[Congressional Record (Bound Edition), Volume 147 (2001), Part 2]
[House]
[Pages 1995-2000]
[From the U.S. Government Publishing Office, www.gpo.gov]



              ELECTRONIC COMMERCE ENHANCEMENT ACT OF 2001

  Mr. BOEHLERT. Mr. Speaker, I move to suspend the rules and pass the 
bill (H.R. 524) to require the Director of the National Institute of 
Standards and Technology to assist small and medium-sized manufacturers 
and other such businesses to successfully integrate and utilize 
electronic commerce technologies and business practices, and to 
authorize the National Institute of Standards and Technology to assess 
critical enterprise integration standards and implementation activities 
for major manufacturing industries and to develop a plan for enterprise 
integration for each major manufacturing industry.
  The Clerk read as follows:

                                H.R. 524

       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 ``Electronic Commerce 
     Enhancement Act of 2001''.

                      TITLE I--ELECTRONIC COMMERCE

     SEC. 101. FINDINGS.

       The Congress finds the following:
       (1) Commercial transactions on the Internet, whether retail 
     business-to-customer or business-to-business, are commonly 
     called electronic commerce.
       (2) In the United States, business-to-business transactions 
     between small and medium-sized manufacturers and other such 
     businesses and their suppliers is rapidly growing, as many of 
     these businesses begin to use Internet connections for 
     supply-chain management, after-sales support, and payments.
       (3) Small and medium-sized manufacturers and other such 
     businesses play a critical role in the United States economy.
       (4) Electronic commerce can help small and medium-sized 
     manufacturers and other such businesses develop new products 
     and markets, interact more quickly and efficiently with 
     suppliers and customers, and improve productivity by 
     increasing efficiency and reducing transaction costs and 
     paperwork. Small and medium-sized manufacturers and other 
     such businesses who fully exploit the potential of electronic 
     commerce activities can use it to interact with customers, 
     suppliers, and the public, and for external support functions 
     such as personnel services and employee training.
       (5) The National Institute of Standards and Technology's 
     Manufacturing Extension Partnership program has a successful 
     record of assisting small and medium-sized manufacturers and 
     other such businesses. In addition, the Manufacturing 
     Extension Partnership program, working with the Small 
     Business Administration, successfully assisted United States 
     small enterprises in remediating their Y2K computer problems.
       (6) A critical element of electronic commerce is the 
     ability of different electronic commerce systems to exchange 
     information. The continued growth of electronic commerce will 
     be enhanced by the development of private voluntary 
     interoperability standards and testbeds to ensure the 
     compatibility of different systems.

     SEC. 102. REPORT ON THE UTILIZATION OF ELECTRONIC COMMERCE.

       (a) Advisory Panel.--The Director of the National Institute 
     of Standards and Technology (in this title referred to as the 
     ``Director'') shall establish an Advisory Panel to report on 
     the challenges facing small and medium-sized manufacturers 
     and other such businesses in integrating and utilizing 
     electronic commerce technologies and business practices. The 
     Advisory Panel shall be comprised of representatives of the 
     Technology Administration, the National Institute of 
     Standards and Technology's Manufacturing Extension 
     Partnership program established under sections 25 and 26 of 
     the National Institute of Standards and Technology Act (15 
     U.S.C. 278k and 278l), the Small Business Administration, and 
     other relevant parties as identified by the Director.
       (b) Initial Report.--Within 12 months after the date of the 
     enactment of this Act, the Advisory Panel shall report to the 
     Director and to the Committee on Science of the House of 
     Representatives and the Committee on Commerce, Science, and 
     Transportation of the Senate on the immediate requirements of 
     small and medium-sized manufacturers and other such 
     businesses to integrate and utilize electronic commerce 
     technologies and business practices. The report shall--
       (1) describe the current utilization of electronic commerce 
     practices by small and medium-sized manufacturers and other 
     such businesses, detailing the different levels between 
     business-to-retail customer and business-to-business 
     transactions;
       (2) describe and assess the utilization and need for 
     encryption and electronic authentication components and 
     electronically stored data security in electronic commerce 
     for small and medium-sized manufacturers and other such 
     businesses;
       (3) identify the impact and problems of interoperability to 
     electronic commerce, and include an economic assessment; and
       (4) include a preliminary assessment of the appropriate 
     role of, and recommendations for, the Manufacturing Extension 
     Partnership program to assist small and medium-sized 
     manufacturers and other such businesses to integrate and 
     utilize electronic commerce technologies and business 
     practices.
       (c) Final Report.--Within 18 months after the date of the 
     enactment of this Act, the Advisory Panel shall report to the 
     Director and to the Committee on Science of the House of 
     Representatives and the Committee on Commerce, Science, and 
     Transportation of the Senate a 3-year assessment of the needs 
     of small and medium-sized manufacturers and other such 
     businesses to integrate and utilize electronic commerce 
     technologies and business practices. The report shall 
     include--
       (1) a 3-year planning document for the Manufacturing 
     Extension Partnership program in the field of electronic 
     commerce; and
       (2) recommendations, if necessary, for the National 
     Institute of Standards and Technology to address 
     interoperability issues in the field of electronic commerce.

