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; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Geospatial 
Preparedness Act''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Findings and purposes.
Sec. 3. Definitions.
Sec. 4. Homeland security and national geospatial preparedness.
Sec. 5. Security policy and guidelines for geospatial data.
Sec. 6. Office of Geospatial Management and Geospatial Information 
                            Officer.
Sec. 7. Authorization of appropriations.

SEC. 2. FINDINGS AND PURPOSES.

    (a) Findings.--The Congress finds the following:
            (1) Geospatial technologies and geospatial data can provide 
        all levels of government and the private sector with proven 
        capabilities to carry out detection, planning, preparedness, 
        mitigation, response, and recovery activities for homeland 
        security purposes that save lives and protect property.
            (2) The completion and maintenance of the National Spatial 
        Data Infrastructure with integrated applications and systems 
        will provide the level of geospatial preparedness required to 
        protect critical infrastructure, strategic assets, the economic 
        base, and persons.
            (3) Geospatial technology and information have proven to be 
        essential to enabling more informed decisionmaking, greater 
        efficiency, increased accountability, and better management in 
        all levels of government and the private sector.
            (4) Building spatial data once and then sharing it many 
        times between all levels of government and the private sector 
        increases the ability of information technology applications 
        and systems to provide better services to the public in a cost-
        effective manner.
            (5) The use of international, national, and industry 
        consensus standards to develop and deploy interoperable 
        geospatial data and geospatial technologies assists the 
        commercial geospatial industry to provide products that make it 
        easier, faster, and less expensive for all levels of government 
        and the private sector to share, integrate, and use geospatial 
        data for decisionmaking.
            (6) Establishing a new Federal Government program to 
        provide financial incentives to State, regional, local, and 
        tribal governments will greatly accelerate adoption of 
        international, national, and industry consensus standards.
            (7) Geospatial technologies and geospatial data can be 
        essential tools for virtually all functions of government and 
        business.
            (8) Geospatial preparedness in the United States is not 
        adequate due to a variety of factors including inadequate 
        geospatial data compatibility, insufficient geospatial data 
        sharing, technology interoperability barriers, institutional 
        and organizational resistance to new ways of doing business, 
        lack of financial incentives to improved use of geospatial 
        technologies, and inefficient geospatial data collection and 
        sharing.
            (9) Interoperable geospatial technology and geospatial data 
        capabilities are emerging and incentives are needed for full 
        adoption and for collaborative use to meet community and 
        national needs.
            (10) Geospatial technologies and geospatial data are 
        maintained by all levels of government and the private sector. 
        A comprehensive nationwide program is necessary to build and 
        maintain a standards-based geospatial spatial data 
        infrastructure and geographic information systems required to 
        respond to increasing demands.
            (11) State, regional, local, and tribal governments, the 
        private sector, and other non-government organizations are 
        investing in geospatial technologies and geospatial data. 
        Incentives are necessary to leverage these investments for more 
        effective use to meet community and national needs.
            (12) Establishing the Office of Geospatial Management, 
        administered by a Geospatial Information Officer, within the 
        Department of Homeland Security will ensure the most effective 
        and efficient management of programs and activities involving 
        geospatial technologies and geospatial data.

SEC. 3. DEFINITIONS.

