SECTION 1. LIVESTOCK ENERGY INVESTMENT CREDIT.

    (a) In General.--Subpart D of part IV of subchapter A of chapter 1
of the Internal Revenue Code of 1986 is amended by inserting after
section 40A the following new section:

``SEC. 40B. RENEWABLE ENERGY PRODUCED FROM LIVESTOCK WASTE USING EPA-
              VERIFIED TECHNOLOGIES FOR THE COMPREHENSIVE ENVIRONMENTAL
              TREATMENT OF LIVESTOCK WASTE.

    ``(a) In General.--For purposes of section 38, the livestock-
derived renewable energy production credit for any taxable year is an
amount equal to the product of--
            ``(1) $5.56, and
            ``(2) each million British thermal units (mmBtu) of
        livestock-derived renewable energy--
                    ``(A) produced by the taxpayer--
                            ``(i) from qualified energy feedstock,
                            ``(ii) at a qualified facility during the
                        7-year period beginning on the date the
                        facility was originally placed in service, and
                            ``(iii) using an EPA-verified technology
                        that provides comprehensive livestock waste
                        treatment addressing significant reductions to
                        nitrogen and phosphorus nutrient discharges,
                        odor and air emissions including greenhouse
                        gases and ammonia, methane, hydrogen sulfide
                        and volatile organic compounds, and
                    ``(B) either--
                            ``(i) sold by the taxpayer to an unrelated
                        person during the taxable year, or
                            ``(ii) used by the taxpayer during the
                        taxable year.
    ``(b) Definitions.--For purposes of this section--
            ``(1) Livestock-derived renewable energy.--The term
        `livestock-derived renewable energy' means fuel which is
        derived by processing qualified energy feedstock.
            ``(2) Qualified energy feedstock.--
                    ``(A) In general.--The term `qualified energy
                feedstock' means--
                            ``(i) manure of livestock (including any
                        litter, wood shavings, straw, rice hulls,
                        bedding material, and other materials
                        incidentally collected with the manure),
                            ``(ii) any nonhazardous, organic
                        agricultural or food industry byproduct or
                        waste material (cellulosic or otherwise)
                        derived from--
                                    ``(I) renewable biomass,
                                    ``(II) harvesting residue,
                                    ``(III) any waste or byproduct from
                                fermentation processes, ethanol
                                production, biodiesel production,
                                slaughter of livestock, food
                                production, food processing, or food
                                service, or
                                    ``(IV) other organic wastes,
                                byproducts, or sources,
                            ``(iii) solid wood waste materials,
                        including waste pallets, crates, dunnage,
                        manufacturing and construction wood wastes, and
                        tree trimmings, or
                            ``(iv) agricultural or forestry crops.
                    ``(B) Renewable biomass.--The term `renewable
                biomass' means materials from pre-commercial thinning
                or invasive species from National Forest System land
                and public lands (as defined in section 103 of the
                Federal Land Policy and Management Act of 1976 (43
                U.S.C. 1702)) that--
                            ``(i)(I) are byproducts of preventive
                        treatments that are removed--
                                    ``(aa) to reduce or contain disease
                                or insect infestation, or
                                    ``(bb) to restore ecosystem health,
                            ``(II) would not otherwise be used for
                        higher-value products, and
                            ``(III) are harvested in accordance with
                        applicable law and land management plans and
                        the requirements for--
                                    ``(aa) old-growth maintenance,
                                restoration, and management direction
                                of paragraphs (2), (3), and (4) of
                                subsection (e) of section 102 of the
                                Healthy Forests Restoration Act of 2003
                                (16 U.S.C. 6512), and
                                    ``(bb) large tree retention of
                                subsection (f) of that section, or
                            ``(ii) any organic matter that is available
                        on a renewable or recurring basis from non-
                        Federal land or land belonging to an Indian or
                        Indian tribe that is held in trust by the
                        United States or subject to a restriction
                        against alienation imposed by the United
                        States, including--
                                    ``(I) renewable plant material
                                (such as feed grains, other
                                agricultural commodities, other plants
                                and trees, and algae), and
                                    ``(II) waste material (such as crop
                                residue, other vegetative waste
                                material (including wood waste and wood
                                residues), animal waste and byproducts
                                (including fats, oils, greases, and
                                manure), food waste, and yard waste).
                    ``(C) Livestock.--The term `livestock' includes
                poultry, cattle, sheep, swine, goats, horses, mules,
                and other equines.
            ``(3) Qualified facility.--The term `qualified facility'
        means a facility--
                    ``(A) which is owned by the taxpayer,
                    ``(B) which is located in the United States,
                    ``(C) which is originally placed in service before
                January 1, 2018, and
                    ``(D) the livestock-derived renewable energy output
                of which is--
                            ``(i) marketed through interconnection with
                        a gas distribution or transmission pipeline, or
                            ``(ii) used on-site or off-site in a
                        quantity that is sufficient to offset the
                        consumption of at least 50,000 mmBtu annually
                        of commercially marketed fuel derived from
                        coal, crude oil, natural gas, propane, or other
                        fossil fuel.
            ``(4) EPA-verified technology.--The term `EPA-verified
        technology' means any technology the performance of which is
        verified by the Environmental Technology Verification Program
        of the Environmental Protection Agency.
    ``(c) Reduction of Credit Based on Market Price of Btus.--
            ``(1) In general.--If the market price per mmBtu's exceeds
        $11, the amount otherwise applicable under subsection (a)(1)
        for the taxable year (without regard to paragraph (1)) shall be
        reduced (but not below zero) by the amount which bears the same
        ratio to the amount otherwise so applicable as such excess
        bears to $5.
            ``(2) Rounding.--Any reduction determined under
        subparagraph (A) which is not a multiple of 10 cents shall be
        rounded to the nearest multiple of 10 cents.
            ``(3) Market price.--For purposes of this paragraph, the
        market price per mmBtu for any taxable year shall be the daily
        average market price per mmBtu on the Chicago exchange during
        the 3-month period ending at the close of the preceding taxable
        year.
    ``(d) Special Rules.--For purposes of this section--
            ``(1) Production attributable to the taxpayer.--In the case
        of a facility in which more than 1 person has an ownership
        interest, except to the extent provided in regulations
        prescribed by the Secretary, production from the qualified
        facility shall be allocated among such persons in proportion to
        their respective ownership interests in the gross sales from
        such qualified facility.
            ``(2) Related persons.--Persons shall be treated as related
        to each other if such persons would be treated as a single
        employer under the regulations prescribed under section 52(b).
        In the case of a corporation which is a member of an affiliated
        group of corporations filing a consolidated return, such
        corporation shall be treated as selling livestock-derived
        renewable energy to an unrelated person if such biogas is sold
        to such a person by another member of such group.
            ``(3) Pass-thru in the case of estates and trusts.--Under
        regulations prescribed by the Secretary, rules similar to the
        rules of subsection (d) of section 52 shall apply.
            ``(4) Coordination with credit from producing fuel from a
        nonconventional source.--The amount of livestock-derived
        renewable energy produced and sold or used by the taxpayer
        during any taxable year which is taken into account under this
        section shall be reduced by the amount of livestock-derived
        renewable energy produced and sold by the taxpayer in such
        taxable year which is taken into account under section 45K.
            ``(5) Credit eligibility in the case of government-owned
        facilities using poultry waste.--In the case of a facility
        using poultry waste to produce livestock-derived renewable
        energy and owned by a governmental unit, subparagraph (B) of
        subsection (b)(3) shall be applied by substituting `is leased
        or operated by the taxpayer' for `is owned by the taxpayer'.
    ``(e) Transferability of Credit.--
            ``(1) In general.--A taxpayer may transfer the credit under
        this section through an assignment to any person. Such transfer
        may be revoked only with the consent of the Secretary.
            ``(2) Regulations.--The Secretary shall prescribe such
        regulations as necessary to ensure that any credit transferred
        under paragraph (1) is claimed once and not reassigned by such
        other person.
    ``(f) Adjustment Based on Inflation.--
            ``(1) In general.--The $5.56 amount in subsection (a)(1)
        and the $11 amount in subsection (c)(2)(A) shall each be
        adjusted by multiplying such amount by the inflation adjustment
        factor for the calendar year in which the sale occurs. If any
        amount as increased under the preceding sentence is not a
        multiple of 0.1 cent, such amount shall be rounded to the
        nearest multiple of 0.1 cent.
            ``(2) Computation of inflation adjustment factor.--
                    ``(A) In general.--The Secretary shall, not later
                than April 1 of each calendar year, determine and
                publish in the Federal Register the inflation
                adjustment factor in accordance with this paragraph.
                    ``(B) Inflation adjustment factor.--The term
                `inflation adjustment factor' means, with respect to a
                calendar year, a fraction the numerator of which is the
                GDP implicit price deflator for the preceding calendar
                year and the denominator of which is the GDP implicit
                price deflator for calendar year 2007. The term `GDP
                implicit price deflator' means the most recent revision
                of the implicit price deflator for the gross domestic
                product as computed and published by the Department of
                Commerce before March 15 of the calendar year.''.
    (b) Credit Treated as Business Credit.--Section 38(b) of such Code
is amended by striking ``plus'' at the end of paragraph (30), by
striking the period at the end of paragraph (31) and inserting ``,
plus'', and by adding at the end the following new paragraph:
            ``(32) the livestock-derived renewable energy production
        credit under section 40B(a).''.
    (c) Credit Allowed Against Amt.--Section 38(c)(4)(B) of such Code
is amended by striking ``and'' at the end of clause (i), by striking
the period at the end of clause (ii)(II) and inserting ``, and'', and
by adding at the end the following new clause:
                            ``(iii) the credit determined under section
                        40B.''.
    (d) Clerical Amendment.--The table of sections for subpart D of
part IV of subchapter A of chapter 1 of such Code is amended by
inserting after the item relating to section 40A the following new
item:

``Sec. 40B. Renewable energy produced from livestock waste using EPA-
                            verified technologies for the comprehensive
                            environmental treatment of livestock
                            waste.''.
    (e) Effective Date.--The amendments made by this section shall
apply to energy produced, and sold or used, in taxable years beginning
after the date of the enactment of this Act.

