal place 
                        of employment of the employee immediately 
                        before Hurricane Irma, and
                            (ii) ending on the date on which such trade 
                        or business has resumed significant operations 
                        at such principal place of employment.
                Such term shall include wages paid without regard to 
                whether the employee performs no services, performs 
                services at a different place of employment than such 
                principal place of employment, or performs services at 
                such principal place of employment before significant 
                operations have resumed.
            (3) Certain rules to apply.--For purposes of this 
        subsection, rules similar to the rules of sections 51(i)(1) and 
        52, of the Internal Revenue Code of 1986, shall apply.
            (4) Employee not taken into account more than once.--An 
        employee shall not be treated as an eligible employee for 
        purposes of this subsection for any period with respect to any 
        employer if such employer is allowed a credit under subsection 
        (a), or section 51 of the Internal Revenue Code of 1986, with 
        respect to such employee for such period.
    (c) Employee Retention Credit for Employers Affected by Hurricane 
Maria.--
            (1) In general.--For purposes of section 38 of the Internal 
        Revenue Code of 1986, in the case of an eligible employer, the 
        Hurricane Maria employee retention credit shall be treated as a 
        credit listed in subsection (b) of such section. For purposes 
        of this subsection, the Hurricane Maria employee retention 
        credit for any taxable year is an amount equal to 40 percent of 
        the qualified wages with respect to each eligible employee of 
        such employer for such taxable year. For purposes of the 
        preceding sentence, the amount of qualified wages which may be 
        taken into account with respect to any individual shall not 
        exceed $6,000.
            (2) Definitions.--For purposes of this subsection--
                    (A) Eligible employer.--The term ``eligible 
                employer'' means any employer--
                            (i) which conducted an active trade or 
                        business on September 16, 2017, in the 
                        Hurricane Maria disaster zone, and
                            (ii) with respect to whom the trade or 
                        business described in clause (i) is inoperable 
                        on any day after September 16, 2017, and before 
                        January 1, 2018, as a result of damage 
                        sustained by reason of Hurricane Maria.
                    (B) Eligible employee.--The term ``eligible 
                employee'' means with respect to an eligible employer 
                an employee whose principal place of employment on 
                September 16, 2017, with such eligible employer was in 
                the Hurricane Maria disaster zone.
                    (C) Qualified wages.--The term ``qualified wages'' 
                means wages (as defined in section 51(c)(1) of the 
                Internal Revenue Code of 1986, but without regard to 
                section 3306(b)(2)(B) of such Code) paid or incurred by 
                an eligible employer with respect to an eligible 
                employee on any day after September 16, 2017, and 
                before January 1, 2018, which occurs during the 
                period--
                            (i) beginning on the date on which the 
                        trade or business described in subparagraph (A) 
                        first became inoperable at the principal place 
                        of employment of the employee immediately 
                        before Hurricane Maria, and
                            (ii) ending on the date on which such trade 
                        or business has resumed significant operations 
                        at such principal place of employment.
                Such term shall include wages paid without regard to 
                whether the employee performs no services, performs 
                services at a different place of employment than such 
                principal place of employment, or performs services at 
                such principal place of employment before significant 
                operations have resumed.
            (3) Certain rules to apply.--For purposes of this 
        subsection, rules similar to the rules of sections 51(i)(1) and 
        52, of the Internal Revenue Code of 1986, shall apply.
            (4) Employee not taken into account more than once.--An 
        employee shall not be treated as an eligible employee for 
        purposes of this subsection for any period with respect to any 
        employer if such employer is allowed a credit under subsection 
        (a) or (b), or section 51 of the Internal Revenue Code of 1986, 
        with respect to such employee for such period.

SEC. 504. ADDITIONAL DISASTER-RELATED TAX RELIEF PROVISIONS.

