[Congressional Record (Bound Edition), Volume 152 (2006), Part 17]
[House]
[Pages 22504-22512]
[From the U.S. Government Publishing Office, www.gpo.gov]




             EXPORT-IMPORT BANK REAUTHORIZATION ACT OF 2006

  Mrs. BIGGERT. Madam Speaker, I move to suspend the rules and pass the 
Senate bill (S. 3938) to reauthorize the Export-Import Bank of the 
United States, as amended.
  The Clerk read as follows:

                                S. 3938

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

       (a) Short Title.--This Act may be cited as the ``Export-
     Import Bank Reauthorization Act of 2006''.
       (b) Table of Contents.--

Sec. 1. Short title; table of contents.
Sec. 2. Extension of authority.
Sec. 3. Sub-Saharan Africa Advisory Committee.
Sec. 4. Extension of authority to provide financing for the export of 
              nonlethal defense articles or services the primary end 
              use of which will be for civilian purposes.
Sec. 5. Designation of sensitive commercial sectors and products.
Sec. 6. Increasing exports by small business.
Sec. 7. Anti-circumvention.
Sec. 8. Transparency.
Sec. 9. Aggregate loan, guarantee, and insurance authority.
Sec. 10. Tied aid credit program.
Sec. 11. Prohibition on assistance to develop or promote certain 
              railway connections and railway-related connections.
Sec. 12. Process for notifying applicants of application status; 
              implementation of Ex-Im Online.
Sec. 13. Competitiveness initiatives.
Sec. 14. Office of financing for socially and economically 
              disadvantaged small business concerns and small business 
              concerns owned by women.
Sec. 15. Governance.
Sec. 16. Sense of Congress regarding multi-buyer insurance and capital 
              guarantee programs.
Sec. 17. Sense of Congress regarding office of renewable energy 
              promotion.
Sec. 18. Environmental matters.
Sec. 19. Government Accountability Office study of bank performance 
              standards for assistance to small businesses, especially 
              those owned by social and economically disadvantaged 
              individuals and those owned by women.
Sec. 20. Reports.
Sec. 21. Study of how Export-Import Bank could assist United States 
              exporters to meet import needs of new or impoverished 
              democracies; report.

     SEC. 2. EXTENSION OF AUTHORITY.

       Section 7 of the Export-Import Bank Act of 1945 (12 U.S.C. 
     635f) is amended by striking ``2006'' and inserting ``2011''.

     SEC. 3. SUB-SAHARAN AFRICA ADVISORY COMMITTEE.

       (a) Extension of Authority.--Section 2(b)(9)(B)(iii) of the 
     Export-Import Bank Act of 1945 (12 U.S.C. 635(b)(9)(B)(iii)) 
     is amended by striking ``2006'' and inserting ``2011''.
       (b) Improved Liaison With African Regional Financial 
     Institutions.--
       (1) Master guarantee agreements.--Within 1 year after the 
     date of the enactment of this Act, the Export-Import Bank of 
     the United States shall seek to ensure that there is in 
     effect a contract between each approved lender in Africa and 
     the Bank, which sets forth the Bank's guarantee undertakings 
     and related obligations between the Bank and each lender.
       (2) Report on working relationships with the african 
     development bank, the african export-import bank, and other 
     institutions.--Section 2(b)(9) of such Act (12 U.S.C. 
     635(b)(9)) is amended by adding at the end the following:
       ``(C) The Bank shall include in the annual report to the 
     Congress submitted under section 8(a) a separate section that 
     contains a report on the efforts of the Bank to--
       ``(i) improve its working relationships with the African 
     Development Bank, the African Export-Import Bank, and other 
     institutions in the region that are relevant to the purposes 
     of subparagraph (A) of this paragraph; and
       ``(ii) coordinate closely with the United States Foreign 
     Service and Foreign Commercial Service, and with the overall 
     strategy of the United States Government for economic 
     engagement with Africa pursuant to the African Growth and 
     Opportunity Act.''.
       (c) Increasing the Number of Qualified African Entities.--
     Section 2(b)(9) of such Act (12 U.S.C. 635(b)(9)), as amended 
     by subsection (b), is amended by adding at the end the 
     following:
       ``(D) Consistent with the requirement that the Bank obtain 
     a reasonable assurance of repayment in connection with each 
     transaction the Bank supports, the Bank shall, in 
     consultation with the entities described in subparagraph (C), 
     seek to qualify a greater number of appropriate African 
     entities for participation in programs of the Bank.''.

     SEC. 4. EXTENSION OF AUTHORITY TO PROVIDE FINANCING FOR THE 
                   EXPORT OF NONLETHAL DEFENSE ARTICLES OR 
                   SERVICES THE PRIMARY END USE OF WHICH WILL BE 
                   FOR CIVILIAN PURPOSES.

       Section 1(c) of Public Law 103-428 (12 U.S.C. 635 note; 108 
     Stat. 4376) is amended by striking ``2001'' and inserting 
     ``2011''.

     SEC. 5. DESIGNATION OF SENSITIVE COMMERCIAL SECTORS AND 
                   PRODUCTS.

       Section 2(e) of the Export-Import Bank Act of 1945 (12 
     U.S.C. 635(e)) is amended by adding at the end the following 
     new paragraph:
       ``(5) Designation of sensitive commercial sectors and 
     products.--Not later than 120 days after the date of the 
     enactment of this Act, the Bank shall submit a list to the 
     Committee on Banking, Housing, and Urban Affairs of the 
     Senate and the Committee on Financial Services of the House 
     of Representatives, which designates sensitive commercial 
     sectors and products with respect to which the provision of 
     financing support by the Bank is deemed unlikely by the 
     President of the Bank due to the significant potential for a 
     determination that such financing support would result in an 
     adverse economic impact on the United States. The President 
     of the Bank shall review on an annual basis thereafter the 
     list of sensitive commercial sectors and products and the 
     Bank shall submit an updated list to the Committee on 
     Banking, Housing, and Urban Affairs of the Senate and the 
     Committee on Financial Services of the House of 
     Representatives of such sectors and products.''.

     SEC. 6. INCREASING EXPORTS BY SMALL BUSINESS.

       (a) In General.--Section 3 of the Export-Import Bank Act of 
     1945 (12 U.S.C. 635a) is amended by adding at the end the 
     following:
       ``(f) Small Business Division.--
       ``(1) Establishment.--There is established a Small Business 
     Division (in this subsection referred to as the `Division') 
     within the Bank in order to--
       ``(A) carry out the provisions of subparagraphs (E) and (I) 
     of section 2(b)(1) relating to outreach, feedback, product 
     improvement, and transaction advocacy for small business 
     concerns (as defined in section 3(a) of the Small Business 
     Act);
       ``(B) advise and seek feedback from small business concerns 
     on the opportunities and benefits for small business concerns 
     in the financing products offered by the Bank, with 
     particular emphasis on conducting outreach, enhancing the 
     tailoring of products to small business needs and increasing 
     loans to small business concerns;
       ``(C) maintain liaison with the Small Business 
     Administration and other departments and agencies in matters 
     affecting small business concerns; and
       ``(D) provide oversight of the development, implementation, 
     and operation of technology improvements to strengthen small 
     business outreach, including the technology improvement 
     required by section 2(b)(1)(E)(x).
       ``(2) Management.--The President of the Bank shall appoint 
     an officer, who shall rank not lower than senior vice 
     president and whose sole executive function shall be to 
     manage the Division. The officer shall--
       ``(A) have substantial recent experience in financing 
     exports by small business concerns; and
       ``(B) advise the Board, particularly the director appointed 
     under section 3(c)(8)(B) to represent the interests of small 
     business, on matters of interest to, and concern for, small 
     business.
       ``(g) Small Business Specialists.--
       ``(1) Dedicated personnel.--The President of the Bank shall 
     ensure that each operating division within the Bank has staff 
     that specializes in processing transactions that primarily 
     benefit small business concerns (as defined in section 3(a) 
     of the Small Business Act).
       ``(2) Responsibilities.--The small business specialists 
     shall be involved in all aspects of processing applications 
     for loans, guarantees, and insurance to support exports by 
     small business concerns, including the approval or 
     disapproval, or staff recommendations of approval or 
     disapproval, as applicable, of such applications. In carrying 
     out these responsibilities, the small business specialists 
     shall consider the unique business requirements of small 
     businesses and shall develop exporter performance criteria 
     tailored to small business exporters.
       ``(3) Approval authority.--In an effort to maximize the 
     speed and efficiency with which the Bank processes 
     transactions primarily benefitting small business concerns, 
     the small business specialists shall be authorized to approve 
     applications for working capital loans and guarantees, and 
     insurance in accordance with policies and procedures 
     established by the Board. It is the sense of Congress that 
     the policies and procedures should not prohibit, where 
     appropriate, small business specialists from approving 
     applications for working capital loans and

