[Congressional Record Volume 143, Number 116 (Friday, September 5, 1997)]
[Extensions of Remarks]
[Pages E1674-E1675]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




      FOREIGN OPERATIONS, EXPORT FINANCING, AND RELATED PROGRAMS 
                        APPROPRIATIONS ACT, 1998

                                 ______
                                 

                               speech of

                           HON. CORRINE BROWN

                               of florida

                    in the house of representatives

                      Thursday, September 4, 1997

       The House in Committee of the Whole House on the State of 
     the Union had under consideration the bill (H.R. 2159) making 
     appropriations for foreign operations, export financing, and 
     related programs for the fiscal year ending September 30, 
     1998, and for other purposes:

  Ms. BROWN of Florida. Mr. Chairman, I rise today in support of H.R. 
2159 and to share my thoughts and observations with my colleagues 
concerning various aspects of this important legislation. As my 
colleagues know, numerous articles in the Wall Street Journal, New York 
Times, and other leading newspapers recently reported the retreat of 
some large American companies from Ukraine. I am pleased to know that 
the fiscal year 1998 foreign operations appropriations bill moves to 
address this problem by conditioning United States foreign assistance 
to Ukraine to economic reform

[[Page E1675]]

and the elimination of corruption, allowing American companies to 
compete on a more level playing field.
  As the representative from Florida's Third Congressional District, it 
is important for me to know that north Florida's international 
businesses can flourish without unnecessary interference. Some 2 years 
ago, when a north Florida company, Itera International Energy Corp. 
needed Ukraine to honor business contracts worth many millions of 
dollars, I wrote to then Secretary of State Christopher requesting his 
assistance, met with Ukraine's Ambassador in Washington, and wrote 
several letters to Ukraine President Kuchma.
  Later, in December 1996, I traveled to the former Soviet Union to 
personally examine the business climate for American businesses in the 
region. It was a tremendously informative and educational experience, 
meeting with our U.S. Ambassadors, foreign government officials, and 
U.S. business leaders. I was particularly interested in the energy 
sectors of these countries because Itera, headquartered in 
Jacksonville, is actively engaged in the marketing of natural gas to 
Ukraine and other countries of the former Soviet Union. I also was 
interested in other areas of trade and development for northern 
Florida, particularly transportation, agriculture, and tourism. 
Further, as a representative of the American taxpayer, I wanted to 
ensure that U.S. foreign assistance was the most cost effective and was 
used for the purpose for which it was provided.
  I learned that the same problems that have plagued Itera have plagued 
many other American companies. Contractual agreements, accounting 
methods, and political attitudes are some of the many areas where there 
is room for differences of opinion, corrupt practices, and a difficult 
dialog.
  All of this made me realize what is most important in the former 
Soviet Union: for old government institutions to give way to young, 
private companies that can create new global markets. In the process, 
business contracts must be fulfilled. When private enterprise is not 
allowed to flourish, government corruption is often a primary reason.
  Itera, for example, despite the odds against it, is an adaptable, 
entrepreneurial company which has been able to market natural gas to 
the former Soviet Union by establishing business and personal 
relationships so necessary for business in the region. I am informed 
that Itera is not actively engaged in a joint venture with the 
Government of Armenia and Russia's largest gas company, to provide 
enhanced natural gas transportation and distribution facilities in 
Armenia. This will provide strong support for the economic well being 
for the people of Armenia and the region.
  I will continue to work with my constituents to expand commerce 
around the world--to the benefit of all citizens. This will, I believe, 
contribute to peace in our time and to peace for future generations.

                          ____________________