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

[EX Q]: SECTION 1. SHORT TITLE.

    This Act may be cited as the ``End-User Protection Act of 2014''.

SEC. 2. DEFINITIONS.

    (a) In General.--Section 1a of the Commodity Exchange Act (7 U.S.C. 
1a) is amended--
            (1) by redesignating paragraphs (8) through (51) as 
        paragraphs (9) through (52), respectively;
            (2) by inserting after paragraph (7) the following:
            ``(8) Commercial market participant.--The term `commercial 
        market participant' means any producer, processor, merchant, or 
        commercial user of an exempt or agricultural commodity, or the 
        products or by-products of an exempt or agricultural 
        commodity.'';
            (3) in subparagraph (B) of paragraph (48) (as so 
        redesignated), by striking clause (ii) and inserting the 
        following:
                            ``(ii) any purchase or sale of a 
                        nonfinancial commodity or security for deferred 
                        shipment or delivery, so long as the 
                        transaction is intended to be physically 
                        settled, including any stand-alone or embedded 
                        option for which exercise would result in a 
                        physical delivery obligation;''; and
            (4) in paragraph (50) (as redesignated by paragraph (1)), 
        by striking subparagraph (D) and inserting the following:
                    ``(D) De minimis exception.--
                            ``(i) In general.--The Commission shall 
                        exempt from designation as a swap dealer an 
                        entity that engages in a de minimis quantity of 
                        swap dealing (which shall not be less than 
                        $8,000,000,000) in connection with transactions 
                        with or on behalf of its customers.
                            ``(ii) Regulations.--The Commission shall 
                        promulgate regulations to establish the factors 
                        to be used in a determination under clause (i) 
                        to exempt, including any monetary or other 
                        levels established by the Commission, and those 
                        levels shall only be amended or changed through 
                        an affirmative action of the Commission 
                        undertaken by rule or regulation.''.
    (b) Financial Entity.--Section 2(h)(7)(C) of the Commodity Exchange 
Act (7 U.S.C. 2(h)(7)(C)) is amended--
            (1) in clause (iii)--
                    (A) by striking ``an entity whose'' and inserting 
                the following: ``an entity--
                                    ``(I) whose'';
                    (B) by striking the period at the end and inserting 
                a semicolon; and
                    (C) by adding at the end the following:
                                    ``(II) that is--
                                            ``(aa) a commercial market 
                                        participant;
                                            ``(bb) included in clause 
                                        (i)(VIII); and
                                            ``(cc) not supervised by a 
                                        prudential regulator; or
                                    ``(III) that is included in clause 
                                (i)(VIII) because--
                                            ``(aa) the entity regularly 
                                        enters into foreign exchange or 
                                        derivatives transactions on 
                                        behalf of, or to hedge or 
                                        mitigate, whether directly or 
                                        indirectly, the commercial risk 
                                        of 1 or more entities within 
                                        the same commercial enterprise 
                                        as the entity; or
                                            ``(bb) of the making of 
                                        loans to 1 or more entities 
                                        within the same commercial 
                                        enterprise as the entity.''; 
                                        and
            (2) by adding at the end the following:
                            ``(iv) Same commercial enterprise.--For 
                        purposes of clause (iii)(III), an entity shall 
                        be considered to be within the same commercial 
                        enterprise as another entity if--
                                    ``(I) 1 of the entities owns, 
                                directly or indirectly, at least a 
                                majority ownership interest in the 
                                other entity and reports its financial 
                                statements on a consolidated basis and 
                                the consolidated financial statements 
                                include the financial results of both 
                                entities; or
                                    ``(II) a third party owns at least 
                                a majority ownership interest in both 
                                entities and reports its financial 
                                statements on a consolidated basis and 
                                the financial statements of the third 
                                party include the financial results of 
                                both entities.
                            ``(v) Predominantly engaged.--
                                    ``(I) In general.--Not later than 
                                90 days after the date of enactment of 
                                this clause, the Commission shall 
                                promulgate regulations defining the 
                                term `predominantly engaged' for 
                                purposes of clause (i)(VIII).
                                    ``(II) Minimum revenues.--The 
                                regulations shall provide that an 
                                entity shall not be considered to be 
                                predominantly engaged in activities 
                                that are in the business of banking or 
                                financial in nature if the consolidated 
                                revenues of the entity derived from the 
                                activities constitute less than a 
                                percentage (as specified by the 
                                Commission in the regulations) of the 
                                total consolidated revenues of the 
                                entity.
                                    ``(III) Revenues from banking or 
                                financial activities.--In determining 
                                the percentage of the revenues of an 
                                entity that are derived from activities 
                                that are in the business of banking or 
                                financial in nature, the regulations 
                                shall exclude all revenues that are or 
                                result from foreign exchange or 
                                derivatives transactions used to hedge 
                                or mitigate commercial risk (as defined 
                                by the Commission in the 
                                regulations).''.