[[Page 22505]]

     guarantees, and for insurance, in support of exports which 
     have a value of less than $10,000,000.
       ``(4) Identification.--The Bank shall prominently identify 
     the small business specialists on its website and in 
     promotional material.
       ``(5) Employee evaluations.--The evaluation of staff 
     designated by the President of the Bank under paragraph (1), 
     including annual reviews of performance of duties related to 
     transactions in support of exports by small business 
     concerns, and any resulting recommendations for salary 
     adjustments, promotions, and other personnel actions, shall 
     address the criteria established pursuant to subsection 
     (h)(2)(B)(iii) and shall be conducted by the manager of the 
     relevant operating division following consultation with the 
     officer appointed to manage the Small Business Division 
     pursuant to subsection (f)(2).
       ``(6) Staff recommendations.--Staff recommendations of 
     denial or withdrawal for medium-term applications, exporter 
     held multi-buyer policies, single buyer policies, and working 
     capital applications processed by the Bank shall be 
     transmitted to the officer appointed to manage the Small 
     Business Division pursuant to subsection (f)(2) not later 
     than 2 business days before a final decision.
       ``(7) Rule of interpretation.--Nothing in this Act shall be 
     construed to prevent the delegation to the Division of any 
     authority necessary to carry out subparagraphs (E) and (I) of 
     section 2(b)(1).
       ``(h) Small Business Committee.--
       ``(1) Establishment.--There is established a management 
     committee to be known as the `Small Business Committee'.
       ``(2) Purpose and duties.--
       ``(A) Purpose.--The purpose of the Small Business Committee 
     shall be to coordinate the Bank's initiatives and policies 
     with respect to small business concerns (as defined in 
     section 3(a) of the Small Business Act), including the timely 
     processing and underwriting of transactions involving direct 
     exports by small business concerns, and the development and 
     coordination of efforts to implement new or enhanced Bank 
     products and services pertaining to small business concerns.
       ``(B) Duties.--The duties of the Small Business Committee 
     shall be determined by the President of the Bank and shall 
     include the following:
       ``(i) Assisting in the development of the Bank's small 
     business strategic plans, including the Bank's plans for 
     carrying out section 2(b)(1)(E) (v) and (x), and measuring 
     and reporting in writing to the President of the Bank, at 
     least once a year, on the Bank's progress in achieving the 
     goals set forth in the plans.
       ``(ii) Evaluating and reporting in writing to the President 
     of the Bank, at least once a year, with respect to--

       ``(I) the performance of each operating division of the 
     Bank in serving small business concerns;
       ``(II) the impact of processing and underwriting standards 
     on transactions involving direct exports by small business 
     concerns; and
       ``(III) the adequacy of the staffing and resources of the 
     Small Business Division.

       ``(iii) Establishing criteria for evaluating the 
     performance of staff designated by the President of the Bank 
     under subsection (g)(1).
       ``(iv) Coordinating the provision of services with other 
     United States Government departments and agencies to small 
     business concerns.
       ``(3) Composition.--
       ``(A) Chairperson.--The Chairperson of the Small Business 
     Committee shall be the officer appointed to manage the Small 
     Business Division pursuant to subsection (f)(2). The 
     Chairperson shall have the authority to call meetings of the 
     Small Business Committee, set the agenda for Committee 
     meetings, and request policy recommendations from the 
     Committee's members.
       ``(B) Other members.--Except as otherwise provided in this 
     subsection, the President of the Bank shall determine the 
     composition of the Small Business Committee, and shall 
     appoint or remove the members of the Small Business 
     Committee. In making such appointments, the President of the 
     Bank shall ensure that the Small Business Committee is 
     comprised of--
       ``(i) the senior managing officers responsible for 
     underwriting and processing transactions; and
       ``(ii) other officers and employees of the Bank with 
     responsibility for outreach to small business concerns and 
     underwriting and processing transactions that involve small 
     business concerns.
       ``(4) Reporting.--The Chairperson shall provide to the 
     President of the Bank minutes of each meeting of the Small 
     Business Committee, including any recommendations by the 
     Committee or its individual members.''.
       (b) Enhance Delegated Loan Authority for Medium Term 
     Transactions.--
       (1) In general.--The Export-Import Bank of the United 
     States shall seek to expand the exercise of authority under 
     section 2(b)(1)(E)(vii) of the Export-Import Bank Act of 1945 
     (12 U.S.C. 635(b)(1)(E)(vii)) with respect to medium term 
     transactions for small business concerns.
       (2) Conforming amendment.--Section 2(b)(1)(E)(vii)(III) of 
     the Export-Import Bank Act of 1945 (12 U.S.C. 
     635(b)(1)(E)(vii)(III)) is amended by inserting ``or other 
     financing institutions or entities'' after ``consortia''.
       (3) Deadline.--Not later than 180 days after the date of 
     the enactment of this Act, the Export-Import Bank of the 
     United States shall make available lines of credit and 
     guarantees to carry out section 2(b)(1)(E)(vii) of the 
     Export-Import Bank Act of 1945 pursuant to policies and 
     procedures established by the Board of Directors of the 
     Export-Import Bank of the United States.

     SEC. 7. ANTI-CIRCUMVENTION.

       Section 2(e) of the Export-Import Bank Act of 1945 (12 
     U.S.C. 635(e)), as amended by section 5 of this Act, is 
     amended--
       (1) by inserting after paragraph (1), the following flush 
     paragraph:

     ``In making the determination under subparagraph (B), the 
     Bank shall determine whether the facility that would benefit 
     from the extension of a credit or guarantee is reasonably 
     likely to produce a commodity in addition to, or other than, 
     the commodity specified in the application and whether the 
     production of the additional commodity may cause substantial 
     injury to United States producers of the same, or a similar 
     or competing, commodity.'';
       (2) in paragraph (2), by adding at the end the following:
       ``(E) Anti-circumvention.--The Bank shall not provide a 
     loan or guarantee if the Bank determines that providing the 
     loan or guarantee will facilitate circumvention of an order 
     or determination referred to in subparagraph (A).''; and
       (3) by adding at the end the following:
       ``(6) Financial threshold determinations.--For purposes of 
     determining whether a proposed transaction exceeds a 
     financial threshold under this subsection or under the 
     procedures or rules of the Bank, the Bank shall aggregate the 
     dollar amount of the proposed transaction and the dollar 
     amounts of all loans and guarantees, approved by the Bank in 
     the preceding 24-month period, that involved the same foreign 
     entity and substantially the same product to be produced.''.

     SEC. 8. TRANSPARENCY.

       (a) In General.--Section 2(e) of the Export-Import Bank Act 
     of 1945 (12 U.S.C. 635(e)), as amended by sections 5 and 7 of 
     this Act, is amended by adding at the end the following:
       ``(7) Procedures to reduce adverse effects of loans and 
     guarantees on industries and employment in united states.--
       ``(A) Consideration of economic effects of proposed 
     transactions.--If, in making a determination under this 
     paragraph with respect to a loan or guarantee, the Bank 
     conducts a detailed economic impact analysis or similar 
     study, the analysis or study, as the case may be, shall 
     include consideration of--
       ``(i) the factors set forth in subparagraphs (A) and (B) of 
     paragraph (1); and
       ``(ii) the views of the public and interested parties.
       ``(B) Notice and comment requirements.--
       ``(i) In general.--If, in making a determination under this 
     subsection with respect to a loan or guarantee, the Bank 
     intends to conduct a detailed economic impact analysis or 
     similar study, the Bank shall publish in the Federal Register 
     a notice of the intent, and provide a period of not less than 
     14 days (which, on request by any affected party, shall be 
     extended to a period of not more than 30 days) for the 
     submission to the Bank of comments on the economic effects of 
     the provision of the loan or guarantee, including comments on 
     the factors set forth in subparagraphs (A) and (B) of 
     paragraph (1). In addition, the Bank shall seek comments on 
     the economic effects from the Department of Commerce, the 
     Office of Management and Budget, the Committee on Banking, 
     Housing, and Urban Affairs of the Senate, and the Committee 
     on Financial Services of the House of Representatives.
       ``(ii) Content of notice.--The notice shall include 
     appropriate, nonproprietary information about--

       ``(I) the country to which the goods involved in the 
     transaction will be shipped;
       ``(II) the type of goods being exported;
       ``(III) the amount of the loan or guarantee involved;
       ``(IV) the goods that would be produced as a result of the 
     provision of the loan or guarantee;
       ``(V) the amount of increased production that will result 
     from the transaction;
       ``(VI) the potential sales market for the resulting goods; 
     and
       ``(VII) the value of the transaction.

