Middle Class Tax Relief and Job Creation Act of 2012
PL 112-96 (H.R.3630), enacted 02/22/2012

126 STAT. 156 
PUBLIC LAW 112–96—FEB. 22, 2012 
Public Law 112–96 
112th Congress 
An Act 
To provide incentives for the creation of jobs, and for other purposes. 
Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 
(a) SHORT TITLE.—This Act may be cited as the ‘‘Middle Class 
Tax Relief and Job Creation Act of 2012’’. 
(b) TABLE OF CONTENTS.—The table of contents for this Act 
is as follows: 
Sec. 1. Short title; table of contents. 
TITLE I—EXTENSION OF PAYROLL TAX REDUCTION 
Sec. 1001. Extension of payroll tax reduction. 
TITLE II—UNEMPLOYMENT BENEFIT CONTINUATION AND PROGRAM 
IMPROVEMENT 
Sec. 2001. Short title. 
Subtitle A—Reforms of Unemployment Compensation to Promote Work and Job 
Creation 
Sec. 2101. Consistent job search requirements. 
Sec. 2102. State flexibility to promote the reemployment of unemployed workers. 
Sec. 2103. Improving program integrity by better recovery of overpayments. 
Sec. 2104. Data exchange standardization for improved interoperability. 
Sec. 2105. Drug testing of applicants. 
Subtitle B—Provisions Relating To Extended Benefits 
Sec. 2121. Short title. 
Sec. 2122. Extension and modification of emergency unemployment compensation 
program. 
Sec. 2123. Temporary extension of extended benefit provisions. 
Sec. 2124. Additional extended unemployment benefits under the Railroad Unem-
ployment Insurance Act. 
Subtitle C—Improving Reemployment Strategies Under the Emergency 
Unemployment Compensation Program 
Sec. 2141. Improved work search for the long-term unemployed. 
Sec. 2142. Reemployment services and reemployment and eligibility assessment ac-
tivities. 
Sec. 2143. Promoting program integrity through better recovery of overpayments. 
Sec. 2144. Restore State flexibility to improve unemployment program solvency. 
Subtitle D—Short-Time Compensation Program 
Sec. 2160. Short title. 
Sec. 2161. Treatment of short-time compensation programs. 
Sec. 2162. Temporary financing of short-time compensation payments in States 
with programs in law. 
Sec. 2163. Temporary financing of short-time compensation agreements. 
Sec. 2164. Grants for short-time compensation programs. 
Sec. 2165. Assistance and guidance in implementing programs. 
Middle Class Tax 
Relief and Job 
Creation Act 
of 2012. 
26 USC 1 note. 
Feb. 22, 2012 
[H.R. 3630] 
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126 STAT. 157 
PUBLIC LAW 112–96—FEB. 22, 2012 
Sec. 2166. Reports. 
Subtitle E—Self-Employment Assistance 
Sec. 2181. State administration of self-employment assistance programs. 
Sec. 2182. Grants for self-employment assistance programs. 
Sec. 2183. Assistance and guidance in implementing self-employment assistance 
programs. 
Sec. 2184. Definitions. 
TITLE III—MEDICARE AND OTHER HEALTH PROVISIONS 
Subtitle A—Medicare Extensions 
Sec. 3001. Extension of MMA section 508 reclassifications. 
Sec. 3002. Extension of outpatient hold harmless payments. 
Sec. 3003. Physician payment update. 
Sec. 3004. Work geographic adjustment. 
Sec. 3005. Payment for outpatient therapy services. 
Sec. 3006. Payment for technical component of certain physician pathology services. 
Sec. 3007. Ambulance add-on payments. 
Subtitle B—Other Health Provisions 
Sec. 3101. Qualifying individual program. 
Sec. 3102. Transitional medical assistance. 
Subtitle C—Health Offsets 
Sec. 3201. Reduction of bad debt treated as an allowable cost. 
Sec. 3202. Rebase Medicare clinical laboratory payment rates. 
Sec. 3203. Rebasing State DSH allotments for fiscal year 2021. 
Sec. 3204. Technical correction to the disaster recovery FMAP provision. 
Sec. 3205. Prevention and Public Health Fund. 
TITLE IV—TANF EXTENSION 
Sec. 4001. Short title. 
Sec. 4002. Extension of program. 
Sec. 4003. Data exchange standardization for improved interoperability. 
Sec. 4004. Spending policies for assistance under State TANF programs. 
Sec. 4005. Technical corrections. 
TITLE V—FEDERAL EMPLOYEES RETIREMENT 
Sec. 5001. Increase in contributions to Federal Employees’ Retirement System for 
new employees. 
Sec. 5002. Foreign Service Pension System. 
Sec. 5003. Central Intelligence Agency Retirement and Disability System. 
TITLE VI—PUBLIC SAFETY COMMUNICATIONS AND ELECTROMAGNETIC 
SPECTRUM AUCTIONS 
Sec. 6001. Definitions. 
Sec. 6002. Rule of construction. 
Sec. 6003. Enforcement. 
Sec. 6004. National security restrictions on use of funds and auction participation. 
Subtitle A—Reallocation of Public Safety Spectrum 
Sec. 6101. Reallocation of D block to public safety. 
Sec. 6102. Flexible use of narrowband spectrum. 
Sec. 6103. 470–512 MHz public safety spectrum. 
Subtitle B—Governance of Public Safety Spectrum 
Sec. 6201. Single public safety wireless network licensee. 
Sec. 6202. Public safety broadband network. 
Sec. 6203. Public Safety Interoperability Board. 
Sec. 6204. Establishment of the First Responder Network Authority. 
Sec. 6205. Advisory committees of the First Responder Network Authority. 
Sec. 6206. Powers, duties, and responsibilities of the First Responder Network Au-
thority. 
Sec. 6207. Initial funding for the First Responder Network Authority. 
Sec. 6208. Permanent self-funding; duty to assess and collect fees for network use. 
Sec. 6209. Audit and report. 
Sec. 6210. Annual report to Congress. 
Sec. 6211. Public safety roaming and priority access. 
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126 STAT. 158 
PUBLIC LAW 112–96—FEB. 22, 2012 
Sec. 6212. Prohibition on direct offering of commercial telecommunications service 
directly to consumers. 
Sec. 6213. Provision of technical assistance. 
Subtitle C—Public Safety Commitments 
Sec. 6301. State and Local Implementation Fund. 
Sec. 6302. State and local implementation. 
Sec. 6303. Public safety wireless communications research and development. 
Subtitle D—Spectrum Auction Authority 
Sec. 6401. Deadlines for auction of certain spectrum. 
Sec. 6402. General authority for incentive auctions. 
Sec. 6403. Special requirements for incentive auction of broadcast TV spectrum. 
Sec. 6404. Certain conditions on auction participation prohibited. 
Sec. 6405. Extension of auction authority. 
Sec. 6406. Unlicensed use in the 5 GHz band. 
Sec. 6407. Guard bands and unlicensed use. 
Sec. 6408. Study on receiver performance and spectrum efficiency. 
Sec. 6409. Wireless facilities deployment. 
Sec. 6410. Functional responsibility of NTIA to ensure efficient use of spectrum. 
Sec. 6411. System certification. 
Sec. 6412. Deployment of 11 GHz, 18 GHz, and 23 GHz microwave bands. 
Sec. 6413. Public Safety Trust Fund. 
Sec. 6414. Study on emergency communications by amateur radio and impediments 
to amateur radio communications. 
Subtitle E—Next Generation 9–1–1 Advancement Act of 2012 
Sec. 6501. Short title. 
Sec. 6502. Definitions. 
Sec. 6503. Coordination of 9–1–1 implementation. 
Sec. 6504. Requirements for multi-line telephone systems. 
Sec. 6505. GAO study of State and local use of 9–1–1 service charges. 
Sec. 6506. Parity of protection for provision or use of Next Generation 9–1–1 serv-
ices. 
Sec. 6507. Commission proceeding on autodialing. 
Sec. 6508. Report on costs for requirements and specifications of Next Generation 
9–1–1 services. 
Sec. 6509. Commission recommendations for legal and statutory framework for 
Next Generation 9–1–1 services. 
Subtitle F—Telecommunications Development Fund 
Sec. 6601. No additional Federal funds. 
Sec. 6602. Independence of the Fund. 
Subtitle G—Federal Spectrum Relocation 
Sec. 6701. Relocation of and spectrum sharing by Federal Government stations. 
Sec. 6702. Spectrum Relocation Fund. 
Sec. 6703. National security and other sensitive information. 
TITLE VII—MISCELLANEOUS PROVISIONS 
Sec. 7001. Repeal of certain shifts in the timing of corporate estimated tax pay-
ments. 
Sec. 7002. Repeal of requirement relating to time for remitting certain merchandise 
processing fees. 
Sec. 7003. Treatment for PAYGO purposes. 
TITLE I—EXTENSION OF PAYROLL TAX 
REDUCTION 
SEC. 1001. EXTENSION OF PAYROLL TAX REDUCTION. 
(a) IN GENERAL.—Subsection (c) of section 601 of the Tax Relief, 
Unemployment Insurance Reauthorization, and Job Creation Act 
of 2010 (26 U.S.C. 1401 note) is amended to read as follows: 
‘‘(c) PAYROLL TAX HOLIDAY PERIOD.—The term ‘payroll tax holi-
day period’ means calendar years 2011 and 2012.’’. 
(b) CONFORMING AMENDMENTS.—Section 601 of such Act (26 
U.S.C. 1401 note) is amended by striking subsections (f) and (g). 
Definition. 
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126 STAT. 159 
PUBLIC LAW 112–96—FEB. 22, 2012 
(c) EFFECTIVE DATE.—The amendments made by this section 
shall apply to remuneration received, and taxable years beginning, 
after December 31, 2011. 
TITLE 
II—UNEMPLOYMENT 
BENEFIT 
CONTINUATION AND PROGRAM IM-
PROVEMENT 
SEC. 2001. SHORT TITLE. 
This title may be cited as the ‘‘Extended Benefits, Reemploy-
ment, and Program Integrity Improvement Act’’. 
Subtitle 
A—Reforms 
of 
Unemployment 
Compensation to Promote Work and Job 
Creation 
SEC. 2101. CONSISTENT JOB SEARCH REQUIREMENTS. 
(a) IN GENERAL.—Section 303(a) of the Social Security Act 
is amended by adding at the end the following: 
‘‘(12) A requirement that, as a condition of eligibility for 
regular compensation for any week, a claimant must be able 
to work, available to work, and actively seeking work.’’. 
(b) EFFECTIVE DATE.—The amendment made by subsection (a) 
shall apply to weeks beginning after the end of the first session 
of the State legislature which begins after the date of enactment 
of this Act. 
SEC. 2102. STATE FLEXIBILITY TO PROMOTE THE REEMPLOYMENT 
OF UNEMPLOYED WORKERS. 
Title III of the Social Security Act (42 U.S.C. 501 and following) 
is amended by adding at the end the following: 
‘‘DEMONSTRATION PROJECTS 
‘‘SEC. 305. (a) The Secretary of Labor may enter into agree-
ments, with up to 10 States that submit an application described 
in subsection (b), for the purpose of allowing such States to conduct 
demonstration projects to test and evaluate measures designed— 
‘‘(1) to expedite the reemployment of individuals who have 
established a benefit year and are otherwise eligible to claim 
unemployment compensation under the State law of such State; 
or 
‘‘(2) to improve the effectiveness of a State in carrying 
out its State law with respect to reemployment. 
‘‘(b) The Governor of any State desiring to conduct a demonstra-
tion project under this section shall submit an application to the 
Secretary of Labor. Any such application shall include— 
‘‘(1) a general description of the proposed demonstration 
project, including the authority (under the laws of the State) 
for the measures to be tested, as well as the period of time 
during which such demonstration project would be conducted; 
‘‘(2) if a waiver under subsection (c) is requested, a state-
ment describing the specific aspects of the project to which 
42 USC 505. 
42 USC 503 note. 
42 USC 503. 
Extended 
Benefits, 
Reemployment, 
and Program 
Integrity 
Improvement 
Act. 
State and local 
governments. 
26 USC 1 note. 
26 USC 1401 
note. 
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126 STAT. 160 
PUBLIC LAW 112–96—FEB. 22, 2012 
the waiver would apply and the reasons why such waiver 
is needed; 
‘‘(3) a description of the goals and the expected pro-
grammatic outcomes of the demonstration project, including 
how the project would contribute to the objective described 
in subsection (a)(1), subsection (a)(2), or both; 
‘‘(4) assurances (accompanied by supporting analysis) that 
the demonstration project would operate for a period of at 
least 1 calendar year and not result in any increased net 
costs to the State’s account in the Unemployment Trust Fund; 
‘‘(5) a description of the manner in which the State— 
‘‘(A) will conduct an impact evaluation, using a method-
ology appropriate to determine the effects of the demonstra-
tion project, including on individual skill levels, earnings, 
and employment retention; and 
‘‘(B) will determine the extent to which the goals and 
outcomes described in paragraph (3) were achieved; 
‘‘(6) assurances that the State will provide any reports 
relating to the demonstration project, after its approval, as 
the Secretary of Labor may require; and 
‘‘(7) assurances that employment meets the State’s suitable 
work requirement and the requirements of section 3304(a)(5) 
of the Internal Revenue Code of 1986. 
‘‘(c) The Secretary of Labor may waive any of the requirements 
of section 3304(a)(4) of the Internal Revenue Code of 1986 or of 
paragraph (1) or (5) of section 303(a), to the extent and for the 
period the Secretary of Labor considers necessary to enable the 
State to carry out a demonstration project under this section. 
‘‘(d) A demonstration project under this section— 
‘‘(1) may be commenced any time after the date of enact-
ment of this section; 
‘‘(2) may not be approved for a period of time greater 
than 3 years; and 
‘‘(3) must be completed by not later than December 31, 
2015. 
‘‘(e) Activities that may be pursued under a demonstration 
project under this section are limited to— 
‘‘(1) subsidies for employer-provided training, such as wage 
subsidies; and 
‘‘(2) direct disbursements to employers who hire individuals 
receiving unemployment compensation, not to exceed the 
weekly benefit amount for each such individual, to pay part 
of the cost of wages that exceed the unemployed individual’s 
prior benefit level. 
‘‘(f) The Secretary of Labor shall, in the case of any State 
for which an application is submitted under subsection (b)— 
‘‘(1) notify the State as to whether such application has 
been approved or denied within 30 days after receipt of a 
complete application; and 
‘‘(2) provide public notice of the decision within 10 days 
after providing notification to the State in accordance with 
paragraph (1). 
Public notice under paragraph (2) may be provided through the 
Internet or other appropriate means. Any application under this 
section that has not been denied within the 30-day period described 
in paragraph (1) shall be deemed approved, and public notice of 
Notice. 
Notification. 
Time periods. 
Deadline. 
Time period. 
Waiver authority. 
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126 STAT. 161 
PUBLIC LAW 112–96—FEB. 22, 2012 
any approval under this sentence shall be provided within 10 days 
thereafter. 
‘‘(g) The Secretary of Labor may terminate a demonstration 
project under this section if the Secretary determines that the 
State has violated the substantive terms or conditions of the project. 
‘‘(h) Funding certified under section 302(a) may be used for 
an approved demonstration project.’’. 
SEC. 2103. IMPROVING PROGRAM INTEGRITY BY BETTER RECOVERY 
OF OVERPAYMENTS. 
(a) USE OF UNEMPLOYMENT COMPENSATION TO REPAY OVERPAY-
MENTS.—Section 3304(a)(4)(D) of the Internal Revenue Code of 1986 
and section 303(g)(1) of the Social Security Act are each amended 
by striking ‘‘may’’ and inserting ‘‘shall’’. 
(b) USE OF UNEMPLOYMENT COMPENSATION TO REPAY FEDERAL 
ADDITIONAL COMPENSATION OVERPAYMENTS.—Section 303(g)(3) of 
the Social Security Act is amended by inserting ‘‘Federal additional 
compensation,’’ after ‘‘trade adjustment allowances,’’. 
(c) EFFECTIVE DATE.—The amendments made by this section 
shall apply to weeks beginning after the end of the first session 
of the State legislature which begins after the date of enactment 
of this Act. 
SEC. 2104. DATA EXCHANGE STANDARDIZATION FOR IMPROVED INTER-
OPERABILITY. 
(a) IN GENERAL.—Title IX of the Social Security Act is amended 
by adding at the end the following: 
‘‘DATA EXCHANGE STANDARDIZATION FOR IMPROVED 
INTEROPERABILITY 
‘‘Data Exchange Standards 
‘‘SEC. 911. (a)(1) The Secretary of Labor, in consultation with 
an interagency work group which shall be established by the Office 
of Management and Budget, and considering State and employer 
perspectives, shall, by rule, designate a data exchange standard 
for any category of information required under title III, title XII, 
or this title. 
‘‘(2) Data exchange standards designated under paragraph (1) 
shall, to the extent practicable, be nonproprietary and interoperable. 
‘‘(3) In designating data exchange standards under this sub-
section, the Secretary of Labor shall, to the extent practicable, 
incorporate— 
‘‘(A) interoperable standards developed and maintained by 
an international voluntary consensus standards body, as 
defined by the Office of Management and Budget, such as 
the International Organization for Standardization; 
‘‘(B) interoperable standards developed and maintained by 
intergovernmental partnerships, such as the National Informa-
tion Exchange Model; and 
‘‘(C) interoperable standards developed and maintained by 
Federal entities with authority over contracting and financial 
assistance, such as the Federal Acquisition Regulations Council. 
Establishment. 
Regulations. 
42 USC 1111. 
26 USC 3304 
note. 
26 USC 3304; 
42 USC 503. 
Determination. 
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126 STAT. 162 
PUBLIC LAW 112–96—FEB. 22, 2012 
‘‘Data Exchange Standards for Reporting 
‘‘(b)(1) The Secretary of Labor, in consultation with an inter-
agency work group established by the Office of Management and 
Budget, and considering State and employer perspectives, shall, 
by rule, designate data exchange standards to govern the reporting 
required under title III, title XII, or this title. 
‘‘(2) The data exchange standards required by paragraph (1) 
shall, to the extent practicable— 
‘‘(A) incorporate a widely accepted, nonproprietary, search-
able, computer-readable format; 
‘‘(B) 
be 
consistent 
with 
and 
implement 
applicable 
accounting principles; and 
‘‘(C) be capable of being continually upgraded as necessary. 
‘‘(3) In designating reporting standards under this subsection, 
the Secretary of Labor shall, to the extent practicable, incorporate 
existing nonproprietary standards, such as the eXtensible Markup 
Language.’’. 
(b) EFFECTIVE DATES.— 
(1) DATA EXCHANGE STANDARDS.—The Secretary of Labor 
shall issue a proposed rule under section 911(a)(1) of the Social 
Security Act (as added by subsection (a)) within 12 months 
after the date of the enactment of this section, and shall issue 
a final rule under such section 911(a)(1), after public comment, 
within 24 months after such date of enactment. 
(2) DATA REPORTING STANDARDS.—The reporting standards 
required under section 911(b)(1) of such Act (as so added) 
shall become effective with respect to reports required in the 
first reporting period, after the effective date of the final rule 
referred to in paragraph (1) of this subsection, for which the 
authority for data collection and reporting is established or 
renewed under the Paperwork Reduction Act. 
SEC. 2105. DRUG TESTING OF APPLICANTS. 
Section 303 of the Social Security Act is amended by adding 
at the end the following: 
‘‘(l)(1) Nothing in this Act or any other provision of Federal 
law shall be considered to prevent a State from enacting legislation 
to provide for— 
‘‘(A) testing an applicant for unemployment compensation 
for the unlawful use of controlled substances as a condition 
for receiving such compensation, if such applicant— 
‘‘(i) was terminated from employment with the 
applicant’s most recent employer (as defined under the 
State law) because of the unlawful use of controlled sub-
stances; or 
‘‘(ii) is an individual for whom suitable work (as defined 
under the State law) is only available in an occupation 
that regularly conducts drug testing (as determined under 
regulations issued by the Secretary of Labor); or 
‘‘(B) denying such compensation to such applicant on the 
basis of the result of the testing conducted by the State under 
legislation described in subparagraph (A). 
‘‘(2) For purposes of this subsection— 
‘‘(A) the term ‘unemployment compensation’ has the 
meaning given such term in subsection (d)(2)(A); and 
Definitions. 
Regulations. 
42 USC 305. 
42 USC 1111 
note. 
Time periods. 
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126 STAT. 163 
PUBLIC LAW 112–96—FEB. 22, 2012 
‘‘(B) the term ‘controlled substance’ has the meaning given 
such term in section 102 of the Controlled Substances Act 
(21 U.S.C. 802).’’. 
Subtitle B—Provisions Relating To 
Extended Benefits 
SEC. 2121. SHORT TITLE. 
This subtitle may be cited as the ‘‘Unemployment Benefits 
Extension Act of 2012’’. 
SEC. 
2122. 
EXTENSION 
AND 
MODIFICATION 
OF 
EMERGENCY 
UNEMPLOYMENT COMPENSATION PROGRAM. 
(a) EXTENSION.—Section 4007 of the Supplemental Appropria-
tions Act, 2008 (Public Law 110–252; 26 U.S.C. 3304 note) is 
amended— 
(1) in subsection (a)— 
(A) by striking ‘‘Except as provided in subsection (b), 
an’’ and inserting ‘‘An’’; and 
(B) by striking ‘‘March 6, 2012’’ and inserting ‘‘January 
2, 2013’’; and 
(2) by striking subsection (b) and inserting the following: 
‘‘(b) TERMINATION.—No compensation under this title shall be 
payable for any week subsequent to the last week described in 
subsection (a).’’. 
(b) MODIFICATIONS RELATING TO TRIGGERS.— 
(1) FOR
SECOND-TIER
EMERGENCY
UNEMPLOYMENT
COM-
PENSATION.—Section 4002(c) of such Act is amended— 
(A) in the subsection heading, by striking ‘‘SPECIAL 
RULE’’ and inserting ‘‘SECOND-TIER EMERGENCY UNEMPLOY-
MENT COMPENSATION’’; 
(B) in paragraph (1), by striking ‘‘At’’ and all that 
follows through ‘‘augmented by an amount’’ and inserting 
‘‘If, at the time that the amount established in an individ-
ual’s account under subsection (b) is exhausted or at any 
time thereafter, such individual’s State is in an extended 
benefit period (as determined under paragraph (2)), such 
account shall be augmented by an amount (hereinafter 
‘second-tier emergency unemployment compensation’)’’; 
(C) by redesignating paragraph (2) as paragraph (4); 
and 
(D) by inserting after paragraph (1) the following: 
‘‘(2) EXTENDED
BENEFIT
PERIOD.—For purposes of para-
graph (1), a State shall be considered to be in an extended 
benefit period, as of any given time, if such a period would 
then be in effect for such State under such Act if— 
‘‘(A) section 203(f) of the Federal-State Extended 
Unemployment Compensation Act of 1970 were applied 
to such State (regardless of whether the State by law 
had provided for such application); and 
‘‘(B) such section 203(f)— 
‘‘(i) were applied by substituting the applicable 
percentage under paragraph (3) for ‘6.5 percent’ in 
paragraph (1)(A)(i) thereof; and 
‘‘(ii) did not include the requirement under para-
graph (1)(A)(ii) thereof. 
Applicability. 
26 USC 3304 
note. 
26 USC 1 note. 
Unemployment 
Benefits 
Extension Act 
of 2012. 
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126 STAT. 164 
PUBLIC LAW 112–96—FEB. 22, 2012 
‘‘(3) APPLICABLE PERCENTAGE.—The applicable percentage 
under this paragraph is, for purposes of determining if a State 
is in an extended benefit period as of a date occurring in 
a week ending— 
‘‘(A) before June 1, 2012, 0 percent; and 
‘‘(B) after the last week under subparagraph (A), 6 
percent.’’. 
(2) FOR THIRD-TIER EMERGENCY UNEMPLOYMENT COMPENSA-
TION.—Section 4002(d) of such Act is amended— 
(A) in paragraph (2)(A), by striking ‘‘under such Act’’ 
and 
inserting 
‘‘under 
the 
Federal-State 
Extended 
Unemployment Compensation Act of 1970’’; 
(B) in paragraph (2)(B)(ii)(I), by striking the matter 
after ‘‘substituting’’ and before ‘‘in paragraph (1)(A)(i) 
thereof’’ and inserting ‘‘the applicable percentage under 
paragraph (3) for ‘6.5 percent’ ’’; 
(C) by redesignating paragraph (3) as paragraph (4); 
and 
(D) by inserting after paragraph (2) the following: 
‘‘(3) APPLICABLE PERCENTAGE.—The applicable percentage 
under this paragraph is, for purposes of determining if a State 
is in an extended benefit period as of a date occurring in 
a week ending— 
‘‘(A) before June 1, 2012, 6 percent; and 
‘‘(B) after the last week under subparagraph (A), 7 
percent.’’. 
(3) FOR
FOURTH-TIER
EMERGENCY
UNEMPLOYMENT
COM-
PENSATION.—Section 4002(e) of such Act is amended— 
(A) in paragraph (2)(A), by striking ‘‘under such Act’’ 
and 
inserting 
‘‘under 
the 
Federal-State 
Extended 
Unemployment Compensation Act of 1970’’; 
(B) in paragraph (2)(B)(ii)(I), by striking the matter 
after ‘‘substituting’’ and before ‘‘in paragraph (1)(A)(i) 
thereof’’ and inserting ‘‘the applicable percentage under 
paragraph (3) for ‘6.5 percent’ ’’; 
(C) by redesignating paragraph (3) as paragraph (4); 
and 
(D) by inserting after paragraph (2) the following: 
‘‘(3) APPLICABLE PERCENTAGE.—The applicable percentage 
under this paragraph is, for purposes of determining if a State 
is in an extended benefit period as of a date occurring in 
a week ending— 
‘‘(A) before June 1, 2012, 8.5 percent; and 
‘‘(B) after the last week under subparagraph (A), 9 
percent.’’. 
(c) MODIFICATIONS
RELATING
TO
WEEKS
OF
EMERGENCY 
UNEMPLOYMENT COMPENSATION.— 
(1) NUMBER
OF
WEEKS
IN
FIRST
TIER
BEGINNING
AFTER 
SEPTEMBER 2, 2012.—Section 4002(b) of such Act is amended— 
(A) by redesignating paragraph (2) as paragraph (3); 
and 
(B) by inserting after paragraph (1) the following: 
‘‘(2) SPECIAL RULE RELATING TO AMOUNTS ESTABLISHED IN 
AN ACCOUNT AS OF A WEEK ENDING AFTER SEPTEMBER 2, 2012.— 
Notwithstanding any provision of paragraph (1), in the case 
of any account established as of a week ending after September 
2, 2012— 
Applicability. 
26 USC 3304 
note. 
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126 STAT. 165 
PUBLIC LAW 112–96—FEB. 22, 2012 
‘‘(A) paragraph (1)(A) shall be applied by substituting 
‘54 percent’ for ‘80 percent’; and 
‘‘(B) paragraph (1)(B) shall be applied by substituting 
‘14 weeks’ for ‘20 weeks’.’’. 
(2) NUMBER OF WEEKS IN THIRD TIER BEGINNING AFTER 
SEPTEMBER 2, 2012.—Section 4002(d) of such Act is amended 
by adding after paragraph (4) (as so redesignated by subsection 
(b)(2)(C)) the following: 
‘‘(5) SPECIAL RULE RELATING TO AMOUNTS ADDED TO AN 
ACCOUNT AS OF A WEEK ENDING AFTER SEPTEMBER 2, 2012.— 
Notwithstanding any provision of paragraph (1), if augmenta-
tion under this subsection occurs as of a week ending after 
September 2, 2012— 
‘‘(A) paragraph (1)(A) shall be applied by substituting 
‘35 percent’ for ‘50 percent’; and 
‘‘(B) paragraph (1)(B) shall be applied by substituting 
‘9 times’ for ‘13 times’.’’. 
(3) NUMBER OF WEEKS IN FOURTH TIER.—Section 4002(e) 
of such Act is amended by adding after paragraph (4) (as 
so redesignated by subsection (b)(3)(C)) the following: 
‘‘(5) SPECIAL RULES RELATING TO AMOUNTS ADDED TO AN 
ACCOUNT.— 
‘‘(A) MARCH TO MAY OF 2012.— 
‘‘(i) SPECIAL RULE.—Notwithstanding any provision 
of paragraph (1) but subject to the following 2 sen-
tences, if augmentation under this subsection occurs 
as of a week ending after the date of enactment of 
this paragraph and before June 1, 2012 (or if, as of 
such date of enactment, any fourth-tier amounts 
remain in the individual’s account)— 
‘‘(I) paragraph (1)(A) shall be applied by sub-
stituting ‘62 percent’ for ‘24 percent’; and 
‘‘(II) paragraph (1)(B) shall be applied by sub-
stituting ‘16 times’ for ‘6 times’. 
The preceding sentence shall apply only if, at the time 
that the account would be augmented under this 
subparagraph, such individual’s State is not in an 
extended benefit period as determined under the Fed-
eral-State Extended Unemployment Compensation Act 
of 1970. In no event shall the total amount added 
to the account of an individual under this subpara-
graph cause, in the case of an individual described 
in the parenthetical matter in the first sentence of 
this clause, the sum of the total amount previously 
added to such individual’s account under this sub-
section (as in effect before the date of enactment of 
this paragraph) and any further amounts added as 
a result of the enactment of this clause, to exceed 
the total amount allowable under subclause (I) or (II), 
as the case may be. 
‘‘(ii) 
LIMITATION.—Notwithstanding 
any 
other 
provision of this title, the amounts added to the account 
of an individual under this subparagraph may not 
cause the sum of the amounts previously established 
in or added to such account, plus any weeks of extended 
benefits provided to such individual under the Federal- 
State Extended Unemployment Compensation Act of 
Applicability. 
Applicability. 
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126 STAT. 166 
PUBLIC LAW 112–96—FEB. 22, 2012 
1970 (based on the same exhaustion of regular com-
pensation under section 4001(b)(1)), to in the aggregate 
exceed the lesser of— 
‘‘(I) 282 percent of the total amount of regular 
compensation (including dependents’ allowances) 
payable to the individual during the individual’s 
benefit year under the State law; or 
‘‘(II) 73 times the individual’s average weekly 
benefit amount (as determined under subsection 
(b)(3)) for the benefit year. 
‘‘(B) AFTER
AUGUST
OF
2012.—Notwithstanding any 
provision of paragraph (1), if augmentation under this sub-
section occurs as of a week ending after September 2, 
2012— 
‘‘(i) paragraph (1)(A) shall be applied by sub-
stituting ‘39 percent’ for ‘24 percent’; and 
‘‘(ii) paragraph (1)(B) shall be applied by sub-
stituting ‘10 times’ for ‘6 times’.’’. 
(d) ORDER OF PAYMENTS REQUIREMENT.— 
(1) IN GENERAL.—Section 4001(e) of such Act is amended 
to read as follows: 
‘‘(e) COORDINATION RULE.—An agreement under this section 
shall apply with respect to a State only upon a determination 
by the Secretary that, under the State law or other applicable 
rules of such State, the payment of extended compensation for 
which an individual is otherwise eligible must be deferred until 
after the payment of any emergency unemployment compensation 
under section 4002, as amended by the Unemployment Benefits 
Extension Act of 2012, for which the individual is concurrently 
eligible.’’. 
(2) TECHNICAL
AND
CONFORMING
AMENDMENTS.—Section 
4001(b)(2) of such Act is amended— 
(A) by striking ‘‘or extended compensation’’; and 
(B) by striking ‘‘law (except as provided under sub-
section (e));’’ and inserting ‘‘law;’’. 
(e) FUNDING.—Section 4004(e)(1) of such Act is amended— 
(1) in subparagraph (G), by striking ‘‘and’’ at the end; 
and 
(2) by inserting after subparagraph (H) the following: 
‘‘(I) the amendments made by section 2122 of the 
Unemployment Benefits Extension Act of 2012; and’’. 
(f) EFFECTIVE DATES.— 
(1) IN GENERAL.—The amendments made by subsections 
(b), (c), and (d) shall take effect as of February 28, 2012, 
and shall apply with respect to weeks of unemployment begin-
ning after that date. 
(2) WEEK DEFINED.—For purposes of this subsection, the 
term ‘‘week’’ has the meaning given such term under section 
4006 of the Supplemental Appropriations Act, 2008. 
SEC. 2123. TEMPORARY EXTENSION OF EXTENDED BENEFIT PROVI-
SIONS. 
(a) 
IN
GENERAL.—Section 
2005 
of 
the 
Assistance 
for 
Unemployed Workers and Struggling Families Act, as contained 
in Public Law 111–5 (26 U.S.C. 3304 note), is amended— 
(1) by striking ‘‘March 7, 2012’’ each place it appears and 
inserting ‘‘December 31, 2012’’; and 
26 USC 3304 
note. 
26 USC 3304 
note. 
Applicability. 
Determination. 
26 USC 3304 
note. 
Applicability. 
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126 STAT. 167 
PUBLIC LAW 112–96—FEB. 22, 2012 
(2) in subsection (c), by striking ‘‘August 15, 2012’’ and 
inserting ‘‘June 30, 2013’’. 
(b) EXTENSION OF MATCHING FOR STATES WITH NO WAITING 
WEEK.—Section 5 of the Unemployment Compensation Extension 
Act of 2008 (Public Law 110–449; 26 U.S.C. 3304 note) is amended 
by striking ‘‘August 15, 2012’’ and inserting ‘‘June 30, 2013’’. 
(c) EXTENSION OF MODIFICATION OF INDICATORS UNDER THE 
EXTENDED BENEFIT PROGRAM.—Section 203 of the Federal-State 
Extended Unemployment Compensation Act of 1970 (26 U.S.C. 
3304 note) is amended— 
(1) in subsection (d), by striking ‘‘February 29, 2012’’ and 
inserting ‘‘December 31, 2012’’; and 
(2) in subsection (f)(2), by striking ‘‘February 29, 2012’’ 
and inserting ‘‘December 31, 2012’’. 
(d) EFFECTIVE DATE.—The amendments made by this section 
shall take effect as if included in the enactment of the Temporary 
Payroll Tax Cut Continuation Act of 2011 (Public Law 112–78). 
SEC. 2124. ADDITIONAL EXTENDED UNEMPLOYMENT BENEFITS UNDER 
THE RAILROAD UNEMPLOYMENT INSURANCE ACT. 
(a) 
EXTENSION.—Section 
2(c)(2)(D)(iii) 
of 
the 
Railroad 
Unemployment Insurance Act, as added by section 2006 of the 
American Recovery and Reinvestment Act of 2009 (Public Law 
111–5) and as amended by section 9 of the Worker, Homeownership, 
and Business Assistance Act of 2009 (Public Law 111–92), section 
505 of the Tax Relief, Unemployment Insurance Reauthorization, 
and Job Creation Act of 2010 (Public Law 111–312), and section 
202 of the Temporary Payroll Tax Cut Continuation Act of 2011 
(Public Law 112–78), is amended— 
(1) by striking ‘‘August 31, 2011’’ and inserting ‘‘June 30, 
2012’’; and 
(2) by striking ‘‘February 29, 2012’’ and inserting 
‘‘December 31, 2012’’. 
(b) CLARIFICATION
ON
AUTHORITY
TO
USE
FUNDS.—Funds 
appropriated under either the first or second sentence of clause 
(iv) of section 2(c)(2)(D) of the Railroad Unemployment Insurance 
Act shall be available to cover the cost of additional extended 
unemployment benefits provided under such section 2(c)(2)(D) by 
reason of the amendments made by subsection (a) as well as to 
cover the cost of such benefits provided under such section 
2(c)(2)(D), as in effect on the day before the date of enactment 
of this Act. 
(c) FUNDING FOR ADMINISTRATION.—Out of any funds in the 
Treasury not otherwise appropriated, there are appropriated to 
the Railroad Retirement Board $500,000 for administrative 
expenses associated with the payment of additional extended 
unemployment benefits provided under section 2(c)(2)(D) of the 
Railroad Unemployment Insurance Act by reason of the amend-
ments made by subsection (a), to remain available until expended. 
Appropriation 
authorization. 
45 USC 352. 
26 USC 3304 
note. 
