[Congressional Record Volume 140, Number 143 (Wednesday, October 5, 1994)]
[Senate]
[Page S]
From the Congressional Record Online through the Government Printing Office [www.gpo.gov]


[Congressional Record: October 5, 1994]
From the Congressional Record Online via GPO Access [wais.access.gpo.gov]

 
        LEGISLATION FOR THE EXPORT OF NONLETHAL DEFENSE ARTICLES

  Mr. FORD. Mr. President, I ask unanimous consent that the Senate 
proceeded to the immediate consideration of Calendar No. 554, H.R. 
4455, a bill to authorize the Export-Import Bank to provide financing 
for the export of nonlethal defense articles.
  The PRESIDING OFFICER. Without objection, it is so ordered.
  The clerk will state the bill by title.
  The legislative clerk read as follows:

       A bill (H.R. 4455) to authorize the Export-Import Bank of 
     the United States to provide financing for export of 
     nonlethal defense articles and defense services the primary 
     end use of which will be for civilian purposes.

  The PRESIDING OFFICER. Is there objection to the immediate 
consideration of the bill?
  There being no objection, the Senate proceeded to consider the bill.


                           amendment no. 2616

                 (Purpose: To provide for a substitute)

  Mr. CRAIG. Mr. President, I send an amendment to the desk and ask for 
its immediate consideration.
  The PRESIDING OFFICER. The clerk will report.
  The legislative clerk read as follows:

       The Senator from Idaho [Mr. Craig], for Mr. D'Amato, 
     proposes an amendment numbered 2616.

  Mr. CRAIG. Mr. President, I ask unanimous consent that reading of the 
amendment be dispensed with.
  The PRESIDING OFFICER. Without objection, it is so ordered.
  The amendment is as follows:

       Strike all after the enacting clause and insert the 
     following:

     SECTION 1. AUTHORITY TO PROVIDE FINANCING FOR THE EXPORT OF 
                   NONLETHAL DEFENSE ARTICLES OR SERVICES THE 
                   PRIMARY END USE OF WHICH WILL BE FOR CIVILIAN 
                   PURPOSES.

       (a) In General.--Section 2(b)(6) of the Export-Import Bank 
     Act of 1945 (12 U.S.C. 635(b)(6)) is amended by adding at the 
     end the following:
       ``(I)(i) Subparagraph (A) shall not apply to a transaction 
     involving defense articles or services if--
       ``(I) the Bank determines that--
       ``(aa) the defense articles or services are nonlethal; and
       ``(bb) the primary end use of the defense articles or 
     services will be for civilian purposes; and
       ``(II) at least 15 calendar days before the date on which 
     the Board of Directors of the Bank gives final approval to 
     Bank participation in the transaction, the Bank provides 
     notice of the transaction to the Committees on Banking, 
     Finance ad Urban Affairs and on Appropriations of the House 
     of Representatives and the Committees on Banking, Housing, 
     and Urban Affairs and on Appropriations of the Senate.
       ``(ii) Not more than 10 percent of the loan, guarantee, and 
     insurance authority available to the Bank for a fiscal year 
     may be used by the Bank to support the sale of defense 
     articles or services to which subparagraph (A) does not apply 
     by reason of clause (i) of this subparagraph.
       ``(iii) Not later than September 1 of each fiscal year, the 
     Comptroller General of the United States, in consultation 
     with the Bank, shall submit to the Committees on Banking, 
     Finance and Urban Affairs and on Appropriations of the House 
     of Representatives and the Committees on Banking, Housing, 
     and Urban Affairs and on Appropriations of the Senate a 
     report on the end uses of any defense articles or services 
     described in clause (i) with respect to which the Bank 
     provided support during the second preceding fiscal year.''.
       (b) Report to the Congress.--Section 2(b)(6)(H) of the 
     Export-Import Bank Act of 1945 (12 U.S.C. 635(b)(6)(H)) is 
     amended by inserting ``or described in subparagraph (I)(i)'' 
     before the period at the end of the first sentence.
       ``(c) Period of Effectiveness.--The amendments made by this 
     section shall remain in effect during the period beginning on 
     the date of enactment of this Act and ending on September 30, 
     1997.

