TASK DEFINITION: In this task, you are given text for US Congressional and California state bills, your task is to generate a summary for this bill.
PROBLEM: SECTION 1. PERMANENT EXTENSION OF ESTATE TAX AS IN EFFECT IN 2009.

(a) Exclusion Equivalent of Unified Credit Equal to $3,500,000.--
Subsection (c) of section 2010 of the Internal Revenue Code of 1986
(relating to unified credit against estate tax) is amended to read as
follows:
''(c) Applicable Credit Amount.--
''(1) In general.--For purposes of this section, the
applicable credit amount is the amount of the tentative tax
which would be determined under section 2001(c) if the amount
with respect to which such tentative tax is to be computed were
equal to the applicable exclusion amount.
''(2) Applicable exclusion amount.--
''(A) In general.--For purposes of this subsection,
the applicable exclusion amount is $3,500,000.
''(B) Inflation adjustment.--In the case of any
decedent dying in a calendar year after 2010, the
dollar amount in subparagraph (A) shall be increased by
an amount equal to--
''(i) such dollar amount, multiplied by
''(ii) the cost-of-living adjustment
determined under section 1(f)(3) for such
calendar year by substituting 'calendar year
2009' for 'calendar year 1992' in subparagraph
(B) thereof.
If any amount as adjusted under the preceding sentence
is not a multiple of $10,000, such amount shall be
rounded to the nearest multiple of $10,000.''.
(b) Maximum Estate Tax Rate Equal to 45 Percent.--
(1) In general.--Subsection (c) of section 2001 of the
Internal Revenue Code of 1986 (relating to imposition and rate
of tax) is amended--
(A) by striking ''but not over $2,000,000'' in the
table contained in paragraph (1),
(B) by striking the last 2 items in such table,
(C) by striking ''(1) in general.--'', and
(D) by striking paragraph (2).
(2) Conforming amendment.--Paragraphs (1) and (2) of
section 2102(b) of such Code are amended to read as follows:
''(1) In general.--A credit in an amount that would be
determined under section 2010 as the applicable credit amount
if the applicable exclusion amount were $60,000 shall be
allowed against the tax imposed by section 2101.
''(2) Residents of possessions of the united states.--In
the case of a decedent who is considered to be a 'nonresident
not a citizen of the United States' under section 2209, the
credit allowed under this subsection shall not be less than the
proportion of the amount that would be determined under section
2010 as the applicable credit amount if the applicable
exclusion amount were $175,000 which the value of that part of
the decedent's gross estate which at the time of the decedent's
death is situated in the United States bears to the value of
the decedent's entire gross estate, wherever situated.''.
(c) Modifications of Estate and Gift Taxes To Reflect Differences
in Unified Credit Resulting From Different Tax Rates.--
(1) Estate tax.--
(A) In general.--Section 2001(b)(2) of the Internal
Revenue Code of 1986 (relating to computation of tax)
is amended by striking ''if the provisions of
subsection (c) (as in effect at the decedent's death)''
and inserting ''if the modifications described in
subsection (g)''.
(B) Modifications.--Section 2001 of such Code is
amended by adding at the end the following new
subsection:
''(g) Modifications to Gift Tax Payable To Reflect Different Tax
Rates.--For purposes of applying subsection (b)(2) with respect to 1 or
more gifts, the rates of tax under subsection (c) in effect at the
decedent's death shall, in lieu of the rates of tax in effect at the
time of such gifts, be used both to compute--
''(1) the tax imposed by chapter 12 with respect to such
gifts, and
''(2) the credit allowed against such tax under section
2505, including in computing--
''(A) the applicable credit amount under section
2505(a)(1), and
''(B) the sum of the amounts allowed as a credit
for all preceding periods under section 2505(a)(2).
For purposes of paragraph (2)(A), the applicable credit amount
for any calendar year before 1998 is the amount which would be
determined under section 2010(c) if the applicable exclusion
amount were the dollar amount under section 6018(a)(1) for such
year.''.
(2) Gift tax.--Section 2505(a) of such Code (relating to
unified credit against gift tax) is amended by adding at the
end the following new flush sentence:
''For purposes of applying paragraph (2) for any calendar year, the
rates of tax in effect under section 2502(a)(2) for such calendar year
shall, in lieu of the rates of tax in effect for preceding calendar
periods, be used in determining the amounts allowable as a credit under
this section for all preceding calendar periods.''.
(d) Effective Date.--The amendments made by this section shall
apply to estates of decedents dying, generation-skipping transfers, and
gifts made, after December 31, 2009.
(e) Additional Modifications to Estate Tax.--
(1) In general.--Subtitles A and E of title V of the
Economic Growth and Tax Relief Reconciliation Act of 2001, and
the amendments made by such subtitles, are hereby repealed; and
the Internal Revenue Code of 1986 shall be applied as if such
subtitles, and amendments, had never been enacted.
(2) Sunset not to apply.--
(A) Subsection (a) of section 901 of the Economic
Growth and Tax Relief Reconciliation Act of 2001 is
amended by striking ''this Act'' and all that follows
and inserting ''this Act (other than title V) shall not
apply to taxable, plan, or limitation years beginning
after December 31, 2010.''.
(B) Subsection (b) of such section 901 is amended
by striking '', estates, gifts, and transfers''.
(3) Repeal of deadwood.--
(A) Sections 2011, 2057, and 2604 of the Internal
Revenue Code of 1986 are hereby repealed.
(B) The table of sections for part II of subchapter
A of chapter 11 of such Code is amended by striking the
item relating to section 2011.
(C) The table of sections for part IV of subchapter
A of chapter 11 of such Code is amended by striking the
item relating to section 2057.
(D) The table of sections for subchapter A of
chapter 13 of such Code is amended by striking the item
relating to section 2604.
(f) Sense of the Senate Regarding Revenue Neutrality.--It is the
sense of the Senate that any reduction in Federal revenues resulting
from the provisions of, and amendments made by, this section should be
fully offset.

