CARES Act

BILLS-116s3548is.pdf

CARES Act Loan and Payroll Support Programs for Air Carriers and Other Eligible Businesses

CARES Act

OMB: 1505-0263

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II

116TH CONGRESS
2D SESSION

S. 3548

To provide emergency assistance and health care response for individuals,
families, and businesses affected by the 2020 coronavirus pandemic.

IN THE SENATE OF THE UNITED STATES
MARCH 19, 2020
Mr. MCCONNELL (for himself, Mr. ALEXANDER, Mr. CRAPO, Mr. GRASSLEY,
Mr. RUBIO, Mr. SHELBY, and Mr. WICKER) introduced the following bill;
which was read twice and referred to the Committee on Finance

A BILL
To provide emergency assistance and health care response
for individuals, families, and businesses affected by the
2020 coronavirus pandemic.
1

Be it enacted by the Senate and House of Representa-

2 tives of the United States of America in Congress assembled,
3

SECTION 1. SHORT TITLE.

4

This Act may be cited as the ‘‘Coronavirus Aid, Re-

5 lief, and Economic Security Act’’ or the ‘‘CARES Act’’.
6

SEC. 2. TABLE OF CONTENTS.

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7

The table of contents for this Act is as follows:
Sec. 1. Short title.
Sec. 2. Table of contents.
DIVISION A—SMALL BUSINESS INTERRUPTION LOANS

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Sec.
Sec.
Sec.
Sec.

1101.
1102.
1103.
1104.

Sec.
Sec.
Sec.
Sec.
Sec.

1105.
1106.
1107.
1108.
1109.

Definitions.
7(a) loan program.
Entrepreneurial development.
Waiver of matching funds requirement under the women’s business
center program.
Loan forgiveness.
Direct appropriations.
Minority business development agency.
Waiver of prepayment penalty.
United States Treasury Program Management Authority.

DIVISION B—RELIEF FOR INDIVIDUALS, FAMILIES, AND
BUSINESSES
TITLE I—REBATES AND OTHER INDIVIDUAL PROVISIONS
Sec.
Sec.
Sec.
Sec.

2101.
2102.
2103.
2104.

2020 recovery rebates for individuals.
Delay of certain deadlines.
Special rules for use of retirement funds.
Allowance of partial above the line deduction for charitable contributions.
Sec. 2105. Modification of limitations on charitable contributions during 2020.
TITLE II—BUSINESS PROVISIONS
Sec.
Sec.
Sec.
Sec.

2201.
2202.
2203.
2204.

Sec. 2205.
Sec. 2206.
Sec. 2207.
Sec. 2208.
Sec. 2209.

Delay of estimated tax payments for corporations.
Delay of payment of employer payroll taxes.
Modifications for net operating losses.
Modification of limitation on losses for taxpayers other than corporations.
Modification of credit for prior year minimum tax liability of corporations.
Modification of limitation on business interest.
Technical amendments regarding qualified improvement property.
Installments not to prevent credit or refund of overpayments or increase estimated taxes.
Restoration of limitation on downward attribution of stock ownership in applying constructive ownership rules.

DIVISION C—ASSISTANCE TO SEVERELY DISTRESSED SECTORS
OF THE UNITED STATES ECONOMY
TITLE I—ECONOMIC STABILIZATION

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Sec.
Sec.
Sec.
Sec.
Sec.
Sec.
Sec.
Sec.

3101.
3102.
3103.
3104.
3105.
3106.
3107.
3108.

Short title.
Emergency relief through loans and loan guarantees.
Limitation on certain employee compensation.
Continuation of certain air service.
Reports.
Coordination with Secretary of Transportation.
Definitions.
Rule of construction.
TITLE II—AVIATION EXCISE TAXES

Sec. 3201. Suspension of certain aviation excise taxes.

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DIVISION D—HEALTH CARE RESPONSE
TITLE I—HEALTH PROVISIONS
Subtitle A—Addressing Supply Shortages
PART I—MOVING

THE

STRATEGIC NATIONAL STOCKPILE

TO

ASPR

Sec. 4101. Moving the strategic national stockpile to ASPR.
PART II—MEDICAL PRODUCT SUPPLIES
Sec. 4111. National Academies report on America’s medical product supply
chain security.
Sec. 4112. Requiring the strategic national stockpile to include certain types of
medical supplies.
Sec. 4113. Treatment of respiratory protective devices as covered countermeasures.
PART III—MITIGATING EMERGENCY DRUG SHORTAGES
Sec. 4121. Prioritize reviews of drug applications; incentives.
Sec. 4122. Additional manufacturer reporting requirements in response to drug
shortages.
Sec. 4123. GAO report on intra-agency coordination.
Sec. 4124. Report.
Sec. 4125. Safe harbor provision.
PART IV—PREVENTING ESSENTIAL MEDICAL DEVICE SHORTAGES
Sec. 4131. Discontinuance or interruption in the production of medical devices.
Sec. 4132. GAO report on intra-agency coordination.
PART V—EMERGENCY USE

OF

LABORATORY DEVELOPED TESTS

Sec. 4141. Emergency use of laboratory developed tests.
Subtitle B—Access to Health Care for COVID-19 Patients
PART I—COVERAGE

OF

TESTING

AND

PREVENTIVE SERVICES

Sec. 4201. Coverage of diagnostic testing for COVID-19.
Sec. 4202. Pricing of diagnostic testing.
Sec. 4203. Rapid coverage of preventive services and vaccines for coronavirus.
PART II—SUPPORT

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Sec.
Sec.
Sec.
Sec.

FOR

HEALTH CARE PROVIDERS

4211.
4212.
4213.
4214.

Supplemental awards for health centers.
Allowing permanent direct hire of NDMS health care professionals.
Telehealth network and telehealth resource centers grant programs.
Rural health care services outreach, rural health network development, and small health care provider quality improvement
grant programs.
Sec. 4215. United States Public Health Service Modernization.
Sec. 4216. Limitation on liability for volunteer health care professionals during
covid-19 emergency response.
PART III—MISCELLANEOUS PROVISIONS

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Sec. 4221. Confidentiality and disclosure of records relating to substance use
disorder.
Sec. 4222. Nutrition services.
Sec. 4223. Guidance on protected health information.
Sec. 4224. Reauthorization of healthy start program.
Subtitle C—Innovation
Sec. 4301. Removing the cap on OTA.
Sec. 4302. Extending the priority review program for agents that present national security threats.
Sec. 4303. Priority zoonotic animal drugs.
Subtitle D—Finance Committee
Sec. 4401. Exemption for telehealth services.
Sec. 4402. Inclusion of certain over-the-counter medical products as qualified
medical expenses.
Sec. 4403. Treatment of direct primary care service arrangements.
Sec. 4404. Increasing Medicare telehealth flexibilities during emergency period.
Sec. 4405. Enhancing Medicare telehealth services for Federally qualified
health centers and rural health clinics during emergency period.
Sec. 4406. Temporary waiver of requirement for face-to-face visits between
home dialysis patients and physicians.
Sec. 4407. Improving care planning for Medicare home health services.
Sec. 4408. Adjustment of sequestration.
Sec. 4409. Medicare hospital inpatient prospective payment system add-on payment for covid–19 patients during emergency period.
Sec. 4410. Revising payment rates for durable medical equipment under the
Medicare program through duration of emergency period.
Sec. 4411. Providing home and community-based services in acute care hospitals.
Sec. 4412. Treatment of technology-enabled collaborative learning and capacity
building models as medical assistance.
Sec. 4413. Encouraging the development and use of DISARM antimicrobial
drugs.
Sec. 4414. Novel medical products.

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TITLE II—EDUCATION PROVISIONS
Sec.
Sec.
Sec.
Sec.

4501.
4502.
4503.
4504.

Sec.
Sec.
Sec.
Sec.
Sec.
Sec.
Sec.
Sec.
Sec.

4505.
4506.
4507.
4508.
4509.
4510.
4511.
4512.
4513.

Short title.
Definitions.
Campus-based aid waivers.
Use of supplemental educational opportunity grants for emergency
aid.
Federal work-study during a qualifying emergency.
Adjustment of subsidized loan usage limits.
Exclusion from Federal Pell Grant duration limit.
Institutional refunds and Federal student loan flexibility.
Satisfactory progress.
Continuing education at affected foreign institutions.
National emergency educational waivers.
HBCU Capital financing.
Temporary relief for federal student loan borrowers.

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Sec. 4514. Provisions related to the Corporation for National and Community
Service.
Sec. 4515. Workforce response activities.
Sec. 4516. Technical amendments.
TITLE III—LABOR PROVISIONS
Sec.
Sec.
Sec.
Sec.
Sec.
Sec.
Sec.

4601.
4602.
4603.
4604.
4605.
4606.
4607.

Limitation on paid leave.
Emergency Paid Sick Leave Act Limitation.
Regulatory Authorities under the Emergency Paid Sick Leave Act.
Unemployment insurance.
OMB Waiver of Paid Family and Paid Sick Leave.
Paid leave for rehired employees.
Advance refunding of credits.

DIVISION E—TEMPORARY PERMIT USE TO GUARANTEE MONEY
MARKET MUTUAL FUNDS
Sec. 5001. Non-applicability of restrictions on ESF during national emergency.
DIVISION F—BUDGETARY PROVISIONS
Sec. 6001. Emergency designation.

DIVISION A—SMALL BUSINESS
INTERRUPTION LOANS

1
2
3

SEC. 1101. DEFINITIONS.

4

In this division—

5

(1) the terms ‘‘Administration’’ and ‘‘Adminis-

6

trator’’ mean the Small Business Administration

7

and the Administrator thereof; and

8

(2) the term ‘‘small business concern’’ has the

9

meaning given the term in section 3 of the Small

10
11

Business Act (15 U.S.C. 632).
SEC. 1102. 7(a) LOAN PROGRAM.

12

(a) DEFINITION

OF

COVERED PERIOD.—In this sec-

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13 tion, the term ‘‘covered period’’ means the period begin14 ning on March 1, 2020 and ending on December 31, 2020.

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1

(b) INCREASED ELIGIBILITY

FOR

CERTAIN SMALL

2 BUSINESSES AND ORGANIZATIONS.—
3

(1) IN

GENERAL.—During

the covered period,

4

any business concern, private nonprofit organization,

5

or public nonprofit organization which employs not

6

more than 500 employees shall be eligible to receive

7

a loan made under section 7(a) of the Small Busi-

8

ness Act (15 U.S.C. 636(a)), in addition to small

9

business concerns.

10

(2) EXCLUSION

OF

NONPROFITS

RECEIVING

11

MEDICAID EXPENDITURES.—Paragraph

12

apply to a nonprofit entity eligible for payment for

13

items or services furnished under a State plan under

14

title XIX of the Social Security Act (42 U.S.C. 1396

15

et seq.) or under a waiver of such plan.

16

(c) MAXIMUM LOAN AMOUNT.—During the covered

(1) shall not

17 period, with respect to any loan guaranteed under section
18 7(a) of the Small Business Act (15 U.S.C. 636(a)) for
19 which an application is approved or pending approval on
20 or after the date of enactment of this Act, the maximum
21 loan amount shall be the lesser of—

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22

(1) the product obtained by multiplying—

23

(A) the average total monthly payments by

24

the applicant for payroll, mortgage payments,

25

rent payments, and payments on any other debt

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1

obligations incurred during the 1 year period

2

before the date on which the loan is made, ex-

3

cept that, in the case of an applicant that is

4

seasonal employer, as determined by the Ad-

5

ministrator, the average total monthly pay-

6

ments for payroll shall be for the period begin-

7

ning March 1, 2019 and ending June 30, 2019;

8

by

9

(B) 4; or

10
11

(2) $10,000,000.
(d) ALLOWABLE USES OF PROGRAM LOANS.—

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12

(1) IN

GENERAL.—During

the covered period, a

13

recipient of a loan made under section 7(a) of the

14

Small Business Act (15 U.S.C. 636(a)) (including a

15

recipient of assistance under the Community Advan-

16

tage Pilot Program of the Administration) may, in

17

addition to the allowable uses of such a loan, use the

18

proceeds of the loan for—

19

(A) payroll support, including paid sick,

20

medical, or family leave, and costs related to

21

the continuation of group health care benefits

22

during those periods of leave;

23

(B) employee salaries;

24

(C) mortgage payments;

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1

(D) rent (including rent under a lease

2

agreement);

3

(E) utilities; and

4

(F) any other debt obligations that were

5

incurred before the covered period.

6

(2) DELEGATED

7

(A) IN

GENERAL.—For

purposes of mak-

8

ing loans for the purposes described in para-

9

graph (1), a lender under section 7(a) of the

10

Small Business Act (15 U.S.C. 636(a)) shall be

11

considered to have delegated authority to make

12

and approve loans under such section 7(a)

13

based on an evaluation of the eligibility of the

14

borrower.

15

(B) CONSIDERATIONS.—In evaluating the

16

eligibility of a borrower for a loan under section

17

7(a) of the Small Business Act (15 U.S.C.

18

636(a)) with the terms described in this sub-

19

section and subsection (c), a lender shall only

20

consider whether the borrower—

21

(i) was in operation on March 1,

22

2020; and

23
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AUTHORITY.—

(ii) had employees for whom the bor-

24

rower paid salaries and payroll taxes.

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1

(3) LIMITATION.—A borrower that receives as-

2

sistance under section 7(b)(2) of the Small Business

3

Act (15 U.S.C. 636(b)(2)) related to COVID–19 for

4

purposes of paying payroll and providing payroll

5

support shall not be eligible for a loan described in

6

paragraph (1) for the same purpose.

7

(e) FEE WAIVER

FOR

7(A) LOANS.—During the cov-

8 ered period, with respect to each loan guaranteed under
9 section 7(a) of the Small Business Act (15 U.S.C.
10 636(a))—
11

(1) in lieu of the fee otherwise applicable under

12

section 7(a)(23)(A) of the Small Business Act (15

13

U.S.C. 636(a)(23)(A)), the Administrator shall col-

14

lect no fee or reduce fees to the maximum extent

15

possible; and

16

(2) for which the application is approved on or

17

after the date of enactment of this Act, the Adminis-

18

trator shall, in lieu of the fee otherwise applicable

19

under section 7(a)(18)(A) of the Small Business Act

20

(15 U.S.C. 636(a)(18)(A)), collect no fee or reduce

21

fees to the maximum extent possible.

22

(f) GUARANTEE AMOUNT FOR 7(A) LOANS.—

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23

(1) IN

GENERAL.—Section

7(a)(2)(A) of the

24

Small Business Act (15 U.S.C. 636(a)(2)(A)) is

25

amended by striking ‘‘equal to—’’ and all that fol-

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1

lows through the end of the subparagraph and in-

2

serting ‘‘equal to 100 percent of the balance of the

3

financing outstanding at the time of disbursement of

4

the loan.’’.

5

(2) PROSPECTIVE

ary 1, 2021, section 7(a)(2)(A) of the Small Busi-

7

ness Act (15 U.S.C. 636(a)(2)(A)) is amended by

8

striking ‘‘equal to 100 percent of the balance of fi-

9

nancing outstanding at the time of disbursement of
the loan’’ and inserting ‘‘equal to—

11

‘‘(i) 75 percent of the balance of the

12

financing outstanding at the time of dis-

13

bursement of the loan, if such balance ex-

14

ceeds $150,000; or

15

‘‘(ii) 85 percent of the balance of the

16

financing outstanding at the time of dis-

17

bursement of the loan, if such balance is

18

less than or equal to $150,000.’’.

19

(g) DEFERMENT OF 7(A) LOANS.—

20

(1) DEFINITIONS .—

21

(A) ELIGIBLE

22

gible borrower’’ means—

BORROWER.—The

term ‘‘eli-

23

(i) a small business concern; or

24

(ii) an organization made eligible by

25

subsection (b) of this section for a loan

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10

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REPEAL.—Effective

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1

under section 7(a) of the Small Business

2

Act (15 U.S.C. 636(a)).

3

(B) IMPACTED

4

(i) IN

GENERAL.—In

this subsection,

5

the term ‘‘impacted borrower’’ means an

6

eligible borrower that—

7

(I) is in operation on March 1,

8

2020; and

9

(II) has an application for a loan

10

made under section 7(a) of the Small

11

Business Act (15 U.S.C. 636(a)) that

12

is approved or pending approval on or

13

after the date of enactment of this

14

Act.

15

(ii) PRESUMPTION.—For purposes of

16

this subsection, an impacted borrower is

17

presumed to have been adversely impacted

18

by COVID–19.

19
20

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BORROWER.—

(2) DEFERRAL.—During the covered period,
the Administrator shall—

21

(A) consider each eligible borrower that

22

applies for a loan under section 7(a) of the

23

Small Business Act (15 U.S.C. 636(a)) to be an

24

impacted borrower; and

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1

(B) require lenders under such section 7(a)

2

to provide complete payment deferment relief

3

for impacted borrowers with loans guaranteed

4

under such section 7(a) for a period of not

5

more than 1 year.

6

(3) SECONDARY

MARKET.—During

the covered

7

period, with respect to a loan made under 7(a) of

8

the Small Business Act (15 U.S.C. 636(a)) that is

9

sold on the secondary market, if an investor declines

10

to approve a deferral requested by a lender under

11

paragraph (2), the Administrator shall exercise the

12

authority to purchase the loan so that the impacted

13

borrower may receive a deferral for a period of not

14

more than 1 year.

15

(4) GUIDANCE.—Not later than 30 days after

16

the date of enactment of this Act, the Administrator

17

shall provide guidance to lenders under section 7(a)

18

of the Small Business Act (15 U.S.C. 636(a)) on the

19

deferment process described in this subsection.

20

(h) COMMITMENTS

FOR

7(A) LOANS.—During the

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21 covered period—
22

(1) there shall be no limitation on the commit-

23

ments for general business loans authorized under

24

section 7(a) of the Small Business Act (15 U.S.C.

25

636(a)); and

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1

(2) the amount authorized for commitments for

2

such loans under the heading ‘‘BUSINESS

3

PROGRAM ACCOUNT’’

4

BUSINESS ADMINISTRATION’’ under title V of the

5

Consolidated Appropriations Act, 2020 (Public Law

6

116–93; 133 Stat. 2475) shall not apply.

7

(i) EXPRESS LOANS.—

8

(1) IN

GENERAL.—Section

7(a)(31)(D) of the

Small Business Act (15 U.S.C. 636(a)(31)(D)) is

10

amended by striking ‘‘$350,000’’ and inserting

11

‘‘$1,000,000’’.
(2) PROSPECTIVE

REPEAL.—Effective

on Janu-

13

ary 1, 2021, section 7(a)(31)(D) of the Small Busi-

14

ness Act (15 U.S.C. 636(a)(31)(D)) is amended by

15

striking ‘‘$1,000,000’’ and inserting ‘‘$350,000’’.

16

SEC. 1103. ENTREPRENEURIAL DEVELOPMENT.

17

(a) DEFINITIONS.—In this section—

18

(1) the term ‘‘covered small business concern’’

19

means a small business concern that is located in an

20

area that is substantially affected by the COVID–19;

21

(2) the term ‘‘resource partner’’ means—

22

(A) a small business development center;

23
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under the heading ‘‘SMALL

9

12

and

24

(B) a women’s business center;

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1

(3) the term ‘‘small business development cen-

2

ter’’ has the meaning given the term in section 3 of

3

the Small Business Act (15 U.S.C. 632);

4

(4) the term ‘‘substantially affected by COVID–

5

19’’ means, with respect to a covered small business

6

concern, that the covered small business concern has

7

experienced—

8

(A) supply chain disruptions, including

9

changes in—

10

(i) quantity and lead time, including

11

the number of shipments of components

12

and delays in shipments;

13

(ii) quality, including shortages in

14

supply for quality control reasons; and

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15

(iii) technology, including a com-

16

promised payment network;

17

(B) staffing challenges;

18

(C) a decrease in sales or customers; or

19

(D) shuttered businesses; and

20

(5) the term ‘‘women’s business center’’ means

21

a women’s business center described in section 29 of

22

the Small Business Act (15 U.S.C. 656).

23

(b)

EDUCATION,

TRAINING,

AND

24 GRANTS.—

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ADVISING

15
1

(1) IN

Administration may

2

provide financial assistance in the form of grants to

3

resource partners to provide education, training, and

4

advising to covered small business concerns.

5

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GENERAL.—The

(2) USE

OF FUNDS.—Grants

under this sub-

6

section shall be used for the education, training, and

7

advising of covered small business concerns and

8

their employees on—

9

(A) accessing and applying for resources

10

provided by the Administration and other Fed-

11

eral resources relating to access to capital and

12

business resiliency;

13

(B) the hazards and prevention of the

14

transmission and communication of COVID–19

15

and other communicable diseases;

16

(C) the potential effects of COVID–19 on

17

the supply chains, distribution, and sale of

18

products of covered small business concerns and

19

the mitigation of those effects;

20

(D) the management and practice of

21

telework to reduce possible transmission of

22

COVID–19;

23

(E) the management and practice of re-

24

mote customer service by electronic or other

25

means;

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(F) the risks of and mitigation of cyber

2

threats in remote customer service or telework

3

practices;

4

(G) the mitigation of the effects of reduced

5

travel or outside activities on covered small

6

business concerns during COVID–19 or similar

7

occurrences; and

8

(H) any other relevant business practices

9

necessary to mitigate the economic effects of

10

COVID–19 or similar occurrences.

11

(3) GRANT

12

(A) SMALL

BUSINESS DEVELOPMENT CEN-

13

TERS.—The

14

cent of funds authorized to carry out this sub-

15

section to small business development centers,

16

which shall be awarded pursuant to a formula

17

jointly developed, negotiated, and agreed upon,

18

with full participation of both parties, between

19

the

20

21(a)(3)(A) of the Small Business Act (15

21

U.S.C. 648(a)(3)(A)) and the Administration.

22

kjohnson on DSK79L0C42PROD with BILLS

DETERMINATION.—

Administration shall award 80 per-

association

(B) WOMEN’S

formed

under

BUSINESS CENTERS.—The

23

Administration shall award 20 percent of funds

24

authorized to carry out this subsection to wom-

25

en’s business centers, which shall be awarded

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17
1

pursuant to a process established by the Ad-

2

ministration in consultation with recipients of

3

assistance.

4

(C) NO

5

Matching funds shall not be required for any

6

grant under this subsection.

7

(4) GOALS

8

kjohnson on DSK79L0C42PROD with BILLS

MATCHING FUNDS REQUIRED.—

AND METRICS.—

(A) IN

GENERAL.—Goals

and metrics for

9

the funds made available under this subsection

10

shall be jointly developed, negotiated, and

11

agreed upon, with full participation of both par-

12

ties, between the resource partners and the Ad-

13

ministrator, which shall—

14

(i) take into consideration the extent

15

of the circumstances relating to the spread

16

of COVID–19, or similar occurrences, that

17

affect covered small business concerns lo-

18

cated in the areas covered by the resource

19

partner, particularly in rural areas or eco-

20

nomically distressed areas;

21

(ii) generally follow the use of funds

22

outlined in paragraph (2), but shall not re-

23

strict the activities of resource partners in

24

responding to unique situations; and

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18
1

(iii) encourage resource partners to

2

develop and provide services to covered

3

small business concerns.

4

(B) PUBLIC

trator shall make publicly available the method-

6

ology by which the Administrator and resource

7

partners jointly develop the metrics and goals

8

described in subparagraph (A).
(c) RESOURCE PARTNER ASSOCIATION GRANTS.—

10

(1) IN

GENERAL.—The

Administrator may pro-

11

vide grants to an association or associations rep-

12

resenting resource partners to establish a centralized

13

hub for COVID–19 information, which shall in-

14

clude—

15

(A) an online platform that consolidates

16

resources and information available across mul-

17

tiple Federal agencies for small business con-

18

cerns related to COVID–19; and

19

(B) a training program to educate resource

20

partner counselors on the resources and infor-

21

mation described in subparagraph (A).

22

(2) GOALS

AND METRICS.—Goals

and metrics

23

for the funds made available under this subsection

24

shall be jointly developed, negotiated, and agreed

25

upon, with full participation of both parties, between

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Adminis-

5

9

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AVAILABILITY.—The

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19
1

the association or associations receiving a grant

2

under this subsection and the Administrator.

3

(d) REPORT.—Not later than 6 months after the date

4 of enactment of this Act, and annually thereafter, the Ad5 ministrator shall submit to the Committee on Small Busi6 ness and Entrepreneurship of the Senate and the Com7 mittee on Small Business of the House of Representatives
8 a report—
9
10

(1) that describes, with respect to the initial
year covered by the report—

11

(A) the programs and services developed

12

and provided by the Administration and re-

13

source partners under subsection (b);

14

(B) the initial efforts to provide those serv-

15

ices under subsection (b); and

16

(C) the online platform and training devel-

17

oped and provided by the Administration and

18

the association or associations under subsection

19

(c); and

20

(2) that describes, with respect to the subse-

21

quent years covered by the report—

22

(A) with respect to the grant program

kjohnson on DSK79L0C42PROD with BILLS

23

under subsection (b)—

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20
1

(i) the efforts of the Administrator

2

and resource partners to develop services

3

to assist covered small business concerns;

4

(ii) the challenges faced by owners of

5

covered small business concerns in access-

6

ing services provided by the Administration

7

and resource partners;

8

(iii) the number of unique covered

9

small business concerns that were served

10

by the Administration and resource part-

11

ners; and

12

(iv) other relevant outcome perform-

13

ance data with respect to covered small

14

business concerns, including the number of

15

employees affected, the effect on sales, the

16

disruptions of supply chains, and the ef-

17

forts made by the Administration and re-

18

source partners to mitigate these effects;

19

and

20

(B) with respect to the grant program

kjohnson on DSK79L0C42PROD with BILLS

21

under subsection (c)—

22

(i) the efforts of the Administrator

23

and the association or associations to de-

24

velop and evolve an online resource for

25

small business concerns; and

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21
1

(ii) the efforts of the Administrator

2

and the association or associations to de-

3

velop a training program for resource part-

4

ner counselors, including the number of

5

counselors trained.

6

SEC. 1104. WAIVER OF MATCHING FUNDS REQUIREMENT

7

UNDER THE WOMEN’S BUSINESS CENTER

8

PROGRAM.

9

During the 3-month period beginning on the date of

10 enactment of this Act, the requirement relating to obtain11 ing cash contributions from non-Federal sources under
12 section 29(c)(1) of the Small Business Act (15 U.S.C.
13 656(c)(1)) is waived for any recipient of assistance under
14 such section 29.
15

SEC. 1105. LOAN FORGIVENESS.

kjohnson on DSK79L0C42PROD with BILLS

16

(a) DEFINITIONS.—In this section—

17

(1) the term ‘‘covered 7(a) loan’’ means a loan

18

guaranteed under section 7(a) of the Small Business

19

Act (15 U.S.C. 636(a)) that is made during the cov-

20

ered period;

21

(2) the term ‘‘covered period’’ means the period

22

beginning on March 1, 2020 and ending on June 30,

23

2020;

24
25

(3) the term ‘‘eligible recipient’’ means the recipient of a covered 7(a) loan; and

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22
1

(4) the term ‘‘payroll costs’’ shall not include—

2

(A) the compensation of an individual em-

3

ployee in excess of $33,333 during the covered

4

period;

5

(B) qualified sick leave wages for which a

6

credit is allowed under section 7001 of the

7

Families First Coronavirus Response Act; or

8

(C) qualified family leave wages for which

9

a credit is allowed under section 7003 of the

10
11

Families First Coronavirus Response Act.
(b) FORGIVENESS.—An eligible recipient shall be eli-

12 gible for forgiveness of indebtedness on a covered 7(a) loan
13 in an amount equal to the cost of maintaining payroll con14 tinuity during the covered period.
15

(c) TREATMENT OF AMOUNTS FORGIVEN.—

16

(1) IN

which have been

17

forgiven under this section shall be considered can-

18

celed indebtedness by lenders authorized under sec-

19

tion 7(a) of the Small Business Act (15 U.S.C.

20

636(a)).

21

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GENERAL.—Amounts

(2) FOR

PURPOSES OF REDEMPTION OF GUAR-

22

ANTEES.—For

23

guarantee by the lender for a covered 7(a) loan,

24

amounts which are forgiven under this section shall

25

be treated as a default, in accordance with the pro-

purposes of the redemption of a

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23
1

cedures that are otherwise applicable to a default on

2

a loan guaranteed under section 7(a) of the Small

3

Business Act (15 U.S.C. 636(a)).

4

(d) LIMITS ON AMOUNT OF FORGIVENESS.—

5

(1) IN

amount of loan forgive-

6

ness under this section for an eligible recipient shall

7

not exceed the sum of—

8

(A) the total payroll costs incurred by the

9

eligible recipient during the covered period; and

10

(B) the amount of payments made during

11

the covered period on debt obligations that were

12

incurred before the covered period.

13

(2) REDUCTION

14

BASED ON REDUCTION IN NUM-

BER OF EMPLOYEES.—

15

kjohnson on DSK79L0C42PROD with BILLS

GENERAL.—The

(A) IN

GENERAL.—The

amount of loan

16

forgiveness under this section shall be reduced

17

by the percentage equal to the difference ob-

18

tained by subtracting—

19

(i) the quotient obtained by dividing—

20

(I) the average number of full-

21

time equivalent employees per month

22

employed by the eligible recipient dur-

23

ing the covered period; by

24

(II)(aa) the average number of

25

full time equivalent employees per

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24
1

month employed by the eligible recipi-

2

ent during the period beginning on

3

March 1, 2019 and ending on June

4

30, 2019; or

5

(bb) in the case of an eligible re-

6

cipient that is seasonal employer, as

7

determined by the Administrator, the

8

average number of full-time equivalent

9

employees per month employed by the

10

eligible recipient during the period be-

11

ginning on March 1, 2019 and ending

12

on June 30, 2019; from

13

(ii) 1.

kjohnson on DSK79L0C42PROD with BILLS

14

(B) CALCULATION

OF AVERAGE NUMBER

15

OF EMPLOYEES.—The

16

time equivalent employees shall be determined

17

by calculating the average number of employees

18

for each pay period falling within a month.

19

(3) REDUCTION

average number of full-

RELATING

TO

COMPENSA-

20

TION.—The

21

section shall also be reduced by the amount of any

22

reduction in excess of 25 percent of compensation in

23

the most recent full quarter in which the employee

24

was paid in compensation during the covered period

25

of any employee who was compensated—

amount of loan forgiveness under this

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25
1

(A) in an amount less than $33,333 during

2

the period beginning on March 1, 2019 and

3

ending on June 30, 2019; or

4

(B) not more than $100,000 on annualized

5

basis during 2019.

6

(4) EXCEPTION

FOR TIPPED WORKERS.—An

el-

7

igible recipient with tipped employees described in

8

section 3(m)(2)(A) of the Fair Labor Standards Act

9

of 1938 (29 U.S.C. 203(m)(2)(A)) may receive for-

10

giveness for additional wages paid to those employ-

11

ees.

12

(e) APPLICATION.—An eligible recipient seeking loan

13 forgiveness under this section shall submit to the lender
14 that originated the covered 7(a) loan an application, which
15 shall include documentation verifying the number of full16 time equivalent employees on payroll and pay rates for the
17 periods described in subsection (d), including—
18
19

(1) payroll tax filings reported to the Internal
Revenue Service;

20

kjohnson on DSK79L0C42PROD with BILLS

21

(2) State income, payroll, and unemployment
insurance filings;

22

(3) financial statements verifying payment on

23

debt obligations incurred before the covered period;

24

and

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26
1

(4) any other documentation the Administrator

2

determines necessary.

3

(f) CERTIFICATION.—An eligible recipient receiving

4 loan forgiveness under this section shall make a good faith
5 certification that the uncertainty of current economic con6 ditions justifies the loan request to support the ongoing
7 operations of the borrower, and acknowledges that funds
8 will be used to retain workers and maintain payroll.
9
10

(g) PROHIBITION
MENTATION.—No

ON

FORGIVENESS WITHOUT DOCU-

eligible recipient shall receive forgive-

11 ness under this section without submitting to the lender
12 that originated the covered 7(a) loan the documentation
13 required under subsection (e).
14

(h) DECISION.—Not later than 15 days after the date

15 on which a lender receives an application for loan forgive16 ness under this section from an eligible recipient, the lend17 er shall issue a decision on the an application.
18

(i) TAXABILITY.—Canceled indebtedness under this

19 section shall be excluded from gross income for purposes
20 of the Internal Revenue Code of 1986.
21

(j) RULE

OF

CONSTRUCTION.—The cancellation of

22 indebtedness on a covered 7(a) loan under this section

kjohnson on DSK79L0C42PROD with BILLS

23 shall not otherwise modify the terms and conditions of the
24 covered 7(a) loan.

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27
1

(k) REGULATIONS.—Not later than 30 days after the

2 date of enactment of this Act, the Administrator shall
3 issue guidance and regulations implementing this section.
4

SEC. 1106. DIRECT APPROPRIATIONS.

5

(a) IN GENERAL.—There is appropriated, out of

6 amounts in the Treasury not otherwise appropriated, for
7 the fiscal year ending September 30, 2020, to remain
8 available until September 30, 2021, for additional
9 amounts—

kjohnson on DSK79L0C42PROD with BILLS

10

(1)

$299,400,000,000

under

the

11

‘‘Small Business Administration—Business Loans

12

Program Account’’ for the cost of guaranteed loans

13

as authorized under section 7(a) of the Small Busi-

14

ness Act (15 U.S.C. 636(a));

15

(2) $300,000,000 under the heading ‘‘Small

16

Business Administration—Salaries and Expenses’’

17

for salaries and expenses of the Administration;

18

(3) $25,000,000 under the heading ‘‘Small

19

Business Administration—Office of Inspector Gen-

20

eral’’ for necessary expenses of the Office of Inspec-

21

tor General of the Administration in carrying out

22

the provisions of the Inspector General Act of 1978

23

(5 U.S.C. App.);

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28
1

(4) $265,000,000 under the heading ‘‘Small

2

Business Administration—Entrepreneurial Develop-

3

ment Programs’’, of which—

4

(A) $240,000,000 shall be for carrying sec-

5

tion 1103(b) of this Act; and

6

(B) $25,000,000 shall be for carrying out

7

section 1103(c) of this Act; and

8

(5) $10,000,000 under the heading ‘‘Depart-

9

ment of Commerce—Minority Business Development

10

Agency’’ for minority business centers of the Minor-

11

ity Business Development Agency to provide tech-

12

nical assistance to small business concerns.

13

(b) REPORTS.—Not later than 180 days after the

14 date of enactment of this Act, the Administrator shall sub15 mit to the Committee on Appropriations of the Senate and
16 the Committee on Appropriations of the House of Rep17 resentatives a detailed expenditure plan for using the
18 amounts appropriated under subsection (a).
19

SEC. 1107. MINORITY BUSINESS DEVELOPMENT AGENCY.

kjohnson on DSK79L0C42PROD with BILLS

20

(a) DEFINITIONS.—In this section—

21

(1) the term ‘‘Agency’’ means the Minority

22

Business Development Agency of the Department of

23

Commerce;

24

(2) the term ‘‘covered small business concern’’

25

means a small business concern (as defined in sec-

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29
1

tion 3 of the Small Business Act (15 U.S.C. 632)

2

that is located in an area that is substantially af-

3

fected by the COVID–19;

4
5

(3) the term ‘‘minority business center’’ means
a Business Center of the Agency; and

6

(4) the term ‘‘substantially affected by COVID–

7

19’’ means, with respect to a covered small business

8

concern, that the covered small business concern has

9

experienced—

10

(A) supply chain disruptions, including

11

changes in—

12

(i) quantity and lead time, including

13

the number of shipments of components

14

and delays in shipments;

15

(ii) quality, including shortages in

16

supply for quality control reasons; and

17

(iii) technology, including a com-

18

promised payment network;

19

(B) staffing challenges;

20

(C) a decrease in sales or customers; or

21

(D) shuttered businesses.

22

(b)

EDUCATION,

TRAINING,

AND

ADVISING

kjohnson on DSK79L0C42PROD with BILLS

23 GRANTS.—
24
25

(1) IN

GENERAL.—The

Agency may provide fi-

nancial assistance in the form of grants to minority

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30
1

business centers to provide education, training, and

2

advising to covered small business concerns.

3

(2) USE

under this section

4

shall be used for the education, training, and advis-

5

ing of covered small business concerns and their em-

6

ployees on—

7

(A) accessing and applying for resources

8

provided by the Agency and other Federal re-

9

sources relating to access to capital and busi-

10

kjohnson on DSK79L0C42PROD with BILLS

OF FUNDS.—Grants

ness resiliency;

11

(B) the hazards and prevention of the

12

transmission and communication of COVID–19

13

and other communicable diseases;

14

(C) the potential effects of COVID–19 on

15

the supply chains, distribution, and sale of

16

products of covered small business concerns and

17

the mitigation of those effects;

18

(D) the management and practice of

19

telework to reduce possible transmission of

20

COVID–19;

21

(E) the management and practice of re-

22

mote customer service by electronic or other

23

means;

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31
1

(F) the risks of and mitigation of cyber

2

threats in remote customer service or telework

3

practices;

4

(G) the mitigation of the effects of reduced

5

travel or outside activities on covered small

6

business concerns during COVID–19 or similar

7

occurrences; and

8

(H) any other relevant business practices

9

necessary to mitigate the economic effects of

10

COVID–19 or similar occurrences.