SEC. 3. REPORTING OF ILLIQUID SWAPS SO AS TO NOT DISADVANTAGE CERTAIN 
              NON-FINANCIAL END USERS.

    Section 2(a)(13) of the Commodity Exchange Act (7 U.S.C. 2(a)(13)) 
is amended--
            (1) in subparagraph (C), by striking ``The Commission'' and 
        inserting ``Except as provided in subparagraph (D), the 
        Commission'';
            (2) by redesignating subparagraphs (D) through (G) as 
        subparagraphs (E) through (H), respectively; and
            (3) by inserting after subparagraph (C) the following:
                    ``(D) Requirements for swap transactions in 
                illiquid markets.--
                            ``(i) Definition of illiquid markets.--In 
                        this subparagraph, the term `illiquid markets' 
                        means any market in which the volume and 
                        frequency of trading in swaps is at such a 
                        level as to allow identification of individual 
                        market participants.
                            ``(ii) Requirements.--Notwithstanding 
                        subparagraph (C), the Commission shall--
                                    ``(I) provide by rule for the 
                                public reporting of swap transactions, 
                                including price and volume data, in 
                                illiquid markets that are not cleared 
                                and entered into by a nonfinancial 
                                entity that is hedging or mitigating 
                                commercial risk in accordance with 
                                subsection (h)(7)(A); and
                                    ``(II) ensure that the swap 
                                transaction information described in 
                                subclause (I) is available to the 
                                public not sooner than 30 days after 
                                the swap transaction has been executed 
                                or at such later date as the Commission 
                                determines appropriate to protect the 
                                identity of participants and positions 
                                in illiquid markets and to prevent the 
                                elimination or reduction of market 
                                liquidity.''.

SEC. 4. TREATMENT OF AFFILIATES.

    Section 2(h)(7)(D)(i) of the Commodity Exchange Act (7 U.S.C. 
2(h)(7)(D)(i)) is amended--
            (1) by striking ``An affiliate'' and inserting ``A person 
        that is a financial entity and is an affiliate'';
            (2) by striking ``(including affiliate entities 
        predominantly engaged in providing financing for the purchase 
        of the merchandise or manufactured goods of the person)''; and
            (3) by striking ``and as an agent''.

SEC. 5. APPLICABILITY TO BONA FIDE HEDGE TRANSACTIONS OR POSITIONS.

    Section 4a(c) of the Commodity Exchange Act (7 U.S.C. 6a(c)) is 
amended--
            (1) in the second sentence of paragraph (1), by striking 
        ``into the future for which'' and inserting ``in the future, to 
        be determined by the Commission, for which either an 
        appropriate swap is available or''; and
            (2) in paragraph (2)--
                    (A) in the matter preceding subparagraph (A), by 
                striking ``subsection (a)(2)'' and all that follows 
                through ``position that--'' and inserting ``paragraphs 
                (2) and (5) of subsection (a) for swaps, contracts of 
                sale for future delivery, or options on the contracts 
                or commodities, a bona fide hedging transaction or 
                position is a transaction or position that--''; and
                    (B) in subparagraph (A)(ii), by striking ``of 
                risks'' and inserting ``or management of current or 
                anticipated risks''; and
            (3) by adding at the end the following:
            ``(3) Commission definition.--The Commission may further 
        define, by rule or regulation, what constitutes a bona fide 
        hedging transaction or position so long as the rule or 
        regulation is consistent with the requirements of subparagraphs 
        (A) and (B) of paragraph (2).''.

SEC. 6. REPORTING AND RECORDKEEPING.

