[Congressional Record Volume 142, Number 80 (Tuesday, June 4, 1996)]
[House]
[Pages H5789-H5792]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




         OFFICE OF GOVERNMENT ETHICS AUTHORIZATION ACT OF 1996

  Mr. CANADY of Florida. Mr. Speaker, I move to suspend the rules and 
pass the bill (H.R. 3235) to amend the Ethics in Government Act of 
1978, to extend the authorization of appropriations for the Office of 
Government Ethics for 3 years, and for other purposes.
  The Clerk read as follows:

                               H.R. 3235

       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 ``Office of Government Ethics 
     Authorization Act of 1996''.

     SEC. 2. GIFT ACCEPTANCE AUTHORITY.

       Section 403 of the Ethics in Government Act of 1978 (5 
     U.S.C. App. 5) is amended--
       (1) by inserting ``(a)'' before ``Upon the request''; and
       (2) by adding at the end the following:
       ``(b)(1) The Director is authorized to accept and utilize 
     on behalf of the United States, any gift, donation, bequest, 
     or devise of money, use of facilities, personal property, or 
     services for the purpose of aiding or facilitating the work 
     of the Office of Government Ethics.
       ``(2) No gift may be accepted--
       ``(A) that attaches conditions inconsistent with applicable 
     laws or regulations; or
       ``(B) that is conditioned upon or will require the 
     expenditure of appropriated funds that are not available to 
     the Office of Government Ethics.
       ``(3) The Director shall establish written rules setting 
     forth the criteria to be used in determining whether the 
     acceptance of contributions of money, services, use of 
     facilities, or personal property under this subsection would 
     reflect unfavorably upon the ability of the Office of 
     Government Ethics, or any employee of such Office, to carry 
     out its responsibilities or official duties in a fair and 
     objective manner, or would compromise the integrity or the 
     appearance of the integrity of its programs or any official 
     involved in those programs.''.

     SEC. 3. EXTENSION OF AUTHORIZATION OF APPROPRIATIONS.

       The text of section 405 of the Ethics in Government Act of 
     1978 (5 U.S.C. App. 5) is amended to read as follows: ``There 
     are authorized to be appropriated to carry out this title 
     such sums as may be necessary for each of fiscal years 1997 
     through 1999.''.

     SEC. 4. REPEAL AND CONFORMING AMENDMENTS.

       (a) Repeal of Display Requirement.--The Act entitled ``An 
     Act to provide for the display of the Code of Ethics for 
     Government Service,'' approved July 3, 1980 (5 U.S.C. 7301 
     note), is repealed.
       (b) Conforming Amendments.--
       (1) FDIA.--Section 12(f)(3) of the Federal Deposit 
     Insurance Act (12 U.S.C. 1822(f)(3)) is amended by striking 
     ``, with the concurrence of the Office of Government 
     Ethics,''.
       (2) Ethics in government act of 1978.--(A) The heading for 
     section 401 of the Ethics in Government Act of 1978 is 
     amended to read as follows: ``establishment; appointment of 
     director''.
       (B) Section 408 of such Act is amended by striking ``March 
     31'' and inserting ``April 30''.

     SEC. 5. LIMITATION ON POSTEMPLOYMENT RESTRICTIONS.