     SEC. 103. ELECTRONIC COMMERCE PILOT PROGRAM.

       The National Institute of Standards and Technology's 
     Manufacturing Extension Partnership program, in consultation 
     with the Small Business Administration, shall establish a 
     pilot program to assist small and medium-sized manufacturers 
     and other such businesses in integrating and utilizing 
     electronic commerce technologies and business practices. The 
     goal of the pilot program shall be to provide small and 
     medium-sized manufacturers and other such businesses with the 
     information they need to make informed decisions in utilizing 
     electronic commerce-related goods and services. Such program 
     shall be implemented through a competitive grants program for 
     existing Regional Centers for the Transfer of Manufacturing 
     Technology established under section 25 of the National 
     Institute of Standards and Technology Act (15 U.S.C. 278k). 
     In carrying out this section, the Manufacturing Extension 
     Partnership program shall consult with the Advisory Panel and 
     utilize the Advisory Panel's reports.

                    TITLE II--ENTERPRISE INTEGRATION

     SEC. 201. ENTERPRISE INTEGRATION ASSESSMENT AND PLAN.

       (a) Assessment.--The Director shall work to identify 
     critical enterprise integration standards and implementation 
     activities for major manufacturing industries underway in the 
     United States. For each major manufacturing industry, the 
     Director shall work with industry representatives and 
     organizations currently engaged in enterprise integration 
     activities and other appropriate representatives as 
     necessary. They shall assess the current state of enterprise 
     integration within the industry, identify the remaining steps 
     in achieving enterprise integration, and work toward 
     agreement on the roles of the National Institute of Standards 
     and Technology and of the private sector in that process. 
     Within 90 days after the date of the enactment of this Act, 
     the Director shall report to

[[Page 1996]]

     the Congress on these matters and on anticipated related 
     National Institute of Standards and Technology activities for 
     the then current fiscal year.
       (b) Plans and Reports.--Within 180 days after the date of 
     the enactment of this Act, the Director shall submit to the 
     Congress a plan for enterprise integration for each major 
     manufacturing industry, including milestones for the National 
     Institute of Standards and Technology portion of the plan, 
     the dates of likely achievement of those milestones, and 
     anticipated costs to the Government and industry by fiscal 
     year. Updates of the plans and a progress report for the past 
     year shall be submitted annually until for a given industry, 
     in the opinion of the Director, enterprise integration has 
     been achieved.

     SEC. 202. DEFINITIONS.

       For purposes of this title--
       (1) the term ``Director'' means the Director of the 
     National Institute of Standards and Technology;
       (2) the term ``enterprise integration'' means the 
     electronic linkage of manufacturers, assemblers, and 
     suppliers to enable the electronic exchange of product, 
     manufacturing, and other business data among all businesses 
     in a product supply chain, and such term includes related 
     application protocols and other related standards; and
       (3) the term ``major manufacturing industry'' includes the 
     aerospace, automotive, electronics, shipbuilding, 
     construction, home building, furniture, textile, and apparel 
     industries and such other industries as the Director 
     designates.

  The SPEAKER pro tempore. Pursuant to the rule, the gentleman from New 
York (Mr. Boehlert) and the gentleman from Michigan (Mr. Barcia) each 
will control 20 minutes.
  The Chair recognizes the gentleman from New York (Mr. Boehlert).