11

(3) NO

12

ing funds shall not be required for any grant under

13

this section.

14

(4) GOALS

15

kjohnson on DSK79L0C42PROD with BILLS

MATCHING FUNDS REQUIRED.—Match-

AND METRICS.—

(A) IN

GENERAL.—Goals

and metrics for

16

the funds made available under this section

17

shall be jointly developed, negotiated, and

18

agreed upon, with full participation of both par-

19

ties, between the minority business centers and

20

the Agency, which shall—

21

(i) take into consideration the extent

22

of the circumstances relating to the spread

23

of COVID–19, or similar occurrences, that

24

affect covered small business concerns lo-

25

cated in the areas covered by the minority

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32
1

business centers, particularly in rural areas

2

or economically distressed areas;

3

(ii) generally follow the use of funds

4

outlined in paragraph (2), but shall not re-

5

strict the activities of minority business

6

centers in responding to unique situations;

7

and

8

(iii) encourage minority business cen-

9

ters to develop and provide services to cov-

10

ered small business concerns.

11

(B) PUBLIC

AVAILABILITY.—The

Agency

12

shall make publicly available the methodology

13

by which the Agency and minority business cen-

14

ters jointly develop the metrics and goals de-

15

scribed in subparagraph (A).

16

(5) AUTHORIZATION

OF

APPROPRIATIONS.—

17

There is authorized to be appropriated $10,000,000

18

to carry out this section, to remain available until

19

expended.

20

SEC. 1108. WAIVER OF PREPAYMENT PENALTY.

21

Notwithstanding any other provision of law, for a

22 loan made under the authority under this division or an

kjohnson on DSK79L0C42PROD with BILLS

23 amendment made by this division, there shall be no pre24 payment penalty for any payment on the loan made on
25 or before December 31, 2020.
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33
1

SEC. 1109. UNITED STATES TREASURY PROGRAM MANAGE-

2

MENT AUTHORITY.

3
4

(a) AUTHORITY
CIAL

TO

INCLUDE ADDITIONAL FINAN-

INSTITUTIONS.—The Department of the Treasury,

5 in consultation with the Administration and the other
6 Federal financial regulatory agencies (as defined in section
7 313(r) of title 31, United States Code), shall establish cri8 teria for insured depository institutions (as defined in sec9 tion 3 of the Federal Deposit Insurance Act (12 U.S.C.
10 1813)) and other specialized lenders, that do not already
11 participate in lending under programs of the Administra12 tion, to participate in a small business interruption loans
13 program to provide loans under section 7(a) of the Small
14 Business Act (15 U.S.C. 636(a)) in accordance with this
15 section until the date on which the national emergency de16 clared by the President under the National Emergencies
17 Act (50 U.S.C. 1601 et seq.) with respect to the
18 Coronavirus Disease 2019 (COVID–19) expires.
19

(b) CRITERIA.—Due to exigent circumstances, the

20 eligibility criteria that would otherwise be applicable a loan
21 made under section 7(a) of the Small Business Act (15
22 U.S.C. 636(a)) shall not apply to a loan made under this

kjohnson on DSK79L0C42PROD with BILLS

23 section.
24

(c) SAFETY

AND

SOUNDNESS.—An insured deposi-

25 tory institution (as defined in section 3 of the Federal De26 posit Insurance Act (12 U.S.C. 1813)) or other specialized
•S 3548 IS
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34
1 lender may only participate in the program established
2 under this section if participation does not affect the safe3 ty and soundness of the institution or lender.
4

(d) ADDITIONAL REGULATIONS.—The Secretary of

5 the Treasury, in consultation with the Administrator, shall
6 issue regulations and guidance in order to direct addi7 tional lenders under this section and establish additional
8 terms that set out compensation, underwriting standards,
9 interest rates, maturity, and other relevant terms and con10 ditions.
11

(e) PROGRAM ADMINISTRATION.—Under the infra-

12 structure of the Department of the Treasury and with
13 guidance from the Secretary of the Treasury, the Adminis14 tration shall administer the program established under
15 this section until the date on which the national emergency
16 declared by the President under the National Emergencies
17 Act (50 U.S.C. 1601 et seq.) with respect to the

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18 Coronavirus Disease 2019 (COVID–19) expires.

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5

DIVISION B—RELIEF FOR INDIVIDUALS,
FAMILIES,
AND
BUSINESSES
TITLE I—REBATES AND OTHER
INDIVIDUAL PROVISIONS

6

SEC. 2101. 2020 RECOVERY REBATES FOR INDIVIDUALS.

1
2
3
4

7

(a) IN GENERAL.—Subchapter B of chapter 65 of

8 subtitle F of the Internal Revenue Code of 1986 is amend9 ed by inserting after section 6427 the following new sec10 tion:
11

‘‘SEC. 6428. 2020 RECOVERY REBATES FOR INDIVIDUALS.

12

‘‘(a) IN GENERAL.—In the case of an eligible indi-

13 vidual, there shall be allowed as a credit against the tax
14 imposed by subtitle A for the first taxable year beginning
15 in 2020 an amount equal to the lesser of—
16

‘‘(1) net income tax liability, or

17

‘‘(2) $1,200 ($2,400 in the case of a joint re-

18

turn).

19

‘‘(b) SPECIAL RULES.—

20

kjohnson on DSK79L0C42PROD with BILLS

21

‘‘(1) IN

GENERAL.—In

the case of a taxpayer

described in paragraph (2)—

22

‘‘(A) the amount determined under sub-

23

section (a) shall not be less than $600 ($1,200

24

in the case of a joint return), and

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1

‘‘(B) the amount determined under sub-

2

section (a) (after the application of subpara-

3

graph (A)) shall be increased by the product of

4

$500 multiplied by the number of qualifying

5

children (within the meaning of section 24(c))

6

of the taxpayer.

7

‘‘(2) TAXPAYER

8

DESCRIBED.—A

taxpayer is de-

scribed in this paragraph if the taxpayer—

9

‘‘(A) has qualifying income of at least

10

$2,500, or

11

‘‘(B) has—

12

‘‘(i) net income tax liability which is

13

greater than zero, and

14

‘‘(ii) gross income which is greater

15

than the basic standard deduction.

16

‘‘(c) TREATMENT OF CREDIT.—The credit allowed by

17 subsection (a) shall be treated as allowed by subpart C
18 of part IV of subchapter A of chapter 1.
19
20

‘‘(d) LIMITATION BASED
COME.—The

ON

ADJUSTED GROSS IN-

amount of the credit allowed by subsection

21 (a) (determined without regard to this subsection and sub22 section (f)) shall be reduced (but not below zero) by 5 per-

kjohnson on DSK79L0C42PROD with BILLS

23 cent of so much of the taxpayer’s adjusted gross income
24 as exceeds $75,000 ($150,000 in the case of a joint re25 turn).
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1

‘‘(e) DEFINITIONS.—For purposes of this section—

2

‘‘(1) QUALIFYING

3

fying income’ means—

term ‘quali-

4

‘‘(A) earned income,

5

‘‘(B) social security benefits (within the

6

meaning of section 86(d)), and

7

‘‘(C) any compensation or pension received

8

under chapter 11, chapter 13, or chapter 15 of

9

title 38, United States Code.

10
11

‘‘(2) NET

INCOME TAX LIABILITY.—The

‘net income tax liability’ means the excess of—
‘‘(A) the sum of the taxpayer’s regular tax

13

liability (within the meaning of section 26(b))

14

and the tax imposed by section 55 for the tax-

15

able year, over

16

‘‘(B) the credits allowed by part IV (other

17

than section 24 and subpart C thereof) of sub-

18

chapter A of chapter 1.

19

‘‘(3) ELIGIBLE

INDIVIDUAL.—The

term ‘eligible

individual’ means any individual other than—

21

‘‘(A) any nonresident alien individual,

22

‘‘(B) any individual with respect to whom

23

a deduction under section 151 is allowable to

24

another taxpayer for a taxable year beginning

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term

12

20

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INCOME.—The

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1

in the calendar year in which the individual’s

2

taxable year begins, and

3

‘‘(C) an estate or trust.

4

‘‘(4) EARNED

INCOME.—The

term ‘earned in-

5

come’ has the meaning set forth in section 32(c)(2)

6

except that such term shall not include net earnings

7

from self-employment which are not taken into ac-

8

count in computing taxable income.

9

‘‘(5) BASIC

STANDARD DEDUCTION.—The

term

10

‘basic standard deduction’ shall have the same

11

meaning as when used in section 63 (as modified by

12

subsection (c)(7) of such section).

13

‘‘(f) COORDINATION WITH ADVANCE REFUNDS

OF

14 CREDIT.—
15

‘‘(1) IN

amount of credit

16

which would (but for this paragraph) be allowable

17

under this section shall be reduced (but not below

18

zero) by the aggregate refunds and credits made or

19

allowed to the taxpayer under subsection (g). Any

20

failure to so reduce the credit shall be treated as

21

arising out of a mathematical or clerical error and

22

assessed according to section 6213(b)(1).

23
kjohnson on DSK79L0C42PROD with BILLS

GENERAL.—The

‘‘(2) JOINT

RETURNS.—In

the case of a refund

24

or credit made or allowed under subsection (g) with

25

respect to a joint return, half of such refund or cred-

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1

it shall be treated as having been made or allowed

2

to each individual filing such return.

3

‘‘(g) ADVANCE REFUNDS AND CREDITS.—

4

‘‘(1) IN

to paragraph (5),

5

each individual who was an eligible individual for

6

such individual’s first taxable year beginning in

7

2018 shall be treated as having made a payment

8

against the tax imposed by chapter 1 for such first

9

taxable year in an amount equal to the advance re-

10

fund amount for such taxable year.

11

‘‘(2) ADVANCE

REFUND AMOUNT.—For

poses of paragraph (1), the advance refund amount

13

is the amount that would have been allowed as a

14

credit under this section for such first taxable year

15

if this section (other than subsection (f) and this

16

subsection) had applied to such taxable year.
‘‘(3) TIMING

OF PAYMENTS.—The

Secretary

18

shall, subject to the provisions of this title, refund

19

or credit any overpayment attributable to this sec-

20

tion as rapidly as possible. No refund or credit shall

21

be made or allowed under this subsection after De-

22

cember 31, 2020.

23

‘‘(4) NO

INTEREST.—No

interest shall be al-

24

lowed on any overpayment attributable to this sec-

25

tion.

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12

17

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GENERAL.—Subject

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1

‘‘(5) ALTERNATE

of an individual who, at the time of any determina-

3

tion made pursuant to paragraph (3), has not filed

4

a tax return for the year described in paragraph (1),

5

the Secretary may apply such paragraph by sub-

6

stituting ‘2019’ for ‘2018’.

7

‘‘(h) IDENTIFICATION NUMBER REQUIREMENT.—
‘‘(1) IN

GENERAL.—No

credit shall be allowed

9

under subsection (a) to an eligible individual who

10

does not include on the return of tax for the taxable

11

year—

12

‘‘(A) such individual’s valid identification

13

number,

14

‘‘(B) in the case of a joint return, the valid

15

identification

16

spouse, and

number

of

such

individual’s

17

‘‘(C) in the case of any qualifying child

18

taken into account under subsection (b)(1)(B),

19

the valid identification number of such quali-

20

fying child.

21

‘‘(2) VALID

22

IDENTIFICATION NUMBER.—

‘‘(A) IN

GENERAL.—For

purposes of para-

23

graph (1), the term ‘valid identification num-

24

ber’ means a social security number (as such

25

term is defined in section 24(h)(7)).

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2

8

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TAXABLE YEAR.—In

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1

‘‘(B) ADOPTION

IDENTIFICA-

TAXPAYER

2

TION

3

(1)(C), in the case of a qualifying child who is

4

adopted, the term ‘valid identification number’

5

shall include the adoption taxpayer identifica-

6

tion number of such child.

7

NUMBER.—For

purposes of paragraph

‘‘(i) REGULATIONS.—The Secretary shall prescribe

8 such regulations or other guidance as may be necessary
9 to carry out the purposes of this section.’’.
10

(b) ADMINISTRATIVE AMENDMENTS.—

11

(1)

OF

DEFICIENCY.—Section

12

6211(b)(4)(A) of the Internal Revenue Code of 1986

13

is amended by striking ‘‘and 36B, 168(k)(4)’’ and

14

inserting ‘‘36B, and 6428’’.

15

(2) MATHEMATICAL

OR CLERICAL ERROR AU-

16

THORITY.—Section

17

amended by striking ‘‘or 32’’ and inserting ‘‘32, or

18

6428’’.

19

(c) TREATMENT OF POSSESSIONS.—

20

(1) PAYMENTS

21

kjohnson on DSK79L0C42PROD with BILLS

DEFINITION

6213(g)(2)(L) of such Code is

TO POSSESSIONS.—

(A) MIRROR

CODE POSSESSION.—The

22

retary of the Treasury shall pay to each posses-

23

sion of the United States which has a mirror

24

code tax system amounts equal to the loss (if

25

any) to that possession by reason of the amend-

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42
1

ments made by this section. Such amounts shall

2

be determined by the Secretary of the Treasury

3

based on information provided by the govern-

4

ment of the respective possession.

kjohnson on DSK79L0C42PROD with BILLS

5

(B) OTHER

POSSESSIONS.—The

6

of the Treasury shall pay to each possession of

7

the United States which does not have a mirror

8

code tax system amounts estimated by the Sec-

9

retary of the Treasury as being equal to the ag-

10

gregate benefits (if any) that would have been

11

provided to residents of such possession by rea-

12

son of the amendments made by this section if

13

a mirror code tax system had been in effect in

14

such possession. The preceding sentence shall

15

not apply unless the respective possession has a

16

plan, which has been approved by the Secretary

17

of the Treasury, under which such possession

18

will promptly distribute such payments to its

19

residents.

20

(2) COORDINATION

WITH

CREDIT

ALLOWED

21

AGAINST UNITED STATES INCOME TAXES.—No

22

it shall be allowed against United States income

23

taxes under section 6428 of the Internal Revenue

24

Code of 1986 (as added by this section) to any per-

25

son—

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cred-

43
1

(A) to whom a credit is allowed against

2

taxes imposed by the possession by reason of

3

the amendments made by this section, or

4

(B) who is eligible for a payment under a

5

plan described in paragraph (1)(B).

6

(3) DEFINITIONS

7

(A)

POSSESSION

OF

THE

STATES.—For

9

term ‘‘possession of the United States’’ includes

10

the Commonwealth of Puerto Rico and the

11

Commonwealth of the Northern Mariana Is-

12

lands.

purposes of this subsection, the

(B) MIRROR

CODE TAX SYSTEM.—For

pur-

14

poses of this subsection, the term ‘‘mirror code

15

tax system’’ means, with respect to any posses-

16

sion of the United States, the income tax sys-

17

tem of such possession if the income tax liabil-

18

ity of the residents of such possession under

19

such system is determined by reference to the

20

income tax laws of the United States as if such

21

possession were the United States.

22

(C) TREATMENT

OF PAYMENTS.—For

pur-

23

poses of section 1324 of title 31, United States

24

Code, the payments under this section shall be

25

treated in the same manner as a refund due

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UNITED

8

13

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AND SPECIAL RULES.—

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1

from a credit provision referred to in subsection

2

(b)(2) of such section.

3
4

(d) EXCEPTION FROM TREASURY OFFSET PROGRAM.—Any

credit or refund allowed or made to any indi-

5 vidual by reason of section 6428 of the Internal Revenue
6 Code of 1986 (as added by this section) or by reason of
7 subsection (c) of this section shall not be subject to reduc8 tion or offset pursuant to—
9
10

(1) section 3716 or 3720A of title 31, United
States Code, or

11

(2) subsection (d), (e), or (f) of section 6402 of

12

the Internal Revenue Code of 1986.

13

(e) APPROPRIATIONS TO CARRY OUT REBATES.—

14

(1) IN

upon the enact-

15

ment of this Act, the following sums are appro-

16

priated, out of any money in the Treasury not other-

17

wise appropriated, for the fiscal year ending Sep-

18

tember 30, 2020:

19

kjohnson on DSK79L0C42PROD with BILLS

GENERAL.—Immediately

(A) DEPARTMENT

OF THE TREASURY.—

20

(i) For an additional amount for ‘‘De-

21

partment of the Treasury—Bureau of the

22

Fiscal Service—Salaries and Expenses’’,

23

$78,650,000, to remain available until

24

September 30, 2021.

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kjohnson on DSK79L0C42PROD with BILLS

45
1

(ii) For an additional amount for

2

‘‘Department of the Treasury—Internal

3

Revenue

4

$70,200,000, to remain available until

5

September 30, 2021.

Service—Taxpayer

6

(iii) For an additional amount for

7

‘‘Department of the Treasury—Internal

8

Revenue

9

$209,600,000, to remain available until

Service—Operations

10

September 30, 2021.

11

(B) SOCIAL

Support’’,

SECURITY ADMINISTRATION.—

12

For an additional amount for ‘‘Social Security

13

Administration—Limitation on Administrative

14

Expenses’’, $38,000,000, to remain available

15

until September 30, 2020.

16

(2) REPORTS.—No later than 15 days after en-

17

actment of this Act, the Secretary of the Treasury

18

shall submit a plan to the Committees on Appropria-

19

tions of the House of Representatives and the Sen-

20

ate detailing the expected use of the funds provided

21

by paragraph (1)(A). Beginning 90 days after enact-

22

ment of this Act, the Secretary of the Treasury shall

23

submit a quarterly report to the Committees on Ap-

24

propriations of the House of Representatives and the

25

Senate detailing the actual expenditure of funds pro-

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46
1

vided by paragraph (1)(A) and the expected expendi-

2

ture of such funds in the subsequent quarter.

3

(f) CONFORMING AMENDMENTS.—

4

(1) Paragraph (2) of section 1324(b) of title

5

31, United States Code, is amended by inserting

6

‘‘6428,’’ after ‘‘54B(h),’’.

7

(2) The table of sections for subchapter B of

8

chapter 65 of subtitle F of the Internal Revenue

9

Code of 1986 is amended by inserting after the item

10

relating to section 6427 the following:
‘‘Sec. 6428. 2020 Recovery Rebates for individuals.’’.

11

SEC. 2102. DELAY OF CERTAIN DEADLINES.

12

(a) FILING DEADLINES FOR 2019.—

13

(1) IN

the case of returns for

14

taxable year 2019, including for purposes of section

15

6151(a) of the Internal Revenue Code of 1986, sec-

16

tion 6072(a) of such Code shall be applied—

17

(A) by substituting ‘‘July’’ for ‘‘April’’,

18

and

19

kjohnson on DSK79L0C42PROD with BILLS

GENERAL.—In

(B) by substituting ‘‘the seventh month’’

20

for ‘‘the fourth month’’.

21

(2) EFFECTIVE

DATE.—Paragraph

22

apply to all returns required to be filed for taxable

23

year 2019.

24

(b) ESTIMATED TAX PAYMENTS

25

FOR

UALS.—
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INDIVID-

47
1

(1) IN

the case of an individual,

2

the due date for any required installment under sec-

3

tion 6654 of the Internal Revenue Code of 1986

4

which (but for the application of this section) would

5

be due during the applicable period shall not be due

6

before October 15, 2020, and all such installments

7

shall be treated as one installment due on such date.

8

The Secretary of the Treasury (or the Secretary’s

9

delegate) shall prescribe such regulations or other

10

guidance as may be necessary to carry out the pur-

11

poses of this subsection.

12

(2) APPLICABLE

PERIOD.—For

purposes of this

13

subsection, the applicable period is the period begin-

14

ning on the date of the enactment of this Act and

15

ending before October 15, 2020.

16

SEC. 2103. SPECIAL RULES FOR USE OF RETIREMENT

17

FUNDS.

18
19

(a) TAX-FAVORED WITHDRAWALS FROM RETIREMENT

PLANS.—

20

kjohnson on DSK79L0C42PROD with BILLS

GENERAL.—In

(1) IN

GENERAL.—Section

72(t) of the Internal

21

Revenue Code of 1986 shall not apply to any

22

coronavirus-related distribution.

23

(2) AGGREGATE

24

(A) IN

25

DOLLAR LIMITATION.—

GENERAL.—For

purposes of this

subsection, the aggregate amount of distribu-

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48
1

tions received by an individual which may be

2

treated as coronavirus-related distributions for

3

any taxable year shall not exceed $100,000.

4

(B) TREATMENT

PLAN

TIONS.—If

6

(without regard to subparagraph (A)) be a

7

coronavirus-related distribution, a plan shall not

8

be treated as violating any requirement of the

9

Internal Revenue Code of 1986 merely because

a distribution to an individual would

10

the

11

coronavirus-related distribution, unless the ag-

12

gregate amount of such distributions from all

13

plans maintained by the employer (and any

14

member of any controlled group which includes

15

the employer) to such individual exceeds

16

$100,000.

plan

treats

such

(C) CONTROLLED

distribution

GROUP.—For

as

a

purposes

18

of subparagraph (B), the term ‘‘controlled

19

group’’ means any group treated as a single

20

employer under subsection (b), (c), (m), or (o)

21

of section 414 of the Internal Revenue Code of

22

1986.

23

(3) AMOUNT

24

(A) IN

25

DISTRIBUTED MAY BE REPAID.—

GENERAL.—Any

individual who re-

ceives a coronavirus-related distribution may, at

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DISTRIBU-

5

17

kjohnson on DSK79L0C42PROD with BILLS

OF

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kjohnson on DSK79L0C42PROD with BILLS

49
1

any time during the 3-year period beginning on

2

the day after the date on which such distribu-

3

tion was received, make 1 or more contributions

4

in an aggregate amount not to exceed the

5

amount of such distribution to an eligible retire-

6

ment plan of which such individual is a bene-

7

ficiary and to which a rollover contribution of

8

such distribution could be made under section

9

402(c), 403(a)(4), 403(b)(8), 408(d)(3), or

10

457(e)(16), of the Internal Revenue Code of

11

1986, as the case may be.

12

(B) TREATMENT

OF REPAYMENTS OF DIS-

13

TRIBUTIONS

14

PLANS OTHER THAN IRAS.—For

15

the Internal Revenue Code of 1986, if a con-

16

tribution is made pursuant to subparagraph (A)

17

with respect to a coronavirus-related distribu-

18

tion from an eligible retirement plan other than

19

an individual retirement plan, then the taxpayer

20

shall, to the extent of the amount of the con-

21

tribution, be treated as having received the

22

coronavirus-related distribution in an eligible

23

rollover distribution (as defined in section

24

402(c)(4) of such Code) and as having trans-

25

ferred the amount to the eligible retirement

FROM

ELIGIBLE

RETIREMENT

purposes of

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1

plan in a direct trustee to trustee transfer with-

2

in 60 days of the distribution.

3

(C) TREATMENT

4

TRIBUTIONS FROM IRAS.—For

5

Internal Revenue Code of 1986, if a contribu-

6

tion is made pursuant to subparagraph (A)

7

with respect to a coronavirus-related distribu-

8

tion from an individual retirement plan (as de-

9

fined by section 7701(a)(37) of such Code),

10

then, to the extent of the amount of the con-

11

tribution, the coronavirus-related distribution

12

shall be treated as a distribution described in

13

section 408(d)(3) of such Code and as having

14

been transferred to the eligible retirement plan

15

in a direct trustee to trustee transfer within 60

16

days of the distribution.

17

(4) DEFINITIONS.—For purposes of this sub-

18

purposes of the

section—

19

kjohnson on DSK79L0C42PROD with BILLS

OF REPAYMENTS OF DIS-

(A)

CORONAVIRUS-RELATED

DISTRIBU-

20

TION.—Except

21

the

22

means any distribution from an eligible retire-

23

ment plan made—

term

as provided in paragraph (2),

‘‘coronavirus-related

distribution’’

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(i) on or after the date of the enact-

2

ment of this Act and before December 31,

3

2020,

4

(ii) to an individual—

kjohnson on DSK79L0C42PROD with BILLS

5

(I) who is diagnosed with the

6

virus

7

coronavirus disease 2019 (COVID-19)

8

by a test approved by the Centers for

9

Disease Control and Prevention,

SARS-CoV-2

or

10

(II) whose spouse or dependent

11

(as defined in section 152 of the In-

12

ternal Revenue Code of 1986) is diag-

13

nosed with such virus or disease by

14

such a test, or

15

(III) who experiences adverse fi-

16

nancial consequences as a result of

17

being quarantined, being furloughed

18

or laid off or having work hours re-

19

duced due to such virus or disease,

20

being unable to work due to lack of

21

child care due to such virus or dis-

22

ease, closing or reducing hours of a

23

business owned or operated by the in-

24

dividual due to such virus or disease,

25

or other factors as determined by the

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52
1

Secretary of the Treasury (or the Sec-

2

retary’s delegate).

3

(B) ELIGIBLE

4

term ‘‘eligible retirement plan’’ has the meaning

5

given such term by section 402(c)(8)(B) of the

6

Internal Revenue Code of 1986.

7

(5) INCOME

8

INCLUSION SPREAD OVER 3-YEAR

PERIOD.—

9

(A) IN

GENERAL.—In

the case of any

10

coronavirus-related distribution, unless the tax-

11

payer elects not to have this paragraph apply

12

for any taxable year, any amount required to be

13

included in gross income for such taxable year

14

shall be so included ratably over the 3-taxable-

15

year period beginning with such taxable year.

16

(B) SPECIAL

RULE.—For

purposes of sub-

17

paragraph (A), rules similar to the rules of sub-

18

paragraph (E) of section 408A(d)(3) of the In-

19

ternal Revenue Code of 1986 shall apply.

20

(6) SPECIAL

21

kjohnson on DSK79L0C42PROD with BILLS

RETIREMENT PLAN.—The

RULES.—

(A) EXEMPTION

OF DISTRIBUTIONS FROM

22

TRUSTEE TO TRUSTEE TRANSFER AND WITH-

23

HOLDING

24

401(a)(31), 402(f), and 3405 of the Internal

25

Revenue Code of 1986, coronavirus-related dis-

RULES.—For

purposes of sections

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53
1

tributions shall not be treated as eligible roll-

2

over distributions.

3

(B)

TIONS TREATED AS MEETING PLAN DISTRIBU-

5

TION REQUIREMENTS.—For

6

ternal Revenue Code of 1986, a coronavirus-re-

7

lated distribution shall be treated as meeting

8

the requirements of sections 401(k)(2)(B)(i),

9

403(b)(7)(A)(i), 403(b)(11), and 457(d)(1)(A)

11

purposes of the In-

of such Code.
(b) LOANS FROM QUALIFIED PLANS.—

12

(1) INCREASE

IN LIMIT ON LOANS NOT TREAT-

13

ED AS DISTRIBUTIONS.—In

14

from a qualified employer plan (as defined under

15

section 72(p)(4) of the Internal Revenue Code of

16

1986) to a qualified individual made during the 180-

17

day period beginning on the date of the enactment

18

of this Act—

the case of any loan

19

(A) clause (i) of section 72(p)(2)(A) of

20

such Code shall be applied by substituting

21

‘‘$100,000’’ for ‘‘$50,000’’, and

22

(B) clause (ii) of such section shall be ap-

23

plied by substituting ‘‘the present value of the

24

nonforfeitable accrued benefit of the employee

25

under the plan’’ for ‘‘one-half of the present

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DISTRIBU-

4

10

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CORONAVIRUS-RELATED

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kjohnson on DSK79L0C42PROD with BILLS

54
1

value of the nonforfeitable accrued benefit of

2

the employee under the plan’’.

3

(2) DELAY

OF REPAYMENT.—In

the case of a

4

qualified individual with an outstanding loan (on or

5

after the date of the enactment of this Act) from a

6

qualified employer plan (as defined in section

7

72(p)(4) of the Internal Revenue Code of 1986)—

8

(A) if the due date pursuant to subpara-

9

graph (B) or (C) of section 72(p)(2) of such

10

Code for any repayment with respect to such

11

loan occurs during the period beginning on the

12

date of the enactment of this Act and ending on

13

December 31, 2020, such due date shall be de-

14

layed for 1 year (or, if later, until the date

15

which is 180 days after the date of the enact-

16

ment of this Act),

17

(B) any subsequent repayments with re-

18

spect to any such loan shall be appropriately

19

adjusted to reflect the delay in the due date

20

under subparagraph (A) and any interest accru-

21

ing during such delay, and

22

(C) in determining the 5-year period and

23

the term of a loan under subparagraph (B) or

24

(C) of section 72(p)(2) of such Code, the period

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55
1

described in subparagraph (A) of this para-

2

graph shall be disregarded.

3

(3) QUALIFIED

purposes of

4

this subsection, the term ‘‘qualified individual’’

5

means any individual who is described in subsection

6

(a)(4)(A)(ii).

7

(c) PROVISIONS RELATING

8

TO

PLAN AMEND-

MENTS.—

9

(1) IN

GENERAL.—If

this subsection applies to

10

any amendment to any plan or annuity contract,

11

such plan or contract shall be treated as being oper-

12

ated in accordance with the terms of the plan during

13

the period described in paragraph (2)(B)(i).

14
15

(2) AMENDMENTS

TO WHICH SUBSECTION AP-

PLIES.—

16

kjohnson on DSK79L0C42PROD with BILLS

INDIVIDUAL.—For

(A) IN

GENERAL.—This

subsection shall

17

apply to any amendment to any plan or annuity

18

contract which is made—

19

(i) pursuant to any provision of this

20

section, or pursuant to any regulation

21

issued by the Secretary of the Treasury or

22

the Secretary of Labor (or the delegate of

23

either such Secretary) under any provision

24

of this section, and

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56
1

(ii) on or before the last day of the

2

first plan year beginning on or after Janu-

3

ary 1, 2020, or such later date as the Sec-

4

retary of the Treasury (or the Secretary’s

5

delegate) may prescribe.

6

In the case of a governmental plan (as defined

7

in section 414(d) of the Internal Revenue Code

8

of 1986), clause (ii) shall be applied by sub-

9

stituting the date which is 2 years after the

10

date otherwise applied under clause (ii).

11

(B) CONDITIONS.—This subsection shall

12

not apply to any amendment unless—

kjohnson on DSK79L0C42PROD with BILLS

13

(i) during the period—

14

(I) beginning on the date that

15

this section or the regulation de-

16

scribed in subparagraph (A)(i) takes

17

effect (or in the case of a plan or con-

18

tract amendment not required by this

19

section or such regulation, the effec-

20

tive date specified by the plan), and

21

(II) ending on the date described

22

in subparagraph (A)(ii) (or, if earlier,

23

the date the plan or contract amend-

24

ment is adopted),

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57
1

the plan or contract is operated as if such

2

plan or contract amendment were in effect,

3

and

4

(ii) such plan or contract amendment

5

applies retroactively for such period.

6

SEC. 2104. ALLOWANCE OF PARTIAL ABOVE THE LINE DE-

7

DUCTION FOR CHARITABLE CONTRIBUTIONS.

8

(a) IN GENERAL.—Section 62(a) of the Internal Rev-

9 enue Code of 1986 is amended by inserting after para10 graph (21) the following new paragraph:
11

‘‘(22) CHARITABLE

CONTRIBUTIONS.—In

the

12

case of taxable years beginning in 2020, the amount

13

(not to exceed $300) of qualified charitable contribu-

14

tions made by an eligible taxpayer during the tax-

15

able year .’’.

16

(b) DEFINITIONS.—Section 62 of such Code is

17 amended by adding at the end the following new sub18 section:
19
20

‘‘(f) DEFINITIONS RELATING
TABLE

TO

QUALIFIED CHARI-

CONTRIBUTIONS.—For purposes of subsection

21 (a)(22)—

kjohnson on DSK79L0C42PROD with BILLS

22

‘‘(1) ELIGIBLE

TAXPAYER.—The

term ‘eligible

23

taxpayer’ means any individual who does not elect to

24

itemize deductions.

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1

‘‘(2)

2

TIONS.—The

3

means a charitable contribution (as defined in sec-

4

tion 170(c))—

QUALIFIED

CONTRIBU-

term ‘qualified charitable contribution’

5

‘‘(A) which is made in cash,

6

‘‘(B) for which a deduction is allowable

7

under section 170 (determined without regard

8

to subsection (b) thereof), and

9

‘‘(C) which is—

10

‘‘(i) made to an organization de-

11

scribed in section 170(b)(1)(A), and

12

‘‘(ii) not—

13

‘‘(I) to an organization described

14

kjohnson on DSK79L0C42PROD with BILLS

CHARITABLE

in section 509(a)(3), or

15

‘‘(II) for the establishment of a

16

new, or maintenance of an existing,

17

donor advised fund (as defined in sec-

18

tion 4966(d)(2)).

19

Such term shall not include any amount

20

which is treated as a charitable contribu-

21

tion made in such taxable year under sub-

22

section (b)(1)(G) or (d)(1) of section

23

170.’’.

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59
1

(c) EFFECTIVE DATE.—The amendments made by

2 this section shall apply to taxable years beginning after
3 December 31, 2019.
4

SEC. 2105. MODIFICATION OF LIMITATIONS ON CHARI-

5
6

TABLE CONTRIBUTIONS DURING 2020.

(a) TEMPORARY SUSPENSION

OF

LIMITATIONS

ON

7 CERTAIN CASH CONTRIBUTIONS.—
8

(1) IN

as otherwise pro-

9

vided in paragraph (2), qualified contributions shall

10

be disregarded in applying subsections (b) and (d) of

11

section 170 of the Internal Revenue Code of 1986.

12

(2) TREATMENT

OF EXCESS CONTRIBUTIONS.—

13

For purposes of section 170 of the Internal Revenue

14

Code of 1986—

15

(A) INDIVIDUALS.—In the case of an indi-

16

kjohnson on DSK79L0C42PROD with BILLS

GENERAL.—Except

vidual—

17

(i) LIMITATION.—Any qualified con-

18

tribution shall be allowed as a deduction

19

only to the extent that the aggregate of

20

such contributions does not exceed the ex-

21

cess of the taxpayer’s contribution base (as

22

defined in subparagraph (H) of section

23

170(b)(1) of such Code) over the amount

24

of all other charitable contributions allowed

25

under section 170(b)(1) of such Code.

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60
1

(ii) CARRYOVER.—If the aggregate

2

amount of qualified contributions made in

3

the contribution year (within the meaning

4

of section 170(d)(1) of such Code) exceeds

5

the limitation of clause (i), such excess

6

shall be added to the excess described in

7

section 170(b)(1)(G)(ii).

8

(B) CORPORATIONS.—In the case of a cor-

kjohnson on DSK79L0C42PROD with BILLS

9

poration—

10

(i) LIMITATION.—Any qualified con-

11

tribution shall be allowed as a deduction

12

only to the extent that the aggregate of

13

such contributions does not exceed the ex-

14

cess of 25 percent of the taxpayer’s taxable

15

income (as determined under paragraph

16

(2) of section 170(b) of such Code) over

17

the amount of all other charitable con-

18

tributions allowed under such paragraph.

19

(ii) CARRYOVER.—If the aggregate

20

amount of qualified contributions made in

21

the contribution year (within the meaning

22

of section 170(d)(2) of such Code) exceeds

23

the limitation of clause (i), such excess

24

shall be appropriately taken into account

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1

under section 170(d)(2) subject to the limi-

2

tations thereof.

3

(3) QUALIFIED

kjohnson on DSK79L0C42PROD with BILLS

4

(A) IN

CONTRIBUTIONS.—

GENERAL.—For

purposes of this

5

subsection, the term ‘‘qualified contribution’’

6

means any charitable contribution (as defined

7

in section 170(c) of the Internal Revenue Code

8

of 1986) if—

9

(i) such contribution is paid in cash

10

during calendar year 2020 to an organiza-

11

tion described in section 170(b)(1)(A) of

12

such Code, and

13

(ii) the taxpayer has elected the appli-

14

cation of this section with respect to such

15

contribution.

16

(B) EXCEPTION.—Such term shall not in-

17

clude a contribution by a donor if the contribu-

18

tion is—

19

(i) to an organization described in sec-

20

tion 509(a)(3) of the Internal Revenue

21

Code of 1986, or

22

(ii) for the establishment of a new, or

23

maintenance of an existing, donor advised

24

fund (as defined in section 4966(d)(2) of

25

such Code).

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1

(C) APPLICATION

OF ELECTION TO PART-

2

NERSHIPS AND S CORPORATIONS.—In

3

of a partnership or S corporation, the election

4

under subparagraph (A)(ii) shall be made sepa-

5

rately by each partner or shareholder.