       ``(iii) Procedure regarding materially changed 
     applications.--

       ``(I) In general.--If a material change is made to an 
     application for a loan or guarantee from the Bank after a 
     notice with respect to the intent described in clause (i) is 
     published under this subparagraph, the Bank shall publish in 
     the Federal Register a revised notice of the intent, and 
     shall provide for a comment period, as provided in clauses 
     (i) and (ii).
       ``(II) Material change defined.--As used in subclause (I), 
     the term `material change', with respect to an application, 
     includes--

[[Page 22506]]

       ``(aa) a change of at least 25 percent in the amount of a 
     loan or guarantee requested in the application; and
       ``(bb) a change in the principal product to be produced as 
     a result of any transaction that would be facilitated by the 
     provision of the loan or guarantee.
       ``(C) Requirement to address views of adversely affected 
     persons.--Before taking final action on an application for a 
     loan or guarantee to which this section applies, the staff of 
     the Bank shall provide in writing to the Board of Directors 
     the views of any person who submitted comments pursuant to 
     subparagraph (B).
       ``(D) Publication of conclusions.--Within 30 days after a 
     party affected by a final decision of the Board of Directors 
     with respect to a loan or guarantee makes a written request 
     therefor, the Bank shall provide to the affected party a non-
     confidential summary of the facts found and conclusions 
     reached in any detailed economic impact analysis or similar 
     study conducted pursuant to subparagraph (B) with respect to 
     the loan or guarantee, that were submitted to the Board of 
     Directors.
       ``(E) Rule of interpretation.--This paragraph shall not be 
     construed to make subchapter II of chapter 5 of title 5, 
     United States Code, applicable to the Bank.
       ``(F) Regulations.--The Bank shall implement such 
     regulations and procedures as may be appropriate to carry out 
     this paragraph.''.
       (b) Conforming Amendment.--Section 2(e)(2)(C) of such Act 
     (12 U.S.C. 635(e)(2)(C)) is amended by inserting ``of not 
     less than 14 days (which, on request of any affected party, 
     shall be extended to a period of not more than 30 days)'' 
     after ``comment period''.

     SEC. 9. AGGREGATE LOAN, GUARANTEE, AND INSURANCE AUTHORITY.

       Subparagraph (E) of section 6(a)(2) of the Export-Import 
     Bank Act of 1945 (12 U.S.C. 635e(a)(2)) is amended to read as 
     follows:
       ``(E) during fiscal year 2006, and each fiscal year 
     thereafter through fiscal year 2011,''.

     SEC. 10. TIED AID CREDIT PROGRAM.

       (a) In General.--Section 10(b)(5)(B)(ii) of the Export-
     Import Bank Act of 1945 (12 U.S.C. 635i-3(b)(5)(B)(ii)) is 
     amended to read as follows:
       ``(ii) Process.--In handling individual applications 
     involving the use or potential use of the Tied Aid Credit 
     Fund the following process shall exclusively apply pursuant 
     to subparagraph (A):

       ``(I) The Bank shall process an application for tied aid in 
     accordance with the principles and standards developed 
     pursuant to subparagraph (A) and clause (i) of this 
     subparagraph.
       ``(II) Twenty days prior to the scheduled meeting of the 
     Board of Directors at which an application will be considered 
     (unless the Bank determines that an earlier discussion is 
     appropriate based on the facts of a particular financing), 
     the Bank shall brief the Secretary on the application and 
     deliver to the Secretary such documents, information, or data 
     as may reasonably be necessary to permit the Secretary to 
     review the application to determine if the application 
     complies with the principles and standards developed pursuant 
     to subparagraph (A) and clause (i) of this subparagraph.
       ``(III) The Secretary may request a single postponement of 
     the consideration by the Board of Directors of the 
     application for up to 14 days to allow the Secretary to 
     submit to the Board of Directors a memorandum objecting to 
     the application.
       ``(IV) Case-by-case decisions on whether to approve the use 
     of the Tied Aid Credit Fund shall be made by the Board of 
     Directors, except that the approval of the Board of Directors 
     (or a commitment letter based on that approval) shall not 
     become final (except as provided in subclause (V)), if the 
     Secretary indicates to the President of the Bank in writing 
     the Secretary's intention to appeal the decision of the Board 
     of Directors to the President of the United States and makes 
     the appeal in writing not later than 20 days after the 
     meeting at which the Board of Directors considered the 
     application.
       ``(V) The Bank shall not grant final approval of an 
     application for any tied aid credit (or a commitment letter 
     based on that approval) if the President of the United 
     States, after consulting with the President of the Bank and 
     the Secretary, determines within 30 days of an appeal by the 
     Secretary under subclause (IV) that the extension of the tied 
     aid credit would materially impede achieving the purposes 
     described in subsection (a)(6). If no such Presidential 
     determination is made during the 30-day period, the approval 
     by the Bank of the application (or related commitment letter) 
     that was the subject of such appeal shall become final.''.

       (b) Clarification of Use of Tied Aid Credit Fund to 
     Match.--Section 10 of the Export-Import Bank Act of 1945 (12 
     U.S.C. 635i-3) is amended--
       (1) in subsection (a), in paragraph (6)--
       (A) in the matter preceding subparagraph (A), by inserting 
     ``, including those that are not a party to the 
     Arrangement,'' after ``countries'';
       (B) in subparagraph (B), by adding ``and'' at the end; and
       (C) by inserting after subparagraph (B) the following:
       ``(C) promoting compliance with Arrangement rules among 
     foreign export credit agencies that are not a party to the 
     Arrangement;''; and
       (2) in subsection (b), in paragraph (5)(B)--
       (A) in clause (i)--
       (i) in subclause (I), by striking ``and'' and by inserting 
     ``, and to seek compliance by those countries that are not a 
     party to the Arrangement'' before the period; and
       (ii) in subclause (III), by adding at the end the 
     following: ``In cases where information about a specific 
     offer of foreign tied aid (or untied aid used to promote 
     exports as if it were tied aid) is not available in a timely 
     manner, or is unavailable because the foreign export credit 
     agency involved is not subject to the reporting requirements 
     under the Arrangement, then the Bank may decide to use the 
     Tied Aid Credit Fund based on credible evidence of a history 
     of such offers under similar circumstances or other forms of 
     credible evidence.''.

     SEC. 11. PROHIBITION ON ASSISTANCE TO DEVELOP OR PROMOTE 
                   CERTAIN RAILWAY CONNECTIONS AND RAILWAY-RELATED 
                   CONNECTIONS.

       Section 2(b) of the Export-Import Act of 1945 (12 U.S.C. 
     635(b)) is amended by adding at the end the following new 
     paragraph:
       ``(13) Prohibition on Assistance To Develop or Promote 
     Certain Railway Connections and Railway-Related 
     Connections.--The Bank shall not guarantee, insure, or extend 
     (or participate in the extension of) credit in connection 
     with the export of any good or service relating to the 
     development or promotion of any railway connection or 
     railway-related connection that does not traverse or connect 
     with Armenia and does traverse or connect Baku, Azerbaijan, 
     Tbilisi, Georgia, and Kars, Turkey.''.

     SEC. 12. PROCESS FOR NOTIFYING APPLICANTS OF APPLICATION 
                   STATUS; IMPLEMENTATION OF EX-IM ONLINE.

