[Congressional Record Volume 153, Number 114 (Tuesday, July 17, 2007)]
[Extensions of Remarks]
[Pages E1538-E1539]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




          FOREIGN INVESTMENT AND NATIONAL SECURITY ACT OF 2007

                                 ______
                                 

                               speech of

                            HON. JOE BARTON

                                of texas

                    in the house of representatives

                         Tuesday, July 10, 2007

  Mr. BARTON of Texas. Mr. Speaker, I rise in support of H.R. 556. As I 
have previously stated on this subject, more foreign investment in 
America, rather than less, is good for the country. But I share the 
belief we must have a robust review process to screen the few 
investments that threaten our security. The Committee on Foreign 
Investment in the United States--CFIUS--was established to ensure such 
transactions that require greater scrutiny are evaluated in light of 
these concerns. I believe it is our responsibility to make sure the 
review process is working as intended and make changes where 
appropriate to enhance this process.
  There is no denying the benefits of foreign investment. Our culture 
of innovation and risk taking has positioned many of our industries at 
the forefront of global innovation. Foreign investors recognize 
potential in U.S. companies and risk their capital on companies because 
our country welcomes foreign investment. When domestic investment 
bypasses U.S.-based companies, we should be grateful the gap is often 
filled by foreign investment. The money provided by foreign investors 
creates jobs, growth and opportunity here at home, and we will only 
benefit by encouraging more investment. Shutting off foreign investment 
will hurt us more than it helps us.
  But we must be sure that the need to attract investments is balanced 
with our obligation to ensure they will not pose a danger or national 
security threat to our Nation. The foreign investment review process is 
not new, but the highly publicized proposed transactions involving 
CNOOC and Dubai Ports last year highlighted to Congress, and the 
public, a process in dire need of review. Many observed this process by 
which our government sorts out good investment from bad can be rather 
opaque. Congress and the relevant Committees--including the Energy and 
Commerce Committee, which has original jurisdiction dating back to the 
Exon-Florio Amendment--need to be aware of the criteria used to 
evaluate the transactions and which transactions should be subject to 
more rigorous review.
  Last Congress we acted on the need to clarify the review process and 
improve transparency. Through the Congressional process, the House 
passed legislation, but the Senate did not act. I am pleased the Senate 
has acted this Congress and we will pass this legislation to become 
law, but I am disappointed in several changes made to the original 
House-passed version.

[[Page E1539]]

  Regardless of the imperfections, this will be an improvement over 
current law. The legislation will provide consistent criteria with 
appropriate discretion for foreign investment reviews. The triggers for 
mandatory reviews will also improve the process without impairing our 
ability to attract significant and needed foreign investment. The 
legislation also expands the membership of the review board and will 
now include additional expertise, including the Secretary of Energy, 
which can only benefit the review process.
  Finally, I am pleased the reporting requirements will provide 
meaningful information to Congress. More robust information will 
provide a better understanding of the transactions and the criteria 
CFIUS evaluated to reach their decisions.
  I support the legislation because these changes collectively improve 
the process for foreign investment reviews and increase the 
transparency of the process.

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