    Section 4g(f) of the Commodity Exchange Act (7 U.S.C. 6g(f)) is 
amended--
            (1) by striking ``(f) Nothing contained in this section'' 
        and inserting the following:
    ``(f) Authority of Commission To Make Separate Determinations 
Unimpaired.--
            ``(1) In general.--Except as provided in paragraph (2), 
        nothing in this section''; and
            (2) by adding at the end the following:
            ``(2) Exception.--If the Commission imposes any requirement 
        under this section on any person that is not registered, or 
        required to be registered, with the Commission in any capacity, 
        that person shall satisfy the requirements of any rule, order, 
        or regulation under this section by maintaining a written 
        record of each cash or forward transaction related to a 
        reportable or hedging commodity interest transaction, futures 
        contract, option on a futures contract, or swap.
            ``(3) Sufficiency.--A written record described in paragraph 
        (2) shall be sufficient if the written record--
                    ``(A) memorializes the final agreement between the 
                parties, including the material economic terms of the 
                transaction; and
                    ``(B) is identifiable and searchable by 
                transaction.''.

SEC. 7. MARGIN REQUIREMENTS.

    (a) Commodity Exchange Act Amendment.--Section 4s(e) of the 
Commodity Exchange Act (7 U.S.C. 6s(e)) is amended by adding at the end 
the following:
            ``(4) Applicability with respect to counterparties.--The 
        requirements of paragraphs (2)(A)(ii) and (2)(B)(ii), including 
        the initial and variation margin requirements imposed by rules 
        adopted pursuant to paragraphs (2)(A)(ii) and (2)(B)(ii), shall 
        not apply to a swap in which a counterparty qualifies for an 
        exception under section 2(h)(7)(A) or 2(h)(7)(D), or an 
        exemption issued under section 4(c)(1) from the requirements of 
        section 2(h)(1)(A) for cooperative entities as defined in that 
        exemption.''.
    (b) Securities Exchange Act Amendment.--Section 15F(e) of the 
Securities Exchange Act of 1934 (15 U.S.C. 78o-10(e)) is amended by 
adding at the end the following:
            ``(4) Applicability with respect to counterparties.--The 
        requirements of paragraphs (2)(A)(ii) and (2)(B)(ii) shall not 
        apply to a security-based swap in which a counterparty 
        qualifies for an exception under section 3C(g)(1) or satisfies 
        the criteria in section 3C(g)(4).''.
    (c) Implementation.--The amendments made by this section to the 
Commodity Exchange Act (7 U.S.C. 1 et seq.) shall be implemented--
            (1) without regard to--
                    (A) chapter 35 of title 44, United States Code; and
                    (B) the notice and comment provisions of section 
                553 of title 5, United States Code;
            (2) through the promulgation of an interim final rule, 
        pursuant to which public comment is sought before a final rule 
        is issued; and
            (3) such that paragraph (1) shall apply solely to changes 
        to rules and regulations, or proposed rules and regulations, 
        that are limited to and directly a consequence of the 
        amendments.

SEC. 8. ANALYSIS BY THE COMMODITY FUTURES TRADING COMMISSION OF THE 
              COSTS AND BENEFITS OF REGULATIONS AND ORDERS.

