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

Input: Consider Input: SECTION 1. SHORT TITLE.

This Act may be cited as the ''Flexibility for Individual
Excellence in Education Act of 2007''.

SEC. 2. MODIFICATION TO AMENDMENTS MADE BY NO CHILD LEFT BEHIND ACT OF
2001.

(a) Modifications to Highly Qualified Teacher Standard.--
(1) Middle or secondary teachers new to profession may use
college minor.--Subclause (II) of section 9101(23)(B)(ii) of
the Elementary and Secondary School Act of 1965 (20 U.S.C.
7801(23)(B)(ii)) is amended by inserting ''or minor'' after
''academic major''.
(2) Extent time teaching is considered.--Subclause (V) of
section 9101(23)(C)(ii) of such Act (20 U.S.C. 7801(23)(C)(ii))
is amended by striking ''not be based primarily on'' and
inserting ''not be based solely on''.
(b) Extension Until 2011-12 School Year for Rural Schools To Meet
All Highly Qualified Teacher Standards; Additional $50 Million
Authorized To Help Rural Schools Meet Standards.--
(1) Extension.--Subsection (a) of section 1119 of the
Elementary and Secondary Education Act of 1965 (20 U.S.C. 6319)
is amended by adding at the end the following new paragraph:
''(4) Rural school districts.--
''(A) In general.--Notwithstanding the deadline
described in paragraphs (2) and (3), a plan developed
by a State educational agency or a local educational
agency under this subsection shall ensure that all
teachers who are described in such paragraphs, but are
teaching in a rural school district, are highly
qualified not later than the end of the 2011-2012
school year.
''(B) Definition.--For purposes of this paragraph,
the term 'rural school district' means a local
educational agency that--
''(i) meets the eligibility criteria
described in section 6211(b), including by
obtaining a waiver under paragraph (2) of such
section; and
''(ii) employs a percentage of teachers who
are not highly qualified that is higher than
the corresponding percentage for the State
involved.''.
(2) Additional funding.--Section 6234 of the Elementary and
Secondary Education Act of 1965 (20 U.S.C. 7355c) is amended--
(A) by striking ''There are'' and inserting ''(a)
In General.--There are''; and
(B) by adding at the end the following new
subsection:
''(b) Additional Funding.--For the purpose of making grants under
subpart 2 to be used for teacher recruitment, retention, and
professional development activities described in section 6222(a) in
rural school districts (as defined in section 1119(a)(4)), there are
authorized to be appropriated $50,000,000 for fiscal year 2008 and such
sums as may be necessary for each of the 4 following fiscal years. Such
authorization shall be in addition to the authorization in subsection
(a).''.
(c) Highly Qualified Teacher Rules Limited to Teachers of Core
Subjects.--
(1) Title I of the Elementary and Secondary Education Act
of 1965 is amended by adding at the end the following new
section:

''SEC. 1005. HIGHLY QUALIFIED TEACHER CONCEPT LIMITED TO TEACHERS OF
CORE SUBJECTS.

''Notwithstanding any other provision of this Act, any reference in
this Act to highly qualified teachers shall be deemed to refer only to
teachers in core subjects.''.
(2) The table of contents of such Act is amended by
inserting after the item relating to section 1004 the following
new item:

''Sec. 1005. Highly qualified teacher concept limited to teachers of
core subjects.''.
(d) Students With Disabilities Assessed at the Level of Instruction
in Compliance With Their Individualized Education Plan.--Clause (ix) of
section 1111(b)(3)(C) of the Elementary and Secondary Education Act of
1965 (20 U.S.C. 6311(b)(3)(C)) is amended by striking ''and'' at the
end of subclause (II), by adding ''and'' at the end of subclause (III),
and by adding at the end the following new subclause:
''(IV) at the discretion of the
State, the assessment of students with
disabilities (as defined in section
602(3) of the Individuals with
Disabilities Education Act) whose
instructional level in the core
academic subjects is below the grade
level in which the student is enrolled,
by using the State assessment
determined by the student's
individualized education program team
(as described in section 614(d)(1)(B)
of such Act) to most closely correspond
to the student's instructional
level;''.
(e) Use of Growth Models and Multiple Measures in Determining
Adequate Yearly Progress.--
(1) Growth models.--Clause (iii) of section 1111(b)(2)(C)
of the Elementary and Secondary Education Act of 1965 (20
U.S.C. 6311(b)(2)(C)) is amended by striking ''for all
students'' and inserting ''for all students, as demonstrated by
measures of students' progress toward proficiency, including
longitudinal growth''.
(2) Multiple measures.--Subparagraph (A) of section
1111(b)(2) of the Elementary and Secondary Education Act of
1965 (20 U.S.C. 6311(b)(2)) is amended by striking ''and'' at
the end of clause (ii), by striking the period at the end of
clause (iii) and inserting ''; and'', and by adding at the end
the following new clause:
''(iv) include multiple measures of student
academic achievement, such as the proportion of
State report card indicators met, a performance
index score, student drop-out rate, and a
measure based on individual student achievement
gains over time, disaggregated by each of the
groups of students described in subparagraph
(C)(v).''.
(f) Adequate Yearly Progress Determined by Group and Subject.--
(1) Identification of schools in need of improvement.--
(A) Subparagraph (A) of section 1116(b)(1) of the
Elementary and Secondary Education Act of 1965 (20
U.S.C. 6316(b)(1)) is amended by striking ''that
fails'' and inserting ''if the same group of students
described in section 1111(b)(2)(C)(v) fails in the same
academic subject''.
(B) Subparagraph (C) of such section is amended by
striking ''almost every student in each group specified
in section 1111(b)(2)(C)(v) enrolled in such school is
meeting or exceeding the State's proficient level of
academic achievement'' and inserting ''almost every
student in each group enrolled in such school for which
there is such a failure in an academic subject is
meeting or exceeding the State's proficient level of
academic achievement in such subject''.
(2) Failure to make adequate yearly progress during first
year after identification.--So much of the text of paragraph
(5) of section 1116(b) of such Act as precedes subparagraph (A)
is amended to read as follows: ''If, by the end of the first
full school year after identification under paragraph (1) of a
school served under this part, any group of students that met
the requirements for such identification in an academic subject
fails to make adequate yearly progress in such subject, as set
out in the State's plan under section 1111(b)(2), the local
educational agency serving such school--''.
(3) Failure to make adequate yearly progress during second
year after identification.--So much of the text of subparagraph
(C) of section 1116(b)(7) of such Act as precedes clause (i) is
amended to read as follows: ''If, by the end of the second full
school year after identification under paragraph (1) of a
school served under this part, any group of students that met
the requirements for such identification in an academic subject
fails to make adequate yearly progress in such subject, as set
out in the State's plan under section 1111(b)(2), the local
educational agency shall--''.
(4) Failure to make adequate yearly progress during first
year after corrective action.--So much of the text of
subparagraph (A) of section 1116(b)(8) of such Act as precedes
clause (i) is amended to read as follows: ''If, after 1 full
year of corrective action under paragraph (7), any group of
students (at the school subject to such corrective action) that
met the requirements for identification under paragraph (1) in
an academic subject continues to fail to make adequate yearly
progress in such subject, then the local educational agency
shall--''.
(g) Needs Improvement Label To Be Group and Subject Specific.--
Subparagraph (A) of section 1116(b)(1) of the Elementary and Secondary
Education Act of 1965 (20 U.S.C. 6316(b)(1)) is amended by adding at
the end the following new sentence: ''Such identification shall apply
only to each group and subject with respect to which there is such a
failure.''
(h) Parental Notification of Needs Improvement To Be Group and
Subject Specific.--Paragraph (6) of section 1116(b) of the Elementary
and Secondary Education Act of 1965 (20 U.S.C. 6316(b)) is amended by
striking ''of each student enrolled in an elementary school or a
secondary school identified for school improvement under paragraph
(1)'' and inserting ''of each student in each group of students that
met the requirements for identification in an academic subject under
paragraph (1)''.
(i) Transfer Option and Supplemental Services Limited to Students
From Failing Groups.--
(1) Clause (i) of section 1116(b)(1)(E) of the Elementary
and Secondary Education Act of 1965 (20 U.S.C. 6316(b)(1)(E))
is amended by inserting ''in each group described in section
1111(b)(2)(C)(v) that met the requirements for such
identification'' after ''all students''.
(2) Paragraphs (5)(A), (7)(C)(i), and (8)(A)(i) of section
1116(b) of such Act are each amended by inserting ''in such
group'' after ''all students''.
(j) Local Educational Agencies May Choose To Offer Supplemental
Educational Services, and Not Public School Choice, on Initial Failure
To Make Adequate Yearly Progress.--
(1) In general.--Subparagraph (E) of section 1116(b)(1) of
the Elementary and Secondary Education Act of 1965 (20 U.S.C.
6316(b)(1)) is amended to read as follows:
''(E) Public school choice or supplemental
educational services.--In the case of a school
identified for school improvement under this paragraph,
the local educational agency shall, not later than the
first day of the school year following such
identification--
''(i) provide all students in each group
described in section 1111(b)(2)(C)(v) that met
the requirements for such identification (and
who are enrolled in the school) with the option
to transfer to another public school served by
the local educational agency, which may include
a public charter school, that has not been
identified for school improvement under this
paragraph, unless such an option is prohibited
by State law, or
''(ii) make supplemental educational
services available consistent with subsection
(e)(1) to students in such group in the
academic subject to which such identification
relates.
If more than 1 school served by such agency is
identified for school improvement under this paragraph
or more than 1 group of students meets the requirements
for such identification, such agency shall make the
same choice under clause (i) or (ii) for all such
schools and all such groups.''.
(2) Conforming amendment.--Paragraph (5) of section 1116(b)
of such Act is amended to read as follows:
''(5) Failure to make adequate yearly progress after
identification.--If, by the end of the first full school year
after identification under paragraph (1) of a school served
under this part, any group of students that met the
requirements for such identification in an academic subject
fails to make adequate yearly progress in such subject, as set
out in the State's plan under section 1111(b)(2), the local
educational agency serving such school--
''(A) shall continue to provide the transfer option
under clause (i) of paragraph (1)(E) or to make the
supplemental educational services available under
clause (ii) of such paragraph, whichever was chosen by
such agency,
''(B) shall provide the transfer option under such
clause (i) or to make the supplemental educational
services available under such clause (ii), whichever
was not chosen by such agency under such paragraph; and
''(C) shall continue to provide technical
assistance.''.