                             General Leave

  Mr. BOEHLERT. Mr. Speaker, I ask unanimous consent that all Members 
may have 5 legislative days within which to revise and extend their 
remarks on H.R. 524.
  The SPEAKER pro tempore. Is there objection to the request of the 
gentleman from New York?
  There was no objection.
  Mr. BOEHLERT. Mr. Speaker, I yield myself such time as I may consume.
  During a busy day, most Americans probably do not stop to think about 
the impact small manufacturing has on all of our lives. In fact, most 
Americans would be surprised to learn that it is all but impossible to 
get through a day without using and benefiting from the many products 
created by our Nation's small manufacturers. Everything from the alarm 
clock ringing in the morning, to the clothes we wear, to the 
communications equipment C-SPAN uses to broadcast these House 
proceedings live can be attributed in part to small manufacturing.
  It is not surprising, then, that small manufacturers contribute so 
greatly to our Nation's economic growth and prosperity. Small 
manufacturers employ over 12 million Americans, translating to nearly 1 
in 10 workers nationwide. It is estimated that a manufacturing sale of 
$1 results in an increase of total output in the economy of $2.30. As 
they seek to remain a driving force in our Nation's economy, one of the 
greatest challenges facing small manufacturers in the coming decade 
will be the need to implement successful e-commerce business strategies 
allowing them to better compete in the burgeoning information age.
  It is estimated that sales in electronic commerce alone will reach 
nearly $3.2 trillion by the year 2003. Small manufacturers who 
successfully embrace new technology and all its benefits will be able 
to capitalize on the growing trend in online sales and have the 
potential to increase both their productivity and revenues. Beyond 
online sales, e-commerce can help small manufacturers develop new 
products and markets while at the same time allowing them to interact 
more quickly and efficiently with their suppliers and customers.
  I am pleased to join the gentleman from Michigan (Mr. Barcia), the 
ranking member of the Subcommittee on Environment, Technology and 
Standards, as an original cosponsor of H.R. 524, the Electronic 
Commerce Enhancement Act. H.R. 524 will allow the director of the 
National Institutes of Standards and Technology, which we all know as 
NIST, to establish an advisory panel comprised of both government and 
private sector representatives that will provide Congress with a 
comprehensive report detailing the challenges facing small 
manufacturers in integrating and utilizing electronic commerce 
technologies.
  The report will also require a 3-year blueprint for NIST's 
Manufacturing Extension Partnership program, or MEP, in the area of 
electronic commerce. MEP, with over 400 centers in all 50 States, has 
been a valuable technology transfer resource for many small 
manufacturers nationwide. By establishing a 3-year plan, we will have a 
better idea of how NIST MEP can be most useful in helping small 
manufacturers overcome the barriers they face in the electronic world.
  Finally, H.R. 524 establishes a limited e-commerce pilot program 
administered through the Manufacturing Extension Partnership program, 
in conjunction with the Small Business Administration, aimed at 
assisting small manufacturers to integrate e-commerce business 
strategies. Last Congress, the House passed legislation mirroring H.R. 
524 by voice vote. Unfortunately, Congress adjourned before the Senate 
could act on the measure. I am hopeful we will be able to get the bill 
signed into law this year. Accordingly, I urge my colleagues to join me 
in support of the Electronic Commerce Enhancement Act of 2001.
  Let me close my formal remarks by commending my colleague, good 
friend, and partner, the gentleman from Michigan (Mr. Barcia), for his 
tenaciousness, for his innovativeness and for the hard work that has 
produced this product.
  Mr. Speaker, I reserve the balance of my time.
  Mr. BARCIA. Mr. Speaker, I yield myself such time as I may consume. I 
too want to commend my very good friend and distinguished colleague in 
his, I believe, maiden remarks on the floor here as the new full 
Committee on Science chairman.
  I want to express my gratitude to both the gentleman from New York 
(Mr. Boehlert) as well as the gentleman from Michigan (Mr. Ehlers) for 
their spirit of bipartisanship which is a continuation of the good 
working relationship which our committee enjoyed in the last several 
sessions but certainly bodes well in this new session.
  Certainly the fact is not lost that the first action in this new 
session of the committee is reporting a Democratic bill. For that I am 
very grateful. I want to say how much I look forward to continuing to 
work with the gentleman from New York and continuing that great spirit 
of bipartisanship which the Committee on Science has been so well 
renowned for and to say how delighted we are that he will be leading 
our full committee efforts here in committee and on the floor.
  Mr. Speaker, I rise in support of H.R. 524, the Electronic Commerce 
Enhancement Act. H.R. 524 represents a bipartisan effort to assist 
small and medium-sized enterprises to bringing their businesses online. 
H.R. 524 is the same text as H.R. 4429 which was reported by the 
Committee on Science and passed by the House in the 106th Congress.
  The bill before us today reflects again a bipartisan consensus. I, 
the gentleman from New York (Mr. Boehlert), the gentleman from Texas 
(Mr. Hall), and the gentleman from Michigan (Mr. Ehlers), along with 
other Members, decided to reintroduce this legislation because of the 
challenges small and medium-sized businesses face in implementing the 
electronic commerce activities. As large corporations move their 
business transactions online, small companies in the supply chain must 
go online as well. However, many of these small companies lack the 
information they need to make informed decisions on choosing e-commerce 
products and services. The Electronic Commerce Enhancement Act 
addresses this problem.
  First, H.R. 524 establishes an advisory panel to assess the e-
commerce needs of small businesses. This advisory panel should 
represent an equal partnership between industry, government, and other 
affected groups. The Manufacturing Extension Partnership, working with 
the advisory panel, will establish a pilot program at MEP centers to 
provide small businesses with

[[Page 1997]]

the information they need to make informed, intelligent purchases of e-
commerce products and services.