       Section 207(j) of title 18, United States Code, is amended 
     by adding at the end the following new paragraph:
       ``(7) Political parties and campaign committees.--(A) 
     Except as provided in subparagraph (B), the restrictions 
     contained in subsections (c), (d), and (e) shall not apply to 
     a communication or appearance made solely on behalf of a 
     candidate in his or her capacity as a candidate, an 
     authorized committee, a national committee, a national 
     Federal campaign committee, a State committee, or a political 
     party.
       ``(B) Subparagraph (A) shall not apply to--
       ``(i) any communication to, or appearance before, the 
     Federal Election Commission by a former officer or employee 
     of the Federal Election Commission; or
       ``(ii) a communication or appearance made by a person who 
     is subject to the restrictions contained in subsections (c), 
     (d), or (e) if, at the time of the communication or 
     appearance, the person is employed by a person or entity 
     other than--
       ``(I) a candidate, an authorized committee, a national 
     committee, a national Federal campaign committee, a State 
     committee, or a political party; or
       ``(II) a person or entity who represents, aids, or advises 
     only persons or entities described in subclause (I).
       ``(C) For purposes of this paragraph--
       ``(i) the term `candidate' means any person who seeks 
     nomination for election, or election, to Federal or State 
     office or who has authorized others to explore on his or her 
     behalf the possibility of seeking nomination for election, or 
     election, to Federal or State office;
       ``(ii) the term `authorized committee' means any political 
     committee designated in writing by a candidate as authorized 
     to receive contributions or make expenditures to promote the 
     nomination for election, or the election, of such candidate, 
     or to explore the possibility of seeking nomination for 
     election, or the election, of such candidate, except that a 
     political committee that receives contributions or makes 
     expenditures to promote more than 1 candidate may not be 
     designated as an authorized committee for purposes of 
     subparagraph (A);
       ``(iii) the term `national committee' means the 
     organization which, by virtue of the bylaws of a political 
     party, is responsible for the day-to-day operation of such 
     political party at the national level;
       ``(iv) the term `national Federal campaign committee' means 
     an organization that, by virtue of the bylaws of a political 
     party, is established primarily for the purpose of providing 
     assistance, at the national level, to candidates nominated by 
     that party for election to the office of Senator or 
     Representative in, or Delegate or Resident Commissioner to, 
     the Congress;
       ``(v) the term `State committee' means the organization 
     which, by virtue of the bylaws of a political party, is 
     responsible for the day-to-day operation of such political 
     party at the State level;
       ``(vi) the term `political party' means an association, 
     committee, or organization that nominates a candidate for 
     election to any Federal or State elected office whose name 
     appears on the election ballot as the candidate of such 
     association, committee, or organization; and
       ``(vii) the term `State' means a State of the United 
     States, the District of Columbia, the Commonwealth of Puerto 
     Rico, and any territory or possession of the United 
     States.''.

     SEC. 6. PAY LEVEL.

       Section 207(c)(2)(A)(ii) of title 18, United States Code, 
     is amended by striking ``level V of the Executive Schedule,'' 
     and inserting ``level 5 of the Senior Executive Service,''.

  The SPEAKER pro tempore. Pursuant to the rule, the gentleman from 
Florida [Mr. Canady] and the gentleman from Massachusetts [Mr. Frank] 
will each be recognized for 20 minutes.
  The Chair recognizes the gentleman from Florida [Mr. Canady].


                             general leave

  Mr. CANADY of Florida. Mr. Speaker, I ask unanimous consent that all 
Members may have 5 legislative days within which to revise and extend 
their remarks on H.R. 3235, the bill under consideration.
  The SPEAKER pro tempore. Is there objection to the request of the 
gentleman from Florida?
  There was no objection.

                              {time}  1545

  Mr. CANADY of Florida. Mr. Speaker, I yield myself such time as I may 
consume.
  Mr. Speaker, I rise in support of H.R. 3235, the Office of Government 
Ethics Authorization Act of 1996, which reauthorizes the Office of 
Government Ethics for a period of 3 years. The Office of Government 
Ethics was established in 1979 as the entity within the Office of 
Personnel Management to administer executive branch policies relating 
to financial disclosure, employee conduct, and conflict of interest 
laws.

[[Page H5790]]

  Congress authorized funding for the Office of Government Ethics in 
1983 and 1988. The most recent authorization expired on October 1, 
1994. H.R. 3235 reauthorizes the Office of Government Ethics through 
fiscal year 1999.
  The system of ethics in Government enacted by Congress is designed to 
ensure that executive branch decisions are neither tainted nor appear 
to be tainted by any questions of conflict of interest on the part of 
the employees involved in those decisions. The Ethics in Government Act 
states that the Office of Government Ethics is responsible for 
providing overall direction of executive branch policies relating to 
preventing conflicts of interest on the part of officers and employees 
of any executive branch agency. Over time, the responsibilities of the 
office have expanded by statute and executive order to include 
providing interpretive guidance on, and administrative support for a 
number of additional requirements related to employee conduct. These 
functions comprise the ethics in government program of the executive 
branch.
  Section 2 of the bill under consideration authorizes the Director of 
the Office of Government Ethics to accept gifts on behalf of that 
agency. Federal departments and agencies are not permitted to accept 
gifts unless they have specific statutory authority to do so. While the 
Office of Government Ethics currently has no such authority, 19 
executive branch agencies and departments do have gift acceptance 
authority.
  In testimony before the Subcommittee on the Constitution, Director 
Potts stated that the office intends primarily to use its government 
acceptance authority to support its education and training program in 
carrying out the office's training mission. The office provides 
multiagency ethics training sessions for Federal employees at locations 
both in Washington, DC, and throughout the United States. Often there 
is no Federal facility available that can provide adequate space and 
services for such training sessions. The gift acceptance authority 
contained in H.R. 3235 will allow the Office of Government Ethics to 
accept donated non-Federal facilities which in the past have been 
offered by State and local governments.

