[Congressional Record Volume 140, Number 108 (Monday, August 8, 1994)]
[House]
[Page H]
From the Congressional Record Online through the Government Printing Office [www.gpo.gov]


[Congressional Record: August 8, 1994]
From the Congressional Record Online via GPO Access [wais.access.gpo.gov]

 
                  ``MADE IN AMERICA'' TOLL-FREE NUMBER

  Mrs. COLLINS of Illinois. Madam Speaker, I move to suspend the rules 
and pass the bill (H.R. 3342) to establish a toll-free number in the 
Department of Commerce to assist consumers in determining if products 
are American-made, as amended.
  The Clerk read as follows:

                               H.R. 3342

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. ESTABLISHMENT OF TOLL FREE NUMBER PILOT PROGRAM.

       (a) Establishment.--If the Secretary of Commerce 
     determines, on the basis of comments submitted in rulemaking 
     under section 2, that--
       (1) interest among manufacturers is sufficient to warrant 
     the establishment of a 3-year toll free number pilot program, 
     and
       (2) manufacturers will provide fees under section 2(c) so 
     that the program will operate without cost to the Federal 
     Government,

     the Secretary shall establish such program solely to help 
     inform consumers whether a product is made in America or the 
     equivalent thereof. The Secretary shall publish the toll-free 
     number by notice in the Federal Register.
       (b) Contract.--The Secretary of Commerce shall enter into a 
     contract for--
       (1) the establishment and operation of the toll free number 
     pilot program provided for in subsection (a), and
       (2) the registration of products pursuant to regulations 
     issued under section 2,
     which shall be funded entirely from fees collected under 
     section 2(c).
       (c) Use.--The toll free number shall be used solely to 
     inform consumers as to whether products are registered under 
     section 2 as made in America or the equivalent thereof. 
     Consumers shall also be informed that registration of a 
     product does not mean--
       (1) that the product is endorsed or approved by the 
     Government,
       (2) that the Secretary has conducted any investigation to 
     confirm that the product is a product which meets the 
     definition of made in America or the equivalent thereof, or
       (3) that the product contains 100 percent United States 
     content.

     SEC. 2. REGISTRATION.

       (a) Proposed Regulation.--The Secretary of Commerce shall 
     propose a regulation--
       (1) to establish a procedure under which the manufacturer 
     of a product may voluntarily register such product as 
     complying with the definition of a product made in America or 
     the equivalent thereof and have such product included in the 
     information available through the toll free number 
     established under section 1(a);
       (2) to establish, assess, and collect a fee to cover all 
     the costs (including start-up costs) of registering products 
     and including registered products in information provided 
     under the toll-free number;
       (3) for the establishment under section 1(a) of the toll-
     free number pilot program; and
       (4) to solicit views from the private sector concerning the 
     level of interest of manufacturers in registering products 
     under the terms and conditions of paragraph (1).
       (b) Promulgation.--If the Secretary determines based on the 
     comments on the regulation proposed under subsection (a) that 
     the toll-free number pilot program and the registration of 
     products is warranted, the Secretary shall promulgate such 
     regulations
       (c) Registration Fee.--
       (1) In general.--Manufacturers of products included in 
     information provided under section 1 shall be subject to a 
     fee imposed by the Secretary of Commerce to pay the cost of 
     registering products and including them in information 
     provided under subsection (a).
       (2) Amount.--The amount of fees imposed under paragraph (1) 
     shall--
       (A) in the case of a manufacturer, not be greater than the 
     cost of registering the manufacturer's product and providing 
     product information directly attributable to such 
     manufacturer, and
       (B) in the case of the total amount of fees, not be greater 
     than the total amount appropriated to the Secretary of 
     Commerce for salaries and expenses directly attributable to 
     registration of manufacturers and having products included in 
     the information provided under section 1(a).
       (3) Crediting and availability of fees.--
       (A) In general.--Fees collected for a fiscal year pursuant 
     to paragraph (1) shall be credited to the appropriation 
     account for salaries and expenses of the Secretary of 
     Commerce and shall be available in accordance with 
     appropriation Acts until expended without fiscal year 
     limitation.
       (B) Collections and appropriation acts.--The fees imposed 
     under paragraph (1)--
       (i) shall be collected in each fiscal year in an amount 
     equal to the amount specified in appropriation Acts for such 
     fiscal year, and
       (ii) shall only be collected and available for the costs 
     described in paragraph (2).

     SEC. 3. PENALTY.

