[Congressional Record (Bound Edition), Volume 153 (2007), Part 18]
[House]
[Pages 25429-25432]
[From the U.S. Government Publishing Office, www.gpo.gov]




             EXTENDING TRADE ADJUSTMENT ASSISTANCE PROGRAM

  Mr. LEVIN. Mr. Speaker, I move to suspend the rules and pass the bill 
(H.R. 3375) to extend the trade adjustment assistance program under the 
Trade Act of 1974 for 3 months, as amended.
  The Clerk read the title of the bill.
  The text of the bill is as follows:

                               H.R. 3375

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

     SECTION 1. TEMPORARY EXTENSION OF TRADE ADJUSTMENT ASSISTANCE 
                   PROGRAM.

       (a) Assistance for Workers.--Section 245(a) of the Trade 
     Act of 1974 (19 U.S.C. 2317(a)) is amended by striking 
     ``September 30, 2007'' and inserting ``December 31, 2007''.
       (b) Assistance for Firms.--Section 256(b) of the Trade Act 
     of 1974 (19 U.S.C. 2346(b)) is amended by inserting after 
     ``2007,'' the following: ``and $4,000,000 for the 3-month 
     period beginning on October 1, 2007,''.
       (c) Assistance for Farmers.--Section 298(a) of the Trade 
     Act of 1974 (19 U.S.C. 2401g(a)) is amended by inserting 
     before the period the following: ``, and there are authorized 
     to be appropriated and there are appropriated to the 
     Department of Agriculture to carry out this chapter 
     $9,000,000 for the 3-month period beginning on October 1, 
     2007''.
       (d) Extension of Termination Dates.--Section 285 of the 
     Trade Act of 1974 (19 U.S.C. 2271 note) is amended by 
     striking ``September 30'' each place it appears and inserting 
     ``December 31''.
       (e) Effective Date.--The amendments made by this section 
     shall be effective as of October 1, 2007.

     SEC. 2. OFFSETS.

       (a) Time for Payment of Corporate Estimated Taxes.--
     Subparagraph (B) of section 401(1) of the Tax Increase 
     Prevention and Reconciliation Act of 2005 is amended by 
     striking ``114.75 percent'' and inserting ``115 percent''.
       (b) Customs User Fees.--Section 13031(j)(3)(B)(i) of the 
     Consolidated Omnibus Budget Reconciliation Act of 1985 (19 
     U.S.C. 58c(j)(3)(B)(i)) is amended by striking ``September 
     30, 2014'' and inserting ``October 7, 2014''.

  The SPEAKER pro tempore. Pursuant to the rule, the gentleman from 
Michigan (Mr. Levin) and the gentleman from Texas (Mr. Brady) each will 
control 20 minutes.
  The Chair recognizes the gentleman from Michigan.


                             General Leave

  Mr. LEVIN. Mr. Speaker, I ask unanimous consent that all Members have 
5 legislative days to revise.
  The SPEAKER pro tempore. Is there objection to the request of the 
gentleman from Michigan?
  There was no objection.
  Mr. LEVIN. Mr. Speaker, I now yield myself such time as I may 
consume.
  Today we are considering an extension of a critical component of our 
trade agenda, an extension of the Trade Adjustment Assistance program. 
All three programs that make up TAA, Adjustment Assistance for Workers, 
Adjustment Assistance for Firms, and Adjustment Assistance for Farmers, 
expire on September 30.
  Trade Adjustment Assistance helps to make sure that workers impacted 
by increased trade get the help and retraining they need and deserve so 
that they can go out and get new, good-paying, family-wage jobs.
  It's not a perfect program. In fact, it needs work. The committee 
will be

