text: SECTION 1. CHARITABLE CONTRIBUTIONS OF COMPUTER EQUIPMENT AND SOFTWARE 
                TO ELEMENTARY AND SECONDARY SCHOOLS AND TO QUALIFIED 
                ORGANIZATIONS PROVIDING ASSISTANCE TO INDIVIDUALS WITH 
                DISABILITIES.
  
      (a) In General.--Subsection (e) of section 170 of the Internal 
  Revenue Code of 1986 is amended by adding at the end the following new 
  paragraph:
              ``(6) Special rule for contributions of computer equipment 
          and software used for educational purposes.--
                      ``(A) Limit on reduction.--In the case of a 
                  qualified educational contribution, the reduction under 
                  paragraph (1)(A) shall be no greater than the amount 
                  determined under paragraph (3)(B).
                      ``(B) Qualified educational contribution.--For 
                  purposes of this paragraph, the term `qualified 
                  educational contribution' means a charitable 
                  contribution by a corporation of any computer software 
                  or computer or peripheral equipment, but only if--
                              ``(i) the contribution is to--
                                      ``(I) an educational organization 
                                  described in subsection (b)(1)(A)(ii),
                                      ``(II) a governmental unit 
                                  described in subsection (c)(1), or
                                      ``(III) an organization described 
                                  in section 501(c)(3) and exempt from 
                                  taxation under section 501(a), or a 
                                  governmental unit described in 
                                  subsection (c)(1), that has documented 
                                  experience and expertise at the 
                                  community level in providing training 
                                  and evaluation for information 
                                  technology services and devices to 
                                  individuals with disabilities, their 
                                  parents, family members, guardians, 
                                  advocates, or authorized 
                                  representatives,
                              ``(ii) the contribution is made not later 
                          than 3 years after the date the taxpayer 
                          acquired the property (or in the case of 
                          property constructed by the taxpayer, the date 
                          the construction of the property is 
                          substantially completed),
                              ``(iii) substantially all of the use of the 
                          property by the donee is for use within the 
                          United States for educational purposes related 
                          to the purpose or function of the organization 
                          or unit,
                              ``(iv) the original use of the property 
                          began with--
                                      ``(I) the donee, in the case of 
                                  property constructed by the taxpayer or 
                                  property of the taxpayer described in 
                                  section 1221(1), or
                                      ``(II) the taxpayer, in any case 
                                  not described in subclause (I),
                              ``(v) the property is not transferred by 
                          the donee in exchange for money, other 
                          property, or services, and
                              ``(vi) the taxpayer receives from the donee 
                          a written statement representing that its use 
                          and disposition of the property will be in 
                          accordance with the provisions of clauses (iii) 
                          and (v).
                      ``(C) Donations to charity for refurbishing.--
                              ``(i) In general.--For purposes of this 
                          paragraph, a charitable contribution by a 
                          corporation shall be treated as a qualified 
                          education contribution if--
                                      ``(I) such contribution is a 
                                  contribution of any computer or 
                                  peripheral equipment to a qualified 
                                  organization, and
                                      ``(II) the taxpayer receives from 
                                  such organization a written statement 
                                  representing that its use of the 
                                  property (and any use by the 
                                  organization or unit to which it 
                                  donates the property) meets the needs 
                                  of the donee and the requirements of 
                                  clause (v) of subparagraph (B).
                              ``(ii) Qualified organization.--For 
                          purposes of clause (i), an organization is a 
                          qualified organization if--
                                      ``(I) the organization is described 
                                  in section 501(c)(3) and exempt from 
                                  taxation under section 501(a), and
                                      ``(II) a substantial part of the 
                                  business of the organization is the 
                                  repair and refurbishment of computers 
                                  or peripheral equipment and the 
                                  donation of such equipment to an 
                                  organization or unit described in 
                                  subparagraph (B)(i) for a purpose 
                                  described in subparagraph (B)(iii).
                      ``(D) Special rules.--For the purposes of this 
                  paragraph--
                              ``(i) Construction of property by 
                          taxpayer.--Paragraph (4)(C) shall apply.
                              ``(ii) Refurbishment of property by 
                          taxpayer.--Property that is substantially 
                          refurbished by the taxpayer shall be treated as 
                          property constructed by the taxpayer.
                      ``(E) Definitions.--For the purposes of this 
                  paragraph--
                              ``(i) Computer or peripheral equipment.--
                          The term `computer or peripheral equipment' has 
                          the meaning given such term by section 
                          168(i)(2)(B).
                              ``(ii) Computer software.--The term 
                          `computer software' has the meaning given such 
                          term by section 197(e)(3)(B).
                              ``(iii) Educational purpose.--The term 
                          `educational purpose' includes administration 
                          incident to providing education.
                              ``(iv) Disability.--The term `disability' 
                          has the meaning given such term by section 3(2) 
                          of the Americans with Disabilities Act of 1990.
                              ``(v) Information technology.--The term 
                          `information technology' includes any computer 
                          or peripheral equipment, computer software, 
                          digital augmentative speech device, firmware, 
                          and services related thereto.
                              ``(vi) Corporation.--The term `corporation' 
                          has the meaning given such term by paragraph 
                          (4)(D).''
      (b) Computer Training.--Section 170 of such Code is amended by 
  adding at the end the following new subsection:
      ``(n) Computer Training.--
              ``(1) In general.--For purposes of this section, the term 
          `charitable contribution' includes a contribution by a 
          corporation of qualified computer training.
              ``(2) Qualified computer training.--
                      ``(A) In general.--For purposes of paragraph (1), 
                  the term `qualified computer training' means training--
                              ``(i) provided by the taxpayer in the use 
                          of computer software or any computer or 
                          peripheral equipment (as defined in subsection 
                          (e)(6)(E)) contributed to the donee by the 
                          taxpayer for a purpose described in subsection 
                          (e)(6)(B)(iii),
                              ``(ii) provided to an individual employed 
                          by an organization or unit described in 
                          subsection (e)(6)(B)(i), and
                              ``(iii) for which the taxpayer receives 
                          from the donee a written statement representing 
                          that the training is not in exchange for money, 
                          other property, or services.
                      ``(B) Time limitation.--Not more than 8 hours of 
                  training may be taken into account under subparagraph 
                  (A) with respect to each contribution.
                      ``(C) Valuation.--For the purpose of this 
                  subsection, the value of the time of an individual who 
                  provides computer training shall be based on the usual 
                  wage rate of the individual.''
      (c) Contribution of Digital Augmentative Speech Devices for Use by 
  Individuals With Disabilities.--Subsection (e) of section 170 of the 
  Internal Revenue Code of 1986, as amended by subsection (a) of this 
  section, is further amended by adding at the end the following new 
  paragraph:
              ``(7) Special rule for contributions of digital 
          augmentative speech devices.--
                      ``(A) Limit on reduction.--In the case of a 
                  contribution or gift of a digital augmentative speech 
                  device to an entity described in subparagraph (B)--
                              ``(i) the reduction under paragraph (1)(A) 
                          shall be no greater than the amount determined 
                          under paragraph (3)(B), and
                              ``(ii) qualified training in the use of 
                          such device shall be treated as a charitable 
                          contribution for purposes of this section.
                      ``(B) Entity described.--An entity is described in 
                  this subparagraph if the entity is--
                              ``(i) described in section 501(c)(3) and 
                          exempt from taxation under section 501(a), or
                              ``(ii) a governmental unit described in 
                          subsection (c)(1),
                  that has documented experience and expertise at the 
                  community level in providing training and evaluation 
                  for information technology services and devices to 
                  individuals with disabilities, their parents, family 
                  members, guardians, advocates, or authorized 
                  representatives.
                      ``(C) Qualified training.--
                              ``(i) In general.--The term `qualified 
                          training' means training in the use of a 
                          digital augmentative speech device contributed 
                          by the taxpayer under subparagraph (A) to an 
                          entity described in subparagraph (B) that is --
                                      ``(I) provided by the taxpayer,
                                      ``(II) provided to an individual 
                                  employed by such entity, and
                                      ``(III) for which the taxpayer 
                                  receives from the donee a written 
                                  statement representing that the 
                                  training meets the requirements of 
                                  subparagraph (D).
                      ``(D) Limitations.--
                              ``(i) Exchange for money, etc.--
                          Subparagraph (A) shall not apply to property or 
                          training donated under this paragraph if such 
                          property is transferred by the donee in 
                          exchange for money, other property, or 
                          services.
                              ``(ii) Time and valuation.--Subparagraphs 
                          (B) and (C) of paragraph (6) shall apply to 
                          training subject to this subparagraph.
                      ``(E) Definitions.--For purposes of this paragraph, 
                  the terms `disability' and `information technology' 
                  have the meaning given such terms by subsection 
                  (e)(6)(E).''
      (d) Effective Date.--The amendments made by this section shall 
  apply to taxable years beginning after December 31, 1996.
  