  This gift acceptance authority includes the requirement that the 
Director promulgate rules establishing criteria governing gift 
acceptance to ensure the acceptance of any gift will not compromise the 
integrity of the agency's programs or create unfavorable appearances. 
It is the intention of the sponsor that these rules will safeguard 
against even the appearance of a conflict of interest in the acceptance 
of gifts by the Office of Government Ethics.
  The 19 executive branch agencies and departments that have gift 
acceptance authority are not required currently to prescribe 
regulations governing the use of such authority. After the Director 
promulgate regulations establishing a set of criteria governing gift 
acceptance, these regulations will serve as a source of model guidance 
to be used by departments and agencies.
  H.R. 3235 also adds a new limitation on post-employment restrictions. 
This provision will allow campaign related communications by former 
government officials which are currently prohibited. Currently former 
Members, staff, and certain executive branch employees are subject to a 
blanket 1-year prohibition on communications to Members, staff, or the 
employee's former executive branch agency, where the intent of the 
communication is to influence the actions that individual's former 
office. However, those individuals who wish to take a leave of absence 
or resign from an office to work on a campaign are prohibited from 
making anything more than ministerial communications with their former 
office.
  The purpose of the existing 1-year cooling-off period is to prohibit 
an individual from pecuniary gain as a result of past relationships at 
that individual's former office. However, in the case of a leave of 
absence or resignation to work on a campaign, the issue is not one of 
pecuniary gain from past office relationships. Instead, the issue is 
one of allowing necessary communications integral to any campaign-
related employment. Therefore, where the intention of the former 
employee is to participate in the electoral process subject to the 
narrow exception established by the protection of this bill, the 
revolving door restrictions of title 18 will no longer apply.

