II 111th CONGRESS 1st Session S. 1089 IN THE SENATE OF THE UNITED STATES May 20, 2009 Mr. Baucus (for himself, Mr. Crapo, Ms. Cantwell, Mr. Roberts, Ms. Landrieu, Mr. Bingaman, Mrs. Lincoln, Mr. Harkin, Mrs. Murray, Mr. Pryor, Mr. Bond, Mr. Johnson, Mr. Dorgan, Mr. Wyden, Mr. Lugar, Mrs. McCaskill, and Mr. Enzi) introduced the following bill; which was read twice and referred to the Committee on Finance A BILL To facilitate the export of United States agricultural commodities and products to Cuba as authorized by the Trade Sanctions Reform and Export Enhancement Act of 2000, to establish an agricultural export promotion program with respect to Cuba, to remove impediments to the export to Cuba of medical devices and medicines, to allow travel to Cuba by United States citizens and legal residents, to establish an agricultural export promotion program with respect to Cuba, and for other purposes.

1.

Short title

This Act may be cited as the Promoting American Agricultural and Medical Exports to Cuba Act of 2009.

2.

Clarification of payment terms under the Trade Sanctions Reform and Export Enhancement Act of 2000

Section 908(b)(4) of the Trade Sanctions Reform and Export Enhancement Act of 2000 (22 U.S.C. 7207(b)(4)) is amended— (1)in subparagraph (B), by striking and at the end; (2)in subparagraph (C), by striking the period at the end and inserting ; and; and (3)by adding at the end the following: (D)the term payment of cash in advance means, notwithstanding any other provision of law, the payment by the purchaser of an agricultural commodity or product and the receipt of such payment by the seller prior to— (i)the transfer of title of such commodity or product to the purchaser; and (ii)the release of control of such commodity or product to the purchaser. .

3.

Authorization of direct transfers between Cuban and United States depository institutions under the Trade Sanctions Reform and Export Enhancement Act of 2000

(a)

In general

Notwithstanding any other provision of law (including section 908(b)(1)(B) of the Trade Sanctions and Export Enhancement Act of 2000 (22 U.S.C. 7207(b)(1)(B)), the President may not restrict direct transfers from a Cuban depository institution to a United States depository institution executed in payment for an agricultural commodity or product authorized for sale under the Trade Sanctions Reform and Export Enhancement Act of 2000 (22 U.S.C. 7201 et seq.). (b)

Depository institution defined

In this section, the term depository institution means any entity that is engaged primarily in the business of banking (including a bank, savings bank, savings association, credit union, trust company, or bank holding company).

4.

Establishment of agricultural export promotion program with respect to Cuba

(a)

In general

The Secretary of Agriculture shall establish a program to provide information and technical assistance to United States agricultural producers, cooperative organizations, and State agencies that promote the sale of agricultural commodities or products, in order to promote and facilitate exports of United States agricultural commodities or products to Cuba as authorized by the Trade Sanctions Reform and Export Enhancement Act of 2000. (b)

Technical assistance To facilitate exports

The Secretary of Agriculture shall maintain on the website of the Department of Agriculture information to assist exporters and potential exporters of United States agricultural commodities or products with respect to Cuba. (c)

Authorization of funds

The Secretary of Agriculture is authorized to expend such sums as may be available in the Agricultural Export Promotion Trust Fund established under section 9511 of the Internal Revenue Code of 1986 (as added by section 5(b) of this Act).

5.

Increase in airport ticket tax for transportation between United States and Cuba; establishment of Agricultural Export Promotion Trust Fund

(a)

Increase in ticket tax

Subsection (c) of section 4261 of the Internal Revenue Code of 1986 (relating to use of international travel facilities) is amended by adding at the end the following new paragraph: (4)

Special rule for cuba

In any case in which the tax imposed by paragraph (1) applies to transportation beginning or ending in Cuba before January 1, 2016, such tax shall be increased by $1.00. . (b)

Agricultural export promotion trust fund

(1)

In general

Subchapter A of chapter 98 of the Internal Revenue Code of 1986 (relating to establishment of trust funds) is amended by adding at the end the following new section:

9511.

Agricultural Export Promotion Trust Fund

(a)

Creation of trust fund

There is established in the Treasury of the United States a trust fund to be known as the Agricultural Export Promotion Trust Fund, consisting of such amounts as may be appropriated or credited to such fund as provided in this section or section 9602(b). (b)

Transfers to trust fund

There are hereby appropriated to the Agricultural Export Promotion Trust Fund amounts equivalent to the increase in taxes received in the Treasury by reason of section 4261(c)(4). (c)

Expenditures

Amounts in the Agricultural Export Promotion Trust Fund shall be available, as provided by appropriation Acts, for making expenditures to the Office of the Secretary of Agriculture for the purposes set out in section 4 of the Promoting American Agricultural and Medical Exports to Cuba Act of 2009.