[[Page 25430]]

taking up legislation reforming and reauthorizing Trade Adjustment 
Assistance shortly.
  Critically, this program will improve the effectiveness of the 
program by, among other things, offering TAA access to service workers, 
increasing funding to satisfy unmet demand, getting rid of complicated 
and burdensome rules that make it hard for people to take advantage of 
Trade Adjustment Assistance.
  I think all of us can expect a discussion draft of the bill reforming 
and reauthorizing TAA to be circulated in the next week. The committee 
should take up the bill sometime after that; and if all goes as 
planned, the program will be authorized before the end of the year.
  We will hammer out the details of TAA overhaul; and while we do that, 
we need to pass this short-term, 3-month extension.
  The bill under consideration today was originally introduced by Mr. 
Herger. His support for the extension reflects the bipartisan support 
for Trade Adjustment Assistance that's really necessary, and I hope for 
in the future. It is also a recognition of the fact that the program 
has an important element of America's overall trade agenda.
  I also want to thank, in addition to Mr. Herger and those of you on 
the Republican side, I want to thank Mr. Adam Smith for his work on 
Trade Adjustment Assistance.

                              {time}  1430

  We all have been focusing on this issue for many years, and now there 
is the opportunity to act within this House.
  I also want to thank Mr. McDermott, another subcommittee Chair for 
his help.
  Mr. Speaker, I reserve the balance of my time.
  Mr. BRADY of Texas. Mr. Speaker, I yield myself such time as I may 
consume.
  I stand in support of this legislation. I appreciate the chairman's 
leadership on extending it. I stand on behalf of Representative Wally 
Herger, who is author of this legislation and ranking member, lead 
Republican on the Trade Subcommittee of Ways and Means.
  In my view, free trade is working on America's behalf. The free trade 
agreements we have today are producing more and more sales of American 
products and services around the world, nearly doubling those sales. 
Even though our free trade agreements are with countries that only 
represent 7 percent of the whole global market, in fact, they buy 
almost half of all that America sells and produces. In fact, we have a 
free trade surplus with these countries of over $5 billion. Conversely, 
much of our trade deficit, 80 percent of it are with countries we don't 
have free trade agreements with.
  Nonetheless, at the same time we have to do a better job of helping 
those who lose their jobs due to the ever-changing world marketplace. 
We need to give workers more training options and more flexibility to 
get back on their feet as soon as possible.
  Trade Adjustment Assistance has been successful in helping many 
adjust to job loss because of trade. The benefits, including the health 
coverage, tax credit, are very meaningful. Trade Adjustment Assistance 
can be improved in how it is administered to get people certified and 
trained more quickly, and changes can be made to get people back to 
work soon. However, this is an expensive program, costing taxpayers 
nearly $1 billion while providing assistance for about 54,000 workers 
per year. Accordingly, as the committee and as this Congress looks 
forward to covering additional workers who lose their jobs because of 
trade, we must look at it carefully to make sure we are getting the 
help to those who need it, that we are doing it efficiently, that we 
are giving them the educational tools they need to get back to the 
workforce just as soon as possible. And that is an area that I think 
will take considerable discussion, but I think there is common ground 
among Republicans and Democrats to try to make sure that we get as many 
workers back to work as soon as possible.
