[Congressional Record Volume 144, Number 118 (Wednesday, September 9, 1998)]
[Senate]
[Pages S10140-S10141]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                       CBO COST ESTIMATE--S. 2375

 Mr. D'AMATO. Mr. President, I ask that the Congressional 
Budget Office Cost Estimate for S. 2375 the ``International Anti-
Bribery Act of 1998'' be printed in the Record.
  The cost estimate follows:

               Congressional Budget Office Cost Estimate


                 international anti-bribery act of 1998

       CBO estimates that implementing this legislation would not 
     result in any significant cost to the federal government. 
     Because enactment of the bill could affect direct spending 
     and receipts, pay-as-you-go procedures would apply. However, 
     CBO estimates that any impact on direct spending and receipts 
     would not be significant.
       CBO has determined that this legislation is excluded from 
     the application of the Unfunded Mandates Reform Act (UMRA) 
     under section 4 of that act, because it would amend the 
     Foreign Corrupt Practices Act (FCPA) in ways that are 
     necessary to implement the Organization for Economic 
     Cooperation and Development Convention on Combating Bribery 
     of Foreign Public Officials in International Business 
     Transactions. Section 4 of UMRA excludes from the application 
     of that act any legislative provisions that are necessary for 
     the ratification or implementation of international treaty 
     obligations.
       The bill would expand the FCPA to cover additional offenses 
     relating to corporate bribery of foreign officials. As a 
     result, the federal government would be able to pursue cases 
     that it otherwise would not be able to prosecute. CBO expects 
     that the government probably would not pursue many such 
     cases, however, so we estimate that any increase in federal 
     costs for law enforcement, court proceedings, or prison 
     operations would not be significant. Any such additional 
     costs would be subject to the availability of appropriated 
     funds.
       Because those prosecuted and convicted under the bill could 
     be subject to civil and criminal fines, the federal 
     government might collect additional fines (which are 
     categorized as governmental receipts) if the bill is enacted. 
     However, CBO expects that any additional fines would be 
     negligible because of the small number of cases involved. 
     Collections of criminal fines are deposited in the Crime 
     Victims Fund and spent in the following year. Because any 
     increase in direct spending would equal the fines collected 
     with a one-year lag, the additional direct spending from the 
     Crime Victims Fund also would be negligible.
       The CBO staff contact for this estimate is Mark Grabowicz, 
     who can be reached at 226-

[[Page S10141]]

     2860. This estimate was approved by Paul N. Van de Water, 
     Assistant Director for Budget Analysis.

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