    (a) Temporary Suspension of Limitations on Charitable 
Contributions.--
            (1) In general.--Except as otherwise provided in paragraph 
        (2), subsection (b) of section 170 of the Internal Revenue Code 
        of 1986 shall not apply to qualified contributions and such 
        contributions shall not be taken into account for purposes of 
        applying subsections (b) and (d) of such section to other 
        contributions.
            (2) Treatment of excess contributions.--For purposes of 
        section 170 of the Internal Revenue Code of 1986--
                    (A) Individuals.--In the case of an individual--
                            (i) Limitation.--Any qualified contribution 
                        shall be allowed only to the extent that the 
                        aggregate of such contributions does not exceed 
                        the excess of the taxpayer's contribution base 
                        (as defined in subparagraph (G) of section 
                        170(b)(1) of such Code) over the amount of all 
                        other charitable contributions allowed under 
                        section 170(b)(1) of such Code.
                            (ii) Carryover.--If the aggregate amount of 
                        qualified contributions made in the 
                        contribution year (within the meaning of 
                        section 170(d)(1) of such Code) exceeds the 
                        limitation of clause (i), such excess shall be 
                        added to the excess described in the portion of 
                        subparagraph (A) of such section which precedes 
                        clause (i) thereof for purposes of applying 
                        such section.
                    (B) Corporations.--In the case of a corporation--
                            (i) Limitation.--Any qualified contribution 
                        shall be allowed only to the extent that the 
                        aggregate of such contributions does not exceed 
                        the excess of the taxpayer's taxable income (as 
                        determined under paragraph (2) of section 
                        170(b) of such Code) over the amount of all 
                        other charitable contributions allowed under 
                        such paragraph.
                            (ii) Carryover.--Rules similar to the rules 
                        of subparagraph (A)(ii) shall apply for 
                        purposes of this subparagraph.
            (3) Exception to overall limitation on itemized 
        deductions.--So much of any deduction allowed under section 170 
        of the Internal Revenue Code of 1986 as does not exceed the 
        qualified contributions paid during the taxable year shall not 
        be treated as an itemized deduction for purposes of section 68 
        of such Code.
            (4) Qualified contributions.--
                    (A) In general.--For purposes of this subsection, 
                the term ``qualified contribution'' means any 
                charitable contribution (as defined in section 170(c) 
                of the Internal Revenue Code of 1986) if--
                            (i) such contribution--
                                    (I) is paid during the period 
                                beginning on August 23, 2017, and 
                                ending on December 31, 2017, in cash to 
                                an organization described in section 
                                170(b)(1)(A) of such Code, and
                                    (II) is made for relief efforts in 
                                the Hurricane Harvey disaster area, the 
                                Hurricane Irma disaster area, or the 
                                Hurricane Maria disaster area,
                            (ii) the taxpayer obtains from such 
                        organization contemporaneous written 
                        acknowledgment (within the meaning of section 
                        170(f)(8) of such Code) that such contribution 
                        was used (or is to be used) for relief efforts 
                        described in clause (i)(II), and
                            (iii) the taxpayer has elected the 
                        application of this subsection with respect to 
                        such contribution.
                    (B) Exception.--Such term shall not include a 
                contribution by a donor if the contribution is--
                            (i) to an organization described in section 
                        509(a)(3) of the Internal Revenue Code of 1986, 
                        or
                            (ii) for the establishment of a new, or 
                        maintenance of an existing, donor advised fund 
                        (as defined in section 4966(d)(2) of such 
                        Code).
                    (C) Application of election to partnerships and s 
                corporations.--In the case of a partnership or S 
                corporation, the election under subparagraph (A)(iii) 
                shall be made separately by each partner or 
                shareholder.