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126 STAT. 168 
PUBLIC LAW 112–96—FEB. 22, 2012 
Subtitle 
C—Improving 
Reemployment 
Strategies Under the Emergency Unem-
ployment Compensation Program 
SEC. 
2141. 
IMPROVED 
WORK 
SEARCH 
FOR 
THE 
LONG-TERM 
UNEMPLOYED. 
(a) IN GENERAL.—Section 4001(b) of the Supplemental Appro-
priations Act, 2008 (Public Law 110–252; 26 U.S.C. 3304 note) 
is amended— 
(1) by striking ‘‘and’’ at the end of paragraph (2); 
(2) by striking the period at the end of paragraph (3) 
and inserting ‘‘; and’’; and 
(3) by adding at the end the following: 
‘‘(4) are able to work, available to work, and actively 
seeking work.’’. 
(b) ACTIVELY SEEKING WORK.—Section 4001 of such Act is 
amended by adding at the end the following: 
‘‘(h) ACTIVELY SEEKING WORK.— 
‘‘(1) IN GENERAL.—For purposes of subsection (b)(4), the 
term ‘actively seeking work’ means, with respect to any indi-
vidual, that such individual— 
‘‘(A) is registered for employment services in such a 
manner and to such extent as prescribed by the State 
agency; 
‘‘(B) has engaged in an active search for employment 
that is appropriate in light of the employment available 
in the labor market, the individual’s skills and capabilities, 
and includes a number of employer contacts that is con-
sistent with the standards communicated to the individual 
by the State; 
‘‘(C) has maintained a record of such work search, 
including employers contacted, method of contact, and date 
contacted; and 
‘‘(D) when requested, has provided such work search 
record to the State agency. 
‘‘(2) RANDOM AUDITING.—The Secretary shall establish for 
each State a minimum number of claims for which work search 
records must be audited on a random basis in any given week.’’. 
SEC. 2142. REEMPLOYMENT SERVICES AND REEMPLOYMENT AND 
ELIGIBILITY ASSESSMENT ACTIVITIES. 
(a) PROVISION OF SERVICES AND ACTIVITIES.—Section 4001 of 
such Act, as amended by section 2141(b), is further amended by 
adding at the end the following: 
‘‘(i) PROVISION OF SERVICES AND ACTIVITIES.— 
‘‘(1) IN GENERAL.—An agreement under this section shall 
require the following: 
‘‘(A) The State which is party to such agreement shall 
provide reemployment services and reemployment and 
eligibility assessment activities to each individual— 
‘‘(i) who, on or after the 30th day after the date 
of enactment of the Extended Benefits, Reemployment, 
and Program Integrity Improvement Act, begins 
receiving amounts described in subsections (b) and (c); 
and 
Claims. 
Definition. 
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126 STAT. 169 
PUBLIC LAW 112–96—FEB. 22, 2012 
‘‘(ii) while such individual continues to receive 
emergency unemployment compensation under this 
title. 
‘‘(B) As a condition of eligibility for emergency 
unemployment compensation for any week— 
‘‘(i) a claimant who has been duly referred to 
reemployment services shall participate in such serv-
ices; and 
‘‘(ii) a claimant shall be actively seeking work 
(determined applying subsection (i)). 
‘‘(2) DESCRIPTION
OF
SERVICES
AND
ACTIVITIES.—The 
reemployment services and in-person reemployment and eligi-
bility assessment activities provided to individuals receiving 
emergency unemployment compensation described in paragraph 
(1)— 
‘‘(A) shall include— 
‘‘(i) the provision of labor market and career 
information; 
‘‘(ii) an assessment of the skills of the individual; 
‘‘(iii) orientation to the services available through 
the one-stop centers established under title I of the 
Workforce Investment Act of 1998; and 
‘‘(iv) review of the eligibility of the individual for 
emergency unemployment compensation relating to the 
job search activities of the individual; and 
‘‘(B) may include the provision of— 
‘‘(i) comprehensive and specialized assessments; 
‘‘(ii) individual and group career counseling; 
‘‘(iii) training services; 
‘‘(iv) additional reemployment services; and 
‘‘(v) job search counseling and the development 
or review of an individual reemployment plan that 
includes participation in job search activities and 
appropriate workshops. 
‘‘(3) PARTICIPATION REQUIREMENT.—As a condition of con-
tinuing eligibility for emergency unemployment compensation 
for any week, an individual who has been referred to reemploy-
ment services or reemployment and eligibility assessment 
activities under this subsection shall participate in such serv-
ices or activities, unless the State agency responsible for the 
administration of State unemployment compensation law deter-
mines that— 
‘‘(A) such individual has completed participating in 
such services or activities; or 
‘‘(B) there is justifiable cause for failure to participate 
or to complete participating in such services or activities, 
as determined in accordance with guidance to be issued 
by the Secretary.’’. 
(b) ISSUANCE OF GUIDANCE.—Not later than 30 days after the 
date of enactment of this Act, the Secretary shall issue guidance 
on the implementation of the reemployment services and reemploy-
ment and eligibility assessment activities required to be provided 
under the amendment made by subsection (a). 
(c) FUNDING.— 
(1) IN
GENERAL.—Section 4004(c) of the Supplemental 
Appropriations Act, 2008 (Public Law 110–252; 26 U.S.C. 3304 
note) is amended— 
Deadline. 
26 USC 3304 
note. 
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126 STAT. 170 
PUBLIC LAW 112–96—FEB. 22, 2012 
(A) by striking ‘‘STATES.—There’’ and inserting the fol-
lowing: ‘‘STATES.— 
‘‘(1) ADMINISTRATION.—There’’; and 
(B) by adding at the end the following new paragraph: 
‘‘(2) REEMPLOYMENT
SERVICES
AND
REEMPLOYMENT
AND 
ELIGIBILITY ASSESSMENT ACTIVITIES.— 
‘‘(A) APPROPRIATION.—There are appropriated from the 
general fund of the Treasury, for the period of fiscal year 
2012 through fiscal year 2013, out of the employment secu-
rity administration account (as established by section 
901(a) of the Social Security Act), such sums as determined 
by the Secretary of Labor in accordance with subparagraph 
(B) to assist States in providing reemployment services 
and reemployment and eligibility assessment activities 
described in section 4001(h)(2). 
‘‘(B) DETERMINATION OF TOTAL AMOUNT.—The amount 
referred to in subparagraph (A) is the amount the Secretary 
of Labor estimates is equal to— 
‘‘(i) the number of individuals who will receive 
reemployment services and reemployment eligibility 
and 
assessment 
activities 
described 
in 
section 
4001(h)(2) in all States through the date specified in 
section 4007(b)(3); multiplied by 
‘‘(ii) $85. 
‘‘(C) DISTRIBUTION
AMONG
STATES.—Of the amounts 
appropriated under subparagraph (A), the Secretary of 
Labor shall distribute amounts to each State, in accordance 
with section 4003(c), that the Secretary estimates is equal 
to— 
‘‘(i) the number of individuals who will receive 
reemployment services and reemployment and eligi-
bility assessment activities described in section 
4001(h)(2) in such State through the date specified 
in section 4007(b)(3); multiplied by 
‘‘(ii) $85.’’. 
(2) TRANSFER OF FUNDS.—Section 4004(e) of the Supple-
mental Appropriations Act, 2008 (Public Law 110–252; 26 
U.S.C. 3304 note) is amended— 
(A) in paragraph (1)(G), by striking ‘‘and’’ at the end; 
(B) in paragraph (2), by striking the period at the 
end and inserting ‘‘; and’’; and 
(C) by adding at the end the following paragraph: 
‘‘(3) to the Employment Security Administration account 
(as established by section 901(a) of the Social Security Act) 
such sums as the Secretary of Labor determines to be necessary 
in accordance with subsection (c)(2) to assist States in providing 
reemployment services and reemployment eligibility and assess-
ment activities described in section 4001(h)(2).’’. 
SEC. 2143. PROMOTING PROGRAM INTEGRITY THROUGH BETTER 
RECOVERY OF OVERPAYMENTS. 
Section 4005(c)(1) of the Supplemental Appropriations Act, 2008 
(Public Law 110–252; 26 U.S.C. 3304 note) is amended— 
(1) by striking ‘‘may’’ and inserting ‘‘shall’’; and 
(2) by striking ‘‘except that’’ and all that follows through 
‘‘made’’ and inserting ‘‘in accordance with the same procedures 
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126 STAT. 171 
PUBLIC LAW 112–96—FEB. 22, 2012 
as apply to the recovery of overpayments of regular unemploy-
ment benefits paid by the State’’. 
SEC. 2144. RESTORE STATE FLEXIBILITY TO IMPROVE UNEMPLOY-
MENT PROGRAM SOLVENCY. 
Subsection (g) of section 4001 of the Supplemental Appropria-
tions Act, 2008 (Public Law 110–252; 26 U.S.C. 3304 note) shall 
not apply with respect to a State that has enacted a law before 
March 1, 2012, that, upon taking effect, would violate such sub-
section. 
Subtitle D—Short-Time Compensation 
Program 
SEC. 2160. SHORT TITLE. 
This subtitle may be cited as the ‘‘Layoff Prevention Act of 
2012’’. 
SEC. 2161. TREATMENT OF SHORT-TIME COMPENSATION PROGRAMS. 
(a) DEFINITION.— 
(1) IN GENERAL.—Section 3306 of the Internal Revenue 
Code of 1986 (26 U.S.C. 3306) is amended by adding at the 
end the following new subsection: 
‘‘(v) SHORT-TIME COMPENSATION PROGRAM.—For purposes of 
this part, the term ‘short-time compensation program’ means a 
program under which— 
‘‘(1) the participation of an employer is voluntary; 
‘‘(2) an employer reduces the number of hours worked 
by employees in lieu of layoffs; 
‘‘(3) such employees whose workweeks have been reduced 
by at least 10 percent, and by not more than the percentage, 
if any, that is determined by the State to be appropriate (but 
in no case more than 60 percent), are not disqualified from 
unemployment compensation; 
‘‘(4) the amount of unemployment compensation payable 
to any such employee is a pro rata portion of the unemployment 
compensation which would otherwise be payable to the 
employee if such employee were unemployed; 
‘‘(5) such employees meet the availability for work and 
work search test requirements while collecting short-time com-
pensation benefits, by being available for their workweek as 
required by the State agency; 
‘‘(6) eligible employees may participate, as appropriate, in 
training (including employer-sponsored training or worker 
training funded under the Workforce Investment Act of 1998) 
to enhance job skills if such program has been approved by 
the State agency; 
‘‘(7) the State agency shall require employers to certify 
that if the employer provides health benefits and retirement 
benefits under a defined benefit plan (as defined in section 
414(j)) or contributions under a defined contribution plan (as 
defined in section 414(i)) to any employee whose workweek 
is reduced under the program that such benefits will continue 
to be provided to employees participating in the short-time 
compensation program under the same terms and conditions 
as though the workweek of such employee had not been reduced 
Certification. 
Definition. 
26 USC 1 note. 
Layoff 
Prevention Act 
of 2012. 
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126 STAT. 172 
PUBLIC LAW 112–96—FEB. 22, 2012 
or to the same extent as other employees not participating 
in the short-time compensation program; 
‘‘(8) the State agency shall require an employer to submit 
a written plan describing the manner in which the requirements 
of this subsection will be implemented (including a plan for 
giving advance notice, where feasible, to an employee whose 
workweek is to be reduced) together with an estimate of the 
number of layoffs that would have occurred absent the ability 
to participate in short-time compensation and such other 
information as the Secretary of Labor determines is appro-
priate; 
‘‘(9) the terms of the employer’s written plan and 
implementation shall be consistent with employer obligations 
under applicable Federal and State laws; and 
‘‘(10) upon request by the State and approval by the Sec-
retary of Labor, only such other provisions are included in 
the State law that are determined to be appropriate for pur-
poses of a short-time compensation program.’’. 
(2) EFFECTIVE DATE.—Subject to paragraph (3), the amend-
ment made by paragraph (1) shall take effect on the date 
of the enactment of this Act. 
(3) TRANSITION PERIOD FOR EXISTING PROGRAMS.—In the 
case of a State that is administering a short-time compensation 
program as of the date of the enactment of this Act and the 
State law cannot be administered consistent with the amend-
ment made by paragraph (1), such amendment shall take effect 
on the earlier of— 
(A) the date the State changes its State law in order 
to be consistent with such amendment; or 
(B) the date that is 2 years and 6 months after the 
date of the enactment of this Act. 
(b) CONFORMING AMENDMENTS.— 
(1) INTERNAL REVENUE CODE OF 1986.— 
(A) Subparagraph (E) of section 3304(a)(4) of the 
Internal Revenue Code of 1986 is amended to read as 
follows: 
‘‘(E) amounts may be withdrawn for the payment of 
short-time compensation under a short-time compensation 
program (as defined under section 3306(v));’’. 
(B) Subsection (f) of section 3306 of the Internal Rev-
enue Code of 1986 is amended— 
(i) by striking paragraph (5) (relating to short- 
time compensation) and inserting the following new 
paragraph: 
‘‘(5) amounts may be withdrawn for the payment of short- 
time compensation under a short-time compensation program 
(as defined in subsection (v)); and’’; and 
(ii) by redesignating paragraph (5) (relating to self- 
employment assistance program) as paragraph (6). 
(2) SOCIAL SECURITY ACT.—Section 303(a)(5) of the Social 
Security Act is amended by striking ‘‘the payment of short- 
time compensation under a plan approved by the Secretary 
of Labor’’ and inserting ‘‘the payment of short-time compensa-
tion under a short-time compensation program (as defined in 
section 3306(v) of the Internal Revenue Code of 1986)’’. 
(3) UNEMPLOYMENT COMPENSATION AMENDMENTS OF 1992.— 
Subsections (b) through (d) of section 401 of the Unemployment 
Repeal. 
26 USC 3304 
note. 
42 USC 503. 
26 USC 3304. 
26 USC 3306 
note. 
26 USC 3306 
note. 
Plans. 
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126 STAT. 173 
PUBLIC LAW 112–96—FEB. 22, 2012 
Compensation Amendments of 1992 (26 U.S.C. 3304 note) are 
repealed. 
SEC. 2162. TEMPORARY FINANCING OF SHORT-TIME COMPENSATION 
PAYMENTS IN STATES WITH PROGRAMS IN LAW. 
(a) PAYMENTS TO STATES.— 
(1) IN GENERAL.—Subject to paragraph (3), there shall be 
paid to a State an amount equal to 100 percent of the amount 
of short-time compensation paid under a short-time compensa-
tion program (as defined in section 3306(v) of the Internal 
Revenue Code of 1986, as added by section 2161(a)) under 
the provisions of the State law. 
(2) TERMS OF PAYMENTS.—Payments made to a State under 
paragraph (1) shall be payable by way of reimbursement in 
such amounts as the Secretary estimates the State will be 
entitled to receive under this section for each calendar month, 
reduced or increased, as the case may be, by any amount 
by which the Secretary finds that the Secretary’s estimates 
for any prior calendar month were greater or less than the 
amounts which should have been paid to the State. Such esti-
mates may be made on the basis of such statistical, sampling, 
or other method as may be agreed upon by the Secretary 
and the State agency of the State involved. 
(3) LIMITATIONS ON PAYMENTS.— 
(A) GENERAL
PAYMENT
LIMITATIONS.—No payments 
shall be made to a State under this section for short- 
time compensation paid to an individual by the State 
during a benefit year in excess of 26 times the amount 
of regular compensation (including dependents’ allowances) 
under the State law payable to such individual for a week 
of total unemployment. 
(B) EMPLOYER
LIMITATIONS.—No payments shall be 
made to a State under this section for benefits paid to 
an individual by the State under a short-time compensation 
program if such individual is employed by the participating 
employer on a seasonal, temporary, or intermittent basis. 
(b) APPLICABILITY.— 
(1) IN GENERAL.—Payments to a State under subsection 
(a) shall be available for weeks of unemployment— 
(A) beginning on or after the date of the enactment 
of this Act; and 
(B) ending on or before the date that is 3 years and 
6 months after the date of the enactment of this Act. 
(2) THREE-YEAR FUNDING LIMITATION FOR COMBINED PAY-
MENTS UNDER THIS SECTION AND SECTION 2163.—States may 
receive payments under this section and section 2163 with 
respect to a total of not more than 156 weeks. 
(c) TWO-YEAR TRANSITION PERIOD FOR EXISTING PROGRAMS.— 
During any period that the transition provision under section 
2161(a)(3) is applicable to a State with respect to a short-time 
compensation program, such State shall be eligible for payments 
under this section. Subject to paragraphs (1)(B) and (2) of subsection 
(b), if at any point after the date of the enactment of this Act 
the State enacts a State law providing for the payment of short- 
time compensation under a short-time compensation program that 
meets the definition of such a program under section 3306(v) of 
the Internal Revenue Code of 1986, as added by section 2161(a), 
Termination 
date. 
Effective date. 
26 USC 3304 
note. 
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126 STAT. 174 
PUBLIC LAW 112–96—FEB. 22, 2012 
the State shall be eligible for payments under this section after 
the effective date of such enactment. 
(d) FUNDING AND CERTIFICATIONS.— 
(1) FUNDING.—There are appropriated, out of moneys in 
the Treasury not otherwise appropriated, such sums as may 
be necessary for purposes of carrying out this section. 
(2) CERTIFICATIONS.—The Secretary shall from time to time 
certify to the Secretary of the Treasury for payment to each 
State the sums payable to such State under this section. 
(e) DEFINITIONS.—In this section: 
(1) SECRETARY.—The term ‘‘Secretary’’ means the Secretary 
of Labor. 
(2) STATE; STATE AGENCY; STATE LAW.—The terms ‘‘State’’, 
‘‘State agency’’, and ‘‘State law’’ have the meanings given those 
terms in section 205 of the Federal-State Extended Unemploy-
ment Compensation Act of 1970 (26 U.S.C. 3304 note). 
SEC. 2163. TEMPORARY FINANCING OF SHORT-TIME COMPENSATION 
AGREEMENTS. 
(a) FEDERAL-STATE AGREEMENTS.— 
(1) IN GENERAL.—Any State which desires to do so may 
enter into, and participate in, an agreement under this section 
with the Secretary provided that such State’s law does not 
provide for the payment of short-time compensation under a 
short-time compensation program (as defined in section 3306(v) 
of the Internal Revenue Code of 1986, as added by section 
2161(a)). 
(2) ABILITY TO TERMINATE.—Any State which is a party 
to an agreement under this section may, upon providing 30 
days’ written notice to the Secretary, terminate such agreement. 
(b) PROVISIONS OF FEDERAL-STATE AGREEMENT.— 
(1) IN GENERAL.—Any agreement under this section shall 
provide that the State agency of the State will make payments 
of short-time compensation under a plan approved by the State. 
Such plan shall provide that payments are made in accordance 
with the requirements under section 3306(v) of the Internal 
Revenue Code of 1986, as added by section 2161(a). 
(2) LIMITATIONS ON PLANS.— 
(A) GENERAL
PAYMENT
LIMITATIONS.—A short-time 
compensation plan approved by a State shall not permit 
the payment of short-time compensation to an individual 
by the State during a benefit year in excess of 26 times 
the amount of regular compensation (including dependents’ 
allowances) under the State law payable to such individual 
for a week of total unemployment. 
(B) EMPLOYER LIMITATIONS.—A short-time compensa-
tion plan approved by a State shall not provide payments 
to an individual if such individual is employed by the 
participating employer on a seasonal, temporary, or inter-
mittent basis. 
(3) EMPLOYER PAYMENT OF COSTS.—Any short-time com-
pensation plan entered into by an employer must provide that 
the employer will pay the State an amount equal to one- 
half of the amount of short-time compensation paid under such 
plan. Such amount shall be deposited in the State’s unemploy-
ment fund and shall not be used for purposes of calculating 
Notice. 
26 USC 3304 
note. 
Appropriation 
authorization. 
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126 STAT. 175 
PUBLIC LAW 112–96—FEB. 22, 2012 
an employer’s contribution rate under section 3303(a)(1) of the 
Internal Revenue Code of 1986. 
(c) PAYMENTS TO STATES.— 
(1) IN GENERAL.—There shall be paid to each State with 
an agreement under this section an amount equal to— 
(A) one-half of the amount of short-time compensation 
paid to individuals by the State pursuant to such agree-
ment; and 
(B) any additional administrative expenses incurred 
by the State by reason of such agreement (as determined 
by the Secretary). 
(2) TERMS OF PAYMENTS.—Payments made to a State under 
paragraph (1) shall be payable by way of reimbursement in 
such amounts as the Secretary estimates the State will be 
entitled to receive under this section for each calendar month, 
reduced or increased, as the case may be, by any amount 
by which the Secretary finds that the Secretary’s estimates 
for any prior calendar month were greater or less than the 
amounts which should have been paid to the State. Such esti-
mates may be made on the basis of such statistical, sampling, 
or other method as may be agreed upon by the Secretary 
and the State agency of the State involved. 
(3) FUNDING.—There are appropriated, out of moneys in 
the Treasury not otherwise appropriated, such sums as may 
be necessary for purposes of carrying out this section. 
(4) CERTIFICATIONS.—The Secretary shall from time to time 
certify to the Secretary of the Treasury for payment to each 
State the sums payable to such State under this section. 
(d) APPLICABILITY.— 
(1) IN GENERAL.—An agreement entered into under this 
section shall apply to weeks of unemployment— 
(A) beginning on or after the date on which such agree-
ment is entered into; and 
(B) ending on or before the date that is 2 years and 
13 weeks after the date of the enactment of this Act. 
(2) TWO-YEAR
FUNDING
LIMITATION.—States may receive 
payments under this section with respect to a total of not 
more than 104 weeks. 
(e) SPECIAL RULE.—If a State has entered into an agreement 
under this section and subsequently enacts a State law providing 
for the payment of short-time compensation under a short-time 
compensation program that meets the definition of such a program 
under section 3306(v) of the Internal Revenue Code of 1986, as 
added by section 2161(a), the State— 
(1) shall not be eligible for payments under this section 
for weeks of unemployment beginning after the effective date 
of such State law; and 
(2) subject to paragraphs (1)(B) and (2) of section 2162(b), 
shall be eligible to receive payments under section 2162 after 
the effective date of such State law. 
(f) DEFINITIONS.—In this section: 
(1) SECRETARY.—The term ‘‘Secretary’’ means the Secretary 
of Labor. 
(2) STATE; STATE AGENCY; STATE LAW.—The terms ‘‘State’’, 
‘‘State agency’’, and ‘‘State law’’ have the meanings given those 
terms in section 205 of the Federal-State Extended Unemploy-
ment Compensation Act of 1970 (26 U.S.C. 3304 note). 
Termination 
date. 
Effective date. 
Appropriation 
authorization. 
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126 STAT. 176 
PUBLIC LAW 112–96—FEB. 22, 2012 
SEC. 2164. GRANTS FOR SHORT-TIME COMPENSATION PROGRAMS. 
(a) GRANTS.— 
(1) FOR IMPLEMENTATION OR IMPROVED ADMINISTRATION.— 
The Secretary shall award grants to States that enact short- 
time compensation programs (as defined in subsection (i)(2)) 
for the purpose of implementation or improved administration 
of such programs. 
(2) FOR PROMOTION AND ENROLLMENT.—The Secretary shall 
award grants to States that are eligible and submit plans 
for a grant under paragraph (1) for such States to promote 
and enroll employers in short-time compensation programs (as 
so defined). 
(3) ELIGIBILITY.— 
(A) IN GENERAL.—The Secretary shall determine eligi-
bility criteria for the grants under paragraphs (1) and 
(2). 
(B) CLARIFICATION.—A State administering a short- 
time compensation program, including a program being 
administered by a State that is participating in the transi-
tion under the provisions of sections 301(a)(3) and 302(c), 
that does not meet the definition of a short-time compensa-
tion program under section 3306(v) of the Internal Revenue 
Code of 1986 (as added by 211(a)), and a State with an 
agreement under section 2163, shall not be eligible to 
receive a grant under this section until such time as the 
State law of the State provides for payments under a 
short-time compensation program that meets such defini-
tion and such law. 
(b) AMOUNT OF GRANTS.— 
(1) IN
GENERAL.—The maximum amount available for 
making grants to a State under paragraphs (1) and (2) shall 
be equal to the amount obtained by multiplying $100,000,000 
(less the amount used by the Secretary under subsection (e)) 
by the same ratio as would apply under subsection (a)(2)(B) 
of section 903 of the Social Security Act (42 U.S.C. 1103) 
for purposes of determining such State’s share of any excess 
amount (as described in subsection (a)(1) of such section) that 
would have been subject to transfer to State accounts, as of 
October 1, 2010, under the provisions of subsection (a) of such 
section. 
(2) AMOUNT AVAILABLE FOR DIFFERENT GRANTS.—Of the 
maximum incentive payment determined under paragraph (1) 
with respect to a State— 
(A) one-third shall be available for a grant under sub-
section (a)(1); and 
(B) two-thirds shall be available for a grant under 
subsection (a)(2). 
(c) GRANT APPLICATION AND DISBURSAL.— 
(1) APPLICATION.—Any State seeking a grant under para-
graph (1) or (2) of subsection (a) shall submit an application 
to the Secretary at such time, in such manner, and complete 
with such information as the Secretary may require. In no 
case may the Secretary award a grant under this section with 
respect to an application that is submitted after December 
31, 2014. 
(2) NOTICE.—The Secretary shall, within 30 days after 
receiving a complete application, notify the State agency of 
Deadline. 
Deadline. 
26 USC 3304 
note. 
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126 STAT. 177 
PUBLIC LAW 112–96—FEB. 22, 2012 
the State of the Secretary’s findings with respect to the require-
ments for a grant under paragraph (1) or (2) (or both) of 
subsection (a). 
(3) CERTIFICATION.—If the Secretary finds that the State 
law provisions meet the requirements for a grant under sub-
section (a), the Secretary shall thereupon make a certification 
to that effect to the Secretary of the Treasury, together with 
a certification as to the amount of the grant payment to be 
transferred to the State account in the Unemployment Trust 
Fund (as established in section 904(a) of the Social Security 
Act (42 U.S.C. 1104(a))) pursuant to that finding. The Secretary 
of the Treasury shall make the appropriate transfer to the 
State account within 7 days after receiving such certification. 
(4) REQUIREMENT.—No certification of compliance with the 
requirements for a grant under paragraph (1) or (2) of sub-
section (a) may be made with respect to any State whose— 
(A) State law is not otherwise eligible for certification 
under section 303 of the Social Security Act (42 U.S.C. 
503) or approvable under section 3304 of the Internal Rev-
enue Code of 1986; or 
(B) short-time compensation program is subject to dis-
continuation or is not scheduled to take effect within 12 
months of the certification. 
(d) USE OF FUNDS.—The amount of any grant awarded under 
this section shall be used for the implementation of short-time 
compensation programs and the overall administration of such pro-
grams and the promotion and enrollment efforts associated with 
such programs, such as through— 
(1) the creation or support of rapid response teams to 
advise employers about alternatives to layoffs; 
(2) the provision of education or assistance to employers 
to enable them to assess the feasibility of participating in 
short-time compensation programs; and 
(3) the development or enhancement of systems to auto-
mate— 
(A) the submission and approval of plans; and 
(B) the filing and approval of new and ongoing short- 
time compensation claims. 
(e) ADMINISTRATION.—The Secretary is authorized to use 0.25 
percent of the funds available under subsection (g) to provide for 
outreach and to share best practices with respect to this section 
and short-time compensation programs. 
(f) RECOUPMENT.—The Secretary shall establish a process under 
which the Secretary shall recoup the amount of any grant awarded 
under paragraph (1) or (2) of subsection (a) if the Secretary deter-
mines that, during the 5-year period beginning on the first date 
that any such grant is awarded to the State, the State— 
(1) terminated the State’s short-time compensation pro-
gram; or 
(2) failed to meet appropriate requirements with respect 
to such program (as established by the Secretary). 
(g) FUNDING.—There are appropriated, out of moneys in the 
Treasury not otherwise appropriated, to the Secretary, $100,000,000 
to carry out this section, to remain available without fiscal year 
limitation. 
Appropriation 
authorization. 
Determination. 
Time period. 
Time period. 
Deadline. 
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126 STAT. 178 
PUBLIC LAW 112–96—FEB. 22, 2012 
(h) REPORTING.—The Secretary may establish reporting require-
ments for States receiving a grant under this section in order 
to provide oversight of grant funds. 
(i) DEFINITIONS.—In this section: 
(1) SECRETARY.—The term ‘‘Secretary’’ means the Secretary 
of Labor. 
(2) SHORT-TIME COMPENSATION PROGRAM.—The term ‘‘short- 
time compensation program’’ has the meaning given such term 
in section 3306(v) of the Internal Revenue Code of 1986, as 
added by section 2161(a). 
(3) STATE; STATE AGENCY; STATE LAW.—The terms ‘‘State’’, 
‘‘State agency’’, and ‘‘State law’’ have the meanings given those 
terms in section 205 of the Federal-State Extended Unemploy-
ment Compensation Act of 1970 (26 U.S.C. 3304 note). 
SEC. 2165. ASSISTANCE AND GUIDANCE IN IMPLEMENTING PROGRAMS. 
(a) IN GENERAL.—In order to assist States in establishing, 
qualifying, and implementing short-time compensation programs 
(as defined in section 3306(v) of the Internal Revenue Code of 
1986, as added by section 2161(a)), the Secretary of Labor (in 
this section referred to as the ‘‘Secretary’’) shall— 
(1) develop model legislative language which may be used 
by States in developing and enacting such programs and 
periodically review and revise such model legislative language; 
(2) provide technical assistance and guidance in developing, 
enacting, and implementing such programs; 
(3) establish reporting requirements for States, including 
reporting on— 
(A) the number of estimated averted layoffs; 
(B) the number of participating employers and workers; 
and 
(C) such other items as the Secretary of Labor deter-
mines are appropriate. 
(b) MODEL LANGUAGE AND GUIDANCE.—The model language 
and guidance developed under subsection (a) shall allow sufficient 
flexibility by States and participating employers while ensuring 
accountability and program integrity. 
(c) CONSULTATION.—In developing the model legislative lan-
guage and guidance under subsection (a), and in order to meet 
the requirements of subsection (b), the Secretary shall consult with 
employers, labor organizations, State workforce agencies, and other 
program experts. 
SEC. 2166. REPORTS. 
(a) REPORT.— 
(1) IN GENERAL.—Not later than 4 years after the date 
of the enactment of this Act, the Secretary of Labor shall 
submit to Congress and to the President a report or reports 
on the implementation of the provisions of this subtitle. 
(2) REQUIREMENTS.—Any report under paragraph (1) shall 
at a minimum include the following: 
(A) A description of best practices by States and 
employers in the administration, promotion, and use of 
short-time compensation programs (as defined in section 
3306(v) of the Internal Revenue Code of 1986, as added 
by section 2161(a)). 
Requirements. 
26 USC 3304 
note. 
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126 STAT. 179 
PUBLIC LAW 112–96—FEB. 22, 2012 
(B) An analysis of the significant challenges to State 
enactment and implementation of short-time compensation 
programs. 
(C) A survey of employers in all States to determine 
the level of interest in participating in short-time com-
pensation programs. 
(b) FUNDING.—There are appropriated, out of any moneys in 
the Treasury not otherwise appropriated, to the Secretary of Labor, 
$1,500,000 to carry out this section, to remain available without 
fiscal year limitation. 
Subtitle E—Self-Employment Assistance 
SEC. 2181. STATE ADMINISTRATION OF SELF-EMPLOYMENT ASSIST-
ANCE PROGRAMS. 
(a) AVAILABILITY FOR INDIVIDUALS RECEIVING EXTENDED COM-
PENSATION.—Title II of the Federal-State Extended Unemployment 
Compensation Act of 1970 (26 U.S.C. 3304 note) is amended by 
inserting at the end the following new section: 
‘‘AUTHORITY TO CONDUCT SELF-EMPLOYMENT ASSISTANCE PROGRAMS 
‘‘SEC. 208. (a)(1) At the option of a State, for any weeks of 
unemployment beginning after the date of enactment of this section, 
the State agency of the State may establish a self-employment 
assistance program, as described in subsection (b), to provide for 
the payment of extended compensation as self-employment assist-
ance allowances to individuals who would otherwise satisfy the 
eligibility criteria under this title. 
‘‘(2) Subject to paragraph (3), the self-employment assistance 
allowance described in paragraph (1) shall be paid to an eligible 
individual from such individual’s extended compensation account, 
as described in section 202(b), and the amount in such account 
shall be reduced accordingly. 
‘‘(3)(A) Subject to subparagraph (B), for purposes of self-employ-
ment assistance programs established under this section and section 
4001(j) of the Supplemental Appropriations Act, 2008, an individual 
shall be provided with self-employment assistance allowances under 
such programs for a total of not greater than 26 weeks (referred 
to in this section as the ‘combined eligibility limit’). 
‘‘(B) For purposes of an individual who is participating in 
a self-employment assistance program established under this sec-
tion and has not reached the combined eligibility limit as of the 
date on which such individual exhausts all rights to extended 
compensation under this title, the individual shall be eligible to 
receive self-employment assistance allowances under a self-employ-
ment assistance program established under section 4001(j) of the 
Supplemental Appropriations Act, 2008, until such individual has 
reached the combined eligibility limit, provided that the individual 
otherwise satisfies the eligibility criteria described under title IV 
of such Act. 
‘‘(b) For the purposes of this section, the term ‘self-employment 
assistance program’ means a program as defined under section 
3306(t) of the Internal Revenue Code of 1986, except as follows: 
‘‘(1) all references to ‘regular unemployment compensation 
under the State law’ shall be deemed to refer instead to 
Appropriation 
authorization. 
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126 STAT. 180 
PUBLIC LAW 112–96—FEB. 22, 2012 
‘extended compensation under title II of the Federal-State 
Extended Unemployment Compensation Act of 1970’; 
‘‘(2) paragraph (3)(B) shall not apply; 
‘‘(3) clause (i) of paragraph (3)(C) shall be deemed to state 
as follows: 
‘‘ ‘(i) include any entrepreneurial training that the 
State or non-profit organizations may provide in 
coordination with programs of training offered by the 
Small Business Administration, which may include 
business counseling, mentorship for participants, 
access to small business development resources, and 
technical assistance; and’; 
‘‘(4) the reference to ‘5 percent’ in paragraph (4) shall 
be deemed to refer instead to ‘1 percent’; and 
‘‘(5) paragraph (5) shall not apply. 
‘‘(c) In the case of an individual who is eligible to receive 
extended compensation under this title, such individual shall not 
receive self-employment assistance allowances under this section 
unless the State agency has a reasonable expectation that such 
individual will be entitled to at least 13 times the individual’s 
average weekly benefit amount of extended compensation and emer-
gency unemployment compensation. 
‘‘(d)(1) An individual who is participating in a self-employment 
assistance program established under this section may elect to 
discontinue participation in such program at any time. 
‘‘(2) For purposes of an individual whose participation in a 
self-employment assistance program established under this section 
is terminated pursuant to subsection (a)(3) or who has discontinued 
participation in such program, if the individual continues to satisfy 
the eligibility requirements for extended compensation under this 
title, the individual shall receive extended compensation payments 
with respect to subsequent weeks of unemployment, to the extent 
that amounts remain in the account established for such individual 
under section 202(b).’’. 
(b) AVAILABILITY
FOR
INDIVIDUALS
RECEIVING
EMERGENCY 
UNEMPLOYMENT COMPENSATION.—Section 4001 of the Supplemental 
Appropriations Act, 2008 (Public Law 110–252; 26 U.S.C. 3304 
note), as amended by sections 2141(b) and 2142(a), is further 
amended by inserting at the end the following new subsection: 
‘‘(j) AUTHORITY
TO CONDUCT SELF-EMPLOYMENT ASSISTANCE 
PROGRAM.— 
‘‘(1) IN GENERAL.— 
‘‘(A) ESTABLISHMENT.—Any agreement under sub-
section (a) may provide that the State agency of the State 
shall establish a self-employment assistance program, as 
described in paragraph (2), to provide for the payment 
of emergency unemployment compensation as self-employ-
ment assistance allowances to individuals who would other-
wise satisfy the eligibility criteria specified in subsection 
(b). 