       Any manufacturer of a product who knowingly registers a 
     product under section 2 which is not made in America or the 
     equivalent thereof--
       (1) shall be subject to a civil penalty of not more than 
     $7500 which the Secretary of Commerce may assess and collect, 
     and
       (2) shall not offer such product for purchase by the 
     Federal Government.

     SEC. 4. DEFINITION.

       For purposes of this Act:
       (1) The term ``made in America or the equivalent thereof'' 
     means--
       (A) an unmanufactured end product mined or produced in the 
     United States; or
       (B) an end product manufactured in the United States if the 
     value of its components mined, produced, or manufactured in 
     the United States equals 90 percent or more of the total 
     value of all of its components.
       (2) The term ``product'' means a product with a retail 
     value of at least $250.

     SEC. 5. RULE OF CONSTRUCTION.

       Nothing in this Act or in any regulation promulgated under 
     section 2 shall be construed to alter, amend, modify, or 
     otherwise affect in any way, the Federal Trade Commission Act 
     or the opinions, decisions, and rules of the Federal Trade 
     Commission under such Act regarding the use of the term 
     ``made in America or the equivalent thereof'' in labels on 
     products introduced, delivered for introduction, sold, 
     advertised, or offered for sale in commerce.

  The SPEAKER pro tempore (Ms. Schenk). Pursuant to the rule, the 
gentlewoman from Illinois [Mrs. Collins] will be recognized for 20 
minutes, and the gentleman from Pennsylvania [Mr. Greenwood] will be 
recognized for 20 minutes.
  The Chair recognizes the gentlewoman from Illinois [Mrs. Collins].
  Mrs. COLLINS of Illinois. Madam Speaker, I yield myself such time as 
I may consume.
  Madam Speaker, the American public is confused, and understandably 
so, about what the claim that a product is ``Made in America'' actually 
means. Their confusion is not only leading them to make consumer 
choices they may otherwise not make, it is costing American workers 
badly needed manufacturing jobs.
  We have all heard reports of products being imported and then 
repackaged in boxes that say ``Made in America'', with virtually no 
work being done here. Manufacturers have used emblems and slogans to 
give the impression that products are made in our country, by American 
workers, when, in fact, nearly as many parts are imported from abroad 
as produced here.
  Foreign car manufacturers operating in the United States would have 
the American public believe that the cars they make are American 
products; yet, the U.S. content is not sufficiently high for a single 
one of their cars to qualify as a domestically produced U.S. 
automobile.
  The Federal Trade Commission says that a 100 percent of a product 
should be made in America, if the product is to be labeled ``Made in 
America.'' The problem is that the Commission does not rigorously 
enforce this standard. In effect, manufacturers face little restriction 
is using ``Made in America'' labels and slogans, even when a large part 
of the product is foreign, not U.S. content.
  The American consumer clearly has a different view than many 
manufacturers about what ``Made in America'' means. According to 
surveys done by the Federal Trade Commission, consumers believe that 
products which are labeled ``Made in America'' should be mostly, if not 
entirely, made from U.S. materials and components. In addition to 
materials and components, I would personally like to also believe that 
such products were manufactured by American workers.
  The bill we are considering today will give U.S. consumers the 
ability to actually find out if, what should be true about claims that 
products are ``Made in America,'' is, in fact, TRUE.
  The Congressional Reference Division of the Library of Congress says 
that it receives, and I quote,

       Many request for lists of American-made products or for 
     assistance in determining whether specific products are 
     American made. We know of no Government agency which collects 
     and publishes this information.

  The bill we are considering would provide consumers with information 
about American-made products that the Library of Congress says does not 
now exist. Under the provisions of this bill, consumers will be able to 
get information about products that are made in America through the 
operation of a 1-800 telephone service that will be entirely funded by 
fees collected from manufacturers.
  No Federal funds would be needed to establish and operate this 
program; it would be entirely funded by fees collected from 
manufactures who register their products. The bill also provides that 
the operation of this program be contracted out so that federal 
employees will not be needed to administer this program.
  All products having a retail value of at least $250 and a U.S. 
content of 90 percent or more would be eligible to be registered under 
this program.
  Madam Speaker, this legislation has broad bipartisan support. The 
compromise we have before us today has been agreed to by both the 
majority and minority members of our committee. I want to thank Mr. 
Dingell, chairman of the Committee on Energy and Commerce for his help; 
as well, I would like to thank my colleague on the committee, Mr. 
Sherrod Brown, for his assistance in getting the bill through the 
committee.
  I also want to thank the ranking minority member of the committee, 
Mr. Moorhead, and in particular, the ranking minority member of the 
Subcommittee on Commerce, Consumer Protection and Competitiveness, Mr. 
Stearns and Mr. Greenwood for their significant help and support. 
Without the cooperation and willingness of the bill's sponsor, Mr. 
Traficant, to make needed changes, the broad consensus of support we 
now have for this legislation would not have been possible.
  Madam Speaker, in conclusion I believe there is a real need for the 
program this legislation would establish. Consumers want and should 
have better information about products that are labeled ``Made in 
America.'' At the same time, the bill would require no direct Federal 
spending. I urge my colleagues to support this legislation.