Output: Flexibility for Individual Excellence in Education Act of 2007 - Amends the Elementary and Secondary Education Act of 1965 to alter the requirement that teachers be highly qualified by: (1) applying it only to teachers of core subjects; (2) allowing new middle or secondary school teachers to teach subjects for which they earned a college minor; (3) allowing greater consideration to be given to the time experienced teachers have spent teaching a subject; and (4) extending the deadline for rural teachers to meet such requirements.

Provides additional funding for rural teacher recruitment, retention, and professional development activities.

Allows state determinations of students' adequate yearly progress (AYP) toward state academic performance standards to: (1) assess disabled students at the instructional level most closely corresponding to their individualized education plans; and (2) use growth models and multiple measures of student achievement.

Requires local educational agencies (LEAs) to identify schools as needing improvement, corrective action, or restructuring only if they fail to make AYP in the same subject for the same group of students over the requisite period of time. Provides school transfers and supplemental services to students in the failing group, rather than to all students in an affected school. Gives LEAs the option of providing such students with supplemental services rather than transfers for the year following a school's identification as needing improvement.

Input: Consider Input: SECTION 1. SHORT TITLE; AMENDMENT OF 1986 CODE.

(a) Short Title.--This Act may be cited as the ''Individual
Retirement Account Equity and Enhancement Act of 1994''.
(b) Amendment of 1986 Code.--Except as otherwise expressly
provided, whenever in this Act an amendment or repeal is expressed in
terms of an amendment to, or repeal of, a section or other provision,
the reference shall be considered to be made to a section or other
provision of the Internal Revenue Code of 1986.