    (b) Special Rules for Qualified Disaster-Related Personal Casualty 
Losses.--
            (1) In general.--If an individual has a net disaster loss 
        for any taxable year--
                    (A) the amount determined under section 
                165(h)(2)(A)(ii) of the Internal Revenue Code of 1986 
                shall be equal to the sum of--
                            (i) such net disaster loss, and
                            (ii) so much of the excess referred to in 
                        the matter preceding clause (i) of section 
                        165(h)(2)(A) of such Code (reduced by the 
                        amount in clause (i) of this subparagraph) as 
                        exceeds 10 percent of the adjusted gross income 
                        of the individual,
                    (B) section 165(h)(1) of such Code shall be applied 
                by substituting ``$500'' for ``$500 ($100 for taxable 
                years beginning after December 31, 2009)'',
                    (C) the standard deduction determined under section 
                63(c) of such Code shall be increased by the net 
                disaster loss, and
                    (D) section 56(b)(1)(E) of such Code shall not 
                apply to so much of the standard deduction as is 
                attributable to the increase under subparagraph (C) of 
                this paragraph.
            (2) Net disaster loss.--For purposes of this subsection, 
        the term ``net disaster loss'' means the excess of qualified 
        disaster-related personal casualty losses over personal 
        casualty gains (as defined in section 165(h)(3)(A) of the 
        Internal Revenue Code of 1986).
            (3) Qualified disaster-related personal casualty losses.--
        For purposes of this subsection, the term ``qualified disaster-
        related personal casualty losses'' means losses described in 
        section 165(c)(3) of the Internal Revenue Code of 1986--
                    (A) which arise in the Hurricane Harvey disaster 
                area on or after August 23, 2017, and which are 
                attributable to Hurricane Harvey,
                    (B) which arise in the Hurricane Irma disaster area 
                on or after September 4, 2017, and which are 
                attributable to Hurricane Irma, or
                    (C) which arise in the Hurricane Maria disaster 
                area on or after September 16, 2017, and which are 
                attributable to Hurricane Maria.
    (c) Special Rule for Determining Earned Income.--
            (1) In general.--In the case of a qualified individual, if 
        the earned income of the taxpayer for the taxable year which 
        includes the applicable date is less than the earned income of 
        the taxpayer for the preceding taxable year, the credits 
        allowed under sections 24(d) and 32 of the Internal Revenue 
        Code of 1986 may, at the election of the taxpayer, be 
        determined by substituting--
                    (A) such earned income for the preceding taxable 
                year, for
                    (B) such earned income for the taxable year which 
                includes the applicable date.
        In the case of a resident of Puerto Rico determining the credit 
        allowed under section 24(d)(1)(B)(ii) of such Code, the 
        preceding sentence shall be applied by substituting ``social 
        security taxes (as defined in section 24(d)(2)(A) of the 
        Internal Revenue Code of 1986)'' for ``earned income'' each 
        place it appears.
            (2) Qualified individual.--For purposes of this 
        subsection--
                    (A) In general.--The term ``qualified individual'' 
                means any qualified Hurricane Harvey individual, any 
                qualified Hurricane Irma individual, and any qualified 
                Hurricane Maria individual.
                    (B) Qualified hurricane harvey individual.--The 
                term ``qualified Hurricane Harvey individual'' means 
                any individual whose principal place of abode on August 
                23, 2017, was located--
                            (i) in the Hurricane Harvey disaster zone, 
                        or
                            (ii) in the Hurricane Harvey disaster area 
                        (but outside the Hurricane Harvey disaster 
                        zone) and such individual was displaced from 
                        such principal place of abode by reason of 
                        Hurricane Harvey.
                    (C) Qualified hurricane irma individual.--The term 
                ``qualified Hurricane Irma individual'' means any 
                individual (other than a qualified Hurricane Harvey 
                individual) whose principal place of abode on September 
                4, 2017, was located--
                            (i) in the Hurricane Irma disaster zone, or
                            (ii) in the Hurricane Irma disaster area 
                        (but outside the Hurricane Irma disaster zone) 
                        and such individual was displaced from such 
                        principal place of abode by reason of Hurricane 
                        Irma.