    Section 15(a) of the Commodity Exchange Act (7 U.S.C. 19(a)) is 
amended by striking paragraphs (1) and (2) and inserting the following:
            ``(1) In general.--Before promulgating a regulation under 
        this Act or issuing an order (except as provided in paragraph 
        (3)), the Commission, acting through the Office of the Chief 
        Economist, shall--
                    ``(A) state a justification for the regulation or 
                order;
                    ``(B) state the baseline for the cost-benefit 
                analysis and explain how the regulation or order 
                measures costs against the baseline;
                    ``(C) assess the costs and benefits, both 
                qualitative and quantitative, of the intended 
                regulation or order;
                    ``(D) measure, and seek to improve, the actual 
                results of regulatory requirements; and
                    ``(E) propose or adopt a regulation or order only 
                on a reasoned determination that the benefits of the 
                intended regulation or order justify the costs of the 
                intended regulation or order (recognizing that some 
                benefits and costs are difficult to quantify).
            ``(2) Considerations.--In making a reasoned determination 
        of costs and benefits under paragraph (1), the Commission shall 
        consider--
                    ``(A) the protection of market participants and the 
                public;
                    ``(B) the efficiency, competitiveness, and 
                financial integrity of futures and swaps markets;
                    ``(C) the impact on market liquidity in the futures 
                and swaps markets;
                    ``(D) price discovery;
                    ``(E) sound risk management practices;
                    ``(F) the cost of available alternatives to direct 
                regulation;
                    ``(G) the degree and nature of the risks posed by 
                various activities within the scope of the jurisdiction 
                of the Commission;
                    ``(H) whether, consistent with obtaining regulatory 
                objectives, the regulation or order is tailored to 
                impose the least burden on society, including market 
                participants, individuals, businesses of differing 
                sizes, and other entities (including small communities 
                and governmental entities), taking into account, to the 
                extent practicable, the cumulative costs of regulations 
                and orders;
                    ``(I) whether the regulation or order is 
                inconsistent, incompatible, or duplicative of other 
                Federal regulations and orders; and
                    ``(J) whether, in choosing among alternative 
                regulatory approaches, those approaches maximize net 
                benefits (including potential economic, environmental, 
                and other benefits, distributive impacts, and 
                equity).''.
[EX A]: End-User Protection Act of 2014 - Amends the Commodity Exchange Act with respect to exceptions to the requirement that any swap be cleared by a derivatives clearing organization either registered under that Act, or exempted from registration, if the swap is required to be cleared. Revises the definition of a financial entity subject to such requirement to exclude one that: (1) is a commercial market participant predominantly engaged in activities in the business of banking, or in activities that are financial in nature, but is not supervised by a prudential regulator; or (2) is considered as predominantly engaged in activities in the business of banking or in financial activities because it regularly enters into foreign exchange or derivatives transactions on behalf of, or to hedge or mitigate the commercial risk of, one or more other entities within the entity's same commercial enterprise, or because of making loans to one or more of such other entities. Directs the Commodity Futures Trading Commission (CFTC) to provide by rule for the public reporting of swap transactions, including price and volume data, in illiquid markets that are not cleared and entered into by a nonfinancial entity that is hedging or mitigating commercial risk. Defines &quot;illiquid&quot; as any market in which the volume and frequency of trading in swaps is at such a level as to allow identification of individual market participants. Requires the CFTC to ensure that such swap transaction information is not available to the public until 30 days after the transaction has been executed, or at an appropriate later date, in order to: (1) protect the identity of participants and positions in illiquid markets, and (2) prevent the elimination or reduction of market liquidity. Accords financial entities exempt from swap-clearing requirements the same treatment as exempted affiliates. Revises the exemption of bona fide hedge transactions or positions from certain trading limitations to set criteria for CFTC rules or regulations treating swaps, contracts of sale for future delivery, or options on the contracts or commodities as bona fide hedge transactions or positions also exempt from those limitations. Declares that, if the CFTC imposes any reporting and recordkeeping requirement on any person that is not registered, or required to be registered, with the CFTC, that person shall satisfy the requirements of any pertinent rule, order, or regulation by maintaining a written record of each cash or forward transaction related to a reportable or hedging commodity interest transaction, futures contract, option on a futures contract, or swap. Makes such a written record sufficient if it: (1) memorializes the final agreement between the parties, including the transaction's material economic terms; and (2) is identifiable and searchable by transaction. States that certain requirements for adoption of rules governing capital and margin requirements for swap dealers and major swap participants, including the initial and variation margin requirements imposed by rules adopted according to such requirements, shall not apply to a swap in which a counterparty qualifies for specified exceptions or exemptions. Revises requirements for a CFTC cost-benefit analysis made before an order is issued. Requires the CFTC, acting through the Office of the Chief Economist, among other things to:  state a justification for the regulation or order; state the baseline for the cost-benefit analysis and explain how the regulation or order measures costs against the baseline; assess the costs and benefits, both qualitative and quantitative, of the intended regulation or order; measure, and seek to improve, the actual results of regulatory requirements; and propose or adopt a regulation or order only on a reasoned determination that the benefits of the intended regulation or order justify its costs. 

[EX Q]: SECTION 1. SHORT TITLE.

     This Act may be cited as the ``Zero Gravity, Zero Tax Act of 
2003''.

SEC. 2. EXCLUSION OF SPACE-RELATED INCOME FROM GROSS INCOME.