SEC. 2. HOMEMAKERS ELIGIBLE FOR FULL IRA DEDUCTION.

(a) Spousal IRA Computed on Basis of Compensation of Both
Spouses.--Subsection (c) of section 219 (relating to special rules for
certain married individuals) is amended to read as follows:
''(c) Special Rules for Certain Married Individuals.--
''(1) In general.--In the case of an individual to whom
this paragraph applies for the taxable year, the limitation of
paragraph (1) of subsection (b) shall be equal to the lesser
of--
''(A) $2,000, or
''(B) the sum of--
''(i) the compensation includible in such
individual's gross income for the taxable year,
plus
''(ii) the compensation includible in the
gross income of such individual's spouse for
the taxable year reduced by the amount
allowable as a deduction under subsection (a)
to such spouse for such taxable year.
''(2) Individuals to whom paragraph (1) applies.--Paragraph
(1) shall apply to any individual if--
''(A) such individual files a joint return for the
taxable year, and
''(B) the amount of compensation (if any)
includible in such individual's gross income for the
taxable year is less than the compensation includible
in the gross income of such individual's spouse for the
taxable year.''
(b) Conforming Amendments.--
(1) Paragraph (2) of section 219(f) (relating to other
definitions and special rules) is amended by striking
''subsections (b) and (c)'' and inserting ''subsection (b)''.
(2) Section 408(d)(5) is amended by striking ''$2,250'' and
inserting ''$2,000''.
(c) Effective Date.--The amendments made by this section shall
apply to taxable years beginning after December 31, 1994.

SEC. 3. DISTRIBUTIONS FROM CERTAIN PLANS MAY BE USED WITHOUT PENALTY TO
PURCHASE FIRST HOMES, TO PAY HIGHER EDUCATION OR
QUALIFIED LONG-TERM CARE EXPENSES, OR BY THE LONG-TERM
UNEMPLOYED.

