[Congressional Record Volume 141, Number 4 (Monday, January 9, 1995)]
[Extensions of Remarks]
[Pages E57-E58]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                   1-800 ``BUY AMERICAN'' LEGISLATION

                                 ______


                      HON. JAMES A. TRAFICANT, JR.

                                of ohio

                    in the house of representatives

                        Monday, January 9, 1995

  Mr. TRAFICANT. Mr. Speaker, I rise today to reintroduce legislation 
to establish a toll-free, 1-800 phone number consumers can call to get 
information on products made in America. Last year I introduced similar 
legislation. Working with Republicans and Democrats on the Energy and 
Commerce Committee, an excellent and workable piece of legislation was 
crated in 1994. The bill was approved by the House last summer on a 
voice vote.
  The legislation I am introducing today is identical to the bill that 
was approved by the Energy and Commerce Committee and reported to the 
House floor.
  The legislation I am introducing today directs the Commerce 
Department to canvass American companies to gauge their interest in 
participating in a ``1-800 Buy American Program.'' After determining 
that there is sufficient interest, the Commerce Department is directed 
to contract out the program to a private company.
  The toll-free number would provide consumers with information on 
products made in this country. Under the bill, an American-made product 
is any product produced or assembled in this country with at least 90 
percent domestic content-the same criteria used by the Federal Trade 
Commission for determining whether or not a product can have a ``Made 
in America'' label placed on it. Only those products with a sale price 
of $250 or more would be included in the program. The bill would 
subject any companies providing false information to Federal penalties.
  One of the key components of my bill is that the program would be 
self-financed through the imposition of a modest annual registration 
fee on participating companies.
  I want to emphasize that my bill 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. Let me reemphasize that 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.
  I urge my colleagues to support the bill and sign on as a cosponsor. 
The text of the bill is as follows:

                                H.R. --

     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 [[Page E58]] 
       (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.

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