[Congressional Record (Bound Edition), Volume 147 (2001), Part 16]
[Extensions of Remarks]
[Pages 23308-23309]
[From the U.S. Government Publishing Office, www.gpo.gov]



 INTRODUCTION OF THE TRADE ADJUSTMENT ASSISTANCE FOR WORKERS, FARMERS, 
                   COMMUNITIES AND FIRMS ACT OF 2001

                                 ______
                                 

                            HON. KEN BENTSEN

                                of texas

                    in the house of representatives

                      Wednesday, November 28, 2001

  Mr. BENTSEN. Mr. Speaker, I rise today to introduce the Trade 
Adjustment Assistance for Workers, Farmers, Communities, and Firms Act 
of 2001. This thoughtful and innovative legislation was originally 
introduced in the other body by Senators Bingaman, Baucus and Daschle 
as S. 1209, and I am pleased to introduce it in the House today along 
with my colleague Anna Eshoo.
  On balance, the United States benefits significantly from increased 
trade. Increasing productivity and enhanced means of production through 
new investment in plants and equipment have provided the U.S. with a 
comparative advantage in many sectors of our domestic economy. However, 
too often, proponents of trade liberalization turn a blind eye toward 
those sectors of our economy which do not benefit, especially our 
workers. Existing programs designed to help such workers are lacking 
and outdated. Since its enactment in 1962, trade adjustment assistance 
(``TAA'') has been designed to help American workers cope with the 
changes that occur as a result of international trade. Trade adjustment 
assistance is based on a simple, yet important concept: that the 
federal government has an obligation to assist workers who lose their 
jobs as a direct result of U.S. trade policy. Under TAA, workers are 
eligible for up to 52 weeks of income support, provided they are 
enrolled in re-training. The program also provides job search and 
relocation assistance. Despite low unemployment through the second half 
of the 1990s, the number of workers eligible for TAA has increased. In 
2000, approximately 35,000 workers received TAA benefits. However, many 
affected workers either exhaust benefits too soon, don't qualify or 
don't participate.
  TAA is in need of significant reform and modification. For instance, 
under the existing program, the criteria for the TAA benefits are too 
restrictive, and excludes too many workers who are clearly dislocated 
by trade and need assistance, including secondary workers--such as 
those working for companies that supply factories or manufacturing 
facilities that go out of business as a result of trade. Secondly, the 
program contains a confusing variety of eligibility requirements, 
depending on which form of TAA is desired--including those under the 
NAFTA-TAA program, which is designed to assist workers dislocated 
specifically because of NAFTA. Third, the current program provides 2 
years of training, but only 18 months of COBRA assistance over that 
same period of time. Too often when the payments stop, people are 
forced to discontinue their training. Fourth, if a person goes back to 
work at a part-time job, he or she loses eligibility for TAA training, 
which is contrary to recent trends in other forms of public assistance. 
Finally, one of the most difficult problems displaced workers face is 
that their next job often pays much less than their previous job. About 
one-third of such workers face this circumstance, and older workers are 
especially hard hit.
  This legislation proposes improving upon the current system in a 
number of ways, including the establishment of allowances, training, 
job search, relocation and support service assistance to secondary 
workers, and workers affected by shifts in production. This measure 
would also harmonize existing TAA and NAFTA/TAA programs to provide 
more effective and efficient results for individuals and communities. 
Realizing the difficulty for older workers to change careers, this 
legislation would facilitate on-the-job training and faster re-
employment by providing wage insurance for up to 2 years for part of 
the gap between old and new earnings levels. Additionally, this 
legislation would increase income maintenance from 52 to 78 weeks, 
substantially increase funds available for training, and ensure that 
workers who take a part-time job don't lose training benefits. This 
legislation would also provide a tax credit for 50 percent of COBRA 
payments, increase assistance for job relocation, and link TAA 
recipients to child care and health care benefits under existing 
programs. This bill would also recognize the special circumstances 
faced by family farmers, ranchers and independent fishermen, and would 
seek to provide assistance and consulting before they lose their 
businesses. In addition to current practice, the President, the Senate 
Finance Committee, and the House Ways and Means Committee would be 
able, by resolution, to initiate a TAA certification process for an 
affected industry.
  To help communities respond to job losses more quickly and 
efficiently, this bill would strengthen the state-based Workforce 
Investment Act (``WIN'') programs to expedite trade adjustment 
assistance applications. As a part of TAA reform, this measure would 
encourage greater cooperation between federal, state, regional, and 
local agencies that deal with individuals receiving trade adjustment 
assistance. At present, individuals receiving trade adjustment 
assistance can obtain counseling from one-stop shops in their region, 
but typically this is limited to information related to allowances and 
training, Information concerning funds available through other Federal 
departments and agencies is frequently not available, including 
information on health care for individuals and their families. To 
prevent the

[[Page 23309]]

creation of duplicative programs and to use the funds that are 
currently available, this legislation would establish an inter-agency 
working group on trade adjustment assistance be created and that a 
inter-agency database on Federal, State, and local resources available 
to TAA recipients be established.
  Mr. Speaker, passage of this legislation is extremely important, as 
it directly addresses the question of how Congress will assist those 
workers and communities negatively impacted by international trade. It 
is also long overdue, as Congress has discussed reform of the trade 
adjustment assistance programs for a number of years. I believe it is 
time to act, and I think we have a unique opportunity to act in that 
there is interest both in Congress and the Administration to improve 
the trade adjustment assistance programs in a fundamental and a 
beneficial way. Congress should pass legislation that will make these 
improvements in the trade adjustment assistance program, and I ask my 
colleagues to support this bill.

                          ____________________