    In this Act:
            (1) Geographic information systems software and hardware.--
        The term ``geographic information systems software and 
        hardware'' means computer software and hardware required to 
        identify, depict, visualize, analyze, maintain, or otherwise 
        utilize geospatial data.
            (2) Geospatial applications.--The term ``geospatial 
        applications'' means computer software and systems that extend 
        the capabilities of geographic information systems software and 
        hardware to identify, depict, visualize, analyze, maintain, or 
        otherwise utilize geospatial data.
            (3) Geospatial data.--The term ``geospatial data'' means 
        information that identifies, depicts, or describes the 
        geographic locations, boundaries, or characteristics of 
        inhabitants and natural or constructed features on the Earth, 
        including such information derived from, among other sources, 
        socio-demographic analysis, economic analysis, land information 
        records and land use information processing, statistical 
        analysis, survey and observational methodologies, environmental 
        analysis, critical infrastructure protection, satellites, 
        remote sensing, airborne imagery collection, mapping, 
        engineering, construction, global positioning systems, and 
        surveying technologies and activities.
            (4) Geospatial preparedness.--The term ``geospatial 
        preparedness'' means the level of overall capability and 
        capacity necessary to enable all levels of government and the 
        private sector to utilize geospatial data, geographic 
        information systems software and hardware, and geospatial 
        applications to perform essential emergency management 
        functions, including detection, planning, mitigation, response, 
        and recovery, in order to minimize loss of life and property 
        from weapons of mass destruction, terrorist threats, major man-
        made accidents, and natural disasters.
            (5) National spatial data infrastructure.--The term 
        ``National Spatial Data Infrastructure'' means the combination 
        of the geographic information systems software and hardware, 
        geospatial applications, geospatial data, standards, policies, 
        programs, and human resources necessary to acquire, process, 
        analyze, store, maintain, distribute, and otherwise utilize 
        geospatial data as a strategic asset for the Nation.
            (6) Office of geospatial management.--The term ``Office of 
        Geospatial Management'' means the administrative organization 
        responsible for designing, managing, coordinating, and 
        implementing comprehensive geospatial initiatives.
            (7) Standards.--The term ``standards'' means documented 
        international, national, or industry consensus agreements 
        containing technical specifications or other precise criteria 
        to be used consistently as rules, guidelines, or definitions to 
        ensure that materials, products, processes, or services are 
        proper for their purposes.

SEC. 4. HOMELAND SECURITY AND NATIONAL GEOSPATIAL PREPAREDNESS.

    The Secretary shall direct the Chief Information Officer to work, 
consistent with Office of Management and Budget Circular A-16, 
Executive Order 12906, and section 216 of the Electronic Government 
Act, with the Department of the Interior, the Department of Justice, 
the Federal Geographic Data Committee, the National Imagery and Mapping 
Agency, other appropriate Federal agencies, and members of the Steering 
Committee and Coordination Group of the Federal Geographic Data 
Committee, to use and enhance the National Spatial Data Infrastructure 
for homeland security purposes, by--
            (1) developing a comprehensive national enterprise 
        strategy, incorporating industry and government standards, for 
        the coordinated acquisition, building, storage, maintenance, 
        and use of Federal Government, non-Federal Government, and 
        private sector geospatial data with, when feasible and 
        appropriate, integrated and interoperable commercially-provided 
        geographic information systems software and hardware, 
        geospatial applications, geospatial data, and services in order 
        to achieve an adequate level of national geospatial 
        preparedness;
            (2) providing grants, technical assistance, and cooperative 
        agreements to State, regional, local, and tribal government as 
        well as non-profit organizations in order to increase 
        geospatial preparedness by actions such as analyzing 
        requirements, performing strategic planning, sharing geospatial 
        data, developing agreements for sharing geospatial data, 
        integrating geospatial data, developing standards, integrating 
        systems, and acquiring, when feasible and appropriate, 
        interoperable commercially-provided geographic information 
        systems software and hardware, geospatial applications, 
        geospatial data, and Global Positioning System equipment and 
        procuring services in order to achieve an adequate level of 
        national geospatial preparedness;
            (3) coordinating with, and assisting, the Federal 
        Geographic Data Committee, the Office of Management and Budget, 
        and the commercial geospatial industry to establish national 
        standards for the development, acquisition, storage, 
        maintenance, distribution, utilization, and application of 
        geospatial data;
            (4) coordinating with, and assisting, the commercial 
        geospatial industry to establish national standards for the 
        development, distribution, and utilization of geographic 
        information systems software and hardware and geospatial 
        applications; and
            (5) utilizing, when feasible and appropriate, commercially-
        provided interoperable geographic information systems software 
        and hardware, geospatial applications, geospatial data, and 
        services to carry out the responsibilities, activities, and 
        programs authorized by this section.

SEC. 5. SECURITY POLICY AND GUIDELINES FOR GEOSPATIAL DATA.