                              {time}  1200

  This bill also addresses the issue of interoperability in the 
manufacturing supply chain. Adoption of e-commerce practices within a 
supply chain can be hindered by the lack of interoperability of 
software, hardware, and networks in exchanging product data and other 
key business information.
  For example, a recent study indicated losses of $1 billion in terms 
of productivity due to interoperability problems in the automotive 
supply chain. Other industries with complex manufacturing requirements 
could be expected to suffer similar losses.
  The National Institute of Standards and Technology, or NIST, has 
supported the first phase of an automotive supply chain 
interoperability study in my home State of Michigan. This program was 
highly successful and strongly supported by industry. H.R. 524 builds 
upon this preliminary effort. NIST would perform an assessment to 
identify critical enterprise integration standards and implementation 
activities and report back to Congress.
  I want to thank also the gentlewoman from Maryland (Chairwoman 
Morella) for working with me on this legislation in the last Congress 
and also want to thank the gentleman from Wisconsin (Chairman 
Sensenbrenner) for his efforts to bring this bill to the floor in the 
106th Congress as well.
  Of course, I want to thank our new Committee on Science chairman, as 
I just mentioned, the gentleman from New York (Chairman Boehlert), as 
well as the gentleman from Michigan (Chairman Ehlers) and the ranking 
member, the gentleman from Texas (Mr. Hall), for cosponsoring this 
legislation and supporting bringing it to the floor so expeditiously. I 
hope this represents the first of many bipartisan Committee on Science 
bills that we will bring to the floor of the 107th Congress.
  Mr. Speaker, the manufacturing extension partnership has a proven 
track record of helping thousands of small businesses across the 
country. The National Institute of Standards and Technology has 
continually worked in partnership with the private sector to make 
advancements that benefit countless American businesses.
  In closing, I believe this bill represents sound and reasonable 
policy that builds upon the impressive history of these Federal 
agencies. I urge my colleagues to support this measure.
  Mr. Speaker, I reserve the balance of my time.
  Mr. BOEHLERT. Mr. Speaker, I am pleased to yield 6 minutes to the 
gentleman from Michigan (Mr. Ehlers), the distinguished chairman of the 
Subcommittee on Environment, Technology and Standards.
  Mr. EHLERS. Mr. Speaker, I thank the chairman for yielding me time.
  Mr. Speaker, I welcome the gentleman from Michigan (Mr. Barcia) to 
the ranking member position on the Subcommittee on Environment, 
Technology and Standards; and I look forward to working with him. We 
have been friends for many years, first in the Michigan House, then the 
Michigan Senate, and now in the Congress, and especially on this 
particular subcommittee.
  Mr. Speaker, I rise today in support of H.R. 524, the Electronic 
Commerce Enhancement Act of 2001. Small manufacturers play a vital role 
in our society. Each and every day we all rely on the many goods they 
produce to help sustain and improve our lives. Small manufacturers are 
an integral part of our communities, employing hundreds of our friends 
and neighbors and acting as anchors that help to foster growth and 
prosperity in many small towns across our Nation. In our inner cities, 
it is often small manufacturers that have helped to spur urban renewal 
and act as the industrial foundation in our metropolitan areas.
  Recently I visited a factory in my district. It is a classic example 
of what I just described here. A gentleman purchased a faltering plant 
which was on the verge of bankruptcy. It had 50 employees. He 
reinvigorated it; and through good management and advanced techniques 
of manufacturing, including communication, he became a supplier of 
parts for the Chrysler Corporation, now the Daimler Chrysler 
Corporation. At the time I visited, he had 250 employees and he said he 
had work for 500, if he could only find qualified individuals to work 
there.
  He also showed me a machine that was producing parts for the Chrysler 
minivan. He had produced 2 million of those parts for the Chrysler 
Corporation, without one single rejection by them for defects. He was 
very proud of his record. That is the type of thing small manufacturers 
do so well.
  The future success and growth of many small manufacturers such as 
that will increasingly rely on their ability to adapt to the ever-
changing electronic business environment. In a recent survey, nearly 80 
percent of small manufacturers reported having a Web page, which is 
good; but only 25 percent indicated they used the Internet for direct 
sales. This means that most small manufacturers are missing out on an 
estimated $3.2 trillion in e-commerce sales over the next 2 years. They 
are also missing out on the opportunity the Internet offers to spur new 
product development and markets while at the same time streamlining and 
improving their daily business operations.
  There are many obstacles preventing small manufacturing from fully 
engaging in the new electronic-driven business environment. Costs 
associated with integrating even the most basic e-commerce initiatives, 
coupled with the uncertainty and the fast-paced changes in technology, 
often hinder small manufacturers' attempts to venture into the 
electronic world.
  Just as an example, encryption is a very important part of business 
commerce. Very few small manufacturers have the expertise to deal with 
encryption problems and ensure the security, privacy, and integrity of 
their transmissions.
  In addition to that, we need standardization of protocols between 
large manufacturers and their suppliers. We have to have enterprise 
integration and interoperability. If the smaller manufacturers are 
going to be able to communicate with the large number of manufacturers 
that they supply, they should not have to be required to put in 
different systems for every manufacturer they deal with.
  In addition to this, a lack of qualified trained technology workers 
in the marketplace today makes it difficult to successfully integrate 
technology into the workplace in a meaningful way. Over half the small 
manufacturers surveyed revealed that human resource shortages were a 
major problem when trying to implement their e-commerce plans.
  I would add parenthetically here that I have introduced legislation 
to improve K-12 math-science education, which would go a long way 
toward solving the problems that are indicated in the previous 
paragraph and that I also mentioned earlier for the manufacturer in my 
district who could not find the employees he needed.
  H.R. 524 is an important piece of legislation because it will help us 
get a better picture of all of the barriers preventing small 
manufacturers from successfully implementing electronic commerce 
strategies by having both government and private-sector representatives 
take a closer look at the problem.
  In addition, the limited pilot program created by H.R. 524 will tell 
us what is and what is not working in the workplace. NIST's 
Manufacturing Extension Partnership program, or MEP, working in 
conjunction with the Small Business Administration, is uniquely suited 
to assist small manufacturers in this endeavor. The hundreds of MEP 
centers all across the country have a proven track record in 
effectively providing small manufacturers with the advice and expertise 
they need in order to succeed.
  I am pleased to join the chairman of the Committee on Science, the 
gentleman from New York (Mr. Boehlert), and the ranking member of the 
Subcommittee on Environment, Technology and Standards, the gentleman 
from Michigan (Mr. Barcia), as an original cosponsor of H.R. 524.
  Mr. Speaker, I urge all of my colleagues to join me in support of the