     SEC. 2. PROMOTION OF EXPORTS OF ENVIRONMENTALLY BENEFICIAL 
                   GOODS AND SERVICES.

       ``(a) In General.--The first section 11(b) of the Export-
     Import Bank Act of 1945 (12 U.S.C. 635i-5(b)) is amended--
       ``(1) by inserting before ``The Bank shall'' the following:
       ``(1) In general.--'';
       (2) in the first sentence, by inserting before the period 
     ``(such as exports of products and services used to aid in 
     the monitoring, abatement, control, or prevention of air, 
     water, and ground contaminants or pollution, or which provide 
     protection in the handling of toxic substances, subject to a 
     final determination by the Bank, and products and services 
     for foreign environmental projects dedicated entirely to the 
     prevention, control, or cleanup of air, water, or ground 
     pollution, including facilities to provide for control or 
     cleanup, and used in the retrofitting of facility equipment 
     for the sole purpose of mitigating, controlling, or 
     preventing adverse environmental effects, subject to a final 
     determination by the Bank)''; and
       (3) by adding at the end the following:
       ``(2) Limitations on authorization of appropriations.--In 
     addition to other funds available to support the export of 
     goods and services described in paragraph (1), there are 
     authorized to be appropriated to the Bank not more than 
     $35,000,000 for the cost (as defined in section 502(5) of the 
     Federal Credit Reform Act of 1990) of supporting such 
     exports. If, in any fiscal year, the funds appropriated in 
     accordance with this paragraph are not fully utilized due to 
     insufficient qualified transactions for the export of such 
     goods and services, such funds may be expended for other 
     purposes eligible for support by the Bank.''.
       ``(b) Technical Correction.--The Export-Import Bank Act of 
     1945 (12 U.S.C. 635 et seq.) is amended by redesignating the 
     second section 11 (12 U.S.C. 635i-8) as section 14.

  Mr. D'AMATO. Mr. President, I rise today in support of H.R. 4455 
which would authorize the Export-Import Bank to provide financing for 
the export of nonlethal defense articles and defense services for which 
the primary end use will be civilian purposes. The Export-Import Bank's 
jurisdiction should be expanded in this limited way, in order to 
maintain the U.S. defense industrial base which is so crucial to 
America's well being. I introduced S. 2289, the Senate counterpart.
  The defense budget has been cut substantially. This has made it 
necessary to find alternative ways to keep the defense industry strong. 
Developing dual-use technologies--technologies that may be used for 
both civilian and military purposes--is one way. The Export-Import Bank 
is presently restricted from participating in any defense-related 
transactions.
  The Bank's financing is important to promote trade opportunities, 
especially to developing third-world countries who are in need of these 
items such as air traffic control radars. The Export-Import Bank should 
be authorized to help finance dual-use products when the primary end 
use is civilian. This would create jobs badly needed in New York and 
throughout the entire country. This legislation would especially assist 
small businesses in the defense industry through the increased export 
opportunities.
  This legislation passed in the House contains amendments regarding 
environmental products and services. Ken Brody, president and chairman 
of the Export-Import Bank, has argued against these amendments. Through 
the spirit of compromise, an agreement has been reached with the House. 
We intend to offer that compromise as an amendment to the House passed 
bill. The compromise helps promote environmental exports while not 
putting other exporters at a disadvantage. The House is prepared to 
accept and send the bill to the President for his signature. I urge my 
colleagues to support this legislation that will benefit the whole 
country.
  The PRESIDING OFFICER. Is there further debate?
  If not, the question is on agreeing to the amendment.
  The amendment (No. 2616) was agreed to.
  Mr. CRAIG. Mr. President, I move to reconsider the vote.
  Mr. FORD. I move to lay that motion on the table.
  The motion to lay on the table was agreed to.
  The PRESIDING OFFICER. If there are no further amendment, the bill 
will be deemed read the third time and passed.
  So the bill (H.R. 4455), as amended, was deemed read the third time, 
and passed.
  Mr. FORD. Mr. President, I move to reconsider the vote.
  Mr. CRAIG. I move to lay that motion on the table.
  The motion to lay on the table was agreed to.

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