In this task, you are given text for US Congressional and California state bills, your task is to generate a summary for this bill.

Q: SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Reducing Lead in Drinking Water 
Act''.

SEC. 2. REDUCING LEAD IN DRINKING WATER.

    (a) Definition of Lead Service Line.--Section 1401 of the Safe 
Drinking Water Act (42 U.S.C. 300f) is amended by adding at the end the 
following new paragraph:
            ``(17) Lead service line.--The term `lead service line' 
        means a service line that is not lead free (within the meaning 
        of section 1417).''.
    (b) Replacing Lead Service Lines.--Section 1417 of the Safe 
Drinking Water Act (42 U.S.C. 300g-6) is amended by adding at the end 
the following:
    ``(f) Replacing Lead Service Lines.--
            ``(1) Definitions.--In this subsection:
                    ``(A) Eligible entity.--The term `eligible entity' 
                means--
                            ``(i) an owner or operator of a public 
                        water system;
                            ``(ii) a qualified nonprofit organization, 
                        as determined by the Administrator; or
                            ``(iii) a municipality or a State, 
                        interstate, or intermunicipal agency.
                    ``(B) Lead pipe replacement program.--The term 
                `lead pipe replacement program' means a project or 
                activity the primary purpose of which is to eliminate 
                lead in water for human consumption by--
                            ``(i) replacing lead service lines;
                            ``(ii) testing, planning, or carrying out 
                        other relevant activities, as determined by the 
                        Administrator, to identify the location and 
                        condition of lead service lines; or
                            ``(iii) providing assistance to low-income 
                        homeowners to replace privately owned lead 
                        service lines.
                    ``(C) Low-income homeowner.--The term `low-income 
                homeowner' has such meaning as may be given the term by 
                the Governor of the applicable State.
            ``(2) Grant program.--
                    ``(A) Establishment.--Not later than 180 days after 
                the date of enactment of this subsection, the 
                Administrator shall establish a grant program to 
                provide assistance to eligible entities for lead pipe 
                replacement programs.
                    ``(B) Evaluation.--In determining whether to 
                provide assistance to an eligible entity under this 
                subsection, the Administrator shall evaluate whether 
                the eligible entity has--
                            ``(i) a current inventory of lead service 
                        lines in the applicable public water system;
                            ``(ii) a plan to notify customers of such 
                        public water system of the replacement of any 
                        publicly owned portion of a lead service line;
                            ``(iii) a plan to replace the privately 
                        owned portion of a lead service line at the 
                        cost of replacement;
                            ``(iv) a plan for a program of assistance 
                        to low-income homeowners to replace the 
                        privately owned portion of lead service lines; 
                        or
                            ``(v) a plan of recommended measures to 
                        avoid exposure of the public to short-term 
                        increases in lead levels following a lead 
                        service line replacement.
                    ``(C) Priority application.--In providing 
                assistance under this subsection, the Administrator 
                shall give priority to an eligible entity that--
                            ``(i) will carry out a lead pipe 
                        replacement program at a public water system 
                        that has exceeded the lead action level 
                        established by the Administrator at any time 
                        during the 3-year period preceding the date of 
                        submission of the application of the eligible 
                        entity;
                            ``(ii) will address lead levels in water 
                        for human consumption at a school, daycare, or 
                        other facility that primarily serves children 
                        or subpopulations at greater risk as identified 
                        under section 1458(a);
                            ``(iii) will include in the lead pipe 
                        replacement program a program to provide 
                        assistance to low-income homeowners; or
                            ``(iv) addresses such priority criteria as 
                        the Administrator may establish, consistent 
                        with the goal of reducing lead in water for 
                        human consumption.
                    ``(D) Cost sharing.--
                            ``(i) In general.--Subject to clause (ii), 
                        the non-Federal share of the total cost of a 
                        program funded by a grant provided under this 
                        subsection shall be not less than 20 percent.
                            ``(ii) Waiver.--The Administrator may 
                        reduce or eliminate the non-Federal share 
                        required under clause (i) for reasons of 
                        affordability, as the Administrator determines 
                        to be appropriate.
                    ``(E) Low-income homeowner assistance.--
                            ``(i) In general.--Subject to clause (ii), 
                        an eligible entity may use a grant provided 
                        under this subsection to provide assistance to 
                        low-income homeowners to replace privately 
                        owned lead service lines.
                            ``(ii) Limitation.--The amount of 
                        assistance provided to an individual low-income 
                        homeowner under this subparagraph shall not 
                        exceed $10,000.
            ``(3) Guidance.--Not later than 180 days after the date of 
        enactment of this subsection, the Administrator shall, in 
        cooperation with States and qualified nonprofit organizations, 
        develop guidance for owners and operators of public water 
        systems to assist such owners and operators in the preparation 
        of an inventory of lead service lines in their public water 
        system.
            ``(4) Authorization of appropriations.--There are 
        authorized to be appropriated to carry out this subsection 
        $100,000,000 for each of fiscal years 2017 through 2021.''.

