1.Short title; table of
contents
(a)This Act may be cited
as the Export-Import Bank
Reauthorization Act of 2012
.
(b)The table of contents of this Act is as follows:
Sec. 1. Short title; table of contents.
Sec. 2. Extension of authority.
Sec. 3. Limitations on outstanding loans, guarantees, and
insurance.
Sec. 4. Export-Import Bank exposure limit business
plan.
Sec. 5. Study by the Comptroller General on the role of the
Bank in the world economy and the Bank's risk management.
Sec. 6. Monitoring of default rates on Bank financing; reports
on default rates; safety and soundness review.
Sec. 7. Improvement and clarification of due diligence
standards for lender partners.
Sec. 8. Non-subordination requirement.
Sec. 9. Notice and comment for Bank transactions exceeding
$100,000,000.
Sec. 10. Categorization of purpose of loans and long-term
guarantees in annual report.
Sec. 11. Negotiations to end export credit
financing.
Sec. 12. Publication of guidelines for economic impact analyses
and documentation of such analyses.
Sec. 13. Report on implementation of recommendations of the
Government Accountability Office.
Sec. 14. Examination of Bank support for small
business.
Sec. 15. Review and report on domestic content
policy.
Sec. 16. Improvement of method for calculating the effects of
Bank financing on job creation and maintenance in the United
States.
Sec. 17. Periodic audits of Bank transactions.
Sec. 18. Prohibitions on financing for certain persons involved
in sanctionable activities with respect to Iran.
Sec. 19. Use of portion of Bank surplus to update information
technology systems.
Sec. 20. Modifications relating to the advisory
committee.
Sec. 21. Financing for goods manufactured in the United States
used in global textile and apparel supply chains.
Sec. 22. Technical correction.
Sec. 23. Sub-Saharan Africa Advisory Committee.
Sec. 24. Dual use exports.
Sec. 25. Effective date.
2.Section 7 of the
Export-Import Bank Act of 1945 (12 U.S.C. 635f) is amended by striking
2011
and inserting 2014
.
3.Limitations on
outstanding loans, guarantees, and insuranceSection 6(a)(2) of the Export-Import Bank
Act of 1945 (12 U.S.C. 635e(a)(2)) is amended—
(1)in subparagraph
(D), by striking and
;
(2)in subparagraph
(E), by striking the comma at the end and inserting ; and
;
and
(3)by adding at the
end the following:
(F)during fiscal year 2012 and each succeeding
fiscal year, $120,000,000,000, except that—
(i)the applicable
amount for each of fiscal years 2013 and 2014 shall be $130,000,000,000
if—
(I)the Bank has submitted a report as required
by section 4(a) of the Export-Import Bank Reauthorization Act of 2012;
and
(II)the rate calculated under section 8(g)(1)
of this Act is less than 2 percent for the quarter ending with the beginning of
the fiscal year, or for any quarter in the fiscal year; and
(ii)notwithstanding clause (i), the applicable
amount for fiscal year 2014 shall be $140,000,000,000 if—
(I)the rate calculated under section 8(g)(1)
of this Act is less than 2 percent for the quarter ending with the beginning of
the fiscal year, or for any quarter in the fiscal year;
(II)the Bank has submitted a report as required
by subsection (b) of section 5 of the Export-Import Bank Reauthorization Act of
2012, except that the preceding provisions of this subclause shall not apply if
the Comptroller General has not submitted the report required by subsection (a)
of such section 5 on or before July 1, 2013; and
(III)the Secretary of the Treasury has submitted
the reports required by section 11(b) of the Export-Import Bank Reauthorization
Act of
2012.
.
4.Export-Import
Bank exposure limit business plan
(a)Not later than
September 30, 2012, the Export-Import Bank of the United States shall submit to
the Congress and the Comptroller General a written report that contains the
following:
(1)A business plan that—
(A)includes an
estimate by the Bank of the appropriate exposure limits of the Bank for 2012,
2013, and 2014;
(B)justifies the
estimate; and
(C)estimates any
anticipated growth of the Bank for 2012, 2013, and 2014—
(i)by
industry sector;
(ii)by whether the products involved are
short-term loans, medium-term loans, long-term loans, insurance, medium-term
guarantees, or long-term guarantees; and
(iii)by
key market.