    (a) In General.--Part III of subchapter B of chapter 1 of the 
Internal Revenue Code of 1986 (relating to items specifically excluded 
from gross income) is amended by redesignating section 140 as section 
140A and inserting after section 139 the following new section:

``SEC. 140. SPACE-RELATED INCOME.

    ``(a) General Rule.--Gross income shall not include space-related 
income.
    ``(b) Space-Related Income.--
            ``(1) In general.--For purposes of this section, the term 
        `space-related income' means--
                    ``(A) income derived from the sale by the taxpayer 
                to an unrelated person of--
                            ``(i) any product or article which is 
                        produced by the taxpayer in outer space, and
                            ``(ii) any service provided by the taxpayer 
                        in or from outer space,
                    ``(B) income of an individual attributable to 
                services performed in or from outer space by such 
                individual in a trade or business, and
                    ``(C) any amount not described in subparagraph (A) 
                or (B) which is interest, rent, royalty, or similar 
                amount received with respect to production or service 
                described in subparagraph (A) or (B).
            ``(2) Exception for telecommunications services, etc.--
        Paragraph (1)(A)(ii) shall not apply to--
                    ``(A) any telecommunications service provided from 
                earth orbit,
                    ``(B) any service provided by a weather or other 
                earth observation satellite, and
                    ``(C) any other service provided on or before the 
                date of the enactment of this section of transporting 
                property to or from outer space.
            ``(3) Exception for wages.--Paragraph (1) shall not apply 
        to wages (as defined in section 3401) received by any employee 
        of an employer.
            ``(4) Proportional allocation between space-based and 
        earth-based activities.--In the case of any product or article 
        which is produced partly in space, space-related income shall 
        be an amount which bears the same ratio to the amount of gross 
        income attributable to the sale of such product or article as 
        the expenses attributable to producing such product or article 
        in space bears to the total expenses incurred in producing such 
        product or article.
            ``(5) Produced.--For purposes of this section, the term 
        `produced' includes created, fabricated, developed, grown, 
        manufactured, extracted, processed, cured, and aged.
    ``(c) Exclusion From Tariffs, Etc.--Any product--
            ``(1) which is manufactured in outer space, and
            ``(2) which was--
                    ``(A) launched from, and returned to Earth, within 
                the United States, or
                    ``(B) Manufactured at a facility in outer space 
                which is owned by 1 or more United States persons, 
                shall be exempt from all Federal excises, imposts, and 
                duties and any other Federal tariffs.
    ``(d) Phaseout of Benefits.--In the case of a taxable year 
beginning after December 31, 2012, the amount excluded under subsection 
(a) shall be reduced (but not below zero) by x/10th's of the amount 
excludable without regard to this subsection, where `x' is the number 
of years such taxable year is after the last taxable year beginning 
before January 1, 2013. A similar rule shall apply to the benefits 
under subsection (c).''.
    (b) Clerical Amendment.--The table of sections for part III of 
subchapter B of chapter 1 of such Code is amended by striking the last 
item and inserting the following new items:

                              ``Sec. 140. Space-related income.
                              ``Sec. 140A. Cross references to other 
                                        Acts.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2003.

SEC. 3. CREDIT FOR PURCHASE OF QUALIFIED SPACE COMPANY STOCK.

    (a) In General.--Subpart D of part IV of subchapter A of chapter 1 
of the Internal Revenue Code of 1986 (relating to business related 
credits) is amended by adding at the end the following new section:

``SEC. 45G. SPACE COMPANY INVESTMENT CREDIT.