Summary: Amends the Internal Revenue Code to allow a business-related tax credit for: (1) the production of renewable energy from qualified energy feedstock using a technology verified by the Environmental Protection Agency (EPA). And (2) the sale or use of such energy. Defines qualified energy feedstock to include manure of livestock, any nonhazardous, organic agricultural or food industry byproduct or waste material derived from renewable biomass, solid wood waste materials, or agricultural or forestry crops. Allows such credit to offset alternative minimum tax (AMT) liability.

To amend the Internal Revenue Code of 1986 to provide for a livestock energy investment credit.


SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Smoke Free Mothers and Babies Act of
2006''.

SEC. 2. FINDINGS.

    Congress makes the following findings:
            (1) At least 1 out of every 10 pregnant women in the United
        States smokes, which accounts for over 500,000 births per year.
            (2) Tobacco use during pregnancy causes serious harm to the
        fetus. Fetal mortality rates are 35 percent higher among
        pregnant women who smoke than among nonsmokers and the Surgeon
        General reports that a pregnant woman who smokes is 1.5 to 3.5
        times more likely than a non-smoker to have a low birth weight
        baby.
            (3) Studies have found that smoking and exposure to
        secondhand smoke among pregnant women is a major cause of
        miscarriage, stillbirths, and sudden infant death syndrome
        (SIDS).
            (4) Preventing just 1 smoking-related low birth weight baby
        can save more than $40,000 in health care expenditures.
            (5) For every $1 spent on smoking cessation for pregnant
        women, an estimated $3 in neonatal intensive care costs could
        be avoided.
            (6) Such expenditures have a disproportionate impact on
        Medicaid, with estimates indicating that pregnant women on
        Medicaid are 2.5 times more likely to smoke than pregnant women
        not on Medicaid. Smoking-attributable neonatal health care
        costs are estimated to be $1,400,000,000 to $2,000,000,000
        annually, and such costs for Medicaid total almost
        $228,000,000, that is, approximately, $738 per pregnant smoker.
            (7) States this year will collect $21,300,000,000 from the
        Master Settlement Agreement of November 23, 1998, between
        participating tobacco manufacturers and Attorneys General of 46
        States, the District of Columbia, the Commonwealth of Puerto
        Rico, and 4 territories of the United States, other settlement
        agreements between companies within the tobacco industry and
        the States of Mississippi, Florida, Texas, and Minnesota, and
        tobacco taxes (an increase from $20,000,000,000 in fiscal year
        2005). States are spending only 2.6 percent of their tobacco
        revenue on tobacco prevention and cessation.
            (8) Evidence shows that the cuts States have made in
        tobacco prevention funding since 2002 have slowed or possibly
        stalled recent declines in youth smoking, putting further
        progress at risk.

SEC. 3. PROMOTING CESSATION OF TOBACCO USE BY PREGNANT WOMEN UNDER THE
              MEDICAID PROGRAM.

    (a) Requiring Coverage of Counseling and Pharmacotherapy for
Cessation of Tobacco Use by Pregnant Women.--Section 1905 of the Social
Security Act (42 U.S.C. 1396d(a)(4)) is amended--
            (1) in subsection (a)(4)--
                    (A) by striking ``and'' before ``(C)''; and
                    (B) by inserting before the semicolon at the end
                the following new subparagraph: ``; and (D) counseling
                and pharmacotherapy for cessation of tobacco use by
                pregnant women (as defined in subsection (y))''; and
            (2) by adding at the end the following:
    ``(y)(1) For purposes of this title, the term `counseling and
pharmacotherapy for cessation of tobacco use by pregnant women' means
diagnostic, therapy, and counseling services and pharmacotherapy
(including the coverage of prescription and nonprescription tobacco
cessation agents approved by the Food and Drug Administration) for
cessation of tobacco use by pregnant women who use tobacco products or
who are being treated for tobacco use that is furnished--
            ``(A) by or under the supervision of a physician; or
            ``(B) by any other health care professional who--
                    ``(i) is legally authorized to furnish such
                services under State law (or the State regulatory
                mechanism provided by State law) of the State in which
                the services are furnished; and
                    ``(ii) is authorized to receive payment for other
                services under this title or is designated by the
                Secretary for this purpose.
    ``(2) Subject to paragraph (3), such term is limited to--
            ``(A) services recommended with respect to pregnant women
        in `Treating Tobacco Use and Dependence: A Clinical Practice
        Guideline', published by the Public Health Service in June
        2000, or any subsequent modification of such Guideline; and
            ``(B) such other services that the Secretary recognizes to
        be effective for cessation of tobacco use by pregnant women.
    ``(3) Such term shall not include coverage for drugs or biologicals
that are not otherwise covered under this title.''.
    (b) Exception From Optional Restriction Under Medicaid Prescription
Drug Coverage.--Section 1927(d)(2) of the Social Security Act (42
U.S.C. 1396r-8(d)(2)) is amended--
            (1) in subparagraph (E), by inserting before the period at
        the end the following: ``, except in the case of pregnant women
        when recommended in accordance with the Guideline referred to
        in section 1905(y)(2)(A)''; and
            (2) in subparagraph (G), by inserting before the period at
        the end the following: ``, except, in the case of pregnant
        women when recommended in accordance with the Guideline
        referred to in section 1905(y)(2)(A), agents approved by the
        Food and Drug Administration for purposes of promoting, and
        when used to promote, tobacco cessation''.
    (c) Removal of Cost-Sharing for Counseling and Pharmacotherapy for
Cessation of Tobacco Use by Pregnant Women.--
            (1) General cost sharing limitations.--Section 1916 of the
        Social Security Act (42 U.S.C. 1396o) is amended in each of
        subsections (a)(2)(B) and (b)(2)(B) by inserting ``, and
        counseling and pharmacotherapy for cessation of tobacco use by
        pregnant women (as defined in section 1905(y)) and covered
        outpatient drugs (as defined in subsection (k)(2) of section
        1927 and including nonprescription drugs described in
        subsection (d)(2) of such section) that are prescribed for
        purposes of promoting, and when used to promote, tobacco
        cessation by pregnant women in accordance with the Guideline
        referred to in section 1905(y)(2)(A)'' after ``complicate the
        pregnancy''.
            (2) Application to alternative cost sharing.--Section
        1916A(b)(3)(B)(iii) of such Act (42 U.S.C. 1396o-
        1(b)(3)(B)(iii)) is amended by inserting ``, and counseling and
        pharmacotherapy for cessation of tobacco use by pregnant women
        (as defined in section 1905(y))'' after ``complicate the
        pregnancy''.
    (d) Increased FMAP for Tobacco Cessation Counseling Services and
Medications.--The first sentence of section 1905(b) of the Social
Security Act (42 U.S.C. 1396d(b)) is amended by inserting the following
before the period: ``, or medical assistance for counseling and
pharmacotherapy for cessation of tobacco use by pregnant women (as
defined in subsection (y)) and for covered outpatient drugs (as defined
in subsection (k)(2) of section 1927 and including nonprescription
drugs described in subsection (d)(2) of such section) that are
prescribed for purposes of promoting, and when used to promote, tobacco
cessation by pregnant women in accordance with the Guideline referred
to in subsection (y)(2)(A)''.
    (e) Effective Date.--The amendments made by this section shall
apply to services furnished on or after the first fiscal year quarter
that begins after the date of enactment of this Act.

Summary: Smoke Free Mothers and Babies Act of 2006 - Amends title XIX (Medicaid) of the Social Security Act to require coverage, without cost-sharing, of counseling and pharmacotherapy for cessation of tobacco use by pregnant women. Provides for an increased federal medical assistance percentage (FMAP) for tobacco cessation counseling services and medications.

A bill to amend title XIX of the Social Security Act to encourage States to provide pregnant women enrolled in the Medicaid program with access to comprehensive tobacco cessation services.


SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Debbie Smith Act''.

SEC. 2. AUTHORIZATION OF GRANTS FOR TRAINING IN THE HANDLING OF SEXUAL
              ASSAULT CASES.