SOLUTION: Amends the Internal Revenue Code to: (1) restore the unified credit against the estate and gift tax after 2009; (2) establish the amount of such credit at $3.5 million adjusted for inflation in calendar years after 2010; and (3) reduce the maximum estate and gift tax rate to 45%.

Expresses the sense of the Senate that any reduction in federal revenues resulting from this Act should be fully offset.

PROBLEM: SECTION 1. SHORT TITLE.

This Act may be cited as the ''Mandatory Foreclosure Mediation
Act''.

SEC. 2. DEFINITIONS.

In this Act, the following definitions shall apply:
(1) Alternative to foreclosure.--The term ''alternative to
foreclosure''--
(A) means a course of action with respect to a
mortgage offered by a servicer to a borrower as an
alternative to a covered foreclosure action; and
(B) includes a short sale and a deed in lieu of
foreclosure.
(2) Borrower.--The term ''borrower'' means a mortgagor
under a mortgage who is in default or at risk of imminent
default, as determined by the Secretary through regulations.
(3) Foreclosure action.--The term ''foreclosure action''
means a judicial or nonjudicial foreclosure.
(4) Loan modification program.--The term ''loan
modification program'' means a program or procedure designed to
change the terms of a mortgage in the case of the default,
delinquency, or imminent default or delinquency of a mortgagor,
including a loan modification program established by a servicer
that reduces the principal owed by the mortgagor on the
mortgage.
(5) Mortgage.--The term ''mortgage'' means a federally
related mortgage loan, as defined in section 3(1) of the Real
Estate Settlement Procedures Act of 1974 (12 U.S.C. 2602(1)),
that is secured by a first or subordinate lien on residential
real property.
(6) Secretary.--The term ''Secretary'' means the Secretary
of Housing and Urban Development.
(7) Servicer.--The term ''servicer''--
(A) has the same meaning as in section 6(i) of the
Real Estate Settlement Procedures Act of 1974 (12
U.S.C. 2605(i)); and
(B) includes a person responsible for servicing a
pool of mortgages.

SEC. 3. MEDIATION REQUIRED BEFORE FORECLOSURE.

