[Congressional Record Volume 141, Number 15 (Wednesday, January 25, 1995)]
[Senate]
[Pages S1539-S1542]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
STATEMENTS ON INTRODUCED BILLS AND JOINT RESOLUTIONS
By Mr. BAUCUS:
S. 274. A bill entitled the ``Old Faithful Protection Act of 1995'';
to the Committee on Energy and Natural Resources.
THE OLD FAITHFUL PROTECTION ACT
Mr. BAUCUS. Mr. President, Americans first heard about Yellowstone
National Park back in the 1850's, from an old mountain man by the name
of Jim Bridger.
Bridger told about a place where water ran so quickly it heated the
stream bed through friction. He said steam rose up from the edges.
He told folks about how you could cook a trout without taking it off
the line--just catch the fish in the Firehole River and swing it into
one of the steam cauldrons on the bank.
Folks back then were a little hard pressed to believe Jim Bridger.
But when they saw it for themselves, they were convinced. President
Ulysses S. Grant made it our first national park on March 1, 1872.
Today, millions of Americans have visited Yellowstone to see the
geysers and mudpots and hot springs that make this a unique place. And
I think we all want to make sure we keep it forever.
That is why today, I am introducing the Old Faithful Protection Act
of 1995. This legislation guarantees that Yellowstone--our Nation's
first national park--will remain the marvel that it was, is, and should
always be.
Why am I doing this? Because while Jim Bridger was a great man, he
was no geologist. Yellowstone has geysers, paint pots, and steam
cauldrons not because of fast-running streams, but because of the
geothermal characteristics of the underlying rock formations.
These structures are fragile. In the past, some have been tempted to
tap into them for energy. And when that has happened elsewhere the
geysers have vanished.
A 1991 National Park Service report found that geothermal development
has dried up 7 of the world's 10 major geyser systems. Systems have
disappeared in China, Russia, Chile, and Iceland. Next door in Nevada,
30 geysers were active as recently as 1958. Extensive geothermal
development has dried them all up. They are gone forever.
The same thing could happen in Yellowstone. And as the Park Service
report concludes, ``any risk, no matter how small, to Yellowstone's
geothernal resource is too much risk.''
The Old Faithful Protection Act guarantees complete protection to
Yellowstone's world famous geysers, paint pots, mud volcanoes, and hot
springs.
It forbids geothermal development on Federal lands within
approximately 15 miles of Yellowstone's boundaries.
It lets Montana, Idaho, and Wyoming regulate geothermal development
on State and private lands within this 15-mile buffer zone provided
that each State develops a regulatory program that adequately protects
Yellowstone.
In summary, the Old Faithful Protection Act makes sure that
Yellowstone is protected, private property rights are respected, and
the appropriate role of the States in managing the water resource is
recognized.
We owe it to future generations to preserve Yellowstone so that they
can see the same wondrous sights that Jim Bridger saw 140 years ago.
And we owe it to the many people whose jobs depend on Yellowstone--
guides, small businesses, nearby hotels and more--to keep their
livelihood safe.
And I want to put my colleagues on notice about this bill. Last
Congress, my friend and colleague Congressman Pat Williams brought this
through the House on an overwhelming vote.
Unfortunately, it was held up here in the Senate. I will not let that
happen again. I have written to the chairman of the Energy and Natural
Resources Committee, asking for an immediate hearing and rapid action
on the bill. And if that does not happen, I will
[[Page S1540]] bring this bill to the floor at every opportunity,
because I believe Yellowstone is that important to me and to Montana.
As Teddy Roosevelt said 90 years ago:
There can be nothing in the world more beautiful than the
Yosemite, the groves of giant sequoias and redwoods, the
Canyon of the Colorado, the Yellowstone * * * and our people
should see to it that they are preserved for their children
and their children's children forever, with their majestic
beauty all unmarred.
Yellowstone compares with Yosemite National Park, one of Teddy
Roosevelt's favorites.
Mr. President, no risk to the park is too small to ignore. I consider
this bill a top priority. And I urge my colleagues to give it their
strong support.
Mr. President, I ask unanimous consent that additional material be
printed in the Record.
There being no objection, the material was ordered to be printed in
the Record, as follows:
U.S. Senate,
Washington, DC, January 25, 1995.
Hon. Frank H. Murkowski,
Chairman, Committee on Energy and Natural Resources, Dirksen
Senate Office Building, Washington, DC.
