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. SHORT TITLE.

This Act may be cited as the ''Iran Human Rights Sanctions Act''.

SEC. 2. FINDINGS.

Congress makes the following findings:
(1) Iran voted in the United Nations General Assembly on
December 10, 1948, to adopt the Universal Declaration of Human
Rights, thereby committing to guarantee the ''life, liberty,
and security of person'' of all people and rejecting ''cruel,
inhuman, or degrading treatment or punishment''.
(2) The Constitution of the Islamic Republic of Iran
guarantees certain human rights and fundamental freedoms,
including political and civil rights, along with economic,
social, and cultural rights, including a prohibition on torture
and a guarantee of sentencing according to the law.
(3) The Islamic Republic of Iran is a party to 4 major
United Nations human rights treaties: the Convention on the
Rights of the Child (which it ratified on July 13, 1994), the
International Convention on the Elimination of All Forms of
Racial Discrimination (which it ratified on August 29, 1968),
and the International Covenant on Civil and Political Rights
and the International Covenant on Economic, Social and Cultural
Rights (both of which it ratified on June 24, 1975).
(4) The Government of the Islamic Republic of Iran is
violating its international and constitutional obligations to
respect the human rights and fundamental freedoms of its
citizens, including by--
(A) using torture and cruel, inhuman, or degrading
treatment or punishment, including flogging, and
amputations;
(B) carrying out an increasingly high rate of
executions in the absence of internationally recognized
safeguards, including public executions and executions
of juvenile offenders;
(C) using stoning as a method of execution and
maintaining a high number of persons in prison who
continue to face sentences of execution by stoning;
(D) carrying out arrests, violent repression, and
sentencing of women exercising their right to peaceful
assembly, a campaign of intimidation against women's
rights defenders, and continuing discrimination against
women and girls;
(E) permitting or carrying out increasing
discrimination and other human rights violations
against persons belonging to religious, ethnic,
linguistic, or other minorities;
(F) imposing ongoing, systematic, and serious
restrictions of freedom of peaceful assembly and
association and freedom of opinion and expression,
including the continuing closures of media outlets,
arrests of journalists, and the censorship of
expression in online forums such as blogs and websites;
and
(G) imposing severe limitations and restrictions on
freedom of religion and belief, including by carrying
out arbitrary arrests, indefinite detentions, and
lengthy jail sentences for those exercising their
rights to freedom of religion or belief and proposing a
provision in a draft penal code that sets out a
mandatory death sentence for apostasy, the abandoning
of one's faith.
(5) On June 19, 2009, the United Nations High Commissioner
for Human Rights expressed concerns about the increasing number
of arrests not in conformity with the law and the illegal use
of excessive force in responding to protests following the June
12, 2009, elections in Iran, resulting in at least dozens of
deaths and hundreds of injuries.
(6) On August 1, 2009, authorities in the Islamic Republic
of Iran began a mass trial of more than 100 individuals in
connection with election protests, most of whom were held for
weeks, in solitary confinement, with little or no access to
their lawyers or families, and many of whom showed signs of
torture or abuse.
(7) The Supreme Leader of Iran issued a statement on
October 28, 2009, effectively criminalizing dissent in the
aftermath of the national election of June 12, 2009.
(8) On November 4, 2009, security forces in the Islamic
Republic of Iran used brutal force to disperse thousands of
protesters, resulting in a number of injuries and arrests, in
violation of international standards regarding the
proportionate use of force against peaceful demonstrations.
(9) At least 8 citizens of Iran were killed and an
undetermined number were injured on December 27, 2009, when
security forces of the Islamic Republic of Iran violently broke
up peaceful gatherings during the Ashura holiday.
(10) The Government of the Islamic Republic of Iran has
recently sentenced numerous Iranian citizens to death without
due process for politicized crimes relating to the peaceful
demonstrations that followed the June 12, 2009, elections,
including ''waging war against God'', and has begun carrying
out those execution sentences, including the death by hanging
of 2 individuals on January 28, 2010.