A: Reducing Lead in Drinking Water Act This bill amends the Safe Drinking Water Act to direct the Environmental Protection Agency to establish a grant program to remove lead service lines from public water systems. Grant recipients may use grant funds to assist low-income homeowners with replacing privately owned lead service lines.
****
Q: SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Terrorism Insurance Backstop 
Extension Act of 2005''.

SEC. 2. EXTENSION OF TERRORISM INSURANCE PROGRAM.

    (a) Program Years 4 and 5.--Paragraph (11) of section 102 of the 
Terrorism Risk Insurance Act of 2002 (15 U.S.C. 6701 note) is amended 
by adding at the end the following new subparagraphs:
                    ``(E) Program year 4.--The term `Program Year 4' 
                means the period beginning on January 1, 2006 and 
                ending on December 31, 2006.
                    ``(F) Program year 5.--The term `Program Year 5' 
                means the period beginning on January 1, 2007 and 
                ending on December 31, 2007.''.
    (b) Insurer Deductible.--Paragraph (7) of section 102 of the 
Terrorism Risk Insurance Act of 2002 (15 U.S.C. 6701 note) is amended--
            (1) by redesignating subparagraph (E) as subparagraph (H);
            (2) in subparagraph (D), by striking ``and'' at the end;
            (3) by inserting after subparagraph (D) the following new 
        subparagraphs:
                    ``(E) for Program Year 4, the value of an insurer's 
                direct earned premiums over the calendar year 
                immediately preceding Program Year 4, multiplied by 15 
                percent;
                    ``(F) for Program Year 5, the value of an insurer's 
                direct earned premiums over the calendar year 
                immediately preceding Program Year 4, multiplied by 20 
                percent; and'';
            (4) in subparagraph (H) (as so redesignated by paragraph 
        (1) of this subsection)--
                    (A) by striking ``(D)'' and inserting ``(F)''; and
                    (B) by striking ``or Program Year 3'' and inserting 
                ``Program Year 3, Program Year 4, or Program Year 5''.
    (c) Mandatory Availability.--Subsection (c) of section 103 of the 
Terrorism Risk Insurance Act of 2002 (15 U.S.C. 6701 note) is amended--
            (1) by striking all of the matter that precedes 
        subparagraph (A) of paragraph (1) and inserting the following:
    ``(c) Mandatory Availability.--During the Program, each entity that 
meets the definition of an insurer under section 102--'';
            (2) by striking paragraph (2); and
            (3) by redesignating subparagraphs (A) and (B) as 
        paragraphs (1) and (2) and realigning such paragraphs, as so 
        redesignated, so as to be indented 2 ems from the left margin.
    (d) Insured Loss Shared Compensation.--Subsection (e) of section 
103 of the Terrorism Risk Insurance Act of 2002 (15 U.S.C. 6701 note) 
is amended--
            (1) in paragraph (2)(A), by striking ``or Program Year 3'' 
        and inserting ``, Program Year 3, Program Year 4, Program Year 
        5, or the final Program Year'';
            (2) in paragraph (3), by striking ``or Program Year 3'' and 
        inserting ``, Program Year 3, Program Year 4, Program Year 5, 
        or the final Program Year'';
            (3) in paragraph (6)--
                    (A) in subparagraph (B), by striking ``and'' at the 
                end;
                    (B) in subparagraph (C) by striking the period at 
                the end and inserting a semicolon; and
                    (C) by adding at the end the following new 
                subparagraphs:
                    ``(D) for Program Year 4, the lesser of--
                            ``(i) $17,500,000,000; and
                            ``(ii) the aggregate amount, for all 
                        insurers, of insured losses during such Program 
                        Year;
                    ``(E) for each of Program Year 5 and the Final 
                Program Year, the lesser of--
                            ``(i) $20,000,000,000; and
                            ``(ii) the aggregate amount, for all 
                        insurers, of insured losses during such Program 
                        Year; and''; and
            (4) in paragraph (7)--
                    (A) in subparagraph (A), by striking ``and (C)'' 
                and inserting ``(C), (D), and (E)''; and
                    (B) in subparagraphs (B) and (C), by striking ``or 
                (C)'' each place such term appears and inserting ``(C), 
                (D), or (E)''.
    (e) Coverage of Group Life Insurance.--
            (1) In general.--Paragraph (5) of section 102 of the 
        Terrorism Risk Insurance Act of 2002 (15 U.S.C. 6701 note) is 
        amended in the matter that precedes subparagraph (A) by 
        inserting ``or group life'' after ``property and casualty''.
            (2) Technical and conforming amendments.--The Terrorism 
        Risk Insurance Act of 2002 (15 U.S.C. 6701 note) is amended--
                    (A) in section 102--
                            (i) in paragraph (1)--
                                    (I) in subparagraph (B)(i), by 
                                inserting ``or group life insurance'' 
                                after ``workers' compensation''; and
                                    (II) in subparagraph (B)(ii), by 
                                inserting ``and group life insurance'' 
                                after ``property and casualty 
                                insurance'';
                            (ii) in paragraph (4)--
                                    (I) by inserting ``or for group 
                                life insurance'' after ``property and 
                                casualty insurance''; and
                                    (II) by striking ``paragraph (5)'' 
                                and inserting ``paragraph (6)'';