‘‘(B) PAYMENT OF ALLOWANCES.—Subject to subpara-
graph (C), the self-employment assistance allowance 
described in subparagraph (A) shall be paid to an eligible 
individual from such individual’s emergency unemployment 
compensation account, as described in section 4002, and 
the amount in such account shall be reduced accordingly. 
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126 STAT. 181 
PUBLIC LAW 112–96—FEB. 22, 2012 
‘‘(C) LIMITATION ON SELF-EMPLOYMENT ASSISTANCE FOR 
INDIVIDUALS
RECEIVING
EXTENDED
COMPENSATION
AND 
EMERGENCY UNEMPLOYMENT COMPENSATION.— 
‘‘(i) COMBINED
ELIGIBILITY
LIMIT.—Subject to 
clause (ii), for purposes of self-employment assistance 
programs established under this subsection and section 
208 of the Federal-State Extended Unemployment 
Compensation Act of 1970, an individual shall be pro-
vided with self-employment assistance allowances 
under such programs for a total of not greater than 
26 weeks (referred to in this subsection as the ‘com-
bined eligibility limit’). 
‘‘(ii) CARRYOVER RULE.—For purposes of an indi-
vidual who is participating in a self-employment assist-
ance program established under this subsection and 
has not reached the combined eligibility limit as of 
the date on which such individual exhausts all rights 
to extended compensation under this title, the indi-
vidual shall be eligible to receive self-employment 
assistance allowances under a self-employment assist-
ance program established under section 208 of the 
Federal-State Extended Unemployment Compensation 
Act of 1970 until such individual has reached the com-
bined eligibility limit, provided that the individual 
otherwise satisfies the eligibility criteria described 
under title II of such Act. 
‘‘(2) DEFINITION
OF ‘SELF-EMPLOYMENT
ASSISTANCE
PRO-
GRAM’.—For the purposes of this section, the term ‘self-employ-
ment assistance program’ means a program as defined under 
section 3306(t) of the Internal Revenue Code of 1986, except 
as follows: 
‘‘(A) all references to ‘regular unemployment compensa-
tion under the State law’ shall be deemed to refer instead 
to ‘emergency unemployment compensation under title IV 
of the Supplemental Appropriations Act, 2008’; 
‘‘(B) paragraph (3)(B) shall not apply; 
‘‘(C) clause (i) of paragraph (3)(C) shall be deemed 
to state as follows: 
‘‘ ‘(i) include any entrepreneurial training that the 
State or non-profit organizations may provide in 
coordination with programs of training offered by the 
Small Business Administration, which may include 
business counseling, mentorship for participants, 
access to small business development resources, and 
technical assistance; and’; 
‘‘(D) the reference to ‘5 percent’ in paragraph (4) shall 
be deemed to refer instead to ‘1 percent’; and 
‘‘(E) paragraph (5) shall not apply. 
‘‘(3) AVAILABILITY OF SELF-EMPLOYMENT ASSISTANCE ALLOW-
ANCES.—In the case of an individual who is eligible to receive 
emergency unemployment compensation payment under this 
title, such individual shall not receive self-employment assist-
ance allowances under this subsection unless the State agency 
has a reasonable expectation that such individual will be enti-
tled to at least 13 times the individual’s average weekly benefit 
amount of extended compensation and emergency unemploy-
ment compensation. 
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126 STAT. 182 
PUBLIC LAW 112–96—FEB. 22, 2012 
‘‘(4) PARTICIPANT OPTION TO TERMINATE PARTICIPATION IN 
SELF-EMPLOYMENT ASSISTANCE PROGRAM.— 
‘‘(A) TERMINATION.—An individual who is participating 
in a self-employment assistance program established under 
this subsection may elect to discontinue participation in 
such program at any time. 
‘‘(B) 
CONTINUED
ELIGIBILITY
FOR
EMERGENCY 
UNEMPLOYMENT COMPENSATION.—For purposes of an indi-
vidual whose participation in the self-employment assist-
ance program established under this subsection is termi-
nated pursuant to paragraph (1)(C) or who has discontinued 
participation in such program, if the individual continues 
to satisfy the eligibility requirements for emergency 
unemployment compensation under this title, the indi-
vidual shall receive emergency unemployment compensa-
tion payments with respect to subsequent weeks of 
unemployment, to the extent that amounts remain in the 
account established for such individual under section 
4002(b) or to the extent that such individual commences 
receiving the amounts described in subsections (c), (d), 
or (e) of such section, respectively.’’. 
SEC. 2182. GRANTS FOR SELF-EMPLOYMENT ASSISTANCE PROGRAMS. 
(a) IN GENERAL.— 
(1) ESTABLISHMENT OR IMPROVED ADMINISTRATION.—Sub-
ject to the requirements established under subsection (b), the 
Secretary shall award grants to States for the purposes of— 
(A) improved administration of self-employment assist-
ance programs that have been established, prior to the 
date of the enactment of this Act, pursuant to section 
3306(t) of the Internal Revenue Code of 1986 (26 U.S.C. 
3306(t)), for individuals who are eligible to receive regular 
unemployment compensation; 
(B) development, implementation, and administration 
of self-employment assistance programs that are estab-
lished, subsequent to the date of the enactment of this 
Act, pursuant to section 3306(t) of the Internal Revenue 
Code of 1986, for individuals who are eligible to receive 
regular unemployment compensation; and 
(C) development, implementation, and administration 
of self-employment assistance programs that are estab-
lished pursuant to section 208 of the Federal-State 
Extended Unemployment Compensation Act of 1970 or sec-
tion 4001(j) of the Supplemental Appropriations Act, 2008, 
for individuals who are eligible to receive extended com-
pensation or emergency unemployment compensation. 
(2) PROMOTION AND ENROLLMENT.—Subject to the require-
ments established under subsection (b), the Secretary shall 
award additional grants to States that submit approved applica-
tions for a grant under paragraph (1) for such States to promote 
self-employment assistance programs and enroll unemployed 
individuals in such programs. 
(b) APPLICATION AND DISBURSAL.— 
(1) APPLICATION.—Any State seeking a grant under para-
graph (1) or (2) of subsection (a) shall submit an application 
to the Secretary at such time, in such manner, and containing 
such information as is determined appropriate by the Secretary. 
26 USC 3304 
note. 
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126 STAT. 183 
PUBLIC LAW 112–96—FEB. 22, 2012 
In no case shall the Secretary award a grant under this section 
with respect to an application that is submitted after December 
31, 2013. 
(2) NOTICE.—Not later than 30 days after receiving an 
application described in paragraph (1) from a State, the Sec-
retary shall notify the State agency as to whether a grant 
has been approved for such State for the purposes described 
in subsection (a). 
(3) CERTIFICATION.—If the Secretary determines that a 
State has met the requirements for a grant under subsection 
(a), the Secretary shall make a certification to that effect to 
the Secretary of the Treasury, as well as a certification as 
to the amount of the grant payment to be transferred to the 
State account in the Unemployment Trust Fund under section 
904 of the Social Security Act (42 U.S.C. 1104). The Secretary 
of the Treasury shall make the appropriate transfer to the 
State account not later than 7 days after receiving such certifi-
cation. 
(c) ALLOTMENT FACTORS.—For purposes of allotting the funds 
available under subsection (d) to States that have met the require-
ments for a grant under this section, the amount of the grant 
provided to each State shall be determined based upon the percent-
age of unemployed individuals in the State relative to the percent-
age of unemployed individuals in all States. 
(d) FUNDING.—There are appropriated, out of moneys in the 
Treasury not otherwise appropriated, $35,000,000 for the period 
of fiscal year 2012 through fiscal year 2013 for purposes of carrying 
out the grant program under this section, 
SEC. 2183. ASSISTANCE AND GUIDANCE IN IMPLEMENTING SELF- 
EMPLOYMENT ASSISTANCE PROGRAMS. 
(a) MODEL
LANGUAGE
AND
GUIDANCE.—For purposes of 
assisting States in establishing, improving, and administering self- 
employment assistance programs, the Secretary shall— 
(1) develop model language that may be used by States 
in enacting such programs, as well as periodically review and 
revise such model language; and 
(2) provide technical assistance and guidance in estab-
lishing, improving, and administering such programs. 
(b) REPORTING AND EVALUATION.— 
(1) REPORTING.—The Secretary shall establish reporting 
requirements for States that have established self-employment 
assistance programs, which shall include reporting on— 
(A) the total number of individuals who received 
unemployment compensation and— 
(i) were referred to a self-employment assistance 
program; 
(ii) participated in such program; and 
(iii) received an allowance under such program; 
(B) the total amount of allowances provided to individ-
uals participating in a self-employment assistance program; 
(C) the total income (as determined by survey or other 
appropriate method) for businesses that have been estab-
lished by individuals participating in a self-employment 
assistance program, as well as the total number of individ-
uals employed through such businesses; and 
Review. 
26 USC 3304 
note. 
Appropriation 
authorization. 
Determination. 
Transfer 
authority. 
Deadline. 
Determination. 
Deadline. 
Deadline. 
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126 STAT. 184 
PUBLIC LAW 112–96—FEB. 22, 2012 
(D) any additional information, as determined appro-
priate by the Secretary. 
(2) EVALUATION.—Not later than 5 years after the date 
of the enactment of this Act, the Secretary shall submit to 
Congress a report that evaluates the effectiveness of self- 
employment 
assistance 
programs 
established 
by 
States, 
including— 
(A) an analysis of the implementation and operation 
of self-employment assistance programs by States; 
(B) an evaluation of the economic outcomes for individ-
uals who participated in a self-employment assistance pro-
gram as compared to individuals who received unemploy-
ment compensation and did not participate in a self-employ-
ment assistance program, including a comparison as to 
employment status, income, and duration of receipt of 
unemployment compensation or self-employment assistance 
allowances; and 
(C) an evaluation of the state of the businesses started 
by individuals who participated in a self-employment 
assistance program, including information regarding— 
(i) the type of businesses established; 
(ii) the sustainability of the businesses; 
(iii) the total income collected by the businesses; 
(iv) the total number of individuals employed 
through such businesses; and 
(v) the estimated Federal and State tax revenue 
collected from such businesses and their employees. 
(c) FLEXIBILITY
AND ACCOUNTABILITY.—The model language, 
guidance, and reporting requirements developed by the Secretary 
under subsections (a) and (b) shall— 
(1) allow sufficient flexibility for States and participating 
individuals; and 
(2) ensure accountability and program integrity. 
(d) CONSULTATION.—For purposes of developing the model lan-
guage, guidance, and reporting requirements described under sub-
sections (a) and (b), the Secretary shall consult with employers, 
labor organizations, State agencies, and other relevant program 
experts. 
(e) ENTREPRENEURIAL TRAINING PROGRAMS.—The Secretary 
shall utilize resources available through the Department of Labor 
and coordinate with the Administrator of the Small Business 
Administration to ensure that adequate funding is reserved and 
made available for the provision of entrepreneurial training to 
individuals participating in self-employment assistance programs. 
(f) SELF-EMPLOYMENT ASSISTANCE PROGRAM.—For purposes of 
this section, the term ‘‘self-employment assistance program’’ means 
a program established pursuant to section 3306(t) of the Internal 
Revenue Code of 1986 (26 U.S.C. 3306(t)), section 208 of the Federal- 
State Extended Unemployment Compensation Act of 1970, or sec-
tion 4001(j) of the Supplemental Appropriations Act, 2008, for 
individuals who are eligible to receive regular unemployment com-
pensation, extended compensation, or emergency unemployment 
compensation. 
SEC. 2184. DEFINITIONS. 
In this subtitle: 
26 USC 3304 
note. 
Definition. 
Deadline. 
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126 STAT. 185 
PUBLIC LAW 112–96—FEB. 22, 2012 
(1) SECRETARY.—The term ‘‘Secretary’’ means the Secretary 
of Labor. 
(2) STATE; STATE AGENCY.—The terms ‘‘State’’ and ‘‘State 
agency’’ have the meanings given such terms under section 
205 of the Federal-State Extended Unemployment Compensa-
tion Act of 1970 (26 U.S.C. 3304 note). 
TITLE III—MEDICARE AND OTHER 
HEALTH PROVISIONS 
Subtitle A—Medicare Extensions 
SEC. 3001. EXTENSION OF MMA SECTION 508 RECLASSIFICATIONS. 
(a) IN GENERAL.—Section 106(a) of division B of the Tax Relief 
and Health Care Act of 2006 (42 U.S.C. 1395 note), as amended 
by section 117 of the Medicare, Medicaid, and SCHIP Extension 
Act of 2007 (Public Law 110–173), section 124 of the Medicare 
Improvements for Patients and Providers Act of 2008 (Public Law 
110–275), sections 3137(a) and 10317 of the Patient Protection 
and Affordable Care Act (Public Law 111–148), section 102(a) of 
the Medicare and Medicaid Extenders Act of 2010 (Public Law 
111–309), and section 302(a) of the Temporary Payroll Tax Cut 
Continuation Act of 2011 (Public Law 112–78), is amended by 
striking ‘‘November 30, 2011’’ and inserting ‘‘March 31, 2012’’. 
(b) SPECIAL RULE.— 
(1) IN GENERAL.—Subject to paragraph (2), for purposes 
of implementation of the amendment made by subsection (a), 
including for purposes of the implementation of paragraph (2) 
of section 117(a) of the Medicare, Medicaid, and SCHIP Exten-
sion Act of 2007 (Public Law 110–173), for the period beginning 
on December 1, 2011, and ending on March 31, 2012, the 
Secretary of Health and Human Services shall use the hospital 
wage index that was promulgated by the Secretary of Health 
and Human Services in the Federal Register on August 18, 
2011 (76 Fed. Reg. 51476), and any subsequent corrections. 
(2) EXCEPTION.—In determining the wage index applicable 
to hospitals that qualify for wage index reclassification, the 
Secretary shall, for the period described in paragraph (1), 
include the average hourly wage data of hospitals whose 
reclassification was extended pursuant to the amendment made 
by subsection (a) only if including such data results in a higher 
applicable reclassified wage index. Any revision to hospital 
wage indexes made as a result of this paragraph shall not 
be effected in a budget neutral manner. 
(c) TIMEFRAME FOR PAYMENTS.— 
(1) IN
GENERAL.—The Secretary shall make payments 
required under subsections (a) and (b) by not later than June 
30, 2012. 
(2) OCTOBER
2011
AND
NOVEMBER
2011
CONFORMING 
CHANGE.—Section 302(c) of the Temporary Payroll Tax Cut 
Continuation Act of 2011 (Public Law 112-78) is amended by 
striking ‘‘December 31, 2012’’ and inserting ‘‘June 30, 2012’’. 
42 USC 1395ww 
note. 
42 USC 1395ww 
note. 
42 USC 1395ww 
note. 
Time period. 
42 USC 1395ww 
note. 
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126 STAT. 186 
PUBLIC LAW 112–96—FEB. 22, 2012 
SEC. 3002. EXTENSION OF OUTPATIENT HOLD HARMLESS PAYMENTS. 
(a) IN GENERAL.—Section 1833(t)(7)(D)(i) of the Social Security 
Act (42 U.S.C. 1395l(t)(7)(D)(i)), as amended by section 308 of 
the Temporary Payroll Tax Cut Continuation Act of 2011 (Public 
Law 112–78), is amended— 
(1) in subclause (II)— 
(A) in the first sentence, by striking ‘‘March 1, 2012’’ 
and inserting ‘‘January 1, 2013’’; and 
(B) in the second sentence, by striking ‘‘or the first 
two months of 2012’’ and inserting ‘‘or 2012’’; and 
(2) in subclause (III), in the first sentence, by striking 
‘‘March 1, 2012’’ and inserting ‘‘January 1, 2013’’. 
(b) REPORT.—Not later than July 1, 2012, the Secretary of 
Health and Human Services shall submit to the Committees on 
Ways and Means and Energy and Commerce of the House of Rep-
resentatives and the Committee on Finance of the Senate a report 
including recommendations for which types of hospitals should con-
tinue to receive hold harmless payments described in subclauses 
(II) and (III) of section 1833(t)(7)(D)(i) of the Social Security Act 
(42 U.S.C. 1395l(t)(7)(D)(i)) in order to maintain adequate bene-
ficiary access to outpatient services. In conducting such report, 
the Secretary should examine why some similarly situated hospitals 
do not receive such hold harmless payments and are able to rely 
only on the prospective payment system for hospital outpatient 
department services under section 1833(t) of the Social Security 
Act (42 U.S.C. 1395l(t)). 
SEC. 3003. PHYSICIAN PAYMENT UPDATE. 
(a) IN GENERAL.—Section 1848(d)(13) of the Social Security 
Act (42 U.S.C. 1395w–4(d)(13)), as added by section 301 of the 
Temporary Payroll Tax Cut Continuation Act of 2011 (Public Law 
112–78), is amended— 
(1) in the heading, by striking ‘‘FIRST
TWO
MONTHS
OF 
2012’’ and inserting ‘‘2012’’; 
(2) in subparagraph (A), by striking ‘‘the period beginning 
on January 1, 2012, and ending on February 29, 2012’’ and 
inserting ‘‘2012’’; 
(3) in the heading of subparagraph (B), by striking 
‘‘REMAINING PORTION OF 2012’’ and inserting ‘‘2013’’; and 
(4) in subparagraph (B), by striking ‘‘for the period begin-
ning on March 1, 2012, and ending on December 31, 2012, 
and for 2013’’ and inserting ‘‘for 2013’’. 
(b) MANDATED STUDIES ON PHYSICIAN PAYMENT REFORM.— 
(1) STUDY
BY
SECRETARY
ON
OPTIONS
FOR
BUNDLED
OR 
EPISODE-BASED PAYMENT.— 
(A) IN GENERAL.—The Secretary of Health and Human 
Services shall conduct a study that examines options for 
bundled or episode-based payments, to cover physicians’ 
services currently paid under the physician fee schedule 
under section 1848 of the Social Security Act (42 U.S.C. 
1395w–4), for one or more prevalent chronic conditions 
(such as cancer, diabetes, and congestive heart failure) 
or episodes of care for one or more major procedures (such 
as medical device implantation). In conducting the study, 
the Secretary shall consult with medical professional soci-
eties and other relevant stakeholders. The study shall 
Consultation. 
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126 STAT. 187 
PUBLIC LAW 112–96—FEB. 22, 2012 
include an examination of related private payer payment 
initiatives. 
(B) REPORT.—Not later than January 1, 2013, the Sec-
retary shall submit to the Committees on Ways and Means 
and Energy and Commerce of the House of Representatives 
and the Committee on Finance of the Senate a report 
on the study conducted under this paragraph. The Sec-
retary shall include in the report recommendations on suit-
able alternative payment options for services paid under 
such fee schedule and on associated implementation 
requirements (such as timelines, operational issues, and 
interactions with other payment reform initiatives). 
(2) GAO STUDY OF PRIVATE PAYER INITIATIVES.— 
(A) IN
GENERAL.—The Comptroller General of the 
United States shall conduct a study that examines initia-
tives of private entities offering or administering health 
insurance coverage, group health plans, or other private 
health benefit plans to base or adjust physician payment 
rates under such coverage or plans for performance on 
quality and efficiency, as well as demonstration of care 
delivery improvement activities (such as adherence to evi-
dence-based guidelines and patient-shared decision making 
programs). In conducting such study, the Comptroller Gen-
eral shall consult, to the extent appropriate, with medical 
professional societies and other relevant stakeholders. 
(B) REPORT.—Not later than January 1, 2013, the 
Comptroller General shall submit to the Committees on 
Ways and Means and Energy and Commerce of the House 
of Representatives and the Committee on Finance of the 
Senate a report on the study conducted under this para-
graph. Such report shall include an assessment of the 
applicability of the payer initiatives described in subpara-
graph (A) to the Medicare program and recommendations 
on modifications to existing Medicare performance-based 
initiatives. 
SEC. 3004. WORK GEOGRAPHIC ADJUSTMENT. 
(a) IN GENERAL.—Section 1848(e)(1)(E) of the Social Security 
Act (42 U.S.C. 1395w–4(e)(1)(E)), as amended by section 303 of 
the Temporary Payroll Tax Cut Continuation Act of 2011 (Public 
Law 112–78), is amended by striking ‘‘before March 1, 2012’’ and 
inserting ‘‘before January 1, 2013’’. 
(b) REPORT.—Not later than June 15, 2013, the Medicare Pay-
ment Advisory Commission shall submit to the Committees on 
Ways and Means and Energy and Commerce of the House of Rep-
resentatives and the Committee on Finance of the Senate a report 
that assesses whether any adjustment under section 1848 of the 
Social Security Act (42 U.S.C. 1395w–4) to distinguish the difference 
in work effort by geographic area is appropriate and, if so, what 
that level should be and where it should be applied. The report 
shall also assess the impact of the work geographic adjustment 
under such section, including the extent to which the floor on 
such adjustment impacts access to care. 
SEC. 3005. PAYMENT FOR OUTPATIENT THERAPY SERVICES. 
(a) APPLICATION
OF
ADDITIONAL
REQUIREMENTS.—Section 
1833(g)(5) of the Social Security Act (42 U.S.C. 1395l(g)(5)), as 
Consultation. 
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126 STAT. 188 
PUBLIC LAW 112–96—FEB. 22, 2012 
amended by section 304 of the Temporary Payroll Tax Cut Continu-
ation Act of 2011 (Public Law 112–78), is amended— 
(1) by inserting ‘‘(A)’’ after ‘‘(5)’’; 
(2) in the first sentence, by striking ‘‘February 29, 2012’’ 
and inserting ‘‘December 31, 2012’’; 
(3) in the first sentence, by inserting ‘‘and if the require-
ment of subparagraph (B) is met’’ after ‘‘medically necessary’’; 
(4) in the second sentence, by inserting ‘‘made in accordance 
with such requirement’’ after ‘‘receipt of the request’’; and 
(5) by adding at the end the following new subparagraphs: 
‘‘(B) In the case of outpatient therapy services for which an 
exception is requested under the first sentence of subparagraph 
(A), the claim for such services shall contain an appropriate modifier 
(such as the KX modifier used as of the date of the enactment 
of this subparagraph) indicating that such services are medically 
necessary as justified by appropriate documentation in the medical 
record involved. 
‘‘(C)(i) In applying this paragraph with respect to a request 
for an exception with respect to expenses that would be incurred 
for outpatient therapy services (including services described in sub-
section (a)(8)(B)) that would exceed the threshold described in clause 
(ii) for a year, the request for such an exception, for services 
furnished on or after October 1, 2012, shall be subject to a manual 
medical review process that is similar to the manual medical review 
process used for certain exceptions under this paragraph in 2006. 
‘‘(ii) The threshold under this clause for a year is $3,700. 
Such threshold shall be applied separately— 
‘‘(I) for physical therapy services and speech-language 
pathology services; and 
‘‘(II) for occupational therapy services.’’. 
(b) TEMPORARY APPLICATION OF THERAPY CAP TO THERAPY FUR-
NISHED
AS PART
OF HOSPITAL OUTPATIENT SERVICES.—Section 
1833(g) of such Act (42 U.S.C. 1395l(g)) is amended— 
(1) in each of paragraphs (1) and (3), by striking ‘‘but 
not described in section 1833(a)(8)(B)’’ and inserting ‘‘but 
(except as provided in paragraph (6)) not described in subsection 
(a)(8)(B)’’; and 
(2) by adding at the end the following new paragraph: 
‘‘(6) In applying paragraphs (1) and (3) to services furnished 
during the period beginning not later than October 1, 2012, and 
ending on December 31, 2012, the exclusion of services described 
in subsection (a)(8)(B) from the uniform dollar limitation specified 
in paragraph (2) shall not apply to such services furnished during 
2012.’’. 
(c) REQUIREMENT FOR INCLUSION ON CLAIMS OF NPI OF PHYSI-
CIAN WHO REVIEWS THERAPY PLAN.—Section 1842(t) of such Act 
(42 U.S.C. 1395u(t)) is amended— 
(1) by inserting ‘‘(1)’’ after ‘‘(t)’’; and 
(2) by adding at the end the following new paragraph: 
‘‘(2) Each request for payment, or bill submitted, for therapy 
services described in paragraph (1) or (3) of section 1833(g), 
including services described in section 1833(a)(8)(B), furnished on 
or after October 1, 2012, for which payment may be made under 
this part shall include the national provider identifier of the physi-
cian who periodically reviews the plan for such services under 
section 1861(p)(2).’’. 
Time period. 
Applicability. 
Time period. 
Applicability. 
Time period. 
Review. 
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126 STAT. 189 
PUBLIC LAW 112–96—FEB. 22, 2012 
(d) IMPLEMENTATION.—The Secretary of Health and Human 
Services shall implement such claims processing edits and issue 
such guidance as may be necessary to implement the amendments 
made by this section in a timely manner. Notwithstanding any 
other provision of law, the Secretary may implement the amend-
ments made by this section by program instruction. Of the amount 
of funds made available to the Secretary for fiscal year 2012 for 
program management for the Centers for Medicare & Medicaid 
Services, not to exceed $9,375,000 shall be available for such fiscal 
year and the first 3 months of fiscal year 2013 to carry out section 
1833(g)(5)(C) of the Social Security Act (relating to manual medical 
review), as added by subsection (a). 
(e) EFFECTIVE DATE.—The requirement of subparagraph (B) 
of section 1833(g)(5) of the Social Security Act (42 U.S.C. 
1395l(g)(5)), as added by subsection (a), shall apply to services 
furnished on or after March 1, 2012. 
(f) MEDPAC REPORT ON IMPROVED MEDICARE THERAPY BENE-
FITS.—Not later than June 15, 2013, the Medicare Payment 
Advisory Commission shall submit to the Committees on Energy 
and Commerce and Ways and Means of the House of Representa-
tives and to the Committee on Finance of the Senate a report 
making recommendations on how to improve the outpatient therapy 
benefit under part B of title XVIII of the Social Security Act. 
The report shall include recommendations on how to reform the 
payment system for such outpatient therapy services under such 
part so that the benefit is better designed to reflect individual 
acuity, condition, and therapy needs of the patient. Such report 
shall include an examination of private sector initiatives relating 
to outpatient therapy benefits. 
(g) COLLECTION OF ADDITIONAL DATA.— 
(1) STRATEGY.—The Secretary of Health and Human Serv-
ices shall implement, beginning on January 1, 2013, a claims- 
based data collection strategy that is designed to assist in 
reforming the Medicare payment system for outpatient therapy 
services subject to the limitations of section 1833(g) of the 
Social Security Act (42 U.S.C. 1395l(g)). Such strategy shall 
be designed to provide for the collection of data on patient 
function during the course of therapy services in order to better 
understand patient condition and outcomes. 
(2) CONSULTATION.—In proposing and implementing such 
strategy, the Secretary shall consult with relevant stakeholders. 
(h) GAO REPORT
ON
MANUAL
MEDICAL
REVIEW
PROCESS 
IMPLEMENTATION.—Not later than May 1, 2013, the Comptroller 
General of the United States shall submit to the Committees on 
Energy and Commerce and Ways and Means of the House of Rep-
resentatives and to the Committee on Finance of the Senate a 
report on the implementation of the manual medical review process 
referred to in section 1833(g)(5)(C) of the Social Security Act, as 
added by subsection (a). Such report shall include aggregate data 
on the number of individuals and claims subject to such process, 
the number of reviews conducted under such process, and the 
outcome of such reviews. 
SEC. 3006. PAYMENT FOR TECHNICAL COMPONENT OF CERTAIN PHYSI-
CIAN PATHOLOGY SERVICES. 
Section 542(c) of the Medicare, Medicaid, and SCHIP Benefits 
Improvement and Protection Act of 2000 (as enacted into law by 
42 USC 1395l 
note. 
Effective date. 
Deadline. 
42 USC 1395l 
note. 
42 USC 1395l 
note. 
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126 STAT. 190 
PUBLIC LAW 112–96—FEB. 22, 2012 
section 1(a)(6) of Public Law 106–554), as amended by section 
732 of the Medicare Prescription Drug, Improvement, and Mod-
ernization Act of 2003 (42 U.S.C. 1395w–4 note), section 104 of 
division B of the Tax Relief and Health Care Act of 2006 (42 
U.S.C. 1395w–4 note), section 104 of the Medicare, Medicaid, and 
SCHIP Extension Act of 2007 (Public Law 110–173), section 136 
of the Medicare Improvements for Patients and Providers Act of 
2008 (Public Law 110–275), section 3104 of the Patient Protection 
and Affordable Care Act (Public Law 111–148), section 105 of the 
Medicare and Medicaid Extenders Act of 2010 (Public Law 111– 
309), and section 305 of the Temporary Payroll Tax Cut Continu-
ation Act of 2011 (Public Law 112–78), is amended by striking 
‘‘and the first two months of 2012’’ and inserting ‘‘and the first 
six months of 2012’’. 
SEC. 3007. AMBULANCE ADD-ON PAYMENTS. 
(a) GROUND AMBULANCE.—Section 1834(l)(13)(A) of the Social 
Security Act (42 U.S.C. 1395m(l)(13)(A)), as amended by section 
306(a) of the Temporary Payroll Tax Cut Continuation Act of 2011 
(Public Law 112–78), is amended— 
(1) in the matter preceding clause (i), by striking ‘‘March 
1, 2012’’ and inserting ‘‘January 1, 2013’’; and 
(2) in each of clauses (i) and (ii), by striking ‘‘March 1, 
2012’’ and inserting ‘‘January 1, 2013’’ each place it appears. 
(b) AIR
AMBULANCE.—Section 146(b)(1) of the Medicare 
Improvements for Patients and Providers Act of 2008 (Public Law 
110–275), as amended by sections 3105(b) and 10311(b) of the 
Patient Protection and Affordable Care Act (Public Law 111–148), 
section 106(b) of the Medicare and Medicaid Extenders Act of 2010 
(Public Law 111–309) and section 306(b) of the Temporary Payroll 
Tax Cut Continuation Act of 2011 (Public Law 112–78), is amended 
by striking ‘‘February 29, 2012’’ and inserting ‘‘December 31, 2012’’. 
(c) SUPER RURAL AMBULANCE.—Section 1834(l)(12)(A) of the 
Social Security Act (42 U.S.C. 1395m(l)(12)(A)), as amended by 
section 306(c) of Temporary Payroll Tax Cut Continuation Act of 
2011 (Public Law 112–78), is amended in the first sentence by 
striking ‘‘March 1, 2012’’ and inserting ‘‘January 1, 2013’’. 
(d) GAO REPORT UPDATE.—Not later than October 1, 2012, 
the Comptroller General of the United States shall update the 
GAO report GAO–07–383 (relating to Ambulance Providers: Costs 
and Expected Medicare Margins Vary Greatly) to reflect current 
costs for ambulance providers. 
(e) MEDPAC REPORT.—The Medicare Payment Advisory 
Commission shall conduct a study of— 
(1) the appropriateness of the add-on payments for ambu-
lance providers under paragraphs (12)(A) and (13)(A) of section 
1834(l) of the Social Security Act (42 U.S.C. 1395m(l)) and 
the treatment of air ambulance providers under section 
146(b)(1) of the Medicare Improvements for Patients and Pro-
viders Act of 2008 (Public Law 110–275); 
(2) the effect these add-on payments and such treatment 
have on the Medicare margins of ambulance providers; and 
(3) whether there is a need to reform the Medicare ambu-
lance fee schedule under such section and, if so, what should 
such reforms be, including whether the add-on payments should 
be included in the base rate. 
Study. 
42 USC 1395m 
note. 
42 USC 1395w–4 
note. 
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126 STAT. 191 
PUBLIC LAW 112–96—FEB. 22, 2012 
Not later than June 15, 2013, the Commission shall submit to 
the Committees on Ways and Means and Energy and Commerce 
of the House of Representatives and the Committee on Finance 
of the Senate a report on such study and shall include in the 
report such recommendations as the Commission deems appro-
priate. 
Subtitle B—Other Health Provisions 
SEC. 3101. QUALIFYING INDIVIDUAL PROGRAM. 
(a) EXTENSION.—Section 1902(a)(10)(E)(iv) of the Social Security 
Act (42 U.S.C. 1396a(a)(10)(E)(iv)), as amended by section 310(a) 
of the Temporary Payroll Tax Cut Continuation Act of 2011 (Public 
Law 112–78), is amended by striking ‘‘February’’ and inserting 
‘‘December’’. 
(b) EXTENDING TOTAL AMOUNT AVAILABLE FOR ALLOCATION.— 
Section 1933(g) of such Act (42 U.S.C. 1396u–3(g)), as amended 
by section 310(b) of the Temporary Payroll Tax Cut Continuation 
Act of 2011 (Public Law 112–78), is amended— 
(1) in paragraph (2)— 
(A) in subparagraph (P), by striking ‘‘and’’ after the 
semicolon; 
(B) in subparagraph (Q), by striking ‘‘February 29, 
2012, the total allocation amount is $150,000,000.’’ and 
inserting ‘‘September 30, 2012, the total allocation amount 
is $450,000,000; and’’; and 
(C) by adding at the end the following new subpara-
graph: 
‘‘(R) for the period that begins on October 1, 2012, 
and ends on December 31, 2012, the total allocation amount 
is $280,000,000.’’; and 
(2) in paragraph (3), in the matter preceding subparagraph 
(A), by striking ‘‘or (P)’’ and inserting ‘‘(P), or (R)’’. 
SEC. 3102. TRANSITIONAL MEDICAL ASSISTANCE. 
Sections 1902(e)(1)(B) and 1925(f) of the Social Security Act 
(42 U.S.C. 1396a(e)(1)(B), 1396r–6(f)), as amended by section 311 
of the Temporary Payroll Tax Cut Continuation Act of 2011 (Public 
Law 112–78), are each amended by striking ‘‘February 29’’ and 
inserting ‘‘December 31’’. 
Subtitle C—Health Offsets 
SEC. 3201. REDUCTION OF BAD DEBT TREATED AS AN ALLOWABLE 
COST. 
(a) HOSPITALS.—Section 1861(v)(1)(T) of the Social Security Act 
(42 U.S.C. 1395x(v)(1)(T)) is amended— 
(1) in clause (iii), by striking ‘‘and’’ at the end; 
(2) in clause (iv)— 
(A) by striking ‘‘a subsequent fiscal year’’ and inserting 
‘‘fiscal years 2001 through 2012’’; and 
(B) by striking the period at the end and inserting 
‘‘, and’’; and 
(3) by adding at the end the following: 
Time period. 
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126 STAT. 192 
PUBLIC LAW 112–96—FEB. 22, 2012 
‘‘(v) for cost reporting periods beginning during fiscal year 
2013 or a subsequent fiscal year, by 35 percent of such amount 
otherwise allowable.’’. 
(b) SKILLED NURSING FACILITIES.—Section 1861(v)(1)(V) of such 
Act (42 U.S.C. 1395x(v)(1)(V)) is amended— 
(1) in the matter preceding clause (i), by striking ‘‘with 
respect to cost reporting periods beginning on or after October 
1, 2005’’ and inserting ‘‘and (beginning with respect to cost 
reporting periods beginning during fiscal year 2013) for covered 
skilled nursing services described in section 1888(e)(2)(A) fur-
nished by hospital providers of extended care services (as 
described in section 1883)’’; 
(2) in clause (i), by striking ‘‘reduced by’’ and all that 
follows through ‘‘allowable; and’’ and inserting the following: 
‘‘reduced by— 
‘‘(I) for cost reporting periods beginning on or after October 
1, 2005, but before fiscal year 2013, 30 percent of such amount 
otherwise allowable; and 
‘‘(II) for cost reporting periods beginning during fiscal year 
2013 or a subsequent fiscal year, by 35 percent of such amount 
otherwise allowable.’’; and 
(3) in clause (ii), by striking ‘‘such section shall not be 
reduced.’’ and inserting ‘‘such section— 
‘‘(I) for cost reporting periods beginning on or after October 
1, 2005, but before fiscal year 2013, shall not be reduced; 
‘‘(II) for cost reporting periods beginning during fiscal year 
2013, shall be reduced by 12 percent of such amount otherwise 
allowable; 
‘‘(III) for cost reporting periods beginning during fiscal year 
2014, shall be reduced by 24 percent of such amount otherwise 
allowable; and 
‘‘(IV) for cost reporting periods beginning during a subse-
quent fiscal year, shall be reduced by 35 percent of such amount 
otherwise allowable.’’. 