       Section 2 of the Export-Import Bank Act of 1945 (12 U.S.C. 
     635) is amended by adding at the end the following:
       ``(g) Process for Notifying Applicants of Application 
     Status.--The Bank shall establish and adhere to a clearly 
     defined process for--
       ``(1) acknowledging receipt of applications;
       ``(2) informing applicants that their applications are 
     complete or, if incomplete or containing a minor defect, of 
     the additional material or changes that, if supplied or made, 
     would make the application eligible for consideration; and
       ``(3) keeping applicants informed of the status of their 
     applications, including a clear and timely notification of 
     approval or disapproval, and, in the case of disapproval, the 
     reason for disapproval, as appropriate.
       ``(h) Response to Application for Financing; Implementation 
     of Online Loan Request and Tracking Process.--
       ``(1) Response to applications.--Within 5 days after the 
     Bank receives an application for financing, the Bank shall 
     notify the applicant that the application has been received, 
     and shall include in the notice--
       ``(A) a request for such additional information as may be 
     necessary to make the application complete;
       ``(B) the name of a Bank employee who may be contacted with 
     questions relating to the application; and
       ``(C) a unique identification number which may be used to 
     review the status of the application at a website established 
     by the Bank.
       ``(2) Website.--Not later than September 1, 2007, the Bank 
     shall exercise the authority granted by subparagraphs (E)(x) 
     and (J) of subsection (b)(1) to establish, and thereafter to 
     maintain, a website through which--
       ``(A) Bank products may be applied for; and
       ``(B) information may be obtained with respect to--
       ``(i) the status of any such application;
       ``(ii) the Small Business Division of the Bank; and
       ``(iii) incentives, preferences, targets, and goals 
     relating to small business concerns (as defined in Section 
     3(a) of the Small Business Act), including small business 
     concerns exporting to Africa.''.

     SEC. 13. COMPETITIVENESS INITIATIVES.

       (a) Expansion of Scope of Annual Competitiveness Report.--
     The Export-Import Bank Act of 1945 (12 U.S.C. 635 et seq.) is 
     amended by inserting after section 8 the following:

     ``SEC. 8A. ANNUAL COMPETITIVENESS REPORT.

       ``(a) In General.--Not later than June 30 of each year, the 
     Bank shall submit to the appropriate congressional committees 
     a report that includes the following:
       ``(1) Actions of bank in providing financing on a 
     competitive basis, and to minimize competition in government-
     supported export financing.--A description of the actions of 
     the Bank in complying with the second and third sentences of 
     section 2(b)(1)(A). In this part of the report, the Bank 
     shall include a survey of all other major export-financing 
     facilities available from other governments and government-
     related agencies through which foreign exporters compete with 
     United States exporters (including through use of market 
     windows (as defined pursuant to section 10(h)(7))) and, to 
     the extent such information is available to the Bank, 
     indicate in specific terms the ways in which the Bank's 
     rates, terms, and other

[[Page 22507]]

     conditions compare with those offered from such other 
     governments directly or indirectly. With respect to the 
     preceding sentence, the Bank shall use all available 
     information to estimate the annual amount of export financing 
     available from each such government and government-related 
     agency. In this part of the report, the Bank shall include a 
     survey of a representative number of United States exporters 
     and United States commercial lending institutions which 
     provide export credit on the experience of the exporters and 
     institutions in meeting financial competition from other 
     countries whose exporters compete with United States 
     exporters.
       ``(2) Role of bank in implementing strategic plan prepared 
     by the trade promotion coordinating committee.--A description 
     of the role of the Bank in implementing the strategic plan 
     prepared by the Trade Promotion Coordinating Committee in 
     accordance with section 2312 of the Export Enhancement Act of 
     1988.
       ``(3) Tied aid credit program and fund.--The report 
     required by section 10(g).
       ``(4) Purpose of all bank transactions.--A description of 
     all Bank transactions which shall be classified according to 
     their principal purpose, such as to correct a market failure 
     or to provide matching support.
       ``(5) Efforts of bank to promote export of goods and 
     services related to renewable energy sources.--A description 
     of the activities of the Bank with respect to financing 
     renewable energy projects undertaken under section 
     2(b)(1)(K), and an analysis comparing the level of credit 
     extended by the Bank for renewable energy projects with the 
     level of credit so extended for the preceding fiscal year.
       ``(6) Size of bank program account.--A separate section 
     which--
       ``(A) compares, to the extent practicable, the size of the 
     Bank program account with the size of the program accounts of 
     the other major export-financing facilities referred to in 
     paragraph (1); and
       ``(B) makes recommendations, if appropriate, with respect 
     to the relative size of the Bank program account, based on 
     factors including whether the size differences are in the 
     best interests of the United States taxpayer.
       ``(7) Co-financing programs of the bank and of other export 
     credit agencies.--A description of the co-financing programs 
     of the Bank and of the other major export-financing 
     facilities referred to in paragraph (1), which includes a 
     list of countries with which the United States has in effect 
     a memorandum of understanding relating to export credit 
     agency co-financing and, if such a memorandum is not in 
     effect with any country with a major export credit-financing 
     facility, an explanation of why such a memorandum is not in 
     effect.
       ``(8) Services supported by the bank and by other export 
     credit agencies.--A separate section which describes the 
     participation of the Bank in providing funding, guarantees, 
     or insurance for services, which shall include appropriate 
     information on the involvement of the other major export-
     financing facilities referred to in paragraph (1) in 
     providing such support for services, and an explanation of 
     any differences among the facilities in providing the 
     support.
       ``(9) Export finance cases not in compliance with the 
     arrangement.--Detailed information on cases reported to the 
     Bank of export financing that appear not to comply with the 
     Arrangement (as defined in section 10(h)(3)) or that appear 
     to exploit loopholes in the Arrangement for the purpose of 
     obtaining a commercial competitive advantage. The President 
     of the Bank, in consultation with the Secretary of the 
     Treasury, may provide to the appropriate congressional 
     committees the information required by this subsection in a 
     separate and confidential report, instead of providing such 
     information in the report required by this subsection.
       ``(10) Foreign export credit agency activities not 
     consistent with the wto agreement on subsidies and 
     countervailing measures.--A description of the extent to 
     which the activities of foreign export credit agencies and 
     other entities sponsored by a foreign government, 
     particularly those that are not members of the Arrangement 
     (as defined in section 10(h)(3)), appear not to comply with 
     the Arrangement and appear to be inconsistent with the terms 
     of the Agreement on Subsidies and Countervailing Measures 
     referred to in section 101(d)(12) of the Uruguay Round 
     Agreements Act (19 U.S.C. 3511(d)(12)), and a description of 
     the actions taken by the United States Government to address 
     the activities. The President of the Bank, in consultation 
     with the Secretary of the Treasury, may provide to the 
     appropriate congressional committees, the information 
     required by this subsection in a separate and confidential 
     report, instead of providing such information in the report 
     required by this subsection.
       ``(b) Inclusion of Additional Comments.--The report 
     required by subsection (a) shall include such additional 
     comments as any member of the Board of Directors may submit 
     to the Board for inclusion in the report.
       ``(c) Appropriate Congressional Committees.--The term 
     `appropriate congressional committees' means the Committee on 
     Financial Services of the House of Representatives and the 
     Committee on Banking, Housing, and Urban Affairs of the 
     Senate.''.
       (b) Conforming Amendment.--Section 2(b)(1)(A) of such Act 
     (12 U.S.C. 635(b)(1)(A)) is amended by striking all that 
     follows the third sentence.
       (c) Expansion of Countries in Competition With Which the 
     Bank Is to Provide Export Financing.--Section 2(b)(1)(A) of 
     such Act (12 U.S.C. 635(b)(1)(A)) is amended in the second 
     sentence by inserting ``, including countries the governments 
     of which are not members of the Arrangement (as defined in 
     section 10(h)(3))'' before the period.
       (d) Sense of Congress Regarding Negotiation of the OECD 
     Arrangement.--It is the sense of Congress that in the 
     negotiation of the Arrangement (as defined in section 
     10(h)(3) of the Export-Import Bank Act of 1945) the goals of 
     the United States include the following:
       (1) Seeking compliance with the Arrangement among countries 
     with significant export credit programs who are not members 
     of the Arrangement.
       (2) Seeking to identify within the World Trade Organization 
     the extent to which countries that are not a party to the 
     Arrangement are not in compliance with the terms of the 
     Agreement on Subsidies and Countervailing Measures referred 
     to in section 101(d)(12) of the Uruguay Round Agreements Act 
     (19 U.S.C. 3511(d)(12)) with respect to export finance, and 
     seeking appropriate action within the World Trade 
     Organization for each country that is not in such compliance.
       (3) Implementing new disciplines on the use of untied aid, 
     market windows, and other forms of export finance that seek 
     to exploit loopholes in the Arrangement for purposes of 
     obtaining a commercial competitive advantage.