SEC. 3. IMPOSITION OF SANCTIONS ON CERTAIN PERSONS WHO ARE COMPLICIT IN
HUMAN RIGHTS ABUSES COMMITTED AGAINST CITIZENS OF IRAN OR
THEIR FAMILY MEMBERS AFTER THE JUNE 12, 2009, ELECTIONS
IN IRAN.

(a) In General.--Except as provided in subsections (d) and (e), the
President shall impose sanctions described in subsection (c) with
respect to each person on the list required by subsection (b).
(b) List of Persons Who Are Complicit in Certain Human Rights
Abuses.--
(1) In general.--Not later than 90 days after the date of
the enactment of this Act, the President shall submit to the
appropriate congressional committees a list of persons who are
citizens of Iran that the President determines are complicit in
human rights abuses committed against citizens of Iran or their
family members on or after June 12, 2009, regardless of whether
such abuses occurred in Iran.
(2) Updates of list.--The President shall submit to the
appropriate congressional committees an updated list under
paragraph (1) periodically and as new information becomes
available.
(3) Public availability.--The list required by paragraph
(1) shall be made available to the public and posted on the
websites of the Department of the Treasury and the Department
of State.
(4) Consideration of data from other countries and
nongovernmental organizations.--In preparing the list required
by paragraph (1), the President shall consider data already
obtained by other countries and nongovernmental organizations,
including organizations in Iran, that monitor the human rights
abuses of the Government of Iran.
(c) Sanctions Described.--The sanctions described in this
subsection are the following:
(1) Visa ban.--Ineligibility for a visa to enter the United
States.
(2) Financial sanctions.--Sanctions authorized under the
International Emergency Economic Powers Act (50 U.S.C. 1701 et
seq.), including blocking of property and restrictions or
prohibitions on financial transactions and the exportation and
importation of property.
(d) Exceptions To Comply With International Agreements.--The
President may, by regulation, authorize exceptions to the imposition of
sanctions under this section to permit the United States to comply with
the Agreement between the United Nations and the United States of
America regarding the Headquarters of the United Nations, signed June
26, 1947, and entered into force November 21, 1947, and other
applicable international agreements.
(e) Waiver.--The President may waive the requirement to impose or
maintain sanctions with respect to a person under subsection (a) or the
requirement to include a person on the list required by subsection (b)
if the President--
(1) determines that such a waiver is in the national
interest of the United States; and
(2) submits to the appropriate congressional committees a
report describing the reasons for the determination.
(f) Termination of Sanctions.--The provisions of this section shall
cease to have force and effect on the date on which the President
determines and certifies to the appropriate congressional committees
that the Government of Iran has--
(1) unconditionally released all political prisoners,
including the citizens of Iran detained in the aftermath of the
June 12, 2009, presidential election in Iran;
(2) ceased its practices of violence, unlawful detention,
torture, and abuse of citizens of Iran while engaging in
peaceful political activity; and
(3) conducted a transparent investigation into the
killings, arrest, and abuse of peaceful political activists in
Iran and prosecuted those responsible.
(g) Appropriate Congressional Committees Defined.--In this section,
the term ''appropriate congressional committees'' has the meaning given
that term in section 14(2) of the Iran Sanctions Act of 1996 (Public
Law 104-172; 50 U.S.C. 1701 note).

SOLUTION: Iran Human Rights Sanctions Act - Directs the President to impose visa entry and financial sanctions on a person determined to be complicit in human rights abuses committed against Iranian citizens or their family members on or after June 12, 2009, regardless of whether such abuses occurred in Iran.

Requires that: (1) the list of such persons required by this Act be made available to the public and posted on the Department of the Treasury and the Department of State websites; and (2) the President consider data obtained by other countries and nongovernmental organizations that monitor Iran's human rights abuses in preparing such list.

Authorizes the President to: (1) not apply such sanctions in order to permit U.S. compliance with the Agreement between the United Nations and the United States of America regarding the Headquarters of the United Nations and other international agreements; and (2) waive such sanctions if in the U.S. national interest.