(c) CERTAIN OTHER PROVIDERS.—Section 1861(v)(1) of such Act 
(42 U.S.C. 1395x(v)(1)) is amended by adding at the end the fol-
lowing new subparagraph: 
‘‘(W)(i) In determining such reasonable costs for providers 
described in clause (ii), the amount of bad debts otherwise treated 
as allowable costs which are attributable to deductibles and coinsur-
ance amounts under this title shall be reduced— 
‘‘(I) for cost reporting periods beginning during fiscal year 
2013, by 12 percent of such amount otherwise allowable; 
‘‘(II) for cost reporting periods beginning during fiscal year 
2014, by 24 percent of such amount otherwise allowable; and 
‘‘(III) for cost reporting periods beginning during a subse-
quent fiscal year, by 35 percent of such amount otherwise 
allowable. 
‘‘(ii) A provider described in this clause is a provider of services 
not described in subparagraph (T) or (V), a supplier, or any other 
type of entity that receives payment for bad debts under the 
authority under subparagraph (A).’’. 
(d) CONFORMING AMENDMENT FOR HOSPITAL SERVICES.—Section 
4008(c) of the Omnibus Budget Reconciliation Act of 1987 (42 U.S.C. 
1395 note), as amended by section 8402 of the Technical and Mis-
cellaneous Revenue Act of 1988 and section 6023 of the Omnibus 
Budget Reconciliation Act of 1989, is amended by adding at the 
42 USC 1395f 
note. 
Time period. 
Time periods. 
Time periods. 
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126 STAT. 193 
PUBLIC LAW 112–96—FEB. 22, 2012 
end the following new sentence: ‘‘Effective for cost reporting periods 
beginning on or after October 1, 2012, the provisions of the previous 
two sentences shall not apply.’’. 
SEC. 3202. REBASE MEDICARE CLINICAL LABORATORY PAYMENT 
RATES. 
Section 1833(h)(2)(A) of the Social Security Act (42 U.S.C. 
1395l(h)(2)(A)) is amended— 
(1) in clause (i), by striking ‘‘paragraph (4)’’ and inserting 
‘‘clause (v), subparagraph (B), and paragraph (4)’’; 
(2) by moving clause (iv), subclauses (I) and (II) of such 
clause, and the flush matter at the end of such clause 6 ems 
to the left; and 
(3) by adding at the end the following new clause: 
‘‘(v) The Secretary shall reduce by 2 percent the fee schedules 
otherwise determined under clause (i) for 2013, and such reduced 
fee schedules shall serve as the base for 2014 and subsequent 
years.’’. 
SEC. 3203. REBASING STATE DSH ALLOTMENTS FOR FISCAL YEAR 2021. 
Section 1923(f) of the Social Security Act (42 U.S.C. 1396r– 
4(f)) is amended— 
(1) by redesignating paragraph (8) as paragraph (9); 
(2) in paragraph (3)(A) by striking ‘‘paragraphs (6) and 
(7)’’ and inserting ‘‘paragraphs (6), (7), and (8)’’; and 
(3) by inserting after paragraph (7) the following new para-
graph: 
‘‘(8) REBASING OF STATE DSH ALLOTMENTS FOR FISCAL YEAR 
2021.—With respect to fiscal year 2021, for purposes of applying 
paragraph (3)(A) to determine the DSH allotment for a State, 
the amount of the DSH allotment for the State under paragraph 
(3) for fiscal year 2020 shall be equal to the DSH allotment 
as reduced under paragraph (7).’’. 
SEC. 3204. TECHNICAL CORRECTION TO THE DISASTER RECOVERY 
FMAP PROVISION. 
(a) IN GENERAL.—Section 1905(aa) of the Social Security Act 
(42 U.S.C. 1396d(aa)) is amended— 
(1) in paragraph (1)— 
(A) in subparagraph (A), by striking ‘‘the Federal med-
ical assistance percentage determined for the fiscal year’’ 
and all that follows through the period and inserting ‘‘the 
State’s regular FMAP shall be increased by 50 percent 
of the number of percentage points by which the State’s 
regular FMAP for such fiscal year is less than the Federal 
medical assistance percentage determined for the State 
for the preceding fiscal year after the application of only 
subsection (a) of section 5001 of Public Law 111–5 (if 
applicable to the preceding fiscal year) and without regard 
to this subsection, subsections (y) and (z), and subsections 
(b) and (c) of section 5001 of Public Law 111–5.’’; and 
(B) in subparagraph (B), by striking ‘‘Federal medical 
assistance percentage determined for the preceding fiscal 
year’’ and all that follows through the period and inserting 
‘‘State’s regular FMAP for such fiscal year shall be 
increased by 25 percent of the number of percentage points 
by which the State’s regular FMAP for such fiscal year 
Applicability. 
Reduction. 
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126 STAT. 194 
PUBLIC LAW 112–96—FEB. 22, 2012 
is less than the Federal medical assistance percentage 
received by the State during the preceding fiscal year.’’; 
(2) in paragraph (2)— 
(A) in subparagraph (A)— 
(i) by striking ‘‘Federal medical assistance percent-
age determined for the State for the fiscal year’’ and 
all that follows through ‘‘Act,’’ and inserting ‘‘State’s 
regular FMAP for the fiscal year’’; and 
(ii) by striking ‘‘subsection (y)’’ and inserting ‘‘sub-
sections (y) and (z)’’; and 
(B) in subparagraph (B), by striking ‘‘Federal medical 
assistance percentage determined for the State for the fiscal 
year’’ and all that follows through ‘‘Act,’’ and inserting 
‘‘State’s regular FMAP for the fiscal year’’; 
(3) by redesignating paragraph (3) as paragraph (4); and 
(4) by inserting after paragraph (2) the following: 
‘‘(3) In this subsection, the term ‘regular FMAP’ means, for 
each fiscal year for which this subsection applies to a State, the 
Federal medical assistance percentage that would otherwise apply 
to the State for the fiscal year, as determined under subsection 
(b) and without regard to this subsection, subsections (y) and (z), 
and section 10202 of the Patient Protection and Affordable Care 
Act.’’. 
(b) EFFECTIVE DATE.—The amendments made by subsection 
(a) shall take effect on October 1, 2013. 
SEC. 3205. PREVENTION AND PUBLIC HEALTH FUND. 
Section 4002(b) of the Patient Protection and Affordable Care 
Act (42 U.S.C. 300u–11(b)) is amended by striking paragraphs 
(2) through (6) and inserting the following: 
‘‘(2) for each of fiscal years 2012 through 2017, 
$1,000,000,000; 
‘‘(3) for each of fiscal years 2018 and 2019, $1,250,000,000; 
‘‘(4) for each of fiscal years 2020 and 2021, $1,500,000,000; 
and 
‘‘(5) for fiscal year 2022, and each fiscal year thereafter, 
$2,000,000,000.’’. 
TITLE IV—TANF EXTENSION 
SEC. 4001. SHORT TITLE. 
This title may be cited as the ‘‘Welfare Integrity and Data 
Improvement Act’’. 
SEC. 4002. EXTENSION OF PROGRAM. 
(a) FAMILY ASSISTANCE GRANTS.—Section 403(a)(1) of the Social 
Security Act (42 U.S.C. 603(a)(1)) is amended— 
(1) in subparagraph (A), by striking ‘‘each of fiscal years 
1996’’ and all that follows through ‘‘2003’’ and inserting ‘‘fiscal 
year 2012’’; 
(2) in subparagraph (B)— 
(A) by inserting ‘‘(as in effect just before the enactment 
of the Welfare Integrity and Data Improvement Act)’’ after 
‘‘this paragraph’’ the first place it appears; and 
(B) by inserting ‘‘(as so in effect)’’ after ‘‘this paragraph’’ 
the second place it appears; and 
Welfare Integrity 
and Data 
Improvement 
Act. 
42 USC 1305 
note. 
42 USC 1396d 
note. 
Definition. 
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126 STAT. 195 
PUBLIC LAW 112–96—FEB. 22, 2012 
(3) in subparagraph (C), by striking ‘‘2003’’ and inserting 
‘‘2012’’. 
(b) HEALTHY MARRIAGE PROMOTION AND RESPONSIBLE FATHER-
HOOD
GRANTS.—Section 403(a)(2)(D) of such Act (42 U.S.C. 
603(a)(2)(D)) is amended by striking ‘‘2011’’ each place it appears 
and inserting ‘‘2012’’. 
(c) MAINTENANCE OF EFFORT REQUIREMENT.—Section 409(a)(7) 
of such Act (42 U.S.C. 609(a)(7)) is amended— 
(1) in subparagraph (A), by striking ‘‘fiscal year’’ and all 
that follows through ‘‘2013’’ and inserting ‘‘a fiscal year’’; and 
(2) in subparagraph (B)(ii)— 
(A) by striking ‘‘for fiscal years 1997 through 2012,’’; 
and 
(B) by striking ‘‘407(a) for the fiscal year,’’ and inserting 
‘‘407(a),’’. 
(d) TRIBAL GRANTS.—Section 412(a) of such Act (42 U.S.C. 
612(a)) is amended in each of paragraphs (1)(A) and (2)(A) by 
striking ‘‘each of fiscal years 1997’’ and all that follows through 
‘‘2003’’ and inserting ‘‘fiscal year 2012’’. 
(e) STUDIES AND DEMONSTRATIONS.—Section 413(h)(1) of such 
Act (42 U.S.C. 613(h)(1)) is amended by striking ‘‘each of fiscal 
years 1997 through 2002’’ and inserting ‘‘fiscal year 2012’’. 
(f) CENSUS BUREAU STUDY.—Section 414(b) of such Act (42 
U.S.C. 614(b)) is amended by striking ‘‘each of fiscal years 1996’’ 
and all that follows through ‘‘2003’’ and inserting ‘‘fiscal year 2012’’. 
(g) CHILD CARE ENTITLEMENT.—Section 418(a)(3) of such Act 
(42 U.S.C. 618(a)(3)) is amended by striking ‘‘appropriated’’ and 
all that follows and inserting ‘‘appropriated $2,917,000,000 for fiscal 
year 2012.’’. 
(h) GRANTS TO TERRITORIES.—Section 1108(b)(2) of such Act 
(42 U.S.C. 1308(b)(2)) is amended by striking ‘‘fiscal years 1997 
through 2003’’ and inserting ‘‘fiscal year 2012’’. 
(i) PREVENTION
OF DUPLICATE APPROPRIATIONS
FOR FISCAL 
YEAR 2012.—Expenditures made pursuant to the Short-Term TANF 
Extension Act (Public Law 112–35) and the Temporary Payroll 
Tax Cut Continuation Act of 2011 (Public Law 112–78) for fiscal 
year 2012 shall be charged to the applicable appropriation or 
authorization provided by the amendments made by this section 
for such fiscal year. 
(j) EFFECTIVE DATE.—This section and the amendments made 
by this section shall take effect on the date of the enactment 
of this Act. 
SEC. 4003. DATA EXCHANGE STANDARDIZATION FOR IMPROVED INTER-
OPERABILITY. 
(a) IN GENERAL.—Section 411 of the Social Security Act (42 
U.S.C. 611) is amended by adding at the end the following: 
‘‘(d) DATA EXCHANGE STANDARDIZATION FOR IMPROVED INTER-
OPERABILITY.— 
‘‘(1) DATA EXCHANGE STANDARDS.— 
‘‘(A) DESIGNATION.—The Secretary, in consultation 
with an interagency work group which shall be established 
by the Office of Management and Budget, and considering 
State and tribal perspectives, shall, by rule, designate a 
data exchange standard for any category of information 
required to be reported under this part. 
Establishment. 
Regulations. 
42 USC 603 note. 
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126 STAT. 196 
PUBLIC LAW 112–96—FEB. 22, 2012 
‘‘(B) DATA EXCHANGE STANDARDS MUST BE NONPROPRI-
ETARY AND INTEROPERABLE.—The data exchange standard 
designated under subparagraph (A) shall, to the extent 
practicable, be nonproprietary and interoperable. 
‘‘(C) OTHER
REQUIREMENTS.—In designating data 
exchange standards under this section, the Secretary shall, 
to the extent practicable, incorporate— 
‘‘(i) interoperable standards developed and main-
tained by an international voluntary consensus stand-
ards body, as defined by the Office of Management 
and Budget, such as the International Organization 
for Standardization; 
‘‘(ii) interoperable standards developed and main-
tained by intergovernmental partnerships, such as the 
National Information Exchange Model; and 
‘‘(iii) interoperable standards developed and main-
tained by Federal entities with authority over con-
tracting and financial assistance, such as the Federal 
Acquisition Regulatory Council. 
‘‘(2) DATA EXCHANGE STANDARDS FOR REPORTING.— 
‘‘(A) DESIGNATION.—The Secretary, in consultation 
with an interagency work group established by the Office 
of Management and Budget, and considering State and 
tribal perspectives, shall, by rule, designate data exchange 
standards to govern the data reporting required under 
this part. 
‘‘(B) REQUIREMENTS.—The data exchange standards 
required by subparagraph (A) shall, to the extent prac-
ticable— 
‘‘(i) incorporate a widely-accepted, nonproprietary, 
searchable, computer-readable format; 
‘‘(ii) be consistent with and implement applicable 
accounting principles; and 
‘‘(iii) be capable of being continually upgraded as 
necessary. 
‘‘(C) INCORPORATION OF NONPROPRIETARY STANDARDS.— 
In designating reporting standards under this paragraph, 
the Secretary shall, to the extent practicable, incorporate 
existing nonproprietary standards, such as the eXtensible 
Markup Language.’’. 
(b) EFFECTIVE DATES.— 
(1) DATA EXCHANGE STANDARDS.—The Secretary of Health 
and Human Services shall issue a proposed rule under section 
411(d)(1) of the Social Security Act within 12 months after 
the date of the enactment of this section, and shall issue 
a final rule under such section 411(d)(1), after public comment, 
within 24 months after such date of enactment. 
(2) DATA REPORTING STANDARDS.—The reporting standards 
required under section 411(d)(2) of such Act shall become effec-
tive with respect to reports required in the first reporting 
period, after the effective date of the final rule referred to 
in paragraph (1) of this subsection, for which the authority 
for data collection and reporting is established or renewed 
under the Paperwork Reduction Act. 
Regulations. 
Deadlines. 
42 USC 611 note. 
Establishment. 
Regulations. 
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126 STAT. 197 
PUBLIC LAW 112–96—FEB. 22, 2012 
SEC. 4004. SPENDING POLICIES FOR ASSISTANCE UNDER STATE TANF 
PROGRAMS. 
(a) STATE REQUIREMENT.—Section 408(a) of the Social Security 
Act (42 U.S.C. 608(a)) is amended by adding at the end the fol-
lowing: 
‘‘(12) STATE
REQUIREMENT
TO
PREVENT
UNAUTHORIZED 
SPENDING OF BENEFITS.— 
‘‘(A) IN GENERAL.—A State to which a grant is made 
under section 403 shall maintain policies and practices 
as necessary to prevent assistance provided under the State 
program funded under this part from being used in any 
electronic benefit transfer transaction in— 
‘‘(i) any liquor store; 
‘‘(ii) any casino, gambling casino, or gaming 
establishment; or 
‘‘(iii) any retail establishment which provides 
adult-oriented entertainment in which performers dis-
robe or perform in an unclothed state for entertain-
ment. 
‘‘(B) DEFINITIONS.—For purposes of subparagraph (A)— 
‘‘(i) LIQUOR STORE.—The term ‘liquor store’ means 
any retail establishment which sells exclusively or pri-
marily intoxicating liquor. Such term does not include 
a grocery store which sells both intoxicating liquor 
and groceries including staple foods (within the 
meaning of section 3(r) of the Food and Nutrition Act 
of 2008 (7 U.S.C. 2012(r))). 
‘‘(ii) 
CASINO, 
GAMBLING
CASINO, 
OR
GAMING 
ESTABLISHMENT.—The terms ‘casino’, ‘gambling casino’, 
and ‘gaming establishment’ do not include— 
‘‘(I) a grocery store which sells groceries 
including such staple foods and which also offers, 
or is located within the same building or complex 
as, casino, gambling, or gaming activities; or 
‘‘(II) any other establishment that offers 
casino, gambling, or gaming activities incidental 
to the principal purpose of the business. 
‘‘(iii) 
ELECTRONIC
BENEFIT
TRANSFER
TRANS-
ACTION.—The term ‘electronic benefit transfer trans-
action’ means the use of a credit or debit card service, 
automated teller machine, point-of-sale terminal, or 
access to an online system for the withdrawal of funds 
or the processing of a payment for merchandise or 
a service.’’. 
(b) PENALTY.—Section 409(a) of such Act (42 U.S.C. 609(a)) 
is amended by adding at the end the following: 
‘‘(16) PENALTY FOR FAILURE TO ENFORCE SPENDING POLI-
CIES.— 
‘‘(A) IN GENERAL.—If, within 2 years after the date 
of the enactment of this paragraph, any State has not 
reported to the Secretary on such State’s implementation 
of the policies and practices required by section 408(a)(12), 
or the Secretary determines, based on the information pro-
vided in State reports, that any State has not implemented 
and maintained such policies and practices, the Secretary 
shall reduce, by an amount equal to 5 percent of the 
Time period. 
Determination. 
Reduction. 
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126 STAT. 198 
PUBLIC LAW 112–96—FEB. 22, 2012 
State family assistance grant, the grant payable to such 
State under section 403(a)(1) for— 
‘‘(i) the fiscal year immediately succeeding the year 
in which such 2-year period ends; and 
‘‘(ii) each succeeding fiscal year in which the State 
does not demonstrate that such State has implemented 
and maintained such policies and practices. 
‘‘(B) REDUCTION
OF
APPLICABLE
PENALTY.—The Sec-
retary may reduce the amount of the reduction required 
under subparagraph (A) based on the degree of noncompli-
ance of the State. 
‘‘(C) STATE NOT RESPONSIBLE FOR INDIVIDUAL VIOLA-
TIONS.—Fraudulent activity by any individual in an 
attempt to circumvent the policies and practices required 
by section 408(a)(12) shall not trigger a State penalty under 
subparagraph (A).’’. 
(c) 
ADDITIONAL
STATE
PLAN
REQUIREMENTS.—Section 
402(a)(1)(A) of such Act (42 U.S.C. 602(a)(1)(A)) is amended by 
adding at the end the following: 
‘‘(vii) Implement policies and procedures as nec-
essary to prevent access to assistance provided under 
the State program funded under this part through 
any electronic fund transaction in an automated teller 
machine or point-of-sale device located in a place 
described in section 408(a)(12), including a plan to 
ensure that recipients of the assistance have adequate 
access to their cash assistance. 
‘‘(viii) Ensure that recipients of assistance provided 
under the State program funded under this part have 
access to using or withdrawing assistance with 
minimal fees or charges, including an opportunity to 
access assistance with no fee or charges, and are pro-
vided information on applicable fees and surcharges 
that apply to electronic fund transactions involving 
the assistance, and that such information is made pub-
licly available.’’. 
(d) CONFORMING AMENDMENT.—Section 409(c)(4) of such Act 
(42 U.S.C. 609(c)(4)) is amended by striking ‘‘or (13)’’ and inserting 
‘‘(13), or (16)’’. 
SEC. 4005. TECHNICAL CORRECTIONS. 
(a) Section 404(d)(1)(A) of the Social Security Act (42 U.S.C. 
604(d)(1)(A)) is amended by striking ‘‘subtitle 1 of Title’’ and 
inserting ‘‘Subtitle A of title’’. 
(b) Sections 407(c)(2)(A)(i) and 409(a)(3)(C) of such Act (42 
U.S.C. 607(c)(2)(A)(i) and 609(a)(3)(C)) are each amended by striking 
‘‘403(b)(6)’’ and inserting ‘‘403(b)(5)’’. 
(c) Section 409(a)(2)(A) of such Act (42 U.S.C. 609(a)(2)(A)) 
is amended by moving clauses (i) and (ii) 2 ems to the right. 
(d) Section 409(c)(2) of such Act (42 U.S.C. 609(c)(2)) is amended 
by inserting a comma after ‘‘appropriate’’. 
(e) 
Section 
411(a)(1)(A)(ii)(III) 
of 
such 
Act 
(42 
U.S.C. 
611(a)(1)(A)(ii)(III)) is amended by striking the last close paren-
thesis. 
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126 STAT. 199 
PUBLIC LAW 112–96—FEB. 22, 2012 
TITLE V—FEDERAL EMPLOYEES 
RETIREMENT 
SEC. 5001. INCREASE IN CONTRIBUTIONS TO FEDERAL EMPLOYEES’ 
RETIREMENT SYSTEM FOR NEW EMPLOYEES. 
(a) DEFINITIONS.—Section 8401 of title 5, United States Code, 
is amended— 
(1) in paragraph (35), by striking ‘‘and’’ at the end; 
(2) in paragraph (36), by striking the period and inserting 
‘‘; and’’; and 
(3) by adding at the end the following: 
‘‘(37) the term ‘revised annuity employee’ means any indi-
vidual who— 
‘‘(A) on December 31, 2012— 
‘‘(i) is not an employee or Member covered under 
this chapter; 
‘‘(ii) is not performing civilian service which is 
creditable service under section 8411; and 
‘‘(iii) has less than 5 years of creditable civilian 
service under section 8411; and 
‘‘(B) after December 31, 2012, becomes employed as 
an employee or becomes a Member covered under this 
chapter performing service which is creditable service 
under section 8411.’’. 
(b) INCREASE
IN CONTRIBUTIONS.—Section 8422(a)(3) of title 
5, United States Code, is amended— 
(1) by striking ‘‘The applicable percentage under this para-
graph for civilian service’’ and inserting ‘‘(A) The applicable 
percentage under this paragraph for civilian service by 
employees or Members other than revised annuity employees’’; 
and 
(2) by adding at the end the following: 
‘‘(B) The applicable percentage under this paragraph for civilian 
service by revised annuity employees shall be as follows: 
‘‘Employee 
9.3 
After December 31, 2012. 
Congressional employee 
9.3 
After December 31, 2012. 
Member 
9.3 
After December 31, 2012. 
Law enforcement officer, fire-
fighter, member of the Capitol 
Police, member of the Su-
preme Court Police, or air 
traffic controller 
9.8 
After December 31, 2012. 
Nuclear materials courier 
9.8 
After December 31, 2012. 
Customs and border protection 
officer 
9.8 
After December 31, 2012.’’. 
(c) REDUCTION IN CONGRESSIONAL ANNUITIES.— 
(1) IN GENERAL.—Section 8415 of title 5, United States 
Code, is amended— 
(A) by redesignating subsections (d) through (m) as 
subsections (e) through (n), respectively; and 
(B) by inserting after subsection (c) the following: 
‘‘(d) Notwithstanding any other provision of law, the annuity 
of an individual described in subsection (b) or (c) who is a revised 
annuity employee shall be computed in the same manner as in 
the case of an individual described in subsection (a).’’. 
(2) TECHNICAL AND CONFORMING AMENDMENTS.— 
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126 STAT. 200 
PUBLIC LAW 112–96—FEB. 22, 2012 
(A) Section 8422(d)(2) of title 5, United States Code, 
is amended by striking ‘‘section 8415(l)’’ and inserting ‘‘sec-
tion 8415(m)’’. 
(B) Section 8452(d)(1) of title 5, United States Code, 
is amended by striking ‘‘subsection (g)’’ and inserting ‘‘sub-
section (h)’’. 
(C) Section 8468(b)(1)(A) of title 5, United States Code, 
is amended by striking ‘‘section 8415(a) through (h)’’ and 
inserting ‘‘section 8415(a) through (i)’’. 
(D) Section 805(a)(2)(B) of the Foreign Service Act of 
1980 (22 U.S.C. 4045(a)(2)(B)) is amended by striking ‘‘sec-
tion 8415(d)’’ and inserting ‘‘section 8415(e)’’. 
(E) Section 806(a) of the Foreign Service Act of 1980 
(22 U.S.C. 4046(a)) is amended by striking ‘‘section 8415(d)’’ 
each place it appears and inserting ‘‘section 8415(e)’’. 
(F) Section 855(b) of the Foreign Service Act of 1980 
(22 U.S.C. 4071d(b)) is amended— 
(i) in paragraph (2)(A), by striking ‘‘section 
8415(d)(1)’’ and inserting ‘‘section 8415(e)(1)’’; and 
(ii) in paragraph (5), by striking ‘‘section 8415(f)(1)’’ 
and inserting ‘‘section 8415(g)(1)’’. 
(G) Section 303(b)(1) of the Central Intelligence Agency 
Retirement Act (50 U.S.C. 2153(b)(1)) is amended by 
striking ‘‘section 8415(d)’’ and inserting ‘‘section 8415(e)’’. 
SEC. 5002. FOREIGN SERVICE PENSION SYSTEM. 
(a) DEFINITION.—Section 852 of the Foreign Service Act of 
1980 (22 U.S.C. 4071a) is amended— 
(1) by redesignating paragraphs (7), (8), and (9) as para-
graphs (8), (9), and (10), respectively; and 
(2) by inserting after paragraph (6) the following: 
‘‘(7) the term ‘revised annuity participant’ means any indi-
vidual who— 
‘‘(A) on December 31, 2012— 
‘‘(i) is not a participant; 
‘‘(ii) is not performing service which is creditable 
service under section 854; and 
‘‘(iii) has less than 5 years creditable service under 
section 854; and 
‘‘(B) after December 31, 2012, becomes a participant 
performing service which is creditable service under section 
854;’’. 
(b) DEDUCTIONS
AND
WITHHOLDINGS
FROM
PAY.—Section 
856(a)(2) of the Foreign Service Act of 1980 (22 U.S.C. 4071e(a)(2)) 
is amended— 
(1) by striking ‘‘The applicable percentage under this sub-
section’’ and inserting ‘‘(A) The applicable percentage for a 
participant other than a revised annuity participant’’; and 
(2) by adding at the end the following: 
‘‘(B) The applicable percentage for a revised annuity participant 
shall be as follows: 
‘‘9.85 .....................................
After December 31, 2012’’. 
SEC. 5003. CENTRAL INTELLIGENCE AGENCY RETIREMENT AND DIS-
ABILITY SYSTEM. 
Section 211(a) of the Central Intelligence Agency Retirement 
Act (50 U.S.C. 2021(a)) is amended— 
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126 STAT. 201 
PUBLIC LAW 112–96—FEB. 22, 2012 
(1) by redesignating paragraph (3) as paragraph (4); and 
(2) by striking paragraphs (1) and (2) and inserting the 
following: 
‘‘(1) DEFINITION.—In this subsection, the term ‘revised 
annuity participant’ means an individual who— 
‘‘(A) on December 31, 2012— 
‘‘(i) is not a participant; 
‘‘(ii) is not performing qualifying service; and 
‘‘(iii) has less than 5 years of qualifying service; 
and 
‘‘(B) after December 31, 2012, becomes a participant 
performing qualifying service. 
‘‘(2) CONTRIBUTIONS.— 
‘‘(A) IN GENERAL.—Except as provided in subsection 
(d), 7 percent of the basic pay received by a participant 
other than a revised annuity participant for any pay period 
shall be deducted and withheld from the pay of that partici-
pant and contributed to the fund. 
‘‘(B) REVISED ANNUITY PARTICIPANTS.—Except as pro-
vided in subsection (d), 9.3 percent of the basic pay received 
by a revised annuity participant for any pay period shall 
be deducted and withheld from the pay of that revised 
annuity participant and contributed to the fund. 
‘‘(3) AGENCY CONTRIBUTIONS.— 
‘‘(A) IN GENERAL.—An amount equal to 7 percent of 
the basic pay received by a participant other than a revised 
annuity participant shall be contributed to the fund for 
a pay period for the participant from the appropriation 
or fund which is used for payment of the participant’s 
basic pay. 
‘‘(B) REVISED
ANNUITY
PARTICIPANTS.—An amount 
equal to 4.7 percent of the basic pay received by a revised 
annuity participant shall be contributed to the fund for 
a pay period for the revised annuity participant from the 
appropriation or fund which is used for payment of the 
revised annuity participant’s basic pay.’’. 
TITLE 
VI—PUBLIC 
SAFETY 
COMMU-
NICATIONS AND ELECTROMAGNETIC 
SPECTRUM AUCTIONS 
SEC. 6001. DEFINITIONS. 
In this title: 
(1) 700 MHZ
BAND.—The term ‘‘700 MHz band’’ means 
the portion of the electromagnetic spectrum between the fre-
quencies from 698 megahertz to 806 megahertz. 
(2) 700 MHZ
D
BLOCK
SPECTRUM.—The term ‘‘700 MHz 
D block spectrum’’ means the portion of the electromagnetic 
spectrum between the frequencies from 758 megahertz to 763 
megahertz and between the frequencies from 788 megahertz 
to 793 megahertz. 
(3) APPROPRIATE
COMMITTEES
OF
CONGRESS.—Except as 
otherwise specifically provided, the term ‘‘appropriate commit-
tees of Congress’’ means— 
47 USC 1401. 
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126 STAT. 202 
PUBLIC LAW 112–96—FEB. 22, 2012 
(A) the Committee on Commerce, Science, and 
Transportation of the Senate; and 
(B) the Committee on Energy and Commerce of the 
House of Representatives. 
(4) ASSISTANT SECRETARY.—The term ‘‘Assistant Secretary’’ 
means the Assistant Secretary of Commerce for Communica-
tions and Information. 
(5) BOARD.—The term ‘‘Board’’ means the Board of the 
First Responder Network Authority established under section 
6204(b). 
(6) BROADCAST TELEVISION LICENSEE.—The term ‘‘broadcast 
television licensee’’ means the licensee of— 
(A) a full-power television station; or 
(B) a low-power television station that has been 
accorded primary status as a Class A television licensee 
under section 73.6001(a) of title 47, Code of Federal Regula-
tions. 
(7) BROADCAST TELEVISION SPECTRUM.—The term ‘‘broad-
cast television spectrum’’ means the portions of the electro-
magnetic spectrum between the frequencies from 54 megahertz 
to 72 megahertz, from 76 megahertz to 88 megahertz, from 
174 megahertz to 216 megahertz, and from 470 megahertz 
to 698 megahertz. 
(8) 
COMMERCIAL
MOBILE
DATA
SERVICE.—The 
term 
‘‘commercial mobile data service’’ means any mobile service 
(as defined in section 3 of the Communications Act of 1934 
(47 U.S.C. 153)) that is— 
(A) a data service; 
(B) provided for profit; and 
(C) available to the public or such classes of eligible 
users as to be effectively available to a substantial portion 
of the public, as specified by regulation by the Commission. 
(9) COMMERCIAL MOBILE SERVICE.—The term ‘‘commercial 
mobile service’’ has the meaning given such term in section 
332 of the Communications Act of 1934 (47 U.S.C. 332). 
(10) COMMERCIAL
STANDARDS.—The term ‘‘commercial 
standards’’ means the technical standards followed by the 
commercial mobile service and commercial mobile data service 
industries 
for 
network, 
device, 
and 
Internet 
Protocol 
connectivity. Such term includes standards developed by the 
Third Generation Partnership Project (3GPP), the Institute of 
Electrical and Electronics Engineers (IEEE), the Alliance for 
Telecommunications Industry Solutions (ATIS), the Internet 
Engineering Task Force (IETF), and the International Tele-
communication Union (ITU). 
(11) COMMISSION.—The term ‘‘Commission’’ means the Fed-
eral Communications Commission. 
(12) CORE NETWORK.—The term ‘‘core network’’ means the 
core network described in section 6202(b)(1). 
(13) EMERGENCY CALL.—The term ‘‘emergency call’’ means 
any real-time communication with a public safety answering 
point or other emergency management or response agency, 
including— 
(A) through voice, text, or video and related data; and 
(B) nonhuman-initiated automatic event alerts, such 
as alarms, telematics, or sensor data, which may also 
include real-time voice, text, or video communications. 
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126 STAT. 203 
PUBLIC LAW 112–96—FEB. 22, 2012 
(14) EXISTING PUBLIC SAFETY BROADBAND SPECTRUM.—The 
term ‘‘existing public safety broadband spectrum’’ means the 
portion of the electromagnetic spectrum between the fre-
quencies— 
(A) from 763 megahertz to 768 megahertz; 
(B) from 793 megahertz to 798 megahertz; 
(C) from 768 megahertz to 769 megahertz; and 
(D) from 798 megahertz to 799 megahertz. 
(15) FIRST
RESPONDER
NETWORK
AUTHORITY.—The term 
‘‘First 
Responder 
Network 
Authority’’ 
means 
the 
First 
Responder Network Authority established under section 6204. 
(16) FORWARD
AUCTION.—The term ‘‘forward auction’’ 
means the portion of an incentive auction of broadcast television 
spectrum under section 6403(c). 
(17) INCENTIVE
AUCTION.—The term ‘‘incentive auction’’ 
means a system of competitive bidding under subparagraph 
(G) of section 309(j)(8) of the Communications Act of 1934, 
as added by section 6402. 
(18) INTEROPERABILITY BOARD.—The term ‘‘Interoperability 
Board’’ means the Technical Advisory Board for First Responder 
Interoperability established under section 6203. 
(19) MULTICHANNEL VIDEO PROGRAMMING DISTRIBUTOR.— 
The term ‘‘multichannel video programming distributor’’ has 
the meaning given such term in section 602 of the Communica-
tions Act of 1934 (47 U.S.C. 522). 
(20) NARROWBAND
SPECTRUM.—The term ‘‘narrowband 
spectrum’’ means the portion of the electromagnetic spectrum 
between the frequencies from 769 megahertz to 775 megahertz 
and between the frequencies from 799 megahertz to 805 mega-
hertz. 
(21) NATIONWIDE PUBLIC SAFETY BROADBAND NETWORK.— 
The term ‘‘nationwide public safety broadband network’’ means 
the nationwide, interoperable public safety broadband network 
described in section 6202. 
(22) NEXT GENERATION 9–1–1 SERVICES.—The term ‘‘Next 
Generation 9–1–1 services’’ means an IP-based system com-
prised of hardware, software, data, and operational policies 
and procedures that— 
(A) provides standardized interfaces from emergency 
call and message services to support emergency commu-
nications; 
(B) processes all types of emergency calls, including 
voice, text, data, and multimedia information; 
(C) acquires and integrates additional emergency call 
data useful to call routing and handling; 
(D) delivers the emergency calls, messages, and data 
to the appropriate public safety answering point and other 
appropriate emergency entities; 
(E) supports data or video communications needs for 
coordinated incident response and management; and 
(F) provides broadband service to public safety 
answering points or other first responder entities. 
(23) NIST.—The term ‘‘NIST’’ means the National Institute 
of Standards and Technology. 
(24) NTIA.—The term ‘‘NTIA’’ means the National Tele-
communications and Information Administration. 
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126 STAT. 204 
PUBLIC LAW 112–96—FEB. 22, 2012 
(25) PUBLIC SAFETY ANSWERING POINT.—The term ‘‘public 
safety answering point’’ has the meaning given such term in 
section 222 of the Communications Act of 1934 (47 U.S.C. 
222). 
(26) PUBLIC
SAFETY
ENTITY.—The term ‘‘public safety 
entity’’ means an entity that provides public safety services. 
(27) PUBLIC
SAFETY
SERVICES.—The term ‘‘public safety 
services’’— 
(A) has the meaning given the term in section 337(f) 
of the Communications Act of 1934 (47 U.S.C. 337(f)); and 
(B) includes services provided by emergency response 
providers, as that term is defined in section 2 of the Home-
land Security Act of 2002 (6 U.S.C. 101). 
(28) PUBLIC SAFETY TRUST FUND.—The term ‘‘Public Safety 
Trust Fund’’ means the trust fund established under section 
6413(a)(1). 
(29) RADIO ACCESS NETWORK.—The term ‘‘radio access net-
work’’ means the radio access network described in section 
6202(b)(2). 
(30) REVERSE AUCTION.—The term ‘‘reverse auction’’ means 
the portion of an incentive auction of broadcast television spec-
trum under section 6403(a), in which a broadcast television 
licensee may submit bids stating the amount it would accept 
for voluntarily relinquishing some or all of its broadcast tele-
vision spectrum usage rights. 
(31) STATE.—The term ‘‘State’’ has the meaning given such 
term in section 3 of the Communications Act of 1934 (47 U.S.C. 
153). 
(32) ULTRA HIGH FREQUENCY.—The term ‘‘ultra high fre-
quency’’ means, with respect to a television channel, that the 
channel is located in the portion of the electromagnetic spec-
trum between the frequencies from 470 megahertz to 698 mega-
hertz. 