    (a) Authorization of Grants.--The Attorney General may make grants
to eligible States for use by the State to carry out sexual assault
nurse examiner programs and to train law enforcement personnel and
first responders in the handling of sexual assault cases and the
collection and use of DNA samples for use as forensic evidence.
    (b) Eligibility.--For a State to be eligible to receive a grant
under this section, the chief executive officer of the State shall
submit to the Attorney General an application in such form and
containing such information as the Attorney General may require. The
application shall include a certification that the State shall comply
with the quality assurance standards for collecting and processing
samples issued by the Director of the Federal Bureau of Investigation
under section 210303 of the DNA Identification Act of 1994.
    (c) Restrictions on Use of Funds.--
            (1) Nonsupplanting.--Funds made available pursuant to this
        section shall not be used to supplant State funds, but shall be
        used to increase the amount of funds that would, in the absence
        of Federal funds, be made available from State sources for the
        purposes of this Act.
            (2) Administrative costs.--A State may not use more than 3
        percent of the funds it receives from this section for
        administrative expenses.
    (d) Reports to the Attorney General.--Each State which receives a
grant under this section shall submit to the Attorney General, for each
year in which funds from a grant received under this section is
expended, a report at such time and in such manner as the Attorney
General may reasonably require, which contains--
            (1) a summary of the activities carried out under the grant
        and an assessment of whether such activities are meeting the
        needs identified in the application; and
            (2) such other information as the Attorney General may
        require.
    (e) Reports to Congress.--Not later than 90 days after the end of
each fiscal year for which grants are made under this section, the
Attorney General shall submit to the Congress a report that includes--
            (1) the aggregate amount of grants made under this section
        to each State for such fiscal year; and
            (2) a summary of the information provided by States
        receiving grants under this section.
    (f) Expenditure Records.--
            (1) In general.--Each State which receives a grant under
        this section shall keep records as the Attorney General may
        require to facilitate an effective audit of the receipt and use
        of grant funds received under this section.
            (2) Access.--Each State which receives a grant under this
        section shall make available, for the purpose of audit and
        examination, such records as are related to the receipt or use
        of any such grant.
    (g) Definition.--For purposes of this section, the term ``State''
means a State of the United States, the District of Columbia, the
Commonwealth of Puerto Rico, the United States Virgin Islands, American
Samoa, Guam, and the Northern Mariana Islands.
    (h) Authorization of Appropriations.--Amounts are authorized to be
appropriated to the Attorney General for grants under subsection (a)--
            (1) $150,000,000 for fiscal year 2002;
            (2) $30,000,000 for fiscal year 2003; and
            (3) $30,000,000 for fiscal year 2004.

SEC. 3. QUALITY ASSURANCE STANDARDS FOR FORENSIC EVIDENCE COLLECTION
              KITS.

    Section 210303 of the Violent Crime Control and Law Enforcement Act
of 1994 (42 U.S.C. 14131) is amended--
            (1) in subsection (a)(1)(C)--
                    (A) by striking ``including standards for testing''
                and inserting ``including standards for--
            ``(i) testing'';
                    (B) by striking the period at the end and inserting
                ``; and''; and
                    (C) by adding at the end the following new clause:
            ``(ii) collecting and processing, for use as forensic
        evidence, samples on which DNA analysis may be carried out.'';
        and
            (2) in subsection (a)(2)--
                    (A) by striking ``including standards for testing''
                and inserting ``including standards for--
            ``(A) testing'';
                    (B) by striking the period at the end and inserting
                ``; and''; and
                    (C) by adding at the end the following new
                subparagraph:
            ``(B) collecting and processing, for use as forensic
        evidence, samples on which DNA analysis may be carried out.''.

SEC. 4. AUTHORIZATION OF GRANTS TO CARRY OUT DNA ANALYSES OF SAMPLES
              FROM CRIME SCENES.

    (a) Authorization of Grants.--The Attorney General may make grants
to eligible States for use by the State to carry out, for inclusion in
the Combined DNA Index System of the Federal Bureau of Investigation,
DNA analyses of samples from crime scenes.
    (b) Eligibility.--For a State to be eligible to receive a grant
under this section, the chief executive officer of the State shall
submit to the Attorney General an application in such form and
containing such information as the Attorney General may require. The
application shall--
            (1) provide assurances that the State has a plan in place,
        to be fully effective not later than five years after the date
        of such application, under which, for each sample specified in
        subsection (a), DNA analysis is carried out on the sample not
        later than 10 days after the sample was obtained; and
            (2) include a certification that each DNA analysis carried
        out under the plan shall be maintained pursuant to the privacy
        requirements described in section 210304(b)(3) of the Violent
        Crime Control and Law Enforcement Act of 1994 (42 U.S.C.
        14132(b)(3)).
    (c) Restrictions on Use of Funds.--
            (1) Nonsupplanting.--Funds made available pursuant to this
        section shall not be used to supplant State funds, but shall be
        used to increase the amount of funds that would, in the absence
        of Federal funds, be made available from State sources for the
        purposes of this Act.
            (2) Administrative costs.--A State may not use more than 3
        percent of the funds it receives from this section for
        administrative expenses.
    (d) Reports to the Attorney General.--Each State which receives a
grant under this section shall submit to the Attorney General, for each
year in which funds from a grant received under this section is
expended, a report at such time and in such manner as the Attorney
General may reasonably require, which contains--
            (1) a summary of the activities carried out under the grant
        and an assessment of whether such activities are meeting the
        needs identified in the application; and
            (2) such other information as the Attorney General may
        require.
    (e) Reports to Congress.--Not later than 90 days after the end of
each fiscal year for which grants are made under this section, the
Attorney General shall submit to the Congress a report that includes--
            (1) the aggregate amount of grants made under this section
        to each State for such fiscal year; and
            (2) a summary of the information provided by States
        receiving grants under this section.
    (f) Expenditure Records.--
            (1) In general.--Each State which receives a grant under
        this section shall keep records as the Attorney General may
        require to facilitate an effective audit of the receipt and use
        of grant funds received under this section.
            (2) Access.--Each State which receives a grant under this
        section shall make available, for the purpose of audit and
        examination, such records as are related to the receipt or use
        of any such grant.
    (g) Definition.--For purposes of this section, the term ``State''
means a State of the United States, the District of Columbia, the
Commonwealth of Puerto Rico, the United States Virgin Islands, American
Samoa, Guam, and the Northern Mariana Islands.
    (h) Authorization of Appropriations.--Amounts are authorized to be
appropriated to the Attorney General for grants under subsection (a)--
            (1) $100,000,000 for fiscal year 2002;
            (2) $50,000,000 for fiscal year 2003; and
            (3) $50,000,000 for fiscal year 2004.

Summary: Debbie Smith Act - Authorizes the Attorney General to make grants to eligible States to carry out sexual assault nurse examiner programs and to train law enforcement personnel and first responders in the handling of sexual assault cases and the collection and use of DNA samples for forensic evidence. Provides that for a State to be eligible to receive a grant, the chief executive officer of the State shall submit to the Attorney General an application which shall include a certification that the State shall comply with specified quality assurance standards. Sets forth provisions regarding restrictions on the use of funds and expenditure records. Amends the Violent Crime Control and Law Enforcement Act of 1994 to require the Director of the Federal Bureau of Investigation (FBI) to issue standards for collecting and processing, for use as forensic evidence, samples on which DNA analysis may be carried out. Authorizes the Attorney General to make grants to eligible States to carry out DNA analyses of samples from crime scenes for inclusion in the FBI's Combined DNA Index System. Sets forth provisions regarding State eligibility, restrictions on uses of funds, and expenditure records.

To make grants to train sexual assault nurse examiners, law enforcement personnel, and first responders in the handling of sexual assault cases, to establish minimum standards for forensic evidence collection kits, to carry out DNA analyses of samples from crime scenes, and for other purposes.


SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Consumer Protection and Choice
Act''.

SEC. 2. DEFERRED PRESENTMENT TRANSACTION REQUIREMENTS.