                              {time}  1450

  Madam Speaker, I reserve the balance of my time.
  Mr. GREENWOOD. Madam Speaker, I yield myself such time as I may 
consume.
  (Mr. GREENWOOD asked and was given permission to revise and extend 
his remarks.)
  Mr. GREENWOOD. Madam Speaker, I rise in support of H.R. 3342. This 
legislation, which was introduced by the gentleman from Ohio [Mr. 
Traficant], would authorize the Commerce Department, working with U.S. 
manufacturers, to establish a toll-free telephone number to provide 
consumers with information on American-made products.
  In an effort to limit the cost to U.S. taxpayers and unnecessary 
Government involvement, the Subcommittee on Commerce, Consumer 
Protection, and Competitiveness unanimously approved an amendment in 
the nature of a substitute that made several important changes to this 
legislation.
  This bill, as amended, provides a joint private-Federal partnership 
to promote products made in the United States. It does so without cost 
to American taxpayers or creation of additional Government bureaucracy. 
The establishment of this toll-free number will be a useful tool for 
consumers who truly want to buy American-made products, and will assist 
our domestic manufacturing industry in marketing their goods.
  Under the legislation reported by the subcommittee and the full 
Energy and Commerce Committee, the Secretary of Commerce would 
determine whether there is sufficient interest in establishing a 1-800 
number for consumers to call to find where they may purchase Amereican-
made products. If sufficient interest is found, the manufacturers who 
wish to have their products registered with the toll-free number would 
bear the cost of running the program.
  Madam Speaker, I commend Mr. Traficant for his tireless efforts to 
promote American-made products. Given the chance, I believe most 
Americans prefer to purchase American-made goods.
  I also would like to commend Mrs. Collins, Mr. Stearns and Mr. 
Moorhead for their leadership in securing the unanimous support of the 
Committee on Energy and Commerce for this bill.
  I urge my colleagues to support this legislation.
  Madam Speaker, I reserve the balance of my time.
  Mrs. COLLINS of Illinois. Madam Speaker, I yield 5 minutes to the 
gentleman from Ohio [Mr. Traficant], the author of this legislation.
  (Mr. TRAFICANT asked and was given permission to revise and extend 
his remarks.)
  Mr. TRAFICANT. Madam Speaker, I thank the gentlewoman from Illinois 
[Mrs. Collins] for yielding this time to me.
  I want to start out by commending the chairwoman, the gentlewoman 
from Illinois [Mrs. Collins]. Without her help, it would not have 
happened. Without her help, the amendment on fraudulent labeling in the 
crime bill, which is now in conference, would not have happened. I want 
to thank her very much.
  I want to thank the gentleman from Florida [Mr. Stearns], the 
gentleman from Pennsylvania [Mr. Greenwood], for the tremendous job 
they have done in helping to fashion some of the compromises necessary, 
from the original intent of the bill.
  The gentleman from California [Mr. Moorhead] and the gentleman from 
Michigan [Mr. Dingell]--I think everybody knows nothing comes out of 
that committee without their close review.
  I think that is good.
  I thank the gentleman from Ohio [Mr. Brown], for taking an interest 
in this legislation as well.
  Very simply, this legislation says, ``Look, we can't tell people what 
to buy, but I think the American people should be able to find out what 
is made in our country.''
  Now, I believe the Department of Commerce stands for the promotion of 
commerce, not for a lot of other technicalities that we are embroiled 
in. I think the American people will buy, as the gentleman from 
Pennsylvania [Mr. Greenwood] said, will buy American. They do not know 
at times what is made in America.
  So as you can see, I have tried to address those issues, and the 
amendment in the crime bill, as I understand it, is still in there; it 
says, ``Look, if it is made by some Chinese laborer in a prison camp, 
don't put a `made in America' label on it.'' But if an American citizen 
is going to buy a refrigerator, they should be able to find out what is 
made in America, what models.
  Now, we cannot mandate that that happens, but this legislation would 
create a mechanism whereby a consumer in Peoria, IL, could call and 
find out what models of refrigerators are still made in this country.
  And with the tailoring and help of the committee, the committee has 
said, ``Look, I think maybe there is another way to go about it and do 
it that is even more effective.'' There is now a cost factor that is 
not on the Federal Government list but if those manufacturers want to 
have their products listed and if they are made in America, they should 
be proud to list their products. I think there is a growing awareness 
in America where people want to buy American products and they are 
willing to buy American-made products.
  But they have been deceived. We have not enforced that. More so than 