     SEC. 14. OFFICE OF FINANCING FOR SOCIALLY AND ECONOMICALLY 
                   DISADVANTAGED SMALL BUSINESS CONCERNS AND SMALL 
                   BUSINESS CONCERNS OWNED BY WOMEN.

       (a) In General.--Section 3 of the Export-Import Bank Act of 
     1945 (12 U.S.C. 635a), as added by section 6, is amended by 
     adding at the end the following:
       ``(i) Office of Financing for Socially and Economically 
     Disadvantaged Small Business Concerns and Small Business 
     Concerns Owned by Women.--
       ``(1) Establishment.--The President of the Bank shall 
     establish in the Small Business Division an office whose sole 
     functions shall be to continue and enhance the outreach 
     activities of the Bank with respect to, and increase the 
     total amount of loans, guarantees, and insurance provided by 
     the Bank to support exports by, socially and economically 
     disadvantaged small business concerns (as defined in section 
     8(a)(4) of the Small Business Act) and small business 
     concerns owned by women.
       ``(2) Management.--The office shall be managed by a Bank 
     officer of appropriate rank who shall report to the Bank 
     officer designated under subsection (f)(2).
       ``(3) Staffing.--To the maximum extent practicable, the 
     President of the Bank shall ensure that qualified minority 
     and women applicants are considered when filling any position 
     in the office.''.
       (b) Financing Directed Toward Small Businesses Owned by 
     Minorities or Women.--Section 2(b)(1)(E)(v) of such Act (12 
     U.S.C. 635(b)(1)(E)(v)) is amended by adding at the end the 
     following: ``From the amount made available under the 
     preceding sentence, it shall be a goal of the Bank to 
     increase the amount made available to finance exports 
     directly by small business concerns referred to in section 
     3(i)(1).''.

     SEC. 15. GOVERNANCE.

       Section 3(c) of the Export-Import Bank Act of 1945 (12 
     U.S.C. 635a(c)) is amended by adding at the end the 
     following:
       ``(9) At the request of any 2 members of the Board of 
     Directors, the Chairman of the Board shall place an item 
     pertaining to the policies or procedures of the Bank on the 
     agenda for discussion by the Board. Within 30 days after the 
     date such a request is made, the Chairman shall hold a 
     meeting of the Board at which the item shall be discussed.''.

     SEC. 16. SENSE OF CONGRESS REGARDING MULTI-BUYER INSURANCE 
                   AND WORKING CAPITAL GUARANTEE PROGRAMS.

       It is the sense of Congress that the Export-Import Bank of 
     the United States should seek to expand the number and size 
     of the regional multi-buyer insurance programs and working 
     capital guarantee programs operated by, through, or in 
     conjunction with the Bank.

     SEC. 17. SENSE OF CONGRESS REGARDING AN OFFICE OF RENEWABLE 
                   ENERGY PROMOTION.

       It is the sense of Congress that--
       (1) the Export-Import Bank of the United States should 
     establish, within 2 years of the date of the enactment of 
     this Act, an Office of Renewable Energy Promotion staffed by 
     individuals with appropriate expertise in renewable energy 
     technologies to proactively identify new opportunities for 
     renewable energy financing and to carry out section 
     2(b)(1)(K) of the Export-Import Bank Act of 1945 (12 U.S.C. 
     635(b)(1)(K));
       (2) in carrying out the purposes of such an Office of 
     Renewable Energy Promotion, the

[[Page 22508]]

     head of such Office should consider the recommendations of 
     the Renewable Energy Exports Advisory Committee of the Bank 
     to promote renewable energy technologies; and
       (3) the Bank should include in its annual report a 
     description of the activities carried out by such an Office 
     of Renewable Energy Promotion, including for each year a 
     description of the amount of credit extended by the Bank for 
     renewable energy technologies during that year and a 
     comparison between that amount and the amount of such credit 
     extended by the Bank in previous years.

     SEC. 18. ENVIRONMENTAL MATTERS.

       (a) Environmental Representatives on the Advisory 
     Committee.--Section 3(d) of the Export-Import Bank Act of 
     1945 (12 U.S.C. 635a(d)) is amended--
       (1) in paragraph (1)--
       (A) in subparagraph (A), by striking ``15'' and inserting 
     ``17''; and
       (B) in subparagraph (B), by inserting ``environment,'' 
     before ``production,''; and
       (2) in paragraph (2), by adding at the end the following:
       ``(C) Not less than 2 members appointed to the Advisory 
     Committee shall be representative of the environmental 
     nongovernmental organization community, except that no 2 of 
     the members shall be from the same environmental 
     organization.''.
       (b) Public Disclosure of Certain Documents.--Section 
     11(a)(1) of the Export-Import Bank of 1945 (12 U.S.C. 635i-
     5(a)(1)) is amended by inserting after the first sentence the 
     following: ``Such procedures shall provide for the public 
     disclosure of environmental assessments and supplemental 
     environmental reports required to be submitted to the Bank, 
     including remediation or mitigation plans and procedures, and 
     related monitoring reports. The preceding sentence shall not 
     be interpreted to require the public disclosure of any 
     information described in section 1905 of title 18, United 
     States Code.''.

     SEC. 19. GOVERNMENT ACCOUNTABILITY OFFICE STUDY OF BANK 
                   PERFORMANCE STANDARDS FOR ASSISTANCE TO SMALL 
                   BUSINESSES, ESPECIALLY THOSE OWNED BY SOCIALLY 
                   AND ECONOMICALLY DISADVANTAGED INDIVIDUALS AND 
                   THOSE OWNED BY WOMEN.

       (a) Performance Standards.--The Bank shall develop a set of 
     performance standards for determining the extent to which the 
     Bank has carried out successfully subparagraphs (E) and (I) 
     of section 2(b)(1) of the Export-Import Bank Act of 1945, and 
     the functions described in subsections (f)(1), (g)(1), 
     (h)(1), and (i)(1) of section 3 of such Act.
       (b) Assessment of Standards.--Within 18 months after the 
     date of the enactment of this Act, the Comptroller General of 
     the United States shall transmit to the Committee on 
     Financial Services of the House of Representatives and the 
     Committee on Banking, Housing, and Urban Affairs of the 
     Senate--
       (1) an assessment of the performance standards developed by 
     the Bank pursuant to subsection (a); and
       (2) using the performance standards developed pursuant to 
     subsection (a), an assessment of the Bank's efforts to carry 
     out subparagraphs (E) and (I) of section 2(b)(1) of the 
     Export-Import Bank Act of 1945, and the functions described 
     in subsections (f)(1), (g)(1), (h)(1), and (i)(1) of section 
     3 of such Act.

     SEC. 20. REPORTS.

       Section 8 of the Export-Import Bank Act of 1945 (12 U.S.C. 
     635g) is amended by adding at the end the following:
       ``(f) Additional Reports.--Not later than March 31 of each 
     year, the Bank shall submit to the Committee on Financial 
     Services of the House of Representatives and the Committee on 
     Banking, Housing, and Urban Affairs of the Senate reports 
     on--
       ``(1) the extent to which the Bank has been able to use the 
     authority provided, and has complied with the mandates 
     contained, in section 2(b)(1)(E), and to the extent the Bank 
     has been unable to fully use such authority and comply with 
     such mandates, a report on the reasons for the Bank's 
     inability to do so and the steps the Bank is taking to remedy 
     such inability;
       ``(2) the extent to which financing has been made available 
     to small business concerns (described in subsection (e)) to 
     enable them to participate in exports by major contractors, 
     including through access to the supply chains of the 
     contractors through direct or indirect funding;
       ``(3) the specific measures the Bank will take in the 
     upcoming year to achieve the small business objectives of the 
     Bank, including expanded outreach, product improvements, and 
     related actions;
       ``(4) the progress made by the Bank in supporting exports 
     by socially and economically disadvantaged small business 
     concerns (defined in section 8(a)(4) of the Small Business 
     Act) and small business concerns (as defined in section 3(a) 
     of the Small Business Act) owned by women, including 
     estimates of the amounts made available to finance exports 
     directly by such small business concerns, a comparison of 
     these amounts with the amounts made available to all small 
     business concerns, and a comparison of such amounts with the 
     amounts so made available during the 2 preceding years;
       ``(5) with respect to each type of transaction, the 
     interest and fees charged by the Bank to exporters (including 
     a description of fees and interest, if any, charged to small 
     business concerns), buyers, and other applicants in 
     connection with each financing program of the Bank, and the 
     highest, lowest, and average fees charged by the Bank for 
     short term insurance transactions;
       ``(6) the effects of the fees on the ability of the Bank to 
     achieve the objectives of the Bank relating to small 
     business;
       ``(7) the fee structure of the Bank as compared with those 
     of foreign export credit agencies; and
       ``(8)(A) the efforts made by the Bank to carry out 
     subparagraphs (E)(x) and (J) of section 2(b)(1) of the 
     Export-Import Bank Act of 1945, including the total amount 
     expended by the Bank to do so; and
       ``(B) if the Bank has been unable to comply with such 
     subparagraphs--
       ``(i) an analysis of the reasons therefor; and
       ``(ii) what the Bank is doing to achieve, and the date by 
     which the Bank expects to have achieved, such compliance.''.