    (a) In General.--Chapter 2 of the Truth in Lending Act is amended
by inserting after section 128A (15 U.S.C. 1638A) the following new
section:
``Sec. 128B. Deferred presentment transaction requirements
    ``(a) Prohibition on Deferred Presentment Transactions.--A deferred
presentment transaction is prohibited except as authorized by this
section.
    ``(b) Regulation of Deferred Presentment Transactions and Deferred
Presentment Providers.--If the Director of the Bureau determines that a
State has in effect a covered deferred presentment law, any regulations
of the Bureau with respect to deferred presentment transactions and
deferred presentment providers shall not apply in such State.
    ``(c) Covered Deferred Presentment Law Defined.--For purposes of
this section, the term `covered deferred presentment law' means a law
or regulation of a State that provides for the licensing of deferred
presentment providers and the regulation of deferred presentment
transactions, which may be accomplished through existing State
authority, and that meets the following requirements:
            ``(1) Database.--The law or regulation must establish a
        database of deferred presentment transactions to assist
        deferred presentment providers with complying with the
        requirements of this section, which may be operated by a
        private company selected by the State.
            ``(2) Deferred presentment provider requirements.--The law
        or regulation must require a deferred presentment provider to--
                    ``(A) be licensed by the State;
                    ``(B) provide to the State the results of a
                background check, including fingerprinting, of each
                officer and principal of the deferred presentment
                provider;
                    ``(C) secure a copy of a valid State-issued form of
                identification from a consumer before entering into a
                deferred presentment transaction;
                    ``(D) verify through the State deferred presentment
                transaction database that a consumer entering into a
                deferred presentment transaction with the deferred
                presentment provider--
                            ``(i) does not have an outstanding deferred
                        presentment transaction; and
                            ``(ii) did not have an outstanding deferred
                        presentment transaction within the previous 24-
                        hour period; and
                    ``(E) report to the State deferred presentment
                transaction database operator immediately--
                            ``(i) upon entering into a deferred
                        presentment transaction agreement--
                                    ``(I) the name of the consumer that
                                provided a check or other payment
                                instrument for deferred presentment;
                                    ``(II) the consumer's social
                                security number or employment
                                authorization alien number;
                                    ``(III) the consumer's address;
                                    ``(IV) the consumer's driver's
                                license number or identifier from other
                                valid State-issued form of
                                identification;
                                    ``(V) the amount of the deferred
                                presentment transaction;
                                    ``(VI) the date such deferred
                                presentment transaction is made and the
                                date on which repayment of the deferred
                                presentment transaction is due; and
                                    ``(VII) such other information as
                                the State determines appropriate; and
                            ``(ii) upon repayment by the consumer of
                        the amount owed under a deferred presentment
                        transaction agreement or after such deferred
                        presentment transaction agreement is otherwise
                        settled, the date and time on which the amount
                        owed under such deferred presentment
                        transaction agreement is satisfied.
            ``(3) Deferred presentment transaction agreement
        requirements.--The law or regulation must require that the
        terms of a deferred presentment transaction agreement--
                    ``(A) limit the total amount of all interest and
                fees that may be charged to a consumer by a deferred
                presentment provider with respect to a deferred
                presentment transaction to no more than 10 percent of
                the amount of such a deferred presentment transaction
                and no more than a $5 processing fee;
                    ``(B) limit the duration of the deferred
                presentment transaction to a period no longer than 31
                days or less than 7 days;
                    ``(C) limit the amount of the deferred presentment
                transaction to no more than $500, exclusive of allowed
                fees;
                    ``(D) be in writing;
                    ``(E) provide that the consumer shall--
                            ``(i) have the right to rescind any
                        deferred presentment transaction agreement
                        within the first 24 hours of the deferment
                        period; and
                            ``(ii) pay any allowable processing fee
                        regardless of such rescission; and
                    ``(F) include such other information as the State
                determines to be appropriate.
            ``(4) Treatment of past-due amounts.--The law or regulation
        must require that if a consumer fails to repay the amount due
        pursuant to a deferred presentment transaction agreement by the
        contractual repayment date, a deferred presentment provider
        shall provide an additional 60-day grace period, without any
        additional charge, for the consumer to repay such amount before
        the deferred presentment provider may request payment for the
        check or other payment instrument or pursue other civil
        remedies, subject to the conditions that the grace period
        will--
                    ``(A) terminate immediately if, before the end of
                the 7-day period beginning on the date of the
                contractual repayment date, the consumer failed to make
                an appointment to attend a course with a consumer
                credit counseling agency and inform the deferred
                presentment provider of such appointment; and
                    ``(B) be deemed to have terminated at the end of
                the 7-day period beginning on the date of the
                contractual repayment date if, before the end of the
                60-day period beginning on the date of the contractual
                repayment date, the consumer failed to complete a
                course with a consumer credit counseling agency and
                inform the deferred presentment provider of the
                completion of such course.
    ``(d) Compliance.--A deferred presentment transaction that complies
with the requirements of this section and applicable State law shall
not be considered to be an unfair, deceptive, or abusive act or
practice.
    ``(e) Effective Date.--The requirements of this section shall take
effect on the date that is 24 months after the date of the enactment of
this section.
    ``(f) Definitions.--For purposes of this section:
            ``(1) Deferment period.--The term `deferment period' means
        the number of days a deferred presentment provider agrees to
        wait before depositing, presenting, or redeeming a consumer's
        check or other payment instrument under a deferred presentment
        transaction agreement.
            ``(2) Deferred presentment provider.--The term `deferred
        presentment provider' means a person who holds a license to be
        a deferred presentment provider in the State in which a
        deferred presentment transaction agreement is entered into and
        who provides currency or other payment instrument to a consumer
        as part of a deferred presentment transaction.
            ``(3) Deferred presentment transaction.--The term `deferred
        presentment transaction' means a transaction in which currency
        or other payment instrument is provided to a consumer in
        exchange for a consumer's check or other payment instrument and
        an agreement that such consumer's check or other payment
        instrument shall be held for a deferment period prior to
        presentment, deposit, or redemption.
            ``(4) Deferred presentment transaction agreement.--The term
        `deferred presentment transaction agreement' means the
        underlying agreement establishing a deferred presentment
        transaction.
            ``(5) Other payment instrument.--The term `other payment
        instrument' means a draft, warrant, money order, traveler's
        check, or electronic instrument (other than currency).
            ``(6) State.--The term `State' means each of the several
        States, the District of Columbia, and each territory and
        possession of the United States.
            ``(7) State deferred presentment transaction database.--The
        term `State deferred presentment transaction database' means
        the database established by the State that issued the
        consumer's form of identification.''.
    (b) Clerical Amendment.--The table of contents at the beginning of
chapter 2 of the Truth in Lending Act is amended by inserting after the
item relating to section 128A the following new item:

``128B. Deferred presentment transaction requirements.''.

SEC. 3. MORATORIUM AND SAFE HARBOR.

    (a) Moratorium.--The Bureau of Consumer Financial Protection may
not promulgate or enforce any regulation related to deferred
presentment providers with respect to deferred presentment transactions
during the 24-month period beginning on the date of enactment of this
Act.
    (b) Safe Harbor.--The Bureau of Consumer Financial Protection may
not impose any additional requirements related to deferred presentment
providers with respect to deferred presentment transactions in a State
if such State has enacted a covered deferred presentment law by the
effective date in subsection (e) of section 128B of the Truth in
Lending Act, as added by section 2(a).
    (c) Payday Loans.--The Bureau of Consumer Financial Protection--
            (1) may not regulate payday loans during the 24-month
        period beginning on the date of enactment of this Act; and
            (2) may regulate payday loans in a State after such period
        only if such State has not enacted a covered deferred
        presentment law.
    (d) Definitions.--For purposes of this section:
            (1) TILA definitions.--The terms ``covered deferred
        presentment law'', ``deferred presentment provider'',
        ``deferred presentment transaction'', and ``State'' shall have
        the meanings given such terms under section 128B of the Truth
        in Lending Act, as added by section 2(a).
            (2) Payday loan.--The term ``payday loan'' means a loan
        described under section 1024(a)(1)(E) of Public Law 111-203 (12
        U.S.C. 5514(a)(1)(E)), except that such term does not include a
        deferred presentment transaction.

Summary: Consumer Protection and Choice Act This bill amends the Truth in Lending Act to prohibit a deferred presentment transaction except as provided under this Act. A deferred presentment transaction is one in which currency or other payment is provided to a consumer in exchange for a consumer's check or other payment instrument and an agreement that such check or payment instrument shall be held for a deferment period prior to presentment, deposit, or redemption. If the Consumer Financial Protection Bureau (CFPB) determines that a state has in effect a law that provides for the licensing of deferred presentment providers and the regulation of deferred presentment transactions, and that meets the requirements specified by this Act, any CFPB regulations concerning such transactions and providers shall not apply in such state. Such a state law must: require a provider to be licensed by the state, establish a transaction database. Require a provider to verify through such database that a consumer entering into such a transaction does not have an outstanding transaction. Require a provider to report immediately to such database information about each transaction entered into and each transaction paid or settled. Require that a transaction agreement be in writing and allow the consumer to rescind the agreement within the first 24 hours. Require a transaction agreement to limit the interest and fees to no more that 10 of the transaction amount, the processing fee to $5, the transaction amount to $500, and the duration of the transaction to no less than 7 days and no more than 31 days. And allow a 60-day grace period after the contractual repayment date for a consumer to repay the amount due, subject to early termination if a consumer fails to complete a course with a consumer credit counseling agency. The bill makes these changes effective 24 months after enactment and prohibits the CFPB from establishing or enforcing any regulation governing deferred presentment transactions or payday loans during such period.

Consumer Protection and Choice Act


SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Modernizing Outdated and Vulnerable
Equipment and Information Technology Act of 2016'' or the ``MOVE IT
Act''.

SEC. 2. FINDINGS AND PURPOSES.