. (2)

Conforming amendment

Subparagraph (B) of section 9502(b)(1) of such Code is amended by inserting (other than by reason of subsection (c)(4) thereof) after sections 4261. (3)

Clerical amendment

The table of sections for subchapter A of chapter 98 of such Code is amended by adding at the end the following new item: Sec. 9511. Agricultural Export Promotion Trust Fund. . (c)

Effective date

The amendment made by subsection (a) shall apply to transportation beginning after the 90-day period beginning on the date of the enactment of this Act, except that such amendment shall not apply to amounts paid before the end of such period.

6.

Sense of Congress that visas should be issued

(a)

Sense of Congress

It is the sense of Congress that the Secretary of State should issue visas for temporary entry into the United States to nationals of Cuba whose itinerary documents an intent to conduct activities, including phytosanitary inspections, relating to the purchase of United States agricultural commodities or products pursuant to the provisions of the Trade Sanctions Reform and Export Enhancement Act of 2000 (22 U.S.C. 7201 et seq.). (b)

Periodic reports

(1)

In general

Not later than 45 days after the date of the enactment of this Act, and every 90 days thereafter, the Secretary of State shall submit to the Committee on Finance, the Committee on Agriculture, Nutrition, and Forestry, and the Committee on Foreign Relations of the Senate, and the Committee on Agriculture, the Committee on Ways and Means, and the Committee on Foreign Affairs of the House of Representatives a report on the issuance of visas described in subsection (a). (2)

Content of reports

Each report under paragraph (1) shall contain a full description of each application received from a national of Cuba for a visa to travel to the United States to engage in purchasing activities pursuant to the provisions of the Trade Sanctions Reform and Export Enhancement Act of 2000 (22 U.S.C. 7201 et seq.) and shall describe the disposition of each such application.

7.

Export of medicines and medical devices to Cuba

(a)

Repeal of requirement for onsite verifications

Section 1705 of the Cuban Democracy Act of 1992 (22 U.S.C. 6004) is amended by striking subsection (d). (b)

Rule of construction

Nothing in the amendment made by subsection (a) shall be construed to restrict the authority of the President to— (1)impose export controls with respect to the export of medicines or medical devices under sections 5 or 6 of the Export Administration Act of 1979 (as in effect pursuant to the International Emergency Economic Powers Act (50 U.S.C. App. 2404 or 2405)); or (2)exercise the authority the President has under the International Emergency Economic Powers Act (50 U.S.C. 1701 et seq.) with respect to Cuba pursuant to a declaration of national emergency required by that Act that is made on account of an unusual and extraordinary threat, that did not exist before the enactment of this Act, to the national security, foreign policy, or economy of the United States.

8.

Travel to Cuba

(a)

Freedom of travel for United States citizens and legal residents

Notwithstanding section 102(h) of the Cuban Liberty and Democratic Solidarity (LIBERTAD) Act of 1996 (22 U.S.C. 6032(h)) and section 910(b) of the Trade Sanctions Reform and Export Enhancement Act of 2000 (22 U.S.C. 7209(b)) and subject to subsection (b)— (1)the President may not regulate or prohibit, directly or indirectly, travel to or from Cuba by United States citizens or legal residents, or any of the transactions incident to such travel; and (2)any regulation in effect on the date of the enactment of this Act that regulates or prohibits travel to or from Cuba by United States citizens or legal residents or transactions incident to such travel shall cease to have any force or effect. (b)

Exception

The restrictions on authority contained in subsection (a) shall not apply in a case in which the United States is at war with Cuba, armed hostilities between the two countries are in progress, or there is imminent danger to the public health or the physical safety of United States citizens or legal residents. (c)

Applicability

This section applies to actions taken by the President— (1)on or after the date of the enactment of this Act; or (2)before the date of the enactment of this Act which are in effect on such date of enactment.

9.

Adherence to international agreements for the mutual protection of intellectual property

(a)

Repeal of prohibition on transactions or payments with respect to certain United States intellectual property

Section 211 of the Department of Commerce and Related Agencies Appropriations Act, 1999 (section 101(b) of division A of Public Law 105–277; 112 Stat. 2681–88) is repealed. (b)

Regulations

The Secretary of the Treasury shall promulgate such regulations as are necessary to carry out the repeal made by subsection (a), including removing any prohibition on transactions or payments to which subsection (a)(1) of section 211 of the Department of Commerce and Related Agencies Appropriations Act, 1999 (as such section was in effect on the day before the date of the enactment of this Act) applied. (c)

Further regulations

(1)

In general

The Secretary of the Treasury shall amend part 515 of title 31, Code of Federal Regulations (commonly referred to as the Cuban Assets Control Regulations), to authorize under general license the transfer or receipt of any trademark or trade name subject to United States law in which a designated national has an interest. (2)

Designated national defined

In this subsection, the term designated national has the meaning given the term in subsection (d)(1) of section 211 of the Department of Commerce and Related Agencies Appropriations Act, 1999 (as such section was in effect on the day before the date of the enactment of this Act).