    ``(a) General Rule.--For purposes of section 38, the space company 
investment credit determined under this section for any taxable year is 
the amount paid in the taxable year for the purchase of qualified stock 
in a qualified space company.
    ``(b) Qualified Space Company.--For purposes of this section--
            ``(1) In general.--The term `qualified space company' means 
        a domestic C corporation if for the 3-taxable-year period 
        ending with the taxable year immediately preceding the taxable 
        year in which qualified stock is purchased--
                    ``(A) the average annual gross receipts of such 
                entity does not exceed $100,000,000, and
                    ``(B) more than 70 percent of such gross receipts 
                are derived from space-based business.
            ``(2) Space-based business.--The term `space-based 
        business' means a business whose gross receipts are 
        substantially space-related income, as defined in section 
        140(b).
            ``(3) Aggregation rules.--Rules similar to the rules of 
        section 1202(d)(3) shall apply.
    ``(c) Qualified Stock.--For purposes of this section--
            ``(1) In general.--Except as otherwise provided in this 
        section, the term `qualified stock' means any stock in a 
        domestic C corporation if--
                    ``(A) as of the date of issuance of such stock, 
                such corporation is a qualified space company, and
                    ``(B) except as provided in subsections (f) and 
                (h), such stock is acquired by the taxpayer at its 
                original issue (directly or through an underwriter)--
                            ``(i) in exchange for money or other 
                        property (not including stock), or
                            ``(ii) as compensation for services 
                        provided to such corporation (other than 
                        services performed as an underwriter of such 
                        stock).
            ``(2) Active business requirement.--Stock in a corporation 
        shall not be treated as qualified stock unless, during 
        substantially all of the taxpayer's holding period for such 
        stock--
                    ``(A) such corporation meets active business 
                requirements substantially similar to the requirements 
                of section 1202(e), determined on the basis that the 
                qualified trade or business is a space-based business, 
                and
                    ``(B) such corporation is a C corporation.
            ``(3) Certain purchase by corporation of its own stock.--
        Rules similar to the rules of section 1202(c)(3) shall apply.
    ``(e) Recapture.--If, during any taxable year ending with or within 
the 10-year period beginning on the date qualified stock was purchased 
by the taxpayer, the issuer of such stock ceases to a qualified space 
company, the tax under this chapter for such taxable year shall be 
increased by the aggregate decrease in the credits allowed under 
section 38 for all prior taxable years which would have resulted solely 
from reducing to zero any credit determined under subsection (a) with 
respect to such stock.
    ``(f) Termination.--This section shall not apply to stock acquired 
after December 31, 2011.''.
    (b) Credit Allowed as Part of General Business Credit.--Section 
38(b) of such Code (defining current year business credit) is amended 
by striking ``plus'' at the end of paragraph (14), by striking the 
period at the end of paragraph (15) and inserting ``, plus'', and by 
adding at the end the following new paragraph:
            ``(16) space company investment credit determined under 
        section 45G(a).''.
    (c) Conforming Amendments.--
            (1) Section 39(d) of such Code is amended by adding at the 
        end the following new paragraph:
            ``(11) No carryback of space company investment credit 
        before january 1, 2004.--No portion of the unused business 
        credit for any taxable year which is attributable to the space 
        company investment credit determined under section 45G may be 
        carried back to a taxable year beginning before January 1, 
        2004.''.
            (2) Subsection (c) of section 196 of such Code is amended 
        by striking ``and'' at the end of paragraph (9), by striking 
        the period at the end of paragraph (10) and inserting ``, 
        and'', and by adding at the end the following new paragraph:
            ``(11) the space company investment credit determined under 
        section 45G(a).''.
            (3) The table of sections for subpart D of part IV of 
        subchapter A of chapter 1 of such Code is amended by adding at 
        the end the following new item:

                              ``Sec. 45G. Space Company Investment 
                                        Credit.''.
    (d) Effective Date.--The amendments made by this section shall 
apply to costs paid or incurred in taxable years beginning after 
December 31, 2003.

SEC. 4. CAPITAL GAINS EXCLUSION.

    (a) In General.--(1) Part I of subchapter P of the Internal Revenue 
Code of 1986 (relating to treatment of capital gains) is amended by 
adding at the end the following new section:

``SEC. 1203. EXCLUSION FOR GAINS FROM SALE OR EXCHANGE OF STOCK OF 
              QUALIFIED SPACE CORPORATIONS.

    ``(a) In General.--Gross income shall not include gain on the sale 
or exchange of any stock of a qualified space corporation.
    ``(b) Qualified Space Corporation.--For purposes of subsection (a), 
the term `qualified space corporation' means, with respect to any 
taxable year, a domestic corporation which is a C corporation if--
            ``(1) such corporation is organized exclusively for 
        providing to unrelated persons--
                    ``(A) any product or article which is produced 
                (within the meaning of section 140(b)(5)) by the 
                corporation in outer space, or
                    ``(B) any service provided by the corporation in or 
                from outer space, and
            ``(2) At least 90 percent of the expenses of such 
        corporation are attributable to the active conduct of a trade 
        or business of providing a product, article, or service 
        described in paragraph (1).
Such term shall not include a corporation providing a service, product, 
or article described in section 140(b)(2).''.
    (2) Clerical Amendment.--The table of sections for part I of 
subchapter P of such Code is amended by adding at the end the following 
new item:

                              ``Sec. 1203. Exclusion for gains from 
                                        sale or exchange of stock of 
                                        qualified space 
                                        corporations.''.
    (b) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2003.
[EX A]: Zero Gravity, Zero Tax Act of 2003 - Amends the Internal Revenue Code to exclude from gross income: (1) space-related income; and (2) gain on the sale or exchange of any stock of a qualified space corporation.Establishes a space company investment credit for the purchase of qualified stock in a qualified space company.

[EX Q]: SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Patient and Physician Safety and 
Protection Act of 2001''.

SEC. 2. FINDINGS.

    Congress finds the following:
            (1) The Federal government, through its Medicare program, 
        pays approximately $8 billion per year solely to train 
        resident-physicians in the United States, and as a result, has 
        an interest in assuring the safety of patients treated by 
        resident-physicians and the safety of resident-physicians 
        themselves.
            (2) Resident-physicians spend a significant amount of their 
        time performing activities not related to the educational 
        mission of training competent physicians.
            (3) The excessive numbers of hours worked by resident-
        physicians is inherently dangerous for patient care and for the 
        lives of resident-physicians.
            (4) The scientific literature has consistently demonstrated 
        that the sleep deprivation of the magnitude seen in residency 
        training programs leads to cognitive impairment.
            (5) A substantial body of research indicates that excessive 
        hours worked by resident-physicians lead to higher rates of 
        medical error, motor vehicle accidents, depression and 
        pregnancy complications.
            (6) The medical community has not adequately addressed the 
        issue of excessive resident-physician work hours.
            (7) Different medical specialty training programs have 
        different patient care considerations but the effects of sleep 
        deprivation on resident-physicians does not change between 
        specialties.
            (8) The Federal government has regulated the work hours of 
        other industries when the safety of employees or the public is 
        at risk.

SEC. 3. REVISION OF MEDICARE HOSPITAL CONDITIONS OF PARTICIPATION 
              REGARDING WORKING HOURS OF RESIDENTS.