    The Chief Information Officer of the Department of Homeland 
Security shall establish, within 180 days after the date of the 
enactment of this Act and consistent with overall homeland security 
goals of the Department of Homeland Security, security policy and 
guidelines for the acquisition, processing, and dissemination of 
geospatial data depicting critical infrastructure and strategic assets 
located in the United States.

SEC. 6. OFFICE OF GEOSPATIAL MANAGEMENT AND GEOSPATIAL INFORMATION 
              OFFICER.

    (a) In General.--The Secretary of Homeland Security shall establish 
the Office of Geospatial Management within the Office of the Chief 
Information Officer. The Office of Geospatial Management shall be 
administered by the Geospatial Information Officer under the direction 
of the Chief Information Officer.
    (b) Geospatial Information Officer.--The Geospatial Information 
Officer--
            (1) shall be appointed by the Secretary from among 
        individuals who are skilled in geographic information 
        technology and systems management; and
            (2) shall be responsible for--
                    (A) designing, managing, coordinating, and 
                implementing comprehensive geospatial initiatives; and
                    (B) working with the Chief Information Officer to 
                carry out section 4 and section 5.

SEC. 7. AUTHORIZATION OF APPROPRIATIONS.

    For the purpose of carrying out this Act, there are authorized to 
be appropriated such sums as may be necessary for each of the fiscal 
years 2004 through 2008. Such authorization is in addition to other 
authorizations of appropriations that are available for such purpose.
[EX A]: Geospatial Preparedness Act - Requires the Secretary of Homeland Security to direct the Chief Information Officer (CIO) of the Department of Homeland Security to work with the Departments of the Interior and Justice, the National Imagery and Mapping Agency, other appropriate Federal agencies, and members of the Federal Geographic Data Committee to use and enhance the National Spatial Data Infrastructure for homeland security purposes.

Directs the CIO to establish security and policy guidelines for the acquisition, processing, and dissemination of geospatial data depicting critical infrastructure and strategic assets in the United States.

Requires the: (1) Secretary to establish the Office of Geospatial Management within the Office of the CIO; and (2) Geospatial Manager to work with the CIO to design, manage, coordinate, and implement comprehensive geospatial initiatives.

[EX Q]: SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Helping Those Who Serve Act''.

SEC. 2. FINDINGS.

    Congress finds the following:
            (1) Increasing numbers of members of the Armed Forces 
        serving in Afghanistan and Iraq are suffering from the 
        significant injuries of the current conflict: post traumatic 
        stress disorder and traumatic brain injury (hereafter in this 
        Act referred to as ``PTSD'' and ``TBI'', respectively) .
            (2) A recent report by the RAND Corporation estimated that 
        of the 1.64 million individuals who have been deployed to 
        Afghanistan and Iraq, approximately 300,000 individuals 
        currently suffer from PTSD or major depression and that 320,000 
        report having a probable TBI during deployment.
            (3) The need for mental health services is likely to 
        increase because deployment lengths have increased in the last 
        year, the number of troops who have served in multiple 
        deployments is increasing, and the breaks between deployments 
        have been infrequent.
            (4) Several experts have noted the difficulties faced by 
        members of the Armed Forces in getting screened, diagnosed, and 
        treated for PTSD and TBI. The RAND report found that, of those 
        who met diagnostic criteria for PTSD or major depression, only 
        53 percent had seen a physician or mental health provider to 
        seek help for a mental health problem in the past 12 months.
            (5) Stigma remains a critical barrier to members of the 
        Armed Forces who may be in need of psychological care, 
        especially fears that seeking mental health care will lower the 
        confidence of others in their abilities, threaten career 
        advancement and security clearances, and possibly cause removal 
        from their unit.
            (6) Stigma may be greatest among those individuals with the 
        greatest need for mental health services.
            (7) To combat stigma, the Mental Health Task Force of the 
        Department of Defense and others have noted the need for the 
        Department to reexamine its policies, including those policies 
        related to command notification or self-disclosure of 
        psychological health issues that contribute to fears that 
        seeking mental health care will negatively affect career 
        opportunities or advancement.
            (8) The Mental Health Task Force stated that this 
        ``widespread perception that seeking psychological health 
        services is costly to an individual's career . . . must be 
        challenged through thoughtful refinements in command 
        notification policies, including redefining the balance between 
        the need to encourage those in need to seek help and the need 
        for commanders to know in order to maintain force readiness''.
            (9) Congress recognizes that much change is under way to 
        implement numerous recommendations to address concerns that 
        soldiers in need of mental health services for PTSD and other 
        conditions are not receiving, including efforts led by the 
        Department of Defense and the Department of Veterans Affairs.
            (10) However, without addressing stigma at all levels, 
        including structurally, these laudable efforts may not 
        accomplish their goals.
            (11) In its July 2007 report, the Mental Health Task Force 
        called for ending overly conservative policies that have the 
        unintentional consequence of fueling erroneous beliefs that 
        seeking psychological health care invariably results in 
        permanent damage to one's military career. For example, the 
        Task Force called for allowing, in the case of alcohol use by a 
        member of the Armed Forces, for the member to receive 
        appropriate and non-prejudicial education and preventive 
        services, without a requirement for command notification, when, 
        in a clinician's judgment, the alcohol use does not warrant a 
        diagnosis of substance abuse or dependency or does not require 
        entry into a formal treatment program.
            (12) In May, responding to some of these concerns, 
        Secretary of Defense Robert Gates reportedly approved a change 
        in the Department's security clearance process to help remove 
        the stigma associated with seeking mental health care. Under 
        the change, members of the Armed Forces and employees of the 
        Department of Defense who have received mental health care will 
        no longer have to acknowledge that when they fill out standard 
        security clearance forms, unless the treatment was court-
        ordered or involved violence.
            (13) Congress encourages the Department to explore further 
        changes to notification and other policies to further reduce 
        stigma among members of the Armed Forces, especially as it 
        relates to career opportunities.