     SEC. 21. STUDY OF HOW EXPORT-IMPORT BANK COULD ASSIST UNITED 
                   STATES EXPORTERS TO MEET IMPORT NEEDS OF NEW OR 
                   IMPOVERISHED DEMOCRACIES; REPORT.

       (a) Study.--The Export-Import Bank of the United States 
     shall conduct a study designed to assess the needs of new or 
     impoverished democracies, such as Liberia and Haiti, for 
     imports from the United States, and shall determine what role 
     the Bank can play a role in helping United States exporters 
     seize the opportunities presented by the need for such 
     imports.
       (b) Report to Congress.--Within 12 months after the date of 
     the enactment of this Act, the Bank shall submit to the 
     Committee on Financial Services of the House of 
     Representatives and the Committee on Banking, Housing, and 
     Urban Affairs of the Senate, in writing, a final report that 
     contains the results of the study required by subsection (a).

  The SPEAKER pro tempore. Pursuant to the rule, the gentlewoman from 
Illinois (Mrs. Biggert) and the gentlewoman from New York (Mrs. 
Maloney) each will control 20 minutes.
  The Chair recognizes the gentlewoman from Illinois.


                             General Leave

  Mrs. BIGGERT. Madam Speaker, I ask unanimous consent that all Members 
may have 5 legislative days within which to revise and extend their 
remarks on this legislation and to insert extraneous material thereon.
  The SPEAKER pro tempore. Is there objection to the request of the 
gentlewoman from Illinois?
  There was no objection.
  Mrs. BIGGERT. Madam Speaker, I yield myself such time as I may 
consume.
  Madam Speaker, I rise today to urge the immediate passage of Senate 
3938, the Export-Import Bank Reauthorization Act of 2006. A compromise 
between the Senate-passed product and the House version, H.R. 5068, 
introduced by my friend from Ohio (Ms. Pryce), this is an excellent 
bill that deserves broad and deep support.
  Madam Speaker, I am very pleased to see this bill on the floor today. 
The House and Senate versions both enjoyed broad bipartisan support in 
committee and in floor consideration, and it seems to me that this bill 
makes a number of important reforms to the way Ex-Im operates that we 
all can be very proud of.
  First and foremost, Madam Speaker, this bill firmly establishes 
congressional intent that the bank should focus its attention on 
increasing exports by small businesses. The bank does a tremendous job 
of supporting exports by large corporations and will continue to do so. 
But small businesses often have had a difficult time navigating the 
intricate and unfamiliar waters of loan guarantees and insurance 
offered by the bank.
  This bill establishes a small business division within the bank 
staffed by specialists on small business operations. More importantly, 
it authorizes the small business specialist to approve loans, 
guarantees and insurance on some projects quickly so that the U.S. 
small businesses will not be aced out of international competition by 
another country's export credit agency that moves faster to cement the 
deal.
  The bill also establishes a special office to serve small businesses 
owned by women and the economically disadvantaged and expresses the 
congressional view that Ex-Im should have an office that focuses on 
exports of renewable energy technology, an area where the U.S. can 
excel as a world leader.
  Finally, this bill establishes a number of new reporting regimes and 
reorganizes others so that Congress can

[[Page 22509]]

better monitor and perform oversight on Ex-Im operations, a job some 
have felt to be difficult in the past.
  In our increasingly competitive global environment, we must ensure 
that we can provide every advantage and eliminate every obstacle for 
U.S. businesses to win the sale over foreign competitors. This is a 
bill that all Members can be proud of and will increase U.S. exports, 
and thus U.S. employment in a responsible manner.
  I want to thank Chairman Oxley and Ranking Member Frank for their 
strong support in guiding this bill. They, along with Mrs. Maloney, Mr. 
Manzullo and Ms. Velazquez, joined me as original cosponsors with 
Chairman Pryce, and all were helpful, as well as Chairman Shelby and 
Ranking Member Sarbanes and Senator Crapo in the Senate.
  I would also like to thank the staff who worked on this bill: 
Chairman Pryce's former staff member, Jackie Moran; Scott Morris of Mr. 
Frank's staff; and Eleni Constantine from Mrs. Maloney's staff. Also 
Gregg Richard on the staff of the Senate bill's sponsor, Senator Crapo, 
was instrumental in passage, and I will note we trained him well when 
he worked here in the House, as well as Andrew Olmen from Senator 
Shelby's staff and Steve Kroll for Senator Sarbanes.
  With that, Madam Speaker, I urge immediate passage of this bill and 
reserve the balance of my time.

                              {time}  1030

  Mrs. MALONEY. Madam Speaker, I yield myself such time as I may 
consume.
  Madam Speaker, as the ranking member of the Financial Services 
Subcommittee with jurisdiction over the Export-Import Bank, I am 
delighted to speak once again in support of S. 3938, the Export-Import 
Bank Reauthorization Act of 2006.
  This bipartisan legislation was overwhelmingly supported by this body 
when it came to the floor in April as H.R. 5068, and was also strongly 
supported in the Financial Services Committee and the Small Business 
Committee on a bipartisan basis. We have all worked together on this, 
and I would like to thank Chairman Oxley, Ranking Member Frank, 
Chairman Manzullo, Ranking Member Velazquez, Chairwoman Pryce, 
Representative Waters and our staffs, especially Scott Morris and Joe 
Pinder of the Financial Services staff, Eleni Constantine from my 
staff, and many others for their very hard work on this bill.
  The bill that we consider today, though it bears a Senate 
designation, includes substantially all of the key initiatives that we 
included in our House bill. Chief among these are new provisions on 
small business competition and transparency. Our small business 
initiative starts with a new small business division within the bank 
run by a senior VP who will advise the board directly.
  Within the bank, the bill creates small business specialists with 
authority to approve smaller working capital loans and guarantees to 
speed up the process. The bill also creates a Small Business Committee 
to assist the bank in advancing its small business agenda. Within this 
division, the bill creates an office charged with expanding outreach to 
socially and economically disadvantaged small businesses and small 
businesses owned by women, and it also increases the amount of loans, 
guarantees and insurance provided by the bank to support exports by 
these small businesses.
  The bill also empowers and directs the bank to deal more forcefully 
and directly with the looming threat to the U.S. export economy posed 
by China, which is effectively subsidizing its exports through its 
currency and otherwise. Since China is not a member of the Organization 
For Economic Cooperation and Development, Ex-Im's export credit 
activities are a particularly important vehicle to level the playing 
field. This is also true for subsidized exports from other non-OECD 
nations such as Brazil, which are taking a greater share of the markets 
and unfairly challenging our exports.
  In this regard, the bill gives the bank greater authority to use the 
Tied Aid Fund, a fund established several years ago by Congress 
specifically to combat unfair export activities by other countries' 
export credit agencies. U.S. companies should not have to compete with 
one hand tied behind their backs and unfair subsidies to their 
competitors.
  I am also pleased that the pro-customer provisions that I was 
personally responsible for are part of this bill. They include 
notification requirements so that applicants know what is happening to 
their application and a mandate to improve Ex-Im Online to make it more 
user friendly and attract small business applicants. My constituents 
and many others have complained that the Ex-Im process is needlessly 
unhelpful and opaque, and these are simple steps to fix that problem. 
People should not have to wait for months, possibly even a year, to 
find out that one small item was missing from their application that 
caused them not to receive their support.
  We have also dealt with some regional issues that are of significance 
to broad constituencies. First, the bill asks the bank to consult with 
the African Development Bank and similar entities to increase the 
number of qualified African entities.
  Second, the bill prohibits the bank from funding railroad projects in 
the South Caucasus region that deliberately exclude Armenia, as Turkey 
has proposed. As a proud member of the Congressional Caucus on Armenian 
Issues and the representative of a large and vibrant Armenian community 
of Americans, I particularly want to thank my colleagues Joe Crowley 
and Representative Royce for their hard work on this issue.
  Allowing the exclusion of Armenia from important transportation 
routes would stymie the emergence of this region as an important East-
West trade corridor. It is in our economic and security interests to 
ensure that we do not support the historic aggression between Turkey 
and Armenia.
  As the independent U.S. Government agency that assists in financing 
the export of U.S. goods and services to markets around the world 
through export credit insurance, loan guarantees and direct loans, the 
Ex-Im Bank has long played a key role in the economy of many of the 
districts that each of us represent. Today, more than ever, the future 
of the bank is of a great interest and concern because it has 
significant potential to affect the national economy, job growth and 
our trade imbalance.
  Our country now faces a record trade imbalance of over $800 billion, 
the largest trade imbalance in our history. This is one agency which 
can work on the trade imbalance issue as part of its mission.
  This reauthorization bill provides fresh guidance to the bank, as 
well as enabling it to carry on its very important work. I urge my 
colleagues to support it.
  Madam Speaker, I reserve the balance of my time.
  Mrs. BIGGERT. Madam Speaker, I reserve the balance of my time.
  Mrs. MALONEY. Madam Speaker, I yield such time as he may consume to 
the ranking member of the Financial Services Committee, the gentleman 
from the great State of Massachusetts (Mr. Frank).
  Mr. FRANK of Massachusetts. Madam Speaker, my congratulations to the 
two gentlewomen who are presiding over this bill. I think this is one 
more example, as this Congress draws to a close, of the way in which 
the Committee on Financial Services under the leadership of our 
retiring chairman, the gentleman from Ohio, Mr. Oxley, was able to deal 
in a very bipartisan way on issues that deserve to be bipartisan.
  I always want to point out that partisanship is a good thing in a 
democracy and there are issues where the parties legitimately ought to 
be presenting different viewpoints. The important thing is not to allow 
those legitimate differences to spill over and poison the ability to 
work together where there aren't differences of an ideological sort. 
This is an example.
  Indeed, I want to thank the Members on the majority side for 
accommodating many of the concerns that we