Terminates sanctions upon presidential certification to Congress that the government of Iran has: (1) released all political prisoners; (2) ceased its practices of violence and abuse of Iranian citizens engaging in peaceful political activity; and (3) conducted a transparent investigation into the killings and abuse of peaceful political activists in Iran and prosecuted those responsible.

PROBLEM: SECTION 1. SHORT TITLE.

This Act may be cited as the ''Women and Children's HIV Protection
Act of 2003''.

SEC. 2. FINDINGS.

The Congress finds as follows:
(1) Perinatal transmission is the leading cause of
pediatric HIV infections, including AIDS cases.
(2) The Centers for Disease Control and Prevention
(''CDC'') estimates that nearly 7,000 HIV-infected women give
birth in the United States each year and as many as 400 babies
continue to be born with HIV infection each year.
(3) Medical advances have made it possible to nearly
eliminate perinatal HIV transmission.
(4) Research studies have demonstrated that the
administration of antiviral medication during pregnancy, during
labor, and immediately following birth can significantly reduce
the transmission of HIV from an infected mother to her baby.
Caesarean section further reduces the risk of transmission.
(5) Even if treatment begins shortly after birth,
antiretroviral therapy can substantially reduce the chance that
an HIV-exposed infant will become infected.
(6) Breastfeeding by HIV-infected mothers poses additional
significant risk of infection to babies.
(7) The Institute of Medicine (''IOM'') has recommended the
adoption of a national policy of universal HIV testing, with
patient notification, as a routine component of prenatal care.
However, 15 percent of HIV-infected pregnant women receive no
prenatal care according to the IOM.
(8) The CDC has recommended since 1995 that all pregnant
women be counseled and offered voluntary HIV testing. Yet
nearly half of pregnant women are still not tested according to
the CDC. The CDC has found that mandatory testing of newborns
and universal HIV testing of pregnant woman are the best
approaches for identifying, treating, and preventing HIV among
pregnant women and children.
(9) The American Medical Association recommends mandatory
HIV testing of all newborns with appropriate treatment for
affected mothers and children.
(10) Testing newborns whose mothers' status is unknown
ensures that every child at risk for HIV is identified.
(11) More than a third of the HIV infections that occur
annually among newborns in the United States could be prevented
with routine HIV testing of pregnant woman or newborns
according to a 2002 report by the Inspector General of the
Department of Health and Human Services. This represents over
100 babies born every year that are needlessly infected.
(12) The provision of testing of pregnant women and
newborns with appropriate counseling and treatment can
significantly reduce the number of pediatric HIV infections,
including AIDS cases, can improve access to and medical care
for the woman and children, and can provide opportunities to
further reduce transmission among adults.
(13) The provision of such testing, counseling, and
treatment can reduce the overall cost of pediatric HIV
infections, including AIDS cases.
(14) New York State has required mandatory HIV counseling
and voluntary testing for pregnant women and mandatory HIV
testing of all newborns since February 1997. As a result, the
perinatal HIV transmission rate in the State has dropped from
25 percent to an all time low of 3.5 percent and over 99
percent of HIV-infected women and their children have been linked to
care.
(15) For the foregoing reasons--
(A) universal routine HIV testing of pregnant women
and newborns should be the standard of care; and
(B) the relevant medical organizations, as well as
public health officials, should issue guidelines making
such testing, counseling, and treatment the standard of
care.

SEC. 3. GRANTS REGARDING COUNSELING AND TESTING OF PREGNANT WOMEN AND
NEWBORN INFANTS.

Subpart II of part B of title XXVI of the Public Health Service Act
(42 U.S.C. 300ff-33 et seq.) is amended by inserting after section 2625
the following section:

''SEC. 2625A. GRANTS REGARDING COUNSELING AND TESTING OF PREGNANT WOMEN
AND NEWBORN INFANTS.