that, I think we cannot force people what to buy, but we can make sure 
and insure they know what is available for them to purchase.
  Madam Speaker, it is a very simple piece of legislation. I think it 
has an awful lot of common sense in it. I think we can have the same 
type of common sense that has taken place in the House occur in the 
other body, if that is completely possible, I don't know if that is 
completely possible. I do not know.
  Then, again, I want to thank the fine gentlewoman from Illinois, Mrs. 
Collins, for her efforts, Mr. Greenwood, Mr. Stearns, and everybody 
associated with this legislation. I think it is a good bill. I need 
your help now to try to get it on some vehicle if the other body does 
not deal with it. I appreciate the fact that it has been passed and has 
given us this opportunity.
  I think it is good for the country and I want to thank you again.
  Madam. Speaker, as the author of H.R. 3342, on behalf of the bill's 
234 cosponsors, I rise in strong support of the bill.
  I want to thank and commend the distinguished gentleman from 
Michigan, the chairman of the Energy and Commerce Committee, John 
Dingell, for acting so expeditiously on this legislation.
  I also want to thank the gentleman from California, the ranking 
minority member of the committee, Mr. Moorhead, for his cooperation and 
support.
  I especially want to thank the hard working and distinguished 
gentlelady from Illinois, the chairperson of the Subcommittee on 
Commerce, Consumer Protection and Competitiveness, Cardiss Collins.
  I want to thank Chair Collins and her excellent staff, and the 
gentleman from Florida, the ranking minority member of the 
subcommittee, Mr. Stearns, for working closely with me and my staff on 
improving the bill and moving it forward.
  I support the changes in the bill that Mrs. Collins made in the form 
of a substitute amendment approved during subcommittee markup. In fact, 
I recommended most of these changes in my testimony before her 
subcommittee earlier this year.
  I think it is important to note that the Department of Commerce did 
not support my original bill. Shortly after introducing the bill I 
wrote to the Commerce Department to solicit their comments and 
suggestions to improve the bill.
  The Commerce Department never even gave me the courtesy of the 
response, despite the fact that the bill had 234 cosponsors.
  Nevertheless, after listening to the Commerce Department's concerns, 
I worked with the subcommittee and we addressed all of their concerns. 
The bill before us today is an excellent piece of legislation.
  As originally introduced, H.R. 3342 directed the Commerce Department 
to establish a toll-free number consumers could call to get information 
on products made in this country.
  The bill also directs the Commerce Department to publicize the number 
and to develop a registration system for American companies to have 
their products included in the program.
  The bill would subject any companies providing false information to 
Federal penalties.
  In response to recommendations I made during my testimony before the 
subcommittee and in response to concerns raised by the Commerce 
Department, the subcommittee made several changes to the bill.
  The major change is to have the Commerce Department contract the 
program out and have the program be self-financed through the 
imposition of a modest annual registration fee.
  Another change in the bill directs the Commerce Department to canvass 
American companies to determine the level of interest in the program 
and to determine what the annual registration fee would be.
  I want to emphasize that the bill before us to today will not require 
the Commerce Department to hire more people or create a new unit.
  The only expense to the department would be to prepare language for 
the Federal Register and to prepare bid documents.
  The program will be contracted out and run by a private company.
  All the program would do is provide American consumers with 
information on what products are made in America.
  When making a big purchase, most Americans want to buy American. This 
program will help them make an informed--and hopefully patriotic--
decision.
  Once again, I thank the gentlelady from Illinois and the gentleman 
from Florida for their cooperation and support.
  I urge my colleagues to support the bill.
  Mr. GREENWOOD. Madam Speaker, we have no further requests for time, 
and I yield back the balance of my time.
  Mrs. COLLINS of Illinois. Madam Speaker, we have no further requests 
for time, and I yield back the balance of our time.
  The SPEAKER pro tempore (Ms. Schenk). The question is on the motion 
offered by the gentlewoman from Illinois [Mrs. Collins] that the House 
suspend the rules and pass the bill, H.R. 3342, as amended.
  The question was taken; and (two-thirds having voted in favor 
thereof) the rules were suspended and the bill, as amended, was passed.
  A motion to reconsider was laid on the table.

                          ____________________