(a) In General.--Paragraph (2) of section 72(t) (relating to
exceptions to 10-percent additional tax on early distributions from
qualified retirement plans) is amended by adding at the end the
following new subparagraph:
''(D) Distributions from certain plans for first home
purchases or educational or long-term care expenses.--
Distributions to an individual from an individual retirement
plan, or from amounts attributable to employer contributions
made pursuant to elective deferrals described in subparagraph
(A) or (C) of section 402(g)(3) or section 501(c)(18)(D)(iii)--
''(i) which are qualified first-time homebuyer
distributions (as defined in paragraph (6)), or
''(ii) to the extent such distributions do not
exceed the sum of the qualified higher education
expenses (as defined in paragraph (7)) and the
qualified long-term care expenses (as defined in
paragraph (8)) of the taxpayer for the taxable year.''
(b) Definitions.--Section 72(t) is amended by adding at the end the
following new paragraphs:
''(6) Qualified first-time homebuyer distributions.--For
purposes of paragraph (2)(D)(i)--
''(A) In general.--The term 'qualified first-time
homebuyer distribution' means any payment or
distribution received by an individual to the extent
such payment or distribution is used by the individual
before the close of the 60th day after the day on which
such payment or distribution is received to pay
qualified acquisition costs with respect to a principal
residence of a first-time homebuyer who is such
individual, the spouse of such individual, or the child
or grandchild of such individual or the individual's
spouse.
''(B) Qualified acquisition costs.--For purposes of
this paragraph, the term 'qualified acquisition costs'
means the costs of acquiring, constructing, or
reconstructing a residence. Such term includes any
usual or reasonable settlement, financing, or other
closing costs.
''(C) First-time homebuyer; other definitions.--For
purposes of this paragraph--
''(i) First-time homebuyer.--The term
'first-time homebuyer' means any individual
if--
''(I) such individual (and if
married, such individual's spouse) had
no present ownership interest in a
principal residence during the 3-year
period ending on the date of
acquisition of the principal residence
to which this paragraph applies, and
''(II) subsection (a)(6), (h), or
(k) of section 1034 did not suspend the
running of any period of time specified
in section 1034 with respect to such
individual on the day before the date
the distribution is applied pursuant to
subparagraph (A)(ii).
''(ii) Principal residence.--The term
'principal residence' has the same meaning as
when used in section 1034.
''(iii) Date of acquisition.--The term
'date of acquisition' means the date--
''(I) on which a binding contract
to acquire the principal residence to
which subparagraph (A) applies is
entered into, or
''(II) on which construction or
reconstruction of such a principal
residence is commenced.
''(D) Special rule where delay in acquisition.--If
any distribution from any individual retirement plan
fails to meet the requirements of subparagraph (A)
solely by reason of a delay or cancellation of the
purchase or construction of the residence, the amount
of the distribution may be contributed to an individual
retirement plan as provided in section 408(d)(3)(A)(i)
(determined by substituting '120 days' for '60 days' in
such section), except that--
''(i) section 408(d)(3)(B) shall not be
applied to such contribution, and
''(ii) such amount shall not be taken into
account in determining whether section
408(d)(3)(A)(i) applies to any other amount.
''(7) Qualified higher education expenses.--For purposes of
paragraph (2)(D)(ii)--
''(A) In general.--The term 'qualified higher
education expenses' means tuition, fees, books,
supplies, and equipment required for the enrollment or
attendance of--
''(i) the taxpayer,
''(ii) the taxpayer's spouse, or
''(iii) the child (as defined in section
151(c)(3)) or grandchild of the taxpayer or the
taxpayer's spouse,
at an eligible educational institution (as defined in
section 135(c)(3)).
''(B) Coordination with savings bond provisions.--
The amount of qualified higher education expenses for
any taxable year shall be reduced by any amount
excludable from gross income under section 135.
''(8) Qualified long-term care expenses.--For purposes of
paragraph (2)(D)(ii)--
''(A) In general.--The term 'qualified long-term
care expenses' means amounts paid or incurred for
qualified long-term care services, including amounts
for insurance covering such services.
''(B) Qualified long-term care services.--For
purposes of subparagraph (A)--
''(i) In general.--The term 'qualified
long-term care services' means necessary