''(a) In General.--Of the amounts appropriated under section 2677
for a fiscal year for carrying out this part, exclusive of amounts
available for grants under section 2618(a)(2)(I), the Secretary,
subject to subsection (b)(2), shall reserve $82,875,000 for making
grants to each State that demonstrates that the law or regulations of
the State are in accordance with the following:
''(1) That all pregnant women receiving prenatal care in
the State be offered counseling and testing regarding HIV
disease.
''(2) In the case of prenatal testing for such disease that
is conducted in the State, that the results of such testing be
promptly disclosed to the pregnant woman involved.
''(3) In the case of newborn infants who are born in the
State and whose biological mothers have not undergone prenatal
testing for HIV disease, that each such infant undergo testing
for such disease.
''(4) That the results of such testing of a newborn infant
be promptly disclosed in accordance with the following, as
applicable to the infant involved:
''(A) To the biological mother of the infant
(without regard to whether she is the legal guardian of
the infant).
''(B) If the State is the legal guardian of the
infant:
''(i) To the appropriate official of the
State agency with responsibility for the care
of the infant.
''(ii) To the appropriate official of each
authorized agency providing assistance in the
placement of the infant.
''(iii) If the authorized agency is giving
significant consideration to approving an
individual as a foster parent of the infant, to
the prospective foster parent.
''(iv) If the authorized agency is giving
significant consideration to approving an
individual as an adoptive parent of the infant,
to the prospective adoptive parent.
''(C) If neither the biological mother nor the
State is the legal guardian of the infant, to another
legal guardian of the infant.
''(D) To the child's health care provider.
''(5) That, in disclosing the test results to an individual
under paragraph (2) or (4), appropriate counseling on HIV
disease and appropriate referrals for health care be offered to
the individual (except in the case of a disclosure to an
official of a State or an authorized agency, or to a health
care provider).''.
''(b) Date Certain for Making Grants; Limitation on Reservation of
Funds.--
''(1) Date certain for making grants.--Not later than the
end of the three-month period beginning on the date on which
appropriations first become available for a fiscal year for
grants under section 2611, the Secretary shall make grants
under subsection (a) for such fiscal year to all States that
seek such grants and meet the condition described in such
subsection for the grants.
''(2) Limitation on reservation of funds.--Effective upon
the expiration of the period described in paragraph (1) with
respect to a fiscal year, the unobligated portion of the amount
reserved under subsection (a) for the fiscal year is available
for grants under section 2611 for the fiscal year.
''(c) Amount of Grants.--Each grant under subsection (a) for a
fiscal year shall be made in the amount of $1,500,000, except that the
amount of such a grant for a territory of the United States shall be
$375,000.
''(d) Authorized Expenditures.--A grant under subsection (a) may be
expended for any purpose for which a grant under 2611 is authorized to
be expended.
''(e) Definitions.--For purposes of this section, the terms 'State'
and 'territory of the United States' have the meanings that apply to
such terms for purposes of grants under section 2611 (including the
meanings that apply for purposes of section 2618).''.

SOLUTION: Women and Children's HIV Protection Act of 2003 - Amends the Public Health Service Act to provide for grants regarding the counseling and testing of pregnant women and newborn infants out of moneys appropriated under the care grant program. Prohibits making a grant to a State unless the State demonstrates that the law or regulations of the State require specified testing and services for pregnant women and newborn infants regarding HIV disease.

PROBLEM: SECTION 1. SHORT TITLE.

This Act may be cited as the ''United States-Flag Merchant Marine
Revitalization Act of 1999''.

SEC. 2. AMENDMENTS OF MERCHANT MARINE ACT, 1936.