Dear Mr. Chairman: Today I am introducing the ``Old
Faithful Protection Act of 1995.'' This legislation is
intended to protect the hydrothermal systems associated with
Yellowstone National Park, an objective I have long been a
strong advocate of. I have gone to great lengths to tailor
this legislation so that it protects Yellowstone, while
respecting private property rights and the important role of
states in managing their water.
The importance of this legislation to maintaining the
integrity of Yellowstone National Park cannot be understated.
It is my intention to do everything I can to see this bill to
final passage during this Congress, and I would very much
appreciate your assistance. Toward that end, I ask that you
hold a hearing on this legislation at as early a date as
possible.
I look forward to hearing from you in the near future on
this matter.
With best personal regards, I am
Sincerely,
Max Baucus.
____
U.S. Senate,
Washington, DC, January 25, 1995.
Hon. J. Bennett Johnston,
Committee on Energy and Natural Resources, Washington, DC.
Dear Mr. Bennett: Today I am introducing the ``Old Faithful
Protection Act of 1995.'' This legislation is intended to
protect the hydrothermal systems associated with Yellowstone
National Park, an objective I have long been a strong
advocate of. I have gone to great lengths to tailor this
legislation so that it protects Yellowstone, while respecting
private property rights and the important role of states in
managing their water.
The importance of this legislation to maintaining the
integrity of Yellowstone National Park cannot be understated.
It is my intention to do everything I can to see this bill to
final passage during this Congress, and I would very much
appreciate your assistance. Toward that end, I ask that you
hold a hearing on this legislation at as early a date as
possible.
I look forward to hearing from you in the near future on
this matter.
With best personal regards, I am
Sincerely,
Max Baucus.
______
By Mr. D'AMATO:
S. 276. A bill to provide for criminal penalties for defrauding
financial institutions carrying out programs under the Small Business
Act and the Small Business Investment Act of 1958, and for other
purposes; to the Committee on the Judiciary.
the small business financial institution protection act
Mr. D'AMATO. Mr. President, I introduce legislation to address
the problem of bank fraud that is being perpetuated against the U.S.
Small Business Administration [SBA]. The SBA besides specializing in
small business loans also gets heavily involved in loans for disaster
relief areas. Currently there are over 5,000 loans in default with the
SBA. These defaulted loans represent a loss over $1.8 billion to the
SBA and the financial institutions that processed the loans. Since
1990, the SBA has repurchased in excess of $878 million of these
defaulted loans yielding a direct loss to the U.S. Government. The
remaining $300 million lost in this process was incurred by the
federally insured financial institutions that processed the loans. The
SBA guidelines for approving loans are adopted by the financial
institution, these guidelines are clearly deficient. The background
investigation and financial checks for SBA loan approval are basically
nonexistent. The amount of fraud associated with SBA loans is
extraordinary.
In addition to the internal loan approval problems present in the
SBA, there are several problematic areas within the prosecution of
these violations. Currently SBA violations are prosecuted under title
18 USC, section 1001 (False Statements) and section 287 (False,
fictitious or fraudulent claims). Both of these sections are merely 5-
year counts. The U.S. Attorney's offices nationwide, due to the large
caseload, have to prioritize their prosecutions. Five-year violations
are usually declined due to lack of prosecutive merit. Furthermore,
this meager judicial penalty allows for these violations to be cost
effective for the defendants. Most of the SBA defaulted loans are over
$100,000. These violations rarely result in prison terms, therefore
crime truly does pay.
The second problematic area within the prosecution of these
violations is that neither of these sections have asset forfeiture
provisions. Therefore, the SBA must make a business decision to
prosecute or proceed civilly.
My legislation will address all these issues. First, by incorporating
SBA violations under title 18 USC, section 1344--(Bank Fraud)
prosecutive thresholds will be met in virtually all U.S. attorney's
offices. Second, this section will raise the penalties associated with
these violations. This in effect will send the message out that we will
not tolerate abuses against our financial systems of the U.S.
Government. The current penalties for violation of section 1344 impose
a fine of not more than $1 million or imprisonment of not more than 30
years, or both. This increased exposure tells would-be defendants that
crime does not pay. And lastly, section 1344 has asset forfeiture
provisions. This allows both for the return of the illegally gained
proceeds to the Government and the victim financial institutions and
for the prosecution of those involved. As is clearly demonstrated by
the above figures, SBA fraud is already a form of bank fraud in that
federally insured financial institutions share in the losses when SBA
loans are defaulted. The recent indictment in Los Angeles of 16
defendants, highlights the necessity for this change. These defendants
were responsible for approximately $10 million in losses. Just in my
State alone during the last 4 years over $20 million in losses were
incurred by defaulted SBA loans.