                            (iii) in paragraph (5), by inserting ``and 
                        group life insurance'' after ``workers' 
                        compensation''; and
                            (iv) in paragraph (6)--
                                    (I) in subparagraph (A)(i), by 
                                inserting ``property and casualty or 
                                group life'' after ``excess'';
                                    (II) in subparagraph (B), by 
                                inserting ``or group life insurance 
                                coverage'' after ``property and 
                                casualty insurance coverage'';
                            (v) by redesignating paragraphs (5) through 
                        (16) as paragraphs (6) through (17), 
                        respectively; and
                            (vi) by inserting after paragraph (4), the 
                        following new paragraph:
            ``(5) Group life insurance.--The term `group life 
        insurance' means an insurance contract that provides term life 
        insurance coverage, accidental death coverage, or a combination 
        thereof, for a number of persons under a single contract, on 
        the basis of a group selection of risks.'';
                    (B) in section 103--
                            (i) in subsection (b)(1), by inserting 
                        ``(including a named beneficiary in the case of 
                        a group life insurance policy)'' before the 
                        second comma;
                            (ii) in subsection (c)--
                                    (I) in paragraph (1) (as so 
                                redesignated by subsection (c)(3) of 
                                this section), by inserting ``and group 
                                life'' after ``property and casualty''; 
                                and
                                    (II) in paragraph (2) (as so 
                                redesignated by subsection (c)(3) of 
                                this section), by inserting ``and group 
                                life'' after ``property and casualty'';
                            (iii) in subsection (e)--
                                    (I) in paragraph (6), by striking 
                                ``For'' and inserting ``Except as 
                                provided in subparagraph (F) of this 
                                paragraph, for'';
                                    (II) in paragraph (6), by inserting 
                                after subparagraph (E) (as added by 
                                subsection (d)(3)(C) of this section) 
                                the following new subparagraph:
                    ``(F) for each of the periods referred to in 
                subparagraphs (A) through (E), the amounts provided 
                under such subparagraphs, as such amounts shall be 
                increased by the Secretary before the expiration of the 
                90-day period beginning on the date of the enactment of 
                the Terrorism Insurance Backstop Extension Act of 2005, 
                based on the increase in the size of the Program caused 
                by the inclusion of group life insurance pursuant to 
                such Act, in proportion to the increased premiums 
                involved.'';
                                    (III) in paragraph (7)(C), by 
                                inserting ``or group life insurance'' 
                                after ``workers compensation'';
                                    (IV) in paragraph (8)(A)(i), by 
                                inserting ``and group life'' after 
                                ``property and casualty''; and
                                    (V) in paragraph (8), by inserting 
                                ``or group life'' after ``property and 
                                casualty'' each place such term appears 
                                in subparagraphs (A)(iii) and (C); and
                            (iv) by striking subsection (h);
                    (C) in section 105(c), by inserting ``or group 
                life'' after ``property and casualty''; and
                    (D) in section 108(d)(1), by inserting ``and the 
                group life insurance industry'' after ``property and 
                casualty insurance industry''.
            (3) Required rulemaking.--Not later than 90 days after the 
        date of the enactment of this Act, the Secretary of the 
        Treasury shall issue final regulations to carry out this 
        subsection.
    (f) Study on Long-Term Solutions.--Section 103 of the Terrorism 
Risk Insurance Act of 2002 (15 U.S.C. 6701 note) is amended by striking 
subsection (i) and inserting the following new subsection:
    ``(h) Study on Long-Term Solutions.--By September 1, 2005, the 
Secretary shall conduct a study and submit a report to the Congress on 
alternatives for expanding the availability and affordability of 
terrorism insurance after the termination of the Program that do not 
involve a Federal financial backstop.''.
    (g) Termination of Program.--
            (1) Termination.--Subsection (a) of section 108 of the 
        Terrorism Risk Insurance Act of 2002 (15 U.S.C. 6701 note) is 
        amended by striking ``December 31, 2005'' and inserting 
        ``December 31, 2007''.
            (2) Final gao study and report.--Subsection (d) of section 
        108 of the Terrorism Risk Insurance Act of 2002 (15 U.S.C. 6701 
        note) is amended by adding at the end the following new 
        paragraph:
            ``(3) Final gao study and report.--The Comptroller General 
        of the United States shall conduct an assessment of the matters 
        referred to in paragraph (1) and shall submit a report to the 
        Congress, not later than June 30, 2007, on the results of such 
        study.''.