(33) VERY
HIGH
FREQUENCY.—The term ‘‘very high fre-
quency’’ means, with respect to a television channel, that the 
channel is located in the portion of the electromagnetic spec-
trum between the frequencies from 54 megahertz to 72 mega-
hertz, from 76 megahertz to 88 megahertz, or from 174 mega-
hertz to 216 megahertz. 
SEC. 6002. RULE OF CONSTRUCTION. 
Each range of frequencies described in this title shall be con-
strued to be inclusive of the upper and lower frequencies in the 
range. 
SEC. 6003. ENFORCEMENT. 
(a) IN GENERAL.—The Commission shall implement and enforce 
this title as if this title is a part of the Communications Act 
of 1934 (47 U.S.C. 151 et seq.). A violation of this title, or a 
regulation promulgated under this title, shall be considered to be 
a violation of the Communications Act of 1934, or a regulation 
promulgated under such Act, respectively. 
(b) EXCEPTIONS.— 
(1) OTHER
AGENCIES.—Subsection (a) does not apply in 
the case of a provision of this title that is expressly required 
to be carried out by an agency (as defined in section 551 
of title 5, United States Code) other than the Commission. 
47 USC 1403. 
47 USC 1402. 
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126 STAT. 205 
PUBLIC LAW 112–96—FEB. 22, 2012 
(2) NTIA REGULATIONS.—The Assistant Secretary may 
promulgate such regulations as are necessary to implement 
and enforce any provision of this title that is expressly required 
to be carried out by the Assistant Secretary. 
SEC. 6004. NATIONAL SECURITY RESTRICTIONS ON USE OF FUNDS 
AND AUCTION PARTICIPATION. 
(a) USE OF FUNDS.—No funds made available by subtitle B 
or C may be used to make payments under a contract to a person 
described in subsection (c). 
(b) AUCTION PARTICIPATION.—A person described in subsection 
(c) may not participate in a system of competitive bidding under 
section 309(j) of the Communications Act of 1934 (47 U.S.C. 309(j))— 
(1) that is required to be conducted by this title; or 
(2) in which any spectrum usage rights for which licenses 
are being assigned were made available under clause (i) of 
subparagraph (G) of paragraph (8) of such section, as added 
by section 6402. 
(c) PERSON DESCRIBED.—A person described in this subsection 
is a person who has been, for reasons of national security, barred 
by any agency of the Federal Government from bidding on a con-
tract, participating in an auction, or receiving a grant. 
Subtitle A—Reallocation of Public Safety 
Spectrum 
SEC. 6101. REALLOCATION OF D BLOCK TO PUBLIC SAFETY. 
(a) IN GENERAL.—The Commission shall reallocate the 700 
MHz D block spectrum for use by public safety entities in accordance 
with the provisions of this Act. 
(b) SPECTRUM ALLOCATION.—Section 337(a) of the Communica-
tions Act of 1934 (47 U.S.C. 337(a)) is amended— 
(1) by striking ‘‘24’’ in paragraph (1) and inserting ‘‘34’’; 
and 
(2) by striking ‘‘36’’ in paragraph (2) and inserting ‘‘26’’. 
SEC. 6102. FLEXIBLE USE OF NARROWBAND SPECTRUM. 
The Commission may allow the narrowband spectrum to be 
used in a flexible manner, including usage for public safety 
broadband communications, subject to such technical and inter-
ference protection measures as the Commission may require. 
SEC. 6103. 470–512 MHZ PUBLIC SAFETY SPECTRUM. 
(a) IN GENERAL.—Not later than 9 years after the date of 
enactment of this title, the Commission shall— 
(1) reallocate the spectrum in the 470–512 MHz band 
(referred to in this section as the ‘‘T-Band spectrum’’) currently 
used by public safety eligibles as identified in section 90.303 
of title 47, Code of Federal Regulations; and 
(2) begin a system of competitive bidding under section 
309(j) of the Communications Act of 1934 (47 U.S.C. 309(j)) 
to grant new initial licenses for the use of the spectrum 
described in paragraph (1). 
(b) AUCTION
PROCEEDS.—Proceeds (including deposits and 
upfront payments from successful bidders) from the competitive 
bidding system described in subsection (a)(2) shall be available 
Grants. 
Deadline. 
47 USC 1413. 
47 USC 1412. 
47 USC 1411. 
47 USC 1404. 
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126 STAT. 206 
PUBLIC LAW 112–96—FEB. 22, 2012 
to the Assistant Secretary to make grants in such sums as necessary 
to cover relocation costs for the relocation of public safety entities 
from the T-Band spectrum. 
(c) RELOCATION.—Relocation shall be completed not later than 
2 years after the date on which the system of competitive bidding 
described in subsection (a)(2) is completed. 
Subtitle B—Governance of Public Safety 
Spectrum 
SEC. 6201. SINGLE PUBLIC SAFETY WIRELESS NETWORK LICENSEE. 
(a) REALLOCATION AND GRANT OF LICENSE.—Notwithstanding 
any other provision of law, and subject to the provisions of this 
Act, the Commission shall reallocate and grant a license to the 
First Responder Network Authority for the use of the 700 MHz 
D block spectrum and existing public safety broadband spectrum. 
(b) TERM OF LICENSE.— 
(1) INITIAL LICENSE.—The license granted under subsection 
(a) shall be for an initial term of 10 years from the date 
of the initial issuance of the license. 
(2) RENEWAL OF LICENSE.—Prior to expiration of the term 
of the initial license granted under subsection (a) or the expira-
tion of any subsequent renewal of such license, the First 
Responder Network Authority shall submit to the Commission 
an application for the renewal of such license. Such renewal 
application shall demonstrate that, during the preceding license 
term, the First Responder Network Authority has met the 
duties and obligations set forth under this Act. A renewal 
license granted under this paragraph shall be for a term of 
not to exceed 10 years. 
(c) FACILITATION OF TRANSITION.—The Commission shall take 
all actions necessary to facilitate the transition of the existing 
public safety broadband spectrum to the First Responder Network 
Authority. 
SEC. 6202. PUBLIC SAFETY BROADBAND NETWORK. 
(a) ESTABLISHMENT.—The First Responder Network Authority 
shall ensure the establishment of a nationwide, interoperable public 
safety broadband network. 
(b) NETWORK
COMPONENTS.—The nationwide public safety 
broadband network shall be based on a single, national network 
architecture that evolves with technological advancements and ini-
tially consists of— 
(1) a core network that— 
(A) consists of national and regional data centers, and 
other elements and functions that may be distributed geo-
graphically, all of which shall be based on commercial 
standards; and 
(B) provides the connectivity between— 
(i) the radio access network; and 
(ii) the public Internet or the public switched net-
work, or both; and 
(2) a radio access network that— 
(A) consists of all cell site equipment, antennas, and 
backhaul equipment, based on commercial standards, that 
47 USC 1422. 
47 USC 1421. 
Deadline. 
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126 STAT. 207 
PUBLIC LAW 112–96—FEB. 22, 2012 
are required to enable wireless communications with 
devices using the public safety broadband spectrum; and 
(B) shall be developed, constructed, managed, main-
tained, and operated taking into account the plans devel-
oped in the State, local, and tribal planning and 
implementation grant program under section 6302(a). 
SEC. 6203. PUBLIC SAFETY INTEROPERABILITY BOARD. 
(a) ESTABLISHMENT.—There is established within the Commis-
sion an advisory board to be known as the ‘‘Technical Advisory 
Board for First Responder Interoperability’’. 
(b) MEMBERSHIP.— 
(1) IN GENERAL.— 
(A) VOTING MEMBERS.—Not later than 30 days after 
the date of enactment of this title, the Chairman of the 
Commission shall appoint 14 voting members to the Inter-
operability Board, of which— 
(i) 4 members shall be representatives of wireless 
providers, of which— 
(I) 2 members shall be representatives of 
national wireless providers; 
(II) 1 member shall be a representative of 
regional wireless providers; and 
(III) 1 member shall be a representative of 
rural wireless providers; 
(ii) 3 members shall be representatives of equip-
ment manufacturers; 
(iii) 4 members shall be representatives of public 
safety entities, of which— 
(I) not less than 1 member shall be a rep-
resentative of management level employees of 
public safety entities; and 
(II) not less than 1 member shall be a rep-
resentative of employees of public safety entities; 
(iv) 3 members shall be representatives of State 
and local governments, chosen to reflect geographic 
and population density differences across the United 
States; and 
(v) all members shall have specific expertise nec-
essary to developing technical requirements under this 
section, such as technical expertise, public safety 
communications expertise, and commercial network 
experience. 
(B) NON-VOTING
MEMBER.—The Assistant Secretary 
shall appoint 1 non-voting member to the Interoperability 
Board. 
(2) PERIOD OF APPOINTMENT.— 
(A) IN GENERAL.—Except as provided in subparagraph 
(B), members of the Interoperability Board shall be 
appointed for the life of the Interoperability Board. 
(B) REMOVAL FOR CAUSE.—A member of the Interoper-
ability Board may be removed for cause upon the deter-
mination of the Chairman of the Commission. 
(3) VACANCIES.—Any vacancy in the Interoperability Board 
shall not affect the powers of the Interoperability Board, and 
shall be filled in the same manner as the original appointment. 
47 USC 1423. 
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126 STAT. 208 
PUBLIC LAW 112–96—FEB. 22, 2012 
(4) CHAIRPERSON AND VICE CHAIRPERSON.—The Interoper-
ability Board shall select a Chairperson and Vice Chairperson 
from among the members of the Interoperability Board. 
(5) QUORUM.—A majority of the members of the Interoper-
ability Board shall constitute a quorum. 
(c) DUTIES OF THE INTEROPERABILITY BOARD.— 
(1) DEVELOPMENT OF TECHNICAL REQUIREMENTS.—Not later 
than 90 days after the date of enactment of this Act, the 
Interoperability Board, in consultation with the NTIA, NIST, 
and the Office of Emergency Communications of the Depart-
ment of Homeland Security, shall— 
(A) develop recommended minimum technical require-
ments to ensure a nationwide level of interoperability for 
the nationwide public safety broadband network; and 
(B) submit to the Commission for review in accordance 
with paragraph (3) recommended minimum technical 
requirements described in subparagraph (A). 
(2) CONSIDERATION.—In developing recommended min-
imum technical requirements under paragraph (1), the Inter-
operability Board shall base the recommended minimum tech-
nical requirements on the commercial standards for Long Term 
Evolution (LTE) service. 
(3) APPROVAL OF RECOMMENDATIONS.— 
(A) IN GENERAL.—Not later than 30 days after the 
date on which the Interoperability Board submits rec-
ommended minimum technical requirements under para-
graph (1)(B), the Commission shall approve the rec-
ommendations, with any revisions it deems necessary, and 
transmit such recommendations to the First Responder 
Network Authority. 
(B) REVIEW.—Any actions taken under subparagraph 
(A) shall not be reviewable as a final agency action. 
(d) TRAVEL EXPENSES.—The members of the Interoperability 
Board shall be allowed travel expenses, including per diem in 
lieu of subsistence, at rates authorized for employees of agencies 
under subchapter I of chapter 57 of title 5, United States Code, 
while away from their homes or regular places of business in 
the performance of services for the Interoperability Board. 
(e) EXEMPTION FROM FACA.—The Federal Advisory Committee 
Act (5 U.S.C. App.) shall not apply to the Interoperability Board. 
(f) TERMINATION OF AUTHORITY.—The Interoperability Board 
shall terminate 15 days after the date on which the Commission 
transmits the recommendations to the First Responder Network 
Authority under subsection (c)(3)(A). 
SEC. 6204. ESTABLISHMENT OF THE FIRST RESPONDER NETWORK 
AUTHORITY. 
(a) ESTABLISHMENT.—There is established as an independent 
authority within the NTIA the ‘‘First Responder Network Authority’’ 
or ‘‘FirstNet’’. 
(b) BOARD.— 
(1) IN GENERAL.—The First Responder Network Authority 
shall be headed by a Board, which shall consist of— 
(A) the Secretary of Homeland Security; 
(B) the Attorney General of the United States; 
(C) the Director of the Office of Management and 
Budget; and 
47 USC 1424. 
Deadline. 
Deadline. 
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126 STAT. 209 
PUBLIC LAW 112–96—FEB. 22, 2012 
(D) 12 individuals appointed by the Secretary of Com-
merce in accordance with paragraph (2). 
(2) APPOINTMENTS.— 
(A) IN GENERAL.—In making appointments under para-
graph (1)(D), the Secretary of Commerce shall— 
(i) appoint not fewer than 3 individuals to rep-
resent the collective interests of the States, localities, 
tribes, and territories; 
(ii) seek to ensure geographic and regional rep-
resentation of the United States in such appointments; 
(iii) seek to ensure rural and urban representation 
in such appointments; and 
(iv) appoint not fewer than 3 individuals who have 
served as public safety professionals. 
(B) REQUIRED QUALIFICATIONS.— 
(i) IN GENERAL.—Each member appointed under 
paragraph (1)(D) should meet not less than 1 of the 
following criteria: 
(I) PUBLIC
SAFETY
EXPERIENCE.—Knowledge 
and experience in the use of Federal, State, local, 
or tribal public safety or emergency response. 
(II) TECHNICAL EXPERTISE.—Technical exper-
tise and fluency regarding broadband communica-
tions, including public safety communications. 
(III) 
NETWORK
EXPERTISE.—Expertise 
in 
building, deploying, and operating commercial tele-
communications networks. 
(IV) 
FINANCIAL
EXPERTISE.—Expertise 
in 
financing and funding telecommunications net-
works. 
(ii) EXPERTISE
TO
BE
REPRESENTED.—In making 
appointments under paragraph (1)(D), the Secretary 
of Commerce shall appoint— 
(I) not fewer than 1 individual who satisfies 
the requirement under subclause (II) of clause (i); 
(II) not fewer than 1 individual who satisfies 
the requirement under subclause (III) of clause 
(i); and 
(III) not fewer than 1 individual who satisfies 
the requirement under subclause (IV) of clause 
(i). 
(C) CITIZENSHIP.—No individual other than a citizen 
of the United States may serve as a member of the Board. 
(c) TERMS OF APPOINTMENT.— 
(1) INITIAL APPOINTMENT DEADLINE.—Members of the Board 
shall be appointed not later than 180 days after the date 
of the enactment of this title. 
(2) TERMS.— 
(A) LENGTH.— 
(i) IN
GENERAL.—Each member of the Board 
described in subparagraphs (A) through (C) of sub-
section (b)(1) shall serve as a member of the Board 
for the life of the First Responder Network Authority. 
(ii) APPOINTED INDIVIDUALS.—The term of office 
of each individual appointed to be a member of the 
Board under subsection (b)(1)(D) shall be 3 years. No 
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126 STAT. 210 
PUBLIC LAW 112–96—FEB. 22, 2012 
member described in this clause may serve more than 
2 consecutive full 3-year terms. 
(B) EXPIRATION OF TERM.—Any member whose term 
has expired may serve until such member’s successor has 
taken office, or until the end of the calendar year in which 
such member’s term has expired, whichever is earlier. 
(C) APPOINTMENT
TO
FILL
VACANCY.—Any member 
appointed to fill a vacancy occurring prior to the expiration 
of the term for which that member’s predecessor was 
appointed shall be appointed for the remainder of the 
predecessor’s term. 
(D) STAGGERED
TERMS.—With respect to the initial 
members of the Board appointed under subsection 
(b)(1)(D)— 
(i) 4 members shall serve for a term of 3 years; 
(ii) 4 members shall serve for a term of 2 years; 
and 
(iii) 4 members shall serve for a term of 1 year. 
(3) VACANCIES.—A vacancy in the membership of the Board 
shall not affect the Board’s powers, and shall be filled in the 
same manner as the original member was appointed. 
(d) CHAIR.— 
(1) SELECTION.—The Secretary of Commerce shall select, 
from among the members of the Board appointed under sub-
section (b)(1)(D), an individual to serve for a 2-year term as 
Chair of the Board. 
(2) CONSECUTIVE TERMS.—An individual may not serve for 
more than 2 consecutive terms as Chair of the Board. 
(e) MEETINGS.— 
(1) FREQUENCY.—The Board shall meet— 
(A) at the call of the Chair; and 
(B) not less frequently than once each quarter. 
(2) TRANSPARENCY.—Meetings of the Board, including any 
committee of the Board, shall be open to the public. The Board 
may, by majority vote, close any such meeting only for the 
time necessary to preserve the confidentiality of commercial 
or financial information that is privileged or confidential, to 
discuss personnel matters, or to discuss legal matters affecting 
the First Responder Network Authority, including pending or 
potential litigation. 
(f) QUORUM.—Eight members of the Board shall constitute a 
quorum, including at least 6 of the members appointed under sub-
section (b)(1)(D). 
(g) COMPENSATION.— 
(1) IN
GENERAL.—The members of the Board appointed 
under subsection (b)(1)(D) shall be compensated at the daily 
rate of basic pay for level IV of the Executive Schedule for 
each day during which such members are engaged in per-
forming a function of the Board. 
(2) PROHIBITION
ON
COMPENSATION.—A member of the 
Board appointed under subparagraphs (A) through (C) of sub-
section (b)(1) shall serve without additional pay, and shall 
not otherwise benefit, directly or indirectly, as a result of their 
service to the First Responder Network Authority, but shall 
be allowed a per diem allowance for travel expenses, at rates 
authorized for an employee of an agency under subchapter 
I of chapter 57 of title 5, United States Code, while away 
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126 STAT. 211 
PUBLIC LAW 112–96—FEB. 22, 2012 
from the home or regular place of business of the member 
in the performance of the duties of the First Responder Network 
Authority. 
SEC. 6205. ADVISORY COMMITTEES OF THE FIRST RESPONDER NET-
WORK AUTHORITY. 
(a) ADVISORY COMMITTEES.—The First Responder Network 
Authority— 
(1) shall establish a standing public safety advisory com-
mittee to assist the First Responder Network Authority in 
carrying out its duties and responsibilities under this subtitle; 
and 
(2) may establish additional standing or ad hoc committees, 
panels, or councils as the First Responder Network Authority 
determines are necessary. 
(b) SELECTION OF AGENTS, CONSULTANTS, AND EXPERTS.— 
(1) IN GENERAL.—The First Responder Network Authority 
shall select parties to serve as its agents, consultants, or experts 
in a fair, transparent, and objective manner, and such agents 
may include a program manager to carry out certain of the 
duties and responsibilities of deploying and operating the 
nationwide public safety broadband network described in sub-
sections (b) and (c) of section 6206. 
(2) BINDING
AND
FINAL.—If the selection of an agent, 
consultant, or expert satisfies the requirements under para-
graph (1), the selection of that agent, consultant, or expert 
shall be final and binding. 
SEC. 6206. POWERS, DUTIES, AND RESPONSIBILITIES OF THE FIRST 
RESPONDER NETWORK AUTHORITY. 
(a) GENERAL POWERS.—The First Responder Network Authority 
shall have the authority to do the following: 
(1) To exercise, through the actions of its Board, all powers 
specifically granted by the provisions of this subtitle, and such 
incidental powers as shall be necessary. 
(2) To hold such hearings, sit and act at such times and 
places, take such testimony, and receive such evidence as the 
First Responder Network Authority considers necessary to carry 
out its responsibilities and duties. 
(3) To obtain grants and funds from and make contracts 
with individuals, private companies, organizations, institutions, 
and Federal, State, regional, and local agencies. 
(4) To accept, hold, administer, and utilize gifts, donations, 
and bequests of property, both real and personal, for the pur-
poses of aiding or facilitating the work of the First Responder 
Network Authority. 
(5) To spend funds under paragraph (3) in a manner author-
ized by the Board, but only for purposes that will advance 
or enhance public safety communications consistent with this 
title. 
(6) To take such other actions as the First Responder 
Network Authority (through the Board) may from time to time 
determine necessary, appropriate, or advisable to accomplish 
the purposes of this title. 
(b) DUTY
AND RESPONSIBILITY
TO DEPLOY
AND OPERATE
A 
NATIONWIDE PUBLIC SAFETY BROADBAND NETWORK.— 
(1) IN GENERAL.—The First Responder Network Authority 
shall hold the single public safety wireless license granted 
47 USC 1426. 
47 USC 1425. 
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126 STAT. 212 
PUBLIC LAW 112–96—FEB. 22, 2012 
under section 6201 and take all actions necessary to ensure 
the building, deployment, and operation of the nationwide 
public safety broadband network, in consultation with Federal, 
State, tribal, and local public safety entities, the Director of 
NIST, the Commission, and the public safety advisory com-
mittee established in section 6205(a), including by, at a min-
imum— 
(A) ensuring nationwide standards for use and access 
of the network; 
(B) issuing open, transparent, and competitive requests 
for proposals to private sector entities for the purposes 
of building, operating, and maintaining the network that 
use, without materially changing, the minimum technical 
requirements developed under section 6203; 
(C) encouraging that such requests leverage, to the 
maximum extent economically desirable, existing commer-
cial wireless infrastructure to speed deployment of the 
network; and 
(D) managing and overseeing the implementation and 
execution of contracts or agreements with non-Federal enti-
ties to build, operate, and maintain the network. 
(2) REQUIREMENTS.—In carrying out the duties and respon-
sibilities of this subsection, including issuing requests for pro-
posals, the First Responder Network Authority shall— 
(A) ensure the safety, security, and resiliency of the 
network, including requirements for protecting and moni-
toring the network to protect against cyberattack; 
(B) promote competition in the equipment market, 
including devices for public safety communications, by 
requiring that equipment for use on the network be— 
(i) built to open, non-proprietary, commercially 
available standards; 
(ii) capable of being used by any public safety 
entity and by multiple vendors across all public safety 
broadband networks operating in the 700 MHz band; 
and 
(iii) backward-compatible with existing commercial 
networks to the extent that such capabilities are nec-
essary and technically and economically reasonable; 
(C) promote integration of the network with public 
safety answering points or their equivalent; and 
(D) address special considerations for areas or regions 
with unique homeland security or national security needs. 
(3) RURAL
COVERAGE.—In carrying out the duties and 
responsibilities of this subsection, including issuing requests 
for proposals, the nationwide, interoperable public safety 
broadband network, consistent with the license granted under 
section 6201, shall require deployment phases with substantial 
rural coverage milestones as part of each phase of the construc-
tion and deployment of the network. To the maximum extent 
economically desirable, such proposals shall include partner-
ships with existing commercial mobile providers to utilize cost- 
effective opportunities to speed deployment in rural areas. 
(4) EXECUTION OF AUTHORITY.—In carrying out the duties 
and responsibilities of this subsection, the First Responder 
Network Authority may— 
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126 STAT. 213 
PUBLIC LAW 112–96—FEB. 22, 2012 
(A) obtain grants from and make contracts with 
individuals, 
private 
companies, 
and 
Federal, 
State, 
regional, and local agencies; 
(B) hire or accept voluntary services of consultants, 
experts, advisory boards, and panels to aid the First 
Responder Network Authority in carrying out such duties 
and responsibilities; 
(C) receive payment for use of— 
(i) 
network 
capacity 
licensed 
to 
the 
First 
Responder Network Authority; and 
(ii) network infrastructure constructed, owned, or 
operated by the First Responder Network Authority; 
and 
(D) take such other actions as may be necessary to 
accomplish the purposes set forth in this subsection. 
(c) OTHER SPECIFIC DUTIES AND RESPONSIBILITIES.— 
(1) ESTABLISHMENT OF NETWORK POLICIES.—In carrying out 
the requirements under subsection (b), the First Responder 
Network Authority shall develop— 
(A) requests for proposals with appropriate— 
(i) timetables for construction, including by taking 
into consideration the time needed to build out to 
rural areas and the advantages offered through part-
nerships with existing commercial providers under 
paragraph (3); 
(ii) coverage areas, including coverage in rural and 
nonurban areas; 
(iii) service levels; 
(iv) performance criteria; and 
(v) other similar matters for the construction and 
deployment of such network; 
(B) the technical and operational requirements of the 
network; 
(C) practices, procedures, and standards for the 
management and operation of such network; 
(D) terms of service for the use of such network, 
including billing practices; and 
(E) ongoing compliance review and monitoring of the— 
(i) management and operation of such network; 
(ii) practices and procedures of the entities oper-
ating on and the personnel using such network; and 
(iii) necessary training needs of network operators 
and users. 
(2) STATE AND LOCAL PLANNING.— 
(A) REQUIRED CONSULTATION.—In developing requests 
for proposals and otherwise carrying out its responsibilities 
under this Act, the First Responder Network Authority 
shall consult with regional, State, tribal, and local jurisdic-
tions regarding the distribution and expenditure of any 
amounts required to carry out the policies established 
under paragraph (1), including with regard to the— 
(i) construction of a core network and any radio 
access network build out; 
(ii) placement of towers; 
(iii) coverage areas of the network, whether at 
the regional, State, tribal, or local level; 
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126 STAT. 214 
PUBLIC LAW 112–96—FEB. 22, 2012 
(iv) adequacy of hardening, security, reliability, 
and resiliency requirements; 
(v) assignment of priority to local users; 
(vi) assignment of priority and selection of entities 
seeking access to or use of the nationwide public safety 
interoperable broadband network established under 
subsection (b); and 
(vii) training needs of local users. 
(B) METHOD
OF
CONSULTATION.—The consultation 
required under subparagraph (A) shall occur between the 
First Responder Network Authority and the single officer 
or governmental body designated under section 6302(d). 
(3) LEVERAGING
EXISTING
INFRASTRUCTURE.—In carrying 
out the requirement under subsection (b), the First Responder 
Network Authority shall enter into agreements to utilize, to 
the maximum extent economically desirable, existing— 
(A) commercial or other communications infrastruc-
ture; and 
(B) Federal, State, tribal, or local infrastructure. 
(4) MAINTENANCE
AND
UPGRADES.—The First Responder 
Network Authority shall ensure the maintenance, operation, 
and improvement of the nationwide public safety broadband 
network, including by ensuring that the First Responder Net-
work Authority updates and revises any policies established 
under paragraph (1) to take into account new and evolving 
technologies. 
(5) ROAMING AGREEMENTS.—The First Responder Network 
Authority shall negotiate and enter into, as it determines appro-
priate, roaming agreements with commercial network providers 
to allow the nationwide public safety broadband network to 
roam onto commercial networks and gain prioritization of public 
safety communications over such networks in times of an emer-
gency. 
(6) NETWORK INFRASTRUCTURE AND DEVICE CRITERIA.—The 
Director of NIST, in consultation with the First Responder 
Network Authority and the Commission, shall ensure the 
development of a list of certified devices and components 
meeting appropriate protocols and standards for public safety 
entities and commercial vendors to adhere to, if such entities 
or vendors seek to have access to, use of, or compatibility 
with the nationwide public safety broadband network. 
(7) REPRESENTATION BEFORE STANDARD SETTING ENTITIES.— 
The First Responder Network Authority, in consultation with 
the Director of NIST, the Commission, and the public safety 
advisory committee established under section 6205(a), shall 
represent the interests of public safety users of the nationwide 
public safety broadband network before any proceeding, nego-
tiation, or other matter in which a standards organization, 
standards body, standards development organization, or any 
other recognized standards-setting entity addresses the develop-
ment of standards relating to interoperability. 
(8) PROHIBITION ON NEGOTIATION WITH FOREIGN GOVERN-
MENTS.—The First Responder Network Authority shall not have 
the authority to negotiate or enter into any agreements with 
a foreign government on behalf of the United States. 
Lists. 
Contracts. 
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126 STAT. 215 
PUBLIC LAW 112–96—FEB. 22, 2012 
(d) EXEMPTION FROM CERTAIN LAWS.—Any action taken or 
decisions made by the First Responder Network Authority shall 
be exempt from the requirements of— 
(1) section 3506 of title 44, United States Code (commonly 
referred to as the Paperwork Reduction Act); 
(2) chapter 5 of title 5, United States Code (commonly 
referred to as the Administrative Procedures Act); and 
(3) chapter 6 of title 5, United States Code (commonly 
referred to as the Regulatory Flexibility Act). 
(e) NETWORK CONSTRUCTION FUND.— 
(1) ESTABLISHMENT.—There is established in the Treasury 
of the United States a fund to be known as the ‘‘Network 
Construction Fund’’. 
(2) USE OF FUND.—Amounts deposited into the Network 
Construction Fund shall be used by the— 
(A) First Responder Network Authority to carry out 
this section, except for administrative expenses; and 
(B) NTIA to make grants to States under section 
6302(e)(3)(C)(iii)(I). 
(f) TERMINATION OF AUTHORITY.—The authority of the First 
Responder Network Authority shall terminate on the date that 
is 15 years after the date of enactment of this title. 
(g) GAO REPORT.—Not later than 10 years after the date of 
the enactment of this Act, the Comptroller General of the United 
States shall submit to Congress a report on what action Congress 
should take regarding the 15-year sunset of authority under sub-
section (f). 
SEC. 6207. INITIAL FUNDING FOR THE FIRST RESPONDER NETWORK 
AUTHORITY. 
(a) BORROWING AUTHORITY.—Prior to the deposit of proceeds 
into the Public Safety Trust Fund from the incentive auctions 
to be carried out under section 309(j)(8)(G) of the Communications 
Act of 1934 or the auction of spectrum pursuant to section 6401, 
the NTIA may borrow from the Treasury such sums as may be 
necessary, but not to exceed $2,000,000,000, to implement this 
subtitle. The NTIA shall reimburse the Treasury, without interest, 
from funds deposited into the Public Safety Trust Fund. 
(b) PROHIBITION.— 
(1) IN
GENERAL.—Administrative expenses of the First 
Responder Network Authority may not exceed $100,000,000 
during the 10-year period beginning on the date of enactment 
of this title. 
(2) DEFINITION.—For purposes of this subsection, the term 
‘‘administrative expenses’’ does not include the costs incurred 
by the First Responder Network Authority for oversight and 
audits to protect against waste, fraud, and abuse. 
SEC. 6208. PERMANENT SELF-FUNDING; DUTY TO ASSESS AND COL-
LECT FEES FOR NETWORK USE. 
(a) IN GENERAL.—Notwithstanding section 337 of the Commu-
nications Act of 1934 (47 U.S.C. 337), the First Responder Network 
Authority is authorized to assess and collect the following fees: 
(1) NETWORK USER FEE.—A user or subscription fee from 
each entity, including any public safety entity or secondary 
user, that seeks access to or use of the nationwide public 
safety broadband network. 
(2) LEASE FEES RELATED TO NETWORK CAPACITY.— 
47 USC 1428. 
Time period. 
Reimbursement. 
47 USC 1427. 
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126 STAT. 216 
PUBLIC LAW 112–96—FEB. 22, 2012 
(A) IN GENERAL.—A fee from any entity that seeks 
to enter into a covered leasing agreement. 
(B) COVERED LEASING AGREEMENT.—For purposes of 
subparagraph (A), a ‘‘covered leasing agreement’’ means 
a written agreement resulting from a public-private 
arrangement to construct, manage, and operate the nation-
wide public safety broadband network between the First 
Responder Network Authority and secondary user to 
permit— 
(i) access to network capacity on a secondary basis 
for non-public safety services; and 
(ii) the spectrum allocated to such entity to be 
used for commercial transmissions along the dark fiber 
of the long-haul network of such entity. 
(3) LEASE
FEES
RELATED
TO
NETWORK
EQUIPMENT
AND 
INFRASTRUCTURE.—A fee from any entity that seeks access to 
or use of any equipment or infrastructure, including antennas 
or towers, constructed or otherwise owned by the First 
Responder Network Authority resulting from a public-private 
arrangement to construct, manage, and operate the nationwide 
public safety broadband network. 
(b) ESTABLISHMENT
OF
FEE
AMOUNTS; PERMANENT
SELF- 
FUNDING.—The total amount of the fees assessed for each fiscal 
year pursuant to this section shall be sufficient, and shall not 
exceed the amount necessary, to recoup the total expenses of the 
First Responder Network Authority in carrying out its duties and 
responsibilities described under this subtitle for the fiscal year 
involved. 
(c) ANNUAL
APPROVAL.—The NTIA shall review the fees 
assessed under this section on an annual basis, and such fees 
may only be assessed if approved by the NTIA. 
(d) REQUIRED REINVESTMENT OF FUNDS.—The First Responder 
Network Authority shall reinvest amounts received from the assess-
ment of fees under this section in the nationwide public safety 
interoperable broadband network by using such funds only for 
constructing, maintaining, operating, or improving the network. 
SEC. 6209. AUDIT AND REPORT. 
(a) AUDIT.— 
(1) IN GENERAL.—The Secretary of Commerce shall enter 
into a contract with an independent auditor to conduct an 
audit, on an annual basis, of the First Responder Network 
Authority in accordance with general accounting principles and 
procedures applicable to commercial corporate transactions. 
Each audit conducted under this paragraph shall be made 
available to the appropriate committees of Congress. 
(2) LOCATION.—Any audit conducted under paragraph (1) 
shall be conducted at the place or places where accounts of 
the First Responder Network Authority are normally kept. 
(3) ACCESS
TO
FIRST
RESPONDER
NETWORK
AUTHORITY 
BOOKS AND DOCUMENTS.— 
(A) IN GENERAL.—For purposes of an audit conducted 
under paragraph (1), the representatives of the independent 
auditor shall— 
(i) have access to all books, accounts, records, 
reports, files, and all other papers, things, or property 
belonging to or in use by the First Responder Network 
47 USC 1429. 
Review. 
Definition. 
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126 STAT. 217 
PUBLIC LAW 112–96—FEB. 22, 2012 
Authority that pertain to the financial transactions 
of the First Responder Network Authority and are 
necessary to facilitate the audit; and 
(ii) be afforded full facilities for verifying trans-
actions with the balances or securities held by deposi-
tories, fiscal agents, and custodians. 
(B) 
REQUIREMENT.—All 
books, 
accounts, 
records, 
reports, files, papers, and property of the First Responder 
Network Authority shall remain in the possession and cus-
tody of the First Responder Network Authority. 
(b) REPORT.— 
(1) IN GENERAL.—The independent auditor selected to con-
duct an audit under this section shall submit a report of each 
audit conducted under subsection (a) to— 
(A) the appropriate committees of Congress; 
(B) the President; and 
(C) the First Responder Network Authority. 
(2) CONTENTS.—Each report submitted under paragraph 
(1) shall contain— 
(A) such comments and information as the independent 
auditor determines necessary to inform Congress of the 
financial operations and condition of the First Responder 
Network Authority; 
(B) any recommendations of the independent auditor 
relating to the financial operations and condition of the 
First Responder Network Authority; and 
(C) a description of any program, expenditure, or other 
financial transaction or undertaking of the First Responder 
Network Authority that was observed during the course 
of the audit, which, in the opinion of the independent 
auditor, has been carried on or made without the authority 
of law. 
SEC. 6210. ANNUAL REPORT TO CONGRESS. 
(a) IN GENERAL.—Not later than 1 year after the date of enact-
ment of this Act, and each year thereafter, the First Responder 
Network Authority shall submit an annual report covering the 
preceding fiscal year to the appropriate committees of Congress. 
(b) REQUIRED CONTENT.—The report required under subsection 
(a) shall include— 
(1) a comprehensive and detailed report of the operations, 
activities, financial condition, and accomplishments of the First 
Responder Network Authority under this section; and 
(2) such recommendations or proposals for legislative or 
administrative action as the First Responder Network 
Authority deems appropriate. 
(c) AVAILABILITY TO TESTIFY.—The members of the Board and 
employees of the First Responder Network Authority shall be avail-
able to testify before the appropriate committees of the Congress 
with respect to— 
(1) the report required under subsection (a); 
(2) the report of any audit conducted under section 6210; 
or 
(3) any other matter which such committees may determine 
appropriate. 
47 USC 1430. 
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126 STAT. 218 
PUBLIC LAW 112–96—FEB. 22, 2012 
SEC. 6211. PUBLIC SAFETY ROAMING AND PRIORITY ACCESS. 
The Commission may adopt rules, if necessary in the public 
interest, to improve the ability of public safety networks to roam 
onto commercial networks and to gain priority access to commercial 
networks in an emergency if— 
(1) the public safety entity equipment is technically compat-
ible with the commercial network; 
(2) the commercial network is reasonably compensated; 
and 
(3) such access does not preempt or otherwise terminate 
or degrade all existing voice conversations or data sessions. 
