PROVIDE Act

I 117TH CONGRESS 1ST SESSION H. R. 84 To prevent States from receiving Federal financial assistance if such States tax the income of an out-of-State volunteer providing assistance during a disaster or emergency, and for other purposes. IN THE HOUSE OF REPRESENTATIVES JANUARY 4, 2021 Mr. DESJARLAIS introduced the following bill; which was referred to the Committee on Oversight and Reform A BILL To prevent States from receiving Federal financial assistance if such States tax the income of an out-of-State volunteer providing assistance during a disaster or emergency, and for other purposes. Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembled, 2 SECTION 1. SHORT TITLE; FINDINGS. 3 (a) SHORT TITLE.—This Act may be cited as the 4 ‘‘Prevent Restrictions On Volunteers’ Incomes During 5 Emergencies Act’’ or the ‘‘PROVIDE Act’’. 6 (b) FINDINGS.—The Congress finds that— 7 VerDate Sep 11 2014 23:26 Jan 21, 2021 Jkt 019200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\H84.IH H84 pbinns on DSKJLVW7X2PROD with BILLS 2 •HR 84 IH (1) volunteers are essential during national dis- 1 asters and emergencies; 2 (2) in times of these disasters and emergencies, 3 residents from one State may aid those in a dif- 4 ferent State and provide necessary assistance; 5 (3) assistance from across State lines may con- 6 tinue for many weeks or months; and 7 (4) therefore, it is in the interest of Congress 8 to ensure that those who volunteer in a State in 9 which they do not reside are not burdened by an un- 10 fair income tax. 11 SEC. 2. INELIGIBILITY FOR FEDERAL FINANCIAL ASSIST- 12 ANCE FOR JURISDICTIONS THAT TAX VOLUN- 13 TEERS DURING AN EMERGENCY. 14 Beginning with fiscal year 2020, any State or local 15 government which taxes the income of an out-of-State in- 16 dividual that has traveled to such State for the purpose 17 of volunteering or otherwise providing assistance in re- 18 sponse to a Federally declared disaster or emergency dur- 19 ing the emergency period shall be ineligible to receive Fed- 20 eral financial assistance (as such term is defined in section 21 7501(a)(5) of title 31, United States Code). 22 SEC. 3. DEFINITIONS. 23 In this Act: 24 VerDate Sep 11 2014 23:26 Jan 21, 2021 Jkt 019200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H84.IH H84 pbinns on DSKJLVW7X2PROD with BILLS 3 •HR 84 IH (1) EMERGENCY PERIOD.—The term ‘‘emer- 1 gency period’’ means the period of time in which a 2 Federally declared disaster or emergency is in effect. 3 (2) FEDERALLY DECLARED DISASTER OR 4 EMERGENCY.—The term ‘‘Federally declared dis- 5 aster or emergency’’ means any disaster or emer- 6 gency declared by the President of the United States 7 or the Secretary of Health and Human Services in 8 accordance with Federal law. 9 (3) LOCAL GOVERNMENT.—The term ‘‘local 10 government’’ means a county, city, town, village, or 11 other general purpose political subdivision, instru- 12 mentality, or authority of a State. 13 (4) STATE.—The term ‘‘State’’ means each of 14 the 50 States and the District of Columbia, the 15 Commonwealth of Puerto Rico, the Virgin Islands, 16 Guam, American Samoa, the Commonwealth of the 17 Northern Mariana Islands, and Indian Tribes. 18 Æ VerDate Sep 11 2014 23:26 Jan 21, 2021 Jkt 019200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6301 E:\BILLS\H84.IH H84 pbinns on DSKJLVW7X2PROD with BILLS