Mr. President, I ask unanimous consent that the text of my bill be
printed in the Record.
There being no objection, the bill was ordered to be printed in the
Record, as follows:
S. 276
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Small Business Financial
Institution Protection Act''.
SEC. 2. CRIMINAL PENALTIES.
Section 1344 of title 18, United States Code, is amended--
(1) in paragraph (1), by inserting ``or the Small Business
Administration'' after ``financial institution''; and
(2) in paragraph (2), by inserting ``or the Small Business
Administration'' after ``financial institution,''.
______
By Mr. D'AMATO:
S. 277. A bill to impose comprehensive economic sanctions against
Iran; to the Committee on Banking, Housing, and Urban Affairs.
the comprehensive iran sanctions act of 1995
Mr. D'AMATO. Mr. President, I introduce the Comprehensive Iran
Sanctions Act of 1995. This act will institute a total trade embargo
between the United States and the Islamic Republic of Iran. This
embargo will also include a prohibition on all trade engaged in by a
U.S. national abroad, but exempt all humanitarian supplies.
This legislation is modeled after a provision in the Cuban Democracy
Act, and forbids any United States-owned foreign subsidiary from doing
business with Iran. Moreover, it will end the ability of United States
oil companies to buy Iranian oil and then resell it on the open market.
We must stop subsidizing Iranian terrorism. Our purchase of Iranian oil
does just that. In 1993, oil purchases by United States companies of
Iranian crude oil bought and resold
[[Page S1541]] in foreign markets amounted to $3.5 billion, or 25
percent of all Iranian crude oil sales.
United States companies supply annually over $750 million in exports
to Iran. In the first 6 months after the imposition of the sanctions in
October 1992, $461 million in exports to Iran required G-DEST or
General Destination licenses. Companies using G-DEST licenses do not
submit individual license applications, thereby removing the State and
Defense Departments from the review process. This process makes it
easier to slip dual-use material through the oversight process and for
Iran to continue receiving exports that it can convert for use in its
military and nuclear program. This is exactly what Iraq did during the
1980's and we allowed it to happen. We cannot allow the same mistake to
be repeated.
Iran is arming itself to the teeth, and we are simply ignoring it.
Iran conducted a $12 billion shopping spree for arms in 1990, and is
stockpiling Chinese and North Korean Scud missiles. In 1991, Iran
purchased Chinese nuclear technology and a nuclear reactor. This, in
addition to its ongoing receipt of U.S. dual-use exports, portends a
very dangerous situation.
Iran set forth 2 years ago, an arms budget estimated at over $50
billion for the following 5 years. This should make it clear to all
that Iran aims to build itself into a regional nuclear power intent on
spreading its will by force. We cannot sit back and allow this
bloodthirsty band of terrorists to grow into a monster too big for
anyone to handle.
Moreover, Iran's territorial expansion into North Africa and Central
Asia is seemingly being ignored. Iranian-supported terrorists are
active in Algeria, Tunisia, Morocco, Egypt, Yemen, and in Israel. Iran
is also making serious efforts at spreading its influence into
Afghanistan and Tajikistan. While this may seem tangential, Iran's
spreading influence is indicative of a wider, more dangerous effort,
designed to build an anti-American bloc. This much has even been
alleged, regarding suggestions of some Sudanese role in the bombing of
the World Trade Center.
Iran's actions, speak louder than words and its continued effort at
obtaining weapons of mass destruction, as well as its pursuit of an
Islamic fundamentalist, anti-American bloc, speak volumes about its
intent in the world today.
With Iran's goals in mind, the United States should not be providing
it with the capabilities to build such weapons to fulfill its aims.
Unfortunately, the Commerce Department has found no illegal exports,
but is investigating some potentially suspect cases. I would suggest
that if the administration is sincere about true export control, it
should reexamine its policy vis-a-vis Iran. Over a year ago, Secretary
of State Christopher announced an American intention to isolate Iran,
yet the continued export of dual-use material to this country and the
American purchase of Iranian oil, seems to run counter to this
pronouncement.
If the world community wishes to avoid another Middle Eastern war, we
must join together to take any and all steps necessary to prevent Iran
from its goal of nuclear domination of the Middle East. In 1981, Israel
foresaw the danger in Iraq. In 1995, let us not ignore the danger again
with Iran and miss an opportunity to stop this problem before it gets
too big.
