[Congressional Record Volume 158, Number 47 (Wednesday, March 21, 2012)]
[Senate]
[Pages S1933-S1935]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
By Mr. DURBIN (for himself, Mr. Boozman, and Mr. Coons):
S. 2215. A bill to create jobs in the United States by increasing
United States exports to Africa by at least 200 percent in real dollar
value within 10 years, and for other purposes; to the Committee on
Foreign Relations.
Mr. DURBIN. Mr. President, I ask unanimous consent that the text of
the bill be printed in the Record.
There being no objection, the text of the bill was ordered to be
printed in the Record, as follows:
S. 2215
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Increasing American Jobs
Through Greater Exports to Africa Act of 2012''.
SEC. 2. FINDINGS; PURPOSE.
(a) Findings.--Congress makes the following findings:
(1) Export growth helps United States business grow and
create American jobs. In 2010, 60 percent of American exports
came from small- and medium-sized businesses.
(2) On January 31, 2011, the President mandated an
executive review across agencies to determine where the
United States Government could become more competitive and
helpful to business, including help with promoting exports.
(3) Several United States Government agencies are involved
in export promotion. Coordination of the efforts of these
agencies through the Trade Promotion Coordinating Committee
lacks sufficient strategic implementation and accountability.
(4) Many other countries have trade promotion programs that
aggressively compete against United States exports in Africa
and around the world. For example, in 2010, medium- and long-
term official export credit general volumes from the Group of
7 countries (Canada, France, Germany, Italy, Japan, the
United Kingdom, and the United States) totaled
$65,400,000,000. Germany provided the largest level of
support at $22,500,000,000, followed by France at
$17,400,000,000 and the United States at $13,000,000,000.
Official export credit support by emerging market economies
such as Brazil, China, and India are significant as well.
(5) Between 2008 and 2010, China alone provided more than
$110,000,000,000 in loans to the developing world, and, in
2009, China surpassed the United States as the leading trade
partner of African countries. The Export-Import Bank of the
United States substantially increased lending to United
States businesses focused on Africa from $400,000,000 in 2009
to an anticipated $1,000,000,000 in 2011, but the Export-
Import Bank of China dwarfed this effort with an estimated
$12,000,000,000 worth of financing.
(6) Other countries such as India, Turkey, Russia, and
Brazil are also aggressively seeking markets in Africa using
their national export banks to provide concessional
assistance.
(7) The Chinese practice of concessional financing runs
contrary to the principles of the Organization of Economic
Co-operation and Development related to open market rates,
undermines naturally competitive rates, and can allow
governments in Africa to overlook the troubling record on
labor practices, human rights, and environmental impact.
(8) The African continent is undergoing a period of rapid
growth and middle class development, as seen from major
indicators such as Internet use and clean water access. In
2000, only 6.7 percent of the population of Africa had access
to the Internet. In 2009, 27.1 percent of the population had
Internet access. Seventy-eight percent of Africa's rural
population now has access to clean water.
(9) Economists have designated Africa as the ``next
frontier market'', with profitability and growth rates among
many African firms exceeding global averages in recent years.
Countries in Africa have a collective spending power of
almost $9,000,000,000 and a gross domestic product of
$1,600,000,000,000, which are projected to double in the next
10 years.
(10) Sub-Saharan Africa is projected to have the fastest
growing economies in the world over the next 5 years, with 7
of the 10 fastest growing economies located in sub-Saharan
Africa.
(11) When countries such as China assist with large-scale
government projects, they
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also gain an upper hand in relations with African leaders and
access to valuable commodities such as oil and copper,
typically without regard to environmental, human rights,
labor, or governance standards.
(12) Unless the United States can offer competitive
financing for its firms in Africa, it will be deprived of
opportunities to participate in African efforts to close the
continent's significant infrastructure gap that amounts to an
estimated $100,000,000,000.
(b) Purpose.--The purpose of this Act is to create jobs in
the United States by expanding programs that will result in
increasing United States exports to Africa by 200 percent in
real dollar value within 10 years.
SEC. 3. DEFINITIONS.
In this Act:
(1) Africa.--The term ``Africa'' refers to the entire
continent of Africa and its 54 countries, including the
Republic of South Sudan.
(2) African diaspora.--The term ``African diaspora'' means
the people of African origin living in the United States,
irrespective of their citizenship and nationality, who are
willing to contribute to the development of Africa.
(3) AGOA.--The term ``AGOA'' means the African Growth and
Opportunity Act (19 U.S.C. 3701 et seq.).