[[Page 1998]]

Electronic Commerce Enhancement Act of 2001.
  Mr. BOEHLERT. Mr. Speaker, I yield 2 minutes to the distinguished 
gentleman from Virginia (Mr. Goodlatte).
  Mr. GOODLATTE. Mr. Speaker, I thank the chairman for yielding me time 
and for his leadership on this issue.
  Mr. Speaker, I rise today in support of the Electronic Commerce 
Enhancement Act of 2001, a bill that recognizes the importance of the 
Internet and e-commerce to our economy. This bill also recognizes the 
importance of business-to-business transactions by small- to medium-
sized businesses via the Internet. As technology continues to grow, 
unfortunately, many small- to medium-sized companies have not been able 
to utilize the potential of the Internet as a business tool. In order 
to help these companies contribute to economic growth, this bill 
assists in developing tools to alleviate the problems of 
interoperability.
  H.R. 524 will help promote electronic commerce in these small- to 
medium-sized companies by identifying the challenges that they face and 
establishing programs to assist them in overcoming these obstacles. 
These programs include the electronic linkage of manufacturers, 
assemblers, and suppliers that will enable them to exchange product, 
manufacturing and other business data within the supply chain. By 
allowing the National Institute of Standards and Technology technology 
to assist small- and medium-sized businesses to successfully integrate 
electronic commerce, Congress will promote effective standards for 
helping these businesses prosper in our economy.
  I want to thank the gentleman from Michigan (Mr. Barcia) and the 
gentleman from Michigan (Mr. Ehlers) for their work in recognizing the 
importance of small businesses, the gentleman from Wisconsin (Mr. 
Sensenbrenner) for his work in passing this bill in the 106th Congress, 
and the gentleman from New York (Chairman Boehlert) for his new 
leadership on the Committee on Science and on this issue. I urge my 
colleagues to support this legislation.
  Mr. BOEHLERT. Mr. Speaker, I yield 3 minutes to the distinguished 
gentlewoman from Maryland (Mrs. Morella), the senior member of the 
committee.
  Mrs. MORELLA. Mr. Speaker, I thank the gentleman for yielding, and I 
certainly want to thank him as chairman of the Committee on Science for 
bringing this issue to the floor and for his strong support of it.
  Obviously, the ranking member of our Subcommittee on Technology for 
the last years, the gentleman from Michigan (Mr. Barcia), who 
introduced this legislation, I wanted to commend him and indicate my 
very strong support for it.
  Introduction of this bill represents a very strong bipartisan effort 
to assist small- and medium-sized businesses as they move their 
operations into an e-commerce environment.
  Enacted, this legislation will also improve the interoperability of 
the electronic transfer of technical information in the manufacturing 
supply chain. The lack of interoperability between software, hardware, 
and networks in exchanging product data and other key business 
information obviously is hurting U.S. productivity.
  The costs of this barrier are enormous. According to a study 
conducted by the National Institute of Standards and Technology of 
product data exchange in the automotive sector alone, the inability to 
efficiently exchange product data through the automotive supply chain 
conservatively costs about $1 billion a year.
  Mr. Speaker, this bill was introduced in the 106th Congress, reported 
out of the Subcommittee on Technology, which I chaired and the 
gentleman from Michigan (Mr. Barcia) was the ranking member, and at 
that time the bill was then passed unanimously by the House.
  The bill would also allow the National Institute of Standards and 
Technology to work with business and industry to develop voluntary 
standards, standards that will assure that U.S. firms will and can 
continue to exploit the power of the Internet to collaborate with 
trading partners and through greater speed and agility to participate 
in the global markets.
  Again, I thank my colleagues for bringing this important issue to the 
floor. I urge all of my colleagues to support H.R. 524.
  Mr. BOEHLERT. Mr. Speaker, I yield such time as he may consume to the 
distinguished gentleman from Florida (Mr. Stearns).
  Mr. STEARNS. Mr. Speaker, I thank my distinguished colleague for 
yielding me time.
  Mr. Speaker, I rise in support of H.R. 524, but I do so with some 
reservation. I am troubled by the bill on two particular grounds: 
first, its potential negative impact on e-commerce; and, two, its 
encroachment on the Committee on Energy and Commerce jurisdiction.
  Let me take the negative impact on e-commerce and explain this more 
fully. H.R. 524 ``authorizes the National Institute of Standards and 
Technology to assess critical enterprise integration standards and 
implementation activities for major manufacturing industries and to 
develop a plan for enterprise integration for each major industry.''
  Mr. Speaker, such an authorization seemingly grants an open 
invitation to a Federal Government entity, NIST, to meddle in voluntary 
standard-setting activities by private parties relating to business-to-
business electronic exchanges.