SEC. 3. MENTAL HEALTH SERVICES ACCESS DEMONSTRATION PROJECT.

    (a) Demonstration Project Required.--The Secretary of Defense shall 
conduct a demonstration project designed to develop and test options 
for the following:
            (1) Increasing access of members of the Armed Forces 
        returning from deployment abroad, and family members of such 
        members, to accessible, safe, and confidential mental health 
        counseling.
            (2) Reducing stigma and perceived career repercussions 
        associated with such members seeking such services.
            (3) Making high quality mental health services more user 
        friendly and accessible for members of the Armed Forces and 
        their family members, including making services available 
        outside standard working hours.
    (b) Purpose.--The purpose of the demonstration project is to 
provide high-quality treatment, using (to the extent practicable) 
evidence-based treatment, for a broad range of mental health 
conditions, including post-traumatic stress disorder and depression, 
with the goal of early intervention to promote effective coping and 
resilience.
    (c) Duration of Project.--The demonstration project authorized by 
this section shall be implemented for a period of three years beginning 
not later than one year after the date of the enactment of this Act.

SEC. 4. SPECIAL WORKING GROUP ON CONFIDENTIALITY.

    (a) Establishment.--The Secretary of Defense, acting through the 
Assistant Secretary of Defense for Health Affairs, shall establish a 
Special Working Group, which shall be composed of mental health 
professionals from each of the Armed Forces, officials from the Surgeon 
General Offices at each Armed Force, members of the Armed Forces who 
have been deployed in support of Operation Enduring Freedom or 
Operation Iraqi Freedom, and other members as determined appropriated 
by the Assistant Secretary.
    (b) Appointment.--The Secretary shall make every effort to appoint 
members of the working group not later than 60 days after the date of 
the enactment of this Act.
    (c) Purpose.--The Special Working Group shall develop guidelines 
and make recommendations about regulations to ensure that 
confidentiality is protected to the maximum extent possible for members 
of the Armed Forces participating in the demonstration project.
    (d) Specific Duties.--In addition to such other duties as the 
Secretary may assign to the Working Group, the duties of the Working 
Group shall include the following:
            (1) Review of requirements for documentation of health care 
        visits.--The review of current policies, questionnaires, and 
        other relevant documents that require official documentation of 
        health care visits by a member of the Armed Forces seeking 
        mental health services, including when access to such services 
        must be documented in the personnel record of a member.
            (2) Criteria for changes to command notification.--The 
        development of guidelines and criteria for the demonstration 
        project to address any needed changes to military command 
        notification requirements to ensure that a visit to an off-base 
        treatment site by a member of the Armed Forces for mental 
        health services is not recorded on any military medical or 
        other record of the member, except in accordance with 
        guidelines developed under paragraph (3).
            (3) Guidelines for breach of confidentiality.--The 
        development of guidelines for the demonstration project to 
        address the circumstances under which the confidentiality 
        protections afforded to a member of the Armed Forces 
        participating in the demonstration project may be breached and 
        notification to military commanders and documentation in 
        personnel records may be made. Such guidelines shall provide, 
        in general, that confidentiality may be broken only if a mental 
        health professional determines that the member is a threat to 
        the member or to another person.
            (4) Criteria to limit access to treatment records.--The 
        development of criteria for the demonstration project for 
        limiting access to the treatment records of members of the 
        Armed Forces treated at the demonstration locations, including 
        when to allow, if appropriate, appropriate access and 
        notification to military commanders consistent with guidelines 
        developed under paragraph (3).