(4) Appropriate congressional committees.--The term
``appropriate congressional committees'' means--
(A) the Committee on Appropriations, the Committee on
Banking, Housing, and Urban Affairs, and the Committee on
Foreign Relations of the Senate; and
(B) the Committee on Appropriations, the Committee on
Energy and Commerce, the Committee on Financial Services, the
Committee on Foreign Affairs, and the Committee on Ways and
Means of the House of Representatives.
(5) Development agencies.--The term ``development
agencies'' includes the Department of State, including the
United States Agency for International Development (USAID),
the Millennium Challenge Corporation (MCC), the Overseas
Private Investment Corporation (OPIC), and the United States
Trade and Development Agency (USTDA).
(6) Trade policy staff committee.--The term ``Trade Policy
Staff Committee'' means the Trade Policy Staff Committee
established pursuant to section 2002.2 of title 15, Code of
Federal Regulations, and is composed of representatives of
Federal agencies in charge of developing and coordinating
United States positions on international trade and trade-
related investment issues.
(7) Multilateral development banks.--The term
``multilateral development banks'' has the meaning given that
term in section 1701(c)(4) of the International Financial
Institutions Act (22 U.S.C. 262r(c)(4)) and includes the
African Development Foundation.
(8) Sub-saharan region.--The term ``sub-Saharan region''
refers to the 49 countries listed in section 107 of the
African Growth and Opportunity Act (19 U.S.C. 3706) and
includes the Republic of South Sudan.
(9) Trade promotion coordinating committee.--The term
``Trade Promotion Coordinating Committee'' means the Trade
Promotion Coordinating Committee established by Executive
Order 12870 (58 Fed. Reg. 51753).
(10) United states and foreign commercial service.--The
term ``United States and Foreign Commercial Service'' means
the United States and Foreign Commercial Service established
by section 2301 of the Export Enhancement Act of 1988 (15
U.S.C. 4721).
SEC. 4. STRATEGY.
(a) In General.--Not later than 180 days after the date of
the enactment of this Act, the President shall establish a
comprehensive United States strategy for public and private
investment, trade, and development in Africa.
(b) Focus of Strategy.--The strategy required by subsection
(a) shall focus on--
(1) increasing exports of United States goods and services
to Africa by 200 percent in real dollar value within 10 years
from the date of the enactment of this Act;
(2) coordinating United States commercial interests with
development priorities in Africa;
(3) developing relationships between the governments of
countries in Africa and United States businesses that have an
expertise in such issues as infrastructure development,
technology, telecommunications, energy, and agriculture;
(4) improving the competitiveness of United States
businesses in Africa, including the role the African diaspora
can play in enhancing such competitiveness;
(5) exploring ways that African diaspora remittances can
help governments in Africa tackle economic, development, and
infrastructure financing needs;
(6) promoting economic integration in Africa through
working with the subregional economic communities, supporting
efforts for deeper integration through the development of
customs unions within western and central Africa and within
eastern and southern Africa, eliminating time-consuming
border formalities into and within these areas, and
supporting regionally based infrastructure projects;
(7) encouraging a greater understanding among United States
business and financial communities of the opportunities
Africa holds for United States exports; and
(8) monitoring--
(A) market loan rates and the availability of capital for
United States business investment in Africa;
(B) loan rates offered by the governments of other
countries for investment in Africa; and
(C) the policies of other countries with respect to export
financing for investment in Africa that are predatory or
distort markets.
(c) Consultations.--In developing the strategy required by
subsection (a), the President shall consult with--
(1) Congress;
(2) each agency that is a member of the Trade Promotion
Coordinating Committee;
(3) the multilateral development banks;
(4) each agency that participates in the Trade Policy Staff
Committee;
(5) the President's National Export Council;
(6) each of the development agencies;
(7) any other Federal agencies with responsibility for
export promotion or financing and development; and
(8) the private sector, including businesses,
nongovernmental organizations, and African diaspora groups.
(d) Submission to Congress.--
(1) Strategy.--Not later than 180 days after the date of
the enactment of this Act, the President shall submit to
Congress the strategy required by subsection (a).
(2) Progress report.--Not later than 3 years after the date
of the enactment of this Act, the President shall submit to
Congress a report on the implementation of the strategy
required by subsection (a).