diagnostic, preventive, therapeutic,
rehabilitative, and maintenance (including
personal care) services--
''(I) which are required by an
individual during any period during
which such individual is a functionally
impaired individual,
''(II) which have as their primary
purpose the provision of needed
assistance with 1 or more activities of
daily living which a functionally
impaired individual is certified as
being unable to perform under clause
(ii)(I), and
''(III) which are provided pursuant
to a continuing plan of care prescribed
by a licensed health care practitioner
(other than a relative of such
individual).
''(ii) Functionally impaired individual.--
''(I) In general.--The term
'functionally impaired individual'
means any individual who is certified
by a licensed health care practitioner
(other than a relative of such
individual) as being unable to perform,
without substantial assistance from
another individual (including
assistance involving verbal reminding,
physical cueing, or substantial
supervision), at least 3 activities of
daily living described in clause (iii).
''(II) Special rule for home health
care services.--In the case of services
which are provided during any period
during which an individual is residing
within the individual's home (whether
or not the services are provided within
the home), subclause (I) shall be
applied by substituting '2' for '3'.
For purposes of this subclause, a
nursing home or similar facility shall
not be treated as a home.
''(iii) Activities of daily living.--Each
of the following is an activity of daily
living:
''(I) Eating.
''(II) Transferring.
''(III) Toileting.
''(IV) Dressing.
''(V) Bathing.
''(C) Licensed health care practitioner.--For
purposes of subparagraph (B)--
''(i) In general.--The term 'licensed
health care practitioner' means--
''(I) a physician or registered
professional nurse,
''(II) a qualified community care
case manager (as defined in clause
(ii)), or
''(III) any other individual who
meets such requirements as may be
prescribed by the Secretary after
consultation with the Secretary of
Health and Human Services.
''(ii) Qualified community care case
manager.--The term 'qualified community care
case manager' means an individual or entity
which--
''(I) has experience or has been
trained in providing case management
services and in preparing individual
care plans;
''(II) has experience in assessing
individuals to determine their
functional and cognitive impairment;
''(III) is not a relative of the
individual receiving case management
services; and
''(IV) meets such requirements as
may be prescribed by the Secretary
after consultation with the Secretary
of Health and Human Services.
''(D) Relative.--For purposes of this paragraph,
the term 'relative' means an individual bearing a
relationship to another individual which is described
in paragraphs (1) through (8) of section 152(a).''
(c) Penalty-Free Distributions for Certain Unemployed
Individuals.--Paragraph (2) of section 72(t) is amended by adding at
the end the following new subparagraph:
''(E) Distributions to unemployed individuals.--A
distribution from an individual retirement plan to an
individual after separation from employment, if--
''(i) such individual has received
unemployment compensation for 12 consecutive
weeks under any Federal or State unemployment
compensation law by reason of such separation,
and
''(ii) such distributions are made during
any taxable year during which such unemployment
compensation is paid or the succeeding taxable
year.''
(d) Conforming Amendments.--
(1) Section 401(k)(2)(B)(i) is amended by striking ''or''
at the end of subclause (III), by striking ''and'' at the end
of subclause (IV) and inserting ''or'', and by inserting after
subclause (IV) the following new subclause:
''(V) the date on which qualified
first-time homebuyer distributions (as
defined in section 72(t)(6)), or
distributions for qualified higher
education expenses (as defined in
section 72(t)(7)), or for qualified
long-term care expenses (as defined in
section 72(t)(18)), are made, and''.
(2) Section 403(b)(11) is amended by striking ''or'' at the
end of subparagraph (A), by striking the period at the end of
subparagraph (B) and inserting '', or'', and by inserting after
subparagraph (B) the following new subparagraph:
''(C) for qualified first-time homebuyer
distributions (as defined in section 72(t)(6)) or for
the payment of qualified higher education expenses (as
defined in section 72(t)(7)) or qualified long-term
care expenses (as defined in section 72(t)(8)).''
(e) Effective Date.--The amendments made by this section shall
apply to payments and distributions after the date of the enactment of
this Act.