            (5) Criteria for fitness for duty.--The development of 
        criteria for determining fitness for duty and deployment for a 
        member of the Armed Forces that does not depend solely on the 
        number of visits to mental health providers by the member.
            (6) Guidelines for payment.--The development of guidelines 
        for ensuring that demonstration sites under the demonstration 
        project receive payment from the Department of Defense for 
        treating members of the Armed Forces notwithstanding any 
        requirements of the Department that prohibit such payments 
        without certain commander notification or personnel 
        documentation requirements.
            (7) Changes related to disclosure of services received 
        under project.--The provision of changes as necessary to ensure 
        that those receiving care at demonstration locations are not 
        required to reveal any services they receive at these locations 
        on any military form or questionnaire, except to comply with 
        any guidelines developed under paragraph (3).
            (8) Standards to assess effectiveness of project.--The 
        development of evaluation standards and criteria to use to 
        assess the effectiveness of the demonstration project in 
        increasing access to care, decreasing stigma, and improving 
        high quality mental health care provided to members of the 
        Armed Forces. As appropriate, the evaluation should be 
        structured to include both pre- and post-demonstration 
        assessments of changes in--
                    (A) access and utilization of care;
                    (B) costs of care;
                    (C) outcomes of care;
                    (D) member satisfaction with access to and quality 
                of care; and
                    (E) impact on the ability of military commanders to 
                determine member fitness for duty and deployability.
    (e) Submission of Plan and Deadline.--
            (1) Plan.--The Special Working Group shall submit to the 
        Secretary of Defense a plan with details on the implementation 
        and evaluation of the demonstration project. After approval of 
        the plan by the Secretary, the Special Working Group shall 
        submit to Congress the plan.
            (2) Deadline.--All duties of the Special Working group, 
        including submission of the plan under paragraph (1), shall be 
        completed before selection of any site of the demonstration 
        project under section 3 but in no case shall the date of 
        completion of such duties be later than one year after the date 
        of the enactment of this Act.
    (f) Application of Guidelines and Recommendations.--The guidelines 
and other recommendations, including changes and standards, developed 
by the Special Working Group under this section shall be applicable 
only to the demonstration project unless the Secretary of Defense 
determines otherwise.

SEC. 5. ADVISORY GROUP FOR OVERSIGHT OF DEMONSTRATION PROGRAM.

    (a) Establishment.--The Secretary of Defense shall establish an 
advisory group of qualified individuals to oversee implementation of 
the demonstration project.
    (b) Duties.--The advisory group shall--
            (1) ensure that the demonstration project adheres to the 
        guidelines developed by the Special Working Group under section 
        4;
            (2) ensure that plans for implementing the demonstration at 
        selected sites are developed and include--
                    (A) outreach strategies to ensure that participants 
                in the project are informed about the availability of 
                the programs being provided under the project; and
                    (B) a plan for training and certifying mental 
                health providers as well as the development of 
                strategies and settings, including settings that are 
                not located at military treatment facilities, where 
                care can be offered;
            (3) ensure that the demonstration project has detailed 
        evaluation plans, using the criteria and standards developed by 
        the Special Working Group; and
            (4) ensure that independent evaluations of the 
        demonstration project are conducted in accordance with the 
        guidelines developed by the Special Working Group, and that the 
        results of those evaluations are provided to the Secretary of 
        Defense.