  Mr. Speaker, I reserve the balance of my time.
  Mr. LEVIN. Mr. Speaker, I yield myself 3 minutes.
  We clearly need to reform and reauthorize TAA. We also need to be 
sure that we reform trade policy. One is not a substitute for the 
other. We need to do both.
  In the continuing resolution that was passed last February, Congress 
included language prohibiting the United States Department of Labor 
from issuing final regulations concerning the TAA program. Critically 
and problematically, these regulations would contravene Congress's 
legislative intent in the important policy areas and cause confusion 
among State and local operators of the TAA program. In short, these 
regulations would change the very nature of this program, a program 
specifically committed to ensuring that workers adversely affected by 
trade get the assistance and training they need to obtain new, good-
paying, family-wage jobs, as I said before.
  For example, these rules would, number 1, compel States to implement 
a ``rapid reemployment'' strategy; 2, permit States to establish 
monetary caps on training for dislocated workers; 3, compel States to 
integrate the TAA program into the Workforce Investment Act system; 4, 
permit the privatization of the administration of programs; and, 5, 
abolish merit staff standards.
  These rules are extremely troubling. They undermine the program and, 
more generally, the intent of Congress.
  Fortunately, my colleagues on the majority side felt the same way 
about the Department of Labor proposal. Recognizing the serious 
implications of these flawed rules, Chairman Obey included the 
following language in the February continuing resolution:
  ``None of the funds made available in this division or any other act 
shall be available to finalize or implement any proposed regulation 
under the Workforce Investment 12 Act of 1998, Wagner-Peyser Act of 
1933, or the Trade Adjustment Assistance Reform Act of 2002 until such 
time as legislation reauthorizing the Workforce Investment Act of 1998 
and the Trade Adjustment Assistance Reform Act of 2002 is enacted.''
  And I quote that because it is so important.
  Mr. Speaker, I now would like to yield such time as he may consume to 
my colleague from Washington, Adam Smith, who has been working so hard 
on this issue.
  Mr. SMITH of Washington. Mr. Speaker, I will be yielding to the 
chairman to ask a question to get a clarification on one point. But, 
first of all, I want to thank him for his leadership on this issue, and 
I do want to agree with Representative Brady's comments.
  I think trade is very, very important. It has a very positive impact 
on the economy in this country. We need to work to improve these trade 
agreements. But what we try to do with Trade Adjustment Assistance is 
try to help displaced workers.
  I have long been troubled by the fact that it's called Trade 
Adjustment Assistance. I think it should just be called ``adjustment 
assistance,'' because regardless of where your job goes, it creates a 
problem that needs to be filled. In fact, many jobs are lost in this 
country to advancements in technology. Frequently jobs are lost from 
one part of this country to another part of the country, and those 
people who have lost those jobs are no more impacted than if we develop 
a competitive disadvantage with a country and they start taking over 
some jobs in an area that we used to occupy. In both instances workers 
need help and we need a broad adjustment program to do that.
  I am, however, troubled, as Mr. Levin pointed out, by the regulations 
that the administration tried to adopt that would pare back the program 
and, to some degree, limit the ability of displaced workers to get 
adjustment assistance.
  As we have heard from all economists, skills are going to be the 
critical factor from this point forward in having an employable 
workforce in this