6

(b) INCREASE

IN

LIMITS

ON

the case

CONTRIBUTIONS

OF

7 FOOD INVENTORY.—In the case of any charitable con8 tribution

of

food

during

2020

to

which

section

9 170(e)(3)(C) of the Internal Revenue Code of 1986 ap10 plies, subclauses (I) and (II) of clause (ii) thereof shall
11 each be applied by substituting ‘‘25 percent’’ for ‘‘15 per12 cent.’’
13

(c) EFFECTIVE DATE.—This section shall apply to

14 taxable years ending after December 31, 2019.
15

TITLE II—BUSINESS PROVISIONS

16

SEC. 2201. DELAY OF ESTIMATED TAX PAYMENTS FOR COR-

17
18

PORATIONS.

(a) IN GENERAL.—In the case of a corporation, the

19 due date for any required installment under section 6655
20 of the Internal Revenue Code of 1986 which (but for the
21 application of this section) would be due during the appli22 cable period shall not be due before October 15, 2020, and

kjohnson on DSK79L0C42PROD with BILLS

23 all such installments shall be treated as one installment
24 due on such date. The Secretary of the Treasury (or the
25 Secretary’s delegate) shall prescribe such regulations or
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63
1 other guidance as may be necessary to carry out the pur2 poses of this section.
3

(b) APPLICABLE PERIOD.—For purposes of this sec-

4 tion, the applicable period is the period beginning on the
5 date of the enactment of this Act and ending before Octo6 ber 15, 2020.
7

SEC. 2202. DELAY OF PAYMENT OF EMPLOYER PAYROLL

8

kjohnson on DSK79L0C42PROD with BILLS

9

TAXES.

(a) IN GENERAL.—

10

(1) TAXES.—Notwithstanding any other provi-

11

sion of law, the payment for applicable employment

12

taxes for the payroll tax deferral period shall not be

13

due before the applicable date.

14

(2) DEPOSITS.—Notwithstanding section 6302

15

of the Internal Revenue Code of 1986, an employer

16

shall be treated as having timely made all deposits

17

of applicable employment taxes that are required to

18

be made (without regard to this section) for such

19

taxes during the payroll tax deferral period if all

20

such deposits are made not later than the applicable

21

date.

22

(3) EXCEPTION.—This subsection shall not

23

apply to any taxpayer if such taxpayer has had in-

24

debtedness forgiven under section 1105 of this Act

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64
1

with respect to a loan under section 7(a) of the

2

Small Business Act (15 U.S.C. 636(a)).

3

(b) SECA.—

4

(1) IN

provision of law, the payment for 50 percent of the

6

taxes imposed under section 1401(a) of the Internal

7

Revenue Code of 1986 for the payroll tax deferral

8

period shall not be due before the applicable date.
(2) ESTIMATED

TAXES.—For

purposes of ap-

10

plying section 6654 of the Internal Revenue Code of

11

1986 to any taxable year which includes any part of

12

the payroll tax deferral period, 50 percent of the of

13

the taxes imposed under section 1401(a) of such

14

Code for the payroll tax deferral period shall not be

15

treated as taxes to which such section 6654 applies.

16

(c) DEFINITIONS.—For purposes of this section—

17

(1) APPLICABLE

EMPLOYMENT

TAXES.—The

18

term ‘‘applicable employment taxes’’ means the fol-

19

lowing:

20

(A) The taxes imposed under section

21

3111(a) of the Internal Revenue Code of 1986.

22

(B) So much of the taxes imposed under

23

section 3211(a) of such Code as are attrib-

24

utable to the rate in effect under section

25

3111(a) of such Code.

•S 3548 IS
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any other

5

9

kjohnson on DSK79L0C42PROD with BILLS

GENERAL.—Notwithstanding

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65
1

(C) So much of the taxes imposed under

2

section 3221(a) of such Code as are attrib-

3

utable to the rate in effect under section

4

3111(a) of such Code.

5

(2) PAYROLL

TAX DEFERRAL PERIOD.—The

6

term ‘‘payroll tax deferral period’’ means the period

7

beginning on the date of the enactment of this Act

8

and ending before January 1, 2021.

9
10

(3) APPLICABLE

DATE.—The

term ‘‘applicable

date’’ means—

11

(A) December 31, 2021, with respect to 50

12

percent of the amounts to which subsection (a)

13

or (b), as the case may be, apply, and

14

(B) December 31, 2022, with respect to

15
16

the remaining such amounts.
(d) TRUST FUNDS HELD HARMLESS.—There are

17 hereby appropriated (out of any money in the Treasury
18 not otherwise appropriated) for each fiscal year to the
19 Federal Old-Age and Survivors Insurance Trust Fund and
20 the Federal Disability Insurance Trust Fund established
21 under section 201 of the Social Security Act (42 U.S.C.
22 401) and the Social Security Equivalent Benefit Account

kjohnson on DSK79L0C42PROD with BILLS

23 established under section 15A(a) of the Railroad Retire24 ment Act of 1974 (45 U.S.C. 231n–1(a)) an amount equal
25 to the reduction in the transfers to such fund for such
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66
1 fiscal year by reason of this section. Amounts appropriated
2 by the preceding sentence shall be transferred from the
3 general fund at such times and in such manner as to rep4 licate to the extent possible the transfers which would have
5 occurred to such Trust Fund had such amendments not
6 been enacted.
7

(e) REGULATORY AUTHORITY.—The Secretary of the

8 Treasury (or the Secretary’s delegate) shall issue such
9 regulations or other guidance as necessary to carry out
10 the purposes of this section.
11

SEC. 2203. MODIFICATIONS FOR NET OPERATING LOSSES.

12
13

(a) TEMPORARY REPEAL OF TAXABLE INCOME LIMITATION.—

14

(1) IN

first sentence of section

15

172(a) of the Internal Revenue Code of 1986 is

16

amended by striking ‘‘an amount equal to’’ and all

17

that follows and inserting ‘‘an amount equal to—

18

‘‘(1) in the case of a taxable year beginning be-

19

fore January 1, 2021, the aggregate of the net oper-

20

ating loss carryovers to such year, plus the net oper-

21

ating loss carrybacks to such year, and

22
23
kjohnson on DSK79L0C42PROD with BILLS

GENERAL.—The

‘‘(2) in the case of a taxable year beginning
after December 31, 2020, the sum of—

24

‘‘(A) the aggregate amount of net oper-

25

ating losses arising in taxable years beginning

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67
1

before January 1, 2018, carried to such taxable

2

year, plus

3

‘‘(B) the lesser of—

4

‘‘(i) the aggregate amount of net op-

5

erating losses arising in taxable years be-

6

ginning after December 31, 2017, carried

7

to such taxable year, or

8

‘‘(ii) 80 percent of the excess (if any)

9

of—

10

‘‘(I) taxable income computed

11

without regard to the deductions

12

under this section and sections 199A

13

and 250, over

14

‘‘(II)

15

amount

determined

under subparagraph (A).’’.

16

(2) CONFORMING

17

AMENDMENTS.—

(A) Section 172(b)(2)(C) of such Code is

18

kjohnson on DSK79L0C42PROD with BILLS

the

amended to read as follows:

19

‘‘(C) for taxable years beginning after De-

20

cember 31, 2020, be reduced by 20 percent of

21

the excess (if any) described in subsection

22

(a)(2)(B)(ii) for such taxable year.’’.

23

(B) Section 172(d)(6)(C) of such Code is

24

amended by striking ‘‘subsection (a)(2)’’ and

25

inserting ‘‘subsection (a)(2)(B)(ii)(I)’’.

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68
1

(C) Section 860E(a)(3)(B) of such Code is

2

amended by striking all that follows ‘‘for pur-

3

poses

4

(a)(2)(B)(ii)(I) and the second sentence of sub-

5

section (b)(2) of section 172.’’.

6

(b)

of’’

and

MODIFICATION

inserting

RULES

OF

‘‘subsection

RELATING

TO

7 CARRYBACKS.—
8
9
10

(1) IN

GENERAL.—Section

ternal Revenue Code of 1986 is amended by adding
at the end the following new subparagraph:

11

‘‘(D) SPECIAL

RULE FOR LOSSES ARISING

12

IN 2018, 2019, AND 2020.—

13

‘‘(i) IN

GENERAL.—In

the case of any

14

net operating loss arising in a taxable year

15

beginning after December 31, 2017, and

16

before January 1, 2020—

17

‘‘(I) such loss shall be a net oper-

18

ating loss carryback to each of the 5

19

taxable years preceding the taxable

20

year of such loss, and

21

kjohnson on DSK79L0C42PROD with BILLS

172(b)(1) of the In-

‘‘(II)

subparagraphs

22

(C)(i) shall not apply.

23

‘‘(ii) SPECIAL

24

22:59 Mar 19, 2020

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RULES FOR REIT’S.—

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1

‘‘(I) IN

ating loss for a REIT year shall not

3

be a net operating loss carryback to

4

any taxable year preceding the taxable

5

year of such loss.
‘‘(II) SPECIAL

RULE.—In

the

7

case of any net operating loss for a

8

taxable year which is not a REIT

9

year, such loss shall not be carried

10

back to any taxable year which is a

11

REIT year.

12

‘‘(III) REIT

YEAR.—For

pur-

13

poses of this subparagraph, the term

14

‘REIT year’ means any taxable year

15

for which the provisions of part II of

16

subchapter M (relating to real estate

17

investment trusts) apply to the tax-

18

payer.

19

‘‘(iii) ELECTION.—A taxpayer may

20

elect not to have clause (i) apply for any

21

taxable year. Such election shall be made

22

in such manner as prescribed by the Sec-

23

retary and shall be made—

24

‘‘(I) in the case of any election

25

relating to a net operating loss arising

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2

6

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GENERAL.—A

22:59 Mar 19, 2020

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1

in a taxable year beginning in 2018 or

2

2019, by the due date (including ex-

3

tensions of time) for filing the tax-

4

payer’s return for the first taxable

5

year ending after the date of the en-

6

actment of this subparagraph, and

7

‘‘(II) in the case of any election

8

relating to a net operating loss arising

9

in a taxable year beginning in 2020,

10

by the due date (including extensions

11

of time) for such taxable year.

12

Such election, once made for any taxable

13

year, shall be irrevocable for such taxable

14

year.’’.

15

(2)

CONFORMING

AMENDMENT.—Section

16

170(b)(1)(A) of such Code, as amended by sub-

17

section (c)(2), is amended by striking ‘‘and (C)(i)’’

18

and inserting ‘‘, (C)(i), and (D)’’.

19

(c) TECHNICAL AMENDMENT RELATING

TO

SECTION

20 13302 OF PUBLIC LAW 115–97.—

kjohnson on DSK79L0C42PROD with BILLS

21

(1) Section 13302(e) of Public Law 115–97 is

22

amended to read as follows:

23

‘‘(e) EFFECTIVE DATES.—

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1

‘‘(1) NET

2

amendments made by subsections (a) and (d)(2)

3

shall apply to—

4

‘‘(A) taxable years beginning after Decem-

5

ber 31, 2017, and

6

‘‘(B) taxable years beginning on or before

7

December 31, 2017, to which net operating

8

losses arising in taxable years beginning after

9

December 31, 2017, are carried.

10

kjohnson on DSK79L0C42PROD with BILLS

OPERATING LOSS LIMITATION.—The

‘‘(2) CARRYFORWARDS

AND CARRYBACKS.—The

11

amendments made by subsections (b), (c), and

12

(d)(1) shall apply to net operating losses arising in

13

taxable years beginning after December 31, 2017.’’.

14

(2) Section 172(b)(1)(A) of the Internal Rev-

15

enue Code of 1986 is amended to read as follows:

16

‘‘(A) GENERAL

17

loss for any taxable year—

RULE.—A

net operating

18

‘‘(i) shall be a net operating loss

19

carryback to the extent provided in sub-

20

paragraphs (B) and (C)(i), and

21

‘‘(ii) except as provided in subpara-

22

graph (C)(ii), shall be a net operating loss

23

carryover—

24

‘‘(I) in the case of a net oper-

25

ating loss arising in a taxable year be-

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1

ginning before January 1, 2018, to

2

each of the 20 taxable years following

3

the taxable year of the loss, and

4

‘‘(II) in the case of a net oper-

5

ating loss arising in a taxable year be-

6

ginning after December 31, 2017, to

7

each taxable year following the tax-

8

able year of the loss.’’.

9

(d) EFFECTIVE DATES.—

10
11

(1) NET

amendments made by subsection (a) shall apply—

12

(A) to taxable years beginning after De-

13

cember 31, 2017, and

14

(B) taxable years beginning on or before

15

December 31, 2017, to which net operating

16

losses arising in taxable years beginning after

17

December 31, 2017, are carried.

18

(2) CARRYFORWARDS

AND CARRYBACKS.—The

19

amendment made by subsection (b) shall apply to

20

net operating losses arising in taxable years begin-

21

ning after December 31, 2017.

22

kjohnson on DSK79L0C42PROD with BILLS

OPERATING LOSS LIMITATION.—The

(3) TECHNICAL

AMENDMENTS.—The

23

ments made by subsection (c) shall take effect as if

24

included in the provisions of Public Law 115–97 to

25

which they relate.

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1

(4) SPECIAL

the case of a net oper-

2

ating loss arising in a taxable year beginning before

3

January 1, 2018, and ending after December 31,

4

2017—

5

(A) an application under section 6411(a)

6

of the Internal Revenue Code of 1986 with re-

7

spect to the carryback of such net operating

8

loss shall not fail to be treated as timely filed

9

if filed not later than the date which is 120

10

days after the date of the enactment of this

11

Act, and

12

(B) an election to—

13

(i) forgo any carryback of such net

14

kjohnson on DSK79L0C42PROD with BILLS

RULE.—In

operating loss,

15

(ii) reduce any period to which such

16

net operating loss may be carried back, or

17

(iii) revoke any election made under

18

section 172(b) to forgo any carryback of

19

such net operating loss,

20

shall not fail to be treated as timely made if

21

made not later than the date which is 120 days

22

after the date of the enactment of this Act.

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1

SEC. 2204. MODIFICATION OF LIMITATION ON LOSSES FOR

2

TAXPAYERS OTHER THAN CORPORATIONS.

3

(a) IN GENERAL.—Section 461(l)(1) of the Internal

4 Revenue Code of 1986 is amended by striking ‘‘December
5 31, 2017’’ and inserting ‘‘December 31, 2020’’.
6
7

(b) TECHNICAL AMENDMENTS RELATING
TION

8

(1) Section 461(l)(2) of the Internal Revenue

9

Code of 1986 is amended by striking ‘‘a net oper-

10

ating loss carryover to the following taxable year

11

under section 172’’ and inserting ‘‘a net operating

12

loss for the taxable year for purposes of determining

13

any net operating loss carryover under section

14

172(b) for subsequent taxable years’’.

16

(2) Section 461(l)(3)(A) of such Code is
amended—

17

(A) in clause (i), by inserting ‘‘and without

18

regard to any deduction allowable under section

19

172 or 199A’’ after ‘‘under paragraph (1)’’,

20

and

21

(B) by adding at the end the following

22

kjohnson on DSK79L0C42PROD with BILLS

SEC-

11012 OF PUBLIC LAW 115–97.—

15

flush sentence:

23

‘‘Such excess shall be determined without regard to

24

any deductions, gross income, or gains attributable

25

to any trade or business of performing services as an

26

employee.’’.
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75
1

(3) Section 461(l)(3) of such Code is amended

2

by redesignating subparagraph (B) as subparagraph

3

(C) and by inserting after subparagraph (A) the fol-

4

lowing new subparagraph:

5

‘‘(B) TREATMENT

6

LOSSES.—

7

‘‘(i) LOSSES.—Deductions for losses

8

from sales or exchanges of capital assets

9

shall not be taken into account under sub-

10

paragraph (A)(i).

11

‘‘(ii) GAINS.—The amount of gains

12

from sales or exchanges of capital assets

13

taken into account under subparagraph

14

(A)(ii) shall not exceed the lesser of—

15

‘‘(I) the capital gain net income

16

determined by taking into account

17

only gains and losses attributable to a

18

trade or business, or

19

‘‘(II) the capital gain net in-

20
21

come.’’.
(c) EFFECTIVE DATES.—

22

kjohnson on DSK79L0C42PROD with BILLS

OF CAPITAL GAINS AND

(1) IN

GENERAL.—The

amendments made by

23

subsection (a) shall apply to taxable years beginning

24

after December 31, 2017.

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1

(2) TECHNICAL

AMENDMENTS.—The

amend-

2

ments made by subsection (b) shall take effect as if

3

included in the provisions of Public Law 115–97 to

4

which they relate.

5

SEC. 2205. MODIFICATION OF CREDIT FOR PRIOR YEAR

6

MINIMUM TAX LIABILITY OF CORPORATIONS.

7

(a) IN GENERAL.—Section 53(e) of the Internal Rev-

8 enue Code of 1986 is amended to read as follows:
9
10

‘‘(e) CREDIT TREATED
TAIN

AS

REFUNDABLE

FOR

CER-

TAXPAYERS.—In the case of the first taxable year

11 of a corporation beginning in 2018—
12

‘‘(1) subsection (c) shall not apply, and

13

‘‘(2) for purposes of this title (other than this

14

section), the credit allowed by reason of this sub-

15

section shall be treated as allowed under subpart C

16

(and not this subpart).’’.

17

(b) EFFECTIVE DATE.—The amendment made by

18 this section shall apply to taxable years beginning after
19 December 31, 2017.
20

SEC. 2206. MODIFICATION OF LIMITATION ON BUSINESS IN-

21
22

TEREST.

(a) IN GENERAL.—Section 163(j) of the Internal

kjohnson on DSK79L0C42PROD with BILLS

23 Revenue Code of 1986 is amended by redesignating para24 graph (10) as paragraph (11) and by inserting after para25 graph (9) the following new paragraph:
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77
1
2

‘‘(10) SPECIAL

RULE FOR TAXABLE YEARS BE-

GINNING IN 2019 AND 2020.—

3

‘‘(A) IN

GENERAL.—In

the case of any

4

taxable year beginning in 2019 or 2020, para-

5

graph (1)(B) shall be applied by substituting

6

‘50 percent’ for ‘30 percent’.

7

‘‘(B) ELECTION

8

TO USE 2019 INCOME FOR

TAXABLE YEARS BEGINNING IN 2020.—

9

‘‘(i) IN

GENERAL.—Subject

to clause

10

(ii), in the case of any taxable year begin-

11

ning in 2020, the taxpayer may elect to

12

apply this subsection by substituting the

13

adjusted taxable income of the taxpayer for

14

the last taxable year beginning in 2019 for

15

the adjusted taxable income for such tax-

16

able year.

17

‘‘(ii) SPECIAL

RULE FOR SHORT TAX-

18

ABLE YEARS.—No

election may be made

19

under clause (i) with respect to any taxable

20

year beginning in 2020 if such taxable

21

year is a short taxable year.’’.

22

(b) EFFECTIVE DATE.—The amendments made by

kjohnson on DSK79L0C42PROD with BILLS

23 this section shall apply to taxable years beginning after
24 December 31, 2018.

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78
1

SEC. 2207. TECHNICAL AMENDMENTS REGARDING QUALI-

2

FIED IMPROVEMENT PROPERTY.

3

(a) IN GENERAL.—Section 168 of the Internal Rev-

4 enue Code of 1986 is amended—
5

(1) in subsection (e)—

6

(A) in paragraph (3)(E), by striking ‘‘and’’

7

at the end of clause (v), by striking the period

8

at the end of clause (vi) and inserting ‘‘, and’’,

9

and by adding at the end the following new

10

clause:

11

‘‘(vii) any qualified improvement prop-

12

erty.’’, and

13

(B) in paragraph (6)(A), by inserting

14

‘‘made by the taxpayer’’ after ‘‘any improve-

15

ment’’, and

16

(2) in the table contained in subsection

17

(g)(3)(B)—

18

(A) by striking the item relating to sub-

19

paragraph (D)(v), and

20

(B) by inserting after the item relating to

21

subparagraph (E)(vi) the following new item:
‘‘(E)(vii) .......................................................................................

22

20’’.

(b) EFFECTIVE DATE.—The amendments made by

kjohnson on DSK79L0C42PROD with BILLS

23 this section shall take effect as if included in section
24 13204 of Public Law 115–97.

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79
1

SEC. 2208. INSTALLMENTS NOT TO PREVENT CREDIT OR

2

REFUND OF OVERPAYMENTS OR INCREASE

3

ESTIMATED TAXES.

4

(a) IN GENERAL.—Section 965(h) of the Internal

5 Revenue Code of 1986 is amended by adding at the end
6 the following new paragraph:
7

‘‘(7) INSTALLMENTS

8

OR REFUND OF OVERPAYMENTS OR INCREASE ESTI-

9

MATED TAXES.—If

an election is made under para-

10

graph (1) to pay the net tax liability under this sec-

11

tion in installments—

12

‘‘(A) no installment of such net tax liabil-

13

kjohnson on DSK79L0C42PROD with BILLS

NOT TO PREVENT CREDIT

ity shall—

14

‘‘(i) in the case of a request for credit

15

or refund, be taken into account as a li-

16

ability for purposes of determining whether

17

an overpayment exists for purposes of sec-

18

tion 6402 before the date on which such

19

installment is due, or

20

‘‘(ii) for purposes of sections 6425,

21

6654, and 6655, be treated as a tax im-

22

posed by section 1, section 11, or sub-

23

chapter L of chapter 1, and

24

‘‘(B) the first sentence of section 6403

25

shall not apply with respect to any such install-

26

ment.’’.
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1

(b) LIMITATION

ON

PAYMENT

OF INTEREST.—In

the

2 case of the portion of any overpayment which exists by
3 reason of the application of section 965(h)(7) of the Inter4 nal Revenue Code of 1986 (as added by this section)—
5

(1) if credit or refund of such portion is made

6

on or before the date which is 45 days after the date

7

of the enactment of this Act, no interest shall be al-

8

lowed or paid under section 6611 of such Code with

9

respect to such portion; and

10

(2) if credit or refund of such portion is made

11

after the date which is 45 days after the date of the

12

enactment of this Act, no interest shall be allowed

13

or paid under section 6611 of such Code with re-

14

spect to such portion for any period before the date

15

of the enactment of this Act.

16

(c) EFFECTIVE DATE.—The amendment made by

17 subsection (a) shall take effect as if included in section
18 14103 of Public Law 115–97.
19

SEC. 2209. RESTORATION OF LIMITATION ON DOWNWARD

20

ATTRIBUTION OF STOCK OWNERSHIP IN AP-

21

PLYING CONSTRUCTIVE OWNERSHIP RULES.

22

(a) IN GENERAL.—Section 958(b) of the Internal

kjohnson on DSK79L0C42PROD with BILLS

23 Revenue Code of 1986 is amended—
24
25

(1) by inserting after paragraph (3) the following:

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1

‘‘(4) Subparagraphs (A), (B), and (C) of sec-

2

tion 318(a)(3) shall not be applied so as to consider

3

a United States person as owning stock which is

4

owned by a person who is not a United States per-

5

son.’’, and

6

(2) by striking ‘‘Paragraph (1)’’ in the last sen-

7

tence and inserting ‘‘Paragraphs (1) and (4)’’.

8

(b) FOREIGN CONTROLLED UNITED STATES SHARE-

9

HOLDERS.—Subpart

F of part III of subchapter N of

10 chapter 1 of such Code is amended by inserting after sec11 tion 951A the following new section:
12

‘‘SEC. 951B. AMOUNTS INCLUDED IN GROSS INCOME OF

13

FOREIGN

14

SHAREHOLDERS.

15

CONTROLLED

UNITED

STATES

‘‘(a) IN GENERAL.—In the case of any foreign con-

16 trolled United States shareholder of a foreign controlled

kjohnson on DSK79L0C42PROD with BILLS

17 foreign corporation—
18

‘‘(1) this subpart (other than sections 951A,

19

951(b), 957, and 965) shall be applied with respect

20

to such shareholder (separately from, and in addi-

21

tion to, the application of this subpart without re-

22

gard to this section)—

23

‘‘(A) by substituting ‘foreign controlled

24

United States shareholder’ for ‘United States

25

shareholder’ each place it appears therein, and

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82
1

‘‘(B) by substituting ‘foreign controlled

2

foreign corporation’ for ‘controlled foreign cor-

3

poration’ each place it appears therein, and

4

‘‘(2) sections 951A and 965 shall be applied

5

with respect to such shareholder —

6

‘‘(A) by treating each reference to ‘United

7

States shareholder’ in such sections as includ-

8

ing a reference to such shareholder, and

9

‘‘(B) by treating each reference to ‘con-

10

trolled foreign corporation’ in such sections as

11

including a reference to such foreign controlled

12

foreign corporation.

13

‘‘(b)

FOREIGN

CONTROLLED

UNITED

STATES

14 SHAREHOLDER.—For purposes of this section, the term
15 ‘foreign controlled United States shareholder’ means, with
16 respect to any foreign corporation, any United States per17 son which would be a United States shareholder with re-

kjohnson on DSK79L0C42PROD with BILLS

18 spect to such foreign corporation if—
19

‘‘(1) section 951(b) were applied by substituting

20

‘more than 50 percent’ for ‘10 percent or more’, and

21

‘‘(2) section 958(b) were applied without regard

22

to paragraph (4) thereof.

23

‘‘(c) FOREIGN CONTROLLED FOREIGN CORPORA-

24

TION.—For

purposes of this section, the term ‘foreign con-

25 trolled foreign corporation’ means a foreign corporation,
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83
1 other than a controlled foreign corporation, which would
2 be a controlled foreign corporation if section 957(a) were
3 applied—
4

‘‘(1) by substituting ‘foreign controlled United

5

States shareholders’ for ‘United States share-

6

holders’, and

7

‘‘(2) by substituting ‘section 958(b) (other than

8

paragraph (4) thereof)’ for ‘section 958(b)’.

9

‘‘(d) REGULATIONS.—The Secretary shall prescribe

10 such regulations or other guidance as may be necessary
11 or appropriate to carry out the purposes of this section,
12 including regulations or other guidance—
13

‘‘(1) to treat a foreign controlled United States

14

shareholder or a foreign controlled foreign corpora-

15

tion as a United States shareholder or as a con-

16

trolled foreign corporation, respectively, for purposes

17

of provisions of this title other than this subpart,

18

and

19

‘‘(2) to prevent the avoidance of the purposes of

20

this section.’’.

21

(c) CLERICAL AMENDMENT.—The table of sections

22 for subpart F of part III of subchapter N of chapter 1

kjohnson on DSK79L0C42PROD with BILLS

23 of such Code is amended by inserting after the item relat24 ing to section 951A the following new item:
‘‘Sec. 951B. Amounts included in gross income of foreign controlled United
States shareholders.’’.

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84
1

(d) EFFECTIVE DATE.—The amendments made by

2 this section shall apply to—
3

(1) the last taxable year of foreign corporations

4

beginning before January 1, 2018, and each subse-

5

quent taxable year of such foreign corporations, and

6

(2) taxable years of United States persons in

7

which or with which such taxable years of foreign

8

corporations end.

14

DIVISION C—ASSISTANCE TO SEVERELY DISTRESSED SECTORS OF THE UNITED STATES
ECONOMY
TITLE I—ECONOMIC
STABILIZATION

15

SEC. 3101. SHORT TITLE.

9
10
11
12
13

16

This title may be cited as the ‘‘Coronavirus Economic

17 Stabilization Act of 2020’’.
18

SEC. 3102. EMERGENCY RELIEF THROUGH LOANS AND

19
20

LOAN GUARANTEES.

(a) IN GENERAL.—Notwithstanding any other provi-

21 sion of law, to provide liquidity to eligible businesses re22 lated to losses incurred as a direct result of coronavirus,

kjohnson on DSK79L0C42PROD with BILLS

23 the Secretary is authorized to make or guarantee loans
24 to eligible businesses that do not, in the aggregate, exceed
25 $208,000,000,000 and provide the subsidy amounts nec•S 3548 IS
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85
1 essary for such loans and loan guarantees in accordance
2 with the provisions of the Federal Credit Reform Act of
3 1990 (2 U.S.C. 661 et seq.).
4
5

(b) DISTRIBUTION
TEES.—Loans

OF

LOANS

AND

LOAN GUARAN-

and loan guarantees made pursuant to sub-

6 section (a) shall be made available to eligible business as
7 follows:
8
9

(1) Not more than $50,000,000,000 shall be
available for passenger air carriers.

10
11

(2) Not more than $8,000,000,000 shall be
available for cargo air carriers.

12

(3) Not more than $150,000,000,000 shall be

13

available for other eligible businesses.

14

(c) LOANS AND LOAN GUARANTEES.—

kjohnson on DSK79L0C42PROD with BILLS

15

(1) IN

GENERAL.—The

Secretary shall review

16

and decide on applications for loans and loan guar-

17

antees under this section and may enter into agree-

18

ments to make or guarantee loans to one or more

19

obligors if the Secretary determines, in the Sec-

20

retary’s discretion, that—

21

(A) the obligor is a eligible business for

22

which credit is not reasonably available at the

23

time of the transaction;

24

(B) the intended obligation by the obligor

25

is prudently incurred; and

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1

(C) the loan is sufficiently secured.

2

(2) TERMS

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3

AND LIMITATIONS.—

(A) FORMS;

TERMS AND CONDITIONS.—A

4

loan or loan guarantee shall be issued under

5

this section in such form and on such terms

6

and conditions and contain such covenants, rep-

7

resentatives, warranties, and requirements (in-

8

cluding requirements for audits) as the Sec-

9

retary determines appropriate. Any loans made

10

by the Secretary under this section shall be at

11

a rate not less than a rate determined by the

12

Secretary taking into consideration the current

13

average yield on outstanding marketable obliga-

14

tions of the United States of comparable matu-

15

rity.

16

(B) PROCEDURES.—As soon as prac-

17

ticable, but in no case later than 10 days after

18

the date of enactment of this Act, the Secretary

19

shall publish procedures for application and

20

minimum requirements, which may be supple-

21

mented by the Secretary in the Secretary’s dis-

22

cretion, for the making of loans and loan guar-

23

antees under this section.

24

(d) FINANCIAL PROTECTION OF GOVERNMENT.—

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1

(1) IN

GENERAL.—To

the extent feasible and

2

practicable, the Secretary shall ensure that the Fed-

3

eral Government is compensated for the risk as-

4

sumed in making loans and loan guarantees under

5

this section.

6

(2) GOVERNMENT

PARTICIPATION IN GAINS.—If

7

an eligible business receives a loan or loan guarantee

8

from the Federal Government under this section, the

9

Secretary is authorized to enter into contracts under

10

which the Federal Government, contingent on the fi-

11

nancial success of the eligible business, would par-

12

ticipate in the gains of the eligible business or its se-

13

curity holders through the use of such instruments

14

as warrants, stock options, common or preferred

15

stock, or other appropriate equity instruments.

16

(e) DEPOSIT

OF

PROCEEDS.—Amounts collected by

17 the Secretary under this section, including the proceeds
18 of investments, earnings, and interest collected, shall be

kjohnson on DSK79L0C42PROD with BILLS

19 deposited as follows:
20

(1) Amounts collected from eligible businesses

21

that received loans or loan guarantees under para-

22

graph (1) or (2) of subsection (b) shall be deposited

23

in the Airport and Airway Trust Fund under section

24

9502 of the Internal Revenue Code of 1986.

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1

(2) Amounts collected from eligible businesses

2

that received loans or loan guarantees under para-

3

graph (3) of subsection (b) shall be deposited in the

4

Treasury as miscellaneous receipts.

5

(f) ADMINISTRATIVE EXPENSES.—Notwithstanding

6 any other provision of law, the Secretary may use
7 $100,000,000 of the funds made available under this sec8 tion to pay costs and administrative expenses associated
9 with the provision of direct loans or guarantees authorized
10 under this section.
11

(g) CONFORMING AMENDMENT.—Section 10(a) of

12 the Gold Reserve Act of 1934 (31 U.S.C. 5302(a)) is
13 amended—
14

(1) by striking ‘‘and’’ before ‘‘section 3’’; and

15

(2) by inserting ‘‘and the Coronavirus Eco-

16

nomic Stabilization Act of 2020,’’ before ‘‘and for

17

investing’’.

18

SEC. 3103. LIMITATION ON CERTAIN EMPLOYEE COM-

19
20

PENSATION.

(a) IN GENERAL.—The Secretary may only enter into

21 a loan or loan agreement under section 3102(a) with an
22 eligible business after the eligible business enters into a

kjohnson on DSK79L0C42PROD with BILLS

23 legally binding agreement with the Secretary that, during
24 the 2-year period beginning March 1, 2020, and ending
25 March 1, 2022, no officer or employee of the eligible busi•S 3548 IS
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89
1 ness whose total compensation exceeded $425,000 in cal2 endar year 2019 (other than an employee whose com3 pensation is determined through an existing collective bar4 gaining agreement entered into prior to March 1, 2020)—
5

(1) will receive from the eligible business total

6

compensation which exceeds, during any 12 consecu-

7

tive months of such 2-year period, the total com-

8

pensation received by the officer or employee from

9

the eligible business in calendar year 2019; and

10

(2) will receive from the eligible business sever-

11

ance pay or other benefits upon termination of em-

12

ployment with the eligible business which exceeds

13

twice the maximum total compensation received by

14

the officer or employee from the eligible business in

15

calendar year 2019.

16

(b) TOTAL COMPENSATION DEFINED.—In this sec-

17 tion, the term ‘‘total compensation’’ includes salary, bo18 nuses, awards of stock, and other financial benefits pro19 vided by an eligible business to an officer or employee of
20 the eligible business.
21

SEC. 3104. CONTINUATION OF CERTAIN AIR SERVICE.

22

The Secretary of Transportation is authorized to re-

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23 quire, to the extent reasonable and practicable, an air car24 rier receiving loans and loan guarantees under section
25 3102 to maintain scheduled air transportation service as
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1 the Secretary of Transportation deems necessary to ensure
2 services to any point served by that carrier before March
3 1, 2020. When considering whether to exercise the author4 ity granted by this section, the Secretary of Transpor5 tation shall take into consideration the air transportation
6 needs of small and remote communities.
7

SEC. 3105. REPORTS.

8

(a) SECRETARY.—The Secretary shall, with respect

9 to the loans and loan guarantees provided under section
10 3102, make such reports as are required under section
11 5302 or title 31, United States Code.

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12

(b) GOVERNMENT ACCOUNTABILITY OFFICE.—

13

(1) STUDY.—The Comptroller General of the

14

United States shall conduct a study on the loans

15

and loan guarantees provided under section 3102.

16

(2) REPORT.—Not later than 9 months after

17

the date of enactment of this Act, and annually

18

thereafter through the year succeeding the last year

19

for which loans or loan guarantees provided under

20

section 3102 are in effect, the Comptroller General

21

shall submit to the Committee on Transportation

22

and Infrastructure, the Committee on Appropria-

23

tions, and the Committee on the Budget of the

24

House of Representatives and the Committee on

25

Commerce, Science, and Transportation, the Com-

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1

mittee on Appropriations, and the Committee on the

2

Budget of the Senate a report on the loans and loan

3

guarantees provided under section 3102.

4

SEC. 3106. COORDINATION WITH SECRETARY OF TRANS-

5

PORTATION.

6

In implementing this title with respect to air carriers,

7 the Secretary shall coordinate with the Secretary of
8 Transportation.
9

SEC. 3107. DEFINITIONS.

10

In this title:

11

(1) AIR

term ‘‘air carrier’’ has

12

the meaning such term has under section 40102 of

13

title 49, United States Code.

14

(2) CORONAVIRUS.—The term ‘‘coronavirus’’

15

means SARS-CoV-2 or another coronavirus with

16

pandemic potential.

17

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CARRIER.—The

(3) COVERED

LOSS.—The

term ‘‘covered loss’’

18

includes losses, direct or incremental, incurred as a

19

result of coronavirus, as determined by the Sec-

20

retary.

21

(4) ELIGIBLE

22

business’’ means—

BUSINESS.—The

term ‘‘eligible

23

(A) an air carrier; or

24

(B) a United States business that has in-

25

curred covered losses such that the continued

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1

operations of the business are jeopardized, as

2

determined by the Secretary, and that has not

3

otherwise applied for or received economic relief

4

in the form of loans or loan guarantees pro-

5

vided under any other provision of this Act.

6

(5) SECRETARY.—The term ‘‘Secretary’’ means

7

the Secretary of the Treasury, or the designee of the

8

Secretary of the Treasury.

9

SEC. 3108. RULE OF CONSTRUCTION.

10

Nothing in this title shall be construed to allow the

11 Secretary to provide relief to eligible businesses except in
12 the form of secured loans and loan guarantees as provided
13 in this title and under terms and conditions that are in
14 the interest of the Federal Government.

16

TITLE II—AVIATION EXCISE
TAXES

17

SEC. 3201. SUSPENSION OF CERTAIN AVIATION EXCISE

15

18
19

TAXES.

