[Congressional Record Volume 149, Number 175 (Monday, December 8, 2003)]
[House]
[Pages H12861-H12862]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




             DEFENSE PRODUCTION ACT REAUTHORIZATION OF 2003

  Mr. NEY. Mr. Speaker, I ask unanimous consent to take from the 
Speaker's table the Senate bill (S. 1680), to reauthorize the Defense 
Production Act of 1950, and for other purposes, with a Senate amendment 
to the House amendment thereto, and concur in the Senate amendment to 
the House amendment.
  The Clerk read the title of the Senate bill.
  The Clerk read the Senate amendment to the House amendment, as 
follows:

       Senate amendment to House amendment:
       Page 6, strike line 1 and all that follows over to and 
     including line 2 on page 7, of the House engrossed amendment, 
     and insert:

      SEC. 7. REPORT ON IMPACT OF OFFSETS ON DOMESTIC CONTRACTORS 
                   AND LOWER TIER SUBCONTRACTORS.

       (a) Examination of Impact Required.--
       (1) In general.--As part of the annual report required 
     under section 309(a) of the Defense Production Act of 1950 
     (50 U.S.C. App. 2099(a)), the Secretary of Commerce (in this 
     section referred to as the ``Secretary'') shall--
       (A) detail the number of foreign contracts involving 
     domestic contractors that use offsets, industrial 
     participation agreements, or similar arrangements during the 
     preceding 5-year period;
       (B) calculate the aggregate, median, and mean values of the 
     contracts and the offsets, industrial participation 
     agreements, and similar arrangements during the preceding 5-
     year period; and
       (C) describe the impact of international or foreign sales 
     of United States defense products and related offsets, 
     industrial participation agreements, and similar arrangements 
     on domestic prime contractors and, to the extent practicable, 
     the first 3 tiers of domestic contractors and subcontractors 
     during the preceding 5-year period in terms of domestic 
     employment, including any job losses, on an annual basis.
       (2) Use of internal documents.--To the extent that the 
     Department of Commerce is already in possession of relevant 
     data, the Department shall use internal documents or existing 
     departmental records to carry out paragraph (1).
       (3) Information from non-federal entities.--
       (A) Existing information.--In carrying out paragraph (1), 
     the Secretary shall only require a non-Federal entity to 
     provide information that is available through the existing 
     data collection and reporting systems of that non-Federal 
     entity.
       (B) Format.--The Secretary may require a non-Federal entity 
     to provide information to the Secretary in the same form that 
     is already provided to a foreign government in fulfilling an 
     offset arrangement, industrial participation agreement, or 
     similar arrangement.
       (b) Report.--
       (1) In general.--Before the end of the 8-month period 
     beginning on the date of enactment of this Act, the Secretary 
     shall submit to Congress a report containing the findings and 
     conclusions of the Secretary with regard to the examination 
     made pursuant to subsection (a).
       (2) Copies of report.--The Secretary shall also transmit 
     copies of the report prepared under paragraph (1) to the 
     United States Trade Representative and the interagency team 
     established pursuant to section 123(c) of the Defense 
     Production Act Amendments of 1992 (50 U.S.C. App. 2099 note).
       (c) Responsibilities Regarding Consultation With Foreign 
     Nations.--Section 123(c) of the Defense Production Act 
     Amendments of 1992 (50 U.S.C. App. 2099 note) is amended to 
     read as follows:
       ``(c) Negotiations.--
       ``(1) Interagency team.--
       ``(A) In general.--It is the policy of Congress that the 
     President shall designate a chairman of an interagency team 
     comprised of the Secretary of Commerce, Secretary of Defense, 
     United States Trade Representative, Secretary of Labor, and 
     Secretary of State to consult with foreign nations on 
     limiting the adverse effects of offsets in defense 
     procurement without damaging the economy or the defense 
     industrial base of the United States or United States defense 
     production or defense preparedness.
       ``(B) Meetings.--The President shall direct the interagency 
     team to meet on a quarterly basis.
       ``(C) Reports.--The President shall direct the interagency 
     team to submit to Congress an annual report, to be included 
     as part of the report required under section 309(a) of the 
     Defense Production Act of 1950 (50 U.S.C. App. 2099(a)), that 
     describes the results of the consultations of the interagency 
     team under subparagraph (A) and the meetings of the 
     interagency team under subparagraph (B).
       ``(2) Recommendations for modifications.--The interagency 
     team shall submit to the President any recommendations for 
     modifications of any existing or proposed memorandum of 
     understanding between officials acting on behalf of the 
     United States and 1 or more foreign countries (or any 
     instrumentality of a foreign country) relating to--
       ``(A) research, development, or production of defense 
     equipment; or
       ``(B) the reciprocal procurement of defense items.''.

