1.This Act may be cited as the
United States Direct Investment Act of
2006
.
2.In this Act:
(1)The term Administration means
the United States Direct Investment Administration established under section
4.
(2)Appropriate
congressional committeesThe
term appropriate congressional committees means the Committee on
Finance and the Committee on Commerce, Science, and Transportation of the
Senate and the Committee on Energy and Commerce and Committee on Ways and Means
of the House of Representatives.
(3)Critical
high-technology industriesThe term critical high-technology
industries means industries involved in technology—
(A)the development of which will—
(i)provide a wide array of economic,
environmental, energy, and defense-related returns for the United States;
and
(ii)ensure United States economic,
environmental, energy, and defense-related welfare; and
(B)in which the United States has an abiding
interest in creating or maintaining secure domestic sources.
(4)The term Department means the
Department of Commerce.
(5)The term
Under Secretary means the Under Secretary of Commerce for United
States Direct Investment described in section 4(a).
(6)United States
direct investment promotion committeeThe term United States Direct
Investment Promotion Committee means the Interagency United States
Direct Investment Promotion Committee established under section 7.
(7)The term WTO
Agreement means the Agreement establishing the World Trade Organization
entered into on April 15, 1994.
3.The provisions of this
Act shall not affect the implementation or application of section 721 of the
Defense Production Act of 1950 (50 U.S.C. App. 2170) and the activities of the
Committee on Foreign Investment in the United States (or any successor
committee).
4.Establishment of
United States Direct Investment Administration
(a)There is established
in the Department of Commerce a United States Direct Investment Administration
which shall be headed by an Under Secretary of Commerce for United States
Direct Investment. The Under Secretary shall be appointed by the President, by
and with the advice and consent of the Senate, and shall be compensated at the
rate provided for level III of the Executive Schedule in section 5314 of title
5, United States Code.
(b)There shall be in
the Administration a Deputy Under Secretary for United States Direct Investment
who shall be appointed by the President, by and with the advice of the Senate,
and shall be compensated at the rate provided for level IV of the Executive
Schedule in section 5315 of title 5, United States Code.
(c)The Under Secretary may appoint such
additional personnel to serve in the Administration as the Under Secretary
determines necessary.
(d)The Under Secretary, in cooperation with
the Economics and Statistics Administration and other offices at the
Department, shall—
(1)collect and analyze data related to the
flow of direct investment in the United States and throughout the world, as
described in section 5;
(2)submit to the appropriate congressional
committees an annual United States Direct Investment Report, as described in
section 6;
(3)develop and publish an annual United States
Direct Investment Agenda;
(4)assume responsibility as the lead agency
for advocating and implementing strategic policies that will increase direct
investment in the United States;
(5)coordinate with the President regarding
implementation of section 721 of the Defense Production Act of 1950 (50 U.S.C.
App. 2170) and the activities of the Committee on Foreign Investment in the
United States (or any successor committee); and
(6)in cooperation with the Economic
Development Administration, administer an investment zone program for
communities that have been negatively impacted by either trade or economic
cycles.
(e)
(1)Section 5314 of title 5, United States
Code, is amended by adding at the end the following: Under Secretary of
Commerce for United States Direct Investment.
.
(2)Section 5315 of title 5, United States
Code, is amended by adding at the end the following: Deputy Under
Secretary of Commerce for United States Direct Investment.
.
5.Annual Direct
Investment Report
(a)Annual direct
investment reportNot later
than April 30, 2007, and on or before March 31 of each succeeding calendar
year, the Under Secretary shall submit a report on the data identified and the
analysis described in subsection (b) for the preceding calendar year (which
shall be known as the Annual Direct Investment Report
). The
Report shall be submitted to the President and the appropriate congressional
committees.
(b)
(1)The data identified
and analysis for the Report described in subsection (a) means the data
identified and analyzed by the Under Secretary of Commerce, in cooperation with
the Economic and Statistics Administration and other offices at the Department
and with the assistance of other departments and agencies, including the Office
of the United States Trade Representative, for the preceding calendar year
regarding the following:
(A)Policies, programs, and practices at the
State and regional level designed to attract direct investment.
(B)The amount of direct investment attracted
in each such State and region.
(C)Policies, programs, and practices in
foreign countries designed to attract direct investment, and the amount of
direct investment attracted in each such foreign country.
(D)A comparison of the levels of direct
investment attracted in the United States and in foreign countries, including a
matrix of inputs affecting the level of direct investment.
(E)Specific sectors in the United States and
in foreign countries in which direct investments are being made, including the
specific amounts invested in each sector, with particular emphasis on critical
high-technology industries.
(F)Trends in direct investment, with
particular emphasis on critical high-technology industries.
(G)The best policy and practices at the
Federal, State, and regional levels regarding direct investment policy, with
specific reference to programs and policies that have the greatest potential to
increase direct investment in the United States and enhance United States
competitive advantage relative to foreign countries. Particular emphasis should
be given to attracting direct investment in critical high-technology
industries.
(H)Policies, programs, and practices in
foreign countries designed to attract direct investment that are not in
compliance with the WTO Agreement and the agreements annexed to that
Agreement.