(a) TRANSPORTATION

BY

AIR.—In the case of any

20 payment for transportation by air (including any amount
21 treated as paid for transportation by air by reason of sec22 tion 4261(e)(3) of the Internal Revenue Code of 1986)

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23 during the excise tax holiday period, no tax shall be im24 posed under section 4261 or 4271 of such Code. The pre25 ceding sentence shall not apply to amounts paid for trans•S 3548 IS
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93
1 portation on or before the date of the enactment of this
2 Act.
3

(b) USE OF KEROSENE IN COMMERCIAL AVIATION.—

4 In the case of kerosene used in commercial aviation (as
5 defined in section 4083 of the Internal Revenue Code of
6 1986) during the excise tax holiday period—
7
8

(1) no tax shall be imposed on such kerosene
under—

9

(A) section 4041(c) of the Internal Rev-

10

enue Code of 1986, or

11

(B) section 4081 of such Code (other than

12

at the rate provided in subsection (a)(2)(B)

13

thereof), and

14

(2) section 6427(l) of such Code shall be ap-

15

plied—

16

(A) by treating such use as a nontaxable

17

use, and

18

(B) without regard to paragraph (4)(A)(ii)

19
20

thereof.
(c) EXCISE TAX HOLIDAY PERIOD.—For purposes of

21 section, the term ‘‘excise tax holiday period’’ means the
22 period beginning after the date of the enactment of this

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23 section and ending before January 1, 2021.

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94

5

DIVISION D—HEALTH CARE
RESPONSE
TITLE I—HEALTH PROVISIONS
Subtitle A—Addressing Supply
Shortages

6

PART I—MOVING THE STRATEGIC NATIONAL

7

STOCKPILE TO ASPR

8

SEC. 4101. MOVING THE STRATEGIC NATIONAL STOCKPILE

1
2
3
4

9
10

TO ASPR.

Section 319F–2(a)(1) of the Public Health Service

11 Act (42 U.S.C. 247d–6b(a)(1)) is amended by striking
12 ‘‘The Secretary, in collaboration with the Assistant Sec13 retary for Preparedness and Response and the Director
14 of the Centers for Disease Control and Prevention, and
15 in coordination with the Secretary of Homeland Security
16 (referred to in this section as the ‘Homeland Security Sec17 retary’), shall maintain’’ and inserting ‘‘The Secretary, in
18 collaboration with the Assistant Secretary for Prepared19 ness and Response, and in coordination with the Secretary
20 of Homeland Security (referred to in this section as the

kjohnson on DSK79L0C42PROD with BILLS

21 ‘Homeland Security Secretary’), shall maintain’’.

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1

PART II—MEDICAL PRODUCT SUPPLIES

2

SEC. 4111. NATIONAL ACADEMIES REPORT ON AMERICA’S

3

MEDICAL PRODUCT SUPPLY CHAIN SECU-

4

RITY.

5

(a) IN GENERAL.—Not later than 60 days after the

6 date of enactment of this Act, the Secretary of Health and
7 Human Services shall enter into an agreement with the
8 National Academies of Sciences, Engineering, and Medi9 cine (referred to in this section as the ‘‘National Acad10 emies’’) to examine, and, in a manner that does not com11 promise national security, report on, the security of the
12 United States medical product supply chain.
13

(b) PURPOSES.—The report developed under this sec-

kjohnson on DSK79L0C42PROD with BILLS

14 tion shall—
15

(1) assess and evaluate the dependence of the

16

United States, including the private commercial sec-

17

tor, States, and the Federal Government, on critical

18

drugs and devices that are sourced or manufactured

19

outside of the United States, which may include an

20

analysis of—

21

(A) the supply chain of critical drugs and

22

devices of greatest priority to providing health

23

care;

24

(B) any potential public health security or

25

national security risks associated with reliance

26

on critical drugs and devices sourced or manu•S 3548 IS

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1

factured outside of the United States, which

2

may include responses to previous or existing

3

shortages or public health emergencies, such as

4

infectious disease outbreaks, bioterror attacks,

5

and other public health threats;

6

(C) any existing supply chain information

7

gaps, as applicable; and

8

(D) potential economic impact of increased

9

domestic manufacturing; and

10

(2) provide recommendations, which may in-

11

clude a plan to improve the resiliency of the supply

12

chain for critical drugs and devices as described in

13

paragraph

14

vulnerabilities or potential disruptions of such prod-

15

ucts that would significantly affect or pose a threat

16

to public health security or national security, as ap-

17

propriate, which may include strategies to—

18

and

to

address

any

contingency planning;

20

(B) encourage domestic manufacturing, in-

21

cluding consideration of economic impacts, if

22

any;

23

(C) improve supply chain information

24

gaps;

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supply

(A) promote supply chain redundancy and

19

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(1),

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1

(D) improve planning considerations for

2

medical product supply chain capacity during

3

public health emergencies; and

4

(E) promote the accessibility of such drugs

5
6

and devices.
(c) INPUT.—In conducting the study and developing

7 the report under subsection (b), the National Academies

kjohnson on DSK79L0C42PROD with BILLS

8 shall—
9

(1) consider input from the Department of

10

Health and Human Services, the Department of

11

Homeland Security, the Department of Defense, the

12

Department of Commerce, the Department of State,

13

the Department of Veterans Affairs, the Department

14

of Justice, and any other Federal agencies as appro-

15

priate; and

16

(2) consult with relevant stakeholders, which

17

may include conducting public meetings and other

18

forms of engagement, as appropriate, with health

19

care providers, medical professional societies, State-

20

based societies, public health experts, State and local

21

public health departments, State medical boards, pa-

22

tient groups, medical product manufacturers, health

23

care distributors, wholesalers and group purchasing

24

organizations, pharmacists, and other entities with

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1

experience in health care and public health, as ap-

2

propriate.

3

(d) DEFINITIONS.—In this section, the terms ‘‘de-

4 vice’’ and ‘‘drug’’ have the meanings given such terms in
5 section 201 of the Federal Food, Drug, and Cosmetic Act
6 (21 U.S.C. 321).
7

SEC. 4112. REQUIRING THE STRATEGIC NATIONAL STOCK-

8

PILE TO INCLUDE CERTAIN TYPES OF MED-

9

ICAL SUPPLIES.

10

Section 319F–2(a)(1) of the Public Health Service

11 Act (42 U.S.C. 247d–6b(a)(1)) is amended by inserting
12 ‘‘(including personal protective equipment, ancillary med13 ical supplies, and other applicable supplies required for the
14 administration of drugs, vaccines and other biological
15 products, medical devices, and diagnostic tests in the
16 stockpile)’’ after ‘‘other supplies’’.
17

SEC. 4113. TREATMENT OF RESPIRATORY PROTECTIVE DE-

18
19

VICES AS COVERED COUNTERMEASURES.

Section 319F–3(i)(1) of the Public Health Service

20 Act (42 U.S.C. 247d–6d(i)(1)) is amended—
21
22

(1) in subparagraph (B), by striking ‘‘or’’ at
the end;

kjohnson on DSK79L0C42PROD with BILLS

23
24

(2) in subparagraph (C), by striking the period
at the end and inserting ‘‘; or’’; and

25

(3) by adding at the end the following:

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1

‘‘(D) a respiratory protective device that is

2

approved by the National Institute for Occupa-

3

tional Safety and Health under part 84 of title

4

42, Code of Federal Regulations (or any suc-

5

cessor regulations), and that the Secretary de-

6

termines to be a priority for use during a public

7

health emergency declared pursuant to section

8

319.’’.

9

PART III—MITIGATING EMERGENCY DRUG

10

SHORTAGES

11

SEC. 4121. PRIORITIZE REVIEWS OF DRUG APPLICATIONS;

12
13

INCENTIVES.

Section 506C(g) of the Federal Food, Drug, and Cos-

14 metic Act (21 U.S.C. 356c(g)) is amended—
15

(1) in paragraph (1), by striking ‘‘the Secretary

16

may’’ and inserting ‘‘the Secretary shall, as appro-

17

priate’’;

18
19

(2) in paragraph (1), by inserting ‘‘prioritize
and’’ before ‘‘expedite the review’’; and

20

kjohnson on DSK79L0C42PROD with BILLS

21

(3) in paragraph (2), by inserting ‘‘prioritize
and’’ before ‘‘expedite an inspection’’.

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1

SEC. 4122. ADDITIONAL MANUFACTURER REPORTING RE-

2

QUIREMENTS IN RESPONSE TO DRUG SHORT-

3

AGES.

4
5

(a) EXPANSION TO INCLUDE ACTIVE PHARMACEUTICAL INGREDIENTS.—Subsection

(a) of section 506C

6 of the Federal Food, Drug, and Cosmetic Act (21 U.S.C.
7 356c) is amended—
8

(1) in paragraph (1)(C), by inserting ‘‘or any

9

such drug that is critical to the public health during

10

a public health emergency determined under section

11

319 of the Public Health Service Act’’ after ‘‘during

12

surgery’’; and

kjohnson on DSK79L0C42PROD with BILLS

13

(2) in the flush text at the end—

14

(A) by inserting ‘‘, or a discontinuance or

15

an interruption in the manufacture of the active

16

pharmaceutical ingredients of such drug,’’ be-

17

fore ‘‘that is likely’’; and

18

(B) by adding at the end the following:

19

‘‘Notification under this subsection shall include

20

disclosure of reasons for the discontinuation or

21

interruption, as applicable; if an active pharma-

22

ceutical ingredient is a reason for, or risk factor

23

in, such discontinuation or interruption, the

24

source of the active pharmaceutical ingredient

25

and any alternative sources for the active phar-

26

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101
1

turer; whether any associated medical devices

2

used for preparation or administration included

3

in the finished dosage form is a reason for, or

4

a risk factor in, such discontinuation or inter-

5

ruption; the expected duration of the interrup-

6

tion; and such other information as the Sec-

7

retary may require.’’.

8

(b) FOIA EXEMPTION.—Section 506C(d) of the Fed-

9 eral Food, Drug, and Cosmetic Act (21 U.S.C. 356c(d))
10 is amended by adding at the end the following: ‘‘Informa11 tion provided by a manufacturer to the Secretary under
12 this section shall not be subject to disclosure under section
13 552 of title 5, United States Code.’’.
14

(c) MANUFACTURING CONTINGENCY PLANS.—Sec-

15 tion 506C of the Federal Food, Drug, and Cosmetic Act
16 (21 U.S.C. 356c) is amended by adding at the end the
17 following:
18

‘‘(j) MANUFACTURER CONTINGENCY PLANS.—Each

19 manufacturer of a drug described in subsection (a) or of
20 any active pharmaceutical ingredient or any associated
21 medical devices used for preparation or administration in22 cluded in the finished dosage form of such a drug, shall

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23 maintain contingency and redundancy plans, as applicable,
24 for each establishment in which such drugs or active phar25 maceutical ingredients of such drugs are manufactured to
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102
1 help prevent or mitigate interruptions in the supply of the
2 drug or ingredient.’’.
3

(d) ANNUAL NOTIFICATION.—Section 506E of the

4 Federal Food, Drug, and Cosmetic Act (21 U.S.C. 356e)
5 is amended by adding at the end the following:
6

‘‘(d) INTERAGENCY NOTIFICATION.—Not later than

7 180 days after the date of enactment of this subsection,
8 and every 90 days thereafter, the Secretary shall transmit
9 a report regarding the drugs of the current drug shortage
10 list under this section to the Administrator of the Centers
11 for Medicare & Medicaid Services.’’.
12

(e)

REPORTING

AFTER

INSPECTIONS.—Section

13 704(b) of the Federal Food, Drug, and Cosmetic Act (21
14 U.S.C. 374(b)) is amended—
15
16

(1) by redesignating paragraphs (1) and (2)
and subparagraphs (A) and (B);

17
18

(2) by striking ‘‘(b) Upon completion’’ and inserting ‘‘(b)(1) Upon completion’’; and

19
20

(3) by adding at the end the following:
‘‘(2) In carrying out this subsection with respect to

21 any establishment manufacturing a drug approved under
22 subsection (c) or (j) of section 505 for which a notification

kjohnson on DSK79L0C42PROD with BILLS

23 has been submitted in accordance with section 506C is,
24 or has been in the last 5 years, listed on the drug shortage
25 list under section 506E, or that is described in section
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103
1 505(j)(11)(A), a copy of the report shall be sent promptly
2 to the appropriate offices of the Food and Drug Adminis3 tration with expertise regarding drug shortages. Such of4 fices shall ensure timely and effective coordination regard5 ing the reviews of such report and overseeing the align6 ment of any feedback regarding such report, or corrective
7 or preventative actions, after consideration of the system8 atic benefits and risks to public health, patient safety, the
9 drug supply and drug supply chain, and timely patient ac10 cess to such drugs.’’.
11

(f) EFFECTIVE DATE.—The amendments made by

12 this section and section 4121 shall take effect on the date
13 that is 180 days after the date of enactment of this Act.
14

SEC. 4123. GAO REPORT ON INTRA-AGENCY COORDINA-

15
16

TION.

(a) IN GENERAL.—Not later than 2 years after the

17 date of enactment of this Act, the Comptroller General
18 of the United States shall submit to the Committee on
19 Health, Education, Labor, and Pensions of the Senate and
20 the Committee on Energy and Commerce of the House
21 of Representatives a report examining the Food and Drug
22 Administration’s intra-agency coordination, communica-

kjohnson on DSK79L0C42PROD with BILLS

23 tion, and decision making in assessing drug shortage risks,
24 and taking corrective action.
25

(b) CONTENT.—The report shall include—

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104
1

(1) consideration of—

2

(A) risks associated with violations of cur-

3

rent good manufacturing practices;

4

(B) corrective and preventative actions

5

with respect to such violations requested by the

6

Food and Drug Administration;

7

(C) the effects of potential manufacturing

8

slow-downs or shut-downs on potential drug

9

shortages, including the discontinuance of drug

kjohnson on DSK79L0C42PROD with BILLS

10

manufacturing and marketing;

11

(D) efforts to prioritize review of applica-

12

tions for drugs that the Secretary has deter-

13

mined under section 506E of the Federal Food,

14

Drug, and Cosmetic Act (21 U.S.C. 356e) to be

15

in shortage; and

16

(E) efforts to prioritize inspections of fa-

17

cilities necessary for approval of applications for

18

drugs described in subparagraph (D);

19

(2) a description of how the Food and Drug

20

Administration proactively coordinates strategies to

21

mitigate the consequences of the violations, slow-

22

downs, and shut-downs described in paragraph (1)

23

across agencies; and

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105
1

(3) an evaluation of changes in relevant Food

2

and Drug Administration practices that such agency

3

has proposed but not yet implemented.

4

SEC. 4124. REPORT.

5

Not later than 2 years after the date of enactment

6 of this Act, the Secretary of Health and Human Services,
7 in coordination with the Commissioner of Food and Drugs
8 and the Administrator of the Centers for Medicare & Med9 icaid Services, shall develop and submit to the Committee
10 on Health, Education, Labor, and Pensions of the Senate
11 and the Committee on Energy and Commerce of the
12 House of Representatives a report containing rec-

kjohnson on DSK79L0C42PROD with BILLS

13 ommendations—
14

(1) for market-based incentives or other appro-

15

priate mechanisms, sufficient to encourage the man-

16

ufacture of drugs in shortage or at risk of shortage;

17

and

18

(2) on how the Emerging Technology Program

19

of the Food and Drug Administration can help fa-

20

cilitate creating or upgrading existing technologies to

21

address drug shortage challenges and promote mod-

22

ern, reliable manufacturing strategies.

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106
1

SEC. 4125. SAFE HARBOR PROVISION.

2

(a) IN GENERAL.—The Federal Food, Drug, and

3 Cosmetic Act is amended by inserting after section 502
4 (21 U.S.C. 352) the following:
5

‘‘SEC. 502A. SAFE HARBOR PROVISION.

6

‘‘(a) IN GENERAL.—The communication of informa-

7 tion, consistent with subsection (b), with respect to the
8 use of a drug or device authorized under section 564 pro9 vided or distributed to a health care provider, shall not—
10

‘‘(1) be a basis for treating such drug or device

11

as misbranded under subsection (a) or (f) of section

12

502, or in violation of section 505, 515, or 564 of

13

this Act or subsection (a) or (k) of section 351(a)(1)

14

of the Public Health Service Act, as applicable; or

15

‘‘(2) be treated as evidence that such drug or

16

device is misbranded under subsection (a) or (f) of

17

section 502, or in violation of section 505, 513, 515,

18

or 564 of this Act or subsection (a) or (k) of section

19

351 of the Public Health Service Act, as applicable.

20

‘‘(b) PROVISION OF INFORMATION.—

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21

‘‘(1) IN

GENERAL.—Any

information relating to

22

a use of a drug or device authorized under section

23

564, or for which a submission under section 564

24

has been submitted, that—

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107
1

‘‘(A) is neither false nor misleading, when

2

measured objectively against the information

3

available at the time the statement is made;

4

‘‘(B) is accompanied, as required, by an

5

appropriate disclaimer, as described in para-

6

graph (2); and

7

‘‘(C) is based on competent and reliable

8

scientific evidence, as described in subsection

9

(c).

10

‘‘(2) DISCLAIMERS.—For purposes of para-

11

graph (1), such information shall be accompanied, as

12

necessary, by an appropriate disclaimer, including—

13

‘‘(A) a statement identifying any dif-

14

ferences between the information and any label-

15

ing of the drug or device;

16

‘‘(B) a statement identifying contradictory

17

evidence; and

18

‘‘(C) such other information as may be re-

19

quired by regulation.

20
21

‘‘(c) COMPETENT
DENCE.—In

AND

RELIABLE SCIENTIFIC EVI-

this section, the term ‘competent and reliable

22 scientific evidence’ means evidence established through

kjohnson on DSK79L0C42PROD with BILLS

23 scientific methods that are widely accepted by experts in
24 the relevant field and followed pursuant to a clear and
25 well-described protocol, as scientifically appropriate. Evi•S 3548 IS
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108
1 dence may constitute competent and reliable scientific evi2 dence within the meaning of this section—
3
4

‘‘(1) regardless of whether it is supported by 2
adequate and well-controlled clinical studies; and

5

‘‘(2) may include—

6

‘‘(A) information derived from clinical

7

trials, observational studies, clinical studies or

8

bench tests that describe performance, database

9

reviews, registries, patient utilization projec-

10

tions, and modeling techniques, and the data,

11

inputs, and components of such information;

12

‘‘(B) information about the effects of a

13

drug or device in subgroups defined by demo-

14

graphic or other variables, including groups de-

15

fined by race, sex, risk factors, or other vari-

16

ables, such as genomic features or disease se-

17

verity;

18

‘‘(C) information related to the emergency

kjohnson on DSK79L0C42PROD with BILLS

19

use authorization, as applicable; and

20

‘‘(D) information relating to the safety, ef-

21

fectiveness, or benefit of a use or treatment

22

that is authorized under section 564 for a drug

23

or device, including information regarding—

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109
1

‘‘(i) health outcomes, patient or care-

2

giver experience, or other quality metrics;

3

and

4

‘‘(ii) the comparative effectiveness of

5

a drug or device relative to others prod-

6

ucts, other health care interventions, pro-

7

gram and quality improvement interven-

8

tions, or no intervention.

9

‘‘(d) DISTRIBUTION.—Information pursuant to sub-

10 section (b) may be distributed proactively through written
11 or oral means, or other information platforms, to a health
12 care provider, payor, formulary committee, or other simi13 lar entity carrying out responsibilities for making drug
14 coverage, reimbursement, or usage decisions on a popu15 lation basis.
16

‘‘(e) COVERAGE NOT EXCLUDED.—The distribution

17 of information that otherwise meets the requirements of
18 this section shall not fail to meet the requirements of sub19 section (a) because the manufacturer or distributor of the
20 drug or device about which information is being distrib-

kjohnson on DSK79L0C42PROD with BILLS

21 uted has—
22

‘‘(1) knowledge that such drug or device is

23

being used by patients or health care practitioners in

24

a manner not described in any labeling of the drug

25

or device, as applicable; or

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110
1

‘‘(2) objective or subjective intent that such

2

drug or device be used in a manner inconsistent with

3

any labeling, as applicable, of such drug or device.

4

‘‘(f) RULE

OF

CONSTRUCTION.—Nothing in this sec-

5 tion shall be construed—
6

‘‘(1) to limit communication not specifically

7

permitted by this section; or

8

‘‘(2) to alter or expand the authority of the Sec-

9

retary to enforce the provisions of this Act, except

10

to the extent that the communication of information

11

in accordance with this section is permitted.’’.

12

PART IV—PREVENTING ESSENTIAL MEDICAL

13

DEVICE SHORTAGES

14

SEC. 4131. DISCONTINUANCE OR INTERRUPTION IN THE

15

PRODUCTION OF MEDICAL DEVICES.

16

Chapter V of the Federal Food, Drug, and Cosmetic

17 Act (21 U.S.C. 351 et seq.) is amended by inserting after
18 section 506I the following:
19

‘‘SEC. 506J. DISCONTINUANCE OR INTERRUPTION IN THE

20

PRODUCTION OF MEDICAL DEVICES.

21

‘‘(a) IN GENERAL.—A manufacturer of a device

kjohnson on DSK79L0C42PROD with BILLS

22 that—
23

‘‘(1) is critical to public health during a public

24

health emergency, including devices that are life-sup-

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111
1

porting, life-sustaining, or intended for use in emer-

2

gency medical care or during surgery; or

3

‘‘(2) for which the Secretary determines that in-

4

formation on potential meaningful supply disrup-

5

tions of such device is needed during, or in advance

6

of, a public health emergency;

7 shall, during, or in advance of, a public health emergency
8 determined by the Secretary pursuant to section 319, no9 tify the Secretary, in accordance with subsection (b), of
10 a permanent discontinuance in the manufacture of the de11 vice (except for discontinuances as a result of an approved
12 modification of the device) or an interruption of the manu13 facture of the device that is likely to lead to a meaningful
14 disruption in the supply of that device in the United
15 States, and the reasons for such discontinuance or inter16 ruption.
17

‘‘(b) TIMING.—A notice required under subsection (a)

18 shall be submitted to the Secretary—
19
20

‘‘(1) at least 6 months prior to the date of the
discontinuance or interruption; or

kjohnson on DSK79L0C42PROD with BILLS

21

‘‘(2) if compliance with paragraph (1) is not

22

possible, as soon as practicable.

23

‘‘(c) DISTRIBUTION.—

24

‘‘(1) PUBLIC

25

AVAILABILITY.—To

the maximum

extent practicable, subject to paragraph (2), the Sec-

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112
1

retary shall distribute, through such means as the

2

Secretary determines appropriate, information on

3

the discontinuance or interruption of the manufac-

4

ture of devices reported under subsection (a) to ap-

5

propriate organizations, including physician, health

6

provider, patient organizations, and supply chain

7

partners, as appropriate and applicable.

8

‘‘(2) PUBLIC

HEALTH EXCEPTION.—The

Sec-

9

retary may choose not to make information collected

10

under this section publicly available pursuant to this

11

section if the Secretary determines that disclosure of

12

such information would adversely affect the public

13

health, such as by increasing the possibility of un-

14

necessary over purchase of product or other disrup-

15

tion of the availability of medical products to pa-

16

tients.

17

‘‘(d) CONFIDENTIALITY.—Nothing in this section

18 shall be construed as authorizing the Secretary to disclose
19 any information that is a trade secret or confidential infor20 mation subject to section 552(b)(4) of title 5, United
21 States Code, or section 1905 of title 18, United States
22 Code.

kjohnson on DSK79L0C42PROD with BILLS

23

‘‘(e) FAILURE TO MEET REQUIREMENTS.—If a per-

24 son fails to submit information required under subsection
25 (a) in accordance with subsection (b)—
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113
1
2

‘‘(1) the Secretary shall issue a letter to such
person informing such person of such failure;

3

‘‘(2) not later than 30 calendar days after the

4

issuance of a letter under paragraph (1), the person

5

who receives such letter shall submit to the Sec-

6

retary a written response to such letter setting forth

7

the basis for noncompliance and providing informa-

8

tion required under subsection (a); and

9

‘‘(3) not later than 45 calendar days after the

10

issuance of a letter under paragraph (1), the Sec-

11

retary shall make such letter and any response to

12

such letter under paragraph (2) available to the pub-

13

lic on the internet website of the Food and Drug Ad-

14

ministration, with appropriate redactions made to

15

protect information described in subsection (d), ex-

16

cept that, if the Secretary determines that the letter

17

under paragraph (1) was issued in error or, after re-

18

view of such response, the person had a reasonable

19

basis for not notifying as required under subsection

20

(a), the requirements of this paragraph shall not

21

apply.

22

‘‘(f) EXPEDITED INSPECTIONS

AND

REVIEWS.—If,

kjohnson on DSK79L0C42PROD with BILLS

23 based on notifications described in subsection (a) or any
24 other relevant information, the Secretary concludes that

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114
1 there is, or is likely to be, a shortage of an device, the
2 Secretary shall, as appropriate—
3

‘‘(1) prioritize and expedite the review of a sub-

4

mission under section 513(f)(2), 515, review of a no-

5

tification under section 510(k), or 520(m) for a de-

6

vice that could help mitigate or prevent such short-

7

age; or

8

‘‘(2) prioritize and expedite an inspection or re-

9

inspection of an establishment that could help miti-

10

gate or prevent such shortage.

11

‘‘(g) DEVICE SHORTAGE LIST.—

12

‘‘(1) ESTABLISHMENT.—The Secretary shall es-

13

tablish and maintain an up-to-date list of devices

14

that are determined by the Secretary to be in short-

15

age in the United States.

16

‘‘(2) CONTENTS.—For each device included on

17

the list under paragraph (1), the Secretary shall in-

18

clude the following information:

19

‘‘(A) The category or name of the device in

20

shortage.

21

‘‘(B) The name of each manufacturer of

kjohnson on DSK79L0C42PROD with BILLS

22

such device.

23

‘‘(C) The reason for the shortage, as deter-

24

mined by the Secretary, selecting from the fol-

25

lowing categories:

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115
1

‘‘(i) Requirements related to com-

2

plying with good manufacturing practices.

3

‘‘(ii) Regulatory delay.

4

‘‘(iii) Shortage or discontinuance of a

5

component or part.

6

‘‘(iv) Discontinuance of the manufac-

7

ture of the device.

8

‘‘(v) Delay in shipping of the device.

9

‘‘(vi) Delay in sterilization of the de-

kjohnson on DSK79L0C42PROD with BILLS

10

vice.

11

‘‘(vii) Demand increase for the device.

12

‘‘(D) The estimated duration of the short-

13

age as determined by the Secretary.

14

‘‘(3) PUBLIC

15

‘‘(A) IN

AVAILABILITY.—
GENERAL.—Subject

to subpara-

16

graphs (B) and (C), the Secretary shall make

17

the information in the list under paragraph (1)

18

publicly available.

19

‘‘(B) TRADE

SECRETS AND CONFIDENTIAL

20

INFORMATION.—Nothing

21

shall be construed to alter or amend section

22

1905 of title 18, United States Code, or section

23

552(b)(4) of title 5 of such Code.

24

‘‘(C) PUBLIC

25

in

this

HEALTH EXCEPTION.—The

Secretary may elect not to make information

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subsection

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116
1

collected under this subsection publicly available

2

if the Secretary determines that disclosure of

3

such information would adversely affect the

4

public health (such as by increasing the possi-

5

bility of hoarding or other disruption of the

6

availability of the device to patients).

7

‘‘(h) RULE

OF

CONSTRUCTION.—Nothing in this sec-

8 tion shall be construed to affect the authority of the Sec9 retary on the date of enactment of this section to expedite
10 the review of devices under section 515 of the Federal
11 Food, Drug, and Cosmetic Act, section 515B of such Act
12 relating to the priority review program for devices, and
13 section 564 of such Act relating to the emergency use au14 thorization authorities.

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15

‘‘(i) DEFINITIONS.—In this section:

16

‘‘(1) DEVICE.—The term ‘device’ means a de-

17

vice (as defined in section 201(h)) that is intended

18

for human use and is subject to sections 510(k),

19

513(f)(2), 515, or 520(m).

20

‘‘(2) MEANINGFUL

21

‘meaningful disruption’—

DISRUPTION.—The

22

‘‘(A) means a change in production that is

23

reasonably likely to lead to a reduction in the

24

supply of a device by a manufacturer that is

25

more than negligible and affects the ability of

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117
1

the manufacturer to fill orders or meet expected

2

demand for its product;

3

‘‘(B) does not include interruptions in

4

manufacturing due to matters such as routine

5

maintenance or insignificant changes in manu-

6

facturing so long as the manufacturer expects

7

to resume operations in a reasonable or short

8

period of time; and

9

‘‘(C) does not include interruptions in

10

manufacturing of components or raw materials

11

so long as such interruptions do not result in

12

a shortage of finished product and the manu-

13

facturer expects to resume operations in a rea-

14

sonable or short period of time.

15

‘‘(3) SHORTAGE.—The term ‘shortage’, with re-

16

spect to a device, means a period of time when the

17

demand or projected demand for the device within

18

the United States exceeds the supply of the device.’’.

19

SEC. 4132. GAO REPORT ON INTRA-AGENCY COORDINA-

20
21

TION.

(a) IN GENERAL.—Not later than 18 months after

22 the date of enactment of this Act, the Comptroller General

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23 of the United States shall submit to the Committee on
24 Health, Education, Labor, and Pensions of the Senate and
25 the Committee on Energy and Commerce of the House
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1 of Representatives a report examining the Food and Drug
2 Administration’s intra-agency coordination, communica3 tion, and decision-making in assessing device shortages
4 and risks associated with the supply of devices, and any
5 efforts by the Food and Drug Administration to mitigate
6 any device shortages or to take corrective actions.
7

(b) CONTENT.—The report shall include—

kjohnson on DSK79L0C42PROD with BILLS

8

(1) consideration of—

9

(A) risks of creating, worsening, or extend-

10

ing a shortage of a device associated with viola-

11

tions of current good manufacturing practices;

12

(B) corrective and preventative actions

13

with respect to such violations requested by the

14

Food and Drug Administration;

15

(C) the effects of potential manufacturing

16

disruptions or shut-downs on potential device

17

shortages, which may include the discontinu-

18

ance of device manufacturing and marketing, or

19

the manufacturing of device components or

20

parts;

21

(D) efforts to prioritize and expedite the

22

review of submissions for devices that the Sec-

23

retary has determined under section 506J(g) of

24

the Federal Food, Drug, and Cosmetic Act (21

25

U.S.C. 356j) to be in shortage; and

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119
1

(E) efforts to prioritize inspections of fa-

2

cilities necessary for approval or clearance of

3

devices described in subparagraph (D);

4

(2) a description of how the Food and Drug

5

Administration proactively coordinates strategies to

6

mitigate the consequences of the violations, slow-

7

downs, and shut-downs described in paragraph (1)

8

across agencies; and

9

(3) an evaluation of changes in relevant Food

10

and Drug Administration practices that such agency

11

has proposed but not yet implemented.

12

(c) DEFINITION.—In this section, the term ‘‘device’’

13 has the meaning given such term under section 506J(i)(1)
14 of the Federal Food, Drug, and Cosmetic Act, as added
15 by section 4131.
16

PART V—EMERGENCY USE OF LABORATORY

17

DEVELOPED TESTS

18

SEC. 4141. EMERGENCY USE OF LABORATORY DEVELOPED

19
20

TESTS.

(a) IN GENERAL.—For the time in which the public

21 health emergency under section 319 of the Public Health
22 Service Act (42 U.S.C. 247d) related to the coronavirus

kjohnson on DSK79L0C42PROD with BILLS

23 (COVID-19), declared by the Secretary of Health and
24 Human Services (referred to in this section as the ‘‘Sec25 retary’’) on January 31, 2020, is in place (or such other
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120
1 period of time determined by the Secretary), tests in2 tended to diagnose COVID–19 that are described in sub3 section (b) may be lawfully marketed in accordance with
4 this section.
5

(b) CRITERIA.—Tests described in subsection (a)

6 may be lawfully marketed, during the period described in
7 such subsection, if such test—
8

(1) is developed in a State that has notified the

9

Secretary of its intention to review tests intended to

10

diagnose COVID-19;

11

(2) is developed in a laboratory with a certifi-

12

cate to conduct high-complexity testing pursuant to

13

section 353 of the Public Health Service Act (42

14

U.S.C. 263a), and the developer of such test—

15

(A) is pursuing an emergency use author-

16

ization under section 564 of the Federal Food,

17

Drug, and Cosmetic Act (21 U.S.C. 360bbb–3)

18

and provides updates to the Secretary on efforts

19

to pursue such authorization;

20

(B) validates such test prior to use;

21

(C) notifies the Secretary of the assay vali-

kjohnson on DSK79L0C42PROD with BILLS

22

dation; and

23

(D) includes a statement together with the

24

results of the test that reads: ‘‘This test was

25

developed for use as a part of a response to the

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121
1

public health emergency declared to address the

2

outbreak of COVID-19. This test has not been

3

reviewed by the Food and Drug Administra-

4

tion.’’; or

5

(3) is an in vitro diagnostic test for which the

6

developer of such test meets all of the requirements

7

of subparagraphs (A) through (D) of paragraph (2)

8

with respect to the test.

9

(c) DISPOSITION

OF

PRODUCT.—Notwithstanding

10 the termination of a declaration under subsection (b) of
11 section 564 of the Federal Food, Drug, and Cosmetic Act,
12 or a revocation under subsection (g) of such section with
13 respect to a product described in subsection (a), the Sec14 retary shall consult with the developer of such in vitro di15 agnostic test with respect to the appropriate disposition
16 of such test to ensure that authorization of any in vitro
17 diagnostic test under this section shall continue to be ef18 fective to provide for continued use of such product to pre19 vent or detect COVID–19.
20

(d) IN VITRO DIAGNOSTIC TEST.—In this section,

21 the term ‘‘in vitro diagnostic test’’ has the meaning given
22 the term ‘‘in vitro diagnostic product’’ in section 809.3(a)

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23 of title 21, Code of Federal Regulations (or successor reg24 ulations).

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2

Subtitle B—Access to Health Care
for COVID-19 Patients

3

PART I—COVERAGE OF TESTING AND

4

PREVENTIVE SERVICES

1

5

SEC.

4201.

6
7

COVERAGE

OF

DIAGNOSTIC

TESTING

FOR

COVID-19.

(a) IN GENERAL.—A group health plan and a health

8 insurance issuer offering group or individual health insur9 ance coverage (including a grandfathered health plan (as
10 defined in section 1251(e) of the Patient Protection and
11 Affordable Care Act (42 U.S.C. 18011(b))) shall provide
12 coverage, and shall not impose any cost-sharing (including
13 deductibles, copayments, and coinsurance) requirements
14 or prior authorization or other medical management re15 quirements, for the following items and services furnished
16 during any portion of the public health emergency de17 clared by the Secretary of Health and Human Services
18 pursuant to section 319 of the Public Health Service Act
19 on January 31, 2020, with respect to COVID-19, begin-

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20 ning on or after the date of the enactment of this Act:
21

(1) An in vitro diagnostic product (as defined

22

in section 809.3(a) of title 21, Code of Federal Reg-

23

ulations) for the detection of SARS–CoV–2 or the

24

diagnosis of the virus that causes COVID–19, and

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123
1

the administration of such an in vitro diagnostic

2

product, that—

3

(A) is approved, cleared, or authorized

4

under section 510(k), 513, 515, or 564 of the

5

Federal Food, Drug, and Cosmetic Act (21

6

U.S.C. 360(k), 360c, 360e, 360bbb–3);

7

(B) is a clinical laboratory service per-

8

formed in a laboratory (including a public

9

health laboratory) certified to conduct high-

10

complexity testing pursuant to section 353 of

11

the Public Health Service Act (42 U.S.C. 253a)

12

for which the developer has requested, or in-

13

tends to request, emergency use authorization

14

under section 564 of the Federal Food, Drug,

15

and Cosmetic Act (21 U.S.C. 360bbb–3), unless

16

and until the emergency use authorization re-

17

quest under such section 564 has been denied

18

or the developer of such test does not submit a

19

request under such section within a reasonable

20

timeframe; or

21

(C) is developed in a State that has noti-

22

fied the Secretary of Health and Human Serv-

23

ices of its intention to review tests intended to

24

diagnose COVID-19.

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1

(2) Items and services furnished to an indi-

2

vidual during health care provider office visits, ur-

3

gent care center visits, and emergency room visits

4

that result in an order for or administration of an

5

in vitro diagnostic product described in paragraph

6

(1), but only to the extent such items and services

7

relate to the furnishing or administration of such

8

product or to the evaluation of such individual for

9

purposes of determining the need of such individual

10
11

for such product.
SEC. 4202. PRICING OF DIAGNOSTIC TESTING.

12

(a) REIMBURSEMENT RATES.—A group health plan

13 or a health insurance issuer providing coverage of items
14 and services described in section 201(a) with respect to
15 an enrollee shall reimburse the provider of the diagnostic

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16 testing as follows:
17

(1) If the health plan or issuer has a negotiated

18

rate for such service with such provider, such nego-

19

tiated rate shall apply.