SEC. 6212. PROHIBITION ON DIRECT OFFERING OF COMMERCIAL TELE-
COMMUNICATIONS SERVICE DIRECTLY TO CONSUMERS. 
(a) IN GENERAL.—The First Responder Network Authority shall 
not offer, provide, or market commercial telecommunications or 
information services directly to consumers. 
(b) RULE OF CONSTRUCTION.—Nothing in this section shall be 
construed to prohibit the First Responder Network Authority and 
a secondary user from entering into a covered leasing agreement 
pursuant to section 6208(a)(2)(B). Nothing in this section shall 
be construed to limit the First Responder Network Authority from 
collecting lease fees related to network equipment and infrastruc-
ture pursuant to section 6208(a)(3). 
SEC. 6213. PROVISION OF TECHNICAL ASSISTANCE. 
The Commission may provide technical assistance to the First 
Responder Network Authority and may take any action necessary 
to assist the First Responder Network Authority in effectuating 
its duties and responsibilities under this subtitle. 
Subtitle C—Public Safety Commitments 
SEC. 6301. STATE AND LOCAL IMPLEMENTATION FUND. 
(a) ESTABLISHMENT.—There is established in the Treasury of 
the United States a fund to be known as the State and Local 
Implementation Fund. 
(b) AMOUNTS AVAILABLE FOR STATE AND LOCAL IMPLEMENTA-
TION GRANT PROGRAM.—Any amounts borrowed under subsection 
(c)(1) and any amounts in the State and Local Implementation 
Fund that are not necessary to reimburse the general fund of 
the Treasury for such borrowed amounts shall be available to the 
Assistant Secretary to implement section 6302. 
(c) BORROWING AUTHORITY.— 
(1) IN
GENERAL.—Prior to the end of fiscal year 2022, 
the Assistant Secretary may borrow from the general fund 
of the Treasury such sums as may be necessary, but not to 
exceed $135,000,000, to implement section 6302. 
(2) 
REIMBURSEMENT.—The 
Assistant 
Secretary 
shall 
reimburse the general fund of the Treasury, without interest, 
for any amounts borrowed under paragraph (1) as funds are 
deposited into the State and Local Implementation Fund. 
(d) TRANSFER
OF
UNUSED
FUNDS.—If there is a balance 
remaining in the State and Local Implementation Fund on Sep-
tember 30, 2022, the Secretary of the Treasury shall transfer such 
balance to the general fund of the Treasury, where such balance 
shall be dedicated for the sole purpose of deficit reduction. 
47 USC 1441. 
47 USC 1433. 
47 USC 1432. 
47 USC 1431. 
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126 STAT. 219 
PUBLIC LAW 112–96—FEB. 22, 2012 
SEC. 6302. STATE AND LOCAL IMPLEMENTATION. 
(a) ESTABLISHMENT
OF STATE
AND LOCAL IMPLEMENTATION 
GRANT PROGRAM.—The Assistant Secretary, in consultation with 
the First Responder Network Authority, shall take such action 
as is necessary to establish a grant program to make grants to 
States to assist State, regional, tribal, and local jurisdictions to 
identify, plan, and implement the most efficient and effective way 
for such jurisdictions to utilize and integrate the infrastructure, 
equipment, and other architecture associated with the nationwide 
public safety broadband network to satisfy the wireless communica-
tions and data services needs of that jurisdiction, including with 
regards to coverage, siting, and other needs. 
(b) MATCHING REQUIREMENTS; FEDERAL SHARE.— 
(1) IN GENERAL.—The Federal share of the cost of any 
activity carried out using a grant under this section may not 
exceed 80 percent of the eligible costs of carrying out that 
activity, as determined by the Assistant Secretary, in consulta-
tion with the First Responder Network Authority. 
(2) WAIVER.—The Assistant Secretary may waive, in whole 
or in part, the requirements of paragraph (1) for good cause 
shown if the Assistant Secretary determines that such a waiver 
is in the public interest. 
(c) PROGRAMMATIC REQUIREMENTS.—Not later than 6 months 
after the date of enactment of this Act, the Assistant Secretary, 
in consultation with the First Responder Network Authority, shall 
establish requirements relating to the grant program to be carried 
out under this section, including the following: 
(1) Defining eligible costs for purposes of subsection (b)(1). 
(2) Determining the scope of eligible activities for grant 
funding under this section. 
(3) Prioritizing grants for activities that ensure coverage 
in rural as well as urban areas. 
(d) CERTIFICATION AND DESIGNATION OF OFFICER OR GOVERN-
MENTAL BODY.—In carrying out the grant program established 
under this section, the Assistant Secretary shall require each State 
to certify in its application for grant funds that the State has 
designated a single officer or governmental body to serve as the 
coordinator of implementation of the grant funds. 
(e) STATE NETWORK.— 
(1) NOTICE.—Upon the completion of the request for pro-
posal process conducted by the First Responder Network 
Authority for the construction, operation, maintenance, and 
improvement of the nationwide public safety broadband net-
work, the First Responder Network Authority shall provide 
to the Governor of each State, or his designee— 
(A) notice of the completion of the request for proposal 
process; 
(B) details of the proposed plan for buildout of the 
nationwide, interoperable broadband network in such 
State; and 
(C) the funding level for the State as determined by 
the NTIA. 
(2) STATE
DECISION.—Not later than 90 days after the 
date on which the Governor of a State receives notice under 
paragraph (1), the Governor shall choose whether to— 
Deadline. 
Deadline. 
47 USC 1442. 
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126 STAT. 220 
PUBLIC LAW 112–96—FEB. 22, 2012 
(A) participate in the deployment of the nationwide, 
interoperable broadband network as proposed by the First 
Responder Network Authority; or 
(B) conduct its own deployment of a radio access net-
work in such State. 
(3) PROCESS.— 
(A) IN GENERAL.—Upon making a decision to opt-out 
under paragraph (2)(B), the Governor shall notify the First 
Responder Network Authority, the NTIA, and the Commis-
sion of such decision. 
(B) STATE REQUEST FOR PROPOSALS.—Not later than 
180 days after the date on which a Governor provides 
notice under subparagraph (A), the Governor shall develop 
and complete requests for proposals for the construction, 
maintenance, and operation of the radio access network 
within the State. 
(C) SUBMISSION AND APPROVAL OF ALTERNATIVE PLAN.— 
(i) IN GENERAL.—The State shall submit an alter-
native plan for the construction, maintenance, oper-
ation, and improvements of the radio access network 
within the State to the Commission, and such plan 
shall demonstrate— 
(I) that the State will be in compliance with 
the minimum technical interoperability require-
ments developed under section 6203; and 
(II) interoperability with the nationwide public 
safety broadband network. 
(ii) COMMISSION APPROVAL OR DISAPPROVAL.—Upon 
submission of a State plan under clause (i), the 
Commission shall either approve or disapprove the 
plan. 
(iii) APPROVAL.—If the Commission approves a 
plan under this subparagraph, the State— 
(I) may apply to the NTIA for a grant to 
construct the radio access network within the State 
that includes the showing described in subpara-
graph (D); and 
(II) shall apply to the NTIA to lease spectrum 
capacity from the First Responder Network 
Authority. 
(iv) DISAPPROVAL.—If the Commission disapproves 
a plan under this subparagraph, the construction, 
maintenance, operation, and improvements of the net-
work within the State shall proceed in accordance with 
the plan proposed by the First Responder Network 
Authority. 
(D) FUNDING REQUIREMENTS.—In order to obtain grant 
funds and spectrum capacity leasing rights under subpara-
graph (C)(iii), a State shall demonstrate— 
(i) that the State has— 
(I) the technical capabilities to operate, and 
the funding to support, the State radio access net-
work; 
(II) has the ability to maintain ongoing inter-
operability with the nationwide public safety 
broadband network; and 
Deadline. 
Notification. 
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126 STAT. 221 
PUBLIC LAW 112–96—FEB. 22, 2012 
(III) the ability to complete the project within 
specified comparable timelines specific to the 
State; 
(ii) the cost-effectiveness of the State plan sub-
mitted under subparagraph (C)(i); and 
(iii) comparable security, coverage, and quality of 
service to that of the nationwide public safety 
broadband network. 
(f) USER FEES.—If a State chooses to build its own radio access 
network, the State shall pay any user fees associated with State 
use of elements of the core network. 
(g) PROHIBITION.— 
(1) IN GENERAL.—A State that chooses to build its own 
radio access network shall not provide commercial service to 
consumers or offer wholesale leasing capacity of the network 
within the State except directly through public-private partner-
ships for construction, maintenance, operation, and improve-
ment of the network within the State. 
(2) RULE OF CONSTRUCTION.—Nothing in this subsection 
shall be construed to prohibit the State and a secondary user 
from entering into a covered leasing agreement. Any revenue 
gained by the State from such a leasing agreement shall be 
used only for constructing, maintaining, operating, or improving 
the radio access network of the State. 
(h) JUDICIAL REVIEW.— 
(1) IN GENERAL.—The United States District Court for the 
District of Columbia shall have exclusive jurisdiction to review 
a decision of the Commission made under subsection 
(e)(3)(C)(iv). 
(2) STANDARD OF REVIEW.—The court shall affirm the deci-
sion of the Commission unless— 
(A) the decision was procured by corruption, fraud, 
or undue means; 
(B) there was actual partiality or corruption in the 
Commission; or 
(C) the Commission was guilty of misconduct in 
refusing to hear evidence pertinent and material to the 
decision or of any other misbehavior by which the rights 
of any party have been prejudiced. 
SEC. 6303. PUBLIC SAFETY WIRELESS COMMUNICATIONS RESEARCH 
AND DEVELOPMENT. 
(a) NIST DIRECTED RESEARCH AND DEVELOPMENT PROGRAM.— 
From amounts made available from the Public Safety Trust Fund, 
the Director of NIST, in consultation with the Commission, the 
Secretary of Homeland Security, and the National Institute of Jus-
tice of the Department of Justice, as appropriate, shall conduct 
research and assist with the development of standards, technologies, 
and applications to advance wireless public safety communications. 
(b) REQUIRED ACTIVITIES.—In carrying out the requirement 
under subsection (a), the Director of NIST, in consultation with 
the First Responder Network Authority and the public safety 
advisory committee established under section 6205(a), shall— 
(1) document public safety wireless communications tech-
nical requirements; 
47 USC 1443. 
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126 STAT. 222 
PUBLIC LAW 112–96—FEB. 22, 2012 
(2) accelerate the development of the capability for commu-
nications between currently deployed public safety narrowband 
systems and the nationwide public safety broadband network; 
(3) establish a research plan, and direct research, that 
addresses the wireless communications needs of public safety 
entities beyond what can be provided by the current generation 
of broadband technology; 
(4) accelerate the development of mission critical voice, 
including 
device-to-device 
‘‘talkaround’’ 
capability 
over 
broadband networks, public safety prioritization, authentication 
capabilities, and standard application programing interfaces 
for the nationwide public safety broadband network, if nec-
essary and practical; 
(5) accelerate the development of communications tech-
nology and equipment that can facilitate the eventual migration 
of public safety narrowband communications to the nationwide 
public safety broadband network; and 
(6) convene working groups of relevant government and 
commercial parties to achieve the requirements in paragraphs 
(1) through (5). 
Subtitle D—Spectrum Auction Authority 
SEC. 6401. DEADLINES FOR AUCTION OF CERTAIN SPECTRUM. 
(a) CLEARING CERTAIN FEDERAL SPECTRUM.— 
(1) IN GENERAL.—The President shall— 
(A) not later than 3 years after the date of the enact-
ment of this Act, begin the process of withdrawing or 
modifying the assignment to a Federal Government station 
of the electromagnetic spectrum described in paragraph 
(2); and 
(B) not later than 30 days after completing the with-
drawal or modification, notify the Commission that the 
withdrawal or modification is complete. 
(2) SPECTRUM DESCRIBED.—The electromagnetic spectrum 
described in this paragraph is the 15 megahertz of spectrum 
between 1675 megahertz and 1710 megahertz identified under 
paragraph (3). 
(3) IDENTIFICATION BY SECRETARY OF COMMERCE.—Not later 
than 1 year after the date of the enactment of this Act, the 
Secretary of Commerce shall submit to the President a report 
identifying 15 megahertz of spectrum between 1675 megahertz 
and 1710 megahertz for reallocation from Federal use to non- 
Federal use. 
(b) REALLOCATION AND AUCTION.— 
(1) IN GENERAL.—Notwithstanding paragraph (15)(A) of sec-
tion 309(j) of the Communications Act of 1934 (47 U.S.C. 309(j)), 
not later than 3 years after the date of the enactment of 
this Act, the Commission shall, except as provided in paragraph 
(4)— 
(A) allocate the spectrum described in paragraph (2) 
for commercial use; and 
(B) through a system of competitive bidding under 
such section, grant new initial licenses for the use of such 
spectrum, subject to flexible-use service rules. 
Reports. 
Notification. 
President. 
47 USC 1451. 
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126 STAT. 223 
PUBLIC LAW 112–96—FEB. 22, 2012 
(2) SPECTRUM DESCRIBED.—The spectrum described in this 
paragraph is the following: 
(A) The frequencies between 1915 megahertz and 1920 
megahertz. 
(B) The frequencies between 1995 megahertz and 2000 
megahertz. 
(C) The frequencies described in subsection (a)(2). 
(D) The frequencies between 2155 megahertz and 2180 
megahertz. 
(E) Fifteen megahertz of contiguous spectrum to be 
identified by the Commission. 
(3) PROCEEDS TO COVER 110 PERCENT OF FEDERAL RELOCA-
TION OR SHARING COSTS.—Nothing in paragraph (1) shall be 
construed to relieve the Commission from the requirements 
of section 309(j)(16)(B) of the Communications Act of 1934 
(47 U.S.C. 309(j)(16)(B)). 
(4) DETERMINATION BY COMMISSION.—If the Commission 
determines that the band of frequencies described in paragraph 
(2)(A) or the band of frequencies described in paragraph (2)(B) 
cannot be used without causing harmful interference to 
commercial mobile service licensees in the frequencies between 
1930 megahertz and 1995 megahertz, the Commission may 
not— 
(A) allocate such band for commercial use under para-
graph (1)(A); or 
(B) grant licenses under paragraph (1)(B) for the use 
of such band. 
(c) AUCTION PROCEEDS.—Section 309(j)(8) of the Communica-
tions Act of 1934 (47 U.S.C. 309(j)(8)) is amended— 
(1) in subparagraph (A), by striking ‘‘(D), and (E),’’ and 
inserting ‘‘(D), (E), (F), and (G),’’; 
(2) in subparagraph (C)(i), by striking ‘‘subparagraph 
(E)(ii)’’ and inserting ‘‘subparagraphs (D)(ii), (E)(ii), (F), and 
(G)’’; 
(3) in subparagraph (D)— 
(A) by striking the heading and inserting ‘‘PROCEEDS 
FROM REALLOCATED FEDERAL SPECTRUM.—’’; 
(B) by striking ‘‘Cash’’ and inserting the following: 
‘‘(i) IN
GENERAL.—Except as provided in clause 
(ii), cash’’; and 
(C) by adding at the end the following: 
‘‘(ii) CERTAIN OTHER PROCEEDS.—Notwithstanding 
subparagraph (A) and except as provided in subpara-
graph (B), in the case of proceeds (including deposits 
and upfront payments from successful bidders) attrib-
utable to the auction of eligible frequencies described 
in paragraph (2) of section 113(g) of the National Tele-
communications 
and 
Information 
Administration 
Organization Act that are required to be auctioned 
by section 6401(b)(1)(B) of the Middle Class Tax Relief 
and Job Creation Act of 2012, such portion of such 
proceeds as is necessary to cover the relocation or 
sharing costs (as defined in paragraph (3) of such sec-
tion 113(g)) of Federal entities relocated from such 
eligible frequencies shall be deposited in the Spectrum 
Relocation Fund. The remainder of such proceeds shall 
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126 STAT. 224 
PUBLIC LAW 112–96—FEB. 22, 2012 
be deposited in the Public Safety Trust Fund estab-
lished by section 6413(a)(1) of the Middle Class Tax 
Relief and Job Creation Act of 2012.’’; and 
(4) by adding at the end the following: 
‘‘(F) CERTAIN PROCEEDS DESIGNATED FOR PUBLIC SAFETY 
TRUST
FUND.—Notwithstanding subparagraph (A) and 
except as provided in subparagraphs (B) and (D)(ii), the 
proceeds (including deposits and upfront payments from 
successful bidders) from the use of a system of competitive 
bidding 
under 
this 
subsection 
pursuant 
to 
section 
6401(b)(1)(B) of the Middle Class Tax Relief and Job Cre-
ation Act of 2012 shall be deposited in the Public Safety 
Trust Fund established by section 6413(a)(1) of such Act.’’. 
SEC. 6402. GENERAL AUTHORITY FOR INCENTIVE AUCTIONS. 
Section 309(j)(8) of the Communications Act of 1934, as 
amended by section 6401(c), is further amended by adding at the 
end the following: 
‘‘(G) INCENTIVE AUCTIONS.— 
‘‘(i) IN GENERAL.—Notwithstanding subparagraph 
(A) and except as provided in subparagraph (B), the 
Commission may encourage a licensee to relinquish 
voluntarily some or all of its licensed spectrum usage 
rights in order to permit the assignment of new initial 
licenses subject to flexible-use service rules by sharing 
with such licensee a portion, based on the value of 
the relinquished rights as determined in the reverse 
auction required by clause (ii)(I), of the proceeds 
(including deposits and upfront payments from success-
ful bidders) from the use of a competitive bidding 
system under this subsection. 
‘‘(ii) LIMITATIONS.—The Commission may not enter 
into an agreement for a licensee to relinquish spectrum 
usage rights in exchange for a share of auction proceeds 
under clause (i) unless— 
‘‘(I) the Commission conducts a reverse auction 
to determine the amount of compensation that 
licensees would accept in return for voluntarily 
relinquishing spectrum usage rights; and 
‘‘(II) at least two competing licensees partici-
pate in the reverse auction. 
‘‘(iii) TREATMENT OF REVENUES.—Notwithstanding 
subparagraph (A) and except as provided in subpara-
graph (B), the proceeds (including deposits and upfront 
payments from successful bidders) from any auction, 
prior to the end of fiscal year 2022, of spectrum usage 
rights made available under clause (i) that are not 
shared with licensees under such clause shall be depos-
ited as follows: 
‘‘(I) $1,750,000,000 of the proceeds from the 
incentive auction of broadcast television spectrum 
required by section 6403 of the Middle Class Tax 
Relief and Job Creation Act of 2012 shall be depos-
ited in the TV Broadcaster Relocation Fund estab-
lished by subsection (d)(1) of such section. 
‘‘(II) All other proceeds shall be deposited— 
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126 STAT. 225 
PUBLIC LAW 112–96—FEB. 22, 2012 
‘‘(aa) prior to the end of fiscal year 2022, 
in the Public Safety Trust Fund established 
by section 6413(a)(1) of such Act; and 
‘‘(bb) after the end of fiscal year 2022, 
in the general fund of the Treasury, where 
such proceeds shall be dedicated for the sole 
purpose of deficit reduction. 
‘‘(iv) CONGRESSIONAL
NOTIFICATION.—At least 3 
months before any incentive auction conducted under 
this subparagraph, the Chairman of the Commission, 
in consultation with the Director of the Office of 
Management and Budget, shall notify the appropriate 
committees of Congress of the methodology for calcu-
lating the amounts that will be shared with licensees 
under clause (i). 
‘‘(v) DEFINITION.—In this subparagraph, the term 
‘appropriate committees of Congress’ means— 
‘‘(I) the Committee on Commerce, Science, and 
Transportation of the Senate; 
‘‘(II) the Committee on Appropriations of the 
Senate; 
‘‘(III) the Committee on Energy and Commerce 
of the House of Representatives; and 
‘‘(IV) the Committee on Appropriations of the 
House of Representatives.’’. 
SEC. 6403. SPECIAL REQUIREMENTS FOR INCENTIVE AUCTION OF 
BROADCAST TV SPECTRUM. 
(a) REVERSE AUCTION TO IDENTIFY INCENTIVE AMOUNT.— 
(1) IN GENERAL.—The Commission shall conduct a reverse 
auction to determine the amount of compensation that each 
broadcast television licensee would accept in return for volun-
tarily relinquishing some or all of its broadcast television spec-
trum usage rights in order to make spectrum available for 
assignment through a system of competitive bidding under 
subparagraph (G) of section 309(j)(8) of the Communications 
Act of 1934, as added by section 6402. 
(2) ELIGIBLE
RELINQUISHMENTS.—A relinquishment of 
usage rights for purposes of paragraph (1) shall include the 
following: 
(A) Relinquishing all usage rights with respect to a 
particular television channel without receiving in return 
any usage rights with respect to another television channel. 
(B) Relinquishing all usage rights with respect to an 
ultra high frequency television channel in return for 
receiving usage rights with respect to a very high frequency 
television channel. 
(C) Relinquishing usage rights in order to share a 
television channel with another licensee. 
(3) CONFIDENTIALITY.—The Commission shall take all 
reasonable steps necessary to protect the confidentiality of 
Commission-held data of a licensee participating in the reverse 
auction under paragraph (1), including withholding the identity 
of such licensee until the reassignments and reallocations (if 
any) under subsection (b)(1)(B) become effective, as described 
in subsection (f)(2). 
Determination. 
47 USC 1452. 
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126 STAT. 226 
PUBLIC LAW 112–96—FEB. 22, 2012 
(4) PROTECTION OF CARRIAGE RIGHTS OF LICENSEES SHARING 
A
CHANNEL.—A broadcast television station that voluntarily 
relinquishes spectrum usage rights under this subsection in 
order to share a television channel and that possessed carriage 
rights under section 338, 614, or 615 of the Communications 
Act of 1934 (47 U.S.C. 338; 534; 535) on November 30, 2010, 
shall have, at its shared location, the carriage rights under 
such section that would apply to such station at such location 
if it were not sharing a channel. 
(b) REORGANIZATION OF BROADCAST TV SPECTRUM.— 
(1) IN GENERAL.—For purposes of making available spec-
trum to carry out the forward auction under subsection (c)(1), 
the Commission— 
(A) shall evaluate the broadcast television spectrum 
(including spectrum made available through the reverse 
auction under subsection (a)(1)); and 
(B) may, subject to international coordination along 
the border with Mexico and Canada— 
(i) make such reassignments of television channels 
as the Commission considers appropriate; and 
(ii) reallocate such portions of such spectrum as 
the Commission determines are available for realloca-
tion. 
(2) FACTORS FOR CONSIDERATION.—In making any reassign-
ments or reallocations under paragraph (1)(B), the Commission 
shall make all reasonable efforts to preserve, as of the date 
of the enactment of this Act, the coverage area and population 
served of each broadcast television licensee, as determined 
using the methodology described in OET Bulletin 69 of the 
Office of Engineering and Technology of the Commission. 
(3) NO INVOLUNTARY RELOCATION FROM UHF TO VHF.—In 
making any reassignments under paragraph (1)(B)(i), the 
Commission may not involuntarily reassign a broadcast tele-
vision licensee— 
(A) from an ultra high frequency television channel 
to a very high frequency television channel; or 
(B) from a television channel between the frequencies 
from 174 megahertz to 216 megahertz to a television 
channel between the frequencies from 54 megahertz to 
88 megahertz. 
(4) PAYMENT OF RELOCATION COSTS.— 
(A) IN GENERAL.—Except as provided in subparagraph 
(B), from amounts made available under subsection (d)(2), 
the Commission shall reimburse costs reasonably incurred 
by— 
(i) a broadcast television licensee that was 
reassigned under paragraph (1)(B)(i) from one ultra 
high frequency television channel to a different ultra 
high frequency television channel, from one very high 
frequency television channel to a different very high 
frequency television channel, or, in accordance with 
subsection (g)(1)(B), from a very high frequency tele-
vision channel to an ultra high frequency television 
channel, in order for the licensee to relocate its tele-
vision service from one channel to the other; 
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126 STAT. 227 
PUBLIC LAW 112–96—FEB. 22, 2012 
(ii) a multichannel video programming distributor 
in order to continue to carry the signal of a broadcast 
television licensee that— 
(I) is described in clause (i); 
(II) voluntarily relinquishes spectrum usage 
rights under subsection (a) with respect to an ultra 
high frequency television channel in return for 
receiving usage rights with respect to a very high 
frequency television channel; or 
(III) voluntarily relinquishes spectrum usage 
rights under subsection (a) to share a television 
channel with another licensee; or 
(iii) a channel 37 incumbent user, in order to 
relocate to other suitable spectrum, provided that all 
such users can be relocated and that the total reloca-
tion costs of such users do not exceed $300,000,000. 
For the purpose of this section, the spectrum made 
available through relocation of channel 37 incumbent 
users shall be deemed as spectrum reclaimed through 
a reverse auction under section 6403(a). 
(B) REGULATORY RELIEF.—In lieu of reimbursement for 
relocation costs under subparagraph (A), a broadcast tele-
vision licensee may accept, and the Commission may grant 
as it considers appropriate, a waiver of the service rules 
of the Commission to permit the licensee, subject to inter-
ference protections, to make flexible use of the spectrum 
assigned to the licensee to provide services other than 
broadcast television services. Such waiver shall only remain 
in effect while the licensee provides at least 1 broadcast 
television program stream on such spectrum at no charge 
to the public. 
(C) LIMITATION.—The Commission may not make 
reimbursements under subparagraph (A) for lost revenues. 
(D) DEADLINE.—The Commission shall make all 
reimbursements required by subparagraph (A) not later 
than the date that is 3 years after the completion of the 
forward auction under subsection (c)(1). 
(5) LOW-POWER TELEVISION USAGE RIGHTS.—Nothing in this 
subsection shall be construed to alter the spectrum usage rights 
of low-power television stations. 
(c) FORWARD AUCTION.— 
(1) AUCTION REQUIRED.—The Commission shall conduct a 
forward auction in which— 
(A) the Commission assigns licenses for the use of 
the spectrum that the Commission reallocates under sub-
section (b)(1)(B)(ii); and 
(B) the amount of the proceeds that the Commission 
shares under clause (i) of section 309(j)(8)(G) of the Commu-
nications Act of 1934 with each licensee whose bid the 
Commission accepts in the reverse auction under subsection 
(a)(1) is not less than the amount of such bid. 
(2) MINIMUM PROCEEDS.— 
(A) IN GENERAL.—If the amount of the proceeds from 
the forward auction under paragraph (1) is not greater 
than the sum described in subparagraph (B), no licenses 
shall be assigned through such forward auction, no re-
assignments or reallocations under subsection (b)(1)(B) 
Waiver. 
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126 STAT. 228 
PUBLIC LAW 112–96—FEB. 22, 2012 
shall become effective, and the Commission may not revoke 
any spectrum usage rights by reason of a bid that the 
Commission accepts in the reverse auction under subsection 
(a)(1). 
(B) SUM
DESCRIBED.—The sum described in this 
subparagraph is the sum of— 
(i) the total amount of compensation that the 
Commission must pay successful bidders in the reverse 
auction under subsection (a)(1); 
(ii) the costs of conducting such forward auction 
that the salaries and expenses account of the Commis-
sion is required to retain under section 309(j)(8)(B) 
of the Communications Act of 1934 (47 U.S.C. 
309(j)(8)(B)); and 
(iii) the estimated costs for which the Commission 
is required to make reimbursements under subsection 
(b)(4)(A). 
(C) ADMINISTRATIVE COSTS.—The amount of the pro-
ceeds from the forward auction under paragraph (1) that 
the salaries and expenses account of the Commission is 
required to retain under section 309(j)(8)(B) of the Commu-
nications Act of 1934 (47 U.S.C. 309(j)(8)(B)) shall be suffi-
cient to cover the costs incurred by the Commission in 
conducting the reverse auction under subsection (a)(1), con-
ducting the evaluation of the broadcast television spectrum 
under subparagraph (A) of subsection (b)(1), and making 
any reassignments or reallocations under subparagraph 
(B) of such subsection, in addition to the costs incurred 
by the Commission in conducting such forward auction. 
(3) FACTOR FOR CONSIDERATION.—In conducting the forward 
auction under paragraph (1), the Commission shall consider 
assigning licenses that cover geographic areas of a variety 
of different sizes. 
(d) TV BROADCASTER RELOCATION FUND.— 
(1) ESTABLISHMENT.—There is established in the Treasury 
of the United States a fund to be known as the TV Broadcaster 
Relocation Fund. 
(2) PAYMENT OF RELOCATION COSTS.—Any amounts bor-
rowed under paragraph (3)(A) and any amounts in the TV 
Broadcaster Relocation Fund that are not necessary for 
reimbursement of the general fund of the Treasury for such 
borrowed amounts shall be available to the Commission to 
make the payments required by subsection (b)(4)(A). 
(3) BORROWING AUTHORITY.— 
(A) IN GENERAL.—Beginning on the date when any 
reassignments or reallocations under subsection (b)(1)(B) 
become effective, as provided in subsection (f)(2), and 
ending when $1,000,000,000 has been deposited in the 
TV Broadcaster Relocation Fund, the Commission may bor-
row from the Treasury of the United States an amount 
not to exceed $1,000,000,000 to use toward the payments 
required by subsection (b)(4)(A). 
(B) 
REIMBURSEMENT.—The 
Commission 
shall 
reimburse the general fund of the Treasury, without 
interest, for any amounts borrowed under subparagraph 
(A) as funds are deposited into the TV Broadcaster Reloca-
tion Fund. 
Effective date. 
Termination 
date. 
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126 STAT. 229 
PUBLIC LAW 112–96—FEB. 22, 2012 
(4) TRANSFER OF UNUSED FUNDS.—If any amounts remain 
in the TV Broadcaster Relocation Fund after the date that 
is 3 years after the completion of the forward auction under 
subsection (c)(1), the Secretary of the Treasury shall— 
(A) prior to the end of fiscal year 2022, transfer such 
amounts to the Public Safety Trust Fund established by 
section 6413(a)(1); and 
(B) after the end of fiscal year 2022, transfer such 
amounts to the general fund of the Treasury, where such 
amounts shall be dedicated for the sole purpose of deficit 
reduction. 
(e) NUMERICAL LIMITATION
ON AUCTIONS
AND REORGANIZA-
TION.—The Commission may not complete more than one reverse 
auction under subsection (a)(1) or more than one reorganization 
of the broadcast television spectrum under subsection (b). 
(f) TIMING.— 
(1) CONTEMPORANEOUS
AUCTIONS
AND
REORGANIZATION 
PERMITTED.—The Commission may conduct the reverse auction 
under subsection (a)(1), any reassignments or reallocations 
under subsection (b)(1)(B), and the forward auction under sub-
section (c)(1) on a contemporaneous basis. 
(2) EFFECTIVENESS
OF
REASSIGNMENTS
AND
REALLOCA-
TIONS.—Notwithstanding paragraph (1), no reassignments or 
reallocations under subsection (b)(1)(B) shall become effective 
until the completion of the reverse auction under subsection 
(a)(1) and the forward auction under subsection (c)(1), and, 
to the extent practicable, all such reassignments and realloca-
tions shall become effective simultaneously. 
(3) DEADLINE.—The Commission may not conduct the 
reverse auction under subsection (a)(1) or the forward auction 
under subsection (c)(1) after the end of fiscal year 2022. 
(4) LIMIT
ON
DISCRETION
REGARDING
AUCTION
TIMING.— 
Section 309(j)(15)(A) of the Communications Act of 1934 (47 
U.S.C. 309(j)(15)(A)) shall not apply in the case of an auction 
conducted under this section. 
(g) LIMITATION ON REORGANIZATION AUTHORITY.— 
(1) IN GENERAL.—During the period described in paragraph 
(2), the Commission may not— 
(A) involuntarily modify the spectrum usage rights of 
a broadcast television licensee or reassign such a licensee 
to another television channel except— 
(i) in accordance with this section; or 
(ii) in the case of a violation by such licensee 
of the terms of its license or a specific provision of 
a statute administered by the Commission, or a regula-
tion of the Commission promulgated under any such 
provision; or 
(B) reassign a broadcast television licensee from a very 
high frequency television channel to an ultra high fre-
quency television channel, unless— 
(i) such a reassignment will not decrease the total 
amount of ultra high frequency spectrum made avail-
able for reallocation under this section; or 
(ii) a request from such licensee for the reassign-
ment was pending at the Commission on May 31, 
2011. 
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126 STAT. 230 
PUBLIC LAW 112–96—FEB. 22, 2012 
(2) PERIOD DESCRIBED.—The period described in this para-
graph is the period beginning on the date of the enactment 
of this Act and ending on the earliest of— 
(A) the first date when the reverse auction under sub-
section (a)(1), the reassignments and reallocations (if any) 
under subsection (b)(1)(B), and the forward auction under 
subsection (c)(1) have been completed; 
(B) the date of a determination by the Commission 
that the amount of the proceeds from the forward auction 
under subsection (c)(1) is not greater than the sum 
described in subsection (c)(2)(B); or 
(C) September 30, 2022. 
(h) PROTEST RIGHT INAPPLICABLE.—The right of a licensee to 
protest a proposed order of modification of its license under section 
316 of the Communications Act of 1934 (47 U.S.C. 316) shall not 
apply in the case of a modification made under this section. 
(i) COMMISSION AUTHORITY.—Nothing in subsection (b) shall 
be construed to— 
(1) expand or contract the authority of the Commission, 
except as otherwise expressly provided; or 
(2) prevent the implementation of the Commission’s ‘‘White 
Spaces’’ Second Report and Order and Memorandum Opinion 
and Order (FCC 08–260, adopted November 4, 2008) in the 
spectrum that remains allocated for broadcast television use 
after the reorganization required by such subsection. 
SEC. 6404. CERTAIN CONDITIONS ON AUCTION PARTICIPATION 
PROHIBITED. 
Section 309(j) of the Communications Act of 1934 (47 U.S.C. 
309(j)) is amended by adding at the end the following new para-
graph: 
‘‘(17) CERTAIN
CONDITIONS
ON
AUCTION
PARTICIPATION 
PROHIBITED.— 
‘‘(A) IN GENERAL.—Notwithstanding any other provi-
sion of law, the Commission may not prevent a person 
from participating in a system of competitive bidding under 
this subsection if such person— 
‘‘(i) complies with all the auction procedures and 
other requirements to protect the auction process 
established by the Commission; and 
‘‘(ii) either— 
‘‘(I) meets the technical, financial, character, 
and citizenship qualifications that the Commission 
may require under section 303(l)(1), 308(b), or 310 
to hold a license; or 
‘‘(II) would meet such license qualifications by 
means approved by the Commission prior to the 
grant of the license. 
‘‘(B) 
CLARIFICATION
OF
AUTHORITY.—Nothing 
in 
subparagraph (A) affects any authority the Commission 
has to adopt and enforce rules of general applicability, 
including rules concerning spectrum aggregation that pro-
mote competition.’’. 
SEC. 6405. EXTENSION OF AUCTION AUTHORITY. 
Section 309(j)(11) of the Communications Act of 1934 (47 U.S.C. 
309(j)(11)) is amended by striking ‘‘2012’’ and inserting ‘‘2022’’. 
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126 STAT. 231 
PUBLIC LAW 112–96—FEB. 22, 2012 
SEC. 6406. UNLICENSED USE IN THE 5 GHZ BAND. 
(a) MODIFICATION OF COMMISSION REGULATIONS TO ALLOW CER-
TAIN UNLICENSED USE.— 
(1) IN GENERAL.—Subject to paragraph (2), not later than 
1 year after the date of the enactment of this Act, the Commis-
sion shall begin a proceeding to modify part 15 of title 47, 
Code of Federal Regulations, to allow unlicensed U–NII devices 
to operate in the 5350–5470 MHz band. 
(2) REQUIRED
DETERMINATIONS.—The Commission may 
make the modification described in paragraph (1) only if the 
Commission, in consultation with the Assistant Secretary, 
determines that— 
(A) licensed users will be protected by technical solu-
tions, including use of existing, modified, or new spectrum- 
sharing technologies and solutions, such as dynamic fre-
quency selection; and 
(B) the primary mission of Federal spectrum users 
in the 5350–5470 MHz band will not be compromised by 
the introduction of unlicensed devices. 