We must sever any remaining trade between the United States and Iran,
to ensure that we do not provide them with anything that will come back
to haunt us. We must take the lead and begin a worldwide effort at
halting all exports to Iran until it sheds its violence and antagonism
towards the West. When Iran agrees to join the rest of the civilized
world, then we can consider lifting sanctions.
I urge my colleagues to join me in cosponsoring this legislation.
Mr. President, I ask unanimous consent that the text of the bill be
printed in the Record.
There being no objection, the bill was ordered to be printed in the
Record, as follows:
S. 277
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Comprehensive Iran Sanctions
Act of 1995''.
SEC. 2. CONGRESSIONAL FINDINGS.
(a) Iran's Violations of Human Rights.--The Congress makes
the following findings with respect to Iran's violations of
human rights:
(1) As cited by the 1991 United Nations Special
Representative on Human Rights, Amnesty International, and
the United States Department of State, the Government of Iran
has conducted assassinations outside of Iran, such as that of
former Prime Minister Shahpour Bakhtiar for which the
Government of France issued arrest warrants for several
Iranian governmental officials.
(2) As cited by the 1991 United Nations Special
Representative on Human Rights and by Amnesty International,
the Government of Iran has conducted revolutionary trials
which do not meet internationally recognized standards of
fairness or justice. These trials have included such
violations as a lack of procedural safeguards, trial times of
5 minutes or less, limited access to defense counsel, forced
confessions, and summary executions.
(3) As cited by the 1991 United Nations Special
Representative on Human Rights, the Government of Iran
systematically represses its Baha'i population. Persecutions
of this small religious community include assassinations,
arbitrary arrests, electoral prohibitions, and denial of
applications for documents such as passports.
(4) As cited by the 1991 United Nations Special
Representative on Human Rights, the Government of Iran
suppresses opposition to its government. Political
organizations such as the Freedom Movement are banned from
parliamentary elections, have their telephones tapped and
their mail opened, and are systematically harassed and
intimidated.
(5) As cited by the 1991 United Nations Special
Representative on Human Rights and Amnesty International, the
Government of Iran has failed to recognize the importance of
international human rights. This includes suppression of
Iranian human rights movements such as the Freedom Movement,
lack of cooperation with international human rights
organizations such as the International Red Cross, and an
overall apathy toward human rights in general. This lack of
concern prompted the Special Representative to state in his
report that Iran had made ``no appreciable progress towards
improved compliance with human rights in accordance with the
current international instruments''.
(6) As cited by Amnesty International, the Government of
Iran continues to torture its political prisoners. Torture
methods include burns, arbitrary blows, severe beatings, and
positions inducing pain.
(b) Iran's Acts of International Terrorism.--The Congress
makes the following findings, based on the records of the
Department of State, with respect to Iran's acts of
international terrorism:
(1) As cited by the Department of State, the Government of
Iran was the greatest supporter of state terrorism in 1992,
supporting over 20 terrorist acts, including the bombing of
the Israeli Embassy in Buenos Aires that killed 29 people.
(2) As cited by the Department of State, the Government of
Iran is a sponsor of radical religious groups that have used
terrorism as a tool. These include such groups as Hezballah,
HAMAS, the Turkish Islamic Jihad, and the Popular Front for
the Liberation of Palestine-General Command (PFLP-GC).
(3) As cited by the Department of State, the Government of
Iran has resorted to international terrorism as a means of
obtaining political gain. These actions have included not
only the assassination of former Prime Minister Bakhitiar,
but the death sentence imposed on Salman Rushdie, and the
assassination of the leader of the Kurdish Democratic Party
of Iran.
(4) As cited by the Department of State and the Vice
President's Task Force on Combatting Terrorism, the
Government of Iran has long been a proponent of terrorist
actions against the United States, beginning with the
takeover of the United States Embassy in Tehran in 1979.
Iranian support of extremist groups have led to the following
attacks upon the United States as well:
(A) The car bomb attack on the United States Embassy in
Beirut killing 49 in 1983 by the Hezballah.
(B) The car bomb attack on the United States Marine
Barracks in Beirut killing 241 in 1983 by the Hezballah.
(C) The assassination of American University President in
1984 by the Hezballah.
(D) The kidnapping of all American hostages in Lebanon from
1984-1986 by the Hezballah.
SEC. 3. TRADE EMBARGO.
(a) In General.--Except as provided in subsection (c),
effective on the date of enactment of this Act, a total trade
embargo shall be in force between the United States and Iran.
(b) Covered Transactions.--As part of such embargo the
following transactions are prohibited:
(1) Any transaction in the currency exchange of Iran.