20

(2) If the health plan or issuer does not have

21

a negotiated rate for such service with such provider,

22

such plan or issuer shall reimburse the provider in

23

an amount that equals the cash price for such serv-

24

ice as listed by the provider on a public internet

25

website.

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1

(b) REQUIREMENT

TO

PUBLICIZE CASH PRICE

FOR

2 DIAGNOSTIC TESTING FOR COVID-19.—
3

(1) IN

GENERAL.—Each

provider of a diag-

4

nostic test for COVID-19 shall make public the cash

5

price for such test on a public internet website of

6

such provider.

7

(2) CIVIL

MONETARY PENALTIES.—The

Sec-

8

retary of Health and Human Services may impose a

9

civil monetary penalty on any provider of a diag-

10

nostic test for COVID-19 that is not in compliance

11

with paragraph (1) and has not completed a correc-

12

tive action plan to comply with the requirements of

13

such paragraph, in an amount not to exceed $300

14

per day that the violation is ongoing.

15

SEC. 4203. RAPID COVERAGE OF PREVENTIVE SERVICES

16
17

AND VACCINES FOR CORONAVIRUS.

(a) IN GENERAL.—Notwithstanding 2713(b) of the

18 Public Health Service Act (42 U.S.C. 300gg–13), the Sec19 retary of Health and Human Services, the Secretary of
20 Labor, and the Secretary of the Treasury shall require
21 group health plans and health insurance issuers offering
22 group or individual health insurance to cover any quali-

kjohnson on DSK79L0C42PROD with BILLS

23 fying coronavirus preventive service, pursuant to section
24 2713(a) of the Public Health Service Act (42 U.S.C.
25 300gg–13(a)). The requirement described in this sub•S 3548 IS
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1 section shall take effect with respect to a qualifying
2 coronavirus prevention service on the specified date de3 scribed in subsection (b)(2).
4

(b) DEFINITIONS.—For purposes of this section:

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5

(1) QUALIFYING

CORONAVIRUS

PREVENTIVE

6

SERVICE.—The

7

tive service’’ means an item, service, or immuniza-

8

tion that is intended to prevent or mitigate

9

coronavirus disease 2019 and that is—

term ‘‘qualifying coronavirus preven-

10

(A) an evidence-based item or service that

11

has in effect a rating of ‘‘A’’ or ‘‘B’’ in the cur-

12

rent recommendations of the United States Pre-

13

ventive Services Task Force; or

14

(B) an immunization that has in effect a

15

recommendation from the Advisory Committee

16

on Immunization Practices of the Centers for

17

Disease Control and Prevention with respect to

18

the individual involved.

19

(2) SPECIFIED

DATE.—The

term ‘‘specified

20

date’’ means the date that is 15 business days after

21

the date on which a recommendation is made relat-

22

ing to the immunization as described in such para-

23

graph.

24
25

(3) HEALTH

INSURANCE TERMS.—In

tion, the terms ‘‘group health plan’’, ‘‘health insur-

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1

ance issuer’’, ‘‘group health insurance coverage’’,

2

and ‘‘individual health insurance coverage’’ have the

3

meanings given such terms in section 2791 of the

4

Public Health Service Act (42 U.S.C. 300gg–91).

5

PART II—SUPPORT FOR HEALTH CARE

6

PROVIDERS

7

SEC. 4211. SUPPLEMENTAL AWARDS FOR HEALTH CEN-

8
9

TERS.

(a) SUPPLEMENTAL AWARDS.—Section 330(r) of the

10 Public Health Service Act (42 U.S.C. 254b(r)) is amended
11 by adding at the end the following:

kjohnson on DSK79L0C42PROD with BILLS

12

‘‘(6) ADDITIONAL

AMOUNTS

FOR

SUPPLE-

13

MENTAL

14

made available pursuant to this subsection, section

15

402A of this Act, or section 10503 of the Patient

16

Protection and Affordable Care Act, there is author-

17

ized to be appropriated, and there is appropriated,

18

out of any monies in the Treasury not otherwise ap-

19

propriated, $1,320,000,000 for fiscal year 2020 for

20

supplemental awards under subsection (d) for the

21

detection of SARS-CoV-2 or the prevention, diag-

22

nosis, and treatment of COVID-19.’’.

23

(b) APPLICATION

AWARDS.—In

OF

addition to any amounts

PROVISIONS.—Amounts appro-

24 priated pursuant to the amendment made by subsection
25 (a) for fiscal year 2020 shall be subject to the require•S 3548 IS
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1 ments contained in Public Law 116–94 for funds for pro2 grams authorized under sections 330 through 340 of the
3 Public Health Service Act (42 U.S.C. 254 through 256).
4

SEC. 4212. ALLOWING PERMANENT DIRECT HIRE OF NDMS

5

HEALTH CARE PROFESSIONALS.

6

Section 2812(c)(4) of the Public Health Service Act

7 (42 U.S.C. 300hh–11(c)(4)) is amended to read as follows:
8

‘‘(4) CERTAIN

APPOINTMENTS.—If

9

retary determines that the number of intermittent

10

disaster response personnel within the National Dis-

11

aster Medical System under this section is insuffi-

12

cient to address a public health emergency or poten-

13

tial public health emergency, the Secretary may ap-

14

point candidates directly to personnel positions for

15

intermittent disaster response within such system.

16

The Secretary shall provide updates on the number

17

of vacant or unfilled positions within such system to

18

the congressional committees of jurisdiction each

19

quarter for which this authority is in effect.’’.

20

SEC. 4213. TELEHEALTH NETWORK AND TELEHEALTH RE-

21

SOURCE CENTERS GRANT PROGRAMS.

22

Section 330I of the Public Health Service Act (42

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23 U.S.C. 254c–14) is amended—
24

(1) in subsection (d)—

25

(A) in paragraph (1)—

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1

(i) in the matter preceding subpara-

2

graph (A), by striking ‘‘projects to dem-

3

onstrate how telehealth technologies can be

4

used through telehealth networks’’ and in-

5

serting ‘‘evidence-based projects that uti-

6

lize telehealth technologies through tele-

7

health networks’’;

8

(ii) in subparagraph (A)—

9

(I) by striking ‘‘the quality of’’

10

and inserting ‘‘access to, and the

11

quality of,’’; and

12

(II) by inserting ‘‘and’’ after the

13

semicolon;

14

(iii) by striking subparagraph (B);

15

(iv) by redesignating subparagraph

kjohnson on DSK79L0C42PROD with BILLS

16

(C) as subparagraph (B); and

17

(v) in subparagraph (B), as so redes-

18

ignated, by striking ‘‘and patients and

19

their families, for decisionmaking’’ and in-

20

serting ‘‘, patients, and their families’’;

21

and

22

(B) in paragraph (2)—

23

(i) by striking ‘‘demonstrate how tele-

24

health technologies can be used’’ and in-

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130
1

serting ‘‘support initiatives that utilize

2

telehealth technologies’’; and

3

(ii) by striking ‘‘, to establish tele-

4

health resource centers’’;

5
6

(2) in subsection (e), by striking ‘‘4 years’’ and
inserting ‘‘5 years’’;

7

(3) in subsection (f)—

8

(A) by striking paragraph (2);

9

(B) in paragraph (1)(B)—

10

(i)

redesignating

clauses

through (iii) as paragraphs (1) through

12

(3), respectively, and adjusting the mar-

13

gins accordingly;

14

(ii) in paragraph (3), as so redesig-

15

nated by clause (i), by redesignating sub-

16

clauses (I) through (XII) as subparagraphs

17

(A) through (L), respectively, and adjust-

18

ing the margins accordingly; and
(iii) by striking ‘‘(1) TELEHEALTH

20

NETWORK GRANTS—’’

21

through ‘‘(B) TELEHEALTH

22

’’; and

23

(C) in paragraph (3)(I), as so redesig-

24

nated, by inserting ‘‘and substance use dis-

and all that follows
NETWORKS—

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11

19

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131
1

order’’ after ‘‘mental health’’ each place such

2

term appears;

3

(4) in subsection (g)(2), by striking ‘‘or im-

4

prove’’ and inserting ‘‘and improve’’;

5

(5) by striking subsection (h);

6

(6) by redesignating subsections (i) through (p)

7

as subsection (h) through (o), respectively;

8

(7) in subsection (h), as so redesignated—

9

(A) in paragraph (1)—

10

(i) in subparagraph (B), by striking

11

‘‘mental health, public health, long-term

12

care, home care, preventive’’ and inserting

13

‘‘mental health care, public health services,

14

long-term care, home care, preventive

15

care’’;

16

(ii) in subparagraph (E), by inserting

17

‘‘and regional’’ after ‘‘local’’; and

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18

(iii) by striking subparagraph (F);

19

and

20

(B) in paragraph (2)(A), by striking

21

‘‘medically underserved areas or’’ and inserting

22

‘‘rural areas, medically underserved areas, or’’;

23

(8) in paragraph (2) of subsection (i), as so re-

24

designated, by striking ‘‘ensure that—’’ and all that

25

follows through the end of subparagraph (B) and in-

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1

serting ‘‘ensure that not less than 50 percent of the

2

funds awarded shall be awarded for projects in rural

3

areas.’’;

4

(9) in subsection (j), as so redesignated—

5

(A) in paragraph (1)(B), by striking ‘‘com-

6

puter hardware and software, audio and video

7

equipment, computer network equipment, inter-

8

active equipment, data terminal equipment, and

9

other’’; and

10

(B) in paragraph (2)(F), by striking

11

‘‘health care providers and’’;

12

(10) in subsection (k), as so redesignated—

13

(A) in paragraph (2), by striking ‘‘40 per-

14

cent’’ and inserting ‘‘20 percent’’; and

15

(B) in paragraph (3), by striking ‘‘(such as

16

laying cable or telephone lines, or purchasing or

17

installing microwave towers, satellite dishes,

18

amplifiers, or digital switching equipment)’’;

19

(11) by striking subsections (q) and (r) and in-

20

serting the following:

21

‘‘(p) REPORT.—Not later than 4 years after the date

22 of enactment of the CARES Act, and every 5 years there-

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23 after, the Secretary shall prepare and submit to the Com24 mittee on Health, Education, Labor, and Pensions of the
25 Senate and the Committee on Energy and Commerce of
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133
1 the House of Representatives a report on the activities and
2 outcomes of the grant programs under subsection (b).’’;
3

(12) by redesignating subsection (s) as sub-

4

section (q); and

5

(13) in subsection (q), as so redesignated, by

6

striking ‘‘this section—’’ and all that follows

7

through the end of paragraph (2) and inserting

8

‘‘this section $29,000,000 for each of fiscal years

9

2021 through 2025.’’.

10

SEC. 4214. RURAL HEALTH CARE SERVICES OUTREACH,

11

RURAL HEALTH NETWORK DEVELOPMENT,

12

AND SMALL HEALTH CARE PROVIDER QUAL-

13

ITY IMPROVEMENT GRANT PROGRAMS.

14

Section 330A of the Public Health Service Act (42

15 U.S.C. 254c) is amended—
16

(1) in subsection (d)(2)—

17

(A) in subparagraph (A), by striking ‘‘es-

18

sential’’ and inserting ‘‘basic’’; and

19

(B) in subparagraph (B)—

20

(i) in the matter preceding clause (i),

kjohnson on DSK79L0C42PROD with BILLS

21

by inserting ‘‘to’’ after ‘‘grants’’; and

22

(ii) in clauses (i), (ii), and (iii), by

23

striking ‘‘to’’ each place such term ap-

24

pears;

25

(2) in subsection (e)—

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1

(A) in paragraph (1)—

2

(i) by inserting ‘‘improving and’’ after

3

‘‘outreach by’’;

4

(ii) by inserting ‘‘, through community

5

engagement and evidence-based or innova-

6

tive, evidence-informed models’’ before the

7

period of the first sentence; and

8

(iii) by striking ‘‘3 years’’ and insert-

9

ing ‘‘5 years’’;

10

(B) in paragraph (2)—

11

(i) in the matter preceding subpara-

12

graph (A), by inserting ‘‘shall’’ after ‘‘enti-

13

ty’’;

14

(ii) in subparagraph (A), by striking

15

‘‘shall be a rural public or rural nonprofit

16

private entity’’ and inserting ‘‘be an entity

17

with demonstrated experience serving, or

18

the capacity to serve, rural underserved

19

populations’’;

20

(iii) in subparagraphs (B) and (C), by

21

striking ‘‘shall’’ each place such term ap-

22

pears; and

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23

(iv) in subparagraph (B)—

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1

(I) in the matter preceding clause

2

(i), by inserting ‘‘that’’ after ‘‘mem-

3

bers’’; and

4

(II) in clauses (i) and (ii), by

5

striking ‘‘that’’ each place such term

6

appears; and

7

(C) in paragraph (3)(C), by striking ‘‘the

8

local community or region’’ and inserting ‘‘the

9

rural underserved populations in the local com-

10

munity or region’’;

11

(3) in subsection (f)—

12

(A) in paragraph (1)—

kjohnson on DSK79L0C42PROD with BILLS

13

(i) in subparagraph (A)—

14

(I) in the matter preceding clause

15

(i), by striking ‘‘promote, through

16

planning and implementation, the de-

17

velopment of integrated health care

18

networks that have combined the

19

functions of the entities participating

20

in the networks’’ and inserting ‘‘plan,

21

develop, and implement integrated

22

health care networks that collabo-

23

rate’’; and

24

(II) in clause (ii), by striking

25

‘‘essential health care services’’ and

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1

inserting ‘‘basic health care services

2

and associated health outcomes’’; and

3

(ii) by amending subparagraph (B) to

4

read as follows:

5

‘‘(B) GRANT

Director may

6

award grants under this subsection for periods

7

of not more than 5 years.’’;

8

(B) in paragraph (2)—

9

(i) in the matter preceding subpara-

10

graph (A), by inserting ‘‘shall’’ after ‘‘enti-

11

ty’’;

12

(ii) in subparagraph (A), by striking

13

‘‘shall be a rural public or rural nonprofit

14

private entity’’ and inserting ‘‘be an entity

15

with demonstrated experience serving, or

16

the capacity to serve, rural underserved

17

populations’’;

18

(iii) in subparagraph (B)—

19

(I) in the matter preceding clause

20

(i)—

21

(aa) by striking ‘‘shall’’; and

22

(bb)

23
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PERIODS.—The

by

inserting

after ‘‘participants’’; and

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‘‘that’’

137
1

(II) in clauses (i) and (ii), by

2

striking ‘‘that’’ each place such term

3

appears; and

4

(iv) in subparagraph (C), by striking

5

‘‘shall’’; and

6

(C) in paragraph (3)—

7

(i) by amending clause (iii) of sub-

8

paragraph (C) to read as follows:

9

‘‘(iii) how the rural underserved popu-

10

lations in the local community or region to

11

be served will benefit from and be involved

12

in the development and ongoing operations

13

of the network;’’; and

14

(ii) in subparagraph (D), by striking

15

‘‘the local community or region’’ and in-

16

serting ‘‘the rural underserved populations

17

in the local community or region’’;

18

(4) in subsection (g)—

kjohnson on DSK79L0C42PROD with BILLS

19

(A) in paragraph (1)—

20

(i) by inserting ‘‘, including activities

21

related to increasing care coordination, en-

22

hancing chronic disease management, and

23

improving patient health outcomes’’ before

24

the period of the first sentence; and

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1

(ii) by striking ‘‘3 years’’ and insert-

2

ing ‘‘5 years’’;

3

(B) in paragraph (2)—

4

(i) in the matter preceding subpara-

5

graph (A), by inserting ‘‘shall’’ after ‘‘enti-

6

ty’’;

7

(ii) in subparagraphs (A) and (B), by

8

striking ‘‘shall’’ each place such term ap-

9

pears; and

10

(iii) in subparagraph (A)(ii), by in-

11

serting ‘‘or regional’’ after ‘‘local’’; and

12

(C) in paragraph (3)(D), by striking ‘‘the

13

local community or region’’ and inserting ‘‘the

14

rural underserved populations in the local com-

15

munity or region’’;

16

(5) in subsection (h)(3), in the matter pre-

17

ceding subparagraph (A), by inserting ‘‘, as appro-

18

priate,’’ after ‘‘the Secretary’’;

19

(6) by amending subsection (i) to read as fol-

20

lows:

21

‘‘(i) REPORT.—Not later than 4 years after the date

22 of enactment of the CARES Act, and every 5 years there-

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23 after, the Secretary shall prepare and submit to the Com24 mittee on Health, Education, Labor, and Pensions of the
25 Senate and the Committee on Energy and Commerce of
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1 the House of Representatives a report on the activities and
2 outcomes of the grant programs under subsections (e), (f),
3 and (g), including the impact of projects funded under
4 such programs on the health status of rural residents with
5 chronic conditions.’’; and
6

(7) in subsection (j), by striking ‘‘$45,000,000

7

for each of fiscal years 2008 through 2012’’ and in-

8

serting ‘‘$79,500,000 for each of fiscal years 2021

9

through 2025’’.

10

SEC. 4215. UNITED STATES PUBLIC HEALTH SERVICE MOD-

11
12

ERNIZATION.

(a) COMMISSIONED CORPS

AND

READY RESERVE

13 CORPS.—Section 203 of the Public Health Service Act (42
14 U.S.C. 204) is amended—
15

(1) in subsection (a)(1), by striking ‘‘a Ready

16

Reserve Corps for service in time of national emer-

17

gency’’ and inserting ‘‘, for service in time of a pub-

18

lic health or national emergency, a Ready Reserve

19

Corps’’; and

20

(2) in subsection (c)—

21

(A) in the heading, by striking ‘‘RE-

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22

SEARCH’’

and inserting ‘‘RESERVE CORPS’’;

23

(B) in paragraph (1), by inserting ‘‘during

24

public health or national emergencies’’ before

25

the period;

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1

(C) in paragraph (2)—

2

(i) in the matter preceding subpara-

3

graph (A), by inserting ‘‘, consistent with

4

paragraph (1)’’ after ‘‘shall’’;

5

(ii) in subparagraph (C), by inserting

6

‘‘during such emergencies’’ after ‘‘mem-

7

bers’’; and

8

(iii) in subparagraph (D), by inserting

9

‘‘, consistent with subparagraph (C)’’ be-

10

fore the period; and

11

(D) by adding at the end the following:

12

‘‘(3) STATUTORY

REFERENCES TO RESERVE.—

13

A reference in any Federal statute, except in the

14

case of subsection (b), to the ‘Reserve Corps’ of the

15

Public Health Service or to the ‘reserve’ of the Pub-

16

lic Health Service shall be deemed to be a reference

17

to the Ready Reserve Corps.’’.

18

(b)

DEPLOYMENT

READINESS.—Section

19 203A(a)(1)(B) of the Public Health Service Act (42
20 U.S.C. 204a(a)(1)(B)) is amended by striking ‘‘Active Re21 serves’’ and inserting ‘‘Ready Reserve Corps’’.
22

(c) RETIREMENT

OF

COMMISSIONED OFFICERS.—

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23 Section 211 of the Public Health Service Act (42 U.S.C.
24 212) is amended—

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1
2

(1) by striking ‘‘the Service’’ each place it appears and inserting ‘‘the Regular Corps’’;

3
4

(2) in subsection (a)(4), by striking ‘‘(in the
case of an officer in the Reserve Corps)’’;

5

(3) in subsection (c)—

6

(A) in paragraph (1)—

7

(i) by striking ‘‘or an officer of the

8

Reserve Corps’’; and

9

(ii) by inserting ‘‘or under section

10

221(a)(19)’’ after ‘‘subsection (a)’’; and

11

(B) in paragraph (2), by striking ‘‘Regular

12

or Reserve Corps’’ and inserting ‘‘Regular

13

Corps or Ready Reserve Corps’’; and

14

(4) in subsection (f), by striking ‘‘the Regular

15

or Reserve Corps of’’.

16

(d) RIGHTS, PRIVILEGES,

ETC. OF

OFFICERS

AND

17 SURVIVING BENEFICIARIES.—Section 221 of the Public
18 Health Service Act (42 U.S.C. 213a) is amended—
19
20

(1) in subsection (a), by adding at the end the
following:

21
22

‘‘(19) Chapter 1223, Retired Pay for Non-Regular Service.

kjohnson on DSK79L0C42PROD with BILLS

23
24

‘‘(20) Section 12601, Compensation: Reserve on
active duty accepting from any person.

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1

‘‘(21) Section 12684, Reserves: separation for

2

absence without authority or sentence to imprison-

3

ment.’’; and

4

(2) in subsection (b)—

5

(A) by striking ‘‘Secretary of Health, Edu-

6

cation, and Welfare or his designee’’ and insert-

7

ing ‘‘Secretary of Health and Human Services

8

or the designee of such secretary’’;

9

(B) by striking ‘‘(b) The authority vested’’

10

and inserting the following:

11

‘‘(b)(1) The authority vested’’;

12

(C) by striking ‘‘For purposes of’’ and in-

13

serting the following:

14

‘‘(2) For purposes of’’; and

15

(D) by adding at the end the following:

16

‘‘(3) For purposes of paragraph (19) of subsection

17 (a), the terms ‘Military department’, ‘Secretary con18 cerned’, and ‘Armed forces’ in such title 10 shall be
19 deemed to include, respectively, the Department of Health
20 and Human Services, the Secretary of Health and Human
21 Services, and the Commissioned Corps.’’.
22

(e) TECHNICAL AMENDMENTS.—Title II of the Pub-

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23 lic Health Service Act (42 U.S.C. 202 et seq.) is amend24 ed—

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1

(1) in sections 204 and 207(c), by striking

2

‘‘Regular or Reserve Corps’’ each place it appears

3

and inserting ‘‘Regular Corps or Ready Reserve

4

Corps’’;

5

(2) in section 208(a), by striking ‘‘Regular and

6

Reserve Corps’’ each place it appears and inserting

7

‘‘Regular Corps and Ready Reserve Corps’’; and

8

(3) in section 205(c), 206(c), 210, and 219,

9

and in subsections (a), (b), and (d) of section 207,

10

by striking ‘‘Reserve Corps’’ each place it appears

11

and inserting ‘‘Ready Reserve Corps’’.

12

SEC. 4216. LIMITATION ON LIABILITY FOR VOLUNTEER

13

HEALTH

14

COVID-19 EMERGENCY RESPONSE.

15

(a) LIMITATION

CARE

ON

PROFESSIONALS

DURING

LIABILITY.—Except as provided

16 in subsection (b), a health care professional shall not be
17 liable under Federal or State law for any harm caused
18 by an act or omission of the professional in the provision
19 of health care services during the public health emergency
20 declared by the Secretary of Health and Human Services
21 (referred to in this section as the ‘‘Secretary’’) pursuant
22 to section 319 of the Public Health Service Act (42 U.S.C.

kjohnson on DSK79L0C42PROD with BILLS

23 247d) on January 31, 2020 with respect to COVID-19,
24 if—

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1

(1) the professional is providing health care

2

services in response to such public health emergency,

3

as a volunteer; and

4

(2) the act or omission occurs—

5

(A) in the course of providing health care

6

services;

7

(B) in the health care professional’s capac-

kjohnson on DSK79L0C42PROD with BILLS

8

ity as a volunteer;

9

(C) in the course of providing health care

10

services that are within the scope of the license,

11

registration, or certification of the volunteer, as

12

defined by the State of licensure, registration,

13

or certification; and

14

(D) in a good faith belief that the indi-

15

vidual being treated is in need of health care

16

services.

17

(b) EXCEPTIONS.—Subsection (a) does not apply if—

18

(1) the harm was caused by an act or omission

19

constituting willful or criminal misconduct, gross

20

negligence, reckless misconduct, or a conscious fla-

21

grant indifference to the rights or safety of the indi-

22

vidual harmed by the health care professional; or

23

(2) the health care professional rendered the

24

health care services under the influence (as deter-

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145
1

mined pursuant to applicable State law) of alcohol

2

or an intoxicating drug.

3

(c) PREEMPTION.—

4

(1) IN

section preempts the

5

laws of a State or any political subdivision of a State

6

to the extent that such laws are inconsistent with

7

this section, unless such laws provide greater protec-

8

tion from liability.

9

(2) VOLUNTEER

PROTECTION

ACT.—Protec-

10

tions afforded by this section are in addition to those

11

provided by the Volunteer Protection Act of 1997

12

(Public Law 105–19).

13

(d) DEFINITIONS.—In this section—

14
15

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GENERAL.—This

(1) the term ‘‘harm’’ includes physical, nonphysical, economic, and noneconomic losses;

16

(2) the term ‘‘health care professional’’ means

17

an individual who is licensed, registered, or certified

18

under Federal or State law to provide health care

19

services;

20

(3) the term ‘‘health care services’’ means any

21

services provided by a health care professional, or by

22

any individual working under the supervision of a

23

health care professional that relate to—

24

(A) the diagnosis, prevention, or treatment

25

of COVID-19; or

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1

(B) the assessment or care of the health of

2

a human being; and

3

(4) the term ‘‘volunteer’’ means a health care

4

professional who, with respect to the health care

5

services rendered, does not receive compensation or

6

any other thing of value in lieu of compensation,

7

which compensation—

8

(A) includes a payment under any insur-

9

ance policy or health plan, or under any Fed-

10

eral or State health benefits program; and

11

(B) excludes receipt of items to be used ex-

12

clusively for rendering health care services in

13

the health care professional’s capacity as a vol-

14

unteer described in subsection (a)(1).

15

(e) EFFECTIVE DATE.—This section shall take effect

16 upon the date of enactment of this Act, and applies to
17 a claim for harm only if the act or omission that caused
18 such harm occurred on or after the date of enactment.
19

(f) SUNSET.—This section shall be in effect only for

20 the length of the public health emergency declared by the
21 Secretary of Health and Human Services (referred to in
22 this section as the ‘‘Secretary’’) pursuant to section 319

kjohnson on DSK79L0C42PROD with BILLS

23 of the Public Health Service Act (42 U.S.C. 247d) on Jan24 uary 31, 2020 with respect to COVID-19.

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1
2

PART III—MISCELLANEOUS PROVISIONS
SEC.

4221.

CONFIDENTIALITY

AND

DISCLOSURE

OF

3

RECORDS RELATING TO SUBSTANCE USE DIS-

4

ORDER.

5
6

(a) CONFORMING CHANGES RELATING
STANCE

TO

SUB-

USE DISORDER.—Subsections (a) and (h) of sec-

7 tion 543 of the Public Health Service Act (42 U.S.C.
8 290dd–2) are each amended by striking ‘‘substance
9 abuse’’ and inserting ‘‘substance use disorder’’.
10
11

(b) DISCLOSURES
SISTENT

TO

COVERED ENTITIES CON-

WITH HIPAA.—Paragraph (1) of section 543(b)

12 of the Public Health Service Act (42 U.S.C. 290dd–2(b))

kjohnson on DSK79L0C42PROD with BILLS

13 is amended to read as follows:
14

‘‘(1) CONSENT.—The following shall apply with

15

respect to the contents of any record referred to in

16

subsection (a):

17

‘‘(A) Such contents may be used or dis-

18

closed in accordance with the prior written con-

19

sent of the patient with respect to whom such

20

record is maintained.

21

‘‘(B) Once prior written consent of the pa-

22

tient has been obtained, such contents may be

23

used or disclosed by a covered entity, business

24

associate, or a program subject to this section

25

for purposes of treatment, payment, and health

26

care operations as permitted by the HIPAA
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148
1

regulations. Any information so disclosed may

2

then be redisclosed in accordance with the

3

HIPAA regulations. Section 13405(c) of the

4

Health Information Technology and Clinical

5

Health Act (42 U.S.C. 17935(c)) shall apply to

6

all disclosures pursuant to subsection (b)(1) of

7

this section.

8

‘‘(C) It shall be permissible for a patient’s

9

prior written consent to be given once for all

10

such future uses or disclosures for purposes of

11

treatment, payment, and health care operations,

12

until such time as the patient revokes such con-

13

sent in writing.

14

‘‘(D) Section 13405(a) of the Health In-

15

formation Technology and Clinical Health Act

16

(42 U.S.C. 17935(a)) shall apply to all disclo-

17

sures pursuant to subsection (b)(1) of this sec-

18

tion.’’.

19
20

(c) DISCLOSURES
FORMATION TO

OF

DE-IDENTIFIED HEALTH IN-

PUBLIC HEALTH AUTHORITIES.—Para-

21 graph (2) of section 543(b) of the Public Health Service
22 Act (42 U.S.C. 290dd–2(b)), is amended by adding at the

kjohnson on DSK79L0C42PROD with BILLS

23 end the following:
24

‘‘(D) To a public health authority, so long

25

as such content meets the standards established

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1

in section 164.514(b) of title 45, Code of Fed-

2

eral Regulations (or successor regulations) for

3

creating de-identified information.’’.

4

(d) DEFINITIONS.—Section 543 of the Public Health

5 Service Act (42 U.S.C. 290dd–2) is amended by adding
6 at the end the following:
7

‘‘(k) DEFINITIONS.—For purposes of this section:

8

‘‘(1) BREACH.—The term ‘breach’ has the

9

meaning given such term for purposes of the HIPAA

10

regulations.

11

‘‘(2) BUSINESS

term ‘busi-

12

ness associate’ has the meaning given such term for

13

purposes of the HIPAA regulations.

14

‘‘(3) COVERED

ENTITY.—The

term ‘covered en-

15

tity’ has the meaning given such term for purposes

16

of the HIPAA regulations.

17

‘‘(4) HEALTH

CARE OPERATIONS.—The

‘health care operations’ has the meaning given such

19

term for purposes of the HIPAA regulations.
‘‘(5)

HIPPA

REGULATIONS.—The

term

21

‘HIPAA regulations’ has the meaning given such

22

term for purposes of parts 160 and 164 of title 45,

23

Code of Federal Regulations.

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term

18

20

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ASSOCIATE.—The

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1

‘‘(6) PAYMENT.—The term ‘payment’ has the

2

meaning given such term for purposes of the HIPAA

3

regulations.

4

‘‘(7) PUBLIC

HEALTH AUTHORITY.—The

term

5

‘public health authority’ has the meaning given such

6

term for purposes of the HIPAA regulations.

7

‘‘(8) TREATMENT.—The term ‘treatment’ has

8

the meaning given such term for purposes of the

9

HIPAA regulations.

10

‘‘(9) UNSECURED

PROTECTED HEALTH INFOR-

11

MATION.—The

12

has the meaning given such term for purposes of the

13

HIPAA regulations.’’.

14

(e) USE

OF

term ‘unprotected health information’

RECORDS

15

MINISTRATIVE

16

CEEDINGS.—Subsection

IN

CRIMINAL, CIVIL,

INVESTIGATIONS, ACTIONS,

OR

OR

AD-

PRO-

(c) of section 543 of the Public

17 Health Service Act (42 U.S.C. 290dd–2(c)) is amended
18 to read as follows:
19

‘‘(c) USE

20

MINISTRATIVE

OF

RECORDS

IN

CRIMINAL, CIVIL,

OR

AD-

CONTEXTS.—Except as otherwise author-

21 ized by a court order under subsection (b)(2)(C) or by the
22 consent of the patient, a record referred to in subsection

kjohnson on DSK79L0C42PROD with BILLS

23 (a), or testimony relaying the information contained there24 in, may not be disclosed or used in any civil, criminal, ad25 ministrative, or legislative proceedings conducted by any
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151
1 Federal, State, or local authority, including with respect
2 to the following activities:
3

‘‘(1) Such record or testimony shall not be en-

4

tered into evidence in any criminal prosecution or

5

civil action before a Federal or State court.

6

‘‘(2) Such record or testimony shall not form

7

part of the record for decision or otherwise be taken

8

into account in any proceeding before a Federal,

9

State, or local agency.

10

‘‘(3) Such record or testimony shall not be used

11

by any Federal, State, or local agency for a law en-

12

forcement purpose or to conduct any law enforce-

13

ment investigation.

14

‘‘(4) Such record or testimony shall not be used

15

in any application for a warrant.’’.

16

(f) PENALTIES.—Subsection (f) of section 543 of the

17 Public Health Service Act (42 U.S.C. 290dd–2) is amend18 ed to read as follows:
19

‘‘(f) PENALTIES.—The provisions of sections 1176

20 and 1177 of the Social Security Act shall apply to a viola21 tion of this section to the extent and in the same manner
22 as such provisions apply to a violation of part C of title

kjohnson on DSK79L0C42PROD with BILLS

23 XI of such Act. In applying the previous sentence—
24

‘‘(1) the reference to ‘this subsection’ in sub-

25

section (a)(2) of such section 1176 shall be treated

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1

as a reference to ‘this subsection (including as ap-

2

plied pursuant to section 543(f) of the Public Health

3

Service Act)’; and

4

‘‘(2) in subsection (b) of such section 1176—

5

‘‘(A) each reference to ‘a penalty imposed

6

under subsection (a)’ shall be treated as a ref-

7

erence to ‘a penalty imposed under subsection

8

(a) (including as applied pursuant to section

9

543(f) of the Public Health Service Act)’; and

10

‘‘(B) each reference to ‘no damages ob-

11

tained under subsection (d)’ shall be treated as

12

a reference to ‘no damages obtained under sub-

13

section (d) (including as applied pursuant to

14

section 543(f) of the Public Health Service

15

Act)’.’’.

16

(g) ANTIDISCRIMINATION.—Section 543 of the Public

17 Health Service Act (42 U.S.C. 290dd–2) is amended by
18 inserting after subsection (h) the following:
19

‘‘(i) ANTIDISCRIMINATION.—

kjohnson on DSK79L0C42PROD with BILLS

20

‘‘(1) IN

GENERAL.—No

entity shall discrimi-

21

nate against an individual on the basis of informa-

22

tion received by such entity pursuant to an inad-

23

vertent or intentional disclosure of records, or infor-

24

mation contained in records, described in subsection

25

(a) in—

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1

‘‘(A) admission, access to, or treatment for

2

health care;

3

‘‘(B) hiring, firing, or terms of employ-

4

ment, or receipt of worker’s compensation;

5

‘‘(C) the sale, rental, or continued rental of

6

housing;

7

‘‘(D) access to Federal, State, or local

8

courts; or

9

‘‘(E) access to, approval of, or mainte-

10

nance of social services and benefits provided or

11

funded by Federal, State, or local governments.

12

‘‘(2) RECIPIENTS

OF FEDERAL FUNDS.—No

re-

13

cipient of Federal funds shall discriminate against

14

an individual on the basis of information received by

15

such recipient pursuant to an intentional or inad-

16

vertent disclosure of such records or information

17

contained in records described in subsection (a) in

18

affording access to the services provided with such

19

funds.’’.

20

(h) NOTIFICATION

IN

CASE

OF

BREACH.—Section

21 543 of the Public Health Service Act (42 U.S.C. 290dd–
22 2), as amended by subsection (g), is further amended by

kjohnson on DSK79L0C42PROD with BILLS

23 inserting after subsection (i) the following:
24

‘‘(j) NOTIFICATION

IN

CASE

OF

BREACH.—The pro-

25 visions of section 13402 of the HITECH Act (42 U.S.C.
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154
1 17932) shall apply to a program or activity described in
2 subsection (a), in case of a breach of records described
3 in subsection (a), to the same extent and in the same man4 ner as such provisions apply to a covered entity in the
5 case of a breach of unsecured protected health informa6 tion.’’.
7

(i) REGULATIONS.—

8

(1) IN

Secretary of Health and

9

Human Services, in consultation with appropriate

10

Federal agencies, shall make such revisions to regu-

11

lations as may be necessary for implementing and

12

enforcing the amendments made by this section,

13

such that such amendments shall apply with respect

14

to uses and disclosures of information occurring on

15

or after the date that is 12 months after the date

16

of enactment of this Act.

17

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GENERAL.—The

(2) EASILY

UNDERSTANDABLE NOTICE OF PRI-

18

VACY PRACTICES.—Not

19

date of enactment of this Act, the Secretary of

20

Health and Human Services, in consultation with

21

appropriate legal, clinical, privacy, and civil rights

22

experts, shall update section 164.520 of title 45,

23

Code of Federal Regulations, so that covered entities

24

and entities creating or maintaining the records de-

25

scribed in subsection (a) provide notice, written in

later than 1 year after the

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1

plain language, of privacy practices regarding pa-

2

tient records referred to in section 543(a) of the

3

Public Health Service Act (42 U.S.C. 290dd–2(a)),

4

including—

5

(A) a statement of the patient’s rights, in-

6

cluding self-pay patients, with respect to pro-

7

tected health information and a brief descrip-

8

tion of how the individual may exercise these

9

rights (as required by subsection (b)(1)(iv) of

10

such section 164.520); and

11

(B) a description of each purpose for

12

which the covered entity is permitted or re-

13

quired to use or disclose protected health infor-

14

mation without the patient’s written authoriza-

15

tion (as required by subsection (b)(2) of such

16

section 164.520).