  Finally, section 6 of the bill amends section 207(c) of title 18. 
This amendment is necessary so that Senior Executive Service level 4 
employees will not be subject to the post-employment restrictions of 
section 207, which was the intention of the 1989 Ethics in Government 
Act amendments. Section 6 amends the last clause of the definition of 
``senior'' official in section 207(c) by tying the basic rate of pay to 
a level equal to or greater than that of level 5 of the Senior 
Executive Service.
  Section 207(c) of title 18 was amended in 1989 to define ``senior'' 
officials in part as those officials serving in any position for which 
the basic rate of pay is equal to or greater than that of an employee 
serving in an Executive level 5 position. In 1989, the definition of 
``senior'' officials encompassed individuals at levels 5 and 6 of the 
Senior Executive Service.
  The change made by section 6 of the bill is necessary because 
Congress has chosen for purposes unrelated to post-employment 
restrictions to freeze the rates of pay for positions on the Executive 
Level Schedule. The rates of pay for positions in the Senior Executive 
Service are set by the President through executive order. On January 7, 
1996, Executive Order 12984 increased the basic rate of pay for a 
Senior Executive Service level 4 employee to an amount above that of an 
Executive Level 5 position. The result of this executive order is the 
unintended consequence of Senior Executive Service level 4 employees 
being subject to post-employment restrictions originally intended only 
for Senior Executive Service level 5 and 6 employees.
  Mr. Speaker, the Committee on the Judiciary reported H.R. 3235 by 
voice vote. H.R. 3235 is the product of the combined efforts of the 
majority and minority in the Judiciary Committee with the significant 
input of the administration and the Office of Government Ethics. I 
would particularly like to thank the gentleman from Massachusetts [Mr. 
Frank], the ranking member of the Subcommittee on the Constitution, for 
his work on this legislation.
  Mr. Speaker, I reserve the balance of my time.
  Mr. FRANK of Massachusetts. Mr. Speaker, I yield myself less time 
than anyone else has taken today to express my appreciation for the 
gentleman's kind remarks, my agreement with the substance.
  Mr. HORN. Mr. Speaker, the purpose of this legislation is to provide 
the reauthorization of the Office of Government Ethics and its 
activities. This extension and authorization would be for 3 years.
  The Office of Government Ethics serves a useful function in assisting 
executive branch officials and employees to assure that they conduct 
their affairs in an atmosphere free of questions of improper influences 
on the decisionmaking process.
  At a time when the activities of executive branch officials and 
employees are the subject of a number of inquiries, the Office of 
Government Ethics must be aggressive in ensuring that the highest 
standards of ethical conduct are followed by those the office is 
designed to serve.
  The Subcommittee on Government Management, Information and 
Technology, which I chair, also has jurisdiction over this office. We 
will work with Mr. Canady's subcommittee to monitor the Office of 
Government Ethics' effectiveness in the performance of its mandate.
  This legislation has bipartisan support. It deserves that support. I 
congratulate Chairman Hyde and Chairman Canady on their work to bring 
this matter to a vote.
  Mr. FRANK of Massachusetts. Mr. Speaker, I yield back the balance of 
my time.
  Mr. CANADY of Florida. Mr. Speaker, I yield back the balance of my 
time.
  Mr. SPEAKER pro tempore (Mr. Upton). The question is on the motion 
offered by the gentleman from Florida [Mr. Canady] that the House 
suspend the rules and pass the bill, H.R. 3235.
  The question was taken; and (two-thirds having voted in favor 
thereof) the rules were suspended and the bill was passed.
  A motion to reconsider was laid on the table.

[[Page H5791]]



 SENSE OF CONGRESS THAT SECRETARY OF AGRICULTURE DISPOSE OF REMAINING 
                    COMMODITIES IN DISASTER RESERVE

  Mr. BARRETT of Nebraska. Mr. Speaker, I move to suspend the rules and 
agree to the concurrent resolution (H. Con. Res. 181) expressing the 
Sense of Congress that the Secretary of Agriculture should dispose of 
all remaining commodities in the disaster reserve maintained under the 
Agricultural Act of 1970 to relieve the distress of livestock producers 
whose ability to maintain livestock is adversely affected by the 
prolonged drought conditions existing in certain areas of the United 
States, as amended.
  The Clerk read as follows:

                            H. Con. Res. 181

       Resolved by the House of Representatives (the Senate 
     concurring), That, in light of the prolonged drought and 
     other adverse weather conditions existing in certain areas of 
     the United States, the Secretary of Agriculture should 
     promptly dispose of all commodities in the disaster reserve 
     maintained under section 813 of the Agricultural Act of 1970 
     (7 U.S.C. 1427a) to relieve the distress of livestock 
     producers whose ability to maintain livestock is adversely 
     affected by the disaster conditions, such as prolonged 
     drought or flooding.