SEC. 6. REPORTS ON DEMONSTRATION PROJECT.

    (a) Reports Required.--
            (1) In general.--The Secretary of Defense shall submit to 
        the Committees on Armed Services of the Senate and the House of 
        Representatives two reports on the demonstration project.
            (2) First report.--The first report shall examine and 
        assess the plan developed by the Special Working Group under 
        section 4(e)(1) for implementation and evaluation of the 
        demonstration project.
            (3) Second report.--The second report shall include the 
        following:
                    (A) The results of the demonstration project, 
                evaluated in accordance with the guidelines and other 
                criteria, changes, and standards developed by the 
                Special Working Group.
                    (B) Recommendations on whether any of the policy 
                changes tested in the demonstration project should be 
                adopted throughout the Department of Defense.
                    (C) A plan to ensure that each member of the Armed 
                Forces participating in the demonstration project 
                continues to have access to mental health services and 
                providers after the conclusion of the demonstration 
                project.
    (b) Deadlines.--The first report under this section shall be 
submitted not later than one year after the date the demonstration 
project begins to be implemented. The second report shall be submitted 
at the completion of the demonstration project.

SEC. 7. STUDY AND REPORT ON RETENTION OF MILITARY MENTAL HEALTH 
              PROFESSIONALS.

    (a) Study.--The Secretary of Defense, in consultation with the 
Surgeon General of each branch of the Armed Forces, shall conduct a 
study to determine the reasons for attrition among military mental 
health professionals and to make recommendations to increase 
recruitment and retention of military mental health professionals, such 
as through scholarships, loan forgiveness, or updates in current 
recruiting bonuses.
    (b) Report.--Not later than six months after the date of the 
enactment of this Act, the Secretary of Defense shall submit to 
Congress a report on the study conducted and recommendations made under 
subsection (a), including--
            (1) the estimated cost of implementing each such 
        recommendation;
            (2) with respect to each branch of the Armed Forces, an 
        estimate of the existing number of military mental health 
        professionals and the estimated number of such professionals 
        required to meet demand, including for future years, for mental 
        health services; and
            (3) any recommendations for legislative changes necessary 
        to implement the recommendations made under such study.
    (c) Military Mental Health Professional Defined.--For purposes of 
this section, the term ``military mental health professional'' means a 
mental health professional who provides mental health services to 
members of the Armed Forces, whether such professional is a member of 
the Armed Forces, an employee of the Department of Defense, or a 
contractor of the Department of Defense.
[EX A]: Helping Those Who Serve Act - Directs the Secretary of Defense to conduct a demonstration project (project) designed to: (1) increase access of members of the Armed Forces (members) returning from deployment abroad, and their families, to accessible, safe, and confidential mental health counseling; (2) reduce the stigma and career repercussions associated with seeking such services; and (3) make high-quality mental health services more user-friendly to such members and their families.

Requires the Secretary to: (1) establish a Special Working Group to develop guidelines and recommendations to ensure the protection of confidentiality for members participating in the project; (2) establish an advisory group to oversee project implementation; (3) submit project reports to the congressional defense committees; and (4) conduct a study of reasons for attrition among military mental health professionals, and make recommendations to increase the recruitment and retention of such individuals.

[EX Q]: SECTION 1. DEDUCTION FOR QUALIFIED SMALL BUSINESS INCOME.