17

(j) RULES

OF

CONSTRUCTION.—Nothing in this title

18 or the amendments made by this title shall be construed

kjohnson on DSK79L0C42PROD with BILLS

19 to limit—
20

(1) a patient’s right, as described in section

21

164.522 of title 45, Code of Federal Regulations, or

22

any successor regulation, to request a restriction on

23

the use or disclosure of a record referred to in sec-

24

tion 543(a) of the Public Health Service Act (42

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1

U.S.C. 290dd–2(a)) for purposes of treatment, pay-

2

ment, or health care operations; or

3

(2) a covered entity’s choice, as described in

4

section 164.506 of title 45, Code of Federal Regula-

5

tions, or any successor regulation, to obtain the con-

6

sent of the individual to use or disclose a record re-

7

ferred to in such section 543(a) to carry out treat-

8

ment, payment, or health care operation.

9

(k) SENSE

OF

CONGRESS.—It is the sense of the

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10 Congress that—
11

(1) any person treating a patient through a

12

program or activity with respect to which the con-

13

fidentiality requirements of section 543 of the Public

14

Health Service Act (42 U.S.C. 290dd–2) apply is en-

15

couraged to access the applicable State-based pre-

16

scription drug monitoring program when clinically

17

appropriate;

18

(2) patients have the right to request a restric-

19

tion on the use or disclosure of a record referred to

20

in section 543(a) of the Public Health Service Act

21

(42 U.S.C. 290dd–2(a)) for treatment, payment, or

22

health care operations;

23

(3) covered entities should make every reason-

24

able effort to the extent feasible to comply with a

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1

patient’s request for a restriction regarding such use

2

or disclosure;

3

(4) for purposes of applying section 164.501 of

4

title 45, Code of Federal Regulations, the definition

5

of health care operations shall have the meaning

6

given such term in such section, except that clause

7

(v) of paragraph (6) shall not apply; and

8

(5) programs creating records referred to in

9

section 543(a) of the Public Health Service Act (42

10

U.S.C. 290dd–2(a)) should receive positive incen-

11

tives for discussing with their patients the benefits

12

to consenting to share such records.

13

SEC. 4222. NUTRITION SERVICES.

14

(a) DEFINITIONS.—In this section, the terms ‘‘As-

15 sistant Secretary’’, ‘‘Secretary’’, ‘‘State agency’’, and
16 ‘‘area agency on aging’’ have the meanings given the
17 terms in section 102 of the Older Americans Act of 1965
18 (42 U.S.C. 3002).
19

(b) NUTRITION SERVICES TRANSFER CRITERIA.—

20 During any portion of the COVID-19 public health emer21 gency declared under section 319 of the Public Health
22 Service Act (42 U.S.C. 247d), the Secretary shall allow

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23 a State agency or an area agency on aging, without prior
24 approval, to transfer not more than 100 percent of the
25 funds received by the State agency or area agency on
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1 aging, respectively, and attributable to funds appropriated
2 under paragraph (1) or (2) of section 303(b) of the Older
3 Americans Act of 1965 (42 U.S.C. 3023(b)), between sub4 part 1 and subpart 2 of part C (42 U.S.C. 3030d–2 et
5 seq.) for such use as the State agency or area agency on
6 aging, respectively, considers appropriate to meet the
7 needs of the State or area served.
8
9

(c ) HOME-DELIVERED NUTRITION SERVICES WAIVER.—For

purposes of State agencies determining the de-

10 livery of nutrition services under section 337 of the Older
11 Americans Act of 1965 (42 U.S.C. 3030g), during the pe12 riod of the COVID–19 public health emergency declared
13 under section 319 of the Public Health Service Act (42
14 U.S.C. 247d), the same meaning shall be given to an indi15 vidual who is unable to obtain nutrition because the indi16 vidual is practicing social distancing due to the emergency
17 as is given to an individual who is homebound by reason
18 of illness.
19

(d) DIETARY GUIDELINES WAIVER.—To facilitate

20 implementation of subparts 1 and 2 of part C of title III
21 of the Older Americans Act of 1965 (42 U.S.C. 3030d–
22 2 et seq.) during any portion of the COVID-19 public

kjohnson on DSK79L0C42PROD with BILLS

23 health emergency declared under section 319 of the Public
24 Health Service Act (42 U.S.C. 247d), the Assistant Sec25 retary shall waive the requirements for meals provided
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159
1 under those subparts to comply with the requirements of
2 clauses (i) and (ii) of section 339(2)(A) of such Act (42
3 U.S.C. 3030g–21(2)(A)).
4

SEC. 4223. GUIDANCE ON PROTECTED HEALTH INFORMA-

5
6

TION.

Not later than 180 days after the date of enactment

7 of this Act, the Secretary of Health and Human Services
8 shall issue guidance on the sharing of patients’ protected
9 health information pursuant to section 160.103 of title 45,
10 Code of Federal Regulations (or any successor regula11 tions) during the public health emergency declared by the
12 Secretary of Health and Human Services under section
13 319 of the Public Health Service Act (42 U.S.C. 247d)
14 with respect to COVID-19, during the emergency involv15 ing Federal primary responsibility determined to exist by
16 the President under section 501(b) of the Robert T. Staf17 ford Disaster Relief and Emergency Assistance Act (42
18 U.S.C. 5191(b)) with respect to COVID-19, and during
19 the national emergency declared by the President under
20 the National Emergencies Act (50 U.S.C. 1601 et seq.)
21 with respect to COVID-19. Such guidance shall include
22 information on compliance with the regulations promul-

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23 gated pursuant to section 264(c) of the Health Insurance
24 Portability and Accountability Act of 1996 (42 U.S.C.

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1 1320d–2 note) and applicable policies, including such poli2 cies that may come into effect during such emergencies.
3

SEC. 4224. REAUTHORIZATION OF HEALTHY START PRO-

4
5

GRAM.

Section 330H of the Public Health Service Act (42

6 U.S.C. 254c–8) is amended—
7

(1) in subsection (a)—

8

(A) in paragraph (1), by striking ‘‘, during

9

fiscal year 2001 and subsequent years,’’; and

10

(B) in paragraph (2), by inserting ‘‘or in-

11

creasing above the national average’’ after

12

‘‘areas with high’’;

13

(2) in subsection (b)—

14

(A) in paragraph (1), by striking ‘‘con-

15

sumers of project services, public health depart-

16

ments, hospitals, health centers under section

17

330’’ and inserting ‘‘participants and former

18

participants of project services, public health

19

departments, hospitals, health centers under

20

section 330, State substance abuse agencies’’;

21

and

kjohnson on DSK79L0C42PROD with BILLS

22

(B) in paragraph (2)—

23

(i) in subparagraph (A), by striking

24

‘‘such as low birthweight’’ and inserting

25

‘‘including poor birth outcomes (such as

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1

low birthweight and preterm birth) and so-

2

cial determinants of health’’;

3

(ii) by redesignating subparagraph

4

(B) as subparagraph (C);

5

(iii) by inserting after subparagraph

6

(A), the following:

7

‘‘(B) Communities with—

8

‘‘(i) high rates of infant mortality or

9

poor perinatal outcomes; or

10

‘‘(ii) high rates of infant mortality or

11

poor perinatal outcomes in specific sub-

12

populations within the community.’’; and

13

(iv) in subparagraph (C) (as so redes-

14

ignated)—

15

(I) by redesignating clauses (i)

16

and (ii) as clauses (ii) and (iii), re-

17

spectively;

kjohnson on DSK79L0C42PROD with BILLS

18

(II) by inserting before clause (ii)

19

(as so redesignated) the following:

20

‘‘(i) collaboration with the local com-

21

munity in the development of the project;’’;

22

(III) in clause (ii) (as so redesig-

23

nated), by striking ‘‘and’’ at the end;

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1

(IV) in clause (iii) (as so redesig-

2

nated), by striking the period and in-

3

serting ‘‘; and’’; and

4

(V) by adding at the end the fol-

5

lowing:

6

‘‘(iv) the use and collection of data

7

demonstrating the effectiveness of such

8

program in decreasing infant mortality

9

rates and improving perinatal outcomes, as

10

applicable, or the process by which new ap-

11

plicants plan to collect this data.’’;

12

(3) in subsection (c)—

13

(A) by striking ‘‘Recipients of grants’’ and

14

inserting the following:

15

‘‘(1) IN

16

of grants’’; and

(B) by adding at the end the following:

17

‘‘(2) OTHER

PROGRAMS.—The

Secretary shall

18

ensure coordination of the program carried out pur-

19

suant to this section with other programs and activi-

20

ties related to the reduction of the rate of infant

21

mortality and improved perinatal and infant health

22

outcomes supported by the Department.’’;

23
kjohnson on DSK79L0C42PROD with BILLS

GENERAL.—Recipients

(4) in subsection (e)—

24

(A) in paragraph (1), by striking ‘‘appro-

25

priated—’’ and all that follows through the end

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1

and inserting ‘‘appropriated $122,500,000 for

2

each of fiscal years 2020 through 2024.’’; and

3

(B) in paragraph (2)(B), by adding at the

4

end the following: ‘‘Evaluations may also in-

5

clude, to the extent practicable, information re-

6

lated to—

7

‘‘(i) progress toward achieving any

8

grant metrics or outcomes related to re-

9

ducing infant mortality rates, improving

10

perinatal outcomes, or reducing the dis-

11

parity in health status;

12

‘‘(ii) recommendations on potential

13

improvements that may assist with ad-

14

dressing gaps, as applicable and appro-

15

priate; and

16

‘‘(iii) the extent to which the grantee

17

coordinated with the community in which

18

the grantee is located in the development

19

of the project and delivery of services, in-

20

cluding with respect to technical assistance

21

and mentorship programs.’’; and

22

kjohnson on DSK79L0C42PROD with BILLS

23

(5) by adding at the end the following:
‘‘(f) GAO REPORT.—

24
25

‘‘(1) IN

GENERAL.—Not

later than 4 years

after the date of the enactment of this subsection,

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1

the Comptroller General of the United States shall

2

conduct an independent evaluation, and submit to

3

the appropriate Committees of Congress a report,

4

concerning the Healthy Start program under this

5

section.

6

‘‘(2) EVALUATION.—In conducting the evalua-

7

tion under paragraph (1), the Comptroller General

8

shall consider, as applicable and appropriate, infor-

9

mation from the evaluations under subsection

kjohnson on DSK79L0C42PROD with BILLS

10

(e)(2)(B).

11

‘‘(3) REPORT.—The report described in para-

12

graph (1) shall review, assess, and provide rec-

13

ommendations, as appropriate, on the following:

14

‘‘(A) The allocation of Healthy Start pro-

15

gram grants by the Health Resources and Serv-

16

ices Administration, including considerations

17

made by such Administration regarding dispari-

18

ties in infant mortality or perinatal outcomes

19

among urban and rural areas in making such

20

awards.

21

‘‘(B) Trends in the progress made toward

22

meeting the evaluation criteria pursuant to sub-

23

section (e)(2)(B), including programs which de-

24

crease infant mortality rates and improve

25

perinatal outcomes, programs that have not de-

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1

creased infant mortality rates or improved

2

perinatal outcomes, and programs that have

3

made an impact on disparities in infant mor-

4

tality or perinatal outcomes.

5

‘‘(C) The ability of grantees to improve

6

health outcomes for project participants, pro-

7

mote the awareness of the Healthy Start pro-

8

gram services, incorporate and promote family

9

participation, facilitate coordination with the

10

community in which the grantee is located, and

11

increase grantee accountability through quality

12

improvement, performance monitoring, evalua-

13

tion, and the effect such metrics may have to-

14

ward decreasing the rate of infant mortality

15

and improving perinatal outcomes.

16

‘‘(D) The extent to which such Federal

17

programs are coordinated across agencies and

18

the identification of opportunities for improved

19

coordination in such Federal programs and ac-

20

tivities.’’.

21

Subtitle C—Innovation

22

SEC. 4301. REMOVING THE CAP ON OTA.

kjohnson on DSK79L0C42PROD with BILLS

23

Section 319L(c)(5)(A)(ii) of the Public Health Serv-

24 ice Act (42 U.S.C. 247d–7e(c)(5)(A)(ii)) is amended to
25 read as follows:
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1

‘‘(ii) LIMITATIONS

ON AUTHORITY.—

2

To the maximum extent practicable, com-

3

petitive procedures shall be used when en-

4

tering into transactions to carry out

5

projects under this subsection.’’.

6

SEC. 4302. EXTENDING THE PRIORITY REVIEW PROGRAM

7

FOR AGENTS THAT PRESENT NATIONAL SE-

8

CURITY THREATS.

9

Section 565A of the Federal Food, Drug, and Cos-

10 metic Act (21 U.S.C. 360bbb–4a) is amended by striking
11 subsection (g).
12

SEC. 4303. PRIORITY ZOONOTIC ANIMAL DRUGS.

13

Chapter V of the Federal Food, Drug, and Cosmetic

14 Act (21 U.S.C. 351 et seq.) is amended by inserting after
15 section 512 the following:
16

‘‘SEC. 512A. PRIORITY ZOONOTIC ANIMAL DRUGS.

17

‘‘(a) IN GENERAL.—The Secretary shall, at the re-

18 quest of the sponsor intending to submit an application
19 for approval of a new animal drug under section 512(b)(1)
20 or an application for conditional approval of a new animal
21 drug under section 571, expedite the development and re22 view of such new animal drug if preliminary clinical evi-

kjohnson on DSK79L0C42PROD with BILLS

23 dence indicates that the new animal drug, alone or in com24 bination with 1 or more other animal drugs, has the poten25 tial to prevent or treat a zoonotic disease in animals, in•S 3548 IS
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1 cluding a vector borne-disease, that has the potential to
2 cause serious adverse health consequences for, or serious
3 or life-threatening diseases in, humans.
4

‘‘(b) REQUEST

FOR

DESIGNATION.—The sponsor of

5 a new animal drug may request the Secretary to designate
6 a new animal drug described in subsection (a) as a priority
7 zoonotic animal drug. A request for the designation may
8 be made concurrently with, or at any time after, the open9 ing of an investigational new animal drug file under sec10 tion 512(j) or the filing of an application under section
11 512(b)(1) or 571.
12

‘‘(c) DESIGNATION.—

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13

‘‘(1) IN

GENERAL.—Not

later than 60 calendar

14

days after the receipt of a request under subsection

15

(b), the Secretary shall determine whether the new

16

animal drug that is the subject of the request meets

17

the criteria described in subsection (a). If the Sec-

18

retary determines that the new animal drug meets

19

the criteria, the Secretary shall designate the new

20

animal drug as a priority zoonotic animal drug and

21

shall take such actions as are appropriate to expe-

22

dite the development and review of the application

23

for approval or conditional approval of such new ani-

24

mal drug.

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168
1

‘‘(2) ACTIONS.—The actions to expedite the de-

2

velopment and review of an application under para-

3

graph (1) may include, as appropriate—

4

‘‘(A) taking steps to ensure that the design

5

of clinical trials is as efficient as practicable,

6

when scientifically appropriate, such as by uti-

7

lizing novel trial designs or drug development

8

tools (including biomarkers) that may reduce

9

the number of animals needed for studies;

10

‘‘(B) providing timely advice to, and inter-

11

active communication with, the sponsor (which

12

may include meetings with the sponsor and re-

13

view team) regarding the development of the

14

new animal drug to ensure that the develop-

15

ment program to gather the nonclinical and

16

clinical data necessary for approval is as effi-

17

cient as practicable;

18

‘‘(C) involving senior managers and review

19

staff with experience in zoonotic or vector-borne

20

disease to facilitate collaborative, cross-discipli-

21

nary review, including, as appropriate, across

22

agency centers; and

23

‘‘(D) implementing additional administra-

24

tive or process enhancements, as necessary, to

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1

facilitate an efficient review and development

2

program.’’.

Subtitle D—Finance Committee

3
4

SEC. 4401. EXEMPTION FOR TELEHEALTH SERVICES.

5

(a) IN GENERAL.—Paragraph (2) of section 223(c)

6 of the Internal Revenue Code of 1986 is amended by add7 ing at the end the following new subparagraph:
8

‘‘(E) SAFE

9

HARBOR FOR ABSENCE OF DE-

DUCTIBLE FOR TELEHEALTH.—In

the case of

10

plan years beginning on or before December 31,

11

2021, a plan shall not fail to be treated as a

12

high deductible health plan by reason of failing

13

to have a deductible for telehealth and other re-

14

mote care services.’’.

15

(b) CERTAIN COVERAGE DISREGARDED.—Clause (ii)

16 of section 223(c)(1)(B) of the Internal Revenue Code of
17 1986 is amended by striking ‘‘or long-term care’’ and in18 serting ‘‘long-term care, or (in the case of plan years be19 ginning on or before December 31, 2021) telehealth and
20 other remote care’’.
21

(c) EFFECTIVE DATE.—The amendments made by

22 this section shall take effect on the date of the enactment

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23 of this Act.

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1

SEC. 4402. INCLUSION OF CERTAIN OVER-THE-COUNTER

2

MEDICAL PRODUCTS AS QUALIFIED MEDICAL

3

EXPENSES.

4

(a) HSAS.—Section 223(d)(2) of the Internal Rev-

5 enue Code of 1986 is amended—
6

(1) by striking the last sentence of subpara-

7

graph (A) and inserting the following: ‘‘For pur-

8

poses of this subparagraph, amounts paid for men-

9

strual care products shall be treated as paid for

10

medical care.’’; and

11

(2) by adding at the end the following new sub-

12

paragraph:

13

‘‘(D) MENSTRUAL

CARE PRODUCT.—For

14

purposes of this paragraph, the term ‘menstrual

15

care product’ means a tampon, pad, liner, cup,

16

sponge, or similar product used by individuals

17

with respect to menstruation or other genital-

18

tract secretions.’’.

19

(b) ARCHER MSAS.—Section 220(d)(2)(A) of such

20 Code is amended by striking the last sentence and insert21 ing the following: ‘‘For purposes of this subparagraph,
22 amounts paid for menstrual care products (as defined in

kjohnson on DSK79L0C42PROD with BILLS

23 section 223(d)(2)(D)) shall be treated as paid for medical
24 care.’’.
25
26

(c) HEALTH FLEXIBLE SPENDING ARRANGEMENTS
AND

HEALTH REIMBURSEMENT ARRANGEMENTS.—Sec-

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1 tion 106 of such Code is amended by striking subsection
2 (f) and inserting the following new subsection:
3

‘‘(f) REIMBURSEMENTS

FOR

MENSTRUAL CARE

4 PRODUCTS.—For purposes of this section and section
5 105, expenses incurred for menstrual care products (as
6 defined in section 223(d)(2)(D)) shall be treated as in7 curred for medical care.’’.
8

(d) EFFECTIVE DATES.—

9

(1)

DISTRIBUTIONS

FROM

SAVINGS

AC-

10

COUNTS.—The

11

and (b) shall apply to amounts paid after December

12

31, 2019.

amendment made by subsections (a)

13

(2) REIMBURSEMENTS.—The amendment made

14

by subsection (c) shall apply to expenses incurred

15

after December 31, 2019.

16

SEC. 4403. TREATMENT OF DIRECT PRIMARY CARE SERV-

17
18

ICE ARRANGEMENTS.

(a) IN GENERAL.—Section 223(c)(1) of the Internal

19 Revenue Code of 1986 is amended by adding at the end
20 the following new subparagraph:
21

‘‘(D) TREATMENT

22

DIRECT

‘‘(i) IN

24

GENERAL.—A

direct primary

care service arrangement shall not be

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PRIMARY

CARE SERVICE ARRANGEMENTS.—

23
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1

treated as a health plan for purposes of

2

subparagraph (A)(ii).

3

‘‘(ii) DIRECT

4

ARRANGEMENT.—For

5

paragraph—

kjohnson on DSK79L0C42PROD with BILLS

6

‘‘(I) IN

PRIMARY CARE SERVICE

purposes

GENERAL.—The

this

term ‘di-

7

rect primary care service arrange-

8

ment’ means, with respect to any indi-

9

vidual, an arrangement under which

10

such individual is provided medical

11

care (as defined in section 213(d))

12

consisting solely of primary care serv-

13

ices provided by primary care practi-

14

tioners

15

1833(x)(2)(A) of the Social Security

16

Act, determined without regard to

17

clause (ii) thereof), if the sole com-

18

pensation for such care is a fixed peri-

19

odic fee.

(as

defined

in

section

20

‘‘(II) LIMITATION.—With respect

21

to any individual for any month, such

22

term shall not include any arrange-

23

ment if the aggregate fees for all di-

24

rect primary care service arrange-

25

ments (determined without regard to

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1

this subclause) with respect to such

2

individual for such month exceed

3

$150 (twice such dollar amount in the

4

case of an individual with any direct

5

primary care service arrangement (as

6

so determined) that covers more than

7

one individual).

8

‘‘(iii) CERTAIN

9

CALLY EXCLUDED FROM TREATMENT AS

10

PRIMARY CARE SERVICES.—For

11

of this paragraph, the term ‘primary care

12

services’ shall not include—

13

purposes

‘‘(I) procedures that require the

14

use of general anesthesia, and

15

‘‘(II) laboratory services not typi-

16

cally administered in an ambulatory

17

primary care setting.

18

The Secretary, after consultation with the

19

Secretary of Health and Human Services,

20

shall issue regulations or other guidance

21

regarding the application of this clause.’’.

22

(b) DIRECT PRIMARY CARE SERVICE ARRANGEMENT

23 FEES
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SPECIFI-

SERVICES

TREATED

AS

MEDICAL

EXPENSES.—Section

24 223(d)(2)(C) is amended by striking ‘‘or’’ at the end of
25 clause (iii), by striking the period at the end of clause (iv)
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1 and inserting ‘‘, or’’, and by adding at the end the fol2 lowing new clause:
3

‘‘(v) any direct primary care service arrangement.’’.

4

(c) INFLATION ADJUSTMENT.—Section 223(g)(1) of

5 such Code is amended—
6
7

(1) by inserting ‘‘, (c)(1)(D)(ii)(II),’’ after
‘‘(b)(2),’’ each place such term appears, and

8

(2) in subparagraph (B), by inserting ‘‘and

9

(iii)’’ after ‘‘clause (ii)’’ in clause (i), by striking

10

‘‘and’’ at the end of clause (i), by striking the period

11

at the end of clause (ii) and inserting ‘‘, and’’, and

12

by inserting after clause (ii) the following new

13

clause:

14

‘‘(iii) in the case of the dollar amount

15

in subsection (c)(1)(D)(ii)(II) for taxable

16

years beginning in calendar years after

17

2020, ‘calendar year 2019’.’ ’’’.

18

(d) REPORTING

OF

19 ARRANGEMENT FEES

DIRECT PRIMARY CARE SERVICE

ON W–2.—Section

6051(a) of such

20 Code is amended by striking ‘‘and’’ at the end of para21 graph (16), by striking the period at the end of paragraph
22 (17) and inserting ‘‘, and’’, and by inserting after para-

kjohnson on DSK79L0C42PROD with BILLS

23 graph (17) the following new paragraph:
24
25

‘‘(18) in the case of a direct primary care service

arrangement

(as

defined

in

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section

175
1

223(c)(1)(D)(ii)) which is provided in connection

2

with employment, the aggregate fees for such ar-

3

rangement for such employee.’’.

4

(e) EFFECTIVE DATE.—The amendments made by

5 this section shall apply to months beginning after Decem6 ber 31, 2019, in taxable years ending after such date.
7

SEC. 4404. INCREASING MEDICARE TELEHEALTH FLEXI-

8

BILITIES DURING EMERGENCY PERIOD.

9

Section 1135 of the Social Security Act (42 U.S.C.

10 1320b–5) is amended—
11

(1) in subsection (b)(8), by striking ‘‘to an indi-

12

vidual by a qualified provider (as defined in sub-

13

section (g)(3))’’ and all that follows through the pe-

14

riod and inserting ‘‘, the requirements of section

15

1834(m).’’; and

16

(2) in subsection (g), by striking paragraph (3).

17

SEC. 4405. ENHANCING MEDICARE TELEHEALTH SERVICES

18

FOR FEDERALLY QUALIFIED HEALTH CEN-

19

TERS AND RURAL HEALTH CLINICS DURING

20

EMERGENCY PERIOD.

21

Section 1834(m) of the Social Security Act (42

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22 U.S.C. 1395m(m)) is amended—
23

(1) in the first sentence of paragraph (1), by

24

striking ‘‘The Secretary’’ and inserting ‘‘Subject to

25

paragraph (8), the Secretary’’;

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1

(2) in paragraph (2)(A), by striking ‘‘The Sec-

2

retary’’ and inserting ‘‘Subject to paragraph (8), the

3

Secretary’’;

4

(3) in paragraph (4)—

5

(A) in subparagraph (A), by striking ‘‘The

6

term’’ and inserting ‘‘Subject to paragraph (8),

7

the term’’; and

8

(B) in subparagraph (F)(i), by striking

9

‘‘The term’’ and inserting ‘‘Subject to para-

10

graph (8), the term’’; and

11

(4) by adding at the end the following new

12

paragraph:

13

‘‘(8) ENHANCING

14

FEDERALLY

15

RURAL HEALTH CLINICS DURING EMERGENCY PE-

16

RIOD.—

17

QUALIFIED

‘‘(A) IN

18

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TELEHEALTH SERVICES FOR
HEALTH

CENTERS

GENERAL.—During

the emergency

period described in section 1135(g)(1)(B)—

19

‘‘(i) the Secretary shall pay for tele-

20

health services that are furnished via a

21

telecommunications system by a Federally

22

qualified health center or a rural health

23

clinic to an eligible telehealth individual en-

24

rolled under this part notwithstanding that

25

the Federally qualified health center or

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177
1

rural clinic providing the telehealth service

2

is not at the same location as the bene-

3

ficiary;

4

‘‘(ii) the amount of payment to a Fed-

5

erally qualified health center or rural

6

health clinic that serves as a distant site

7

for such a telehealth service shall be deter-

8

mined under subparagraph (B); and

9

‘‘(iii) for purposes of this subsection—

10

‘‘(I) the term ‘distant site’ in-

11

cludes a Federally qualified health

12

center or rural health clinic that fur-

13

nishes a telehealth service to an eligi-

14

ble telehealth individual; and

15

‘‘(II) the term ‘telehealth serv-

16

ices’ includes a rural health clinic

17

service or Federally qualified health

18

center service that is furnished using

19

telehealth to the extent that payment

20

codes corresponding to services identi-

21

fied by the Secretary under clause (i)

22

or (ii) of paragraph (4)(F) are listed

23

on the corresponding claim for such

24

rural health clinic service or Federally

25

qualified health center service.

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1

‘‘(B) SPECIAL

PAYMENT RULE.—The

Sec-

2

retary shall develop and implement payment

3

methods that apply under this subsection to a

4

Federally qualified health center or rural health

5

clinic that serves as a distant site that furnishes

6

a telehealth service to an eligible telehealth indi-

7

vidual during such emergency period. Such pay-

8

ment methods shall be based on a composite

9

rate that is similar to the payment that applies

10

to payment for comparable telehealth services

11

under the physician fee schedule under section

12

1848. Notwithstanding any other provision of

13

law, the Secretary may implement such pay-

14

ment methods through program instruction or

15

otherwise.’’.

16

SEC. 4406. TEMPORARY WAIVER OF REQUIREMENT FOR

17

FACE-TO-FACE VISITS BETWEEN HOME DI-

18

ALYSIS PATIENTS AND PHYSICIANS.

19

Section 1881(b)(3)(B) of the Social Security Act (42

20 U.S.C. 1395rr(b)(3)(B)) is amended—
21

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22

(1) in clause (i), by striking ‘‘clause (ii)’’ and
inserting ‘‘clauses (ii) and (iii)’’;

23

(2) in clause (ii), in the matter preceding sub-

24

clause (I), by striking ‘‘Clause (i)’’ and inserting

25

‘‘Except as provided in clause (iii), clause (i)’’; and

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1

(3) by adding at the end the following new

2

clause:

3

‘‘(iii) The Secretary may waive the

4

provisions of clause (ii) during the emer-

5

gency

6

1135(g)(1)(B).’’.

7

period

described

in

section

SEC. 4407. IMPROVING CARE PLANNING FOR MEDICARE

8
9

HOME HEALTH SERVICES.

(a) PART A PROVISIONS.—Section 1814(a) of the So-

10 cial Security Act (42 U.S.C. 1395f(a)) is amended—
11

(1) in paragraph (2)—

12

(A) in the matter preceding subparagraph

13

(A), by inserting ‘‘, a nurse practitioner or clin-

14

ical nurse specialist (as such terms are defined

15

in section 1861(aa)(5)) who is working in ac-

16

cordance with State law, or a physician assist-

17

ant (as defined in section 1861(aa)(5)) under

18

the supervision of a physician, who is’’ after ‘‘in

19

the case of services described in subparagraph

20

(C), a physician’’; and

kjohnson on DSK79L0C42PROD with BILLS

21

(B) in subparagraph (C)—

22

(i) by inserting ‘‘, a nurse practi-

23

tioner, a clinical nurse specialist, or a phy-

24

sician assistant (as the case may be)’’ after

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1

‘‘physician’’ the first 2 times it appears;

2

and

3

(ii) by striking ‘‘, and, in the case of

4

a certification made by a physician’’ and

5

all that follows through ‘‘face-to-face en-

6

counter’’ and inserting ‘‘, and, in the case

7

of a certification made by a physician after

8

January 1, 2010, or by a nurse practi-

9

tioner, clinical nurse specialist, or physi-

10

cian assistant (as the case may be) after a

11

date specified by the Secretary (but in no

12

case later than the date that is 6 months

13

after the date of the enactment of the

14

CARES Act), prior to making such certifi-

15

cation a physician, nurse practitioner, clin-

16

ical nurse specialist, or physician assistant

17

must document that a physician, nurse

18

practitioner, clinical nurse specialist, or

19

physician assistant has had a face-to-face

20

encounter’’;

21

(2) in the third sentence—

22

(A) by striking ‘‘physician certification’’

kjohnson on DSK79L0C42PROD with BILLS

23

and inserting ‘‘certification’’;

24

(B) by inserting ‘‘(or in the case of regula-

25

tions to implement the amendments made by

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1

section 4407 of the CARES Act, the Secretary

2

shall prescribe regulations, which shall become

3

effective no later than 6 months after the enact-

4

ment of such Act))’’ after ‘‘1981’’; and

5

(C) by striking ‘‘a physician who’’ and in-

6

serting ‘‘a physician, nurse practitioner, clinical

7

nurse specialist, certified nurse-midwife, or phy-

8

sician assistant who’’; and

9

(3) in the fourth sentence, by inserting ‘‘, nurse

10

practitioner, clinical nurse specialist, certified nurse-

11

midwife, or physician assistant’’ after ‘‘physician’’;

12

and

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13

(4) in the fifth sentence—

14

(A) by inserting ‘‘or no later than six

15

months after the enactment of this legislation

16

for purposes of documentation for certification

17

and recertification made under paragraph (2)

18

by a nurse practitioner, clinical nurse specialist,

19

certified nurse-midwife, or physician assist-

20

ant,’’; and

21

(B) by inserting ‘‘, nurse practitioner, clin-

22

ical nurse specialist, certified nurse-midwife, or

23

physician assistant’’ after ‘‘of the physician’’.

24

(b) PART B PROVISIONS.—Section 1835(a) of the So-

25 cial Security Act (42 U.S.C. 1395n(a)) is amended—
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1

(1) in paragraph (2)—

2

(A) in the matter preceding subparagraph

3

(A), by inserting ‘‘, a nurse practitioner or clin-

4

ical nurse specialist (as those terms are defined

5

in section 1861(aa)(5)) who is working in ac-

6

cordance with State law, or a physician assist-

7

ant (as defined in section 1861(aa)(5)) under

8

the supervision of a physician, who is’’ after ‘‘in

9

the case of services described in subparagraph

10

(C), a physician’’; and

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11

(B) in subparagraph (A)—

12

(i) in each of clauses (ii) and (iii) of

13

subparagraph (A) by inserting ‘‘, a nurse

14

practitioner, a clinical nurse specialist, or a

15

physician assistant (as the case may be)’’

16

after ‘‘physician’’; and

17

(ii) in clause (iv), by striking ‘‘after

18

January 1, 2010’’ and all that follows

19

through ‘‘face-to-face encounter’’ and in-

20

serting ‘‘made by a physician after Janu-

21

ary 1, 2010, or by a nurse practitioner,

22

clinical nurse specialist, or physician as-

23

sistant (as the case may be) after a date

24

specified by the Secretary (but in no case

25

later than the date that is 6 months after

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1

the date of the enactment of the CARES

2

Act), prior to making such certification a

3

physician, nurse practitioner, clinical nurse

4

specialist, certified nurse-midwife, or physi-

5

cian assistant must document that a physi-

6

cian, nurse practitioner, clinical nurse spe-

7

cialist, or physician assistant has had a

8

face-to-face encounter’’;

9

(2) in the third sentence, by inserting ‘‘, nurse

10

practitioner, clinical nurse specialist, or physician as-

11

sistant (as the case may be)’’ after physician;

12

(3) in the fourth sentence—

13

(A) by striking ‘‘physician certification’’

kjohnson on DSK79L0C42PROD with BILLS

14

and inserting ‘‘certification’’;

15

(B) by inserting ‘‘(or in the case of regula-

16

tions to implement the amendments made by

17

section 4407 of the CARES Act the Secretary

18

shall prescribe regulations which shall become

19

effective no later than 6 months after the enact-

20

ment of such Act))’’ after ‘‘1981’’; and

21

(C) by striking ‘‘a physician who’’ and in-

22

serting ‘‘a physician, nurse practitioner, clinical

23

nurse specialist, or physician assistant who’’;

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1

(4) in the fifth sentence, by inserting ‘‘, nurse

2

practitioner, clinical nurse specialist, or physician as-

3

sistant’’ after ‘‘physician’’; and

4

(5) in the sixth sentence—

5

(A) by inserting ‘‘or no later than six

6

months after the enactment of this legislation

7

for purposes of documentation for certification

8

and recerification made under paragraph (2) by

9

a nurse practitioner, clinical nurse specialist,

10

certified nurse-midwife, or physician assistant,’’

11

after ‘‘January 1, 2019’’; and

12

(B) by inserting ‘‘, nurse practitioner, clin-

13

ical nurse specialist, certified nurse-midwife, or

14

physician assistant’’ after ‘‘of the physician’’.

15

(c) DEFINITION PROVISIONS.—

16

(1)

HEALTH

SERVICES.—Section

17

1861(m) of the Social Security Act (42 U.S.C.

18

1395x(m)) is amended—

19

(A) in the matter preceding paragraph

20

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HOME

(1)—

21

(i) by inserting ‘‘, a nurse practitioner

22

or a clinical nurse specialist (as those

23

terms are defined in subsection (aa)(5)), or

24

a physician assistant (as defined in sub-

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1

section (aa)(5))’’ after ‘‘physician’’ the

2

first place it appears; and

3

(ii) by inserting ‘‘, a nurse practi-

4

tioner, a clinical nurse specialist, or a phy-

5

sician assistant’’ after ‘‘physician’’ the sec-

6

ond place it appears; and

7

(B) in paragraph (3), by inserting ‘‘, a

8

nurse practitioner, a clinical nurse specialist, or

9

a physician assistant’’ after ‘‘physician’’.

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10

(2)

HOME

HEALTH

AGENCY.—Section

11

1861(o)(2) of the Social Security Act (42 U.S.C.

12

1395x(o)(2)) is amended—

13

(A) by inserting ‘‘, nurse practitioners or

14

clinical nurse specialists (as those terms are de-

15

fined in subsection (aa)(5)), certified nurse-mid-

16

wives (as defined in subsection (gg)), or physi-

17

cian

18

(aa)(5))’’ after ‘‘physicians’’; and

assistants

(as

defined

in

19

(B) by inserting ‘‘, nurse practitioner, clin-

20

ical nurse specialist, certified nurse-midwife,

21

physician assistant,’’ after ‘‘physician’’.

22

(3) COVERED

OSTEOPOROSIS DRUG.—Section

23

1861(kk)(1) of the Social Security Act (42 U.S.C.

24

1395x(kk)(1)) is amended by inserting ‘‘, nurse

25

practitioner or clinical nurse specialist (as those

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1

terms are defined in subsection (aa)(5)), certified

2

nurse-midwive (as defined in subsection (gg)), or

3

physician

4

1820(aa)(5))’’ after ‘‘attending physician’’.