SEC. 3. FINAL PROGRAM YEAR.

    (a) Definition.--Paragraph (11) of section 102 of the Terrorism 
Risk Insurance Act of 2002 (15 U.S.C. 6701 note), as amended by the 
preceding provisions of this Act, is further amended by adding at the 
end the following new subparagraph:
                    ``(G) Final program year.--The term `Final Program 
                Year' means the period beginning on January, 1, 2008 
                and ending on December 31, 2008.''. ''.
    (b) Insured Losses.--Paragraph (5) of section 102 of the Terrorism 
Risk Insurance Act of 2002 (15 U.S.C. 6701 note) is amended by adding 
after and below subparagraph (B) the following new sentence:
        ``With respect to the Final Program Year, such term means only 
        such losses as are described in the preceding sentence that are 
        covered by primary or excess property and casualty insurance or 
        group life insurance, that is issued before January 1, 2008, 
        and expires not later than December 31, 2008; except that the 
        Secretary may exclude from insured losses for the Final Program 
        Year losses covered by a policy for such insurance if the 
        Secretary determines that the primary purpose in establishing 
        the particular term of the policy was obtaining compensation 
        under the Program for losses covered by the policy.''.
    (c) Insurer Deductible.--Paragraph (7) of section 102 of the 
Terrorism Risk Insurance Act of 2002 (15 U.S.C. 6701 note), as amended 
by the preceding provisions of this Act, is further amended by 
inserting after subparagraph (F) the following new subparagraph:
                    ``(G) for the Final Program Year, the value of an 
                insurer's direct earned premiums for the terms 
                remaining under any policies for insurance described in 
                the last sentence of paragraph (5) as of the occurrence 
                of the act of terrorism during such Year that results 
                in insured losses, as determined by the Secretary, 
                multiplied by 20 percent; and''.