(b) STUDY BY NTIA.— 
(1) IN GENERAL.—The Assistant Secretary, in consultation 
with the Department of Defense and other impacted agencies, 
shall conduct a study evaluating known and proposed spectrum- 
sharing technologies and the risk to Federal users if unlicensed 
U–NII devices were allowed to operate in the 5350–5470 MHz 
band and in the 5850–5925 MHz band. 
(2) SUBMISSION.—The Assistant Secretary shall submit to 
the Commission and the Committee on Energy and Commerce 
of the House of Representatives and the Committee on Com-
merce, Science, and Transportation of the Senate— 
(A) not later than 8 months after the date of the 
enactment of this Act, a report on the portion of the study 
required by paragraph (1) with respect to the 5350–5470 
MHz band; and 
(B) not later than 18 months after the date of the 
enactment of this Act, a report on the portion of the study 
required by paragraph (1) with respect to the 5850–5925 
MHz band. 
(c) DEFINITIONS.—In this section: 
(1) 5350–5470 MHZ
BAND.—The term ‘‘5350–5470 MHz 
band’’ means the portion of the electromagnetic spectrum 
between the frequencies from 5350 megahertz to 5470 mega-
hertz. 
(2) 5850–5925 MHZ
BAND.—The term ‘‘5850–5925 MHz 
band’’ means the portion of the electromagnetic spectrum 
between the frequencies from 5850 megahertz to 5925 mega-
hertz. 
SEC. 6407. GUARD BANDS AND UNLICENSED USE. 
(a) IN GENERAL.—Nothing in subparagraph (G) of section 
309(j)(8) of the Communications Act of 1934, as added by section 
6402, or in section 6403 shall be construed to prevent the Commis-
sion from using relinquished or other spectrum to implement band 
plans with guard bands. 
(b) SIZE OF GUARD BANDS.—Such guard bands shall be no 
larger than is technically reasonable to prevent harmful interference 
between licensed services outside the guard bands. 
47 USC 1454. 
Reports. 
Deadlines. 
Deadline. 
47 USC 1453. 
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126 STAT. 232 
PUBLIC LAW 112–96—FEB. 22, 2012 
(c) UNLICENSED USE IN GUARD BANDS.—The Commission may 
permit the use of such guard bands for unlicensed use. 
(d) DATABASE.—Unlicensed use shall rely on a database or 
subsequent methodology as determined by the Commission. 
(e) PROTECTIONS
AGAINST
HARMFUL
INTERFERENCE.—The 
Commission may not permit any use of a guard band that the 
Commission determines would cause harmful interference to 
licensed services. 
SEC. 6408. STUDY ON RECEIVER PERFORMANCE AND SPECTRUM EFFI-
CIENCY. 
(a) IN GENERAL.—The Comptroller General of the United States 
shall conduct a study to consider efforts to ensure that each trans-
mission system is designed and operated so that reasonable use 
of adjacent spectrum does not excessively impair the functioning 
of such system. 
(b) REQUIRED
CONSIDERATIONS.—In conducting the study 
required by subsection (a), the Comptroller General shall consider— 
(1) the value of— 
(A) improving receiver performance as it relates to 
increasing spectral efficiency; 
(B) improving the operation of services that are located 
in adjacent spectrum; and 
(C) narrowing the guard bands between adjacent spec-
trum use; 
(2) the role of manufacturers, commercial licensees, and 
government users with respect to their transmission systems 
and the use of adjacent spectrum; 
(3) the feasibility of industry self-compliance with respect 
to the design and operational requirements of transmission 
systems and the reasonable use of adjacent spectrum; and 
(4) the value of action by the Commission and the Assistant 
Secretary to establish, by rule, technical requirements or stand-
ards for non-Federal and Federal use, respectively, with respect 
to the reasonable use of portions of the radio spectrum that 
are adjacent to each other. 
(c) REPORT.—Not later than 1 year after the date of the enact-
ment of this Act, the Comptroller General shall submit a report 
on the results of the study required by subsection (a) to the Com-
mittee on Energy and Commerce of the House of Representatives 
and the Committee on Commerce, Science, and Transportation of 
the Senate. 
(d) TRANSMISSION SYSTEM DEFINED.—In this section, the term 
‘‘transmission system’’ means any telecommunications, broadcast, 
satellite, commercial mobile service, or other communications 
system that employs radio spectrum. 
SEC. 6409. WIRELESS FACILITIES DEPLOYMENT. 
(a) FACILITY MODIFICATIONS.— 
(1) IN GENERAL.—Notwithstanding section 704 of the Tele-
communications Act of 1996 (Public Law 104–104) or any other 
provision of law, a State or local government may not deny, 
and shall approve, any eligible facilities request for a modifica-
tion of an existing wireless tower or base station that does 
not substantially change the physical dimensions of such tower 
or base station. 
(2) ELIGIBLE
FACILITIES
REQUEST.—For purposes of this 
subsection, the term ‘‘eligible facilities request’’ means any 
Definition. 
47 USC 1455. 
Determination. 
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126 STAT. 233 
PUBLIC LAW 112–96—FEB. 22, 2012 
request for modification of an existing wireless tower or base 
station that involves— 
(A) collocation of new transmission equipment; 
(B) removal of transmission equipment; or 
(C) replacement of transmission equipment. 
(3) APPLICABILITY OF ENVIRONMENTAL LAWS.—Nothing in 
paragraph (1) shall be construed to relieve the Commission 
from the requirements of the National Historic Preservation 
Act or the National Environmental Policy Act of 1969. 
(b) FEDERAL EASEMENTS AND RIGHTS-OF-WAY.— 
(1) GRANT.—If an executive agency, a State, a political 
subdivision or agency of a State, or a person, firm, or organiza-
tion applies for the grant of an easement or right-of-way to, 
in, over, or on a building or other property owned by the 
Federal Government for the right to install, construct, and 
maintain wireless service antenna structures and equipment 
and backhaul transmission equipment, the executive agency 
having control of the building or other property may grant 
to the applicant, on behalf of the Federal Government, an 
easement or right-of-way to perform such installation, construc-
tion, and maintenance. 
(2) APPLICATION.—The Administrator of General Services 
shall develop a common form for applications for easements 
and rights-of-way under paragraph (1) for all executive agencies 
that shall be used by applicants with respect to the buildings 
or other property of each such agency. 
(3) FEE.— 
(A) IN GENERAL.—Notwithstanding any other provision 
of law, the Administrator of General Services shall estab-
lish a fee for the grant of an easement or right-of-way 
pursuant to paragraph (1) that is based on direct cost 
recovery. 
(B) EXCEPTIONS.—The Administrator of General Serv-
ices may establish exceptions to the fee amount required 
under subparagraph (A)— 
(i) in consideration of the public benefit provided 
by a grant of an easement or right-of-way; and 
(ii) in the interest of expanding wireless and 
broadband coverage. 
(4) USE OF FEES COLLECTED.—Any fee amounts collected 
by an executive agency pursuant to paragraph (3) may be 
made available, as provided in appropriations Acts, to such 
agency to cover the costs of granting the easement or right- 
of-way. 
(c) MASTER CONTRACTS FOR WIRELESS FACILITY SITINGS.— 
(1) IN GENERAL.—Notwithstanding section 704 of the Tele-
communications Act of 1996 or any other provision of law, 
and not later than 60 days after the date of the enactment 
of this Act, the Administrator of General Services shall— 
(A) develop 1 or more master contracts that shall 
govern the placement of wireless service antenna structures 
on buildings and other property owned by the Federal 
Government; and 
(B) in developing the master contract or contracts, 
standardize the treatment of the placement of wireless 
service antenna structures on building rooftops or facades, 
the placement of wireless service antenna equipment on 
Deadline. 
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126 STAT. 234 
PUBLIC LAW 112–96—FEB. 22, 2012 
rooftops or inside buildings, the technology used in connec-
tion with wireless service antenna structures or equipment 
placed on Federal buildings and other property, and any 
other key issues the Administrator of General Services 
considers appropriate. 
(2) APPLICABILITY.—The master contract or contracts devel-
oped by the Administrator of General Services under paragraph 
(1) shall apply to all publicly accessible buildings and other 
property owned by the Federal Government, unless the 
Administrator of General Services decides that issues with 
respect to the siting of a wireless service antenna structure 
on a specific building or other property warrant nonstandard 
treatment of such building or other property. 
(3) APPLICATION.—The Administrator of General Services 
shall develop a common form or set of forms for wireless service 
antenna structure siting applications under this subsection for 
all executive agencies that shall be used by applicants with 
respect to the buildings and other property of each such agency. 
(d) EXECUTIVE AGENCY DEFINED.—In this section, the term 
‘‘executive agency’’ has the meaning given such term in section 
102 of title 40, United States Code. 
SEC. 6410. FUNCTIONAL RESPONSIBILITY OF NTIA TO ENSURE EFFI-
CIENT USE OF SPECTRUM. 
Section 103(b)(2) of the National Telecommunications and 
Information Administration Organization Act (47 U.S.C. 902(b)(2)) 
is amended by adding at the end the following: 
‘‘(U) The responsibility to promote the best possible 
and most efficient use of electromagnetic spectrum 
resources across the Federal Government, subject to and 
consistent with the needs and missions of Federal agen-
cies.’’. 
SEC. 6411. SYSTEM CERTIFICATION. 
Not later than 6 months after the date of the enactment of 
this Act, the Director of the Office of Management and Budget 
shall update and revise section 33.4 of OMB Circular A–11 to 
reflect the recommendations regarding such Circular made in the 
Commerce Spectrum Management Advisory Committee Incentive 
Subcommittee report, adopted January 11, 2011. 
SEC. 6412. DEPLOYMENT OF 11 GHZ, 18 GHZ, AND 23 GHZ MICROWAVE 
BANDS. 
(a) FCC REPORT ON REJECTION RATE.—Not later than 9 months 
after the date of the enactment of this Act, the Commission shall 
submit to the Committee on Energy and Commerce of the House 
of Representatives and the Committee on Commerce, Science, and 
Transportation of the Senate a report on the rejection rate for 
the spectrum described in subsection (c). 
(b) GAO STUDY ON DEPLOYMENT.— 
(1) IN GENERAL.—The Comptroller General of the United 
States shall conduct a study to assess whether the spectrum 
described in subsection (c) is being deployed in such a manner 
that, in areas with high demand for common carrier licenses 
for the use of such spectrum, market forces— 
(A) provide adequate incentive for the efficient use 
of such spectrum; and 
Deadline. 
47 USC 1456. 
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126 STAT. 235 
PUBLIC LAW 112–96—FEB. 22, 2012 
(B) ensure that the Federal Government receives max-
imum revenue for such spectrum through competitive bid-
ding under section 309(j) of the Communications Act of 
1934 (47 U.S.C. 309(j)). 
(2) FACTORS FOR CONSIDERATION.—In conducting the study 
required by paragraph (1), the Comptroller General shall take 
into consideration— 
(A) spectrum that is adjacent to the spectrum described 
in subsection (c) and that was assigned through competitive 
bidding under section 309(j) of the Communications Act 
of 1934; and 
(B) the rejection rate for the spectrum described in 
subsection (c), current as of the time of the assessment 
and as projected for the future, in markets in which there 
is a high demand for common carrier licenses for the use 
of such spectrum. 
(3) REPORT.—Not later than 9 months after the date of 
the enactment of this Act, the Comptroller General shall submit 
a report on the study required by paragraph (1) to— 
(A) the Commission; and 
(B) the Committee on Energy and Commerce of the 
House of Representatives and the Committee on Commerce, 
Science, and Transportation of the Senate. 
(c) SPECTRUM DESCRIBED.—The spectrum described in this sub-
section is the portions of the electromagnetic spectrum between 
the frequencies from 10,700 megahertz to 11,700 megahertz, from 
17,700 megahertz to 19,700 megahertz, and from 21,200 megahertz 
to 23,600 megahertz. 
(d) REJECTION RATE DEFINED.—In this section, the term ‘‘rejec-
tion rate’’ means the number and percent of applications (whether 
made to the Commission or to a third-party coordinator) for common 
carrier use of spectrum that were not granted because of lack 
of availability of such spectrum or interference concerns of existing 
licensees. 
(e) NO ADDITIONAL FUNDS AUTHORIZED.—Funds necessary to 
carry out this section shall be derived from funds otherwise author-
ized to be appropriated. 
SEC. 6413. PUBLIC SAFETY TRUST FUND. 
(a) ESTABLISHMENT OF PUBLIC SAFETY TRUST FUND.— 
(1) IN GENERAL.—There is established in the Treasury of 
the United States a trust fund to be known as the Public 
Safety Trust Fund. 
(2) AVAILABILITY.—Amounts deposited in the Public Safety 
Trust Fund shall remain available through fiscal year 2022. 
Any amounts remaining in the Fund after the end of such 
fiscal year shall be deposited in the general fund of the 
Treasury, where such amounts shall be dedicated for the sole 
purpose of deficit reduction. 
(b) USE OF FUND.—As amounts are deposited in the Public 
Safety Trust Fund, such amounts shall be used to make the fol-
lowing deposits or payments in the following order of priority: 
(1) 
REPAYMENT
OF
AMOUNT
BORROWED
FOR
FIRST 
RESPONDER NETWORK AUTHORITY.—An amount not to exceed 
$2,000,000,000 shall be available to the NTIA to reimburse 
the general fund of the Treasury for any amounts borrowed 
under section 6207. 
47 USC 1457. 
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126 STAT. 236 
PUBLIC LAW 112–96—FEB. 22, 2012 
(2) 
STATE
AND
LOCAL
IMPLEMENTATION
FUND.— 
$135,000,000 shall be deposited in the State and Local 
Implementation Fund established by section 6301. 
(3) BUILDOUT BY FIRST RESPONDER NETWORK AUTHORITY.— 
$7,000,000,000, reduced by the amount borrowed under section 
6207, shall be deposited in the Network Construction Fund 
established by section 6206. 
(4) PUBLIC SAFETY RESEARCH.—$100,000,000 shall be avail-
able to the Director of NIST to carry out section 6303. 
(5) DEFICIT REDUCTION.—$20,400,000,000 shall be depos-
ited in the general fund of the Treasury, where such amount 
shall be dedicated for the sole purpose of deficit reduction. 
(6) 
9–1–1, 
E9–1–1, 
AND
NEXT
GENERATION
9–1–1 
IMPLEMENTATION GRANTS.—$115,000,000 shall be available to 
the Assistant Secretary and the Administrator of the National 
Highway Traffic Safety Administration to carry out the grant 
program under section 158 of the National Telecommunications 
and Information Administration Organization Act, as amended 
by section 6503 of this title. 
(7) ADDITIONAL
PUBLIC
SAFETY
RESEARCH.—$200,000,000 
shall be available to the Director of NIST to carry out section 
6303. 
(8) 
ADDITIONAL
DEFICIT
REDUCTION.—Any 
remaining 
amounts deposited in the Public Safety Trust Fund shall be 
deposited in the general fund of the Treasury, where such 
amounts shall be dedicated for the sole purpose of deficit reduc-
tion. 
(c) INVESTMENT.—Amounts in the Public Safety Trust Fund 
shall be invested in accordance with section 9702 of title 31, United 
States Code, and any interest on, and proceeds from, any such 
investment shall be credited to, and become a part of, the Fund. 
SEC. 6414. STUDY ON EMERGENCY COMMUNICATIONS BY AMATEUR 
RADIO AND IMPEDIMENTS TO AMATEUR RADIO COMMU-
NICATIONS. 
(a) IN GENERAL.—Not later than 180 days after the date of 
the enactment of this Act, the Commission, in consultation with 
the Office of Emergency Communications in the Department of 
Homeland Security, shall— 
(1) complete a study on the uses and capabilities of amateur 
radio service communications in emergencies and disaster relief; 
and 
(2) submit to the Committee on Energy and Commerce 
of the House of Representatives and the Committee on Com-
merce, Science, and Transportation of the Senate a report on 
the findings of such study. 
(b) CONTENTS.—The study required by subsection (a) shall 
include— 
(1)(A) a review of the importance of emergency amateur 
radio service communications relating to disasters, severe 
weather, and other threats to lives and property in the United 
States; and 
(B) recommendations for— 
(i) enhancements in the voluntary deployment of ama-
teur radio operators in disaster and emergency communica-
tions and disaster relief efforts; and 
Reports. 
Deadline. 
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126 STAT. 237 
PUBLIC LAW 112–96—FEB. 22, 2012 
(ii) improved integration of amateur radio operators 
in the planning and furtherance of initiatives of the Federal 
Government; and 
(2)(A) an identification of impediments to enhanced ama-
teur radio service communications, such as the effects of 
unreasonable or unnecessary private land use restrictions on 
residential antenna installations; and 
(B) recommendations regarding the removal of such impedi-
ments. 
(c) EXPERTISE.—In conducting the study required by subsection 
(a), the Commission shall use the expertise of stakeholder entities 
and organizations, including the amateur radio, emergency 
response, and disaster communications communities. 
Subtitle E—Next Generation 9–1–1 
Advancement Act of 2012 
SEC. 6501. SHORT TITLE. 
This subtitle may be cited as the ‘‘Next Generation 9–1–1 
Advancement Act of 2012’’. 
SEC. 6502. DEFINITIONS. 
In this subtitle, the following definitions shall apply: 
(1) 9–1–1 SERVICES AND E9–1–1 SERVICES.—The terms ‘‘9– 
1–1 services’’ and ‘‘E9–1–1 services’’ shall have the meaning 
given those terms in section 158 of the National Telecommuni-
cations and Information Administration Organization Act (47 
U.S.C. 942), as amended by this subtitle. 
(2) MULTI-LINE TELEPHONE SYSTEM.—The term ‘‘multi-line 
telephone system’’ or ‘‘MLTS’’ means a system comprised of 
common control units, telephone sets, control hardware and 
software and adjunct systems, including network and premises 
based systems, such as Centrex and VoIP, as well as PBX, 
Hybrid, and Key Telephone Systems (as classified by the 
Commission under part 68 of title 47, Code of Federal Regula-
tions), and includes systems owned or leased by governmental 
agencies and non-profit entities, as well as for profit businesses. 
(3) 
OFFICE.—The 
term 
‘‘Office’’ 
means 
the 
9–1–1 
Implementation Coordination Office established under section 
158 of the National Telecommunications and Information 
Administration Organization Act (47 U.S.C. 942), as amended 
by this subtitle. 
SEC. 6503. COORDINATION OF 9–1–1 IMPLEMENTATION. 
Section 158 of the National Telecommunications and Informa-
tion Administration Organization Act (47 U.S.C. 942) is amended 
to read as follows: 
‘‘SEC. 158. COORDINATION OF 9–1–1, E9–1–1, AND NEXT GENERATION 
9–1–1 IMPLEMENTATION. 
‘‘(a) 9–1–1 IMPLEMENTATION COORDINATION OFFICE.— 
‘‘(1) ESTABLISHMENT
AND
CONTINUATION.—The Assistant 
Secretary and the Administrator of the National Highway 
Traffic Safety Administration shall— 
‘‘(A) establish and further a program to facilitate 
coordination and communication between Federal, State, 
47 USC 1471. 
47 USC 1401 
note. 
Next Generation 
9–1–1 
Advancement Act 
of 2012. 
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126 STAT. 238 
PUBLIC LAW 112–96—FEB. 22, 2012 
and local emergency communications systems, emergency 
personnel, public safety organizations, telecommunications 
carriers, and telecommunications equipment manufacturers 
and vendors involved in the implementation of 9–1–1 serv-
ices; and 
‘‘(B) establish a 9–1–1 Implementation Coordination 
Office to implement the provisions of this section. 
‘‘(2) MANAGEMENT PLAN.— 
‘‘(A) DEVELOPMENT.—The Assistant Secretary and the 
Administrator shall develop a management plan for the 
grant program established under this section, including 
by developing— 
‘‘(i) plans related to the organizational structure 
of such program; and 
‘‘(ii) funding profiles for each fiscal year of the 
duration of such program. 
‘‘(B) SUBMISSION TO CONGRESS.—Not later than 90 days 
after the date of enactment of the Next Generation 9– 
1–1 Advancement Act of 2012, the Assistant Secretary 
and the Administrator shall submit the management plan 
developed under subparagraph (A) to— 
‘‘(i) the Committees on Commerce, Science, and 
Transportation and Appropriations of the Senate; and 
‘‘(ii) the Committees on Energy and Commerce 
and Appropriations of the House of Representatives. 
‘‘(3) PURPOSE OF OFFICE.—The Office shall— 
‘‘(A) take actions, in concert with coordinators des-
ignated in accordance with subsection (b)(3)(A)(ii), to 
improve coordination and communication with respect to 
the implementation of 9–1–1 services, E9–1–1 services, 
and Next Generation 9–1–1 services; 
‘‘(B) develop, collect, and disseminate information con-
cerning practices, procedures, and technology used in the 
implementation of 9–1–1 services, E9–1–1 services, and 
Next Generation 9–1–1 services; 
‘‘(C) advise and assist eligible entities in the prepara-
tion of implementation plans required under subsection 
(b)(3)(A)(iii); 
‘‘(D) receive, review, and recommend the approval or 
disapproval of applications for grants under subsection (b); 
and 
‘‘(E) oversee the use of funds provided by such grants 
in fulfilling such implementation plans. 
‘‘(4) REPORTS.—The Assistant Secretary and the Adminis-
trator shall provide an annual report to Congress by the first 
day of October of each year on the activities of the Office 
to improve coordination and communication with respect to 
the implementation of 9–1–1 services, E9–1–1 services, and 
Next Generation 9–1–1 services. 
‘‘(b) 9–1–1, E9–1–1, AND NEXT GENERATION 9–1–1 IMPLEMENTA-
TION GRANTS.— 
‘‘(1) MATCHING GRANTS.—The Assistant Secretary and the 
Administrator, acting through the Office, shall provide grants 
to eligible entities for— 
Deadline. 
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126 STAT. 239 
PUBLIC LAW 112–96—FEB. 22, 2012 
‘‘(A) the implementation and operation of 9–1–1 serv-
ices, E9–1–1 services, migration to an IP-enabled emer-
gency network, and adoption and operation of Next Genera-
tion 9–1–1 services and applications; 
‘‘(B) the implementation of IP-enabled emergency serv-
ices and applications enabled by Next Generation 9–1– 
1 services, including the establishment of IP backbone net-
works and the application layer software infrastructure 
needed to interconnect the multitude of emergency response 
organizations; and 
‘‘(C) training public safety personnel, including call- 
takers, first responders, and other individuals and 
organizations who are part of the emergency response chain 
in 9–1–1 services. 
‘‘(2) MATCHING REQUIREMENT.—The Federal share of the 
cost of a project eligible for a grant under this section shall 
not exceed 60 percent. 
‘‘(3) COORDINATION REQUIRED.—In providing grants under 
paragraph (1), the Assistant Secretary and the Administrator 
shall require an eligible entity to certify in its application 
that— 
‘‘(A) in the case of an eligible entity that is a State 
government, the entity— 
‘‘(i) has coordinated its application with the public 
safety answering points located within the jurisdiction 
of such entity; 
‘‘(ii) has designated a single officer or governmental 
body of the entity to serve as the coordinator of 
implementation of 9–1–1 services, except that such 
designation need not vest such coordinator with direct 
legal authority to implement 9–1–1 services, E9–1– 
1 services, or Next Generation 9–1–1 services or to 
manage emergency communications operations; 
‘‘(iii) has established a plan for the coordination 
and implementation of 9–1–1 services, E9–1–1 services, 
and Next Generation 9–1–1 services; and 
‘‘(iv) has integrated telecommunications services 
involved in the implementation and delivery of 9–1– 
1 services, E9–1–1 services, and Next Generation 9– 
1–1 services; or 
‘‘(B) in the case of an eligible entity that is not a 
State, the entity has complied with clauses (i), (iii), and 
(iv) of subparagraph (A), and the State in which it is 
located has complied with clause (ii) of such subparagraph. 
‘‘(4) CRITERIA.—Not later than 120 days after the date 
of enactment of the Next Generation 9–1–1 Advancement Act 
of 2012, the Assistant Secretary and the Administrator shall 
issue regulations, after providing the public with notice and 
an opportunity to comment, prescribing the criteria for selection 
for grants under this section. The criteria shall include perform-
ance requirements and a timeline for completion of any project 
to be financed by a grant under this section. The Assistant 
Secretary and the Administrator shall update such regulations 
as necessary. 
‘‘(c) DIVERSION OF 9–1–1 CHARGES.— 
‘‘(1) DESIGNATED 9–1–1 CHARGES.—For the purposes of this 
subsection, the term ‘designated 9–1–1 charges’ means any 
Definition. 
Deadline. 
Regulations. 
Public comments. 
Certification. 
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126 STAT. 240 
PUBLIC LAW 112–96—FEB. 22, 2012 
taxes, fees, or other charges imposed by a State or other taxing 
jurisdiction that are designated or presented as dedicated to 
deliver or improve 9–1–1 services, E9–1–1 services, or Next 
Generation 9–1–1 services. 
‘‘(2) CERTIFICATION.—Each applicant for a matching grant 
under this section shall certify to the Assistant Secretary and 
the Administrator at the time of application, and each applicant 
that receives such a grant shall certify to the Assistant Sec-
retary and the Administrator annually thereafter during any 
period of time during which the funds from the grant are 
available to the applicant, that no portion of any designated 
9–1–1 charges imposed by a State or other taxing jurisdiction 
within which the applicant is located are being obligated or 
expended for any purpose other than the purposes for which 
such charges are designated or presented during the period 
beginning 180 days immediately preceding the date of the 
application and continuing through the period of time during 
which the funds from the grant are available to the applicant. 
‘‘(3) CONDITION
OF
GRANT.—Each applicant for a grant 
under this section shall agree, as a condition of receipt of 
the grant, that if the State or other taxing jurisdiction within 
which the applicant is located, during any period of time during 
which the funds from the grant are available to the applicant, 
obligates or expends designated 9–1–1 charges for any purpose 
other than the purposes for which such charges are designated 
or presented, eliminates such charges, or redesignates such 
charges for purposes other than the implementation or oper-
ation of 9–1–1 services, E9–1–1 services, or Next Generation 
9–1–1 services, all of the funds from such grant shall be 
returned to the Office. 
‘‘(4) PENALTY
FOR
PROVIDING
FALSE
INFORMATION.—Any 
applicant that provides a certification under paragraph (2) 
knowing that the information provided in the certification was 
false shall— 
‘‘(A) not be eligible to receive the grant under sub-
section (b); 
‘‘(B) return any grant awarded under subsection (b) 
during the time that the certification was not valid; and 
‘‘(C) not be eligible to receive any subsequent grants 
under subsection (b). 
‘‘(d) FUNDING AND TERMINATION.— 
‘‘(1) IN GENERAL.—From the amounts made available to 
the Assistant Secretary and the Administrator under section 
6413(b)(6) of the Middle Class Tax Relief and Job Creation 
Act of 2012, the Assistant Secretary and the Administrator 
are authorized to provide grants under this section through 
the end of fiscal year 2022. Not more than 5 percent of such 
amounts may be obligated or expended to cover the administra-
tive costs of carrying out this section. 
‘‘(2) TERMINATION.—Effective on October 1, 2022, the 
authority provided by this section terminates and this section 
shall have no effect. 
‘‘(e) DEFINITIONS.—In this section, the following definitions shall 
apply: 
‘‘(1) 9–1–1 SERVICES.—The term ‘9–1–1 services’ includes 
both E9–1–1 services and Next Generation 9–1–1 services. 
Applicability. 
Time period. 
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126 STAT. 241 
PUBLIC LAW 112–96—FEB. 22, 2012 
‘‘(2) E9–1–1 SERVICES.—The term ‘E9–1–1 services’ means 
both phase I and phase II enhanced 9–1–1 services, as described 
in section 20.18 of the Commission’s regulations (47 C.F.R. 
20.18), as in effect on the date of enactment of the Next Genera-
tion 9–1–1 Advancement Act of 2012, or as subsequently revised 
by the Commission. 
‘‘(3) ELIGIBLE ENTITY.— 
‘‘(A) IN GENERAL.—The term ‘eligible entity’ means a 
State or local government or a tribal organization (as 
defined in section 4(l) of the Indian Self-Determination 
and Education Assistance Act (25 U.S.C. 450b(l))). 
‘‘(B) INSTRUMENTALITIES.—The term ‘eligible entity’ 
includes public authorities, boards, commissions, and 
similar bodies created by one or more eligible entities 
described in subparagraph (A) to provide 9–1–1 services, 
E9–1–1 services, or Next Generation 9–1–1 services. 
‘‘(C) EXCEPTION.—The term ‘eligible entity’ does not 
include any entity that has failed to submit the most 
recently required certification under subsection (c) within 
30 days after the date on which such certification is due. 
‘‘(4) EMERGENCY CALL.—The term ‘emergency call’ refers 
to any real-time communication with a public safety answering 
point or other emergency management or response agency, 
including— 
‘‘(A) through voice, text, or video and related data; 
and 
‘‘(B) nonhuman-initiated automatic event alerts, such 
as alarms, telematics, or sensor data, which may also 
include real-time voice, text, or video communications. 
‘‘(5) NEXT GENERATION 9–1–1 SERVICES.—The term ‘Next 
Generation 9–1–1 services’ means an IP-based system com-
prised of hardware, software, data, and operational policies 
and procedures that— 
‘‘(A) provides standardized interfaces from emergency 
call and message services to support emergency commu-
nications; 
‘‘(B) processes all types of emergency calls, including 
voice, data, and multimedia information; 
‘‘(C) acquires and integrates additional emergency call 
data useful to call routing and handling; 
‘‘(D) delivers the emergency calls, messages, and data 
to the appropriate public safety answering point and other 
appropriate emergency entities; 
‘‘(E) supports data or video communications needs for 
coordinated incident response and management; and 
‘‘(F) provides broadband service to public safety 
answering points or other first responder entities. 
‘‘(6) 
OFFICE.—The 
term 
‘Office’ 
means 
the 
9–1–1 
Implementation Coordination Office. 
‘‘(7) PUBLIC SAFETY ANSWERING POINT.—The term ‘public 
safety answering point’ has the meaning given the term in 
section 222 of the Communications Act of 1934 (47 U.S.C. 
222). 
‘‘(8) STATE.—The term ‘State’ means any State of the 
United States, the District of Columbia, Puerto Rico, American 
Samoa, Guam, the United States Virgin Islands, the Northern 
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126 STAT. 242 
PUBLIC LAW 112–96—FEB. 22, 2012 
Mariana Islands, and any other territory or possession of the 
United States.’’. 
SEC. 6504. REQUIREMENTS FOR MULTI-LINE TELEPHONE SYSTEMS. 
(a) IN GENERAL.—Not later than 270 days after the date of 
the enactment of this Act, the Administrator of General Services, 
in conjunction with the Office, shall issue a report to Congress 
identifying the 9–1–1 capabilities of the multi-line telephone system 
in use by all Federal agencies in all Federal buildings and prop-
erties. 
(b) COMMISSION ACTION.— 
(1) IN GENERAL.—Not later than 90 days after the date 
of the enactment of this Act, the Commission shall issue a 
public notice seeking comment on the feasibility of MLTS manu-
facturers including within all such systems manufactured or 
sold after a date certain, to be determined by the Commission, 
one or more mechanisms to provide a sufficiently precise indica-
tion of a 9–1–1 caller’s location, while avoiding the imposition 
of undue burdens on MLTS manufacturers, providers, and 
operators. 
(2) SPECIFIC REQUIREMENT.—The public notice under para-
graph (1) shall seek comment on the National Emergency 
Number Association’s ‘‘Technical Requirements Document On 
Model Legislation E9–1–1 for Multi-Line Telephone Systems’’ 
(NENA 06–750, Version 2). 
SEC. 6505. GAO STUDY OF STATE AND LOCAL USE OF 9–1–1 SERVICE 
CHARGES. 
(a) IN GENERAL.—Not later than 60 days after the date of 
the enactment of this Act, the Comptroller General of the United 
States shall initiate a study of— 
(1) the imposition of taxes, fees, or other charges imposed 
by States or political subdivisions of States that are designated 
or presented as dedicated to improve emergency communica-
tions services, including 9–1–1 services or enhanced 9–1–1 serv-
ices, or related to emergency communications services oper-
ations or improvements; and 
(2) the use of revenues derived from such taxes, fees, or 
charges. 
(b) REPORT.—Not later than 18 months after initiating the 
study required by subsection (a), the Comptroller General shall 
prepare and submit a report on the results of the study to the 
Committee on Commerce, Science, and Transportation of the Senate 
and the Committee on Energy and Commerce of the House of 
Representatives setting forth the findings, conclusions, and rec-
ommendations, if any, of the study, including— 
(1) the identity of each State or political subdivision that 
imposes such taxes, fees, or other charges; and 
(2) the amount of revenues obligated or expended by that 
State or political subdivision for any purpose other than the 
purposes for which such taxes, fees, or charges were designated 
or presented. 
SEC. 6506. PARITY OF PROTECTION FOR PROVISION OR USE OF NEXT 
GENERATION 9–1–1 SERVICES. 
(a) IMMUNITY.—A provider or user of Next Generation 9–1– 
1 services, a public safety answering point, and the officers, direc-
tors, employees, vendors, agents, and authorizing government entity 
47 USC 1472. 
Deadline. 
Notice. 
Reports. 
Deadlines. 
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126 STAT. 243 
PUBLIC LAW 112–96—FEB. 22, 2012 
(if any) of such provider, user, or public safety answering point, 
shall have immunity and protection from liability under Federal 
and State law to the extent provided in subsection (b) with respect 
to— 
(1) the release of subscriber information related to emer-
gency calls or emergency services; 
(2) the use or provision of 9–1–1 services, E9–1–1 services, 
or Next Generation 9–1–1 services; and 
(3) other matters related to 9–1–1 services, E9–1–1 serv-
ices, or Next Generation 9–1–1 services. 
(b) SCOPE OF IMMUNITY AND PROTECTION FROM LIABILITY.— 
The scope and extent of the immunity and protection from liability 
afforded under subsection (a) shall be the same as that provided 
under section 4 of the Wireless Communications and Public Safety 
Act of 1999 (47 U.S.C. 615a) to wireless carriers, public safety 
answering points, and users of wireless 9–1–1 service (as defined 
in paragraphs (4), (3), and (6), respectively, of section 6 of that 
Act (47 U.S.C. 615b)) with respect to such release, use, and other 
matters. 
SEC. 6507. COMMISSION PROCEEDING ON AUTODIALING. 
(a) IN GENERAL.—Not later than 90 days after the date of 
the enactment of this Act, the Commission shall initiate a pro-
ceeding to create a specialized Do-Not-Call registry for public safety 
answering points. 
(b) FEATURES OF THE REGISTRY.—The Commission shall issue 
regulations, after providing the public with notice and an oppor-
tunity to comment, that— 
(1) permit verified public safety answering point adminis-
trators or managers to register the telephone numbers of all 
9–1–1 trunks and other lines used for the provision of emer-
gency services to the public or for communications between 
public safety agencies; 
(2) provide a process for verifying, no less frequently than 
once every 7 years, that registered numbers should continue 
to appear upon the registry; 
(3) provide a process for granting and tracking access to 
the registry by the operators of automatic dialing equipment; 
(4) protect the list of registered numbers from disclosure 
or dissemination by parties granted access to the registry; 
and 
(5) prohibit the use of automatic dialing or ‘‘robocall’’ equip-
ment to establish contact with registered numbers. 
(c) ENFORCEMENT.—The Commission shall— 
(1) establish monetary penalties for violations of the protec-
tive regulations established pursuant to subsection (b)(4) of 
not less than $100,000 per incident nor more than $1,000,000 
per incident; 
(2) establish monetary penalties for violations of the 
prohibition on automatically dialing registered numbers estab-
lished pursuant to subsection (b)(5) of not less than $10,000 
per call nor more than $100,000 per call; and 
(3) provide for the imposition of fines under paragraphs 
(1) or (2) that vary depending upon whether the conduct leading 
to the violation was negligent, grossly negligent, reckless, or 
willful, and depending on whether the violation was a first 
or subsequent offence. 
Penalties. 
Fines. 
Regulations. 
Notice. 
Deadline. 