5

(d) HOME HEALTH PROSPECTIVE PAYMENT SYSTEM

assistant

(as

defined

in

subsection

6 PROVISIONS.—Section 1895 of the Social Security Act (42
7 U.S.C. 1395fff) is amended—
8

(1) in subsection (c)(1)—

9

(A) by striking ‘‘(provided under section

10

1842(r))’’; and

11

(B) by inserting ‘‘the 1 nurse practitioner

12

or clinical nurse specialist (as those terms are

13

defined in section 1861(aa)(5)), or the physi-

14

cian

15

1861(aa)(5))’’ after ‘‘physician’’; and

16

(2) in subsection (e)—

(as

defined

in

(A) in paragraph (1)(A), by inserting ‘‘or

18

a nurse practitioner or clinical nurse specialist

19

(as

20

1861(aa)(5))’’ after ‘‘physician’’; and

those

terms

are

defined

in

(i) in the heading, by striking ‘‘PHY-

23

SICIAN

24

‘‘RULE

25

QUIREMENT FOR CERTIFICATION’’;

CERTIFICATION’’

and

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inserting

OF CONSTRUCTION REGARDING RE-

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section

(B) in paragraph (2)—

22

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section

17

21

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and

187
1

(ii) by striking ‘‘physician’’.

2

(e) APPLICATION

TO

MEDICAID.—The amendments

3 made under this section shall apply under title XIX of the
4 Social Security Act in the same manner and to the same
5 extent as such requirements apply under title XVIII of
6 such Act or regulations promulgated thereunder.
7

(f) EFFECTIVE DATE.—The Secretary of Health and

8 Human Services shall prescribe regulations to apply the
9 amendments made by this section to items and services
10 furnished, which shall become effective no later than six
11 months after the enactment of this legislation. The Sec12 retary shall promulgate an interim final rule if necessary,
13 to comply with the required effective date.
14

SEC. 4408. ADJUSTMENT OF SEQUESTRATION.

15
16

(a) TEMPORARY SUSPENSION
QUESTRATION.—During

OF

MEDICARE SE-

the period beginning on May 1,

17 2020 and ending on December 31, 2020, the Medicare
18 programs under title XVIII of the Social Security Act (42
19 U.S.C. 1395 et seq.) shall be exempt from reduction under
20 any sequestration order issued before, on, or after the date
21 of enactment of this Act.
22

(b) EXTENSION

OF

DIRECT SPENDING REDUCTIONS

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23 THROUGH FISCAL YEAR 2030.—Section 251A(6) of the
24 Balanced Budget and Emergency Deficit Control Act of
25 1985 (2 U.S.C. 901a(6)) is amended—
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188
1

(1) in subparagraph (B), in the matter pre-

2

ceding clause (i), by striking ‘‘through 2029’’ and

3

inserting ‘‘through 2030’’; and

4

(2) in subparagraph (C), in the matter pre-

5

ceding clause (i), by striking ‘‘fiscal year 2029’’ and

6

inserting ‘‘fiscal year 2030’’.

7

SEC. 4409. MEDICARE HOSPITAL INPATIENT PROSPECTIVE

8

PAYMENT SYSTEM ADD-ON PAYMENT FOR

9

COVID–19 PATIENTS DURING EMERGENCY PE-

10
11

RIOD.

(a) IN GENERAL.—Section 1886(d)(4)(C) of the So-

12 cial Security Act (42 U.S.C. 1395ww(d)(4)(C)) is amend13 ed by adding at the end the following new clause:
14

‘‘(iv)(I) For discharges occurring during the emer-

15 gency period described in section 1135(g)(1)(B), in the
16 case of a discharge that has a principal or secondary diag17 nosis of COVID–19, the Secretary shall increase the
18 weighting factor for each diagnosis-related group (with
19 such a principal or secondary diagnosis) by 15 percent.
20

‘‘(II) Any adjustment under subclause (I) shall not

21 be taken into account in applying budget neutrality under
22 clause (iii).’’.

kjohnson on DSK79L0C42PROD with BILLS

23

(b) IMPLEMENTATION.—Notwithstanding any other

24 provision of law, the Secretary may implement the amend-

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189
1 ment made by subsection (a) by program instruction or
2 otherwise.
3

SEC. 4410. REVISING PAYMENT RATES FOR DURABLE MED-

4

ICAL EQUIPMENT UNDER THE MEDICARE

5

PROGRAM THROUGH DURATION OF EMER-

6

GENCY PERIOD.

7

(a) RURAL

AND

NONCONTIGUOUS AREAS.—The Sec-

8 retary of Health and Human Services shall implement sec9 tion 414.210(g)(9)(iii) of title 42, Code of Federal Regula10 tions (or any successor regulation), to apply the transition
11 rule described in such section to all applicable items and
12 services furnished in rural areas and noncontiguous areas
13 (as such terms are defined for purposes of such section)
14 as planned through December 31, 2020, and through the
15 duration of the emergency period described in section
16 1135(g)(1)(B) of the Social Security Act (42 U.S.C.
17 1320b–5(g)(1)(B)), if longer.
18
19

(b) AREAS OTHER THAN RURAL
UOUS

AND

NONCONTIG-

AREAS.—With respect to items and services fur-

20 nished on or after the date that is 30 days after the date
21 of the enactment of this Act, the Secretary of Health and
22 Human Services shall apply section 414.210(g)(9)(iv) of

kjohnson on DSK79L0C42PROD with BILLS

23 title 42, Code of Federal Regulations (or any successor
24 regulation), as if the reference to ‘‘dates of service from
25 June 1, 2018 through December 31, 2020, based on the
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1 fee schedule amount for the area is equal to 100 percent
2 of the adjusted payment amount established under this
3 section’’ were instead a reference to ‘‘dates of service from
4 March 6, 2020, through the remainder of the duration of
5 the emergency period described in section 1135(g)(1)(B)
6 of the Social Security Act (42 U.S.C. 1320b–5(g)(1)(B)),
7 based on the fee schedule amount for the area is equal
8 to 75 percent of the adjusted payment amount established
9 under this section and 25 percent of the unadjusted fee
10 schedule amount’’.
11

SEC. 4411. PROVIDING HOME AND COMMUNITY-BASED

12
13

SERVICES IN ACUTE CARE HOSPITALS.

Section 1902(h) of the Social Security Act (42 U.S.C.

kjohnson on DSK79L0C42PROD with BILLS

14 1396a(h)) is amended—
15

(1) by inserting ‘‘(1)’’ after ‘‘(h)’’;

16

(2) by inserting ‘‘, home and community-based

17

services provided under subsection (c), (d), or (i) of

18

section 1915 or under a waiver under section 1115,

19

self-directed personal assistance services provided

20

pursuant to a written plan of care under section

21

1915(j), and home and community-based attendant

22

services and supports under section 1915(k)’’ before

23

the period; and

24

(3) by adding at the end the following:

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1

‘‘(2) Nothing in this title, title XVIII, or title XI shall

2 be construed as prohibiting receipt of any care or services
3 specified in paragraph (1) in an acute care hospital that
4 are—
5

‘‘(A) identified in an individual’s person-cen-

6

tered plan of services and supports (or comparable

7

plan of care);

8

‘‘(B) provided to meet needs of the individual

9

that are not met through the provision of hospital

10

services;

11

‘‘(C) not a substitute for services that the hos-

12

pital is obligated to provide through its conditions of

13

participation or under Federal or State law; and

14

‘‘(D) designed to ensure smooth transitions be-

15

tween acute care settings and home and community-

16

based settings, and to preserve the individual’s func-

17

tions.’’.

18

SEC. 4412. TREATMENT OF TECHNOLOGY-ENABLED COL-

19

LABORATIVE

20

BUILDING MODELS AS MEDICAL ASSISTANCE.

21

Section 1915 of the Social Security Act (42 U.S.C.

LEARNING

AND

CAPACITY

22 1396n) is amended by adding at the end the following:

kjohnson on DSK79L0C42PROD with BILLS

23

‘‘(m)

TECHNOLOGY-ENABLED

COLLABORATIVE

24 LEARNING AND CAPACITY BUILDING MODELS.—

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192
1

‘‘(1) IN

State may provide, as

2

medical assistance, a technology-enabled collabo-

3

rative learning and capacity building model used by

4

a provider participating under the State plan (or a

5

waiver of such plan) without regard to the require-

6

ments

7

statewideness), section 1902(a)(10)(B) (relating to

8

comparability), and section 1902(a)(23) (relating to

9

freedom of choice of providers).

of

section

1902(a)(1)

(relating

‘‘(2) REQUIREMENTS.—A State shall be eligible

11

for Federal financial assistance for providing such

12

medical assistance under the following conditions:

13

‘‘(A) A participating provider uses the

14

technology-enabled collaborative learning and

15

capacity building model to train health profes-

16

sionals (which may include medical students) in

17

protocols for responding to a public health

18

emergency during an emergency period, includ-

19

ing any period relating to an outbreak of

20

coronavirus disease 2019 (COVID–19).
‘‘(B)

In

accordance

with

section

22

1902(a)(25), there are no other third parties

23

liable to pay for the use of such model by a par-

24

ticipating provider, including as reimbursement

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to

10

21

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22:59 Mar 19, 2020

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1

under a medical, social, educational, or other

2

program.

3

‘‘(C) The State allocates the costs of any

4

part of the use such model which is reimburs-

5

able under another federally funded program in

6

accordance with OMB Circular A–87 (or any

7

related or successor guidance or regulations re-

8

garding allocation of costs among federally

9

funded programs) under an approved cost allo-

10

cation program.

11

‘‘(3) NONAPPLICATION

12

section (h) shall not apply to the provision of med-

13

ical assistance for technology-enabled collaborative

14

learning and capacity building models under this

15

subsection.

16

‘‘(4) DEFINITIONS.—In this subsection:

17

‘‘(A)

EMERGENCY

PERIOD.—The

‘emergency period’ has the meaning given that

19

term in section 1135(g)(1).
‘‘(B)

TECHNOLOGY-ENABLED

COLLABO-

21

RATIVE

22

MODEL.—The

23

laborative learning and capacity building model’

24

has the meaning given that term in section 2(7)

25

of the Expanding Capacity for Health Out-

LEARNING

AND

CAPACITY

22:59 Mar 19, 2020

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BUILDING

term ‘ technology-enabled col-

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18

20

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1

comes Act (Public Law 114–270, 130 Stat.

2

1395).’’.

3

SEC. 4413. ENCOURAGING THE DEVELOPMENT AND USE OF

4

DISARM ANTIMICROBIAL DRUGS.

5
6

(a) ADDITIONAL PAYMENT
MICROBIAL

7

FOR

DISARM ANTI-

DRUGS UNDER MEDICARE.—

(1) IN

GENERAL.—Section

1886(d)(5) of the

8

Social Security Act (42 U.S.C. 1395ww(d)(5)) is

9

amended by adding at the end the following new

10

subparagraph:

11

‘‘(M)(i)(I) In the case of discharges occurring on or

12 after October 1, 2021, and before October 1, 2026, subject
13 to subclause (II), the Secretary shall, after notice and op14 portunity for public comment (in the publications required
15 by subsection (e)(5) for a fiscal year or otherwise), provide
16 for an additional payment under a mechanism (separate
17 from the mechanism established under subparagraph (K)),
18 with respect to such discharges involving any DISARM

kjohnson on DSK79L0C42PROD with BILLS

19 antimicrobial drug, in an amount equal to—
20

‘‘(aa) the amount payable under section 1847A

21

for such drug during the calendar quarter in which

22

the discharge occurred; or

23

‘‘(bb) if no amount for such drug is determined

24

under section 1847A, an amount to be determined

25

by the Secretary in a manner similar to the manner

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1

in which payment amounts are determined under

2

section 1847A based on information submitted by

3

the manufacturer or sponsor of such drug (as re-

4

quired under clause (v)).

5

‘‘(II) In determining the amount payable under sec-

6 tion 1847A for purposes of items (aa) and (bb) of sub7 clause (I), subparagraphs (A) and (B) of subsection (b)(1)
8 of such section shall be applied by substituting ‘100 per9 cent’ for ‘106 percent’ each place it appears and para10 graph (8)(B) of such section shall be applied by sub11 stituting ‘0 percent’ for ‘6 percent’.
12

‘‘(ii) For purposes of this subparagraph, a DISARM

13 antimicrobial drug is—
14

‘‘(I) a drug—

15

‘‘(aa) that—

16

‘‘(AA) is approved by the Food and

kjohnson on DSK79L0C42PROD with BILLS

17

Drug Administration;

18

‘‘(BB) is designated by the Food and

19

Drug Administration as a qualified infec-

20

tious disease product under subsection (d)

21

of section 505E of the Federal Food,

22

Drug, and Cosmetic Act; and

23

‘‘(CC) has received an extension of its

24

exclusivity period pursuant to subsection

25

(a) of such section; and

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1

‘‘(bb) that has been designated by the Sec-

2

retary pursuant to the process established

3

under clause (iv)(I)(bb); or

4

‘‘(II) an antibacterial or antifungal biological

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5

product—

6

‘‘(aa) that is licensed for use, or an anti-

7

bacterial or antifungal biological product for

8

which an indication is first licensed for use, by

9

the Food and Drug Administration on or after

10

June 5, 2014, under section 351(a) of the Pub-

11

lic Health Service Act for human use to treat

12

serious or life-threatening infections, as deter-

13

mined by the Food and Drug Administration,

14

including those caused by, or likely to be caused

15

by—

16

‘‘(AA) an antibacterial or antifungal

17

resistant pathogen, including novel or

18

emerging infectious pathogens; or

19

‘‘(BB) a qualifying pathogen (as de-

20

fined under section 505E(f) of the Federal

21

Food, Drug, and Cosmetic Act); and

22

‘‘(bb) has been designated by the Secretary

23

pursuant to the process established under

24

clause (iv)(I)(bb).

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1

‘‘(iii) The mechanism established pursuant to clause

2 (i) shall provide that the additional payment under clause

kjohnson on DSK79L0C42PROD with BILLS

3 (i) shall—
4

‘‘(I) with respect to a discharge, only be made

5

to a subsection (d) hospital that, as determined by

6

the Secretary—

7

‘‘(aa) is participating in the National

8

Healthcare Safety Network Antimicrobial Use

9

and Resistance Module of the Centers for Dis-

10

ease Control and Prevention or a similar report-

11

ing program, as specified by the Secretary, re-

12

lating to antimicrobial drugs; and

13

‘‘(bb) has an antimicrobial stewardship

14

program that aligns with the Core Elements of

15

Hospital Antibiotic Stewardship Programs of

16

the Centers for Disease Control and Prevention

17

or the Antimicrobial Stewardship Standard set

18

by the Joint Commission; and

19

‘‘(II) apply to discharges occurring on or after

20

October 1 of the year in which the drug or biological

21

product is designated by the Secretary as a DIS-

22

ARM antimicrobial drug.

23

‘‘(iv)(I) The mechanism established pursuant to

24 clause (i) shall provide for a process for—

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1

‘‘(aa) a manufacturer or sponsor of a drug or

2

biological product to request the Secretary to des-

3

ignate the drug or biological product as a DISARM

4

antimicrobial drug; and

5

‘‘(bb) the designation by the Secretary of drugs

6

and biological products as DISARM antimicrobial

7

drugs.

8

‘‘(II) A designation of a drug or biological product

9 as a DISARM antimicrobial drug may be revoked by the
10 Secretary if the Secretary determines that—
11

‘‘(aa) the drug or biological product no longer

12

meets the requirements for a DISARM antimicrobial

13

drug under clause (ii);

14

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15

‘‘(bb) the request for such designation contained an untrue statement of material fact; or

16

‘‘(cc) clinical or other information that was not

17

available to the Secretary at the time such designa-

18

tion was made shows that—

19

‘‘(AA) such drug or biological product is

20

unsafe for use or not shown to be safe for use

21

for individuals who are entitled to benefits

22

under part A; or

23

‘‘(BB) an alternative to such drug or bio-

24

logical product is an advance that substantially

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199
1

improves the diagnosis or treatment of such in-

2

dividuals.

3

‘‘(III) Not later than October 1, 2021, and annually

4 thereafter through October 1, 2025, the Secretary shall
5 publish in the Federal Register a list of the DISARM anti6 microbial drugs designated under this subparagraph pur7 suant to the process established under clause (iv)(I)(bb).
8

‘‘(v)(I) For purposes of determining additional pay-

9 ment amounts under clause (i), a manufacturer or sponsor
10 of a drug or biological product that submits a request de11 scribed in clause (iv)(I)(aa) shall submit to the Secretary
12 information described in section 1927(b)(3)(A)(iii).
13

‘‘(II) The penalties for failure to provide timely infor-

14 mation under clause (i) of subparagraph (C) of section
15 1927(b)(3) and for providing false information under
16 clause (ii) of such subparagraph shall apply to manufac17 turers and sponsors of a drug or biological product under
18 this section with respect to information under subclause
19 (I) in the same manner as such penalties apply to manu20 facturers under such clauses with respect to information
21 under subparagraph (A) of such section.
22

‘‘(vi) The mechanism established pursuant to clause

kjohnson on DSK79L0C42PROD with BILLS

23 (i) shall provide that—
24

‘‘(I) except as provided in subclause (II), no ad-

25

ditional payment shall be made under this subpara-

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200
1

graph for discharges involving a DISARM anti-

2

microbial drug if any additional payments have been

3

made for discharges involving such drug as a new

4

medical service or technology under subparagraph

5

(K);

6

‘‘(II) additional payments may be made under

7

this subparagraph for discharges involving a DIS-

8

ARM antimicrobial drug if any additional payments

9

have been made for discharges occurring prior to the

10

date of enactment of this subparagraph involving

11

such drug as a new medical service or technology

12

under subparagraph (K); and

13

‘‘(III) no additional payment shall be made

14

under subparagraph (K) for discharges involving a

15

DISARM antimicrobial drug as a new medical serv-

16

ice or technology if any additional payments for dis-

17

charges involving such drug have been made under

18

this subparagraph.’’.

kjohnson on DSK79L0C42PROD with BILLS

19

(2)

CONFORMING

AMENDMENT.—Section

20

1886(d)(5)(K)(ii)(III) of the Social Security Act (42

21

U.S.C. 1395ww(d)(5)(K)(ii)(III)) is amended by

22

striking ‘‘provide’’ and inserting ‘‘subject to sub-

23

paragraph (M)(vi), provide’’.

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1
2

(b) STUDY

AND

REPORTS

DEVELOPMENT

TO THE

OF

ON

REMOVING BARRIERS

DISARM ANTIMICROBIAL

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3 DRUGS.—
4

(1) STUDY.—The Comptroller General of the

5

United States (in this subsection referred to as the

6

‘‘Comptroller General’’) shall, in consultation with

7

the Director of the National Institutes of Health,

8

the Commissioner of Food and Drugs, the Adminis-

9

trator of the Centers for Medicare & Medicaid Serv-

10

ices, and the Director of the Centers for Disease

11

Control and Prevention, conduct a study to—

12

(A) identify and examine the barriers that

13

prevent the development of DISARM anti-

14

microbial

15

1886(d)(5)(M)(ii) of the Social Security Act, as

16

added by subsection (a)); and

drugs

(as

defined

in

17

(B) develop recommendations for actions

18

to be taken in order to overcome any barriers

19

identified under subparagraph (A).

20

(2) REPORT.—October 1, 2025, the Comp-

21

troller General shall submit to Congress a report

22

containing the preliminary results of the study con-

23

ducted under paragraph (1), together with rec-

24

ommendations for such legislation and administra-

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202
1

tive action as the Comptroller General determines

2

appropriate.

3

SEC. 4414. NOVEL MEDICAL PRODUCTS.

4
5

(a) EXPEDITED CODING
UCTS.—Section

OF

NOVEL MEDICAL PROD-

1174(b)(2)(B) of the Social Security Act

6 (42 U.S.C. 1320d–3(b)(2)(B)) is amended by adding at
7 the end the following new clauses:
8

‘‘(iii) EXPEDITED

9

MEDICAL PRODUCTS.—

kjohnson on DSK79L0C42PROD with BILLS

10

‘‘(I)

IN

CODING OF NOVEL

GENERAL.—Notwith-

11

standing paragraph (1), in the case of

12

a novel medical product (as defined in

13

clause (iv)), the Secretary shall make

14

modifications to the HCPCS code set

15

at least once every quarter.

16

‘‘(II) REQUEST.—Upon the writ-

17

ten confidential request of a manufac-

18

turer of a novel medical product, the

19

Secretary shall make a determination

20

whether to assign a HCPCS code to

21

such product. Such request may occur

22

on or after the date on which the

23

product receives a designation as a

24

breakthrough therapy under section

25

506(a) of the Federal Food, Drug,

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1

and Cosmetic Act (21 U.S.C. 356(a)),

2

a breakthrough device under section

3

515B of such Act (21 U.S.C. 360e–

4

3), or a regenerative advanced therapy

5

under section 506(g) of such Act (21

6

U.S.C. 356(g)).

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7

‘‘(III) DEADLINE

FOR

8

MINATION; NOTIFICATION.—The

9

retary shall—

Sec-

10

‘‘(aa) not later than 180 cal-

11

endar days after receiving the re-

12

quest of a manufacturer under

13

subclause (II), make a deter-

14

mination under such subclause

15

with respect to the request; and

16

‘‘(bb) not later than 30 cal-

17

endar days after making such de-

18

termination, notify the manufac-

19

turer of the determination.

20

‘‘(IV) MONITORING

UTILIZATION

21

AND OUTCOMES.—A

22

signed under this clause shall allow

23

for the reliable monitoring of utiliza-

24

tion and outcomes of the novel med-

HCPCS code as-

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1

ical product as described in clause

2

(vi).

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3

‘‘(V) EFFECTIVE

DATE OF CODE

4

ASSIGNMENT.—If

5

a determination to assign a HCPCS

6

code to a product under subclause

7

(II), such code—

the Secretary makes

8

‘‘(aa) may be assigned with-

9

in the first quarter after the

10

manufacturer files, with respect

11

to such product, a new drug ap-

12

plication under section 505(b) of

13

the Federal Food, Drug, and

14

Cosmetic Act (21 U.S.C. 355(b)),

15

a biological product license appli-

16

cation under section 351(a) of

17

the Public Health Service Act

18

(42 U.S.C. 262(a)), a premarket

19

application under section 515(c)

20

of the Federal Food, Drug, and

21

Cosmetic

22

360e(c)), a report under section

23

510(k) of such Act (21 U.S.C.

24

360k), or a request for classifica-

25

tion under section 513(f)(2) of

Act

(21

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U.S.C.

205
1

such Act (21 U.S.C. 360c(f)(2));

2

and

3

‘‘(bb) may not take effect

4

before the date the product is ap-

5

proved, cleared, or licensed by

6

the Food and Drug Administra-

7

tion.

8

‘‘(VI) TRADE

9

FIDENTIAL INFORMATION.—No

mation submitted under subclause (II)

11

shall be construed as authorizing the

12

Secretary to disclose any information

13

that is a trade secret or confidential

14

information

15

552(b)(4) of title 5, United States

16

Code.

17

‘‘(iv) NOVEL

subject

to

section

MEDICAL PRODUCT DE-

18

FINED.—For

19

graph, the term ‘novel medical product’

20

means a drug, biological product, or med-

21

ical device—

purposes of this subpara-

‘‘(I) that has not been assigned a

23

HCPCS code; and

24

‘‘(II) that has been designated as

25

a breakthrough therapy under section

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10

22

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506(a) of the Federal Food, Drug,

2

and Cosmetic Act (21 U.S.C. 356(a)),

3

a breakthrough device under section

4

515B of such Act (21 U.S.C. 360e–

5

3), or a regenerative advanced therapy

6

under section 506(g) of such Act (21

7

U.S.C. 356(g)).

8

‘‘(v) HCPCS

pur-

9

poses of this subparagraph, the term

10

‘HCPCS’ means the Healthcare Common

11

Procedure Coding System.

12

‘‘(vi)

INPATIENT

PRODUCTS.—The

13

Secretary shall establish a code modifier

14

within the hospital inpatient prospective

15

payment system under section 1886(d) to

16

track the utilization and outcomes of novel

17

medical products that are assigned a

18

HCPCS code pursuant to the expedited

19

coding process under clause (iii) and are

20

furnished by hospitals in inpatient set-

21

tings.’’.

22
23
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DEFINED.—For

(b) COVERAGE DETERMINATIONS
ICAL

FOR

NOVEL MED-

PRODUCTS.—Section 1862(l) of the Social Security

24 Act (42 U.S.C. 1395y(l)) is amended by adding at the end
25 the following new paragraph:
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1
2

‘‘(7) COVERAGE
PRODUCTS.—

3

‘‘(A) IN

GENERAL.—The

Secretary shall

4

facilitate an efficient coverage pathway to expe-

5

dite a national coverage decision for coverage

6

with evidence development process under this

7

title for novel medical products described in

8

subparagraph (D). The Secretary shall review

9

such novel medical products for the coverage

10

process on an expedited basis, beginning as

11

soon as the Secretary assigns a HCPCS code to

12

the product under clause (iii)(V)(aa) of section

13

1174(b)(2)(B).

14

‘‘(B) DETERMINATION

OF COVERAGE WITH

15

EVIDENCE

16

pathway shall include, with respect to such

17

novel medical products, if the Secretary deter-

18

mines coverage with evidence development is

19

appropriate, issuance of a national coverage de-

20

termination of coverage with evidence develop-

21

ment for a period up to, but not to exceed, 4

22

years from the date of such determination.

23
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PATHWAY FOR NOVEL MEDICAL

DEVELOPMENT.—Such

‘‘(C) MODERNIZING

PAYMENT

OPTIONS

24

FOR NOVEL MEDICAL PRODUCTS.—Not

25

than 4 years after issuing such national cov-

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208
1

erage determination, the Secretary shall submit

2

to Congress and to the manufacturer of the

3

novel medical product a report providing op-

4

tions for alternative payment models under this

5

title for the novel medical product or class of

6

such products, which may include the utilization

7

of existing models in the commercial health in-

8

surance market. Such report shall include any

9

recommendations for legislation and adminis-

10

trative action as the Secretary determines ap-

11

propriate to facilitate such payment arrange-

12

ments.

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13

‘‘(D) NOVEL

MEDICAL

PRODUCTS

14

SCRIBED.—For

15

novel medical product described in this subpara-

16

graph is a novel medical product, as defined in

17

clause (iv) of section 1174(b)(2)(B), that is as-

18

signed a HCPCS code pursuant to the expe-

19

dited coding process under clause (iii) of such

20

section.

purposes of this paragraph, a

21

‘‘(E) CLARIFICATION.—Nothing in this

22

paragraph shall prevent the Secretary from

23

issuing a noncoverage or a national coverage

24

determination for a novel medical product.’’.

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1
2

(c) ENHANCING COORDINATION WITH
AND

(1) PUBLIC

4

MEETING.—

(A) IN

GENERAL.—Not

later than 12

5

months after the date of the enactment of this

6

Act, the Secretary shall convene a public meet-

7

ing for the purposes of discussing and providing

8

input on improvements to coordination between

9

the Food and Drug Administration and the

10

Centers for Medicare & Medicaid Services in

11

preparing for the availability of novel medical

12

products

13

1174(b)(2)(B)(iv) of the Social Security Act, as

14

added by subsection (a)) on the market in the

15

United States.

16

(as

defined

in

section

(B) ATTENDEES.—The public meeting

17

shall include—

18

(i) representatives of relevant Federal

19

agencies, including representatives from

20

each of the medical product centers within

21

the Food and Drug Administration and

22

representatives from the coding, coverage,

23

and payment offices within the Centers for

24

Medicare & Medicaid Services;

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FOOD

DRUG ADMINISTRATION.—

3

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THE

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1

(ii) stakeholders with expertise in the

2

research and development of novel medical

3

products, including manufacturers of such

4

products;

5

(iii) representatives of commercial

6

health insurance payers;

7

(iv) stakeholders with expertise in the

8

administration and use of novel medical

9

products, including physicians; and

10

(v) stakeholders representing patients

11

and with expertise in the utilization of pa-

12

tient experience data in medical product

13

development.

14

(C) TOPICS.—The public meeting shall in-

kjohnson on DSK79L0C42PROD with BILLS

15

clude a discussion of—

16

(i) the status of the drug and medical

17

device development pipeline related to the

18

availability of novel medical products;

19

(ii) the anticipated expertise necessary

20

to review the safety and effectiveness of

21

such products at the Food and Drug Ad-

22

ministration and current gaps in such ex-

23

pertise, if any;

24

(iii) the expertise necessary to make

25

coding, coverage, and payment decisions

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211
1

with respect to such products within the

2

Centers for Medicare & Medicaid Services,

3

and current gaps in such expertise, if any;

4

(iv) trends in the differences in the

5

data necessary to determine the safety and

6

effectiveness of a novel medical product

7

and the data necessary to determine

8

whether a novel medical product meets the

9

reasonable and necessary requirements for

10

coverage and payment under title XVIII of

11

the Social Security Act pursuant to section

12

1862(a)(1)(A) of such Act (42 U.S.C.

13

1395y(a)(1)(A));

14

(v) the availability of information for

15

sponsors of such novel medical products to

16

meet each of those requirements; and

17

(vi) the coordination of information

18

related to significant clinical improvement

19

over existing therapies for patients between

20

the Food and Drug Administration and the

21

Centers for Medicare & Medicaid Services

22

with respect to novel medical products.

23

(D) TRADE

SECRETS AND CONFIDENTIAL

24

INFORMATION.—No

25

part of the public meeting under this paragraph

information discussed as a

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1

shall be construed as authorizing the Secretary

2

to disclose any information that is a trade se-

3

cret or confidential information subject to sec-

4

tion 552(b)(4) of title 5, United States Code.

5

(2) IMPROVING

6

FOR MEDICARE COVERAGE.—

7

(A) UPDATING

GUIDANCE.—Not

18 months after the public meeting under para-

9

graph (1), the Secretary of Health and Human

10

Services shall update the final guidance entitled

11

‘‘National Coverage Determinations with Data

12

Collection as a Condition of Coverage: Coverage

13

with Evidence Development’’ to improve the

14

availability and coordination of information as

15

described in clauses (iv) through (vi) of para-

16

graph (1)(C), and clarify novel medical product

17

clinical data requirements to meet reasonable

18

and necessary requirements for coverage and

19

payment under title XVIII of the Social Secu-

20

rity Act.
(B) FINALIZING

UPDATED

GUIDANCE.—

22

Not later than 12 months after issuing draft

23

guidance under subparagraph (A), the Sec-

24

retary shall finalize the updated guidance.

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8

21

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TRANSPARENCY OF CRITERIA

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1

(d) REPORT

ON

CODING, COVERAGE,

2 PROCESSES UNDER MEDICARE

FOR

AND

PAYMENT

NEW MEDICAL

3 PRODUCTS.—
4

(1) IN

later than 12 months

5

after the date of enactment of this Act, the Sec-

6

retary of Health and Human Services shall publish

7

a report on the internet website of the Department

8

of Health and Human Services regarding processes

9

under the Medicare program under title XVIII of

10

the Social Security Act (42 U.S.C. 1395 et seq.)

11

with respect to the coding, coverage, and payment of

12

medical products described in paragraph (2). Such

13

report shall include the following:

14

(A) A description of challenges in the cod-

15

ing, coverage, and payment processes under the

16

Medicare program for medical products de-

17

scribed in such paragraph.

18

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GENERAL.—Not

(B) Recommendations to—

19

(i) incorporate patient experience data

20

(such as the impact of a disease or condi-

21

tion on the lives of patients and patient

22

treatment preferences) into the coverage

23

and payment processes within the Centers

24

for Medicare & Medicaid Services;

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1

(ii) decrease the length of time to

2

make national and local coverage deter-

3

minations under the Medicare program (as

4

those terms are defined in subparagraph

5

(A) and (B), respectively, of section

6

1862(l)(6) of the Social Security Act (42

7

U.S.C. 1395y(l)(6)));

8

(iii) streamline the coverage process

9

under the Medicare program and incor-

10

porate input from relevant stakeholders

11

into such coverage determinations; and

12

(iv) identify potential mechanisms to

13

incorporate novel payment designs similar

14

to those in development in commercial in-

15

surance plans and State plans under title

16

XIX of the Social Security Act (42 U.S.C.

17

1396r et seq.) into the Medicare program.

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18

(2) MEDICAL

PRODUCTS DESCRIBED.—For

19

poses of paragraph (1), a medical product described

20

in this paragraph is a medical product, including a

21

drug, biological (including gene and cell therapy and

22

gene editing), or medical device, that has been des-

23

ignated as a breakthrough therapy under section

24

506(a) of the Federal Food, Drug, and Cosmetic Act

25

(21 U.S.C. 356(a)), a breakthrough device under

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1

section 515B of such Act (21 U.S.C. 360e–3), or a

2

regenerative advanced therapy under section 506(g)

3

of such Act (21 U.S.C. 356(g)).

TITLE II—EDUCATION
PROVISIONS

4
5
6

SEC. 4501. SHORT TITLE.

7

This title may be cited as the ‘‘COVID-19 Pandemic

8 Education Relief Act of 2020’’.
9

SEC. 4502. DEFINITIONS.

10

(a) DEFINITIONS.—In this title:

11

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12

(1)

QUALIFYING

EMERGENCY.—The

‘‘qualifying emergency’’ means—

13

(A) a public health emergency declared by

14

the Secretary of Health and Human Services

15

pursuant to section 319 of the Public Health

16

Service Act (42 U.S.C. 247d);

17

(B) an event for which the President de-

18

clared a major disaster or an emergency under

19

section 401 or 501, respectively, of the Robert

20

T. Stafford Disaster Relief and Emergency As-

21

sistance Act (42 U.S.C. 5170 and 5191); or

22

(C) a national emergency declared by the

23

President under section 201 of the National

24

Emergencies Act (50 U.S.C. 1601 et seq.).

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1

(2) INSTITUTION

OF HIGHER EDUCATION.—The

2

term ‘‘institution of higher education’’ has the

3

meaning of the term under section 102 of the High-

4

er Education Act of 1965 (20 U.S.C. 1002).

5

(3) SECRETARY.—The term ‘‘Secretary’’ means

6
7

the Secretary of Education.
SEC. 4503. CAMPUS-BASED AID WAIVERS.

8
9

(a) WAIVER

OF

NON-FEDERAL SHARE REQUIRE-

MENT.—Notwithstanding

sections

413C(a)(2)

and

10 443(b)(5) of the Higher Education Act of 1965 (20
11 U.S.C. 1070b–2(a)(2) and 1087–53(b)(5)), with respect
12 to funds made available for award years 2019-2020 and
13 2020-2021, the Secretary shall waive the requirement that
14 a participating institution of higher education provide a
15 non-Federal share to match Federal funds provided to the
16 institution for the programs authorized pursuant to sub17 part 3 of part A and part C of title IV of the Higher
18 Education Act of 1965 (20 U.S.C. 1070b et seq. and
19 1087–51 et seq.).
20

(b) AUTHORITY

TO

REALLOCATE.—Notwithstanding

21 sections 413D, 442, and 488 of the Higher Education Act
22 of 1965 (20 U.S.C. 1070b–3, 1087–52, and 1095), during

kjohnson on DSK79L0C42PROD with BILLS

23 a period of a qualifying emergency, an institution may
24 transfer up to 100 percent of the institution’s unexpended
25 allotment under section 442 of such Act to the institu•S 3548 IS
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1 tion’s allotment under section 413D of such Act, but may
2 not transfer any funds from the institution’s unexpended
3 allotment under section 413D of such Act to the institu4 tion’s allotment under section 442 of such Act.
5

SEC. 4504. USE OF SUPPLEMENTAL EDUCATIONAL OPPOR-

6
7

TUNITY GRANTS FOR EMERGENCY AID.

(a) IN GENERAL.—Notwithstanding section 413B of

8 the Higher Education Act of 1965 (20 U.S.C. 1070b–1),
9 an institution of higher education may reserve any amount
10 of an institution’s allocation under subpart 3 of part A
11 of title IV of the Higher Education Act of 1965 (20 U.S.C.
12 1070b et seq.) for a fiscal year to award, in such fiscal
13 year, emergency financial aid grants to assist under14 graduate or graduate students for unexpected expenses
15 and unmet financial need as the result of a qualifying
16 emergency.
17

(b) DETERMINATIONS.—In determining eligibility for

18 and awarding emergency financial aid grants under this

kjohnson on DSK79L0C42PROD with BILLS

19 section, an institution of higher education may—
20

(1) waive the amount of need calculation under

21

section 471 of the Higher Education Act of 1965

22

(20 U.S.C. 1087kk);

23

(2) allow for a student affected by a qualifying

24

emergency to receive funds in an amount that is not

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1

more than the maximum Federal Pell Grant for the

2

applicable award year; and

3

(3) utilize a contract with a scholarship-grant-

4

ing organization designated for the sole purpose of

5

accepting applications from or disbursing funds to

6

students enrolled in the institution of higher edu-

7

cation, if such scholarship-granting organization dis-

8

burses the full allocated amount provided to the in-

9

stitution of higher education to the recipients.

10

(c) SPECIAL RULE.—Any emergency financial aid

11 grants to students under this section shall not be treated
12 as other financial assistance for the purposes of section
13 471 of the Higher Education Act of 1965 (20 U.S.C.
14 1087kk).
15

SEC. 4505. FEDERAL WORK-STUDY DURING A QUALIFYING

16
17

EMERGENCY.