(2)An analysis of the
potential for increased or decreased risk of loss to the Bank as a result of
the estimated exposure limit, including an analysis of increased or decreased
risks associated with changes in the composition of Bank exposure, by industry
sector, by product offered, and by key market.
(3)An analysis of the ability of the Bank to
meet its small business and sub-Saharan Africa mandates and comply with its
carbon policy mandate under the proposed exposure limit, and an analysis of any
increased or decreased risk of loss associated with meeting or complying with
the mandates under the proposed exposure limit.
(4)An analysis of the
adequacy of the resources of the Bank to effectively process, approve, and
monitor authorizations, including the conducting of required economic impact
analysis, under the proposed exposure limit.
(b)GAO review of
report and business planNot
later than June 1, 2013, the Comptroller General shall submit to the Congress a
written analysis of the report and business plan submitted under subsection
(a), which shall include such recommendations with respect to the report and
business plan as the Comptroller General deems appropriate.
5.Study by the
Comptroller General on the role of the Bank in the world economy and the Bank's
risk management
(a)Within 10 months
after the date of the enactment of this Act, the Comptroller General of the
United States shall complete and submit to the Export-Import Bank of the United
States, the Committee on Banking, Housing, and Urban Affairs of the Senate and
the Committee on Financial Services of the House of Representatives a report
which—
(1)evaluates—
(A)the history of the rate of growth of the
Bank, and its causes, with specific consideration given to—
(i)the capital market
conditions for export financing;
(ii)increased
competition from foreign export credit agencies;
(iii)the rate of
growth of the Bank from 2008 to the present;
(B)the effectiveness
of the Bank’s risk management, including—
(i)potential for
losses from each of the products offered by the Bank; and
(ii)the
overall risk of the Bank’s portfolio, taking into account—
(I)market
risk;
(II)credit
risk;
(III)political
risk;
(IV)industry-concentration
risk;
(V)geographic-concentration
risk;
(VI)obligor-concentration
risk; and
(VII)foreign-currency
risk;
(C)the Bank’s use of
historical default and recovery rates to calculate future program costs, taking
into consideration cost estimates determined under the Federal Credit Reform
Act of 1990 (2 U.S.C. 661 et seq.) and whether discount rates applied to cost
estimates should reflect the risks described in subparagraph (B);
(D)the fees charged
by the Bank for the products the Bank offers, whether the Bank’s fees properly
reflect the risks described in subparagraph (B), and how the fees are affected
by United States participation in international agreements; and
(E)whether the Bank’s
loan loss reserves policy is sufficient to cover the risks described in
subparagraph (B); and
(2)makes appropriate recommendations with
respect to the matters so evaluated.
(b)Recommendations
and report by the bankNot
later than 120 days after the Bank receives the report, the Bank shall submit
to the Congress a report on the implementation of recommendations included in
the report so received. If the Bank does not adopt the recommendations, the
Bank shall include in its report an explanation of why the Bank has not done
so.
6.Monitoring of
default rates on Bank financing; reports on default rates; safety and soundness
reviewSection 8 of the
Export-Import Bank Act of 1945 (12 U.S.C. 635g) is amended by adding at the end
the following:
(g)Monitoring of
default rates on Bank financing; reports on default rates; safety and soundness
review
(1)Monitoring of
default ratesNot less
frequently than quarterly, the Bank shall calculate the rate at which the
entities to which the Bank has provided short-, medium-, or long-term financing
are in default on a payment obligation under the financing, by dividing the
total amount of the required payments that are overdue by the total amount of
the financing involved.
(2)Additional
calculation by type of product, by key market, and by industry sector; report
to CongressIn addition, the
Bank shall, not less frequently than quarterly—
(A)calculate the rate
of default—
(i)with respect to
whether the products involved are short-term loans, medium-term loans,
long-term loans, insurance, medium-term guarantees, or long-term
guarantees;
(ii)with respect to
each key market involved; and
(iii)with respect to
each industry sector involved; and
(B)submit to the
Committee on Banking, Housing, and Urban Affairs of the Senate and the
Committee on Financial Services of the House of Representatives a report on
each such rate and any information the Bank deems relevant.