(a) Initiation of Foreclosure Actions.--A servicer may not initiate
a foreclosure action against a borrower unless the servicer has--
(1) made a reasonable effort to initiate mediation
proceedings in accordance with the process established in
regulations prescribed pursuant to subsection (c) to determine
whether the borrower is eligible for a loan modification or an
alternative to foreclosure; and
(2) offered the borrower a loan modification or an
alternative to foreclosure, if the borrower is eligible for the
loan modification or alternative to foreclosure.
(b) Suspension of Foreclosure Actions.--
(1) In general.--A servicer shall suspend a foreclosure
action that was initiated before the date of enactment of this
Act until the servicer--
(A) completes a mediation proceeding in accordance
with the process established in regulations prescribed
pursuant to subsection (c) to determine whether the
borrower is eligible for a loan modification or an
alternative to foreclosure; and
(B) offers the borrower a loan modification or an
alternative to foreclosure, if the borrower is eligible
for a loan modification or an alternative to
foreclosure.
(2) Suspension.--During the period of the suspension under
paragraph (1), a servicer may not--
(A) send a notice of foreclosure to a borrower;
(B) conduct or schedule a sale of the real property
securing the mortgage of the borrower; or
(C) cause final judgment to be entered against the
borrower.
(3) Reasonable efforts.--A servicer is not required to
suspend a foreclosure action under paragraph (1) if the
servicer--
(A) makes a reasonable effort to schedule a
mediation proceeding to determine whether the borrower
is eligible for a loan modification or an alternative
to foreclosure; and
(B) documents that the borrower has not agreed to a
mediation proceeding to determine whether the borrower
is eligible for a loan modification or an alternative
to foreclosure.
(4) Rule of construction.--Nothing in this section may be
construed to require a servicer to delay an unavoidable
foreclosure, such as foreclosure that results from a borrower
abandoning the residential real property securing a mortgage.
(c) Establishment of Mediation Process.--The Secretary shall
establish through regulations a mediation process to determine whether
the borrower is eligible for a loan modification or an alternative to
foreclosure under this section.

SEC. 4. BAR TO FORECLOSURE ACTIONS.

(a) In General.--Subject to subsection (b), a violation of this Act
shall be a bar to a foreclosure action.
(b) Effect of Subsequent Compliance.--If a servicer is in
compliance with this Act, the servicer may bring or proceed with a
foreclosure action, without regard to a prior violation of this Act by
the servicer.

SEC. 5. REGULATIONS.

Not later than 90 days after the date of enactment of this Act, the
Secretary shall issue regulations to carry out this Act.

SEC. 6. REPORT.

Each servicer that initiates mediation proceedings under section 3
shall submit to the Secretary a quarterly report at such time, in such
manner, and containing such information, with respect to such
proceedings, as the Secretary may require.

SOLUTION: Mandatory Foreclosure Mediation Act - Prohibits a servicer from initiating a foreclosure action against a borrower unless the servicer has: (1) made a reasonable effort to initiate mediation proceedings to determine if the borrower is eligible for a loan modification or an alternative to foreclosure; and (2) offered the borrower, if eligible, such a modification or alternative.

Requires a servicer to suspend a foreclosure action initiated before the enactment of this Act until the servicer: (1) completes such a mediation proceeding; and (2) offers the borrower, if eligible, a modification or alternative.

Prohibits a servicer, during the suspension period, from: (1) sending the borrower a notice of foreclosure, (2) conducting or scheduling a sale of the real property securing the mortgage, or (3) causing final judgment to be entered against the borrower.

Directs the Secretary of Housing and Urban Development (HUD) to establish such a mediation process.

Declares that a servicer is not required to suspend a foreclosure action if the servicer makes a reasonable effort to schedule a mediation proceeding and documents that the borrower has not agreed to one.

Makes a violation of this Act a bar to a foreclosure action. Allows a servicer in compliance with this Act, however, to bring or proceed with a foreclosure action, regardless of any prior violation.

PROBLEM: SECTION 1. SHORT TITLE.

This Act may be cited as the ''Civil Rights Tax Fairness Act of
1999''.

SEC. 2. EXCLUSION FROM GROSS INCOME FOR AMOUNTS RECEIVED ON ACCOUNT OF
CERTAIN UNLAWFUL DISCRIMINATION.

(a) In General.--Part III of subchapter B of chapter 1 of the
Internal Revenue Code of 1986 (relating to items specifically excluded
from gross income) is amended by redesignating section 139 as section
140) and by inserting after section 138 the following new section:

''SEC. 139. AMOUNTS RECEIVED ON ACCOUNT OF CERTAIN UNLAWFUL
DISCRIMINATION.