Output: Individual Retirement Account Equity and Enhancement Act of 1994 - Amends the Internal Revenue Code to allow certain spouses a deduction for contributions to an individual retirement account.
Allows distribution from certain retirement plans without penalty to purchase first homes, pay higher education expenses and qualified long-term care expenses, and assist certain unemployed individuals.

Input: Consider Input: -S-E-C-T-I-O-N -1-. -S-H-O-R-T -T-I-T-L-E-.

-T-h-i-s -A-c-t -m-a-y -b-e -r-e-f-e-r-r-e-d -t-o -a-s -t-h-e
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-P-r-o-t-e-c-t-i-o-n -A-c-t -o-f -1-9-9-3-'-'-.

-S-E-C-. -2-. -A-F-F-I-L-I-A-T-E -C-H-A-R-G-E-S-.

-(-a-) -S-e-c-t-i-o-n -2-0-5-(-a-) -o-f -t-h-e -F-e-d-e-r-a-l
-P-o-w-e-r -A-c-t -(-1-6 -U-.-S-.-C-. -8-2-4-d-(-a-)-) -i-s
-a-m-e-n-d-e-d---
-(-1-) -b-y -i-n-s-e-r-t-i-n-g -'-'-(-1-)-'-'
-i-m-m-e-d-i-a-t-e-l-y -a-f-t-e-r -'-'-(-a-)-'-'-; -a-n-d
-(-2-) -b-y -a-d-d-i-n-g -a-t -t-h-e -e-n-d -t-h-e
-f-o-l-l-o-w-i-n-g-:
-'-'-(-2-) -N-o-t-w-i-t-h-s-t-a-n-d-i-n-g -a-n-y -p-r-o-v-i-s-i-o-n
-o-f -t-h-e -P-u-b-l-i-c -U-t-i-l-i-t-y -H-o-l-d-i-n-g -C-o-m-p-a-n-y
-A-c-t -o-f -1-9-3-5-, -i-f -a -p-u-b-l-i-c -u-t-i-l-i-t-y
-e-n-g-a-g-e-s -i-n -a -t-r-a-n-s-a-c-t-i-o-n -w-i-t-h -a-n
-a-f-f-i-l-i-a-t-e-d -c-o-m-p-a-n-y-, -t-h-e -C-o-m-m-i-s-s-i-o-n
-s-h-a-l-l -h-a-v-e -t-h-e -a-u-t-h-o-r-i-t-y -t-o -r-e-v-i-e-w -a-n-d
-d-i-s-a-l-l-o-w -t-h-e -c-o-s-t-s -a-s-s-o-c-i-a-t-e-d -w-i-t-h
-s-u-c-h -t-r-a-n-s-a-c-t-i-o-n -f-o-r -t-h-e -p-u-r-p-o-s-e-s -o-f
-d-e-t-e-r-m-i-n-i-n-g -a -j-u-s-t -a-n-d -r-e-a-s-o-n-a-b-l-e -r-a-t-e
-u-n-d-e-r -s-u-b-s-e-c-t-i-o-n -(-a-)-(-1-)-.-'-'-.
-(-b-) -S-e-c-t-i-o-n -2-0-6-(-a-) -o-f -t-h-e -F-e-d-e-r-a-l
-P-o-w-e-r -A-c-t -(-1-6 -U-.-S-.-C-. -8-2-4-e-(-a-)-) -i-s
-a-m-e-n-d-e-d---
-(-1-) -b-y -i-n-s-e-r-t-i-n-g -'-'-(-1-)-'-'
-i-m-m-e-d-i-a-t-e-l-y -a-f-t-e-r -'-'-(-a-)-'-'-; -a-n-d
-(-2-) -b-y -a-d-d-i-n-g -a-t -t-h-e -e-n-d -t-h-e
-f-o-l-l-o-w-i-n-g-:
-'-'-(-2-) -N-o-t-w-i-t-h-s-t-a-n-d-i-n-g -a-n-y -p-r-o-v-i-s-i-o-n
-o-f -t-h-e -P-u-b-l-i-c -U-t-i-l-i-t-y -H-o-l-d-i-n-g -C-o-m-p-a-n-y
-A-c-t -o-f -1-9-3-5-, -i-f -a -p-u-b-l-i-c -u-t-i-l-i-t-y
-e-n-g-a-g-e-s -i-n -a -t-r-a-n-s-a-c-t-i-o-n -w-i-t-h -a-n
-a-f-f-i-l-i-a-t-e-d -c-o-m-p-a-n-y-, -t-h-e -C-o-m-m-i-s-s-i-o-n
-s-h-a-l-l -h-a-v-e -t-h-e -a-u-t-h-o-r-i-t-y -t-o -r-e-v-i-e-w -a-n-d
-d-i-s-a-l-l-o-w -t-h-e -c-o-s-t-s -a-s-s-o-c-i-a-t-e-d -w-i-t-h
-s-u-c-h -t-r-a-n-s-a-c-t-i-o-n -f-o-r -t-h-e -p-u-r-p-o-s-e-s -o-f
-d-e-t-e-r-m-i-n-i-n-g -a -j-u-s-t -a-n-d -r-e-a-s-o-n-a-b-l-e -r-a-t-e
-u-n-d-e-r -s-u-b-s-e-c-t-i-o-n -(-a-)-(-1-)-.-'-'-.

SECTION 1. SHORT TITLE.

This Act may be cited as the ''Multistate Utility Consumer
Protection Act of 1994''.

SEC. 2. AUTHORITY TO DISALLOW RECOVERY OF CERTAIN COSTS UNDER FEDERAL
POWER ACT.