(3)Report on causes
of default rate; plan to reduce default rateWithin 45 days after
a rate calculated under paragraph (1) equals or exceeds 2 percent, the Bank
shall submit to the Congress a written report that explains the circumstances
that have caused the default rate to be at least 2 percent, and includes a plan
to reduce the default rate to less than 2 percent.
(4)The plan referred to
in paragraph (3) shall—
(A)provide a detailed
explanation of the processes and controls by which the Bank monitors and tracks
outstanding loans;
(B)detail specific
planned actions, including a time frame for completing the actions, to reduce
the default rate described in paragraph (1) to less than 2 percent.
(5)Monthly reports
required while default rate is at least 2 percentFor so long as the default rate calculated
under paragraph (1) is at least 2 percent, the Bank shall submit monthly
reports to the Congress describing the specific actions taken during such
period to reduce the default rate.
(6)Safety and
soundness reviewIf the
default rate calculated under paragraph (1) remains above 2 percent for a
period of 6 months, the Secretary of the Treasury shall provide for an
independent third party to—
(A)conduct a review
of the loan programs and funds of the Bank, which shall determine—
(i)the financial
safety and soundness of the programs and funds; and
(ii)the extent of
loan loss reserves and capital adequacy of the programs and funds; and
(B)submit to the Secretary, within 60 days
after the end of the 6-month period, a report that—
(i)describes the
methodology and standards used to conduct the review required by subparagraph
(A);
(ii)sets forth the
results and findings of the review, including the extent of loan loss reserves
and capital adequacy of the programs and funds of the Bank; and
(iii)includes
recommendations regarding restoring the reserves and capital to maintain the
programs and funds in a safe and sound
condition.
.
7.Improvement and
clarification of due diligence standards for lender partnersSection 2 of the Export-Import Bank Act of
1945 (12 U.S.C. 635) is amended by adding at the end the following:
(i)Due diligence
standards for lender partnersThe Bank shall set due diligence standards
for its lender partners and participants, which should be applied across all
programs consistently. To minimize or prevent fraudulent activity, the Bank
should require all delegated lenders to implement Know your customer
practices
.
.
8.Non-subordination
requirementSection 2 of the
Export-Import Bank Act of 1945 (12 U.S.C. 635), as amended by section 7 of this
Act, is amended by adding at the end the following:
(j)Non-subordination
requirementIn entering into
financing contracts, the Bank shall seek a creditor status which is not
subordinate to that of all other creditors, in order to reduce the risk to, and
enhance recoveries for, the
Bank.
.
9.Notice and
comment for Bank transactions exceeding
$100,000,000
(a)Section 3(c) of the
Export-Import Bank Act of 1945 (12 U.S.C. 635a(c)) is amended by adding at the
end the following:
(10)Notice and
comment requirements
(A)Before any meeting of
the Board for final consideration of a long-term transaction the value of which
exceeds $100,000,000, and concurrent with any statement required to be
submitted under section 2(b)(3) with respect to the transaction, the Bank shall
provide a notice and comment period.
(B)Financial
threshold determinationsFor
purposes of determining whether the value of a proposed transaction exceeds the
financial threshold set forth in subparagraph (A), the Bank shall aggregate the
dollar amount of the proposed transaction and the dollar amounts of all
long-term loans and guarantees, approved by the Bank in the preceding 12-month
period, that involved the same foreign entity and substantially the same
product to be produced.
(C)
(i)The Bank
shall—
(I)publish in the
Federal Register a notice of the application proposing the transaction;
(II)provide a period of not less than 25 days
for the submission to the Bank of comments on the application; and
(III)notify the Committee on Banking, Housing,
and Urban Affairs of the Senate, and the Committee on Financial Services of the
House of Representatives of the application, and seek comments on the
application from the Department of Commerce and the Office of Management and
Budget.