47 USC 1473. 
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126 STAT. 244 
PUBLIC LAW 112–96—FEB. 22, 2012 
SEC. 6508. REPORT ON COSTS FOR REQUIREMENTS AND SPECIFICA-
TIONS OF NEXT GENERATION 9–1–1 SERVICES. 
(a) IN GENERAL.—Not later than 1 year after the date of the 
enactment of this Act, the Office, in consultation with the Adminis-
trator of the National Highway Traffic Safety Administration, the 
Commission, and the Secretary of Homeland Security, shall prepare 
and submit a report to Congress that analyzes and determines 
detailed costs for specific Next Generation 9–1–1 service require-
ments and specifications. 
(b) PURPOSE OF REPORT.—The purpose of the report required 
under subsection (a) is to serve as a resource for Congress as 
it considers creating a coordinated, long-term funding mechanism 
for the deployment and operation, accessibility, application develop-
ment, equipment procurement, and training of personnel for Next 
Generation 9–1–1 services. 
(c) REQUIRED INCLUSIONS.—The report required under sub-
section (a) shall include the following: 
(1) How costs would be broken out geographically and 
allocated among public safety answering points, broadband 
service providers, and third-party providers of Next Generation 
9–1–1 services. 
(2) An assessment of the current state of Next Generation 
9–1–1 service readiness among public safety answering points. 
(3) How differences in public safety answering points’ access 
to broadband across the United States may affect costs. 
(4) A technical analysis and cost study of different delivery 
platforms, such as wireline, wireless, and satellite. 
(5) An assessment of the architectural characteristics, feasi-
bility, and limitations of Next Generation 9–1–1 service 
delivery. 
(6) An analysis of the needs for Next Generation 9–1– 
1 services of persons with disabilities. 
(7) Standards and protocols for Next Generation 9–1–1 
services and for incorporating Voice over Internet Protocol and 
‘‘Real-Time Text’’ standards. 
SEC. 6509. COMMISSION RECOMMENDATIONS FOR LEGAL AND STATU-
TORY FRAMEWORK FOR NEXT GENERATION 9–1–1 SERV-
ICES. 
Not later than 1 year after the date of the enactment of this 
Act, the Commission, in coordination with the Secretary of Home-
land Security, the Administrator of the National Highway Traffic 
Safety Administration, and the Office, shall prepare and submit 
a report to Congress that contains recommendations for the legal 
and statutory framework for Next Generation 9–1–1 services, con-
sistent with recommendations in the National Broadband Plan 
developed by the Commission pursuant to the American Recovery 
and Reinvestment Act of 2009, including the following: 
(1) A legal and regulatory framework for the development 
of Next Generation 9–1–1 services and the transition from 
legacy 9–1–1 to Next Generation 9–1–1 networks. 
(2) Legal mechanisms to ensure efficient and accurate 
transmission of 9–1–1 caller information to emergency response 
agencies. 
(3) Recommendations for removing jurisdictional barriers 
and inconsistent legacy regulations including— 
Deadline. 
Reports. 
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126 STAT. 245 
PUBLIC LAW 112–96—FEB. 22, 2012 
(A) proposals that would require States to remove regu-
latory roadblocks to Next Generation 9–1–1 services 
development, while recognizing existing State authority 
over 9–1–1 services; 
(B) eliminating outdated 9–1–1 regulations at the Fed-
eral level; and 
(C) preempting inconsistent State regulations. 
Subtitle F—Telecommunications 
Development Fund 
SEC. 6601. NO ADDITIONAL FEDERAL FUNDS. 
Section 309(j)(8)(C)(iii) of the Communications Act of 1934 (47 
U.S.C. 309(j)(8)(C)(iii)) is amended to read as follows: 
‘‘(iii) the interest accrued to the account shall be 
deposited in the general fund of the Treasury, where 
such amount shall be dedicated for the sole purpose 
of deficit reduction.’’. 
SEC. 6602. INDEPENDENCE OF THE FUND. 
Section 714 of the Communications Act of 1934 (47 U.S.C. 
614) is amended— 
(1) by striking subsection (c) and inserting the following: 
‘‘(c) INDEPENDENT BOARD OF DIRECTORS.—The Fund shall have 
a Board of Directors consisting of 5 people with experience in 
areas including finance, investment banking, government banking, 
communications law and administrative practice, and public policy. 
The Board of Directors shall select annually a Chair from among 
the directors. A nominating committee, comprised of the Chair 
and 2 other directors selected by the Chair, shall appoint additional 
directors. The Fund’s bylaws shall regulate the other aspects of 
the Board of Directors, including provisions relating to meetings, 
quorums, committees, and other matters, all as typically contained 
in the bylaws of a similar private investment fund.’’; 
(2) in subsection (d)— 
(A) by striking ‘‘(after consultation with the Commis-
sion and the Secretary of the Treasury)’’; 
(B) by striking paragraph (1); and 
(C) by redesignating paragraphs (2) through (4) as 
paragraphs (1) through (3), respectively; and 
(3) in subsection (g), by striking ‘‘subsection (d)(2)’’ and 
inserting ‘‘subsection (d)(1)’’. 
Subtitle G—Federal Spectrum Relocation 
SEC. 6701. RELOCATION OF AND SPECTRUM SHARING BY FEDERAL 
GOVERNMENT STATIONS. 
(a) IN GENERAL.—Section 113 of the National Telecommuni-
cations and Information Administration Organization Act (47 U.S.C. 
923) is amended— 
(1) in subsection (g)— 
(A) by striking the heading and inserting ‘‘RELOCATION 
OF AND SPECTRUM SHARING BY FEDERAL GOVERNMENT STA-
TIONS.—’’; 
(B) by amending paragraph (1) to read as follows: 
Appointments. 
Deadline. 
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126 STAT. 246 
PUBLIC LAW 112–96—FEB. 22, 2012 
‘‘(1) ELIGIBLE FEDERAL ENTITIES.—Any Federal entity that 
operates a Federal Government station authorized to use a 
band of eligible frequencies described in paragraph (2) and 
that incurs relocation or sharing costs because of planning 
for an auction of spectrum frequencies or the reallocation of 
spectrum frequencies from Federal use to exclusive non-Federal 
use or to shared use shall receive payment for such relocation 
or sharing costs from the Spectrum Relocation Fund, in accord-
ance with this section and section 118. For purposes of this 
paragraph, Federal power agencies exempted under subsection 
(c)(4) that choose to relocate from the frequencies identified 
for reallocation pursuant to subsection (a) are eligible to receive 
payment under this paragraph.’’; 
(C) by amending paragraph (2)(B) to read as follows: 
‘‘(B) any other band of frequencies reallocated from 
Federal use to non-Federal use or to shared use after 
January 1, 2003, that is assigned by competitive bidding 
pursuant to section 309(j) of the Communications Act of 
1934 (47 U.S.C. 309(j)).’’; 
(D) by amending paragraph (3) to read as follows: 
‘‘(3) RELOCATION OR SHARING COSTS DEFINED.— 
‘‘(A) IN GENERAL.—For purposes of this section and 
section 118, the term ‘relocation or sharing costs’ means 
the costs incurred by a Federal entity in connection with 
the auction of spectrum frequencies previously assigned 
to such entity or the sharing of spectrum frequencies 
assigned to such entity (including the auction or a planned 
auction of the rights to use spectrum frequencies on a 
shared basis with such entity) in order to achieve com-
parable capability of systems as before the relocation or 
sharing arrangement. Such term includes, with respect 
to relocation or sharing, as the case may be— 
‘‘(i) the costs of any modification or replacement 
of equipment, spares, associated ancillary equipment, 
software, facilities, operating manuals, training, or 
compliance with regulations that are attributable to 
relocation or sharing; 
‘‘(ii) the costs of all engineering, equipment, soft-
ware, site acquisition, and construction, as well as 
any legitimate and prudent transaction expense, 
including term-limited Federal civil servant and con-
tractor staff necessary to carry out the relocation or 
sharing activities of a Federal entity, and reasonable 
additional costs incurred by the Federal entity that 
are attributable to relocation or sharing, including 
increased recurring costs associated with the replace-
ment of facilities; 
‘‘(iii) the costs of research, engineering studies, 
economic analyses, or other expenses reasonably 
incurred in connection with— 
‘‘(I) calculating the estimated relocation or 
sharing costs that are provided to the Commission 
pursuant to paragraph (4)(A); 
‘‘(II) determining the technical or operational 
feasibility of relocation to 1 or more potential 
relocation bands; or 
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126 STAT. 247 
PUBLIC LAW 112–96—FEB. 22, 2012 
‘‘(III) planning for or managing a relocation 
or sharing arrangement (including spectrum 
coordination with auction winners); 
‘‘(iv) the one-time costs of any modification of 
equipment reasonably necessary— 
‘‘(I) to accommodate non-Federal use of shared 
frequencies; or 
‘‘(II) in the case of eligible frequencies reallo-
cated for exclusive non-Federal use and assigned 
through a system of competitive bidding under 
section 309(j) of the Communications Act of 1934 
(47 U.S.C. 309(j)) but with respect to which a 
Federal entity retains primary allocation or pro-
tected status for a period of time after the comple-
tion of the competitive bidding process, to 
accommodate shared Federal and non-Federal use 
of such frequencies for such period; and 
‘‘(v) the costs associated with the accelerated 
replacement of systems and equipment if the accelera-
tion is necessary to ensure the timely relocation of 
systems to a new frequency assignment or the timely 
accommodation of sharing of Federal frequencies. 
‘‘(B) COMPARABLE CAPABILITY OF SYSTEMS.—For pur-
poses of subparagraph (A), comparable capability of sys-
tems— 
‘‘(i) may be achieved by relocating a Federal 
Government station to a new frequency assignment, 
by relocating a Federal Government station to a dif-
ferent geographic location, by modifying Federal 
Government equipment to mitigate interference or use 
less spectrum, in terms of bandwidth, geography, or 
time, and thereby permitting spectrum sharing 
(including sharing among relocated Federal entities 
and incumbents to make spectrum available for non- 
Federal use) or relocation, or by utilizing an alternative 
technology; and 
‘‘(ii) includes the acquisition of state-of-the-art 
replacement systems intended to meet comparable 
operational scope, which may include incidental 
increases in functionality.’’; 
(E) in paragraph (4)— 
(i) in the heading, by striking ‘‘RELOCATIONS COSTS’’ 
and inserting ‘‘RELOCATION OR SHARING COSTS’’; 
(ii) by striking ‘‘relocation costs’’ each place it 
appears and inserting ‘‘relocation or sharing costs’’; 
and 
(iii) in subparagraph (A), by inserting ‘‘or sharing’’ 
after ‘‘such relocation’’; 
(F) in paragraph (5)— 
(i) by striking ‘‘relocation costs’’ and inserting 
‘‘relocation or sharing costs’’; and 
(ii) by inserting ‘‘or sharing’’ after ‘‘for relocation’’; 
and 
(G) by amending paragraph (6) to read as follows: 
‘‘(6) IMPLEMENTATION
OF
PROCEDURES.—The NTIA shall 
take such actions as necessary to ensure the timely relocation 
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126 STAT. 248 
PUBLIC LAW 112–96—FEB. 22, 2012 
of Federal entities’ spectrum-related operations from fre-
quencies described in paragraph (2) to frequencies or facilities 
of comparable capability and to ensure the timely implementa-
tion of arrangements for the sharing of frequencies described 
in such paragraph. Upon a finding by the NTIA that a Federal 
entity has achieved comparable capability of systems, the NTIA 
shall terminate or limit the entity’s authorization and notify 
the Commission that the entity’s relocation has been completed 
or sharing arrangement has been implemented. The NTIA shall 
also terminate such entity’s authorization if the NTIA deter-
mines that the entity has unreasonably failed to comply with 
the timeline for relocation or sharing submitted by the Director 
of the Office of Management and Budget under section 
118(d)(2)(C).’’; 
(2) by redesignating subsections (h) and (i) as subsections 
(k) and (l), respectively; and 
(3) by inserting after subsection (g) the following: 
‘‘(h) DEVELOPMENT
AND
PUBLICATION
OF
RELOCATION
OR 
SHARING TRANSITION PLANS.— 
‘‘(1) DEVELOPMENT
OF
TRANSITION
PLAN
BY
FEDERAL 
ENTITY.—Not later than 240 days before the commencement 
of any auction of eligible frequencies described in subsection 
(g)(2), a Federal entity authorized to use any such frequency 
shall submit to the NTIA and to the Technical Panel established 
by paragraph (3) a transition plan for the implementation by 
such entity of the relocation or sharing arrangement. The NTIA 
shall specify, after public input, a common format for all Federal 
entities to follow in preparing transition plans under this para-
graph. 
‘‘(2) CONTENTS OF TRANSITION PLAN.—The transition plan 
required by paragraph (1) shall include the following informa-
tion: 
‘‘(A) The use by the Federal entity of the eligible fre-
quencies to be auctioned, current as of the date of the 
submission of the plan. 
‘‘(B) The geographic location of the facilities or systems 
of the Federal entity that use such frequencies. 
‘‘(C) The frequency bands used by such facilities or 
systems, described by geographic location. 
‘‘(D) The steps to be taken by the Federal entity to 
relocate its spectrum use from such frequencies or to share 
such frequencies, including timelines for specific geographic 
locations in sufficient detail to indicate when use of such 
frequencies at such locations will be discontinued by the 
Federal entity or shared between the Federal entity and 
non-Federal users. 
‘‘(E) The specific interactions between the eligible Fed-
eral entity and the NTIA needed to implement the transi-
tion plan. 
‘‘(F) The name of the officer or employee of the Federal 
entity who is responsible for the relocation or sharing 
efforts of the entity and who is authorized to meet and 
negotiate with non-Federal users regarding the transition. 
‘‘(G) The plans and timelines of the Federal entity 
for— 
‘‘(i) using funds received from the Spectrum Reloca-
tion Fund established by section 118; 
Public input. 
Deadline. 
Termination. 
Determination. 
Termination. 
Notification. 
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126 STAT. 249 
PUBLIC LAW 112–96—FEB. 22, 2012 
‘‘(ii) procuring new equipment and additional per-
sonnel needed for relocation or sharing; 
‘‘(iii) field-testing and deploying new equipment 
needed for relocation or sharing; and 
‘‘(iv) hiring and relying on contract personnel, if 
any, needed for relocation or sharing. 
‘‘(H) Factors that could hinder fulfillment of the transi-
tion plan by the Federal entity. 
‘‘(3) TECHNICAL PANEL.— 
‘‘(A) ESTABLISHMENT.—There is established within the 
NTIA a panel to be known as the Technical Panel. 
‘‘(B) MEMBERSHIP.— 
‘‘(i) NUMBER
AND
APPOINTMENT.—The Technical 
Panel shall be composed of 3 members, to be appointed 
as follows: 
‘‘(I) One member to be appointed by the 
Director of the Office of Management and Budget 
(in this subsection referred to as ‘OMB’). 
‘‘(II) One member to be appointed by the 
Assistant Secretary. 
‘‘(III) One member to be appointed by the 
Chairman of the Commission. 
‘‘(ii) QUALIFICATIONS.—Each member of the Tech-
nical Panel shall be a radio engineer or a technical 
expert. 
‘‘(iii) INITIAL APPOINTMENT.—The initial members 
of the Technical Panel shall be appointed not later 
than 180 days after the date of the enactment of the 
Middle Class Tax Relief and Job Creation Act of 2012. 
‘‘(iv) TERMS.—The term of a member of the Tech-
nical Panel shall be 18 months, and no individual 
may serve more than 1 consecutive term. 
‘‘(v) VACANCIES.—Any member appointed to fill a 
vacancy occurring before the expiration of the term 
for which the member’s predecessor was appointed 
shall be appointed only for the remainder of that term. 
A member may serve after the expiration of that mem-
ber’s term until a successor has taken office. A vacancy 
shall be filled in the manner in which the original 
appointment was made. 
‘‘(vi) NO
COMPENSATION.—The members of the 
Technical Panel shall not receive any compensation 
for service on the Technical Panel. If any such member 
is an employee of the agency of the official that 
appointed such member to the Technical Panel, com-
pensation in the member’s capacity as such an 
employee shall not be considered compensation under 
this clause. 
‘‘(C) ADMINISTRATIVE SUPPORT.—The NTIA shall pro-
vide the Technical Panel with the administrative support 
services necessary to carry out its duties under this sub-
section and subsection (i). 
‘‘(D) REGULATIONS.—Not later than 180 days after the 
date of the enactment of the Middle Class Tax Relief and 
Job Creation Act of 2012, the NTIA shall, after public 
notice and comment and subject to approval by the Director 
Deadline. 
Notice. 
Public comment. 
Deadline. 
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126 STAT. 250 
PUBLIC LAW 112–96—FEB. 22, 2012 
of OMB, adopt regulations to govern the workings of the 
Technical Panel. 
‘‘(E) CERTAIN REQUIREMENTS INAPPLICABLE.—The Fed-
eral Advisory Committee Act (5 U.S.C. App.) and sections 
552 and 552b of title 5, United States Code, shall not 
apply to the Technical Panel. 
‘‘(4) REVIEW OF PLAN BY TECHNICAL PANEL.— 
‘‘(A) IN GENERAL.—Not later than 30 days after the 
submission of the plan under paragraph (1), the Technical 
Panel shall submit to the NTIA and to the Federal entity 
a report on the sufficiency of the plan, including whether 
the plan includes the information required by paragraph 
(2) and an assessment of the reasonableness of the proposed 
timelines and estimated relocation or sharing costs, 
including the costs of any proposed expansion of the 
capabilities of a Federal system in connection with reloca-
tion or sharing. 
‘‘(B) INSUFFICIENCY OF PLAN.—If the Technical Panel 
finds the plan insufficient, the Federal entity shall, not 
later than 90 days after the submission of the report by 
the Technical Panel under subparagraph (A), submit to 
the Technical Panel a revised plan. Such revised plan shall 
be treated as a plan submitted under paragraph (1). 
‘‘(5) PUBLICATION OF TRANSITION PLAN.—Not later than 120 
days before the commencement of the auction described in 
paragraph (1), the NTIA shall make the transition plan publicly 
available on its website. 
‘‘(6) UPDATES OF TRANSITION PLAN.—As the Federal entity 
implements the transition plan, it shall periodically update 
the plan to reflect any changed circumstances, including 
changes in estimated relocation or sharing costs or the timeline 
for relocation or sharing. The NTIA shall make the updates 
available on its website. 
‘‘(7) CLASSIFIED AND OTHER SENSITIVE INFORMATION.— 
‘‘(A) CLASSIFIED INFORMATION.—If any of the informa-
tion required to be included in the transition plan of a 
Federal entity is classified information (as defined in sec-
tion 798(b) of title 18, United States Code), the entity 
shall— 
‘‘(i) include in the plan— 
‘‘(I) an explanation of the exclusion of any 
such information, which shall be as specific as 
possible; and 
‘‘(II) all relevant non-classified information 
that is available; and 
‘‘(ii) discuss as a factor under paragraph (2)(H) 
the extent of the classified information and the effect 
of such information on the implementation of the 
relocation or sharing arrangement. 
‘‘(B) REGULATIONS.—Not later than 180 days after the 
date of the enactment of the Middle Class Tax Relief and 
Job Creation Act of 2012, the NTIA, in consultation with 
the Director of OMB and the Secretary of Defense, shall 
adopt regulations to ensure that the information publicly 
released under paragraph (5) or (6) does not contain classi-
fied information or other sensitive information. 
‘‘(i) DISPUTE RESOLUTION PROCESS.— 
Deadlines. 
Deadline. 
Public 
information. 
Web posting. 
Deadline. 
Reports. 
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126 STAT. 251 
PUBLIC LAW 112–96—FEB. 22, 2012 
‘‘(1) IN GENERAL.—If a dispute arises between a Federal 
entity and a non-Federal user regarding the execution, timing, 
or cost of the transition plan submitted by the Federal entity 
under subsection (h)(1), the Federal entity or the non-Federal 
user may request that the NTIA establish a dispute resolution 
board to resolve the dispute. 
‘‘(2) ESTABLISHMENT OF BOARD.— 
‘‘(A) IN GENERAL.—If the NTIA receives a request under 
paragraph (1), it shall establish a dispute resolution board. 
‘‘(B) MEMBERSHIP
AND
APPOINTMENT.—The dispute 
resolution board shall be composed of 3 members, as fol-
lows: 
‘‘(i) A representative of the Office of Management 
and Budget (in this subsection referred to as ‘OMB’), 
to be appointed by the Director of OMB. 
‘‘(ii) A representative of the NTIA, to be appointed 
by the Assistant Secretary. 
‘‘(iii) A representative of the Commission, to be 
appointed by the Chairman of the Commission. 
‘‘(C) CHAIR.—The representative of OMB shall be the 
Chair of the dispute resolution board. 
‘‘(D) VACANCIES.—Any vacancy in the dispute resolu-
tion board shall be filled in the manner in which the 
original appointment was made. 
‘‘(E) NO COMPENSATION.—The members of the dispute 
resolution board shall not receive any compensation for 
service on the board. If any such member is an employee 
of the agency of the official that appointed such member 
to the board, compensation in the member’s capacity as 
such an employee shall not be considered compensation 
under this subparagraph. 
‘‘(F) TERMINATION OF BOARD.—The dispute resolution 
board shall be terminated after it rules on the dispute 
that it was established to resolve and the time for appeal 
of its decision under paragraph (7) has expired, unless 
an appeal has been taken under such paragraph. If such 
an appeal has been taken, the board shall continue to 
exist until the appeal process has been exhausted and 
the board has completed any action required by a court 
hearing the appeal. 
‘‘(3) PROCEDURES.—The dispute resolution board shall meet 
simultaneously with representatives of the Federal entity and 
the non-Federal user to discuss the dispute. The dispute resolu-
tion board may require the parties to make written submissions 
to it. 
‘‘(4) DEADLINE FOR DECISION.—The dispute resolution board 
shall rule on the dispute not later than 30 days after the 
request was made to the NTIA under paragraph (1). 
‘‘(5) ASSISTANCE FROM TECHNICAL PANEL.—The Technical 
Panel established under subsection (h)(3) shall provide the 
dispute resolution board with such technical assistance as the 
board requests. 
‘‘(6) ADMINISTRATIVE
SUPPORT.—The NTIA shall provide 
the dispute resolution board with the administrative support 
services necessary to carry out its duties under this subsection. 
‘‘(7) APPEALS.—A decision of the dispute resolution board 
may be appealed to the United States Court of Appeals for 
Deadline. 
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126 STAT. 252 
PUBLIC LAW 112–96—FEB. 22, 2012 
the District of Columbia Circuit by filing a notice of appeal 
with that court not later than 30 days after the date of such 
decision. Each party shall bear its own costs and expenses, 
including attorneys’ fees, for any appeal under this paragraph. 
‘‘(8) REGULATIONS.—Not later than 180 days after the date 
of the enactment of the Middle Class Tax Relief and Job Cre-
ation Act of 2012, the NTIA shall, after public notice and 
comment and subject to approval by OMB, adopt regulations 
to govern the working of any dispute resolution boards estab-
lished under paragraph (2)(A) and the role of the Technical 
Panel in assisting any such board. 
‘‘(9) CERTAIN REQUIREMENTS INAPPLICABLE.—The Federal 
Advisory Committee Act (5 U.S.C. App.) and sections 552 and 
552b of title 5, United States Code, shall not apply to a dispute 
resolution board established under paragraph (2)(A). 
‘‘(j) RELOCATION PRIORITIZED OVER SHARING.— 
‘‘(1) IN GENERAL.—In evaluating a band of frequencies for 
possible reallocation for exclusive non-Federal use or shared 
use, the NTIA shall give priority to options involving realloca-
tion of the band for exclusive non-Federal use and shall choose 
options involving shared use only when it determines, in con-
sultation with the Director of the Office of Management and 
Budget, that relocation of a Federal entity from the band is 
not feasible because of technical or cost constraints. 
‘‘(2) NOTIFICATION OF CONGRESS WHEN SHARING CHOSEN.— 
If the NTIA determines under paragraph (1) that relocation 
of a Federal entity from the band is not feasible, the NTIA 
shall notify the Committee on Commerce, Science, and 
Transportation of the Senate and the Committee on Energy 
and Commerce of the House of Representatives of the deter-
mination, including the specific technical or cost constraints 
on which the determination is based.’’. 
(b) CONFORMING AMENDMENT.—Section 309(j) of the Commu-
nications Act of 1934 is further amended by striking ‘‘relocation 
costs’’ each place it appears and inserting ‘‘relocation or sharing 
costs’’. 
SEC. 6702. SPECTRUM RELOCATION FUND. 
Section 118 of the National Telecommunications and Informa-
tion Administration Organization Act (47 U.S.C. 928) is amended— 
(1) by striking ‘‘relocation costs’’ each place it appears and 
inserting ‘‘relocation or sharing costs’’; 
(2) by amending subsection (c) to read as follows: 
‘‘(c) USE OF FUNDS.—The amounts in the Fund from auctions 
of eligible frequencies are authorized to be used to pay relocation 
or sharing costs of an eligible Federal entity incurring such costs 
with respect to relocation from or sharing of those frequencies.’’; 
(3) in subsection (d)— 
(A) in paragraph (2)— 
(i) in subparagraph (A), by inserting ‘‘or sharing’’ 
before the semicolon; 
(ii) in subparagraph (B), by inserting ‘‘or sharing’’ 
before the period at the end; 
(iii) by redesignating subparagraphs (A) and (B) 
as subparagraphs (B) and (C), respectively; and 
(iv) by inserting before subparagraph (B), as so 
redesignated, the following: 
47 USC 309. 
Determination. 
Deadline. 
Notice. 
Public comments. 
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126 STAT. 253 
PUBLIC LAW 112–96—FEB. 22, 2012 
‘‘(A) unless the eligible Federal entity has submitted 
a transition plan to the NTIA as required by paragraph 
(1) of section 113(h), the Technical Panel has found such 
plan sufficient under paragraph (4) of such section, and 
the NTIA has made available such plan on its website 
as required by paragraph (5) of such section;’’; 
(B) by striking paragraph (3); and 
(C) by adding at the end the following: 
‘‘(3) TRANSFERS FOR PRE-AUCTION COSTS.— 
‘‘(A) IN GENERAL.—Subject to subparagraph (B), the 
Director of OMB may transfer to an eligible Federal entity, 
at any time (including prior to a scheduled auction), such 
sums as may be available in the Fund to pay relocation 
or sharing costs related to pre-auction estimates or 
research, 
as 
such 
costs 
are 
described 
in 
section 
113(g)(3)(A)(iii). 
‘‘(B) NOTIFICATION.—No funds may be transferred 
pursuant to subparagraph (A) unless— 
‘‘(i) the notification provided under paragraph 
(2)(C) includes a certification from the Director of OMB 
that— 
‘‘(I) funds transferred before an auction will 
likely allow for timely implementation of relocation 
or sharing, thereby increasing net expected auction 
proceeds by an amount not less than the time 
value of the amount of funds transferred; and 
‘‘(II) the auction is intended to occur not later 
than 5 years after transfer of funds; and 
‘‘(ii) the transition plan submitted by the eligible 
Federal entity under section 113(h)(1) provides— 
‘‘(I) to the fullest extent possible, for sharing 
and coordination of eligible frequencies with non- 
Federal users, including reasonable accommoda-
tion by the eligible Federal entity for the use of 
eligible frequencies by non-Federal users during 
the period that the entity is relocating its spectrum 
uses (in this clause referred to as the ‘transition 
period’); 
‘‘(II) for non-Federal users to be able to use 
eligible frequencies during the transition period 
in geographic areas where the eligible Federal 
entity does not use such frequencies; 
‘‘(III) that the eligible Federal entity will, 
during the transition period, make itself available 
for negotiation and discussion with non-Federal 
users not later than 30 days after a written request 
therefor; and 
‘‘(IV) that the eligible Federal entity will, 
during the transition period, make available to 
a non-Federal user with appropriate security clear-
ances any classified information (as defined in sec-
tion 798(b) of title 18, United States Code) 
regarding the relocation process, on a need-to-know 
basis, to assist the non-Federal user in the reloca-
tion process with such eligible Federal entity or 
other eligible Federal entities. 
‘‘(C) APPLICABILITY TO CERTAIN COSTS.— 
Deadline. 
Deadline. 
Certification. 
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126 STAT. 254 
PUBLIC LAW 112–96—FEB. 22, 2012 
‘‘(i) IN
GENERAL.—The Director of OMB may 
transfer under subparagraph (A) not more than 
$10,000,000 for costs incurred after June 28, 2010, 
but before the date of the enactment of the Middle 
Class Tax Relief and Job Creation Act of 2012. 
‘‘(ii) SUPPLEMENT
NOT
SUPPLANT.—Any amounts 
transferred by the Director of OMB pursuant to clause 
(i) shall be in addition to any amounts that the Director 
of OMB may transfer for costs incurred on or after 
the date of the enactment of the Middle Class Tax 
Relief and Job Creation Act of 2012. 
‘‘(4) REVERSION OF UNUSED FUNDS.—Any amounts in the 
Fund that are remaining after the payment of the relocation 
or sharing costs that are payable from the Fund shall revert 
to and be deposited in the general fund of the Treasury, for 
the sole purpose of deficit reduction, not later than 8 years 
after the date of the deposit of such proceeds to the Fund, 
unless within 60 days in advance of the reversion of such 
funds, the Director of OMB, in consultation with the NTIA, 
notifies the congressional committees described in paragraph 
(2)(C) that such funds are needed to complete or to implement 
current or future relocation or sharing arrangements.’’; 
(4) in subsection (e)— 
(A) in paragraph (1)(B)— 
(i) in clause (i), by striking ‘‘subsection (d)(2)(A)’’ 
and inserting ‘‘subsection (d)(2)(B)’’; and 
(ii) in clause (ii), by striking ‘‘subsection (d)(2)(B)’’ 
and inserting ‘‘subsection (d)(2)(C)’’; and 
(B) in paragraph (2)— 
(i) by striking ‘‘entity’s relocation’’ and inserting 
‘‘relocation of the entity or implementation of the 
sharing arrangement by the entity’’; 
(ii) by inserting ‘‘or the implementation of such 
arrangement’’ after ‘‘such relocation’’; and 
(iii) by striking ‘‘subsection (d)(2)(A)’’ and inserting 
‘‘subsection (d)(2)(B)’’; and 
(5) by adding at the end the following: 
‘‘(f) ADDITIONAL PAYMENTS FROM FUND.— 
‘‘(1) AMOUNTS AVAILABLE.—Notwithstanding subsections (c) 
through (e), after the date of the enactment of the Middle 
Class Tax Relief and Job Creation Act of 2012, there are appro-
priated from the Fund and available to the Director of OMB 
for use in accordance with paragraph (2) not more than 10 
percent of the amounts deposited in the Fund from auctions 
occurring after such date of enactment of licenses for the use 
of spectrum vacated by eligible Federal entities. 
‘‘(2) USE OF AMOUNTS.— 
‘‘(A) IN GENERAL.—The Director of OMB, in consulta-
tion with the NTIA, may use amounts made available 
under paragraph (1) to make payments to eligible Federal 
entities that are implementing a transition plan submitted 
under section 113(h)(1) in order to encourage such entities 
to complete the implementation more quickly, thereby 
encouraging timely access to the eligible frequencies that 
are being reallocated for exclusive non-Federal use or 
shared use. 
Appropriation 
authorization. 
Deadline. 
Time period. 
Notification. 
Deadline. 
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126 STAT. 255 
PUBLIC LAW 112–96—FEB. 22, 2012 
‘‘(B) CONDITIONS.—In the case of any payment by the 
Director of OMB under subparagraph (A)— 
‘‘(i) such payment shall be based on the market 
value of the eligible frequencies, the timeliness with 
which the eligible Federal entity clears its use of such 
frequencies, and the need for such frequencies in order 
for the entity to conduct its essential missions; 
‘‘(ii) the eligible Federal entity shall use such pay-
ment for the purposes specified in clauses (i) through 
(v) of section 113(g)(3)(A) to achieve comparable capa-
bility of systems affected by the reallocation of eligible 
frequencies from Federal use to exclusive non-Federal 
use or to shared use; 
‘‘(iii) such payment may not be made if the amount 
remaining in the Fund after such payment will be 
less than 10 percent of the winning bids in the auction 
of the spectrum with respect to which the Federal 
entity is incurring relocation or sharing costs; and 
‘‘(iv) such payment may not be made until 30 days 
after the Director of OMB has notified the congres-
sional committees described in subsection (d)(2)(C). 
‘‘(g) RESTRICTION ON USE OF FUNDS.—No amounts in the Fund 
on the day before the date of the enactment of the Middle Class 
Tax Relief and Job Creation Act of 2012 may be used for any 
purpose except— 
‘‘(1) to pay the relocation or sharing costs incurred by 
eligible Federal entities in order to relocate from the frequencies 
the auction of which generated such amounts; or 
‘‘(2) to pay relocation or sharing costs related to pre-auction 
estimates or research, in accordance with subsection (d)(3).’’. 
SEC. 6703. NATIONAL SECURITY AND OTHER SENSITIVE INFORMATION. 
Part B of title I of the National Telecommunications and 
Information Administration Organization Act (47 U.S.C. 921 et 
seq.) is amended by adding at the end the following: 
‘‘SEC. 119. NATIONAL SECURITY AND OTHER SENSITIVE INFORMATION. 
‘‘(a) DETERMINATION.—If the head of an Executive agency (as 
defined in section 105 of title 5, United States Code) determines 
that public disclosure of any information contained in a notification 
or report required by section 113 or 118 would reveal classified 
national security information, or other information for which there 
is a legal basis for nondisclosure and the public disclosure of which 
would be detrimental to national security, homeland security, or 
public safety or would jeopardize a law enforcement investigation, 
the head of the Executive agency shall notify the Assistant Sec-
retary of that determination prior to the release of such information. 
‘‘(b) INCLUSION IN ANNEX.—The head of the Executive agency 
shall place the information with respect to which a determination 
was made under subsection (a) in a separate annex to the notifica-
tion or report required by section 113 or 118. The annex shall 
be provided to the subcommittee of primary jurisdiction of the 
congressional committee of primary jurisdiction in accordance with 
appropriate national security stipulations but shall not be disclosed 
to the public or provided to any unauthorized person through any 
means.’’. 
Notification. 
47 USC 929. 
Time period. 
Notification. 
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126 STAT. 256 
PUBLIC LAW 112–96—FEB. 22, 2012 
LEGISLATIVE HISTORY—H.R. 3630: 
HOUSE REPORTS: No. 112–399 (Comm. of Conference). 
CONGRESSIONAL RECORD: 
Vol. 157 (2011): Dec. 13, considered and passed House. 
Dec. 17, considered and passed Senate, amended. 
Vol. 158 (2012): Feb. 17, House and Senate agreed to conference report. 
TITLE VII—MISCELLANEOUS 
PROVISIONS 
SEC. 7001. REPEAL OF CERTAIN SHIFTS IN THE TIMING OF CORPORATE 
ESTIMATED TAX PAYMENTS. 
The following provisions of law (and any modification of any 
such provision which is contained in any other provision of law) 
shall not apply with respect to any installment of corporate esti-
mated tax: 
(1) Section 201(b) of the Corporate Estimated Tax Shift 
Act of 2009. 
(2) Section 561 of the Hiring Incentives to Restore Employ-
ment Act. 
(3) Section 505 of the United States-Korea Free Trade 
Agreement Implementation Act. 
(4) Section 603 of the United States-Colombia Trade Pro-
motion Agreement Implementation Act. 
(5) Section 502 of the United States-Panama Trade Pro-
motion Agreement Implementation Act. 
SEC. 7002. REPEAL OF REQUIREMENT RELATING TO TIME FOR REMIT-
TING CERTAIN MERCHANDISE PROCESSING FEES. 
(a) REPEAL.—The Trade Adjustment Assistance Extension Act 
of 2011 (title II of Public Law 112–40; 125 Stat. 402) is amended 
by striking section 263. 
(b) CLERICAL AMENDMENT.—The table of contents for such Act 
is amended by striking the item relating to section 263. 
SEC. 7003. TREATMENT FOR PAYGO PURPOSES. 
The budgetary effects of this Act shall not be entered on either 
PAYGO scorecard maintained pursuant to section 4(d) of the Statu-
tory Pay-As-You-Go Act of 2010. 
Approved February 22, 2012. 
19 USC 58c note. 
26 USC 6655 
note. 
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