[[Page 25431]]

country. We have got to give our workforce access to greater training, 
greater technology, and more repetitive training. Sorry, that's the 
wrong way to put it. They have to update their skills more often. Gone 
pretty much are the days when you could simply have a high school 
education, find a job with a company that was going to be around 
forever, and you were set. If we are going to have an economy where 
change is more rapid, we have to help our workers in this country.
  As the gentleman knows, I am a strong supporter of trade agreements, 
frequently berated by many in my own party for that, but I don't see 
that as the piece that is causing the problems for our workers. The 
piece I see is causing the problem for our workers is we have not made 
enough changes to reflect the rapid change that is facing them. We 
don't give them enough opportunities to retrain, update their skills 
for the changes they have to deal with. We don't have adequate health 
care protection for them when they lose their job as well. These are 
things that the Trade Adjustment Assistance Act tries to take care of 
and that I am concerned that those regulations that the administration 
tried to adopt would undermine. So I am very grateful to have that 
language in there.
  And this is where, if Mr. Levin could just clarify on one point, and 
I think in our colloquy here we have two questions, but it is really 
only one. I just want to be clear that the legislation that we are 
considering today is simply an extension of the existing program, it is 
not the reauthorization of the program, so that the prohibition 
contained in the February 2007 continuing resolution on the 
implementation of the flawed rules that we have referenced remains in 
effect even if we pass this bill. Is that correct?
  Mr. LEVIN. Mr. Speaker, will the gentleman yield?
  Mr. SMITH of Washington. I will yield to the gentleman.
  Mr. LEVIN. That is absolutely correct. As Chairman Rangel has stated 
and I have stated at the markup last week, this is an extension of 
existing law. It is not a reauthorization. As Ranking Member McCrery 
stated at the markup and as Mr. Herger explained in the remarks he 
submitted for the Record, this piece of legislation is a simple 
extension of existing law, nothing more, nothing less. So the 
prohibition on the implementation of the rules remains fully in effect.
  Mr. SMITH of Washington. I want to thank you for that clarification 
and appreciate your work on this issue. I think it is critical that we 
pass it so that we can move forward and continue Trade Adjustment 
Assistance.
  Equally critical, as you know, Mr. Chairman, I have been working with 
you and Chairman Rangel and many others on expanding Trade Adjustment 
Assistance so that more workers can benefit from it. I know right now 
we are working on a bill with a variety of different ideas. I think it 
is critical that we do that full-scale reauthorization and that we 
expand the bill so that it better protects workers, protects more 
workers, and makes sure that workers in this country can benefit from 
the new economy so that we don't have to have these constant wars over 
trade agreements, so that we can focus on taking advantage of the 
economic opportunities that are there in today's economy by making sure 
that the workers who are most vulnerable, who need greater skills, have 
help so that they too can begin to benefit from the economy.
  I appreciate your work on this issue. I look forward to working with 
you. I know in the next few weeks we will be introducing a bill and we 
will be moving forward on a broader reauthorization.
  I simply urge the body to support this short-term extension in the 
meantime.
  Mr. BRADY of Texas. Mr. Speaker, I yield myself such time as I may 
consume.
  Mr. Speaker, I agree with the previous speakers as well that there 
are lots of challenges that face American workers these days. And 
whether it is from competition here at home or competition from abroad, 
technology, or just the fact that our economy continues to transition, 
families need help in moving with that transition, acquiring the 
education, the skills. We have a huge mismatch between the jobs 
available in this country and the skills of the workers who can fill 
them, and it is important that we bridge that gap.
  I would close with this point that Congressman Herger has made, I 
think, in all of these hearings. Trade Adjustment Assistance is just 
one tool in a larger policy toolbox to help workers and families and 
communities adjust to the new global economy. Trade Adjustment 
Assistance isn't the proper response to all job loss. Currently we 
spend billions of dollars each year through a large number of Federal 
programs, including Trade Adjustment Assistance, to help Americans who 
lose their jobs.
  I think, as we work on this, you take decades-old Federal programs 
that need reform today such as TAA, improve their effectiveness, 
improve their efficiency, make sure that we are really getting that 
help down to families that need it in a timely way, sometimes in 
advance of those job losses, with the education debit cards and other 
new ideas that can help these workers recover more quickly. I just 
think there is an opportunity to work together, Republicans and 
Democrats, to try to resolve this and find a real good solution for 
this issue.
  Mr. Speaker, I have no further requests for time, and I yield back 
the balance of my time.
  Mr. LEVIN. Mr. Speaker, I yield myself the balance of my time.
  I will close, first of all, if I might, commenting on TAA to the 
gentleman from Texas and to Mr. McCrery and Mr. Herger, who could not 
be here, we have a lot of work to do on TAA. We are working on 
legislation that would reform it as well as reauthorize it, that would 
expand its scope. To exclude service workers, for example, is no longer 
acceptable, if it ever was.
  We also need to be sure that we remove the obstacles to those who 
have been eligible on paper for TAA but, because of the obstacles and 
the complexities within the law, have really not been able to access 
it.
  We also need to look at the health benefit because today only about 
10 percent of the people who are eligible for TAA ever are able to 
access the health benefit.
  So as mentioned by my friend from Washington and as I said earlier, 
as Mr. Rangel has also said publicly, we are working on legislation. We 
hope to have a draft ready next week, but we want to disseminate it and 
discuss it within the majority ranks, also to discuss it with the 
minority, in the hope that perhaps we can obtain strong bipartisan 
support.

