[Congressional Record Volume 161, Number 76 (Monday, May 18, 2015)]
[Senate]
[Pages S2987-S2989]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
SA 1311. Mr. BENNET submitted an amendment intended to be proposed to
amendment SA 1221 proposed by Mr. Hatch to the bill H.R. 1314, to amend
the Internal Revenue Code of 1986 to provide for a right to an
administrative appeal relating to adverse determinations of tax-exempt
status of certain organizations; which was ordered to lie on the table;
as follows:
At the end, add the following:
TITLE III--ENGAGEMENT ON CURRENCY EXCHANGE RATE AND ECONOMIC POLICIES
SEC. 311. ENHANCEMENT OF ENGAGEMENT ON CURRENCY EXCHANGE RATE
AND ECONOMIC POLICIES WITH CERTAIN MAJOR
TRADING PARTNERS OF THE UNITED STATES.
(a) Major Trading Partner Report.--
(1) In general.--Not later than 180 days after the date of
the enactment of this Act, and not less frequently than once
every 180 days thereafter, the Secretary shall submit
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to the appropriate committees of Congress a report on the
macroeconomic and currency exchange rate policies of each
country that is a major trading partner of the United States.
(2) Elements.--
(A) In general.--Each report submitted under paragraph (1)
shall contain--
(i) for each country that is a major trading partner of the
United States--
(I) that country's bilateral trade balance with the United
States;
(II) that country's current account balance as a percentage
of its gross domestic product;
(III) the change in that country's current account balance
as a percentage of its gross domestic product during the 3-
year period preceding the submission of the report;
(IV) that country's foreign exchange reserves as a
percentage of its short-term debt; and
(V) that country's foreign exchange reserves as a
percentage of its gross domestic product; and
(ii) an enhanced analysis of macroeconomic and exchange
rate policies for each country--
(I) that is a major trading partner of the United States;
(II) the currency of which is persistently and
substantially undervalued;
(III) that has--
(aa) a significant bilateral trade surplus with the United
States; and
(bb) a material global current account surplus; and
(IV) that has engaged in persistent one-sided intervention
in the foreign exchange market.
(B) Enhanced analysis.--Each enhanced analysis under
subparagraph (A)(ii) shall include, for each country with
respect to which an analysis is made under that
subparagraph--
(i) a description of developments in the currency markets
of that country, including, to the greatest extent feasible,
developments with respect to currency interventions;
(ii) a description of trends in the real effective exchange
rate of the currency of that country and in the degree of
undervaluation of that currency;
(iii) an analysis of changes in the capital controls and
trade restrictions of that country; and
(iv) patterns in the reserve accumulation of that country.
(b) Engagement on Exchange Rate and Economic Policies.--
(1) In general.--Except as provided in paragraph (2), the
President, through the Secretary, shall commence enhanced
bilateral engagement with each country for which an enhanced
analysis of macroeconomic and currency exchange rate policies
is included in the report submitted under subsection (a), in
order to--
(A) urge implementation of policies to address the causes
of the undervaluation of its currency, its bilateral trade
surplus with the United States, and its material global
current account surplus, including undervaluation and
surpluses relating to exchange rate management;
(B) express the concern of the United States with respect
to the adverse trade and economic effects of that
undervaluation and those surpluses;
(C) develop measureable objectives for addressing that
undervaluation and those surpluses; and
(D) advise that country of the ability of the President to
take action under subsection (c).
(2) Exception.--The Secretary may determine not to enhance
bilateral engagement with a country under paragraph (1) for
which an enhanced analysis of macroeconomic and exchange rate
policies is included in the report submitted under subsection
(a) if the Secretary submits to the appropriate committees of
Congress a report that describes how the currency and other
macroeconomic policies of that country are addressing the
undervaluation and surpluses specified in paragraph (1)(A)
with respect to that country, including undervaluation and
surpluses relating to exchange rate management.
(c) Remedial Action.--
(1) In general.--If, on the date that is one year after the
commencement of enhanced bilateral engagement by the
President with respect to a country under subsection (b)(1),
the country has failed to adopt appropriate policies to
correct the undervaluation and surpluses described in
subsection (b)(1)(A) with respect to that country, the
President may take one or more of the following actions:
(A) Prohibit the Overseas Private Investment Corporation
from approving any new financing (including any insurance,
reinsurance, or guarantee) with respect to a project located
in that country on and after such date.
(B) Except as provided in paragraph (2), and pursuant to
paragraph (3), prohibit the Federal Government from
procuring, or entering into any contract for the procurement
of, goods or services from that country on and after such
date.
(C) Instruct the United States Executive Director of the
International Monetary Fund to use the voice and vote of the
United States to call for additional rigorous surveillance of
the macroeconomic and exchange rate policies of that country
and, as appropriate, formal consultations on findings of
currency manipulation.
(D) Instruct the United States Trade Representative to take
into account, in consultation with the Secretary, in
assessing whether to enter into a bilateral or regional trade
agreement with that country or to initiate or participate in
negotiations with respect to a bilateral or regional trade
agreement with that country, the extent to which that country
has failed to adopt appropriate policies to correct the
undervaluation and surpluses described in subsection
(b)(1)(A).