(a) Changes in Vessels to Which Capital Construction Funds Apply.--
(1) The second sentence of subsection (a) of section 607 of
the Merchant Marine Act, 1936 is amended by striking ''for
operation in the United States foreign, Great Lakes, or
noncontiguous domestic trade or in the fisheries of the United
States'' and inserting ''for operation in the fisheries of the
United States, or in the United States foreign, Great Lakes,
noncontiguous domestic trade, or other oceangoing domestic
trade between two coastal points in the United States or in
support of operations conducted on the Outer Continental
Shelf''.
(2) Paragraph (1) of section 607(k) of such Act (defining
eligible vessel) is amended to read as follows:
''(1) The term 'eligible vessel' means any vessel--
''(A) documented under the laws of the United
States, and
''(B) operated in the foreign or domestic commerce
of the United States or in the fisheries of the United
States.''.
(3) Paragraph (2)(C) of section 607(k) of such Act is
amended to read as follows:
''(C) which the person maintaining the fund agrees
with the Secretary of Commerce will be operated in the
fisheries of the United States, or in the United States
foreign, Great Lakes, noncontiguous domestic trade, or
other oceangoing domestic trade between two coastal
points in the United States or in support of operations
conducted on the Outer Continental Shelf.''.
(4) Section 607(k) of such Act is amended by striking
paragraph (8) and redesignating paragraph (9) as paragraph (8).
(5) The last sentence of paragraph (1) of section 607(f) of
such Act is amended by striking ''and containers'' each place
it appears.
(6) Paragraph (7) of section 607(k) of such Act is amended
by inserting ''containers or trailers intended for use as part
of the complement of one or more eligible vessels and'' before
''cargo handling''.
(7) Subsection (k) of section 607 of such Act (as amended
by paragraph (4)) is amended by adding at the end the following
new paragraph:
''(9) The terms 'foreign commerce' and 'foreign trade' have
the meanings given such terms in section 905, except that these
terms shall include commerce or trade between foreign ports.''.
(b) Treatment of Certain Lease Payments.--
(1) Paragraph (1) of section 607(f) of such Act is amended
by striking ''or'' at the end of subparagraph (B), by striking
the period at the end of subparagraph (C) and inserting '',
or'' and by inserting after subparagraph (C) the following new
subparagraph:
''(D) the payment of amounts which reduce the
principal amount (as determined under regulations
promulgated by the Secretary) of a qualified lease of a
qualified vessel or container which is part of the
complement of an eligible vessel.''.
(2) Paragraph (4) of section 607(g) of such Act is amended
by inserting ''or to reduce the principal amount of any
qualified lease'' after ''indebtedness''.
(3) Subsection (k) of section 607 of such Act is amended by
adding after paragraph (10) the following new paragraph:
''(11) The term 'qualified lease' means any lease with a
term of at least 5 years.''.
(c) Authority To Make Deposits Under the Tariff Act of 1930.--
(1) Paragraph (1) of section 607(b) of such Act is amended
by striking ''and'' at the end of subparagraph (C), by striking
the period at the end of subparagraph (D) and inserting '',
and'', and by adding at the end the following new subparagraph:
''(E) the amount elected for deposit under
subsection (i) of section 466 of the Tariff Act of 1930
(19 U.S.C 1466).''.
(2) Subparagraph (A) of section 607(e)(2) of such Act is
amended to read as follows:
''(A) amounts referred to in subsections (b)(1)(B)
and (E),''.
(d) Authority To Make Deposits for Prior Years Based on Audit
Adjustments.--Subsection (b) of section 607 of such Act is amended by
adding at the end thereof the following new paragraph:
''(4) To the extent permitted by joint regulations,
deposits may be made in excess of the limitation described in
paragraph (1) (and any limitation specified in the agreement)
for the taxable year if, by reason of a change in taxable
income for a prior taxable year that has become final pursuant
to a closing agreement or other similar agreement entered into
during the taxable year, the amount of the deposit could have
been made for such prior taxable year.''.
(e) Treatment of Capital Gains and Losses.--
(1) Paragraph (3) of section 607(e) of such Act is amended
to read as follows:
''(3) The capital gain account shall consist of--
''(A) amounts representing long-term capital gains
(as defined in section 1222 of such Code) on assets
held in the fund, reduced by
''(B) amounts representing long-term capital losses
(as defined in such section) on assets held in the
fund.''.
(2) Subparagraph (B) of section 607(e)(4) of such Act is
amended to read as follows:
''(B)(i) amounts representing short-term capital
gains (as defined in section 1222 of such Code) on
assets held in the fund, reduced by
''(ii) amounts representing short-term capital
losses (as defined in such section) on assets held in
the fund,''.
(3) Subparagraph (B) of section 607(h)(3) of such Act is
amended by striking ''gain'' and all that follows and inserting
''long-term capital gain (as defined in section 1222 of such
Code), and''.
(4) The last sentence of subparagraph (A) of section
607(h)(6) of such Act is amended by striking ''20 percent (34
percent in the case of a corporation)'' and inserting ''the
rate applicable to net capital gain under section 1(h)(1)(C) or
1201(a) of such Code, as the case may be''.
(f) Computation of Interest With Respect to Nonqualified
Withdrawal.--
(1) Subparagraph (C) of section 607(h)(3) of such Act is
amended--
(A) by striking clause (i) and inserting the
following new clause:
''(i) no addition to the tax shall be
payable under section 6651 of such Code, and'',
and
(B) by striking ''paid at the applicable rate (as
defined in paragraph (4))'' in clause (ii) and
inserting ''paid in accordance with section 6601 of
such Code''.
(2) Subsection (h) of section 607 of such Act is amended by
striking paragraph (4) and by redesignating paragraphs (5) and
(6) as paragraphs (4) and (5), respectively.
(3) Subparagraph (A) of section 607(h)(5) of such Act, as
redesignated by paragraph (2), is amended by striking
''paragraph (5)'' and inserting ''paragraph (4)''.
(g) Other Changes.--
(1) Section 607 of such Act is amended by striking ''the
Internal Revenue Code of 1954'' each place it appears and
inserting ''the Internal Revenue Code of 1986''.
(2) Subsection (c) of section 607 of such Act is amended by
striking ''interest-bearing securities approved by the
Secretary'' and inserting ''interest-bearing securities and
other income-producing assets (including accounts receivable)
approved by the Secretary''.