                              {time}  1215

  Such a governmental intervention could harbor substantial negative 
repercussions for e-commerce. Voluntary standards-setting activities by 
private, non-governmental parties have been credited with the vibrancy 
and innovation associated with our e-commerce industry. Industry 
enterprise integration or business-to-business exchanges are a critical 
component of our e-commerce sector. Today, transactions on such 
exchanges represent 85 percent of the total value of e-commerce.
  The Federal government injecting itself into a business-to-business 
exchange standard-setting activities in our view on the Committee on 
Commerce holds no other promise but to retard dynamic and innovative 
change synonymous with e-commerce.
  Moreover, authorizing such a government intervention sends the wrong 
signal to our trading partners in Europe. The European Union Commission 
is favorably inclined to inject itself into private standard-setting 
activities. This makes for a bad recipe for the future of global e-
commerce.
  Too, Mr. Speaker, my other concern is with jurisdiction. As the title 
of H.R. 524 clearly denotes, electronic commerce is the focal point of 
this legislation. The Committee on Energy and Commerce is the committee 
of jurisdiction over matters relating to electronic commerce. The 
committee's jurisdiction over electronic commerce is perfectly clear. 
E-commerce is a mere subcategory of interstate and foreign commerce 
and, as such, is undeniably within the purview of the committee's long-
standing jurisdiction.
  The committee also has repeatedly dealt with e-commerce issues, as 
exemplified by its leadership role on the following issues: No. 1, 
encryption; No. 2, electronic authentication of electronic signatures; 
No. 3, data security; and No. 4, interoperability.
  H.R. 524 is within the committee's jurisdiction and should have been 
referred to it. The time for such a referral may have passed, but I 
assure the Members that we, the Committee on Energy and Commerce, will 
vigorously exert our jurisdiction over interstate commerce irrespective 
of the medium; that is, electronic or mobile.
  The committee will carefully monitor NIST standard-setting 
activities, as outlined in H.R. 524.
  Mr. BARCIA. Mr. Speaker, I yield myself such time as I may consume.
  Mr. Speaker, I would just like to respond to some of the comments 
made by the gentleman from Florida.
  Obviously, in the last session we dealt with this issue and it passed 
unanimously through the House as far as the jurisdictional issue. I 
understand that some of the committee jurisdictions are still, as we 
speak, being delineated and settled.
  I understand the gentleman's concern about having NIST establish 
structures

[[Page 1999]]