A: Terrorism Insurance Backstop Extension Act of 2005 - Amends the Terrorism Risk Insurance Act of 2002 to define: (1) the term "Program Year 4" as the period from January 1, 2006, through December 31, 2006; and (2) the term "Program Year 5" as the period from January 1, 2007, from December 31, 2007 (thereby extending the terrorism risk insurance program from 2005 through 2007).

Sets a deadline for the Secretary of the Treasury to make a final determination regarding: (1) the availability of group life insurance to both insurers and consumers; and (2) whether certain provisions of the Act shall be applied to providers of group life insurance.

Sunsets the Terrorism Risk Insurance Program after December 31, 2007.

Details the treatment of insured losses and the insurer deductible for the Final Program Year (January 1, 2008, through December 31, 2008).
****
Q: SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Independent Contractor 
Simplification and Relief Act of 1999''.

SEC. 2. SAFE HARBOR FOR DETERMINING THAT CERTAIN INDIVIDUALS ARE NOT 
              EMPLOYEES.

    (a) In General.--Chapter 25 (relating to general provisions 
relating to employment taxes) is amended by adding after section 3510 
the following new section:

``SEC. 3511. SAFE HARBOR FOR DETERMINING THAT CERTAIN INDIVIDUALS ARE 
              NOT EMPLOYEES.