    (a) Findings.--Congress finds the following:
            (1) National Institute of Standards and Technology Special
        Publication 800-145 describes cloud computing as an evolving
        paradigm for information technology that is a model for
        enabling ubiquitous, convenient, on-demand network access to a
        shared pool of configurable computing resources (i.e.,
        networks, servers, storage, applications, and services) that
        can be rapidly provisioned and released with minimal management
        effort or service provider interaction.
            (2) Together, the efficiencies, cost savings, and greater
        computing power enabled by cloud computing has the potential
        to--
                    (A) eliminate inappropriate duplication, reduce
                costs, and address waste, fraud, and abuse in providing
                Government services that are publicly available;
                    (B) address the critical need for cybersecurity by
                design; and
                    (C) move the Federal Government into a broad
                digital-services delivery model that could transform
                the fashion in which the Federal Government provides
                services to the people of the United States.
    (b) Purposes.--The purposes of this Act are to--
            (1) accelerate the acquisition and deployment of cloud
        computing services by addressing key impediments and roadblocks
        in funding, development, and acquisition practices;
            (2) support and expand an efficient Federal certification
        standard for qualifying cloud services providers under the
        Federal Risk and Authorization Management Program using a
        ``qualify once, use many times'' efficiency model that strikes
        an appropriate balance between--
                    (A) encouraging the adoption of strong security
                practices to protect against the harm of cyber
                intrusions and hacks; and
                    (B) avoiding the imposition of unduly burdensome
                and restrictive requirements on cloud computing service
                providers that would deter investment in innovative
                cloud computing services;
            (3) assist agencies in migrating to cloud computing
        services by providing guidance and oversight of agency
        enterprise-wide information technology portfolios suitable for
        and identifiable as suitable for a cloud-based delivery model;
        and
            (4) provide for Federal agencies to procure cloud computing
        services that adhere to sound security practices.

SEC. 3. FEDERAL RISK AND AUTHORIZATION MANAGEMENT PROGRAM.

    (a) In General.--Except as provided under subsection (b), a covered
agency may not store or process Government information on a Federal
information system with any cloud service provider, unless the provider
has an authorization to operate, or a provisional authorization to
operate, covering the proposed scope of work, from the covered agency
or the Joint Authorization Board. A covered agency operating under a
provisional authorization to operate shall issue an authorization to
operate as soon as practicable and may not rely on the provisional
authorization to operate for the duration of the scope of work.
    (b) Waiver of Requirements.--
            (1) In general.--The Director of National Intelligence, or
        a designee of the Director, may waive the applicability to any
        national security system of any provision of this section if
        the Director of National Intelligence, or the designee,
        determines that such waiver is in the interest of national
        security.
            (2) Notification.--Not later than 30 days after exercising
        a waiver under this subsection, the Director of National
        Intelligence, or the designee of the Director, as the case may
        be, shall submit to the Committee on Homeland Security and
        Governmental Affairs and the Select Committee on Intelligence
        of the Senate and the Committee on Oversight and Government
        Reform and the Permanent Select Committee on Intelligence of
        the House of Representatives a statement describing and
        justifying the waiver.
    (c) Rule of Construction.--Nothing in this section shall be
construed as limiting the ability of the Office of Management and
Budget to update or modify Federal guidelines relating to the security
of cloud computing.

SEC. 4. EXPANDED INDUSTRY COLLABORATION AND METRICS DEVELOPMENT FOR THE
              FEDERAL RISK AND AUTHORIZATION MANAGEMENT PROGRAM OFFICE.

    (a) In General.--The Director shall coordinate with the Federal
Risk and Authorization Management Program Office to establish mandatory
guidelines for the submission of an application for an authorization to
operate and related materials to the Federal Risk and Authorization
Management Program Office.
    (b) Contents.--The guidelines established under subsection (a)
shall streamline and accelerate the Federal Risk and Authorization
Management Program accreditation process by meeting the following
requirements:
            (1) Not less frequently than monthly, report to the
        applicant the status, expected time to completion, and other
        key indicators related to compliance for an application for
        authorization to operate submitted to the Federal Risk and
        Authorization Management Program Office.
            (2) Enhanced training and industry liaison opportunities
        for covered agencies and cloud service providers.
            (3) A clarification of--
                    (A) the role and authority of third party
                assessment organization in the Federal Risk and
                Authorization Management Program process for
                authorizations to operate by covered agencies;
                    (B) the extent to which the Federal Risk and
                Authorization Management Program Office may identify
                and begin to accept or rely upon certifications from
                other standards development organizations or third
                party assessment organization; and
                    (C) the responsibility of covered agencies to
                sponsor a Federal Risk and Authorization Management
                Program authorization to operate as part of making
                Federal Risk and Authorization Management Program
                compliance a condition for entering into a contract or
                providing cloud computing services to a covered agency.
    (c) FedRAMP Liaison Group.--
            (1) In general.--The Director, in coordination with the
        Program Management Office and the National Institute of
        Standards and Technology, shall host a public-private industry
        cloud commercial working group (in this subsection referred to
        as the ``FedRAMP Liaison Group'') representing cloud service
        providers.
            (2) Composition and functions.--The FedRAMP Liaison Group--
                    (A) shall include representatives of cloud service
                providers;
                    (B) may include such working groups as are
                determined appropriate by the FedRAMP Liaison Group;
                    (C) shall be hosted by the General Services
                Administration, who shall convene plenary meetings on a
                quarterly basis with individual working groups meeting
                as frequently as determined by the group; and
                    (D) shall consult with and provide recommendations
                directly to the Program Management Office and the Joint
                Authorization Board of the Federal Risk and
                Authorization Management Program regarding the
                operations, processes improvements, and best practices
                of the Office and Board.
            (3) FACA exemption.--The Federal Advisory Committee Act
        shall not apply to the FedRAMP Liaison Group.
    (d) Providing Dedicated Agency Support.--The Program Management
Office shall work with each covered agency to support and guide the
efforts of the agency--
            (1) to establish and issue the authorization to operate for
        the agency;
            (2) to facilitate authorization approval, support, and
        direct interfacing with cloud service providers; and
            (3) to facilitate partnership among agencies to efficiently
        support activities related to obtaining an authorization to
        operate.
    (e) Metrics.--The Director, in coordination with the National
Institute of Standards and Technology and the FedRAMP Liaison Group,
shall establish key performance metrics for the Federal Risk and
Authorization Management Program Office, which shall include--
            (1) recommendations for maximum time limits for the
        completion of authorizations to operate by service categories
        of cloud service providers, not to exceed six months;
            (2) targets for the streamlining of the authorization to
        operate through the use of innovative templates and transparent
        submission requirements; and
            (3) recommendations for satisfying Federal continuous
        monitoring requirements.
    (f) Report Required.--Not later than one year after the date of the
enactment of this Act, the Director shall submit to the Committees on
Appropriations and Oversight and Government Reform of the House of
Representatives and the Committees on Appropriations and Homeland
Security and Governmental Affairs of the Senate a report on the
effectiveness and efficiency of the Federal Risk and Authorization
Management Program Office.

SEC. 5. ADDITIONAL BUDGET AUTHORITIES FOR THE MODERNIZATION OF IT
              SYSTEMS.