(ii)The notice published under clause (i)(I) with respect to
an application for a loan or financial guarantee shall include appropriate
information about—
(I)a brief non-proprietary description of the
purposes of the transaction and the anticipated use of any item being exported,
including, to the extent the Bank is reasonably aware, whether the item may be
used to produce exports or provide services in competition with the exportation
of goods or the provision of services by a United States industry;
(II)the identities of
the obligor, principal supplier, and guarantor; and
(III)a description, such as type or model
number, of any item with respect to which Bank financing is being sought, but
only to the extent the description does not disclose any information that is
confidential or proprietary business information, that would violate the Trade
Secrets Act, or that would jeopardize jobs in the United States by supplying
information which competitors could use to compete with companies in the United
States.
(D)Procedure
regarding materially changed applications
(i)If a material change is made to an application to which
this paragraph applies, after a notice with respect to the application is
published under subparagraph (C)(i)(I), the Bank shall publish in the Federal
Register a revised notice of the application and provide for an additional
comment period as provided in subparagraph (C)(i)(II).
(ii)In clause (i), the
term material change, with respect to an application for a loan or
guarantee, includes an increase of at least 25 percent in the amount of a loan
or guarantee requested in the application.
(E)Requirement to
address views of commentersBefore taking final action on an
application to which this paragraph applies, the staff of the Bank shall
provide in writing to the Board of Directors the views of any person who
submitted comments on the application pursuant to this paragraph.
(F)Publication of
conclusionsWithin 30 days
after a final decision of the Board of Directors with respect to an application
to which this paragraph applies, the Bank shall provide to a commenter on the
application or the decision who makes a request therefor, a non-confidential
summary of the facts found and conclusions reached in any detailed analysis or
similar study with respect to the loan or guarantee that is the subject of the
application, that was submitted to the Board of Directors. Such summary should
be sent within 30 days of the receipt of the written request or date of the
final decision of the Board of Directors, whichever is later.
(G)The obligations imposed by this paragraph shall
not be interpreted to create, modify, or preclude any legal right of
action.
.
(b)The amendment made by
subsection (a) shall take effect 60 days after the date of the enactment of
this Act.
10.Categorization
of purpose of loans and long-term guarantees in annual reportSection 8 of the Export-Import Bank Act of
1945 (12 U.S.C. 635g), as amended by section 6 of this Act, is amended by
adding at the end the following:
(h)Categorization
of purpose of loans and long-term guaranteesIn the annual report of the Bank under
subsection (a), the Bank shall categorize each loan and long-term guarantee
made by the Bank in the fiscal year covered by the report, and according to the
following purposes:
(1)To assume
commercial or political risk that exporter or private financial institutions
are unwilling or unable to undertake
.
(2)To overcome
maturity or other limitations in private sector export
financing
.
(3)To meet
competition from a foreign, officially sponsored, export credit
competition
.
(4)Not
identified
, and the reason why the purpose is not
identified.
.
11.Negotiations to
end export credit financing
(a)The Secretary of the
Treasury (in this section referred to as the Secretary
) shall
initiate and pursue negotiations—
(1)with other major exporting countries,
including members of the Organisation for Economic Co-operation and Development
(OECD) and non-OECD members, to substantially reduce, with the ultimate goal of
eliminating, subsidized export financing programs and other forms of export
subsidies; and
(2)with all countries that finance air carrier
aircraft with funds from a state-sponsored entity, to substantially reduce,
with the ultimate goal of eliminating, aircraft export credit financing for all
aircraft covered by the 2007 Sector Understanding on Export Credits for Civil
Aircraft (in this section referred to as the ASU
), including any
modification thereof, and all of the following types of aircraft:
(A)Heavy aircraft that are capable of a
takeoff weight of 300,000 pounds or more, whether or not operating at such a
weight during a particular phase of flight.
(B)Large aircraft
that are capable of a takeoff weight of more than 41,000 pounds, and have a
maximum certificated takeoff weight of not more than 300,000 pounds.