SEC. 3. AMENDMENTS OF INTERNAL REVENUE CODE OF 1986.

(a) Treatment of Certain Lease Payments.--
(1) Paragraph (1) of section 7518(e) of the Internal
Revenue Code of 1986 is amended by striking ''or'' at the end
of subparagraph (B), by striking the period at the end of
subparagraph (C) and inserting '', or'', and by inserting after
subparagraph (C) the following new subparagraph:
''(D) the payments of amounts which reduce the
principal amount (as determined under regulations) of a
qualified lease of a qualified vessel or container
which is part of the complement of an eligible
vessel.''.
(2) Paragraph (4) of section 7518(f) of such Code is
amended by inserting ''or to reduce the principal amount of any
qualified lease'' after ''indebtedness''.
(b) Authority To Make Deposits Under the Tariff Act of 1930.--
(1) Paragraph (1) of section 7518(a) of such Code is
amended by striking ''and'' at the end of subparagraph (C), by
striking the period at the end of subparagraph (D) and
inserting '', and'', and by adding at the end the following new
subparagraph:
''(E) the amount elected for deposit under
subsection (i) of section 466 of the Tariff Act of 1930
(19 U.S.C 1466).''.
(2) Subparagraph (A) of section 7518(d)(2) of such Code is
amended to read as follows:
''(A) amounts referred to in subsections (a)(1)(B)
and (E).''.
(c) Authority To Make Deposits for Prior Years Based on Audit
Adjustments.--Subsection (a) of section 7518 of such Code is amended by
adding at the end thereof the following new paragraph:
''(4) To the extent permitted by joint regulations,
deposits may be made in excess of the limitation described in
paragraph (1) (and any limitation specified in the agreement)
for the taxable year if, by reason of a change in taxable
income for a prior taxable year that has become final pursuant
to a closing agreement or other similar agreement entered into
during the taxable year, the amount of the deposit could have
been made for such prior taxable year.''.
(d) Treatment of Capital Gains and Losses.--
(1) Paragraph (3) of section 7518(d) of such Code is
amended to read as follows:
''(3) Capital gain account.--The capital gain account shall
consist of--
''(A) amounts representing long-term capital gains
(as defined in section 1222) on assets held in the
fund, reduced by
''(B) amounts representing long-term capital losses
(as defined in such section) on assets held in the
fund.
(2) Subparagraph (B) of section 7518(d)(4) of such Code is
amended to read as follows:
''(B)(i) amounts representing short-term capital
gains (as defined in section 1222) on assets held in
the fund, reduced by
''(ii) amounts representing short-term capital
losses (as defined in such section) on assets held in
the fund,''.
(3) Subparagraph (B) of section 7518(g)(3) of such Code is
amended by striking ''gain'' and all that follows and inserting
''long-term capital gain (as defined in section 1222), and''.
(4) The last sentence of subparagraph (A) of section
7518(g)(6) of such Code is amended by striking ''20 percent (34
percent in the case of a corporation)'' and inserting ''the
rate applicable to net capital gain under such section
1(h)(1)(C) or 1201(a), as the case may be''.
(e) Computation of Interest With Respect to Nonqualified
Withdrawals.--
(1) Subparagraph (C) of section 7518(g)(3) of such Code is
amended--
(A) by striking clause (i) and inserting the
following new clause:
''(i) no addition to the tax shall be
payable under section 6651, and'', and
(B) by striking ''paid at the applicable rate (as
defined in paragraph (4))'' in clause (ii) and
inserting ''paid in accordance with section 6601''.
(2) Subsection (g) of section 7518 of such Code is amended
by striking paragraph (4) and by redesignating paragraphs (5)
and (6) as paragraphs (4) and (5), respectively.
(3) Subparagraph (A) of section 7518(g)(5) of such Code, as
redesignated by paragraph (2), is amended by striking
''paragraph (5)'' and inserting ''paragraph (4)''.
(f) Other Changes.--
(1) Paragraph (2) of section 7518(b) of such Code is
amended by striking ''interest-bearing securities approved by
the Secretary'' and inserting ''interest-bearing securities and
other income-producing assets (including accounts receivable)
approved by the Secretary''.
(2) Paragraph (1) of section 7518(e) of such Code is
amended by striking ''and containers'' each place it appears.
(3) Subsection (i) of section 7518 of such Code is amended
by striking ''this section'' and inserting ''the United States-
Flag Merchant Marine Revitalization Act of 1999''.
(4) Subparagraph (B) of section 543(a)(1) of such Code is
amended to read as follows:
''(B) interest on amounts set aside in a capital
construction fund under section 607 of the Merchant
Marine Act, 1936 (46 App. U.S.C. 1177), or in a
construction reserve fund under section 511 of such Act
(46 App. U.S.C. 1161),''.
(5) Subsection (c) of section 56 of such Code is amended by
striking paragraph (2) and by redesignating paragraph (3) as
paragraph (2).

SEC. 4. AMENDMENT TO THE TARIFF ACT OF 1930.

Section 466 of the Tariff Act of 1930 (19 U.S.C. 1466) is amended
by adding at the end the following new subsection:
''(i) Election To Deposit Duty Into a Capital Construction Fund in
Lieu of Payment to the Secretary of the Treasury.--At the election of
the owner or master of any vessel referred to in subsection (a) of this
section which is an eligible vessel (as defined in section 607(k) of
the Merchant Marine Act, 1936), the portion of any duty imposed by
subsection (a) which is deposited in a fund established under section
607 of such Act shall be treated as paid to the Secretary of the
Treasury in satisfaction of the liability for such duty.''.

SEC. 5. EFFECTIVE DATE.

(a) In General.--Except as otherwise provided in this section, the
amendments made by this Act shall apply to taxable years beginning
after the date of the enactment of this Act.
(b) Changes in Computation of Interest.--The amendments made by
sections 2(f) and 3(e) shall apply to withdrawals made after December
31, 1998, including for purposes of computing interest on such a
withdrawal for periods on or before such date.
(c) Qualified Leases.--The amendments made by sections 2(b) and
3(a) shall apply to leases in effect on, or entered into after,
December 31, 1998.
(d) Amendment to the Tariff Act of 1930.--The amendment made by
section 4 shall apply with respect to entries not yet liquidated by
December 31, 1998, and to entries made on or after such date.