    ``(a) Safe Harbor.--
            ``(1) In general.--For purposes of this title, if the 
        requirements of subsections (b), (c), and (d), or the 
        requirements of subsections (d) and (e), are met with respect 
        to any service performed by any individual, then with respect 
        to such service--
                    ``(A) the service provider shall not be treated as 
                an employee,
                    ``(B) the service recipient shall not be treated as 
                an employer,
                    ``(C) the payor shall not be treated as an 
                employer, and
                    ``(D) compensation paid or received for such 
                service shall not be treated as paid or received with 
                respect to employment.
            ``(2) Availability of safe harbor not to limit application 
        of other laws.--Nothing in this section shall be construed--
                    ``(A) as limiting the ability of a service 
                provider, service recipient, or payor to apply other 
                provisions of this title, section 530 of the Revenue 
                Act of 1978, or the common law in determining whether 
                an individual is not an employee, or
                    ``(B) as a prerequisite for the application of any 
                provision of law described in subparagraph (A).
    ``(b) Service Provider Requirements With Regard to the Service 
Recipient.--For purposes of subsection (a), the requirements of this 
subsection are met if the service provider, in connection with 
performing the service--
            ``(1) has the ability to realize a profit or loss,
            ``(2) agrees to perform services for a particular amount of 
        time or to complete a specific result or task, and
            ``(3) either--
                    ``(A) incurs unreimbursed expenses which are 
                ordinary and necessary to the service provider's 
                industry and which represent an amount equal to at 
                least 2 percent of the service provider's adjusted 
                gross income attributable to services performed 
                pursuant to 1 or more contracts described in subsection 
                (d), or
                    ``(B) has a significant investment in assets.
    ``(c) Additional Service Provider Requirements With Regard to 
Others.--For the purposes of subsection (a), the requirements of this 
subsection are met if the service provider--
            ``(1) has a principal place of business,
            ``(2) does not primarily provide the service at a single 
        service recipient's facilities,
            ``(3) pays a fair market rent for use of the service 
        recipient's facilities, or
            ``(4) operates primarily from equipment not supplied by the 
        service recipient.
    ``(d) Written Document Requirements.--For purposes of subsection 
(a), the requirements of this subsection are met if the services 
performed by the service provider are performed pursuant to a written 
contract between such service provider and the service recipient, or 
the payor, and such contract provides that the service provider will 
not be treated as an employee with respect to such services for Federal 
tax purposes and that the service provider is responsible for the 
provider's own Federal, State, and local income taxes, including self-
employment taxes and any other taxes.
    ``(e) Business Structure and Benefits Requirements.--For purposes 
of subsection (a), the requirements of this subsection are met if the 
service provider--
            ``(1) conducts business as a properly constituted 
        corporation or limited liability company under applicable State 
        laws, and
            ``(2) does not receive from the service recipient or payor 
        any benefits that are provided to employees of the service 
        recipient.
    ``(f) Special Rules.--For purposes of this section--
            ``(1) Failure to meet reporting requirements.--If for any 
        taxable year any service recipient or payor fails to meet the 
        applicable reporting requirements of section 6041(a) or 
        6041A(a) with respect to a service provider, then, unless the 
        failure is due to reasonable cause and not willful neglect, the 
        safe harbor provided by this section for determining whether 
        individuals are not employees shall not apply to such service 
        recipient or payor with respect to that service provider.
            ``(2) Corporation and limited liability company service 
        providers.--
                    ``(A) Returns required.--If, for any taxable year, 
                any corporation or limited liability company fails to 
                file all Federal income and employment tax returns 
                required under this title, unless the failure is due to 
                reasonable cause and not willful neglect, subsection 
                (e) shall not apply to such corporation or limited 
                liability company.
                    ``(B) Reliance by service recipient or payor.--If a 
                service recipient or a payor--
                            ``(i) obtains a written statement from a 
                        service provider which states that the service 
                        provider is a properly constituted corporation 
                        or limited liability company, provides the 
                        State (or in the case of a foreign entity, the 
                        country), and year of, incorporation or 
                        formation, provides a mailing address, and 
                        includes the service provider's employer 
                        identification number, and
                            ``(ii) makes all payments attributable to 
                        services performed pursuant to 1 or more 
                        contracts described in subsection (d) to such 
                        corporation or limited liability company,
                then the requirements of subsection (e)(1) shall be 
                deemed to have been satisfied.
                    ``(C) Availability of safe harbor.--
                            ``(i) In general.--For purposes of this 
                        section, unless otherwise established to the 
                        satisfaction of the Secretary, the number of 
                        covered workers which are not treated as 
                        employees by reason of subsection (e) for any 
                        calendar year shall not exceed the threshold 
                        number for the calendar year.
                            ``(ii) Threshold number.--For purposes of 
                        this paragraph, the term `threshold number' 
                        means, for any calendar year, the greater of 
                        (I) 10 covered workers, or (II) a number equal 
                        to 3 percent of covered workers.
                            ``(iii) Covered worker.--For purposes of 
                        this paragraph, the term `covered worker' means 
                        an individual for whom the service recipient or 
                        payor paid employment taxes under subtitle C in 
                        all 4 quarters of the preceding calendar year.
            ``(3) Burden of proof.--For purposes of subsection (a), 
        if--
                    ``(A) a service provider, service recipient, or 