(C)Small aircraft
that have a maximum certificated takeoff weight of 41,000 pounds or
less.
(b)Annual reports
on progress of negotiationsNot later than 180 days after the
date of the enactment of this Act, and annually thereafter, the Secretary shall
submit to the Committee on Banking, Housing, and Urban Affairs of the Senate
and the Committee on Financial Services of the House of Representatives—
(1)a report on the progress of any
negotiations described in subsection (a)(1), until the Secretary certifies in
writing to the committees that all countries that support subsidized export
financing programs have agreed to end the support; and
(2)a report on the progress of any
negotiations described in subsection (a)(2), including the progress of any
negotiations with respect to each classification of aircraft set forth in
subsection (a)(2), until the Secretary certifies in writing to the committees
that all countries that support subsidized export financing programs have
agreed to end the support of aircraft covered by the ASU.
12.Publication of
guidelines for economic impact analyses and documentation of such
analyses
(a)Publication of
guidelinesNot later than 180
days after the date of the enactment of this Act, the Export-Import Bank of the
United States shall develop and make publicly available methodological
guidelines to be used by the Bank in conducting economic impact analyses or
similar studies under section 2(e) of the Export-Import Bank Act of 1945. In
developing the guidelines, the Bank shall take into consideration any relevant
guidance from the Office of Management and Budget.
(b)Maintenance of
documentationSection 2(e)(7)
of the Export-Import Bank Act of 1945 (12 U.S.C. 635(e)(7)) is amended by
redesignating subparagraphs (E) and (F) as subparagraphs (F) and (G),
respectively, and inserting after subparagraph (D) the following:
(E)Maintenance of
documentationThe Bank shall maintain documentation relating to
economic impact analyses and similar studies conducted under this subsection in
a manner consistent with the Standards for Internal Control of the Federal
Government issued by the Comptroller General of the United
States.
.
13.Report on
implementation of recommendations of the Government Accountability
OfficeNot later than 180 days
after the date of the enactment of this Act, the Export-Import Bank of the
United States shall submit to the Committee on Banking, Housing, and Urban
Affairs of the Senate and the Committee on Financial Services of the House of
Representatives a report on the implementation or rejection by the Bank of the
recommendations contained in the report of the Government Accountability Office
entitled Export-Import Bank: Improvements Needed in Assessment of
Economic Impact
, dated September 12, 2007 (GAO–07–1071), that
includes—
(1)a
detailed description of the progress made in implementing each such
recommendation; and
(2)for any such
recommendation that has not yet been implemented, an explanation of the reasons
the recommendation has not been implemented.
14.Examination of
Bank support for small businessWithin 180 days after the date of the
enactment of this Act, the Export-Import Bank of the United States shall
examine and report to Congress on its current programs, products, and polices
with respect to the implementation of its export credit insurance program,
delegated lending authority, and direct loans, and any other programs,
products, and policies established to support exports from small businesses in
the United States, and determine the extent to which those policies adequately
meet the needs of the small businesses in obtaining Bank financing to support
the maintenance or creation of jobs in the United States through exports,
consistent with the requirement that the Bank obtain a reasonable assurance of
repayment.
15.Review and
report on domestic content policy
(a)The Export-Import
Bank of the United States shall conduct a review of its domestic content policy
for medium- and long-term transactions. The review shall examine and evaluate
the effectiveness of the Bank’s policy—
(1)in maintaining and creating jobs in the
United States; and
(2)in contributing to a stronger national
economy through the export of goods and services.
(b)In conducting the review under subsection (a), the Bank
shall consider the following:
(1)Whether the
domestic content policy accurately captures the costs of United States
production of goods and services, including the direct and indirect costs of
manufacturing costs, parts, components, materials and supplies, research,
planning engineering, design, development, production, return on investment,
marketing and other business costs and the effect of such policy on the
maintenance and creation of jobs in the United States.
(2)The ability of the
Bank to provide financing that is competitive with the financing provided by
foreign export credit agencies and the impact that such financing has in
enabling companies with operations in the United States to contribute to a
stronger United States economy by increasing employment through the export of
goods and services.