  The SPEAKER pro tempore. Pursuant to the rule, the gentleman from 
Nebraska [Mr. Barrett] and the gentleman from Texas [Mr. Stenholm] each 
will be recognized for 20 minutes.
  The Chair recognizes the gentleman from Nebraska [Mr. Barrett].
  Mr. BARRETT of Nebraska. Mr. Speaker, I yield myself such time as I 
may consume.
  Mr. Speaker, this concurrent resolution expresses a sense of Congress 
that the Secretary of Agriculture should dispose of all remaining 
commodities in the disaster reserve. At the present time, the Commodity 
Credit Corporation is holding approximately 45 million bushels of feed 
grains, primarily corn, barley, and sorghum. Release of this grain 
should help relieve the distress to livestock producers who are 
adversely affected by the prolonged drought conditions which are 
existing in certain areas of the United States.
  Mr. Speaker, passage of this House concurrent resolution calling for 
the release of Government-owned feed grain is very important for 
several reasons. First, the drought is causing many areas of our 
country their worst natural disaster of this century. Dry areas include 
Texas, New Mexico, Colorado, Kansas, Oklahoma, in particular. In some 
of those areas, it is now being compared to the 1930s dust bowl. 
Farmers who own livestock are being severely hit with the drought 
conditions, especially when coupled with the low point in the cattle 
cycle and record high grain prices.
  The grain in this disaster reserve, nearly 45 million bushels, as I 
said, is worth approximately $200 million and would provide for all the 
cattle on feed in these affected States enough feed to feed them for 
perhaps a little over 2 weeks.
  Passage of House Concurrent Resolution 181 not only makes sense, it 
saves money. The Federal Government is currently spending approximately 
$10 million a year to store this grain.
  In my opinion, the Government should not be paying huge storage fees 
and holding grain from the marketplace when this country is 
experiencing record low grain supplies.
  This is an important concurrent resolution. I thank the leadership 
for providing its swift consideration. The release of this grain across 
the country should provide some temporary relief for our Nation's 
livestock sector.
  Support for the resolution shows that this Congress is aware of the 
severe disaster taking place in drought regions across this country and 
of course we are willing to use what resources we have to make the 
situation just a little bit better.
  I urge the adoption of House Concurrent Resolution 181.
  Mr. Speaker, I reserve the balance of my time.
  Mr. STENHOLM. Mr. Speaker, I yield myself such time as I may consume.
  Mr. Speaker, I rise in support of House Concurrent Resolution 181, 
which has been introduced by my colleagues on the Agriculture 
Committee, Mr. Barrett and Mr. Emerson. I applaud the actions of my 
colleagues in this effort and am pleased to join them in bringing the 
bill to the House floor this afternoon.
  I would also like to note that the Clinton administration has been 
working on a similar effort to make Government-owned feed grain stocks 
available to hard-pressed livestock producers. I'm certain that 
Secretary Glickman will welcome the support shown by this concurrent 
resolution to continue this process.
  There is no doubt that there is a need to alleviate the stress facing 
producers in many parts of this country due to the severe drought in 
the southern Plains and flooding and excessive rainfall in the northern 
Plains and eastern corn belt. These natural disasters come at a time 
when grain stocks are at their lowest levels in decades causing record 
market prices and cattle producers are receiving even less for their 
animals than during the Great Depression based on inflation-adjusted 
dollars.
  The release of this grain would be in addition to the actions already 
taken by the Clinton administration to help alleviate the stress in the 
livestock and crop sectors. These actions include release of 
conservation reserve program acres for haying and grazing, extension of 
noninsured crop disaster assistance program coverage, extension of the 
livestock feed program, the release of additional funds for emergency 
loans, advance purchases of beef for the school lunch program, and 
export credit guarantees for meat.
  In my own State of Texas we are facing devastation in the livestock 
and crop sectors in the range of $6.5 billion and the summer has just 
begun. Sixty-two percent of the rangeland in Texas is rated as being in 
poor to very poor condition and producers are facing $374 million in 
added feed costs for beef cows alone due to the deterioration of range 
and pasture lands. Dairy producers in Texas are facing a possible 
doubling of their normal feed costs due to the increases in the cost of 
feed and hay they depend on for daily milk production.
  Similar statistics are available from other States: State 
agricultural officials in Oklahoma have indicated the possibility of 
5,000 to 10,000 producers going out of business in that State. Kansas 
is facing their worst wheat crop since the Depression with the 180 
million bushel harvest--less than half the normal.
  There is no opposition to the bill that I am aware of and this should 
have very little effect on the normal movement of grain because it will 
probably be distributed directly to producers outside the normal 
channels of grain merchandising.
  I would encourage my colleagues to support this resolution. The 
livestock sector in our country contributes billions of dollars to our 
economy and if we do not take actions to help stem the liquidation of 
herds now, we will pay the price later for rebuilding that 
infrastructure.
  Mr. Speaker, I reserve the balance of my time.
  Mr. BARRETT of Nebraska. Mr. Speaker, I yield 1 minute to the 
gentleman from California [Mr. Cunningham].
  Mr. CUNNINGHAM. Mr. Speaker, I join in support of this resolution. It 
is true that we have had a lot of droughts, a lot of floods, especially 
in my State of California, where agriculture is the No. 1 commodity. 
But I just this weekend spoke to a group of poultry producers, and they 
also say a large reason for the increase in cost and shortage of grain 
is that we have given so much grain overseas, in some cases sold it 
below the price, that our people are now having to pay expensive prices 
here in the United States.
  For example, the price of chickens is going to go up 50 percent 
because of the cost of the grain. I would urge the producers of this 
resolution and the committee to take a close look before we sell grain 
overseas or give it away that affects our producers here in this 
country that we need to take a second look at it. I rise in strong 
support, and I thank my colleagues on both sides of the aisle.
  Mr. RICHARDSON. Mr. Speaker, New Mexico is the driest that it has 
been in 101 years. People in the West need help from a severe drought 
that has devastated New Mexico, Texas, Arizona, Nevada, and southern 
California.
  I rise in strong support of this legislation which will offer some 
relief for ranchers who do not have feed for their cattle.
  The dry conditions mean no pasture, no hay, and a limited amount of 
grain.