(a) IN GENERAL.—In the event of a qualifying emer-

18 gency, an institution of higher education participating in
19 the program under part C of title IV of the Higher Edu20 cation Act of 1965 (20 U.S.C. 1087–51 et seq.) may make
21 payments under such part to affected work-study stu22 dents, for the period of time (not to exceed one academic

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23 year) in which affected students were unable to fulfill the
24 students’ work-study obligation for all or part of such aca25 demic year due to such qualifying emergency, as follows:
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1

(1) Payments may be made under such part to

2

affected work-study students in an amount equal to

3

or less than the amount of wages such students

4

would have been paid under such part had the stu-

5

dents been able to complete the work obligation nec-

6

essary to receive work study funds, as a one time

7

grant or as multiple payments.

8

(2) Payments shall not be made to any student

9

who was not eligible for work study or was not com-

10

pleting the work obligation necessary to receive work

11

study funds under such part prior to the occurrence

12

of the qualifying emergency.

13

(3) Any payments made to affected work-study

14

students under this subsection shall meet the match-

15

ing requirements of section 443 of the Higher Edu-

16

cation Act of 1965 (20 U.S.C. 1087–53), unless

17

such matching requirements are waived by the Sec-

18

retary of Education.

19

(b) DEFINITION

20

DENT.—In

OF

AFFECTED WORK-STUDY STU-

this section, the term ‘‘affected work-study

21 student’’ means a student enrolled at an eligible institu22 tion participating in the program under part C of title IV

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23 of the Higher Education Act of 1965 (20 U.S.C. 1087–
24 51 et seq.) who—

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1

(1) received a work-study award under section

2

443 of the Higher Education Act of 1965 (20

3

U.S.C. 1087–53) for the academic year during which

4

a qualifying emergency occurred;

5

(2) earned Federal work-study wages from such

6

eligible institution for such academic year; and

7

(3) was prevented from fulfilling the student’s

8

work-study obligation for all or part of such aca-

9

demic year due to such qualifying emergency.

10

SEC. 4506. ADJUSTMENT OF SUBSIDIZED LOAN USAGE LIM-

11

ITS.

12

Notwithstanding section 455(q)(3) of the Higher

13 Education Act of 1965 (20 U.S.C. 1087e(q)(3)), the Sec14 retary shall exclude from a student’s period of enrollment
15 for purposes of loans made under part D of title IV of
16 the Higher Education Act of 1965 (20 U.S.C. 1087a et
17 seq.) any semester (or the equivalent) during which the
18 student was unable to remain enrolled in school as a result
19 of a qualifying emergency, if the Secretary is able to ad20 minister such policy in a manner that limits complexity
21 and the burden on the student.
22

SEC. 4507. EXCLUSION FROM FEDERAL PELL GRANT DURA-

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23
24

TION LIMIT.

The Secretary shall exclude from a student’s Federal

25 Pell Grant duration limit under section 401(c)(5) of the
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1 Higher Education Act of 1965 (2 U.S.C. 1070a(c)(5)) any
2 semester (or the equivalent) that the student does not
3 complete due to a qualifying emergency if the Secretary
4 is able to administer such policy in a manner that limits
5 complexity and the burden on the student.
6

SEC. 4508. INSTITUTIONAL REFUNDS AND FEDERAL STU-

7
8

DENT LOAN FLEXIBILITY.

(a) INSTITUTIONAL WAIVER.—The Secretary may

9 waive the institutional requirement in section 484B of the
10 Higher Education Act of 1965 (20 U.S.C. 1091b) with
11 respect to the amount of grant or loan assistance (other
12 than assistance received under part C of title IV of such
13 Act) to be returned to the title IV programs if a recipient
14 of assistance under title IV of the Higher Education Act
15 of 1965 (20 U.S.C. 1070 et seq.) withdraws from the in16 stitution during the payment period or period of enroll17 ment as a result of a qualifying emergency.
18

(b) STUDENT WAIVER.—The Secretary may waive

19 the amounts that students are required to return in sec20 tion 484B of the Higher Education Act of 1965 (20
21 U.S.C. 1091b) with respect to Federal Pell Grants or
22 other grant assistance if the withdrawals on which the re-

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23 turns are based on withdrawals by students who withdrew
24 from the institution as a result of a qualifying emergency.

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1

(c)

CANCELING

LOAN

OBLIGATION.—Notwith-

2 standing any other provision of the Higher Education Act
3 of 1965 (20 U.S.C. 1001 et seq.), the Secretary shall can4 cel the borrower’s obligation to repay the portion of a loan
5 made under part D of title IV of such Act for a recipient
6 of assistance who withdraws from the institution during
7 the payment period as a result of a qualifying emergency.
8

(d) APPROVED LEAVE

OF

ABSENCE.—Notwith-

9 standing any other provision of law, for purposes of receiv10 ing assistance under title IV of the Higher Education Act
11 of 1965 (20 U.S.C. 1070 et seq.), an institution of higher
12 education may, as a result of a qualifying emergency, pro13 vide a student with an approved leave of absence that does
14 not require the student to return at the same point in the
15 academic program that the student began the leave of ab16 sence if the student returns within the same semester (or
17 the equivalent).
18

SEC. 4509. SATISFACTORY PROGRESS.

19

Notwithstanding section 484 of the Higher Education

20 Act of 1965 (20 U.S.C. 1091), in determining whether a
21 student is maintaining satisfactory progress for purposes
22 of title IV of the Higher Education Act of 1965 (20 U.S.C.

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23 1070 et seq.), an institution of higher education may, as
24 a result of a qualifying emergency, exclude from the quan25 titative component of the calculation any attempted cred•S 3548 IS
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1 its that were not completed by such student without re2 quiring an appeal by such student.
3

SEC. 4510. CONTINUING EDUCATION AT AFFECTED FOR-

4
5

EIGN INSTITUTIONS.

(a) IN GENERAL.—Notwithstanding section 481(b)

6 of the Higher Education Act of 1965 (20 U.S.C. 1088(b)),
7 with respect to a foreign institution, in the case of a public
8 health emergency, major disaster or emergency, or na9 tional emergency declared by the applicable government
10 authorities in the country in which the foreign institution
11 is located, the Secretary may permit any part of an other12 wise eligible program to be offered via distance education
13 for the duration of such emergency or disaster and the
14 following payment period for purposes of title IV of the
15 Higher Education Act of 1965 (20 U.S.C. 1070 et seq.).
16

(b) ELIGIBILITY.—An otherwise eligible program

17 that is offered in whole or in part through distance edu18 cation by a foreign institution between March 1, 2020, and
19 the date of enactment of this Act shall be deemed eligible
20 for the purposes of part D of title IV of the Higher Edu21 cation Act of 1965 (20 U.S.C. 1087a et seq.) for the dura22 tion of the qualifying emergency and the following pay-

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23 ment period for purposes of title IV of the Higher Edu24 cation Act of 1965 (20 U.S.C. 1070 et seq.). Not later
25 than June 30, 2020, an institution of higher that uses
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1 the authority provided in the previous sentence shall re2 port such use to the Secretary.
3

(c) REPORT.—Not later than 180 days after the date

4 of enactment of this Act, and every 180 days thereafter
5 for the duration of the qualifying emergency and the fol6 lowing payment period, the Secretary shall submit to the
7 authorizing committees (as defined in section 103 of the
8 Higher Education Act of 1965 (20 U.S.C. 1003)) a report
9 that identifies each foreign institution that carried out a
10 distance education program authorized under this section.
11

(d) WRITTEN ARRANGEMENTS.—

kjohnson on DSK79L0C42PROD with BILLS

12

(1) IN

GENERAL.—Notwithstanding

section 102

13

of the Higher Education Act of 1965 (20 U.S.C.

14

1002), for the duration of a qualifying emergency

15

and the following payment period, the Secretary may

16

allow a foreign institution to enter into a written ar-

17

rangement with an institution of higher education

18

located in the United States that participates in the

19

Federal Direct Loan Program under part D of title

20

IV of the Higher Education Act of 1965 (20 U.S.C.

21

1087a et seq.) for the purpose of allowing a student

22

of the foreign institution who is a borrower of a loan

23

made under such part to take courses from the insti-

24

tution of higher education located in the United

25

States.

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1

(2) FORM

2

(A) PUBLIC

OR OTHER NONPROFIT INSTI-

3

TUTIONS.—A

4

or other nonprofit institution may enter into a

5

written arrangement under subsection (a) only

6

with an institution of higher education de-

7

scribed in section 101 of such Act (20 U.S.C.

8

1001).

9

kjohnson on DSK79L0C42PROD with BILLS

OF ARRANGEMENTS.—

foreign institution that is a public

(B) OTHER

INSTITUTIONS.—A

foreign in-

10

stitution that is a graduate medical school,

11

nursing school, or a veterinary school and that

12

is not a public or other nonprofit institution

13

may enter into a written arrangement under

14

subsection (a) with an institution of higher edu-

15

cation described in section 101 or section 102

16

of such Act (20 U.S.C. 1001 and 1002).

17

(3) REPORT

USE.—Not

later than June 30,

18

2020, an institution of higher that uses the author-

19

ity described in paragraph (2) shall report such use

20

to the Secretary.

21

(4) REPORT

FROM THE SECRETARY.—Not

22

than 180 days after the date of enactment of this

23

Act, and every 180 days thereafter for the duration

24

of the qualifying emergency and the following pay-

25

ment period, the Secretary shall submit to the au-

•S 3548 IS
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1

thorizing committees (as defined in section 103 of

2

the Higher Education Act of 1965 (20 U.S.C.

3

1003)) a report that identifies each foreign institu-

4

tion that entered into a written arrangement author-

5

ized under subsection (a).

6

SEC. 4511. NATIONAL EMERGENCY EDUCATIONAL WAIVERS.

7

(a) IN GENERAL.—Notwithstanding any other provi-

8 sion of law, the Secretary of Education may waive any
9 statutory or regulatory provision described under subpara10 graphs (A) through (C) of subsection (b)(1) if the Sec11 retary determines that such a waiver is necessary and ap12 propriate due to the emergency involving Federal primary
13 responsibility determined to exist by the President under
14 the section 501(b) of the Robert T. Stafford Disaster Re15 lief and Emergency Assistance Act (42 U.S.C. 5191(b))
16 with respect to the Coronavirus Disease 2019 (COVID17 19).
18

(b) APPLICABLE PROVISIONS OF LAW.—

kjohnson on DSK79L0C42PROD with BILLS

19

(1) IN

GENERAL.—The

Secretary of Education

20

may waive any statutory or regulatory requirement

21

(such as those requirements related to assessments,

22

accountability, allocation of funds, and reporting),

23

for which a waiver request is submitted under sub-

24

section (c), if the Secretary determines that such a

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1

waiver is necessary and appropriate as described in

2

subsection (a), under the following provisions of law:

3

(A) The Elementary and Secondary Edu-

4

cation Act of 1965 (20 U.S.C. 6301 et seq.).

5

(B) The Carl D. Perkins Career and Tech-

6

nical Education Act of 2006 (20 U.S.C. 2301

7

et seq.).

8

(C) The Higher Education Act of 1965

9

(20 U.S.C. 1001 et seq.).

10

(2) LIMITATION.—The Secretary of Education

11

shall not waive under this section any statutory or

12

regulatory requirements relating to applicable civil

13

rights laws.

14

(c) REQUESTS FOR WAIVERS.—

kjohnson on DSK79L0C42PROD with BILLS

15

(1) IN

GENERAL.—In

addition to any provision

16

waived by the Secretary under subsection (a), a

17

State, State educational agency, local educational

18

agency, Indian tribe, or institution of higher edu-

19

cation that desires a waiver from any statutory or

20

regulatory provision described under subparagraphs

21

(A) through (C) of subsection (b)(1) that the Sec-

22

retary has not already waived in accordance with

23

subsection (a), may submit a waiver request to the

24

Secretary in accordance with this subsection.

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228
1
2

(2) REQUESTS

request for a

waiver under this subsection shall—

3

(A) identify the Federal programs affected

4

by the requested waiver;

5

(B) describe which Federal statutory or

6

regulatory requirements are to be waived; and

7

(C) describe how the emergency involving

8

Federal primary responsibility determined to

9

exist by the President under the section 501(b)

10

of the Robert T. Stafford Disaster Relief and

11

Emergency Assistance Act (42 U.S.C. 5191(b))

12

with respect to the Coronavirus Disease 2019

13

(COVID-19) prevents or otherwise restricts the

14

ability of the State, State educational agency,

15

local educational agency, Indian tribe, or insti-

16

tution of higher education to comply with such

17

statutory or regulatory requirements.

18

(3) SECRETARY

19

kjohnson on DSK79L0C42PROD with BILLS

SUBMITTED.—A

(A) IN

APPROVAL.—

GENERAL.—Except

as provided

20

under subparagraph (B), the Secretary of Edu-

21

cation shall approve or disapprove a waiver re-

22

quest submitted under paragraph (1) not more

23

than 15 days after the date on which such re-

24

quest is submitted.

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1

(B) EXCEPTIONS.—The Secretary of Edu-

2

cation may disapprove a waiver request sub-

3

mitted under paragraph (1), only if the Sec-

4

retary determines that—

5

(i) the waiver request does not meet

6

the requirements of this section;

7

(ii) the waiver is not permitted pursu-

kjohnson on DSK79L0C42PROD with BILLS

8

ant to subsection (b)(2); or

9

(iii) the description required under

10

paragraph (2)(C) provides insufficient in-

11

formation to demonstrate that the waiving

12

of such requirements is necessary or ap-

13

propriate consistent with subsection (a).

14

(4) DURATION.—

15

(A) IN

GENERAL.—Except

as provided in

16

paragraph (B), a waiver approved by the Sec-

17

retary of Education under this subsection may

18

be for a period not to exceed 1 academic year.

19

(B) EXTENSION.—The Secretary of Edu-

20

cation may extend the period described under

21

subparagraph (A) if the State, State edu-

22

cational agency, local educational agency, In-

23

dian tribe, or institution of higher education

24

demonstrates to the Secretary that extending

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230
1

the waiving of such requirements is necessary

2

and appropriate consistent with subsection (a).

3

(d) REPORTING AND PUBLICATION.—

4

(1) NOTIFYING

later than 7

5

days after granting a waiver under this section, the

6

Secretary of Education shall notify the Committee

7

on Health, Education, Labor, and Pensions of the

8

Senate, the Committee on Appropriations of the

9

Senate, the Committee on Education and Labor of

10

the House of Representatives, and the Committee on

11

Appropriations of the House of Representatives of

12

such waiver.

13

(2) PUBLICATION.—Not later than 30 days

14

after granting a waiver under this section, the Sec-

15

retary of Education shall publish a notice of the Sec-

16

retary’s decision in the Federal Register and on the

17

website of the Department of Education.

18

kjohnson on DSK79L0C42PROD with BILLS

CONGRESS.—Not

(3) IDEA

REPORT.—Not

later than 30 days

19

after the date of enactment of this Act, the Sec-

20

retary of Education shall prepare and submit a re-

21

port to the Committee on Health, Education, Labor,

22

and Pensions and the Committee on Appropriations

23

of the Senate, and the Committee on Education and

24

Labor and the Committee on Appropriations of the

25

House of Representatives, with recommendations on

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231
1

any additional waivers the Secretary believes are

2

necessary to be enacted into law under the Individ-

3

uals with Disabilities Education Act (20 U.S.C.

4

1401 et seq.) and the Rehabilitation Act of 1973 (29

5

U.S.C. 701 et seq.) to provide limited flexibility to

6

States and local educational agencies to meet the

7

unique needs of students with disabilities during the

8

emergency involving Federal primary responsibility

9

determined to exist by the President under the sec-

10

tion 501(b) of the Robert T. Stafford Disaster Relief

11

and Emergency Assistance Act (42 U.S.C. 5191(b))

12

with respect to the Coronavirus Disease 2019

13

(COVID-19).

14

SEC. 4512. HBCU CAPITAL FINANCING.

15

(a) DEFERMENT PERIOD.—

16

(1) IN

sion of title III of the Higher Education Act of 1965

18

(20 U.S.C. 1051 et seq.), or any regulation promul-

19

gated under such title, the Secretary may grant a

20

deferment, for a period of a qualifying emergency to

21

an institution that has received a loan under part D

22

of title III of such Act (20 U.S.C. 1066 et seq.).

24

(2) TERMS.—During the deferment period
granted under this subsection—

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any provi-

17

23
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GENERAL.—Notwithstanding

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1

(A) the institution shall not be required to

2

pay any periodic installment of principal re-

3

quired under the loan agreement for such loan;

4

and

5

(B) the Secretary shall make principal pay-

6

ments otherwise due under the loan agreement.

7

(3) CLOSING.—At the closing of a loan deferred

8

under this subsection, terms shall be set under

9

which the institution shall be required to repay the

10

Secretary for the payments of principal made by the

11

Secretary during the deferment, on a schedule that

12

begins upon repayment to the lender in full on the

13

loan agreement.

14

(b) TERMINATION DATE.—

kjohnson on DSK79L0C42PROD with BILLS

15

(1) IN

GENERAL.—Except

as provided in para-

16

graph (2), the authority provided under this section

17

to grant a loan deferment under subsection (a), shall

18

terminate on the date that is the end of the quali-

19

fying emergency.

20

(2) DURATION.—Any provision of a loan agree-

21

ment or insurance agreement modified or waived by

22

the authority under this section shall remain so

23

modified or waived for the duration of the period

24

covered by the loan agreement or insurance agree-

25

ment.

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233
1

(c) REPORT.—Not later than 180 days after the date

2 of enactment of this Act, and every 180 days thereafter
3 during the period beginning on the first day of the quali4 fying emergency and ending on September 30 of the fiscal
5 year following the end of the qualifying emergency, the
6 Secretary shall submit to the authorizing committees (as
7 defined in section 103 of the Higher Education Act of
8 1965 (20 U.S.C. 1003)) a report that identifies each insti9 tution that received assistance or a waiver under this sec10 tion.
11

SEC. 4513. TEMPORARY RELIEF FOR FEDERAL STUDENT

12
13

LOAN BORROWERS.

(a) IN GENERAL.—The Secretary shall suspend all

14 payments due for loans made under part D of title IV
15 of the Higher Education Act of 1965 (20 U.S.C. 1087a
16 et seq.) for 3 months.
17

(b) NO ACCRUAL

OF

INTEREST.—Notwithstanding

18 any other provision of the Higher Education Act of 1965
19 (20 U.S.C. 1001 et seq.), interest shall not accrue on a
20 loan described under subsection (a) for which payment
21 was suspended for the period of the suspension.
22

(c) CONSIDERATION

OF

PAYMENTS.—The Secretary

kjohnson on DSK79L0C42PROD with BILLS

23 shall deem each month for which a loan payment was sus24 pended under this section as if the borrower of the loan
25 had made a payment for the purpose of any loan forgive•S 3548 IS
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234
1 ness program authorized under part D of title IV of the
2 Higher Education Act of 1965 (20 U.S.C. 1087a et seq.)
3 for which the borrower would have otherwise qualified.
4

(d) EXTENSION.—The Secretary may extend the pe-

5 riod of suspension described under subsection (a) for an
6 additional 3 months.
7

SEC. 4514. PROVISIONS RELATED TO THE CORPORATION

8
9

FOR NATIONAL AND COMMUNITY SERVICE.

(a) ACCRUAL OF SERVICE HOURS.—

10
11

(1)

THROUGH

OTHER

(A) IN

GENERAL.—Notwithstanding

any

13

other provision of the Domestic Volunteer Serv-

14

ice Act of 1973 (42 U.S.C. 4950 et seq.) or the

15

National and Community Service Act of 1990

16

(42 U.S.C. 12501 et seq.), the Corporation for

17

National and Community Service shall allow an

18

individual described in subparagraph (B) to ac-

19

crue other service hours that will count toward

20

the number of hours needed for the individual’s

21

education award.

22

(B) AFFECTED

INDIVIDUALS.—Subpara-

23

graph (A) shall apply to any individual serving

24

in a position eligible for an educational award

25

under subtitle D of title I of the National and

•S 3548 IS
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SERVICE

HOURS.—

12

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1

Community Service Act of 1990 (42 U.S.C.

2

12601 et seq.)—

3

(i) who is performing limited service

4

due to COVID-19; or

5

(ii) whose position has been suspended

6

or placed on hold due to COVID-19.

7

(2) PROVISIONS

IN CASE OF EARLY EXIT.—In

8

any case where an individual serving in a position el-

9

igible for an educational award under subtitle D of

10

title I of the National and Community Service Act

11

of 1990 (42 U.S.C. 12601 et seq.) was required to

12

exit the position early at the direction of the Cor-

13

poration for National and Community Service, the

14

Chief Executive Officer of the Corporation for Na-

15

tional and Community Service may—

16

(A) deem such individual as having met

17

the requirements of the position; and

18

(B) award the individual the full value of

19

the educational award under such subtitle for

20

which the individual would otherwise have been

21

eligible.

22

(b) AVAILABILITY

OF

FUNDS.—Notwithstanding any

kjohnson on DSK79L0C42PROD with BILLS

23 other provision of law, all funds made available to the Cor24 poration for National and Community Service under any
25 Act, including the amounts appropriated to the Corpora•S 3548 IS
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236
1 tion under the headings ‘‘OPERATING

EXPENSES’’,

2

RIES AND EXPENSES’’,

OF THE INSPECTOR

3

GENERAL’’

4

TIONAL AND

and ‘‘OFFICE

under the heading ‘‘CORPORATION

‘‘SALA-

FOR

NA-

COMMUNITY SERVICE’’ under title IV of Divi-

5 sion A of the Further Consolidated Appropriations Act,
6 2020 (Public Law 116–94), shall remain available for the
7 fiscal year ending September 30, 2021.
8

(c) NO REQUIRED RETURN

OF

GRANT FUNDS.—

9 Notwithstanding section 129(l)(3)(A)(i) of the National
10 and Community Service Act of 1990 (42 U.S.C.
11 12581(l)(3)(A)(i)), the Chief Executive Officer of the Cor12 poration for National and Community Service may permit
13 fixed-amount grant recipients under such section 129(l)
14 to maintain a pro rata amount of grant funds, at the dis15 cretion of the Corporation for National and Community
16 Service, for participants who exited or are serving in a
17 limited capacity due to COVID-19, to enable the grant re18 cipients to maintain operations and to accept participants.
19

(d) EXTENSION

OF

TERMS

AND

AGE LIMITS.—Not-

20 withstanding any other provision of law, the Corporation
21 for National and Community Service may extend the term
22 of service (for a period not to exceed the 1-year period

kjohnson on DSK79L0C42PROD with BILLS

23 immediately following the end of the national emergency)
24 or waive any upper age limit (except in no case shall the
25 maximum age exceed 26 years of age) for national service
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1 programs carried out by the National Civilian Community
2 Corps under subtitle E of title I of the National and Com3 munity Service Act of 1990 (42 U.S.C. 12611 et seq.),
4 and the participants in such programs, for the purposes
5 of—
6

(1) addressing disruptions due to COVID-19;

7

and

8

(2) minimizing the difficulty in returning to full

9

operation due to COVID-19 on such programs and

10
11

participants.
SEC. 4515. WORKFORCE RESPONSE ACTIVITIES.

12

(a) ADMINISTRATIVE COSTS.—Of the total amount

13 allocated to a local area under section 128(b) of the Work14 force Innovation and Opportunity Act (29 U.S.C.
15 3163(b)) and section 133(b) of such Act (29 U.S.C.
16 3173(b)) and available for administrative costs for pro17 gram year 2019, not more than 20 percent of the total
18 amount may be used by the local board involved for the
19 administrative costs of carrying out local workforce invest20 ment activities under chapter 2 or chapter 3 of subtitle
21 B of title I of such Act (29 U.S.C. 3151 et seq.), if the
22 portion of the total amount that exceeds 10 percent of the

kjohnson on DSK79L0C42PROD with BILLS

23 total amount as described under section 128(b)(4)(A) of
24 such Act is used to respond to the COVID-19 national
25 emergency.
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238
1

(b) RAPID RESPONSE ACTIVITIES.—

2

(1) STATEWIDE

funds available for program year 2019 for statewide

4

activities under section 128(a) of the Workforce In-

5

novation and Opportunity Act (29 U.S.C. 3163(a)),

6

such funds may be used for statewide rapid response

7

activities as described in section 134(a)(2)(A) (29

8

U.S.C.

9

COVID-19 national emergency.

3174(a)(2)(A))

(2) LOCAL

for

BOARDS.—Of

responding

to

the

the funds available to

11

a Governor under section 133(a)(2) of such Act (29

12

U.S.C. 3173(a)(2)) such funds may be released

13

within 30 days to local boards most impacted by the

14

coronavirus at the determination of the Governor for

15

rapid response activities related to responding to the

16

COVID-19 national emergency.

17

(c) DEFINITIONS.—In this section:

18

(1) CORONAVIRUS.—The term ‘‘coronavirus’’

19

means coronavirus as defined in section 506 of the

20

Coronavirus Preparedness and Response Supple-

21

mental Appropriations Act, 2020 (Public Law 116–

22

123).

23

(2) COVID-19

NATIONAL

EMERGENCY.—The

24

term ‘‘COVID-19 national emergency’’ means the

25

national emergency declared by the President under

•S 3548 IS
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the

3

10

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RESPONSE.—Of

RAPID

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1

the National Emergencies Act (50 U.S.C. 1601 et

2

seq.) on March 13, 2020, with respect to the

3

coronavirus.

4

(3) WIOA

as otherwise pro-

5

vided, the terms in this section have the meanings

6

given the terms in section 3 of the Workforce Inno-

7

vation and Opportunity Act (29 U.S.C. 3102).

8

SEC. 4516. TECHNICAL AMENDMENTS.

9

kjohnson on DSK79L0C42PROD with BILLS

TERMS.—Except

(a) IN GENERAL.—

10

(1) Section 6103(a)(3) of the Internal Revenue

11

Code of 1986, as amended by the FUTURE Act

12

(Public Law 116-91), is further amended by striking

13

‘‘(13), (16)’’ and inserting ‘‘(13)(A), (13)(B),

14

(13)(C), (13)(D)(i), (16)’’.

15

(2) Section 6103(p)(3)(A) of such Code, as so

16

amended, is further amended by striking ‘‘(12),’’

17

and inserting ‘‘(12), (13)(A), (13)(B), (13)(C),

18

(13)(D)(i)’’.

19

(3) Section 6103(p)(4) of such Code, as so

20

amended, is further amended by striking ‘‘(13) or

21

(16)’’ each place it appears and inserting ‘‘(13), or

22

(16)’’.

23

(4) Section 6103(p)(4) of such Code, as so

24

amended and as amended by paragraph (3), is fur-

25

ther amended by striking ‘‘(13)’’ each place it ap-

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1

pears and inserting ‘‘(13)(A), (13)(B), (13)(C),

2

(13)(D)(i)’’.

3

(5) Section 6103(l)(13)(C)(ii) of such Code, as

4

added by the FUTURE Act (Public Law 116-91), is

5

amended by striking ‘‘section 236A(e)(4)’’ and in-

6

serting ‘‘section 263A(e)(4)’’.

7

(b) EFFECTIVE DATE.—The amendments made by

8 this section shall apply as if included in the enactment
9 of the FUTURE Act (Public Law 116-91).

TITLE III—LABOR PROVISIONS

10
11

SEC. 4601. LIMITATION ON PAID LEAVE.

12

Section 110(b)(2)(B) of the Family and Medical

13 Leave Act of 1993 (as added by the Emergency Family
14 and Medical Leave Expansion Act) is amended by striking
15 clause (ii) and inserting the following:
16

‘‘(ii) LIMITATION.—An employer shall

17

not be required to pay more than $200 per

18

day and $10,000 in the aggregate for each

19

employee for paid leave under this sec-

20

tion.’’.

21

SEC. 4602. EMERGENCY PAID SICK LEAVE ACT LIMITATION.

22

Section 5102 of the Emergency Paid Sick Leave Act

kjohnson on DSK79L0C42PROD with BILLS

23 (division E of the Families First Coronavirus Response
24 Act) is amended by adding at the end the following:
25

‘‘(f) LIMITATIONS.—

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1

‘‘(1) IN

2

GENERAL.—An

employer shall not be

required to pay more than either—

3

‘‘(A) $511 per day and $5,110 in the ag-

4

gregate for each employee, when the employee

5

is taking leave for a reason described in para-

6

graph (1), (2), or (3) of section 5102(a); or

7

‘‘(B) $200 per day and $2,000 in the ag-

8

gregate for each employee, when the employee

9

is taking leave for a reason described in para-

10

graph (4), (5), or (6) of section 5102(a).

11

‘‘(2) EXPIRATION

OF REQUIREMENT.—

An em-

12

ployer’s requirement to provide paid leave with re-

13

spect to a specific employee shall expire at the ear-

14

lier of—

15

‘‘(A) the time when the employer has paid

16

that employee for paid leave under this section

17

for an equivalent of 80 hours of work; or

18

‘‘(B) upon the employee’s return to work

19
20

after taking paid leave under this section.’’.
SEC. 4603. REGULATORY AUTHORITIES UNDER THE EMER-

21
22

GENCY PAID SICK LEAVE ACT.

Section 5111(2) of the Emergency Paid Sick Leave

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23 Act (division E of the Families First Coronavirus Re24 sponse Act) is amended by striking ‘‘section 5102(a)(5)’’

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1 and inserting ‘‘paragraphs (4) and (5) of section
2 5102(a)(5)’’.
3

SEC. 4604. UNEMPLOYMENT INSURANCE.

4

Section 903(h)(2)(B) of the Social Security Act (42

5 U.S.C. 1103(h)(2)(B)), as added by section 4102 of the
6 Emergency Unemployment Insurance Stabilization and
7 Access Act of 2020, is amended to read as follows:
8

‘‘(B) The State ensures that applications

9

for unemployment compensation, and assistance

10

with the application process, are accessible in

11

person, by phone, or online.’’.

12

SEC. 4605. OMB WAIVER OF PAID FAMILY AND PAID SICK

13
14

LEAVE.

(a) FAMILY

AND

MEDICAL LEAVE ACT

OF

1993.—

15 Section 110(a) of title I of the Family and Medical Leave
16 Act of 1993 (29 U.S.C. 2611 et seq.) (as added by division
17 C of the Families First Coronavirus Response Act) is
18 amended by adding at the end the following new para-

kjohnson on DSK79L0C42PROD with BILLS

19 graph:
20

‘‘(4) The Director of the Office of Management

21

and Budget shall have the authority to exclude for

22

good cause from the requirements under subsection

23

(b) certain employers of the United States Govern-

24

ment with respect to certain categories of Executive

25

Branch employees.’’.

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1

(b) EMERGENCY PAID SICK LEAVE ACT.—The

2 Emergency Paid Sick Leave Act (division E of the Fami3 lies First Coronavirus Response Act) is amended by add4 ing at the end the following new section:
5

‘‘SEC. 5112. AUTHORITY TO EXCLUDE CERTAIN EMPLOYEES.

6

‘‘The Director of the Office of Management and

7 Budget shall have the authority to exclude for good cause
8 from the definition of employee under section 5110(1) cer9 tain employees described in subparagraphs (E) and (F)
10 of such section, including by exempting certain United
11 States

Government

employers

covered

by

section

12 5110(2)(A)(i)(V) from the requirements of this title with
13 respect to certain categories of Executive Branch employ14 ees.’’.
15

SEC. 4606. PAID LEAVE FOR REHIRED EMPLOYEES.

16

Section 110(a)(1)(A) of the Family and Medical

17 Leave Act of 1993, as added by section 3102 of the Emer18 gency Family and Medical Leave Expansion Act, is

kjohnson on DSK79L0C42PROD with BILLS

19 amended to read as follows:
20

‘‘(A) ELIGIBLE

21

‘‘(i) IN

EMPLOYEE.—

GENERAL.—In

lieu of the defi-

22

nition

23

101(2)(B)(ii), the term ‘eligible employee’

24

means an employee who has been employed

25

for at least 30 calendar days by the em-

in

sections

101(2)(A)

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and

244
1

ployer with respect to whom leave is re-

2

quested under section 102(a)(1)(F).

3

‘‘(ii) RULE

REGARDING REHIRED EM-

4

PLOYEES.—For

purposes of clause (i), the

5

term ‘employed for at least 30 calendar

6

days’, used with respect to an employee

7

and an employer described in clause (i), in-

8

cludes an employee who was laid off by

9

that employer not earlier than March 1,

10

2020, had worked for the employer for not

11

less than 30 of the last 60 calendar days

12

prior to the employee’s layoff, and was re-

13

hired by the employer.’’.

14

SEC. 4607. ADVANCE REFUNDING OF CREDITS.

15

(a) PAYROLL CREDIT

FOR

REQUIRED PAID SICK

16 LEAVE.—Section 7001 of division G of the Families First
17 Coronavirus Response Act is amended by inserting after
18 subsection (g) the following new subsection:
19

‘‘(h) TREATMENT

OF

DEPOSITS.—The Secretary of

20 the Treasury (or the Secretary’s delegate) shall waive any
21 penalty under section 6656 of the Internal Revenue Code
22 of 1986 for any failure to make a deposit of the tax im-

kjohnson on DSK79L0C42PROD with BILLS

23 posed by section 3111(a) or 3221(a) of such Code if the
24 Secretary determines that such failure was due to the an25 ticipation of the credit allowed under this section.’’.
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1
2

(b) CREDIT
EMPLOYED

FOR

SICK LEAVE

FOR

CERTAIN SELF-

INDIVIDUALS.—Section 7002 of division G of

3 the Families First Coronavirus Response Act is amended
4 by inserting after subsection (g) the following new sub5 section:
6

‘‘(h) ADVANCING CREDIT.—The Secretary of the

7 Treasury (or the Secretary’s delegate) shall issue such
8 forms and instructions as are necessary—
9

‘‘(1) to allow the advance payment of the credit

10

under subsection (a), subject to the limitations pro-

11

vided in this section, based on such information as

12

the Secretary shall require, and

13

‘‘(2) to provide for the reconciliation of such

14

advance payment with the amount advanced at the

15

time of filing the return of tax for the taxable

16

year.’’.

17

(c) PAYROLL CREDIT

FOR

REQUIRED PAID FAMILY

18 LEAVE.—Section 7003 of division G of the Families First
19 Coronavirus Response Act is amended by inserting after
20 subsection (g) the following new subsection:
21

‘‘(h) TREATMENT

OF

DEPOSITS.—The Secretary of

22 the Treasury (or the Secretary’s delegate) shall waive any

kjohnson on DSK79L0C42PROD with BILLS

23 penalty under section 6656 of the Internal Revenue Code
24 of 1986 for any failure to make a deposit of the tax im25 posed by section 3111(a) or 3221(a) of such Code if the
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246
1 Secretary determines that such failure was due to the an2 ticipation of the credit allowed under this section.’’.
3
4

(d) CREDIT FOR FAMILY LEAVE FOR CERTAIN SELFEMPLOYED

INDIVIDUALS.—Section 7004 of division G of

5 the Families First Coronavirus Response Act is amended
6 by inserting after subsection (e) the following new sub7 section:
8

‘‘(f) ADVANCING CREDIT.—The Secretary of the

9 Treasury (or the Secretary’s delegate) shall issue such

kjohnson on DSK79L0C42PROD with BILLS

10 forms and instructions as are necessary—
11

‘‘(1) to allow the advance payment of the credit

12

under subsection (a), subject to the limitations pro-

13

vided in this section, based on such information as

14

the Secretary shall require, and

15

‘‘(2) to provide for the reconciliation of such

16

advance payment with the amount advanced at the

17

time of filing the return of tax for the taxable

18

year.’’.

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247

4

DIVISION E—TEMPORARY PERMIT USE TO GUARANTEE
MONEY
MARKET
MUTUAL
FUNDS

5

SEC. 5001. NON-APPLICABILITY OF RESTRICTIONS ON ESF

6

DURING NATIONAL EMERGENCY.

1
2
3

7

Section 131 of the Emergency Economic Stabilization

8 Act of 2008 (12 U.S.C. 5236) shall not apply during the
9 national emergency concerning the novel coronavirus dis10 ease (COVID–19) outbreak declared by the President
11 under the National Emergencies Act (50 U.S.C. 1601 et
12 seq.).

DIVISION F—BUDGETARY
PROVISIONS

13
14
15

SEC. 6001. EMERGENCY DESIGNATION.

16

(a) IN GENERAL.—The amounts provided under this

17 Act are designated as an emergency requirement pursuant
18 to section 4(g) of the Statutory Pay-As-You-Go Act of
19 2010 (2 U.S.C. 933(g)).
20

(b) DESIGNATION

IN

SENATE.—In the Senate, this

21 Act is designated as an emergency requirement pursuant
22 to section 4112(a) of H. Con. Res. 71 (115th Congress),

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23 the concurrent resolution on the budget for fiscal year
24 2018.

Æ
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