(3)The effects of the
domestic content policy on the manufacturing and service workforce of the
United States.
(4)Any
recommendations the members of the Bank's Advisory Committee have regarding the
Bank's domestic content policy.
(5)The effect that
changes to the Bank’s domestic content requirements would have in providing
companies an incentive to create and maintain operations in the United States
and to increase jobs in the United States.
(c)Not later than 1 year after the date of the
enactment of this Act, the Bank shall submit a report on the results of the
review conducted under this section to the Committee on Banking, Housing, and
Urban Affairs of the Senate, and the Committee on Financial Services of the
House of Representatives.
16.Improvement of
method for calculating the effects of Bank financing on job creation and
maintenance in the United States
(a)The Comptroller General
of the United States shall conduct a study of the process and methodology used
by the Export-Import Bank of the United States (in this section referred to as
the Bank
) to calculate the effects of the provision of financing
by the Bank on the creation and maintenance of employment in the United States,
determine and assess the basis on which the Bank has so used the methodology,
and make any recommendations the Comptroller General deems appropriate.
(b)Within 1 year after the date of the
enactment of this Act, the Comptroller General shall submit to the Congress and
the Bank the results of the study required by subsection (a).
(c)Implementation
of recommendationsIf the
report submitted pursuant to subsection (b) includes recommendations, the Bank
may establish a more accurate methodology of the kind described in subsection
(a) based on the recommendations.
17.Periodic audits
of Bank transactions
(a)Within 2 years after
the date of the enactment of this Act, and periodically (but not less
frequently than every 4 years) thereafter, the Comptroller General of the
United States shall conduct an audit of the loan and guarantee transactions of
the Export-Import Bank of the United States to determine the compliance of the
Bank with the underwriting guidelines, lending policies, due diligence
procedures, and content guidelines of the Bank.
(b)The Comptroller
General of the United States shall review the adequacy of the design and
effectiveness of the controls used by the Export-Import Bank of the United
States to prevent, detect, and investigate fraudulent applications for loans
and guarantees, including by auditing a sample of Bank transactions, and submit
to the Congress a written report which contains such recommendations with
respect to the controls as the Comptroller General deems appropriate.
18.Prohibitions on
financing for certain persons involved in sanctionable activities with respect
to Iran
(a)Prohibition on
financing for persons that engage in certain sanctionable activities
(1)Beginning on the date that is 180 days after the date of
the enactment of this Act, the Board of Directors of the Export-Import Bank of
the United States may not approve any transaction that is subject to approval
by the Board with respect to the provision by the Bank of any guarantee,
insurance, or extension of credit, or the participation by the Bank in any
extension of credit, to a person in connection with the exportation of any good
or service unless the person makes the certification described in paragraph
(2).
(2)The certification described in this paragraph is a
certification by a person—
(A)that neither the
person nor any other person owned or controlled by the person—
(i)engages in any
activity described in section 5(a) of the Iran Sanctions Act of 1996 (Public
Law 104–172; 50 U.S.C. 1701 note) for which the person may be subject to
sanctions under that Act;
(ii)exports sensitive
technology, as defined in section 106 of the Comprehensive Iran Sanctions,
Accountability, and Divestment Act of 2010 (22 U.S.C. 8515), to Iran; or
(iii)engages in any
activity prohibited by part 560 of title 31, Code of Federal Regulations
(commonly known as the Iranian Transactions Regulations
), unless
the activity is disclosed to the Office of Foreign Assets Control of the
Department of the Treasury when the activity is discovered; or
(B)if the person or
any other person owned or controlled by the person has engaged in an activity
described in subparagraph (A), that—
(i)in
the case of an activity described in subparagraph (A)(i)—
(I)the President has
waived the imposition of sanctions with respect to the person that engaged in
that activity pursuant to section 4(c), 6(b)(5), or 9(c) of the Iran Sanctions
Act of 1996 (Public Law 104–172; 50 U.S.C. 1701 note);
(II)- (aa)the President has
invoked the special rule described in section 4(e)(3) of that Act with respect
to the person that engaged in that activity; or
- (bb)(AA)the person that engaged
in that activity determines, based on its best knowledge and belief, that the
person meets the criteria described in subparagraph (A) of such section 4(e)(3)
and has provided to the President the assurances described in subparagraph (B)
of that section; and
(BB)the Secretary of State has issued an
advisory opinion to that person that the person meets such criteria and has
provided to the President those assurances; or
(III)the President
has determined that the criteria have been met for the exception provided for
under section 5(a)(3)(C) of the Iran Sanctions Act of 1996 to apply with
respect to the person that engaged in that activity; or
(ii)in
the case of an activity described in subparagraph (A)(ii), the President has
waived, pursuant to section 401(b)(1) of the Comprehensive Iran Sanctions,
Accountability, and Divestment Act of 2010 (22 U.S.C. 8551(b)(1)), the
application of the prohibition under section 106(a) of that Act (22 U.S.C.