    (a) Assessment of Cloud First Implementation.--Not later than 90
days after the date of the enactment of this Act, the Director, in
consultation with the Chief Information Officers Council, shall assess
cloud computing opportunities and issue policies and guidelines for the
adoption of Governmentwide programs providing for a standardized
approach to security assessment and operational authorization for cloud
computing products and services.
    (b) Information Technology System Modernization and Working Capital
Fund.--
            (1) Establishment.--There is established in each covered
        agency an information technology system modernization and
        working capital fund (hereafter ``IT working capital fund'')
        for necessary expenses for the agency described in paragraph
        (2).
            (2) Source of funds.--Amounts may be deposited into an IT
        working capital fund as follows:
                    (A) Reprogramming of funds, including reprogramming
                of any funds available on the date of enactment of this
                Act for the operation and maintenance of legacy
                systems, in compliance with any applicable
                reprogramming law or guidelines of the Committees on
                Appropriations of the House of Representatives and the
                Senate.
                    (B) Transfer of funds, including transfer of any
                funds available on the date of enactment of this Act
                for the operation and maintenance of legacy systems,
                but only if transfer authority is specifically provided
                for by law.
                    (C) Amounts made available through discretionary
                appropriations.
            (3) Use of funds.--An IT working capital fund established
        under paragraph (1) may be used only for the following:
                    (A) The replacement of a legacy information
                technology system.
                    (B) The transition to cloud computing and
                innovative platforms and technologies subject to a
                transition plan for any project that costs more than
                $5,000,000 and approved by the Federal Chief
                Information Officer according to such guidelines as the
                Office of Management and Budget may designate.
                    (C) To assist and support agency efforts to provide
                adequate, risk-based, and cost-effective information
                technology capabilities that address evolving threats
                to information security.
                    (D) Developmental, modernization, and enhancement
                activities of information technology.
            (4) Existing funds.--An IT working capital fund may not be
        used to supplant funds provided for the operation and
        maintenance of any system already within an appropriation for
        the agency at the time of establishment of the IT working
        capital fund.
            (5) Reprogramming and transfer of funds.--The head of each
        covered agency shall prioritize funds within the IT working
        capital fund to be used initially for cost savings activities
        approved by the Federal Chief Information Officer, in
        consultation with the Chief Information Officer of the covered
        agency. The head of each covered agency may--
                    (A) reprogram any amounts saved as a direct result
                of such activities for deposit into the applicable IT
                working capital fund, consistent with paragraph (2)(A),
                except that any such reprogramming of amounts in excess
                of $500,000 shall be reported to the Committees on
                Appropriations of the House of Representatives and the
                Senate 30 days ain advance of such reprogramming; and
                    (B) transfer any amounts saved as a direct result
                of such activities for deposit into the applicable IT
                working capital fund, consistent with paragraph (2)(B),
                except that any such transfer of amounts in excess of
                $500,000 shall be reported to the Committees on
                Appropriations of the House of Representatives and the
                Senate 30 days in advance of such transfer.
            (6) Return of funds.--Any funds deposited into an IT
        working capital fund must be obligated no later than 3 years
        after the date of such deposit. Any funds that are unobligated
        3 years after such date shall be rescinded and deposited into
        the general fund of the Treasury and reported to the Committees
        on Appropriations of the House of Representatives and the
        Senate.
            (7) Semiannual report required.--Not later than 6 months
        after the date of the enactment of this Act, and semiannually
        thereafter, the head of any covered agency that uses an IT
        working capital fund shall submit to the Committees on
        Appropriations and Oversight and Government Reform of the House
        of Representatives and the Committees on Appropriations and
        Homeland Security and Governmental Affairs of the Senate a
        report on the obligation and expenditure of funds made
        available under this section.
    (c) GAO Report.--Not later than one year after the date of the
enactment of this Act, and annually thereafter for five years, the
Comptroller General of the United States shall submit to the Committees
on Appropriations and Oversight and Government Reform of the House of
Representatives and the Committees on Appropriations and Homeland
Security and Governmental Affairs of the Senate a report--
            (1) on the implementation and operation of each IT working
        capital fund established under this section;
            (2) that identifies current practices and compares the
        practices with industry best practices in areas such as the
        effective oversight and governance of a cloud computing working
        capital fund; and
            (3) that describes the basis for the use and operation of
        an IT working capital fund, the efficacy of the working capital
        fund to accelerate technology transitions, and recommendations
        for further improvement for the working capital fund.

SEC. 6. DEFINITIONS.

    In this Act:
            (1) Authorization to operate.--The term ``authorization to
        operate'' means an approval and accreditation, including a
        provisional authorization to operate, regarding the security
        and operational qualifications of a cloud computing service
        provider to offer secure, reliable cloud computing service to a
        covered agency, that may be issued by the Joint Authorization
        Board, any successor entity, or the head of a covered agency.
            (2) Cloud computing.--The term ``cloud computing'' has the
        meaning given that term by the National Institute of Standards
        and Technology in NIST Special Publication 800-145 and any
        amendatory or superseding document thereto.
            (3) Cloud service provider.--The term ``cloud service
        provider'' means an entity offering cloud computing
        infrastructure, platforms, or software for commercial and
        Government entities.
            (4) Covered agency.--The term ``covered agency'' means each
        agency listed in section 901(b) of title 31, United States
        Code.
            (5) Director.--The term ``Director'' means the Director of
        the Office of Management and Budget.
            (6) Federal risk and authorization management program
        office.--The term ``Federal Risk and Authorization Management
        Program Office'' or ``Program Management Office'' means the
        Federal Risk and Authorization Management Program Office, or
        any successor thereto.
            (7) Information system.--The term ``information system''
        has the meaning given that term under section 3502 of title 44,
        United States Code.
            (8) Information technology.--The term ``information
        technology'' has the meaning given that term under section
        11101 of title 40, United States Code.
            (9) Legacy information technology system.--The term
        ``legacy information technology system'' means an outdated or
        obsolete information technology that is no longer supported by
        the originating vendor or manufacturer.
            (10) National security system.--The term ``national
        security system'' has the meaning given that term under section
        3552 of title 44, United States Code.
            (11) Third party assessment organization.--The term ``third
        party assessment organization'' means a third party
        accreditation body that conducts a conformity assessment of a
        cloud service data provider to ensure the provider meets
        security and operational guidelines issued by the Federal Risk
        and Authorization Management Program Office.

Summary: Modernizing Outdated and Vulnerable Equipment and Information Technology Act of 2016 or MOVE IT Act This bill prohibits a covered agency from storing or processing government information on a federal information system with any cloud service provider unless the provider has an authorization to operate a cloud computing service from the agency or the Joint Authorization Board. The Office of the Director of National Intelligence (ODNI) may waive the applicability of such prohibition to any national security system in the interest of national security and shall submit a statement justifying such waiver. The ODNI shall: (1) coordinate with the Federal Risk and Authorization Management Program Office (FRAMPO) to establish mandatory guidelines for the submission of an application for such an authorization that shall streamline and accelerate the accreditation process. (2) host a public-private industry cloud commercial working group representing cloud service providers, which shall provide recommendations directly to FRAMPO's Program Management Office and Joint Authorization Board regarding their operations, processes improvements, and best practices, (3) establish key performance metrics for FRAMPO, (4) report on the effectiveness and efficiency of FRAMPO. And (5) assess cloud computing opportunities and issue policies and guidelines for the adoption of government-wide programs providing for a standardized approach to security assessment and operational authorization for cloud computing products and services. There is established in each such agency an information technology system modernization and working capital fund for necessary expenses: for the replacement of a legacy information technology system. For the transition to cloud computing and innovative platforms and technologies. To assist and support efforts to provide information technology capabilities that address evolving threats to information security. And for developmental, modernization, and enhancement activities of information technology. Each agency shall prioritize amounts within such fund to be used initially for cost savings activities approved by the Federal Chief Information Officer. The Government Accountability Office shall report on the implementation and operation of each such fund, current practices compared with industry best practices for the effective oversight and governance of a cloud computing working capital fund, the basis for the fund's use and operation, the fund's efficacy to accelerate technology transitions, and recommendations for improvement.

MOVE IT Act


SECTION 1. THURGOOD MARSHALL LEGAL EDUCATIONAL OPPORTUNITY PROGRAM.

    Chapter 1 of subpart 2 of part A of title IV of the Higher
Education Act of 1965 (20 U.S.C. 1070a-11 et seq.) is amended by
inserting after section 402H of such Act (20 U.S.C. 1070a-18) the
following:

``SEC. 402I. LEGAL EDUCATIONAL OPPORTUNITY PROGRAM.

    ``(a) Program Authority.--The Secretary shall carry out a program
to be known as the `Thurgood Marshall Legal Educational Opportunity
Program' designed to provide low-income, minority, or disadvantaged
college students with the information, preparation, and financial
assistance to gain access to and complete law school study.
    ``(b) Eligibility.--A college student is eligible for assistance
under this section if the student is--
            ``(1) from a low-income family;
            ``(2) a minority; or
            ``(3) from an economically or otherwise disadvantaged
        background.
    ``(c) Contract or Grant Authorized.--The Secretary is authorized to
enter into a contract with, or make a grant to, the Council on Legal
Education Opportunity, for a period of not less than 5 years--
            ``(1) to identify college students who are from low-income
        families, are minorities, or are from disadvantaged backgrounds
        described in subsection (b)(3);
            ``(2) to prepare such students for study at accredited law
        schools;
            ``(3) to assist such students to select the appropriate law
        school, make application for entry into law school, and receive
        financial assistance for such study;
            ``(4) to provide support services to such students who are
        first-year law students to improve retention and success in law
        school studies; and
            ``(5) to motivate and prepare such students with respect to
        law school studies and practice in low-income communities.
    ``(d) Services Provided.--In carrying out the purposes described in
subsection (c), the contract or grant shall provide for the delivery of
services through prelaw information resource centers, summer
institutes, midyear seminars, and other educational activities,
conducted under this section. Such services may include--
            ``(1) information and counseling regarding--
                    ``(A) accredited law school academic programs,
                especially tuition, fees, and admission requirements;
                    ``(B) course work offered and required for
                graduation;
                    ``(C) faculty specialties and areas of legal
                emphasis;
                    ``(D) undergraduate preparatory courses and
                curriculum selection;
            ``(2) tutoring and academic counseling, including
        assistance in preparing for bar examinations;
            ``(3) prelaw mentoring programs, involving law school
        faculty, members of State and local bar associations, and
        retired and sitting judges, justices, and magistrates;
            ``(4) assistance in identifying preparatory courses and
        material for the law school aptitude or admissions tests;
            ``(5) summer institutes for Thurgood Marshall Fellows that
        expose the Fellows to a rigorous curriculum that emphasizes
        abstract thinking, legal analysis, research, writing, and
        examination techniques; and
            ``(6) midyear seminars and other educational activities
        that are designed to reinforce reading, writing, and studying
        skills of Thurgood Marshall Fellows.
    ``(e) Duration of the Provision of Services.--The services
described in subsection (d) may be provided--
            ``(1) prior to the period of law school study;
            ``(2) during the period of law school study; and
            ``(3) during the period following law school study and
        prior to taking a bar examination.
    ``(f) Subcontracts and Subgrants.--For the purposes of planning,
developing, or delivering one or more of the services described in
subsection (d), the Council on Legal Education Opportunity shall enter
into subcontracts with, and make subgrants to, institutions of higher
education, law schools, public and private agencies and organizations,
and combinations of such institutions, schools, agencies, and
organizations.
    ``(g) Stipends.--The Secretary shall annually establish the maximum
stipend to be paid (including allowances for participant travel and for
the travel of the dependents of the participant) to Thurgood Marshall
Fellows for the period of participation in summer institutes and
midyear seminars. A Fellow may be eligible for such a stipend only if
the Fellow maintains satisfactory academic progress toward the Juris
Doctor or Bachelor of Laws degree, as determined by the respective
institutions.
    ``(h) Maximum Level.--For any year for which an appropriation is
made to carry out this chapter, the Secretary shall allocate not more
than $5,000,000 for the purpose of providing the services described in
subsection (d).''.