(2) The transfer of credit or payments between, by,
through, or to any banking institution, to the extent that
such transfers or payments involve any interest of Iran or a
national thereof.
(3) The importing from, or exporting to, Iran of currency
or securities.
(4) Any acquisition, holding, withholding, use, transfer,
withdrawal, transportation,
[[Page S1542]] importation or exportation of, or dealing in,
or exercising any right, power, or privilege with respect to,
or any transaction involving, any property in which Iran or
any national thereof has any interest; by any person, or with
respect to any property, subject to the jurisdiction of the
United States.
(5) The licensing for export to Iran, or for export to any
other country for reexport to Iran, by any person subject to
the jurisdiction of the United States of any item or
technology controlled under the Export Administration Act of
1979, the Arms Export Control Act, or the Atomic Energy Act
of 1954.
(6) The importation into the United States of any good or
service which is, in whole or in part, grown, produced,
manufactured, extracted, or processed in Iran.
(c) Extraterritorial Application.--In addition to the
transactions described in subsection (b), the trade embargo
imposed by this Act prohibits any transaction described in
paragraphs (1) through (4) of that subsection when engaged in
by a United States national abroad.
(d) Exceptions.--This section shall not apply to any
transaction involving the furnishing, for humanitarian
purposes, of food, clothing, medicine, or medical supplies,
instruments, or equipment to Iran or to any national thereof.
(e) Penalties.--Any person who violates this section or any
license, order, or regulation issued under this section shall
be subject to the same penalties as are applicable under
section 206 of the International Emergency Economic Powers
Act (50 U.S.C. 1705) to violations of licenses, orders, or
regulations under that Act.
(f) Application to Existing Law.--This section shall apply
notwithstanding any other provision of law or international
agreement.
SEC. 4. OPPOSITION TO MULTILATERAL ASSISTANCE.
(a) International Financial Institutions.--(1) The
Secretary of the Treasury shall instruct the United States
executive director of each international financial
institution described in paragraph (2) to oppose and vote
against any extension of credit or other financial assistance
by that institution to Iran.
(2) The international financial institutions referred to in
paragraph (1) are the International Bank for Reconstruction
and Development, the International Development Association,
the Asian Development Bank, and the International Monetary
Fund.
(b) United Nations.--It is the sense of the Congress that
the United States Permanent Representative to the United
Nations should oppose and vote against the provision of any
assistance by the United Nations or any of its specialized
agencies to Iran.
SEC. 5. WAIVER AUTHORITY.
The provisions of sections 3 and 4 shall not apply if the
President determines and certifies to the appropriate
congressional committees that Iran--
(1) has substantially improved its adherence to
internationally recognized standards of human rights;
(2) has ceased its efforts to acquire a nuclear explosive
device; and
(3) has ceased support for acts of international terrorism.
SEC. 6. REPORT REQUIRED.
Beginning 60 days after the date of enactment of this Act,
and every 90 days thereafter, the President shall submit to
the appropriate congressional committees a report
describing--
(1) the nuclear and other military capabilities of Iran;
and
(2) the support, if any, provided by Iran for acts of
international terrorism.
SEC. 7. DEFINITIONS.
For purposes of this Act--
(1) the term ``act of international terrorism'' means an
act--
(A) which is violent or dangerous to human life and that is
a violation of the criminal laws of the United States or of
any State or that would be a criminal violation if committed
within the jurisdiction of the United States or any State;
and
(B) which appears to be intended--
(i) to intimidate or coerce a civilian population;
(ii) to influence the policy of a government by
intimidation or coercion; or
(iii) to affect the conduct of a government by
assassination or kidnapping.
(2) the term ``appropriate congressional committees'' means
the Committee on Foreign Relations of the Senate and the
Committee on International Relations of the House of
Representatives;
(3) the term ``Iran'' includes any agency or
instrumentality of Iran;
(4) the term ``United States'' means the several States,
the District of Columbia, the Commonwealth of Puerto Rico,
the Commonwealth of the Northern Mariana Islands, American
Samoa, Guam, the Virgin Islands, and any other territory or
possession of the United States; and
(5) the term ``United States national'' means--
(A) a natural person who is a citizen of the United States
or who owes permanent allegiance to the United States;
(B) a corporation or other legal entity which is organized
under the laws of the United States, any State or territory
thereof, or the District of Columbia, if natural persons who
are nationals of the United States own, directly or
indirectly, more than 50 percent of the outstanding capital
stock or other beneficial interest in such legal entity; and
(C) any foreign subsidiary of a corporation or other legal
entity described in subparagraph (B).
____________________