                    (D) Qualified hurricane maria individual.--The term 
                ``qualified Hurricane Maria individual'' means any 
                individual (other than a qualified Hurricane Harvey 
                individual or a qualified Hurricane Irma individual) 
                whose principal place of abode on September 16, 2017, 
                was located--
                            (i) in the Hurricane Maria disaster zone, 
                        or
                            (ii) in the Hurricane Maria disaster area 
                        (but outside the Hurricane Maria disaster zone) 
                        and such individual was displaced from such 
                        principal place of abode by reason of Hurricane 
                        Maria.
            (3) Applicable date.--For purposes of this subsection, the 
        term ``applicable date'' means--
                    (A) in the case of a qualified Hurricane Harvey 
                individual, August 23, 2017,
                    (B) in the case of a qualified Hurricane Irma 
                individual, September 4, 2017, and
                    (C) in the case of a qualified Hurricane Maria 
                individual, September 16, 2017.
            (4) Earned income.--For purposes of this subsection, the 
        term ``earned income'' has the meaning given such term under 
        section 32(c) of the Internal Revenue Code of 1986.
            (5) Special rules.--
                    (A) Application to joint returns.--For purposes of 
                paragraph (1), in the case of a joint return for a 
                taxable year which includes the applicable date--
                            (i) such paragraph shall apply if either 
                        spouse is a qualified individual, and
                            (ii) the earned income of the taxpayer for 
                        the preceding taxable year shall be the sum of 
                        the earned income of each spouse for such 
                        preceding taxable year.
                    (B) Uniform application of election.--Any election 
                made under paragraph (1) shall apply with respect to 
                both sections 24(d) and 32, of the Internal Revenue 
                Code of 1986.
                    (C) Errors treated as mathematical error.--For 
                purposes of section 6213 of the Internal Revenue Code 
                of 1986, an incorrect use on a return of earned income 
                pursuant to paragraph (1) shall be treated as a 
                mathematical or clerical error.
                    (D) No effect on determination of gross income, 
                etc.--Except as otherwise provided in this subsection, 
                the Internal Revenue Code of 1986 shall be applied 
                without regard to any substitution under paragraph (1).
    (d) Application of Disaster-Related Tax Relief to Possessions of 
the United States.--
            (1) Payments to possessions.--The Secretary of the Treasury 
        shall pay to each possession of the United States with a mirror 
        code tax system amounts equal to the loss in revenues to that 
        possession by reason of subsection (c). Such amounts shall be 
        determined by the Secretary of the Treasury based on 
        information provided by the government of the respective 
        possession.
            (2) Definition and special rules.--
                    (A) Mirror code tax system.--For purposes of this 
                subsection, the term ``mirror code tax system'' means, 
                with respect to any possession of the United States, 
                the income tax system of such possession if the income 
                tax liability of the residents of such possession under 
                such system is determined by reference to the income 
                tax laws of the United States as if such possession 
                were the United States.
                    (B) Treatment of payments.--For purposes of section 
                1324 of title 31, United States Code, the payments 
                under this subsection shall be treated in the same 
                manner as a refund due from a credit provision referred 
                to in subsection (b)(2) of such section.
                    (C) Coordination with united states income taxes.--
                In the case of any person with respect to whom a tax 
                benefit is taken into account with respect to the taxes 
                imposed by any possession of the United States by 
                reason of this title, the Internal Revenue Code of 1986 
                shall be applied with respect to such person without 
                regard to the provisions of this title which provide 
                such benefit.

SEC. 505. BUDGETARY EFFECTS.

    (a) Emergency Designation.--This title is designated as an 
emergency requirement pursuant to section 4(g) of the Statutory Pay-As-
You-Go Act of 2010 (2 U.S.C. 933(g)).
    (b) Designation in Senate.--In the Senate, this title is designated 
as an emergency requirement pursuant to section 403(a) of S. Con. Res. 
13 (111th Congress), the concurrent resolution on the budget for fiscal 
year 2010.
                                 <all>