(3) Content of report.--The report required by paragraph
(2) shall include an assessment of the extent to which the
strategy required by subsection (a)--
(A) has been successful in developing critical analyses of
policies to increase exports to Africa;
(B) has been successful in increasing the competitiveness
of United States businesses in Africa;
(C) has been successful in creating jobs in the United
States, including the nature and sustainability of such jobs;
(D) has provided sufficient United States Government
support to meet third country competition in the region;
(E) has been successful in helping the African diaspora in
the United States participate in economic growth in Africa;
(F) has been successful in promoting economic integration
in Africa; and
(G) has made a meaningful contribution to the
transformation of Africa and its full integration into the
twenty-first century world economy, not only as a supplier of
primary products but also as full participant in
international supply and distribution chains.
SEC. 5. SPECIAL AFRICA STRATEGY COORDINATOR.
The President shall designate an individual to serve as
Special Africa Export Strategy Coordinator--
(1) to oversee the development and implementation of the
strategy required by section 4; and
(2) to coordinate with the Trade Promotion Coordinating
Committee, (the interagency AGOA committees), and development
agencies with respect to developing and implementing the
strategy.
SEC. 6. TRADE MISSION TO AFRICA.
It is the sense of Congress that, not later than 1 year
after the date of the enactment of this Act, the Secretary of
Commerce and other high-level officials of the United States
Government with responsibility for export promotion,
financing, and development should conduct a joint trade
mission to Africa.
SEC. 7. PERSONNEL.
(a) United States and Foreign Commercial Service.--
(1) In general.--As soon as practicable after the date of
the enactment of this Act, the Secretary of Commerce shall
ensure that not less than 14 total United States and Foreign
Commercial Service officers are assigned to Africa.
(2) Assignment.--The Secretary shall, in consultation with
the Trade Promotion Coordinating Committee and the Special
Africa Export Strategy Coordinator, assign the United States
and Foreign Commercial Service officers described in
paragraph (1) to United States embassies in Africa.
(3) Multilateral development banks.--
(A) In general.--As soon as practicable after the date of
the enactment of this Act, the Secretary of Commerce shall
assign not less than 1 full-time United States and Foreign
Commercial Service officer to the office of the United States
Executive Director at each multilateral development bank.
(B) Responsibilities.--Each United States and Foreign
Commercial Service officer assigned under subparagraph (A)
shall be responsible for--
(i) increasing the access of United States businesses to
procurement contracts with the multilateral development bank
to which the officer is assigned; and
(ii) facilitating the access of United States businesses to
risk insurance, equity investments, consulting services, and
lending provided by that bank.
(b) Export-Import Bank of the United States.--Of the
amounts collected by the Export-Import Bank that remain after
paying the expenses the Bank is authorized to pay from such
amounts for administrative expenses, the Bank shall use
sufficient funds to do the following:
(1) Assign, in consultation with the Trade Promotion
Coordinating Committee and the
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Special Africa Export Strategy Coordinator, not less than 3
full-time employees of the Bank to geographically appropriate
field offices in Africa.
(2) Increase the number of employees of the Bank assigned
to United States field offices of the Bank to not less than
30, to be distributed as geographically appropriate through
the United States. Such offices shall coordinate with the
related export efforts undertaken by the Small Business
Administration regional field offices.
(3) Upgrade the Bank's equipment and software to more
expeditiously, effectively, and efficiently process and track
applications for financing received by the Bank.
(c) Overseas Private Investment Corporation.--
(1) Staffing.--Of the net offsetting collections collected
by the Overseas Private Investment Corporation used for
administrative expenses, the Corporation shall use sufficient
funds to increase by not more than 5 the staff needed to
promote stable and sustainable economic growth and
development in Africa, to strengthen and expand the private
sector in Africa, and to facilitate the general economic
development of Africa, with a particular focus on helping
United States businesses expand into African markets.
(2) Report.--The Corporation shall report to the
appropriate congressional committees on whether recent
technology upgrades have resulted in more effective and
efficient processing and tracking of applications for
financing received by the Corporation.
SEC. 8. TRAINING.
The President shall develop a plan--
(1) to standardize the training received by United States
and Foreign Commercial Service officers, economic officers of
the Department of State, and economic officers of the United
States Agency for International Development with respect to
the programs and procedures of the Export-Import Bank of the
United States, the Overseas Private Investment Corporation,
the Small Business Administration, and the United States
Trade and Development Agency; and
(2) to ensure that, not later than 1 year after the date of
the enactment of this Act--
(A) all United States and Foreign Commercial Service
officers that are stationed overseas receive the training
described in paragraph (1); and
(B) in the case of a country to which no United States and
Foreign Commercial Service officer is assigned, any economic
officer of the Department of State stationed in that country
shall receive that training.
SEC. 9. EXPORT-IMPORT BANK CAPITALIZATION.