[[Page 22510]]

had here. The gentlewoman from New York who took the lead in forging 
this compromise from our side correctly mentioned some of them.
  But in particular we have always felt that it is important to promote 
engines that help the economy grow but to recognize that growth does 
not automatically produce fairness. In our job, we have seen it as when 
we deal with these pro-growth engines, as I believe the Export-Import 
Bank can be when it is done right, that we put in some elements of 
fairness, and that is what has been done here with regard to smaller 
businesses, with regard to women and minorities.
  Indeed, our colleague, the gentlewoman from New York, Ms. Velazquez, 
who will chair the Small Business Committee in the next Congress, had 
some particular concerns, some of which have been accommodated, and I 
want to take this opportunity to say that if I become the chair of the 
committee, and the gentlewoman from New York will still be on the 
committee and will still be playing a major role, we intend to further 
work with the gentlewoman from New York, Ms. Velazquez, to make sure 
that small business gets a piece of this.
  Let me say, in an ideal world, we wouldn't have an Export-Import 
Bank. If there were no interventions in the market by other countries, 
there would be no need for this entity. But neither in economics nor in 
the military area do I think that unilateral disarmament makes sense; 
and I would hope, and we did this with regard to China, that this would 
be regarded as an instrument to be used in the legitimate self-defense 
of American industry. And to the extent that we can ever negotiate a 
disappearance of this kind of export subsidy everywhere, then I would 
be in favor of our dropping it. But until then, we need to be able to 
deal in this world, and I think this bill does this in the best 
possible way, and I thank the gentlewoman.
  Mrs. BIGGERT. Madam Speaker, I reserve the balance of my time.
  Mrs. MALONEY. Madam Speaker, I yield 2 minutes to the gentleman from 
the Empire State, my colleague and good friend, the gentleman from New 
York (Mr. Crowley).
  Mr. CROWLEY. Madam Speaker, I thank my good friend Carolyn Maloney 
for yielding this time.
  Madam Speaker, I rise in support of the Ex-Im Bank reauthorization 
legislation before us. This bill will strengthen the Ex-Im Bank's 
ability to allow American companies to compete in the global market as 
we try to increase our exports and increase our global competitiveness 
and create more and better paying jobs right here in the United States. 
This is a bill about exporting products, not a bill about exporting 
jobs.
  Additionally, I am happy to say both the Senate and House versions of 
this bill include language that I coauthored pertaining to the nation 
of Armenia, a great ally of our country.
  My language, done with Congressman Ed Royce on the other side of the 
aisle and Congressman Brad Sherman, prohibits the Ex-Im Bank from 
funding any railway projects from Azerbaijan through Jordan and Turkey 
which specifically and intentionally bypasses Armenia. I am very 
pleased that this language was included in the final version of this 
legislation.
  This language will assist in promoting stability in the Caucasus 
region, help in ending longstanding conflicts and save U.S. taxpayers 
the responsibility of funding a project that goes against U.S. 
interests.
  For over 10 years, Armenia has fought a blockade imposed on them by 
the countries of Turkey and Azerbaijan. These two countries continually 
exclude Armenia from regional development. Exclusion of one country in 
regional projects only fosters instability in that region.
  Besides possibly creating a regional crisis, this project, if funded 
by the Ex-Im Bank, could cost U.S. taxpayers millions and millions of 
dollars. I do not believe that the U.S. taxpayers should be funding a 
project that goes against our United States interests. I am pleased 
this good language was added to an already good bill.
  Therefore, I urge my colleagues to support this Ex-Im reauthorization 
legislation before us.
  Mrs. BIGGERT. Madam Speaker, I reserve the balance of my time.
  Mrs. MALONEY. Madam Speaker, I yield 3 minutes to the gentleman from 
New Jersey (Mr. Pallone).
  Mr. PALLONE. Madam Speaker, first of all I do want to thank my 
colleagues from New York, particularly Joe Crowley, for this provision 
in this bill relating to Armenia and the railroad in the Caucasus 
region.
  I also want to thank the ranking member of the subcommittee, Mrs. 
Maloney, she has always been outstanding on issues that impact Armenia 
and the Caucasus; as well as our full committee chairman and the 
ranking member, Mr. Frank from Massachusetts.
  I just want to stress how important this provision is with regard to 
Armenia and the Caucasus region. It has been the policy of this 
Congress, as Mr. Crowley said, for some time, to encourage 
interrogation of the Caucasus nations, that is, Armenia, Azerbaijan, 
Georgia, as well as Turkey. And the idea of building a railroad that 
would cut off Armenia, which has been suggested by Azerbaijan and 
Turkey, would be totally contrary to the policy that this Congress, 
both under Democrat and Republican leadership, has had for the last 20 
years every time we have tried to encourage integration, even a customs 
union eventually between these Caucasus nations. And to cut off one of 
the countries in this significant way by building a railroad around 
Armenia that bypasses it is totally contrary to that policy.
  We should also understand that an existing railroad is there. I 
actually was in Gumry in Armenia and there is a railroad now that goes 
between Turkey through Armenia and then to Azerbaijan. So there is 
absolutely no reason to build a new railroad. All you have to do is 
open the borders, which are now blockaded by Turkey and Azerbaijan, and 
allow this railroad to be upgraded somewhat, at very minimal cost.
  You have to understand that in this region both the powers in Turkey, 
in the Karaz region of Turkey, as well as those within the Gumry region 
of Armenia, are in favor of opening the old railroad and ending the 
blockade. The mayors in these regions, the county officials, have 
worked together to try to bring these regions together. Unfortunately, 
in Ankara, the Turkish Government is opposed to it, and they have done 
everything they can to stop it, and now they propose this new railroad.
  This unfortunately happened already with the oil pipeline. The 
Caspian oil pipeline was supposed to go through Armenia, it is the 
shortest route, and it was bypassed. So now we have a situation where, 
because of the oil situation, Armenia is bypassed and we find more and 
more this effort to isolate Armenia. It is a mistake.
  As has been mentioned by my colleagues, if you don't bring countries 
together, and I use the European Union as an example, those countries 
in Europe fought each other for generations, but once you had a 
European Customs Union they worked together. Now they are a unified 
whole.
  If this policy continues of isolating Armenia, it will only lead to 
another war, because as Armenia becomes isolated and those countries 
around it become more and more antagonistic, the end result could 
possibly be another war.
  That is not in the interests of the United States. We have to fight 
this war against terrorism. We need all the Caucasus nations working 
together. Ultimately what I would like to see is a customs union 
similar to the European Union in these Caucasus nations.
  So I just want to thank everyone, Mrs. Maloney, Mr. Frank, Mr. 
Crowley, for putting a stop to this policy of isolating Armenia, which 
is not good for Armenia, not good for the Caucasus nations, and 
ultimately not good for the United States. Let's continue the policy of 
cooperation in bringing these countries together for the common good.