SOLUTION:
United States-Flag Merchant Marine Revitalization Act of 1999 - Amends the Merchant Marine Act, 1936 to add to the list of vessels for which a capital construction fund may be established vessels that are for operation in oceangoing domestic trade between two coastal points in the United States or in support of operations conducted on the Outer Continental Shelf.
Redefines "eligible vessel" to eliminate references to being constructed or reconstructed in the United States. Revises the definition of "qualified vessel" to: (1) add references to such trade and operations; and (2) mandate an agreement with the Secretary of Commerce. (Current law mandates an agreement with the Secretary of Commerce regarding fisheries vessels and with the Secretary of Transportation regarding all other vessels.) Removes the definition of "noncontiguous trade."
Removes references to containers from provisions requiring that, in order for a withdrawal for a barge or container to be a qualified withdrawal (and except to the extent provided in regulations), the barge or container must have been constructed in the United States. Adds containers and trailers that are part of an eligible vessel's complement to the definition of "vessel."
Defines "foreign commerce" and "foreign trade."
Adds as qualified withdrawals from such funds payments that reduce the principal amount of a qualified lease of a qualified vessel or container that is part of an eligible vessel's complement. Adds references to payments to reduce the principal amount of any qualified lease to provisions regulating the tax treatment of qualified withdrawals. Defines "qualified lease" as any lease with a term of at least five years.
Adds the amount elected for deposit under specified provisions of the Tariff Act of 1930 to the list of amounts, the sum of which is the limit on deposits to a fund in any taxable year. Includes that amount in the capital account. Allows deposits in excess of the limit if a change in taxable income for a prior taxable year is such that a deposit could have been made for that prior year.
Modifies: (1) the contents of the capital gain and ordinary income accounts; (2) the tax treatment of nonqualified withdrawals from the capital gain account; (3) requirements regarding the tax rate on nonqualified withdrawals; and (4) requirements regarding unqualified withdrawal interest payable under specified provisions of the Internal Revenue Code.
Allows amounts in such funds to be invested in income-producing assets (including accounts receivable) approved by the Secretaries of Commerce (for fishing vessels) or Transportation (for all other vessels).
Amends the Internal Revenue Code to deem withdrawals qualified if they are for payments that reduce the principal of a qualified lease of a qualified vessel or container that is part of an eligible vessel's complement. Allows, if a qualified withdrawal is made from the ordinary income or capital gain accounts and used to reduce such principal, a reduction in the basis of vessels, barges, and containers owned by the person maintaining the fund.
Adds the amount elected for deposit under specified provisions of the Tariff Act of 1930 to the list of amounts, the sum of which is the limit on deposits to a fund in any taxable year.
Modifies the contents of the capital account.
Allows deposits in excess of the limit if a change in taxable income for a prior taxable year is such that a deposit could have been made for that prior year.
Modifies: (1) the contents of the capital gain and ordinary income accounts; (2) the tax treatment of nonqualified withdrawals from the capital gain account; (3) requirements regarding the tax rate on nonqualified withdrawals; and (4) requirements regarding unqualified withdrawal interest payable under specified provisions of the Code.
Allows amounts in such funds to be invested in income-producing assets (including accounts receivable) approved by the Secretaries of Commerce (for fishing vessels) or Transportation (for all other vessels).
Modifies requirements regarding qualified withdrawals and containers that are part of the complement of a qualified vessel.
Links definitions in related provisions of the Merchant Marine Act, 1936 to definitions in related provisions of the Internal Revenue Code.
Removes provisions relating to marine capital construction funds from provisions regarding the determination of the alternative minimum taxable income of a corporation.
Amends the Tariff Act of 1930 to allow the owner or master of a vessel, documented under U.S. laws to engage in foreign or coasting trade, that has purchased equipment or repairs in a foreign country to deposit the ad valorem duty on the value of the equipment or repairs in a capital construction fund rather than paying them to the Secretary of the Treasury.