                payor establishes a prima facie case that it was 
                reasonable not to treat a service provider as an 
                employee for purposes of this section, and
                    ``(B) the service provider, service recipient, or 
                payor has fully cooperated with reasonable requests 
                from the Secretary or his delegate,
        then the burden of proof with respect to such treatment shall 
        be on the Secretary.
            ``(4) Related entities.--If the service provider is 
        performing services through an entity owned in whole or in part 
        by such service provider, the references to service provider in 
        subsections (b) through (e) shall include such entity if the 
        written contract referred to in subsection (d) is with such 
        entity.
    ``(g) Determinations by the Secretary.--For purposes of this 
title--
            ``(1) In general.--
                    ``(A) Determinations with respect to a service 
                recipient or a payor.--A determination by the Secretary 
                that a service recipient or a payor should have treated 
                a service provider as an employee shall be effective no 
                earlier than the notice date if--
                            ``(i) the service recipient or the payor 
                        entered into a written contract satisfying the 
                        requirements of subsection (d),
                            ``(ii) the service recipient or the payor 
                        satisfied the applicable reporting requirements 
                        of section 6041(a) or 6041A(a) for all taxable 
                        years covered by the contract described in 
                        clause (i), and
                            ``(iii) the service recipient or the payor 
                        demonstrates a reasonable basis for determining 
                        that the service provider is not an employee 
                        and that such determination was made in good 
                        faith.
                    ``(B) Determinations with respect to a service 
                provider.--A determination by the Secretary that a 
                service provider should have been treated as an 
                employee shall be effective no earlier than the notice 
                date if--
                            ``(i) the service provider entered into a 
                        contract satisfying the requirements of 
                        subsection (d),
                            ``(ii) the service provider satisfied the 
                        applicable reporting requirements of sections 
                        6012(a) and 6017 for all taxable years covered 
                        by the contract described in clause (i), and
                            ``(iii) the service provider demonstrates a 
                        reasonable basis for determining that the 
                        service provider is not an employee and that 
                        such determination was made in good faith.
                    ``(C) Reasonable cause exception.--The requirements 
                of subparagraph (A)(ii) or (B)(ii) shall be treated as 
                being met if the failure to satisfy the applicable 
                reporting requirements is due to reasonable cause and 
                not willful neglect.
            ``(2) Construction.--Nothing in this subsection shall be 
        construed as limiting any provision of law that provides an 
        opportunity for administrative or judicial review of a 
        determination by the Secretary.
            ``(3) Notice date.--For purposes of this subsection, the 
        notice date is the 30th day after the earlier of--
                    ``(A) the date on which the first letter of 
                proposed deficiency that allows the service provider, 
                the service recipient, or the payor an opportunity for 
                administrative review in the Internal Revenue Service 
                Office of Appeals is sent, or
                    ``(B) the date on which the deficiency notice under 
                section 6212 is sent.
    ``(h) Definitions.--For the purposes of this section--
            ``(1) Service provider.--The term `service provider' means 
        any individual who performs a service for another person.
            ``(2) Service recipient.--Except as provided in paragraph 
        (4), the term `service recipient' means the person for whom the 
        service provider performs such service.
            ``(3) Payor.--Except as provided in paragraph (4), the term 
        `payor' means the person who pays the service provider for the 
        performance of such service in the event that the service 
        recipient does not pay the service provider.
            ``(4) Exceptions.--The terms `service recipient' and 
        `payor' do not include any entity in which the service provider 
        owns in excess of 5 percent of--
                    ``(A) in the case of a corporation, the total 
                combined voting power of stock in the corporation, or
                    ``(B) in the case of an entity other than a 
                corporation, the profits or beneficial interests in the 
                entity.
            ``(5) In connection with performing the service.--The term 
        `in connection with performing the service' means in connection 
        or related to the operation of the service provider's trade or 
        business.
            ``(6) Principal place of business.--For purposes of 
        subsection (c), the term `principal place of business' has the 
        same meaning as under section 280A(c)(1) (as in effect for 
        taxable years beginning after December 31, 1998).
            ``(7) Fair market rent.--The term `fair market rent' means 
        a periodic, fixed minimum rental fee which is based on the fair 
        rental value of the facilities and is established pursuant to a 
        written contract with terms similar to those offered to 
        unrelated persons for facilities of similar type and quality.''
    (b) Repeal of Section 530(d) of the Revenue Act of 1978.--Section 
530(d) of the Revenue Act of 1978 (as added by section 1706 of the Tax 
Reform Act of 1986) is repealed.
    (c) Clerical Amendment.--The table of sections for chapter 25 of 
the Internal Revenue Code of 1986 is amended by adding at the end the 
following new item:

                              ``Sec. 3511. Safe harbor for determining 
                                        that certain individuals are 
                                        not employees.''
    (d) Effective Dates.--
            (1) In general.--The amendments made by this section shall 
        apply to services performed after the date of the enactment of 
        this Act.
            (2) Determinations by the secretary.--Section 3511(g) of 
        the Internal Revenue Code of 1986 (as added by subsection (a)) 
        shall apply to determinations after the date of the enactment 
        of this Act.
            (3) Section 531(d).--The amendment made by subsection (b) 
        shall apply to periods ending after the date of the enactment 
        of this Act.

A:
Amends the Revenue Act of 1978, as amended by the Tax Reform Act of 1986 to repeal the prohibition on treating certain technical service providers as independent contractors.
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