                              {time}  1045

  Mrs. MALONEY. Madam Speaker, I yield myself such time as I may 
consume. I have no further requests for

[[Page 22511]]

time, and I am about to yield back the balance of my time.
  But before I do, I would like to once again congratulate two of my 
colleagues on the other side of the aisle who are retiring who served 
on this committee with great distinction, Chairman Leach and Chairman 
Oxley. I thank them for their service and for putting the safety and 
soundness and fairness of our financial institutions front and center 
on the concerns of this committee and for their attention and 
consideration to all points of view, including the minority. It was an 
honor to serve with them, and they served this country well. We will 
miss you.
  Mr. OXLEY. Madam Speaker, I rise today in support of S. 3938, the 
Export-Import Bank Reauthorization Act of 2006, a strong compromise 
between the House and Senate versions of bills reauthorizing this 
country's vital export credit agency. This is the second time as 
Chairman of the Financial Services Committee that I have been involved 
with the Ex-Im Bank's reauthorization and I remain a strong supporter 
of the Bank primarily because it continues to create and sustain 
American jobs.
  Since our last authorization in 2002, the Bank has provided 
guarantees on loans to buyers of U.S. exports and insurance products 
numbering close to 11,500 total transactions--of which $7 billion of 
authorizations supported over $63 billion in export value. Alongside 
these numbers is the very impressive fact that last year alone the Bank 
returned over $1.7 billion to the U.S. Treasury in the form of fees, 
far outstripping the $145 million appropriated.
  Madam Speaker, I also am proud to note that like many of the bills we 
have passed throughout my chairmanship of the Financial Services 
Committee, this was an overwhelming bipartisan effort, led by Chairman 
Deborah Pryce and Ranking Member Carolyn Maloney as well as 
Representatives Biggert, Velazquez and Manzullo and with the strong 
support of this committee's next chairman, Barney Frank. This bill also 
represents important input from the Committee on Small Business, 
various export and banking experts, representatives of both small and 
large businesses, environmentalists and even a former president of the 
Bank.
  Madam Speaker, the bill before us makes changes necessary to keep the 
Bank vital through the 5 years of this reauthorization. The greatest of 
these changes will be the creation of a permanent Small Business 
Division whose function will be conducting outreach programs and 
tailoring Bank products to be more user-friendly for small businesses. 
This division will better equip the Bank to meet its mandate of making 
20 percent of its total loans and guarantees available to small 
businesses, with particular emphasis towards helping small businesses 
owned by women, minorities, and the socially and economically 
disadvantaged. Additionally the bill contains a number of reporting 
requirements that will allow Congress to better monitor the Bank's 
activities.
  Madam Speaker, passage of S. 3938 will enable the Bank to be even 
more successful during the next 5 years. I urge its passage today.
  Mr. MANZULLO. Madam Speaker, I want to commend the gentleman from 
Ohio (Mr. Oxley), the gentlelady from Ohio (Ms. Pryce), the gentleman 
from Massachusetts (Mr. Frank), and the gentlelady from New York (Mrs. 
Maloney) for finalizing action on this important bill to reauthorize 
the Export-Import Bank of the United States. I also want to commend the 
other body for working with us to get this bill over the finish line.
  This bill should actually be renamed the Small Business Exporters Act 
of 2006. I am pleased that S. 3938 retains many of the key small 
business enhancements that I have advocated for many years. S. 3938 
restores a viable Small Business Division and creates a Small Business 
Committee within Ex-Im to better serve the needs of small exporters. 
This legislation bill also enhances the Bank's delegated loan authority 
with respect to medium-term transactions by private lenders for small 
businesses. This is one key tool to help Ex-Im reach and exceed its 20 
percent statutory mandate for small businesses.
  S. 3938 retains the House provision designating adequate staff in 
each of the Bank's operating divisions to specialize in the needs of 
small business exporters. Furthermore, these small business specialists 
will have the authority under appropriate guidelines to approve loan, 
guarantee and insurance applications for small business exporters. 
While the final language contains a non-binding ``sense of Congress'' 
recommendation that these small business specialists have this 
authority up to $10 million, I strongly urge the Bank to make this a 
reality. Adequately implemented, this provision will help small 
business exporters overcome the obstacles of the historically slow 
internal approval process within the Ex-Im Bank.
  These small business specialists will also serve as members of the 
Small Business Committee at the Bank. These small business specialists 
will be on the front line of assisting small business and will have 
first-hand knowledge of Ex-Im products that work and what needs to be 
changed.
  Finally, I am pleased that the leaders of the House Financial 
Services Committee retained the Senate provision that allows the Senior 
Vice President for Small Business at the Bank to intervene in 
applications from small businesses that appear on their way towards 
denial. This gives small business exporters one last crack at the bat 
to see what can be done to get an application approved.
  I was pleased to work with many of the industry groups who support 
Ex-Im Bank, particularly the Small Business Exporters Association, in 
the development of the small business provisions in S. 3938. They are 
supportive of these provisions.
  Madam Speaker, passage of S. 3938 will send a powerful positive 
signal to small business exporters around the nation that there will be 
internal advocates for them within the Bank from the time they enter 
the door until the time they exit with a decision. With these new 
legislative enhancements to Ex-Im's charter, small business exporters 
will have strong shoulders to stand on to win trade deals overseas. I 
urge the adoption of S. 3938.
  Ms. LEE. Madam Speaker, I want to begin by thanking the outgoing and 
incoming Chairmen of the Financial Services Committee, Mr. Oxley and 
Mr. Frank, the outgoing DIMP subcommittee Chairwoman, Ms. Pryce, and my 
colleague from New York, Mrs. Maloney for working together in such a 
bipartisan way to reauthorize the Export-Import Bank.
  I believe the legislation we have before us today significantly 
improves the ability of the bank to respond to the needs of small 
business exporters and particularly minority and women-owned small 
business exporters.
  By creating a new office for socially and disadvantaged small 
businesses and businesses owned by women, we are responding to a 
critical and glaring gap in Ex-Im's outreach programs.
  The office builds directly from an amendment that I co-authored in 
2001 during the last reauthorization which required Ex-Im to annually 
report on the number and type of transactions it conducts with minority 
and women-owned businesses.
  The inadequate reporting from Ex-Im and their token support for 
minority outreach has made this new office a necessity. I want to thank 
my colleagues for making it a priority, and specifically Ms. Velazquez 
for her work on this.
  I also want to express my gratitude to Ms. Pryce and Mr. Frank for 
agreeing to add language to the manager's amendment which requires the 
Bank President to consider qualified minority and women applicants when 
filling positions within this new office.
  My amendment will ensure that Ex-Im conducts culturally competent and 
sensitive outreach by hiring individuals who can relate to the 
particular challenges faced by minority and women-owned small 
businesses and who can speak their language.
  I am also supportive of the provisions in the bill to increase small 
business exports, simplify Ex-Im's application process, reaffirm our 
commitment to expanding exports to Sub-Saharan Africa and expand 
transparency at the Bank.
  I believe that improvements to Ex-Im could still have been made, in 
particular, to ensure compliance with environmental standards following 
the completion of a transaction, and to get a better understanding of 
what Ex-Im's real impact is in creating and retaining American jobs.
  However, in the next Congress as we conduct oversight of Ex-Im and 
its implementation of this bill, I hope that we can continue to examine 
these remaining issues.
  Mrs. MALONEY. Madam Speaker, I yield back the balance of my time.
  Mrs. BIGGERT. Madam Speaker, I would urge passage of this very 
important bill, and I yield back the balance of my time.
  The SPEAKER pro tempore. The question is on the motion offered by the 
gentlewoman from Illinois (Mrs. Biggert) that the House suspend the 
rules and pass the Senate bill, S. 3938, as amended.
  The question was taken; and (two-thirds of those voting having 
responded in the affirmative) the rules were suspended and the Senate 
bill, as amended, was passed.
  A motion to reconsider was laid on the table.

[[Page 22512]]



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