[Congressional Record Volume 150, Number 2 (Wednesday, January 21, 2004)]
[Senate]
[Page S124]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




 ADDITIONAL PROTOCOL AMENDING INVESTMENT TREATY WITH BULGARIA (TREATY 
                              DOC. 108-15)

To the Senate of the United States:
  With a view to receiving the advice and consent of the Senate to 
ratification, I transmit herewith the Additional Protocol Between the 
United States of America and the Republic of Bulgaria amending the 
Treaty Between the United States of America and the Republic of 
Bulgaria Concerning the Encouragement and Reciprocal Protection of 
Investment of September 23, 1992, signed at Brussels on September 22, 
2003. I transmit also, for the information of the Senate, the report of 
the Department of State with respect to this Additional Protocol.
  My Administration has already forwarded to the Senate a similar 
Additional Protocol for Romania and expects to forward to the Senate 
shortly Additional Protocols for the Czech Republic, Estonia, Latvia, 
Lithuania, Poland, and the Slovak Republic. Each of these Additional 
Protocols is the result of an understanding the United States reached 
with the European Commission and six countries that will join the 
European Union (EU) on May 1, 2004 (the Czech Republic, Estonia, 
Latvia, Lithuania, Poland, and the Slovak Republic), as well as with 
Bulgaria and Romania, which are expected to join the EU in 2007.
  The understanding is designed to preserve U.S. bilateral investment 
treaties (BITs) with each of these countries after their accession to 
the EU by establishing a framework acceptable to the European 
Commission for avoiding or remedying present and possible future 
incompatibilities between their BIT obligations and their future 
obligations of EU membership. It expresses the U.S. intent to amend the 
U.S. BITS, including the BIT with Bulgaria, in order to eliminate 
incompatibilities between certain BIT obligations and EU law. It also 
establishes a framework for addressing any future incompatibilities 
that may arise as European Union authority in the area of investment 
expands in the future, and endorses the principle of protecting 
existing U.S. investments from any future EU measures that may restrict 
foreign investment in the EU.
  The United States has long championed the benefits of an open 
investment climate, both at home and abroad. It is the policy of the 
United States to welcome market-driven foreign investment and to permit 
capital to flow freely to seek its highest return. This Additional 
Protocol preserves the U.S. BIT with Bulgaria, with which the United 
States has an expanding relationship, and the protections it affords 
U.S. investors even after Bulgaria joins the EU. Without it, the 
European Commission would likely require Bulgaria to terminate its U.S. 
BIT upon accession because of existing and possible future 
incompatibilities between our current BIT and EU law.
  I recommend that the Senate consider this Additional Protocol as soon 
as possible, and give its advice and consent to ratification at an 
early date.
                                                      George W. Bush.  
The White House, January 21, 2004.

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