''(a) In General.--
''(1) Exclusion.--Gross income does not include amounts
received by a claimant (whether by suit or agreement and
whether as lump sums or periodic payments) on account of a
claim of unlawful discrimination.
''(2) Amounts Covered.--For purposes of paragraph (1), the
term 'amounts' does not include--
''(A) backpay or frontpay, as defined in section
1302(b), or
''(B) punitive damages.
''(b) Unlawful Discrimination Defined.--For purposes of this
section, the term 'unlawful discrimination' means an act that is
unlawful under any of the following:
''(1) Section 302 of the Civil Rights Act of 1991 (2 U.S.C.
1202).
''(2) Section 201, 202, 203, 204, 205, 206, or 207 of the
Congressional Accountability Act of 1995 (2 U.S.C. 1311, 1312,
1313, 1314, 1315, 1316, or 1317)
''(3) The Fair Labor Standards Act of 1938 (29 U.S.C. 201
et seq.).
''(4) Section 4 or 15 of the Age Discrimination in
Employment Act of 1967 (29 U.S.C. 623 or 633a).
''(5) Section 501 or 504 of the Rehabilitation Act of 1973
(29 U.S.C. 791 or 794).
''(6) Section 510 of the Employee Retirement Income
Security Act of 1974 (29 U.S.C. 1140).
''(7) Title IX of the Education Amendments of 1972 (29
U.S.C. 1681 et seq.).
''(8) The Employee Polygraph Protection Act of 1988 (29
U.S.C. 201 et seq.).
''(9) The Worker Adjustment and Retraining Notification Act
(29 U.S.C. 2102 et seq.).
''(10) Section 105 of the Family and Medical Leave Act of
1993 (29 U.S.C. 2615).
''(11) Chapter 43 of title 38, United States Code (relating
to employment and reemployment rights of members of the
uniformed services).
''(12) Section 1977, 1979, or 1980 of the Revised Statutes
(42 U.S.C. 1981, 1983, or 1985).
''(13) Section 703, 704, or 717 of the Civil Rights Act of
1964 (42 U.S.C. 2000e-2, 2000e-3, or 2000e-16).
''(14) Section 804 or 805 of the Fair Housing Act (42
U.S.C. 3604 or 3605).
''(15) Section 102, 202, 302, or 503 of the Americans with
Disabilities Act of 1990 (42 U.S.C. 12112, 12132, 12182, or
12203).
''(16) Section 40302 of the Violence Against Women Act of
1994 (42 U.S.C. 13981).
''(17) Any provision of Federal law (popularly known as
whistleblower protection provisions) prohibiting the discharge
of an employee, the discrimination against an employee, or any
other form of retaliation or reprisal against an employee for
asserting rights or taking other actions permitted under
Federal law.
''(18) Any provision of State or local law, or common law
claims permitted under Federal, State, or local law, providing
for the enforcement of civil rights, regulating any aspect of
the employment relationship, or prohibiting the discharge of an
employee, the discrimination against an employee, or any other
form of retaliation or reprisal against an employee for
asserting rights or taking other actions permitted by law.''.
(b) Clerical Amendment.--The table of sections for part III of
subchapter B of chapter 1 of such Code is amended by inserting after
the item relating to section 138 the following new item:

''Sec. 139. Amounts received on account
of certain unlawful
discrimination.''
(c) Effective Date.--The amendment made by this section shall apply
to damages received in taxable years beginning after December 31, 1998.

SEC. 3. LIMITATION ON TAX BASED ON INCOME AVERAGING FOR BACKPAY AND
FRONTPAY RECEIVED ON ACCOUNT OF CERTAIN UNLAWFUL
EMPLOYMENT DISCRIMINATION.

(a) In General.--Part I of subchapter Q of chapter 1 of the
Internal Revenue Code of 1986 (relating to income averaging) is amended
by adding at the end the following new section:

''SEC. 1302. INCOME FROM BACKPAY AND FRONTPAY RECEIVED ON ACCOUNT OF
CERTAIN UNLAWFUL EMPLOYMENT DISCRIMINATION.