(2)Certain factors
taken into account in making analysisIn making any analysis under paragraph (1),
the Under Secretary shall take into account—
(A)the relative impact of policies, programs,
and practices of foreign governments on United States commerce;
(B)the availability of information to document
the effect of policies, programs, and practices;
(C)the extent to which such act, policy, or
practice is subject to international agreements to which the United States is a
party; and
(D)the impact trends in direct investment have
had on—
(i)the competitiveness of United States
industries in the international economy, with particular emphasis on critical
high-technology industries;
(ii)the value of goods and services exported
from and imported to the United States;
(iii)employment in the United States, in
particular high-wage employment; and
(iv)the provision of health care, pensions, and
other benefits provided by companies based in the United States.
(c)Assistance of
other agencies
(1)Furnishing of
informationThe head of each
department or agency of the executive branch of the Government, including any
independent agency, is authorized and directed to furnish to the Under
Secretary, upon request, such data, reports, and other information as is
necessary for the Under Secretary to carry out the functions under this
Act.
(2)Restrictions on
release or use of informationNothing in this subsection shall authorize
the release of information to, or the use of information by, the Under
Secretary in a manner inconsistent with law or any procedure established
pursuant thereto.
(3)The head of any
department, agency, or instrumentality of the United States may detail such
personnel and may furnish such services, with or without reimbursement, as the
Under Secretary may request to assist in carrying out the functions of the
Under Secretary.
(d)Annual
revisions and updatesThe
Under Secretary shall annually revise and update the Report described in
subsection (a).
6.Annual direct
investment agenda
(a)Not later than April
30, 2007, and on or before March 31 of each succeeding calendar, the Under
Secretary shall submit an agenda based on the data and analysis described in
section 5 for the preceding calendar year, to the President and the appropriate
congressional committees. The agenda shall be known as the Annual Direct
Investment Agenda
and shall include—
(1)an evaluation of the research and
development program expenditures being made in the United States with
particular emphasis to critical high-technology industries considered essential
to United States economic security and necessary for long-term United States
economic competitiveness in world markets; and
(2)proposals that identify the policies,
programs, and practices in foreign countries and that the United States should
pursue that—
(A)encourage direct investment in the United
States that will enhance the country’s competitive advantage relative to
foreign countries, with particular emphasis on critical high-technology
industries;
(B)enhance the viability of the manufacturing
sector in the United States;
(C)increase opportunities for high-wage jobs
and promote high levels of employment;
(D)encourage economic growth; and
(E)increase opportunities for the provision of
health care, pensions, and other benefits provided by companies based in the
United States.
(b)Consultation
with congress on Annual Direct Investment AgendaThe Under Secretary shall keep the
appropriate congressional committees currently informed with respect to the
Annual Direct Investment Agenda and implementation of the Agenda. After the
submission of the Agenda, the Under Secretary shall also consult periodically
with, and take into account the views of, the appropriate congressional
committees regarding implementation of the Agenda.
7.United States Direct
Investment Promotion Committee
(a)The President shall establish and the Under
Secretary shall assume lead responsibility for an Interagency United States
Direct Investment Promotion Committee. The functions of the Committee shall be
to—
(1)coordinate all United States Government
activities related to the promotion of direct investment in the United
States;
(2)advocate and implement strategic policies,
programs, and practices that will increase direct investment in the United
States;
(3)train United States Government officials to
pursue strategic policies, programs, and practices that will increase direct
investment in the United States;
(4)consult with business, labor, State,
regional, and local government officials on strategic policies, programs, and
practices that will increase direct investment in the United States;
(5)develop and publish materials that can be
used by Federal, State, regional, and local government officials to increase
direct investment in the United States;
(6)create and maintain a database of direct
investment opportunities in the United States;
(7)create and maintain an interactive website
that can be used to access direct investment opportunities in different sectors
and geographical areas of the United States, with particular emphasis on
critical high-technology industries;
(8)coordinate direct investment marketing
activities with State Economic Development Agencies; and
(9)host regular meetings and discussions with
State, regional, and local economic development officials to consider best
policy practices to increase direct investment in the United States.
(b)The Committee shall be composed of the
following:
(1)The Secretary of Commerce.
(2)The United States Trade
Representative.
(3)Members of the United States International
Trade Commission.
(4)The Secretary of the Treasury.
(5)Members of the National Economic
Council.
(6)The Secretary of Agriculture.
(7)Such other officials as the President
determines to be necessary.
8.Designation of
additional renewal communitiesSection 1400E of the Internal Revenue Code
of 1986 (relating to designation of renewal communities) is amended by adding
at the end the following new subsection:
(h)Additional
designations permitted
(1)In addition to the
areas designated under subsection (a), the Under Secretary of Commerce for
United States Direct Investment, after consultation with the Secretary of the
Treasury, may designate in the aggregate an additional 10 nominated areas as
renewal communities under this section, subject to the availability of eligible
nominated areas.
(2)Period
designations may be made and take effectA designation may be made under this
subsection after the date of the enactment of this subsection and before the
date which is 5 years after such date of enactment. Subject to subparagraphs
(B) and (C) of subsection (b)(1), a designation made under this subsection
shall remain in effect during the period beginning with such designation and
ending on the date which is 8 years after such designation.
(3)Except as otherwise
provided in paragraph (1), the rules of this section shall apply to
designations under this
subsection.
.