(a) In General.--Section 6(a)(2) of the Export-Import Bank
Act of 1945 (12 U.S.C. 635e(a)(2)) is amended--
(1) in subparagraph (D), by striking ``and'';
(2) in subparagraph (E), by striking ``2011,'' and
inserting ``2011, $95,000,000,000;''; and
(3) by adding at the end the following:
``(F) during fiscal year 2012 and each fiscal year
thereafter through fiscal year 2016, $150,000,000,000; and
``(G) subject to paragraph (4), during fiscal year 2017 and
each fiscal year thereafter, $175,000,000,000.''.
(b) Special Rule for Increase in Applicable Amount.--
Section 6(a) of the Export-Import Bank Act of 1945 (12 U.S.C.
635e(a)) is amended by adding at the end the following:
``(4) Special rule for increase in applicable amount.--
``(A) In general.--Beginning in fiscal year 2017, and each
fiscal year thereafter, the applicable amount under paragraph
(1) shall be $175,000,000,000, if the Comptroller General of
the United States determines pursuant to subparagraph (B)
that the increase in the applicable amount under paragraph
(1)(F) has been effective in increasing viable loans to
further United States exports, including to Africa.
``(B) Report by gao.--The Comptroller General of the United
States shall conduct a study of the operations of the Bank
and the effectiveness of increasing the applicable amount
under this subsection. Not later than 18 months after the
date of the enactment of this Act, the Comptroller General
shall submit a report to Congress regarding the Comptroller
General's determination on the effective use by the Bank of
the increase in the applicable amount under this
subsection.''.
(c) Percent To Be Used for Projects in Africa.--Section
6(a) of the Export-Import Bank Act of 1945 (12 U.S.C.
635e(a)), as amended by subsection (b), is amended by adding
at the end the following:
``(5) Percent of increase to be used for projects in
africa.--Not less than 25 percent of the amount by which the
applicable amount under paragraph (1) is increased under
paragraph (2) (F) or (G) over the applicable amount for
fiscal year 2011 shall be used for loans, guarantees, and
insurance for projects in Africa.''.
(d) Availability of Portion of Capitalization to Compete
Against Foreign Concessional Loans.--Not less than
$250,000,000 of the total bank capitalization of the Export-
Import Bank shall be available annually for loans that
counter below-market rate, preferential, tied aid, or other
related non-market loans offered by other nations for which
United States companies are also competing or interested in
competing.
SEC. 10. TIED AID CREDIT FUND.
(a) Sense of Congress.--It is the sense of Congress that
the Export-Import Bank should use its Tied Aid Credit Fund to
aggressively help United States companies compete for
projects in which a foreign government is using any type of
below market, preferential, or tied aid loan. The Bank shall
make use of any loan products available, including pursuant
to section 9(d), to counter these foreign offerings.
(b) Report.--Not later than 1 year after the date of the
enactment of this Act, and annually thereafter, the Export-
Import Bank shall report to the appropriate congressional
committees if the Bank has not used at least $220,000,000 in
tied aid credit during the preceding fiscal year. The report
shall include--
(1) a description of all requests for grants from the Tied-
Aid Credit Fund or other similar funds (established under
section 10 of the Export-Import Bank Act of 1945 (12 U.S.C.
635i 3)) received by the Bank during that fiscal year;
(2) a description of similar concessional (below market
rate) loans made by other countries during that fiscal year;
and
(3) a description of any such grant requests that were
denied and the reason for such denial.
SEC. 11. SMALL BUSINESS ADMINISTRATION.
Section 22(b) of the Small Business Act (15 U.S.C. 649(b))
is amended--
(1) in the matter preceding paragraph (1), by inserting
``the Trade Promotion Coordinating Committee,'' after
``Director of the United States Trade and Development
Agency,''; and
(2) in paragraph (3), by inserting ``regional offices of
the Export-Import Bank,'' after ``Retired Executives,''.
SEC. 12. BILATERAL, SUBREGIONAL AND REGIONAL, AND
MULTILATERAL AGREEMENTS.
Where applicable, the United States Trade Representative
and officials of the Export-Import Bank shall explore
opportunities to negotiate bilateral, subregional, and
regional agreements that encourage trade and eliminate
nontariff barriers to trade between countries, such as
negotiating investor friendly double-taxation treaties and
investment promotion agreements. United States negotiators in
multilateral forum should take into account the objectives of
this Act. To the extent any such agreements exist between the
United States and an African country, the Trade
Representative shall ensure that the agreement is being
implemented in a manner that maximizes the positive effects
for United States trade, export, and labor interests as well
as the economic development of the countries in Africa.
______