''(a) General Rule.--If employment discrimination backpay or
frontpay is received by a taxpayer during a taxable year, the tax
imposed by this chapter for such taxable year shall not exceed the sum
of--
''(1) the tax which would be so imposed if--
''(A) no amount of such backpay or frontpay were
included in gross income for such year, and
''(B) no deduction were allowed for such year for
expenses (otherwise allowable as a deduction to the
taxpayer for such year) in connection with making or
prosecuting any claim of unlawful employment
discrimination by or on behalf of the taxpayer, plus
''(2) the product of--
''(A) the number of years in the backpay period and
frontpay period, and
''(B) the amount of tax that would be imposed on
the average annual net backpay and frontpay amount,
determined as if such average amount were the only
income of the taxpayer for the taxable year and the
taxpayer had no deductions for such year.
''(b) Definitions.--For purposes of this section--
''(1) Employment discrimination backpay or frontpay.--The
term 'employment discrimination backpay or frontpay' means
backpay or frontpay receivable (whether as lump sums or
periodic payments) on account of a claim of unlawful employment
discrimination.
''(2) Unlawful employment discrimination.--The term
'unlawful employment discrimination' has the meaning provided
the term 'unlawful discrimination' in section 139(b).
''(3) Backpay and frontpay.--The terms 'backpay' and
'frontpay' mean amounts includible in gross income in the
taxable year--
''(A) as compensation which is attributable--
''(i) in the case of backpay, to services
performed, or that would have been performed
but for a claimed violation of law, as an
employee, former employee, or prospective
employee before such taxable year for the
taxpayer's employer, former employer, or
prospective employer; and
''(ii) in the case of frontpay, to
employment that would have been performed but
for a claimed violation of law, in a taxable
year or taxable years following the taxable
year; and
''(B) which are--
''(i) ordered, recommended, or approved by
any governmental entity to satisfy a claim for
a violation of law, or
''(ii) received from the settlement of such
a claim.
''(4) Backpay period.--The term 'backpay period' means the
period during which services are performed (or would have been
performed) to which backpay is attributable. If such period is
not equal to a whole number of taxable years, such period shall
be increased to the next highest number of whole taxable years.
''(5) Frontpay period.--The term 'frontpay period' means
the period of foregone employment to which frontpay is
attributable. If such period is not equal to a whole number of
taxable years, such period shall be increased to the next
highest number of whole taxable years.
''(6) Average annual net backpay and frontpay amount.--The
term 'average annual net backpay and frontpay amount' means the
amount equal to--
''(A) the excess of--
''(i) employment discrimination backpay and
frontpay, over
''(ii) the amount of deductions that would
have been allowable but for subsection
(a)(1)(B), divided by
''(B) the number of years in the backpay period and
frontpay period.''.
(b) Clerical Amendment.--The table of sections for part I of
subchapter Q of chapter 1 of such Code is amended by inserting after
section 1301 the following new item:

''Sec. 1302. Income from backpay or
frontpay received on account of
certain unlawful employment
discrimination.''
(c) Effective Date.--The amendments made by this section shall
apply to amounts received in taxable years beginning after December 31,
1998.

SEC. 3. INCOME AVERAGING FOR BACKPAY AND FRONTPAY RECEIVED ON ACCOUNT
OF CERTAIN UNLAWFUL EMPLOYMENT DISCRIMINATION NOT TO
INCREASE ALTERNATIVE MINIMUM TAX LIABILITY.

(a) In General.--Section 55(c) of the Internal Revenue Code of 1986
(defining regular tax) is amended by redesignating paragraph (2) as
paragraph (3) and by inserting after paragraph (1) the following:
''(2) Coordination with income averaging for amounts
received on account of employment discrimination.--Solely for
purposes of this section, section 1302 (relating to averaging
of income from backpay or frontpay received on account of
certain unlawful employment discrimination) shall not apply in
computing the regular tax.''.
(b) Effective Date.--The amendment made by this section shall apply
to taxable years beginning after December 31, 1998.

SOLUTION:
Civil Rights Tax Fairness Act of 1999 - Amends the Internal Revenue Code to exclude from gross income amounts received by a claimant on account of claims based on unlawful discrimination (as defined). Permits income averaging for backpay and frontpay awards received on account of such claims.