  SEC. 2. REPORT ON EFFECTIVENESS OF CHARITABLE CONTRIBUTIONS OF 
                COMPUTERS AND SOFTWARE IN MEETING EDUCATIONAL NEEDS OF 
                STUDENTS.
  
      Not later than December 31, 1998, the Comptroller General of the 
  United States shall conduct a study on the effectiveness of the 
  enhanced charitable contribution under section 170(e)(6) of the 
  Internal Revenue Code of 1986 (as amended by section 1 of this Act) in 
  meeting educational needs of students in the United States. The 
  Comptroller General shall submit the report to the Committee on Ways 
  and Means of the House of Representatives and the Committee on Finance 
  of the Senate.
  
  SEC. 3. DONATIONS TO UNDERPRIVILEGED SCHOOLS.
  
      It is the sense of Congress that one of the main purposes of the 
  enhanced charitable deduction under section 170(e)(6) of the Internal 
  Revenue Code of 1986 (as amended by section 1 of this Act) is to 
  encourage the donation of computer equipment and software to--
              (1) schools serving low income communities;
              (2) schools whose fiscal year budgets are below the 
          applicable State-wide norm; and
              (3) schools at which student test scores are substantially 
          below the State-wide norm.
target: Amends the Internal Revenue Code to set forth a special rule for the donation by a corporation, as a charitable deduction, of computer equipment and software, as well as related training, to elementary and secondary schools and to qualified organizations providing assistance to disabled individuals.  Directs the Comptroller General to report concerning such deductions. 
  Expresses the sense of the Congress that one of the main purposes of such enhanced charitable deduction is to encourage the donation of computer equipment and software to:  (1) schools serving low income communities; (2) schools with budgets below applicable norms; and (3) schools with student test scores below the norm.
feat_title: To amend the Internal Revenue Code of 1986 to allow companies to donate computer equipment and software, and training related thereto, to elementary and secondary schools for use in their educational programs, and for other purposes.