in terms of the interoperability issue, but I want to assure the 
gentleman from Florida that the automotive industry spoke strongly in 
favor of this legislation, based on their experience in Michigan that 
they had with a program called STEP, which, as I mentioned, the 
Manufacturing Extension Partnership based in Ann Arbor, Michigan, had 
worked with the automotive industry to put in place.
  It has been a very successful program, and the automotive industry, 
which is greatly impacted by this legislation, was very strongly 
supportive and worked with our leadership of the subcommittee and the 
full committee to ensure that we would not be setting precedents or 
addressing some of the issues, perhaps, that the gentleman has concerns 
about.
  But we will be mindful of that, and hopefully enjoy support on 
passing this bill.
  Mr. Speaker, if I could make one last comment about also my colleague 
and friend, the gentleman from Michigan, and congratulate him on his 
ascension to the chairmanship of the Subcommittee on the Environment, 
Technology, and Standards, of which this morning I was selected as the 
ranking member.
  I just want to say, as my good friend, the gentleman from Michigan 
(Mr. Ehlers) indicated, we have had the privilege of serving together 
in the State House in Michigan, the State Senate, and then coming to 
Congress together.
  I want to say that I am delighted to be able to work with someone who 
has been a long-time friend, and someone who, throughout his tenure 
both in the Michigan legislature as well as here in Congress, has been 
recognized as one of certainly the most thoughtful and effective 
Members of both the State legislature and Congress.
  I look forward to working with our new leadership, the new Chair, and 
of course my long-time friend, the gentleman from Michigan (Mr. 
Ehlers), of the subcommittee.
  I also want to thank our former Chair, the gentlewoman from Maryland 
(Mrs. Morella), for her just absolutely great administration of our 
subcommittee. I think if we looked at the full committee and our 
subcommittee, we probably would have one of the best track records of 
bipartisanship in the entire Congress, and certainly all of us on the 
Democratic side in that subcommittee really appreciated her role, and 
the fairness and objectivity and spirit of bipartisanship that she 
carried throughout her tenure as the chair of the subcommittee. Again, 
I thank the chairman and the gentlewoman from Maryland (Mrs. Morella).
  Mr. Speaker, I yield back the balance of my time.
  Mr. BOEHLERT. Mr. Speaker, I have no further requests for time, and I 
yield back the balance of my time.
  The SPEAKER pro tempore (Mr. Simpson). The question is on the motion 
offered by the gentleman from New York (Mr. Boehlert) that the House 
suspend the rules and pass the bill, H.R. 524.
  The question was taken.
  The SPEAKER pro tempore. In the opinion of the Chair, two-thirds of 
those present have voted in the affirmative.
  Mr. BOEHLERT. Mr. Speaker, I object to the vote on the ground that a 
quorum is not present and make the point of order that a quorum is not 
present.
  The SPEAKER pro tempore. Evidently a quorum is not present.
  The Sergeant at Arms will notify absent Members.
  Pursuant to clause 8 of rule XX, this 15-minute vote on the motion to 
suspend the rules and pass H.R. 524 will be followed immediately by a 
5-minute vote on the question of passage of H.R. 554, on which the yeas 
and nays were ordered.
  The vote was taken by electronic device, and there were--yeas 409, 
nays 6, not voting 17, as follows:

                             [Roll No. 14]