Summary: Amends the Higher Education Act of 1965 to direct the Secretary of Education to carry out a Thurgood Marshall Legal Educational Opportunity Program to provide low-income, minority, or disadvantaged college students with information, preparation, and financial assistance to gain access to and complete law school study. Authorizes the Secretary to contract with, or make a grant to, the Council on Legal Education Opportunity, for at least a five-year period, to deliver specified services under such program, directly and through subgrants and subcontracts. Directs the Secretary to establish annually the maximum stipend to be paid to Thurgood Marshall Fellows for the period of prelaw preparation in summer institutes and midyear seminar prior to and during the period of law school study. Sets forth the maximum amount of grants for such program services for any fiscal year.

A bill to amend the Higher Education Act of 1965 to provide for the establishment of the Thurgood Marshall Legal Educational Opportunity Program.


SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Federal Employees Health Benefits
Provider Integrity Amendments of 1997''.

SEC. 2. DEBARMENT AND OTHER SANCTIONS.

    (a) Amendments.--Section 8902a of title 5, United States Code, is
amended--
            (1) in subsection (a)--
                    (A) in paragraph (1)--
                            (i) by striking ``and'' at the end of
                        subparagraph (B);
                            (ii) by striking the period at the end and
                        inserting ``; and''; and
                            (iii) by adding at the end the following:
            ``(D) the term `should know' means that a person, with
        respect to information, acts in deliberate ignorance of, or in
        reckless disregard of, the truth or falsity of the information,
        and no proof of specific intent to defraud is required.''; and
                    (B) in paragraph (2)(A), by striking ``subsection
                (b) or (c)'' and inserting ``subsection (b), (c), or
                (d)'';
            (2) in subsection (b)--
                    (A) by striking ``The Office of Personnel
                Management may bar'' and inserting ``The Office of
                Personnel Management shall bar''; and
                    (B) by amending paragraph (5) to read as follows:
            ``(5) Any provider that is currently suspended or excluded
        from participation under any program of the Federal Government
        involving procurement or nonprocurement activities.'';
            (3) by redesignating subsections (c) through (i) as
        subsections (d) through (j), respectively, and by inserting
        after subsection (b) the following:
    ``(c) The Office may bar the following providers of health care
services from participating in the program under this chapter:
            ``(1) Any provider--
                    ``(A) whose license to provide health care services
                or supplies has been revoked, suspended, restricted, or
                not renewed, by a State licensing authority for reasons
                relating to the provider's professional competence,
                professional performance, or financial integrity; or
                    ``(B) that surrendered such a license while a
                formal disciplinary proceeding was pending before such
                an authority, if the proceeding concerned the
                provider's professional competence, professional
                performance, or financial integrity.
            ``(2) Any provider that is an entity directly or indirectly
        owned, or with a 5 percent or more controlling interest, by an
        individual who is convicted of any offense described in
        subsection (b), against whom a civil monetary penalty has been
        assessed under subsection (d), or who has been debarred from
        participation under this chapter.
            ``(3) Any individual who directly or indirectly owns or has
        a controlling interest in an entity and who knows or should
        know of the action constituting the basis for the entity's
        conviction of any offense described in subsection (b),
        assessment with a civil monetary penalty under subsection (d),
        or debarment from participation under this chapter.
            ``(4) Any provider that the Office determines, in
        connection with claims presented under this chapter, has
        charged for health care services or supplies in an amount
        substantially in excess of such provider's customary charge for
        such services or supplies (unless the Office finds there is
        good cause for such charge), or charged for health care
        services or supplies which are substantially in excess of the
        needs of the covered individual or which are of a quality that
        fails to meet professionally recognized standards for such
        services or supplies.
            ``(5) Any provider that the Office determines has committed
        acts described in subsection (d).'';
            (4) in subsection (d) (as so redesignated by paragraph (3))
        by amending paragraph (1) to read as follows:
            ``(1) in connection with claims presented under this
        chapter, that a provider has charged for a health care service
        or supply which the provider knows or should have known
        involves--
                    ``(A) an item or service not provided as claimed,
                    ``(B) charges in violation of applicable charge
                limitations under section 8904(b), or
                    ``(C) an item or service furnished during a period
                in which the provider was debarred from participation
                under this chapter pursuant to a determination by the
                Office under this section, other than as permitted
                under subsection (g)(2)(B);'';
            (5) in subsection (f) (as so redesignated by paragraph (3))
        by inserting after ``under this section'' the first place it
        appears the following: ``(where such debarment is not
        mandatory)'';
            (6) in subsection (g) (as so redesignated by paragraph
        (3))--
                    (A) by striking ``(g)(1)'' and all that follows
                through the end of paragraph (1) and inserting the
                following:
    ``(g)(1)(A) Except as provided in subparagraph (B), debarment of a
provider under subsection (b) or (c) shall be effective at such time
and upon such reasonable notice to such provider, and to carriers and
covered individuals, as shall be specified in regulations prescribed by
the Office. Any such provider that is debarred from participation may
request a hearing in accordance with subsection (h)(1).
    ``(B) Unless the Office determines that the health or safety of
individuals receiving health care services warrants an earlier
effective date, the Office shall not make a determination adverse to a
provider under subsection (c)(5) or (d) until such provider has been
given reasonable notice and an opportunity for the determination to be
made after a hearing as provided in accordance with subsection
(h)(1).'';
                    (B) in paragraph (3)--
                            (i) by inserting ``of debarment'' after
                        ``notice''; and
                            (ii) by adding at the end the following:
                        ``In the case of a debarment under paragraph
                        (1), (2), (3), or (4) of subsection (b), the
                        minimum period of debarment shall not be less
                        than 3 years, except as provided in paragraph
                        (4)(B)(ii).'';
                    (C) in paragraph (4)(B)(i)(I) by striking
                ``subsection (b) or (c)'' and inserting ``subsection
                (b), (c), or (d)''; and
                    (D) by striking paragraph (6);
            (7) in subsection (h) (as so redesignated by paragraph (3))
        by striking ``(h)(1)'' and all that follows through the end of
        paragraph (2) and inserting the following:
    ``(h)(1) Any provider of health care services or supplies that is
the subject of an adverse determination by the Office under this
section shall be entitled to reasonable notice and an opportunity to
request a hearing of record, and to judicial review as provided in this
subsection after the Office renders a final decision. The Office shall
grant a request for a hearing upon a showing that due process rights
have not previously been afforded with respect to any finding of fact
which is relied upon as a cause for an adverse determination under this
section. Such hearing shall be conducted without regard to subchapter
II of chapter 5 and chapter 7 of this title by a hearing officer who
shall be designated by the Director of the Office and who shall not
otherwise have been involved in the adverse determination being
appealed. A request for a hearing under this subsection shall be filed
within such period and in accordance with such procedures as the Office
shall prescribe by regulation.
    ``(2) Any provider adversely affected by a final decision under
paragraph (1) made after a hearing to which such provider was a party
may seek review of such decision in the United States District Court
for the District of Columbia or for the district in which the plaintiff
resides or has his or her principal place of business by filing a
notice of appeal in such court within 60 days after the date the
decision is issued, and by simultaneously sending copies of such notice
by certified mail to the Director of the Office and to the Attorney
General. In answer to the appeal, the Director of the Office shall
promptly file in such court a certified copy of the transcript of the
record, if the Office conducted a hearing, and other evidence upon
which the findings and decision complained of are based. The court
shall have power to enter, upon the pleadings and evidence of record, a
judgment affirming, modifying, or setting aside, in whole or in part,
the decision of the Office, with or without remanding the case for a
rehearing. The district court shall not set aside or remand the
decision of the Office unless there is not substantial evidence on the
record, taken as whole, to support the findings by the Office of a
cause for action under this section or unless action taken by the
Office constitutes an abuse of discretion.''; and
            (8) in subsection (i) (as so redesignated by paragraph
        (3))--
                    (A) by striking ``subsection (c)'' and inserting
                ``subsection (d)''; and
                    (B) by adding at the end the following: ``The
                amount of a penalty or assessment as finally determined
                by the Office, or other amount the Office may agree to
                in compromise, may be deducted from any sum then or
                later owing by the United States to the party against
                whom the penalty or assessment has been levied.''.
    (b) Effective Date.--
            (1) In general.--Except as provided in paragraph (2), the
        amendments made by this section shall take effect on the date
        of the enactment of this Act.
            (2) Exceptions.--(A) Paragraphs (2), (3), and (5) of
        section 8902a(c) of title 5, United States Code, as amended by
        subsection (a)(3), shall apply only to the extent that the
        misconduct which is the basis for debarment under such
        paragraph (2), (3), or (5), as applicable, occurs after the
        date of the enactment of this Act.
    (B) Paragraph (1)(B) of section 8902a(d) of title 5, United States
Code, as amended by subsection (a)(4), shall apply only with respect to
charges which violate section 8904(b) of such title for items or
services furnished after the date of the enactment of this Act.
    (C) Paragraph (3) of section 8902a(g) of title 5, United States
Code, as amended by subsection (a)(6)(B), shall apply only with respect
to debarments based on convictions occurring after the date of the
enactment of this Act.