8515(a)) with respect to that person.
(b)Beginning on the date that is 180 days after the date
of the enactment of this Act, the Board of Directors of the Export-Import Bank
of the United States may not approve any transaction that is subject to
approval by the Board with respect to the provision by the Bank of any
guarantee, insurance, or extension of credit, or the participation by the Bank
in any extension of credit, in connection with a financing in which a person
that is a borrower or controlling sponsor, or a person that is owned or
controlled by such borrower or controlling sponsor, is subject to sanctions
under section 5(a) of the Iran Sanctions Act of 1996 (Public Law 104–172; 50
U.S.C. 1701 note).
(c)
(1)The
Secretary of State is authorized to issue advisory opinions described in
subsection (a)(2)(B)(i)(II).
(2)If the Secretary issues an advisory opinion pursuant to
paragraph (1), the Secretary shall notify the appropriate congressional
committees of the opinion not later than 30 days after issuing the
opinion.
(d)In
this section:
(1)Appropriate
congressional committees; personThe terms appropriate
congressional committees and person have the meanings given
those terms in section 14 of the Iran Sanctions Act of 1996 (Public Law
104–172; 50 U.S.C. 1701 note).
(2)The term controlling sponsor means a person
providing controlling direct private equity investment (excluding investments
made through publicly held investment funds, publicly held securities, public
offerings, or similar public market vehicles) in connection with a
financing.
19.Use of portion
of Bank surplus to update information technology systemsSection 3 of the Export-Import Bank Act of
1945 (12 U.S.C. 635a) is amended by adding at the end the following:
(j)Authority to use
portion of Bank surplus to update information technology systems
(1)Subject to paragraphs
(3) and (4), the Bank may use an amount equal to 1.25 percent of the surplus of
the Bank during fiscal years 2012, 2013, and 2014 to—
(A)seek to remedy any
of the operational weakness and risk management vulnerabilities of the Bank
which are the result of the information technology system of the Bank;
(B)remedy data
fragmentation, enhance information flow throughout the Bank, and manage data
across the Bank; and
(C)enhance the
operational capacity and risk management capabilities of the Bank to better
enable the Bank to increase exports and grow jobs while protecting the
taxpayer.
(2)In
paragraph (1), the term surplus means the amount (if any) by
which—
(A)the sum of the
interest and fees collected by the Bank; exceeds
(B)the sum of—
(I)the funds set
aside to cover expected losses on transactions financed by the Bank; and
(ii)the costs
incurred to cover the administrative expenses of the Bank.
(3)The
aggregate of the amounts used in accordance with paragraph (1) for fiscal years
2012, 2013, and 2014 shall not exceed $20,000,000.
(4)Subject to
appropriationsThe authority provided by paragraph (1) may be
exercised only to such extent and in such amounts as are provided in advance in
appropriations
Acts.
.
20.Modifications
relating to the advisory committee
(a)Representation
of the textile industrySection 3(d)(1)(B) of the Export-Import
Bank Act of 1945 (12 U.S.C. 635a(d)(1)(B)) is amended by striking and
State government
inserting State government, and the textile
industry
.