    (a) In General.--Section 1866 of the Social Security Act (42 U.S.C. 
1395cc) is amended--
            (1) in subsection (a)(1)--
                    (A) by striking ``and'' at the end of subparagraph 
                (R);
                    (B) by striking the period at the end of 
                subparagraph (S) and inserting ``; and''; and
                    (C) by inserting after subparagraph (S) the 
                following new subparagraph:
            ``(T) in the case of a hospital that uses the services of 
        physician residents or postgraduate trainees, to meet the 
        requirements of subsection (j).''; and
            (2) by adding at the end the following new subsection:
    ``(j)(1)(A) In order that the working conditions and working hours 
of physicians and postgraduate trainees promote the provision of 
quality medical care in hospitals, as a condition of participation 
under this title each hospital shall establish the following limits on 
working hours for certain members of the medical staff and postgraduate 
trainees:
            ``(i) Subject to subparagraph (C), postgraduate trainees 
        may work no more than a total of 80 hours per week and 24 hours 
        per shift.
            ``(ii) Subject to subparagraph (C), postgraduate trainees--
                    ``(I) shall have at least 10 hours between 
                scheduled shifts;
                    ``(II) shall have at least 1 full day out of every 
                7 days off and one full weekend off per month;
                    ``(III) who are assigned to patient care 
                responsibilities in an emergency department shall work 
                no more than 12 continuous hours in that department; 
                and
                    ``(IV) shall not be scheduled to be on call in the 
                hospital more often than every third night.
    ``(B) The Secretary shall promulgate such regulations as may be 
necessary to ensure quality of care is maintained during the transfer 
of direct patient care from one postgraduate trainee to another at the 
end of each such 24 hour period referred to in subparagraph (A) and 
shall take into account cases of individual patient emergencies.
    ``(C) The work hour limitations under subparagraph (A) and 
requirements of subparagraph (B) shall not apply to a hospital during a 
state of emergency declared by the Secretary that applies with respect 
to that hospital.
    ``(2) The Secretary shall promulgate such regulations as may be 
necessary to monitor and supervise postgraduate trainees assigned 
patient care responsibilities as part of an approved medical training 
program, as well as to assure quality patient care.
    ``(3) Each hospital shall inform postgraduate trainees of--
            ``(A) their rights under this subsection, including methods 
        to enforce such rights (including so-called whistle-blower 
        protections); and
            ``(B) the effects of their acute and chronic sleep 
        deprivation both on themselves and on their patients.
    ``(4) For purposes of this subsection, the term `postgraduate 
trainee' includes a postgraduate intern, resident, or fellow.''.
    (b) Designation.--
            (1) In general.--The Secretary of Health and Human Services 
        shall designate an individual within the Department of Health 
        and Human Services to handle all complaints of violations that 
        arise from residents who report that their programs are in 
        violation of the requirements of section 1866(j) of the Social 
        Security Act (as added by subsection (a)).
            (2) Grievance rights.--A post graduate trainee or physician 
        resident may file a complaint with the Secretary of Health and 
        Human Services concerning a violation of such requirements. 
        Such a complaint may be filed anonymously. The Secretary may 
        conduct an investigation and take such corrective action with 
        respect to such a violation.
            (3) Civil money penalty enforcement.--Any hospital that 
        violates such requirement is subject to a civil money penalty 
        not to exceed $100,000 for each resident training program in 
        any 6-month period. The provisions of section 1128A of the 
        Social Security Act (other than subsections (a) and (b)) shall 
        apply to civil money penalties under this paragraph in the same 
        manner as they apply to a penalty or proceeding under section 
        1128A(a) of such Act.
            (4) Disclosure of violations and annual reports.--The 
        individual designated under paragraph (1) shall--
                    (A) provide for annual anonymous surveys of 
                postgraduate trainees to determine compliance with such 
                requirements and for the disclosure of the results of 
                such surveys to the public on a residency-program 
                specific basis;
                    (B) based on such surveys, conduct appropriate on-
                site investigations;
                    (C) provide for disclosure to the public of 
                violations and compliance, on a hospital and residence-
                program specific basis, of such requirements; and
                    (D) make an annual report to Congress on the 
                compliance of hospitals with such requirements, 
                including providing a list of hospitals found to be in 
                violation of such requirements.
    (c) Whistleblower Protections.--
            (1) In general.-- A hospital covered by the requirements of 
        section 1866(j)(1) of the Social Security Act (as inserted by 
        subsection (a)) shall not penalize, discriminate, or retaliate 
        in any manner against an employee with respect to compensation, 
        terms, conditions or privileges of employment, who in good 
        faith (as defined in paragraph (2)), individually or in 
        conjunction with another person or persons--
                    (A) reports a violation or suspected violation of 
                such requirements to a public regulatory agency, a 
                private accreditation body, or management personnel of 
                the hospital;
                    (B) initiates, cooperates or otherwise participates 
                in an investigation or proceeding brought by a 
                regulatory agency or private accreditation body 
                concerning matters covered by such requirements;
                    (C) informs or discusses with other employees, with 
                a representative of the employees, with patients or 
                patient representatives, or with the public, violations 
                or suspected violations of such requirements; or
                    (D) otherwise avails himself or herself of the 
                rights set forth in such section or this subsection.
            (2) Good faith defined.--For purposes of this subsection, 
        an employee is deemed to act ``in good faith'' if the employee 
        reasonably believes--
                    (A) that the information reported or disclosed is 
                true; and
                    (B) that a violation has occurred or may occur.
    (d) Effective Date.--The amendments made by subsection (a) shall 
take effect on the first July 1 that begins at least 1 year after the 
date of the enactment of this Act.

SEC. 4. ADDITIONAL FUNDING FOR HOSPITAL COSTS.

    There are hereby appropriated to the Secretary of Health and Human 
Services such amounts as may be required to provide for additional 
payments to hospitals for their reasonable additional, incremental 
costs incurred in order to comply with the requirements imposed by this 
Act (and the amendments made by this Act).
[EX A]:
Patient and Physician Safety and Protection Act of 2001 - Amends title XVIII (Medicare) of the Social Security Act (SSA) to require a participating hospital that uses the services of physician residents or postgraduate trainees to limit their working hours to specified schedules.