  Mr. NEY (during the reading). Mr. Speaker, I ask unanimous consent 
that the Senate amendment to the House amendment be considered as read 
and printed in the Record.
  The SPEAKER pro tempore. Is there objection to the request of the 
gentleman from Ohio?
  There was no objection.
  The SPEAKER pro tempore. Is there objection to the initial request of 
the gentleman from Ohio?
  Mr. CARDIN. Mr. Speaker, reserving the right to object, because I 
believe we are getting near the end of the business of this session of 
Congress, and at least on this side, we are not aware of whether the 
majority will allow unanimous consent requests in regard to the 
unemployment compensation extensions.
  As my colleagues know, at the end of this month, we will expire the 
Federal Unemployment Compensation Program, and 80,000 to 90,000 
individuals a week will exhaust their State unemployment benefits and 
will not be entitled to any Federal relief.
  So I was wondering if the gentleman could just advise us as to 
whether the majority is prepared to allow unanimous consent requests, 
since there are no further recorded votes, I believe, anticipated 
today, so that we could at least bring up the extension of the 
unemployment compensation benefits to deal with the people who cannot 
find employment.
  Mr. NEY. Mr. Speaker, will the gentleman yield?
  Mr. CARDIN. I yield to the gentleman from Ohio.
  Mr. NEY. Mr. Speaker, on this particular issue I am actually standing 
in for the gentleman from Ohio (Chairman Oxley) on this particular 
unanimous consent bill. As far as the rest, that goes above my pay 
grade, but I am sure that our side will be more than happy to talk to 
your side.
  Mr. OXLEY. Mr. Speaker, I rise in strong support of S. 1680, the 
Defense Production Act Reauthorization of 2003, and urge its adoption. 
The bill before the House is largely the same as H.R. 1280, and passed 
last spring by the Committee on Financial Services, and is the result 
of broad bipartisan and bicameral efforts to reauthorize and update 
this important Act.
  Mr. Speaker, when the House acts today to send the bill to the 
President, it will be completing Congressional action that should have 
taken place no later than the end of September. The authorities in this 
Act are too important for the Nation to have been without them for the 
nine weeks.
  That said, Mr. Speaker, what is before the House today is a very good 
product. First and foremost, it reauthorizes the Defense Production Act 
for five years. This is important for two reasons: Firstly, as the 
nation faces the uncertain times ahead, it will be important for the 
President to have the authorities in the Act, and secondly, because it 
will give Congress an opportunity to consider some much-needed 
modernization of the DPA decoupled from reauthorization cycle. It is my 
intent to ask the President to take the next year to ponder what sorts 
of modernization of the DPA is necessary, with the idea that any action 
on those or other recommendations would take place in the first session 
of the next Congress.
  The bill we are considering today also adds as a specific goal of the 
DPA the protection of the nation's critical infrastructure. Given the 
increasing dependence of the nation's defense, financial services and 
in fact the fabric of our daily lives on our critical infrastructure, I 
believe this addition is both wise and important.
  Finally, in addition to some other minor additions, the bill before 
us increases on a one-time basis the funding ceiling for a program to 
enhance the nation's ability to produce radiation-hardened electronics 
for use in, for example, defense satellites. This program is an example 
of one of the most important aspects of the DPA: creating a U.S. 
defense production capability where none now exists.
  Most important of all of these, Mr. Speaker, is the reauthorization 
itself. The DPA is the tool that the President uses to meet a specific 
national security need--protective gear for our troops overseas, or 
specialized communications equipment--should we have a shortfall in

[[Page H12862]]

supplies. The DPA is also one of the President's prime tools should 
there be another terrorist attack, and can be important in the case of 
natural disasters.
  I hope, Mr. Speaker, that we can undertake any needed reforms of the 
Act at the beginning of the first session of the next Congress, and 
then extend the authorization beyond 2008 at that point, so that these 
important authorities remain available to protect America, Americans 
and, and American interests, uninterrupted.
  In closing, Mr. Speaker, I would like to commend the excellent and 
diligent work of the gentleman from New York (Mr. King), Chairman of 
the Subcommittee on Domestic and International Monetary Policy, Trade 
and Technology, the gentlelady from New York, (Mrs. Maloney), and the 
ranking member of the full Committee, the gentleman from Massachusetts 
(Mr. Frank), for their assistance in passing this important bill. With 
that, I yield back the balance of my time and urge immediate passage of 
S. 1680.
  Mr. CARDIN. Mr. Speaker, I withdraw my reservation of objection at 
this point, and maybe we will have a chance a little bit later to talk 
about this.
  The SPEAKER pro tempore. Is there objection to the original request 
of the gentleman from Ohio?
  There was no objection.
  A motion to reconsider was laid on the table.

                          ____________________