                              {time}  1445

  I don't think it's preordained on trade issues; I guess nothing is 
preordained. But there will be those discussions. But I want to serve 
notice that we really need to and intend to proceed, that this 
extension is not an excuse for the lack of basic action.
  And, secondly, I want the record to be entirely clear that TAA reform 
is critical, but it is no substitute for reform of our trade policy. We 
need to have programs that help those who are disadvantaged by trade, 
and for other reasons, to be able to have the opportunity, they have 
the desire, but also the opportunity to do some retraining, to obtain 
more education to extend their skills so that they can get back on 
their feet with a living wage.
  We also need to pass reform of trade policy that prevents dislocation 
in the first place, wherever possible. And to have the notion that 
simply ``catch those people who fall off because of dislocation'' isn't 
enough. We have to address the basic issues in trade policy. We began 
to do that in the Ways and Means Committee today in terms of a Peru FTA 
that I think are the first steps toward a new trade policy for America. 
I hope that we can do both and, if at all possible, on a bipartisan 
basis, but we need to do both.
  Mr. HERGER. Mr. Speaker, I support H.R. 3375, a bill to extend the 
Trade Adjustment Assistance program by three months beyond September 
30th, when it would otherwise expire.

[[Page 25432]]

  I introduced this bill to allow Members adequate time to review and 
carefully consider the range of existing and forthcoming proposals to 
reform and expand this very complex and important program. As part of 
this review, our Committee must consider whether any expansions would 
create duplicative federal programs and how any such expansions to the 
TAA program would be covered under the ``pay-go'' rules.
  TAA can be a valuable tool for retraining people and helping return 
them to work quickly, but the program is in need of reform to do that 
job better. Moreover, TAA is an expensive federal program, costing 
taxpayers nearly $1 billion each year, but providing assistance only to 
some 54,000 workers per year, amounting to $18,000 per worker. In light 
of this, any expansion of TAA must be done in a cost conscious manner 
focusing on actual results.
  At the same time, we must be mindful that TAA is just one tool in a 
larger policy toolbox to help workers, families, and communities adjust 
to the new global economy. TAA is not the proper response to all job 
loss.
  Today, billions of dollars are provided annually through various 
Federal programs, including TAA, to help Americans who lose their jobs 
so that they can adapt and return to productive jobs. However, TAA and 
these other decades-old Federal programs need to be reformed to improve 
the services that they provide to address job loss due to trade, 
globalization, technology, and other reasons.
  I look forward to working with my Republican and Democratic 
colleagues in an effort to develop an effective, fiscally sound, and 
comprehensive approach that would help more American workers, 
regardless of the reason for their job loss, get retrained and re-enter 
the workforce as quickly as possible so they can better adapt to the 
changing global economy
  Mr. McCRERY. Mr. Speaker, I rise in support of H.R. 3375, a bill to 
extend the Trade Adjust Assistance or TAA program for 3 months beyond 
its expiration on September 30th.
  I want to acknowledge Mr. Herger, ranking member of the trade 
subcommittee, for anticipating the need for this extension to ensure 
there is sufficient time to carefully consider reforms to TAA as well 
as to our programs to help workers if they lose jobs for reasons other 
than trade. I also want to thank Chairman Rangel and Chairman Levin for 
their support of this bill.
  I look forward to seeing the two Chairmen's TAA reform proposal. My 
colleagues and I have been working on our own proposal too. I hope we 
can craft a bipartisan, cost-effective approach that helps get all 
dislocated workers--not just the few who lose their jobs due to trade--
retrained and back to work sooner. It is our responsibility to make 
sure that all Americans have the opportunity to quickly obtain the 
skills they need to adapt to globalization.
  Today, our Committee held a non-markup of the U.S.-Peru FTA and 
approved, by voice vote, the draft implementing legislation to it. I 
commend Chairman Rangel for his commitment to quickly move this FTA to 
passage. At the same time, we must implement the pending FTAs with 
Panama, Colombia, and Korea to enable our workers and their employers 
to benefit from the new opportunities created by these FTAs.
  Mr. LEVIN. Mr. Speaker, I yield back the balance of my time.
  The SPEAKER pro tempore (Mr. Holden). The question is on the motion 
offered by the gentleman from Michigan (Mr. Levin) that the House 
suspend the rules and pass the bill, H.R. 3375, as amended.
  The question was taken; and (two-thirds being in the affirmative) the 
rules were suspended and the bill, as amended, was passed.
  A motion to reconsider was laid on the table.

                          ____________________