Section 318 of the Federal Power Act is amended--
(1) by inserting ''(a)'' after ''Sec. 318.''; and
(2) by adding at the end thereof the following new
subsections:
''(b)(1) The Commission shall have the authority to disallow
recovery in jurisdictional rates of any costs incurred by a public
utility pursuant to a transaction that has been authorized under
section 13(b) of the Public Utility Holding Company Act of 1935,
including costs allocated to such public utility in accordance with
subsection (d), if the Commission determines that the recovery of such
costs is unjust, unreasonable, or unduly preferential or discriminatory
under sections 205 or 206 of this Act.
''(2) Nothing in the Public Utility Holding Company Act of 1935, or
any actions taken thereunder, shall prevent a State commission from
exercising its jurisdiction to the extent otherwise authorized under
applicable law with respect to the recovery by a public utility in its
retail rates of costs incurred by such public utility pursuant to a
transaction authorized by the Securities and Exchange Commission under
section 13(b) between an associate company and such public utility,
including costs allocated to such public utility in accordance with
subsection (d).
''(c) In any proceeding of the Commission to consider the recovery
of costs described in subsection (b)(1), there shall be a rebuttable
presumption that such costs are just, reasonable, and not unduly
discriminatory or preferential within the meaning of this Act.
''(d)(1) In any proceeding of the Commission to consider the
recovery of costs, the Commission shall give substantial deference to
an allocation of charges for services, construction work or goods among
associate companies under section 13 of the Public Utility Holding
Company Act of 1935, whether made by rule, regulation, or order of the
Securities and Exchange Commission prior to or following the enactment
of this subsection.
''(2) If the Commission pursuant to subsection (d)(1) establishes
an allocation of charges that differs from an allocation established by
the Securities and Exchange Commission with respect to the same
charges, the allocation established by the Federal Energy Regulatory
Commission shall be effective twelve months from the date of the order
of the Federal Energy Regulatory Commission establishing such
allocation, and binding on the Securities and Exchange Commission as of
that date.
''(e) An allocation of charges for services, construction work, or
goods among associate companies under section 13 of the Public Utility
Holding Company Act of 1935, whether made by rule, regulation, or order
of the Securities and Exchange Commission prior to or following
enactment of this subsection, shall prevent a State commission from
using a different allocation with respect to the assignment of costs to
any associate company.
''(f) Subsection (b) shall not apply to--
''(1) any cost incurred and recovered prior to July 15,
1994, whether or not subject to refund or adjustment; or
''(2) any uncontested settlement approved by the Commission
or a State commission prior to the date of enactment of the
Multistate Utility Consumer Protection Act of 1994.
''(g) Impact on Other Matters.--The enactment of the Multistate
Utility Consumer Protection Act of 1994 shall in no way affect FERC
Docket No. FA89-28.
''(h) Savings Provision.--Section 318(b) of the Federal Power Act
shall not apply to any cost incurred and recovered prior to the date of
enactment of the Multistate Utility Consumer Protection Act of 1994
pursuant to a contract or other arrangement for the sale of fuel from
Windsor Coal Company or Central Ohio Coal Company which has been the
subject of a determination by the Securities and Exchange Commission
prior to the date of enactment of the Multistate Utility Consumer
Protection Act of 1994, or any cost prudently incurred after the date
of enactment of the Multistate Utility Consumer Protection Act of 1994
pursuant to such a contract or other such arrangement on or before
December 31, 2000.''.
Output: Multistate Utility Consumer Protection Act of 1994 - Amends the Federal Power Act to grant the Federal Energy Regulatory Commission (FERC) the power to review and disallow prospectively, for purposes of determining a just and reasonable rate for consumers, certain costs associated with transactions of a public utility holding company and an affiliated company pursuant to contracts regulated by the Securities and Exchange Commission (SEC).
Provides that the Public Utility Holding Company Act does not preempt State utility commission jurisdiction regarding the recovery by a public utility in its retail rates of costs it incurred pursuant to a transaction authorized by the SEC between an associate company and the utility.
Prescribes guidelines for the allocation of costs by the SEC, FERC, and State utility commissions in cross-jurisdictional transactions.
Declares that this Act does not: (1) affect Docket No. FA89-28; and (2) apply to costs incurred or recovered pursuant to certain contracts for the sale of fuel from Windsor Coal Company or Central Ohio Coal Company.