(b)Access to bank
products by the textile industry
(1)Consideration by
advisory committeeSection 3(d) of such Act (12 U.S.C. 635a(d))
is amended by adding at the end the following:
(5)In carrying out paragraph (4), the Advisory
Committee shall consider ways to promote the financing of Bank transactions for
the textile industry, consistent with the requirement that the Bank obtain a
reasonable assurance of repayment, and determine ways to—
(A)increase Bank support for the exports of
textile components or inputs made in the United States; and
(B)support the maintenance, promotion and
expansion of jobs in the United States that are critical to the manufacture of
textile components and
inputs.
.
(2)Annual report to
congress on advisory committee determinationsSection 8 of such
Act (12 U.S.C. 635g), as amended by sections 6 and 10 of this Act, is amended
by adding at the end the following:
(i)Access to bank
products by the textile industryThe Bank shall include in its annual report
to the Congress under subsection (a) of this section a report on the
determinations made by the Advisory Committee under section 3(d)(5) in the year
covered by the
report.
.
21.Financing for goods
manufactured in the United States used in global textile and apparel supply
chains
(a)Analysis of
textile industry use of bank productsThe Export-Import Bank of the United States
(in this section referred to as the Bank
) shall conduct a study
of the extent to which the products offered by the Bank are available and used
by manufacturers in the United States that export goods manufactured in the
United States used as components in global textile and apparel supply chains.
In conducting the study, the Bank shall examine the following:
(1)Impediments to use of Bank products by such
firms.
(2)The number of jobs in the United States
that are supported by the export of such component parts and the degree to
which access to financing will increase exports.
(3)Specific proposals
for how the Bank, using its authority and products, could provide the
financing, including through risk-sharing with other export credit agencies and
other third parties.
(4)Ways in which the Bank can take into
account the full global textile and apparel supply chain—in particular, the
ultimate purchase, and ultimate United States-based purchaser, of the finished
good, that would result from the supply chain—in making credit and risk
determinations and the creditworthiness of the ultimate purchaser.
(5)Proposals for new
products the Bank could offer to provide the financing, including—
(A)the extent to
which the Bank is authorized to offer new products;
(B)the extent to
which the Bank would need additional authority to offer the new products;
and
(C)specific proposals
for changes in law that would enable the Bank to provide such financing in
compliance with the credit and risk standards of the Bank.
(b)Within
180 days after the date of the enactment of this Act, the Bank shall submit to
the Congress a report that contains the results of the study required by
subsection (a).
(c)Section 8 of the Export-Import Bank Act of 1945 (12
U.S.C. 635g), as amended by sections 6, 10, and 20(b)(2) of this Act, is
amended by adding at the end the following:
(j)Textile and
apparel supply chain financingThe Bank shall include in its annual report
to the Congress under subsection (a) of this section a description of the
success of the Bank in providing effective and reasonably priced financing to
the United States textile and apparel industry for exports of goods
manufactured in the United States that are used as components in global textile
and apparel supply chains in the year covered by the report, and steps the Bank
has taken to increase the use of Bank products by such
firms.
.
22.Section
2(b)(2)(B)(ii) of the Export-Import Bank Act of 1945 (12 U.S.C.
635(b)(2)(B)(ii)) is amended by striking subclauses (I), (IV), and (VII) and by
redesignating subclauses (II), (III), (V), (VI), (VIII), and (IX) as subclauses
(I) through (VI), respectively.
23.Sub-Saharan
Africa Advisory CommitteeSection 2(b)(9)(B)(iii) of the Export-Import
Bank Act of 1945 (12 U.S.C. 635(b)(9)(B)(iii)) is amended by striking
2011
and inserting 2014
.
24.Section 4 of Public
Law 109–438 (12 U.S.C. 635 note; 108 Stat. 4376) is amended by striking
2011
and inserting 2014
.
25.Except as provided in
section 9(b), this Act and the amendments made by this Act shall take effect on
the earlier of June 1, 2012, or the date of the enactment of this Act.
Passed the House of
Representatives May 9, 2012.
Karen L. Haas,
Clerk
May 9, 2012
Received; read twice and placed on the
calendar