[[Page H5792]]

  The shortage of grain on a worldwide basis has heightened the already 
disastrous situation for ranchers affected by the drought. Because of a 
lack of grain, producers in my district are being forced to sit back 
and watch their cattle starve.
  This legislation will allow the USDA to release 46 million bushels of 
feed grain that is being held in reserves.
  Although this resolution is not amendable I would like to urge the 
USDA to make this grain available directly to the ranchers in the 
drought affected States who are in need.
  New Mexico ranchers need this relief now.
  Mr. BENTSEN. Mr. Speaker, I rise in strong support of House 
Concurrent Resolution 181, which directs the Department of Agriculture 
to release the national grain reserve. This action is necessary because 
of the severe drought conditions being experienced in the Plains and 
Southwest portions of this country.
  Severe drought conditions have stunted the growing season for Texas 
cotton, wheat, and grain farmers. Soil erosion is becoming a critical 
issue as the dry season is beginning and summer winds will literally 
scour fields clean of nutrient rich topsoil.
  Texas cattle producers are also being devastated by the drought 
because it requires them to buy more feed at a time when prices are 
extraordinarily high. Livestock producers in general are suffering 
tremendous losses because the natural forage withered due to lack of 
measurable rainfall.
  This resolution allows the release of the reserve only if the 
President declares a natural disaster in the region, which President 
Clinton has done, or if we pass this concurrent resolution declaring 
that such reserves should be released.
  Without immediate assistance, ranchers will continue to cull their 
herds, which will result in higher beef prices for consumers once the 
supply is exhausted. Mr. Speaker, this is not simply a rural issue. If 
prices of feed grain and beef are allowed to fluctuate wildly, all of 
us will feel the impact at the supermarket. We need stable food prices, 
and this resolution can help achieve that goal. I urge the Department 
of Agriculture to release this reserve directly to the cattle producers 
and not through the Commodity Credit Corporation to speed the aid 
directly to where it is needed.
  Banks should also be allowed to extend nonperforming loans without 
increasing reserves. Allowing banks the flexibility to assist farmers 
will ensure my State's farmers can survive through this drought.
  Mr. BARRETT of Nebraska. Mr. Speaker, I have no further requests for 
time, and I yield the balance of my time.
  Mr. STENHOLM. Mr. Speaker, I have no further requests for time, and I 
yield back the balance of my time.
  The SPEAKER pro tempore. The question is on the motion offered by the 
gentleman from Nebraska [Mr. Barrett] that the House suspend the rules 
and agree to the concurrent resolution, House Concurrent Resolution 
181, as amended.
  The question was taken; and (two-thirds having voted in favor 
thereof) the rules were suspended and the concurrent resolution, as 
amended, was agreed to.
  The title was amended so as to read: ``Concurrent resolution 
expressing the Sense of Congress that the Secretary of Agriculture 
should dispose of all remaining commodities in the disaster reserve 
maintained under the Agricultural Act of 1970 to relieve the distress 
of livestock producers whose ability to maintain livestock is adversely 
affected by disaster conditions existing in certain areas of the United 
States, such as prolonged drought or flooding.''.
  A motion to reconsider was laid on the table.

                          ____________________