                               YEAS--409

     Abercrombie
     Aderholt
     Akin
     Allen
     Andrews
     Armey
     Baca
     Bachus
     Baird
     Baker
     Baldacci
     Baldwin
     Ballenger
     Barcia
     Barr
     Barrett
     Bartlett
     Barton
     Bass
     Becerra
     Bentsen
     Bereuter
     Berkley
     Berman
     Berry
     Biggert
     Bilirakis
     Bishop
     Blagojevich
     Blumenauer
     Blunt
     Boehlert
     Boehner
     Bonior
     Borski
     Boswell
     Boucher
     Boyd
     Brady (PA)
     Brady (TX)
     Brown (FL)
     Brown (OH)
     Brown (SC)
     Bryant
     Burr
     Buyer
     Callahan
     Calvert
     Camp
     Cannon
     Cantor
     Capps
     Capuano
     Cardin
     Carson (IN)
     Carson (OK)
     Castle
     Chabot
     Chambliss
     Clay
     Clayton
     Clement
     Clyburn
     Coble
     Combest
     Condit
     Conyers
     Costello
     Cox
     Coyne
     Cramer
     Crane
     Crenshaw
     Crowley
     Culberson
     Cummings
     Cunningham
     Davis (CA)
     Davis (FL)
     Davis (IL)
     Davis, Jo Ann
     Deal
     DeFazio
     DeGette
     Delahunt
     DeLauro
     DeLay
     DeMint
     Deutsch
     Diaz-Balart
     Dicks
     Dingell
     Doggett
     Dooley
     Doolittle
     Doyle
     Dreier
     Duncan
     Dunn
     Edwards
     Ehlers
     Ehrlich
     Emerson
     Engel
     English
     Eshoo
     Etheridge
     Evans
     Everett
     Farr
     Fattah
     Ferguson
     Filner
     Fletcher
     Foley
     Ford
     Fossella
     Frank
     Frelinghuysen
     Frost
     Gallegly
     Ganske
     Gekas
     Gephardt
     Gibbons
     Gilchrest
     Gillmor
     Gilman
     Gonzalez
     Goode
     Goodlatte
     Gordon
     Goss
     Graham
     Granger
     Graves
     Green (TX)
     Green (WI)
     Greenwood
     Grucci
     Gutierrez
     Gutknecht
     Hall (OH)
     Hall (TX)
     Hansen
     Harman
     Hart
     Hastings (FL)
     Hastings (WA)
     Hayes
     Hayworth
     Hefley
     Herger
     Hill
     Hilleary
     Hilliard
     Hinchey
     Hinojosa
     Hobson
     Hoeffel
     Hoekstra
     Holden
     Holt
     Honda
     Hooley
     Horn
     Houghton
     Hoyer
     Hulshof
     Hunter
     Hutchinson
     Hyde
     Inslee
     Isakson
     Israel
     Issa
     Jackson (IL)
     Jackson-Lee (TX)
     Jefferson
     Jenkins
     John
     Johnson (CT)
     Johnson (IL)
     Johnson, E. B.
     Johnson, Sam
     Jones (NC)
     Jones (OH)
     Kanjorski
     Kaptur
     Keller
     Kelly
     Kennedy (MN)
     Kennedy (RI)
     Kerns
     Kildee
     Kilpatrick
     Kind (WI)
     King (NY)
     Kingston
     Kirk
     Kleczka
     Knollenberg
     Kolbe
     Kucinich
     LaFalce
     LaHood
     Lampson
     Langevin
     Lantos
     Largent
     Larsen (WA)
     Larson (CT)
     Latham
     LaTourette
     Leach
     Lee
     Levin
     Lewis (GA)
     Lewis (KY)
     Linder
     Lipinski
     LoBiondo
     Lofgren
     Lowey
     Lucas (KY)
     Lucas (OK)
     Luther
     Maloney (CT)
     Maloney (NY)
     Manzullo
     Markey
     Mascara
     Matheson
     Matsui
     McCarthy (MO)
     McCarthy (NY)
     McCollum
     McCrery
     McDermott
     McGovern
     McHugh
     McInnis
     McIntyre
     McKeon
     McKinney
     McNulty
     Meehan
     Meek (FL)
     Meeks (NY)
     Menendez
     Mica
     Millender-McDonald
     Miller (FL)
     Miller, Gary
     Miller, George
     Mink
     Moakley
     Moore
     Moran (KS)
     Moran (VA)
     Morella
     Murtha
     Myrick
     Nadler
     Napolitano
     Neal
     Nethercutt
     Ney
     Northup
     Norwood
     Nussle
     Oberstar
     Obey
     Olver
     Osborne
     Ose
     Otter
     Owens
     Oxley
     Pallone
     Pascrell
     Pastor
     Payne
     Pelosi
     Pence
     Peterson (MN)
     Peterson (PA)
     Petri
     Phelps
     Pickering
     Pitts
     Platts
     Pombo
     Pomeroy
     Portman
     Price (NC)
     Pryce (OH)
     Quinn
     Radanovich
     Rahall
     Ramstad
     Rangel
     Regula
     Rehberg
     Reyes
     Reynolds
     Riley
     Rivers
     Rodriguez
     Roemer
     Rogers (KY)
     Rogers (MI)
     Rohrabacher
     Ros-Lehtinen
     Ross
     Rothman
     Roukema
     Roybal-Allard
     Royce
     Rush
     Ryan (WI)
     Ryun (KS)
     Sabo
     Sanchez
     Sanders
     Sandlin
     Sawyer
     Saxton
     Scarborough
     Schakowsky
     Schiff
     Schrock
     Scott
     Sensenbrenner
     Serrano
     Sessions
     Shadegg
     Shaw
     Shays
     Sherman
     Sherwood
     Shimkus
     Shows
     Simmons
     Simpson
     Sisisky
     Skeen
     Skelton
     Slaughter
     Smith (MI)
     Smith (NJ)
     Smith (TX)
     Smith (WA)
     Snyder
     Solis
     Souder
     Spence
     Spratt
     Stark
     Stearns
     Stenholm
     Strickland
     Stump
     Stupak
     Sununu
     Sweeney
     Tanner
     Tauscher
     Tauzin
     Taylor (MS)
     Taylor (NC)
     Terry
     Thomas
     Thompson (CA)
     Thompson (MS)
     Thune
     Thurman
     Tiahrt
     Tiberi
     Tierney
     Toomey
     Traficant
     Turner
     Udall (CO)
     Udall (NM)
     Upton
     Velazquez
     Visclosky
     Vitter
     Walden
     Walsh
     Wamp
     Waters
     Watt (NC)
     Watts (OK)
     Waxman
     Weiner
     Weldon (FL)
     Weldon (PA)
     Weller
     Wexler
     Whitfield
     Wicker
     Wilson
     Wolf
     Woolsey
     Wu
     Wynn
     Young (FL)

                                NAYS--6

     Collins
     Flake
     Hostettler
     Paul
     Schaffer
     Tancredo

                             NOT VOTING--17

     Ackerman
     Bonilla
     Bono
     Burton
     Capito
     Cooksey
     Cubin
     Davis, Thomas M.
     Istook
     Lewis (CA)
     Mollohan
     Ortiz
     Putnam
     Thornberry
     Towns
     Watkins
     Young (AK)

[[Page 2000]]



                              {time}  1242

  Mr. SCHAFFER changed his vote from ``yea'' to ``nay.''
  So (two-thirds having voted in favor thereof) the rules were 
suspended and the bill was passed.
  The result of the vote was announced as above recorded.
  A motion to reconsider was laid on the table.
  Stated for:
  Mr. PUTNAM. Mr. Speaker, on rollcall No. 14 I was inadvertently 
detained. Had I been present, I would have voted ``yea.''

                          ____________________