    (a) In General.--Paragraph (1) of section 199(a) of the Internal 
Revenue Code of 1986 is amended to read as follows:
            ``(1) In general.--There shall be allowed as a deduction an 
        amount equal to the sum of--
                    ``(A) 9 percent of the lesser of--
                            ``(i) the qualified production activities 
                        income of the taxpayer for the taxable year, or
                            ``(ii) taxable income (determined without 
                        regard to this section) for the taxable year, 
                        and
                    ``(B) in the case of a qualified small business for 
                a taxable year beginning in 2010 or 2011, 20 percent of 
                the lesser of--
                            ``(i) the qualified small business income 
                        of the taxpayer for the taxable year, or
                            ``(ii) taxable income (determined without 
                        regard to this section) for the taxable 
                        year.''.
    (b) Qualified Small Business; Qualified Small Business Income.--
Section 199 of such Code is amended by adding at the end the following 
new subsection:
    ``(e) Qualified Small Business; Qualified Small Business Income.--
            ``(1) Qualified small business.--
                    ``(A) In general.--For purposes of this section, 
                the term `qualified small business' means any taxpayer 
                for any taxable year if the annual average number of 
                employees employed by such taxpayer during such taxable 
                year was 500 or fewer.
                    ``(B) Aggregation rule.--For purposes of 
                subparagraph (A), any person treated as a single 
                employer under subsection (a) or (b) of section 52 
                (applied without regard to section 1563(b)) or 
                subsection (m) or (o) of section 414 shall be treated 
                as 1 taxpayer for purposes of this subsection.
                    ``(C) Special rule.--If a taxpayer is treated as a 
                qualified small business for any taxable year, the 
                taxpayer shall not fail to be treated as a qualified 
                small business for any subsequent taxable year solely 
                because the number of employees employed by such 
                taxpayer during such subsequent taxable year exceeds 
                500. The preceding sentence shall cease to apply to 
                such taxpayer in the first taxable year in which there 
                is an ownership change (as defined by section 382(g) in 
                respect of a corporation, or by applying principles 
                analogous to such ownership change in the case of a 
                taxpayer that is a partnership) with respect to the 
                stock (or partnership interests) of the taxpayer.
            ``(2) Qualified small business income.--
                    ``(A) In general.--For purposes of this section, 
                the term `qualified small business income' means the 
                excess of--
                            ``(i) the income of the qualified small 
                        business which--
                                    ``(I) is attributable to the actual 
                                conduct of a trade or business,
                                    ``(II) is income from sources 
                                within the United States (within the 
                                meaning of section 861), and
                                    ``(III) is not passive income (as 
                                defined in section 904(d)(2)(B)), over
                            ``(ii) the sum of--
                                    ``(I) the cost of goods sold that 
                                are allocable to such income, and
                                    ``(II) other expenses, losses, or 
                                deductions (other than the deduction 
                                allowed under this section), which are 
                                properly allocable to such income.
                    ``(B) Exceptions.--The following shall not be 
                treated as income of a qualified small business for 
                purposes of subparagraph (A):
                            ``(i) Any income which is attributable to 
                        any property described in section 1400N(p)(3).
                            ``(ii) Any income which is attributable to 
                        the ownership or management of any professional 
                        sports team.
                            ``(iii) Any income which is attributable to 
                        a trade or business described in subparagraph 
                        (B) of section 1202(e)(3).
                            ``(iv) Any income which is attributable to 
                        any property with respect to which records are 
                        required to be maintained under section 2257 of 
                        title 18, United States Code.
                    ``(C) Allocation rules, etc.--Rules similar to the 
                rules of paragraphs (2), (3), (4)(D), and (7) of 
                subsection (c) shall apply for purposes of this 
                paragraph.
            ``(3) Special rules.--Except as otherwise provided by the 
        Secretary, rules similar to the rules of subsection (d) shall 
        apply for purposes of this subsection.''.
    (c) Conforming Amendments.--
            (1) Section 199(a)(2) of such Code is amended by striking 
        ``paragraph (1)'' and inserting ``paragraph (1)(A)''.
            (2) The following provisions of section 199 of such Code 
        are each amended by striking ``(a)(1)(B)'' and inserting 
        ``(a)(1)(A)(ii)'':
                    (A) Subsection (d)(2).
                    (B) Subsection (d)(6)(B).
                    (C) Subsection (d)(7).
    (d) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2009.
[EX A]:
Amends the Internal Revenue Code to allow a small business that employs 500 or fewer employees a tax deduction in 2010 and 2011 for 20% of the lesser of its qualified small business income or its taxable income. Defines "qualified small business income" to include income which is from sources within the United States and which is not passive income.