SEC. 3. AMENDMENT TO THE SOCIAL SECURITY ACT.

    Section 1128B(f)(1) of the Social Security Act (42 U.S.C. 1320a-
7b(f)(1)), as amended by section 204(a)(7) of the Health Insurance
Portability and Accountability Act of 1996 (Public Law 104-191; 110
Stat. 2000), is amended by striking ``(other than the health insurance
program under chapter 89 of title 5, United States Code)''.

Summary: Federal Employees Health Benefits Provider Integrity Amendments of 1997 - Amends Federal law, with respect to Federal employees' health insurance coverage under the Federal Employees Health Benefits Program (FEHB), to revise provisions regarding the debarment of any health care provider found to have engaged in fraudulent practices, including requiring debarment for certain fraudulent practices. Amends the Social Security Act, as amended by the Health Insurance Portability and Accountability Act of 1996, to apply certain criminal health antifraud and abuse sanctions to fraud and abuse involving the FEHB Program.


SECTION 1. SHORT TITLE; COORDINATION WITH TAXPAYER RELIEF ACT OF 1997.

    (a) Short Title.--This Act may be cited as the ``Higher Education
Affordability and Availability Act''.
    (b) Coordination With Taxpayer Relief Act of 1997.--Any reference
in this Act to any section of the Internal Revenue Code of 1986 amended
or added by the Taxpayer Relief Act of 1997 shall be a reference to
such section as so amended or added.

SEC. 2. EXCLUSION FROM GROSS INCOME OF EDUCATION DISTRIBUTIONS FROM
              QUALIFIED TUITION PROGRAMS; COVERAGE OF PRIVATE PROGRAMS.

    (a) Exclusion.--
            (1) In general.--Subparagraph (B) of section 529(c)(3) of
        the Internal Revenue Code of 1986 (relating to distributions)
        is amended to read as follows:
                    ``(B) Distributions for qualified higher education
                expenses.--If a distributee elects the application of
                this subparagraph for any taxable year--
                            ``(i) no amount shall be includible in
                        gross income by reason of a distribution which
                        consists of providing a benefit to the
                        distributee which, if paid for by the
                        distributee, would constitute payment of a
                        qualified higher education expense, and
                            ``(ii) the amount which (but for the
                        election) would be includible in gross income
                        by reason of any other distribution shall not
                        be so includible in an amount which bears the
                        same ratio to the amount which would be so
                        includible as the amount of the qualified
                        higher education expenses of the distributee
                        bears to the amount of the distribution.''
            (2) Additional tax on amounts not used for higher education
        expenses.--Section 529 of such Code is amended by adding at the
        end the following new subsection:
    ``(f) Additional Tax for Distributions Not Used for Educational
Expenses.--
            ``(1) In general.--The tax imposed by section 530(d)(4)
        shall apply to payments and distributions from qualified
        tuition programs in the same manner as such tax applies to
        education individual retirement accounts.
            ``(2) Excess contributions returned before due date of
        return.--Paragraph (1) shall not apply to the distribution to a
        contributor of any contribution paid during a taxable year to a
        qualified tuition program to the extent that such contribution
        exceeds the limitation in section 4973(e) if such distribution
        (and the net income with respect to such excess contribution)
        meets requirements comparable to the requirements of clauses
        (i) and (ii) of section 530(d)(4)(C).''
            (3) Coordination with education credits.--Section 25A(e)(2)
        of such Code is amended by inserting ``529(c)(3)(B) or'' before
        ``530(d)(2)''.
            (4) Effective date.--The amendments made by this subsection
        shall apply to distributions after December 31, 1997, for
        education furnished in academic periods beginning after such
        date.
    (b) Eligible Educational Institutions Permitted To Maintain
Qualified Tuition Programs.--
            (1) In general.--Paragraph (1) of section 529(b) of such
        Code (defining qualified State tuition program) is amended by
        inserting ``or by one or more eligible educational
        institutions'' after ``maintained by a State or agency or
        instrumentality thereof''.
            (2) Limitation on contributions to qualified tuition
        programs not maintained by a state.--Subsection (b) of section
        529 of such Code is amended by adding at the end the following
        new paragraph:
            ``(8) Limitation on contributions to qualified tuition
        programs not maintained by a state.--In the case of a program
        not maintained by a State or agency or instrumentality thereof,
        such program shall not be treated as a qualified tuition
        program unless it limits the annual contribution to the program
        on behalf of a designated beneficiary to $5,000.''
            (3) Tax on excess contributions.--
                    (A) In general.--Subsection (a) of section 4973 of
                such Code is amended by striking ``or'' at the end of
                paragraph (3), by redesignating paragraph (4) as
                paragraph (5), and by inserting after paragraph (3) the
                following new paragraph:
            ``(4) a qualified tuition program (as defined in section
        529) not maintained by a State or any agency or instrumentality
        thereof, or''.
                    (B) Excess contributions defined.--Section 4973(e)
                of such Code is amended to read as follows:
    ``(e) Excess Contributions to Private Qualified Tuition Program and
Education Individual Retirement Accounts.--For purposes of this
section--
            ``(1) In general.--In the case of private education
        investment accounts maintained for the benefit of any 1
        beneficiary, the term `excess contributions' means the amount
        by which the amount contributed for the taxable year to such
        accounts exceeds $5,000.
            ``(2) Private education investment account.--For purposes
        of paragraph (1), the term `private education investment
        account' means--
                    ``(A) a qualified tuition program (as defined in
                section 529) not maintained by a State or any agency or
                instrumentality thereof, and
                    ``(B) an education individual retirement account
                (as defined in section 530).
            ``(3) Special rules.--For purposes of paragraph (1), the
        following contributions shall not be taken into account:
                    ``(A) Any contribution which is distributed out of
                the education individual retirement account in a
                distribution to which section 530(d)(4)(C) applies.
                    ``(B) Any contribution to a qualified tuition
                program (as so defined) described in section
                530(b)(2)(B) from any such account.
                    ``(C) Any rollover contribution.''
            (4) Conforming amendments.--
                    (A) Paragraph (2) of section 26(b) of such Code is
                amended by redesignating subparagraphs (E) through (Q)
                as subparagraphs (F) through (R), respectively, and by
                inserting after subparagraph (D) the following new
                subparagraph:
                    ``(E) section 529(f) (relating to additional tax on
                certain distributions from qualified tuition
                programs),''.
                    (B) The text and headings of sections 529 and 530
                of such Code are amended by striking ``qualified State
                tuition program'' each place it appears and inserting
                ``qualified tuition program''.
                    (C)(i) The section heading of section 529 of such
                Code is amended to read as follows:

``SEC. 529. QUALIFIED TUITION PROGRAMS.''

                    (ii) The item relating to section 529 of such Code
                in the table of sections for part VIII of subchapter F
                of chapter 1 is amended by striking ``State''.
            (5) Effective date.--The amendments made by this subsection
        shall take effect on January 1, 1998.
    (c) Change of Qualified Tuition Program or of Designated
Beneficiary.--
            (1) In general.--Clause (i) of section 529(c)(3)(C) of such
        Code is amended by inserting ``to another qualified tuition
        program for the benefit of the designated beneficiary or''
        after ``transferred''.
            (2) Inclusion of siblings as member of family.--Paragraph
        (e)(2) of section 529(e) of such Code is amended by inserting
        before the period at the end the following: ``, except that
        such term shall include any sibling (whether by the whole or
        half blood) of the designated beneficiary''.
            (3) Effective date.--The amendments made by this subsection
        shall take effect on January 1, 1998.

Summary: Higher Education Affordability and Availability Act - Amends the Internal Revenue Code to exclude from income distributions from qualified tuition programs used for qualifying higher education expenses. Includes within the definition of qualified State tuition program programs maintained by eligible educational institutions. Requires such non-State programs to limit annual contributions on behalf of a designated beneficiary to $5,000. Sets forth related excess contribution provisions.