(2) Exception.--The President may not apply a prohibition
under paragraph (1)(B) with respect to a country that is a
party to the Agreement on Government Procurement or a free
trade agreement to which the United States is a party.
(3) Consultations.--
(A) Office of management and budget.--Before applying a
prohibition under paragraph (1)(B), the President shall
consult with the Director of the Office of Management and
Budget to determine whether such prohibition would subject
the taxpayers of the United States to unreasonable cost.
(B) Congress.--The President shall consult with the
appropriate committees of Congress with respect to any action
the President takes under paragraph (1)(B), including whether
the President has consulted as required under subparagraph
(A).
(d) Definitions.--In this section:
(1) Agreement on government procurement.--The term
``Agreement on Government Procurement'' means the agreement
referred to in section 101(d)(17) of the Uruguay Round
Agreements Act (19 U.S.C. 3511(d)(17)).
(2) Appropriate committees of congress.--The term
``appropriate committees of Congress'' means--
(A) the Committee on Banking, Housing, and Urban Affairs
and the Committee on Finance of the Senate; and
(B) the Committee on Financial Services and the Committee
on Ways and Means of the House of Representatives.
(3) Country.--The term ``country'' means a foreign country,
dependent territory, or possession of a foreign country, and
may include an association of 2 or more foreign countries,
dependent territories, or possessions of countries into a
customs union outside the United States.
(4) Real effective exchange rate.--The term ``real
effective exchange rate'' means a weighted average of
bilateral exchange rates, expressed in price-adjusted terms.
(5) Secretary.--The term ``Secretary'' means the Secretary
of the Treasury.
SEC. 312. ADVISORY COMMITTEE ON INTERNATIONAL EXCHANGE RATE
POLICY.
(a) Establishment.--
(1) In general.--There is established an Advisory Committee
on International Exchange Rate Policy (in this section
referred to as the ``Committee'').
(2) Duties.--The Committee shall be responsible for
advising the Secretary of the Treasury with respect to the
impact of international exchange rates and financial policies
on the economy of the United States.
(b) Membership.--
(1) In general.--The Committee shall be composed of 9
members as follows, none of whom shall be employees of the
Federal Government:
(A) Three members shall be appointed by the President pro
tempore of the Senate, upon the recommendation of the
chairmen and ranking members of the Committee on Banking,
Housing, and Urban Affairs and the Committee on Finance of
the Senate.
(B) Three members shall be appointed by the Speaker of the
House of Representatives upon the recommendation of the
chairmen and ranking members of the Committee on Financial
Services and the Committee on Ways and Means of the House of
Representatives.
(C) Three members shall be appointed by the President.
(2) Qualifications.--Members shall be selected under
paragraph (1) on the basis of their objectivity and
demonstrated expertise in finance, economics, or currency
exchange.
(3) Terms.--
(A) In general.--Members shall be appointed for a term of 2
years or until the Committee terminates.
(B) Reappointment.--A member may be reappointed to the
Committee for additional terms.
(4) Vacancies.--Any vacancy in the Committee shall not
affect its powers, but shall be filled in the same manner as
the original appointment.
(c) Duration of Committee.--
(1) In general.--The Committee shall terminate on the date
that is 2 years after the date of the enactment of this Act
unless renewed by the President for a subsequent 2-year
period.
(2) Continued renewal.--The President may continue to renew
the Committee for successive 2-year periods by taking
appropriate action to renew the Committee prior to the date
on which the Committee would otherwise terminate.
(d) Meetings.--The Committee shall hold not less than 2
meetings each calendar year.
(e) Chairperson.--
(1) In general.--The Committee shall elect from among its
members a chairperson for a term of 2 years or until the
Committee terminates.
(2) Reelection; subsequent terms.--A chairperson of the
Committee may be reelected chairperson but is ineligible to
serve consecutive terms as chairperson.
(f) Staff.--The Secretary of the Treasury shall make
available to the Committee such
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staff, information, personnel, administrative services, and
assistance as the Committee may reasonably require to carry
out the activities of the Committee.
(g) Application of the Federal Advisory Committee Act.--
(1) In general.--Except as provided in paragraph (2), the
provisions of the Federal Advisory Committee Act (5 U.S.C.
App.) shall apply to the Committee.
(2) Exception.--Meetings of the Committee shall be exempt
from the requirements of subsections (a) and (b) of section
10 and section 11 of the Federal Advisory Committee Act
(relating to open meetings, public notice, public
participation, and public availability of documents),
whenever and to the extent it is determined by the President
or the Secretary of the Treasury that such meetings will be
concerned with matters the disclosure of which--
(A) would seriously compromise the development by the
Government of the United States of monetary or financial
policy; or
(B) is likely to--
(i) lead to significant financial speculation in
currencies, securities, or commodities; or
(ii) significantly endanger the stability of any financial
institution.
(h) Authorization of Appropriations.--There are authorized
to be appropriated to the Secretary of the Treasury for each
fiscal year in which the Committee is in effect $1,000,000 to
carry out this section.
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