[Congressional Record (Bound Edition), Volume 162 (2016), Part 9]
[Senate]
[Pages 12871-12872]
[From the U.S. Government Publishing Office, www.gpo.gov]




                PUERTO RICAN TASK FORCE'S INTERIM REPORT

  Mr. HATCH. Mr. President, pursuant to section 409 of the Puerto Rico 
Oversight, Management, and Economic Stability Act, or PROMESA, P.L. 
114-187, the bipartisan Congressional Task Force on Economic Growth in 
Puerto Rico has been charged with compiling a report by December 31, 
2016, that identifies impediments to growth and recommends changes to 
promote long-term economic growth and stability, spur new job creation, 
reduce child poverty, and attract investment in the territory.
  The statute also requires submission of an interim report on the 
status of the task force's efforts to the House and Senate. As chairman 
of the task force and after having submitted this report to leadership 
of both parties in the Senate and the House, I ask unanimous consent 
that the report be printed in the Record.
  There being no objection, the material was ordered to be printed in 
the Record, as follows:

       Congressional Task Force on Economic Growth in Puerto Rico


                 STATUS UPDATE TO THE HOUSE AND SENATE

     Background:
       On June 30, 2016, the ``Puerto Rico Oversight, Management, 
     and Economic Stability Act,'' or ``PROMESA,'' was signed into 
     law (Public Law 114-187). Section 409 of PROMESA establishes 
     an eight-member Congressional Task Force on Economic Growth 
     in Puerto Rico (hereafter, ``Task Force'').
       The Task Force has two basic charges:
       1. To issue, between September 1, 2016 and September 15, 
     2016, a status update to the House and Senate that includes--
       a. information the Task Force has collected; and
       b. a discussion on matters the chairman of the Task Force 
     deems urgent for consideration by Congress.
       2. To issue, not later than December 31, 2016, a report of 
     Task Force findings to the House and Senate regarding--
       a. impediments in current Federal law and programs to 
     economic growth in Puerto Rico including equitable access to 
     Federal health care programs;
       b. recommended changes to Federal law and programs that, if 
     adopted, would serve to spur sustainable long-term economic 
     growth, job creation, reduce child poverty, and attract 
     investment in Puerto Rico;
       c. the economic effect of Administrative Order No. 346 of 
     the Department of Health of the Commonwealth of Puerto Rico 
     (relating to natural products, natural supplements, and 
     dietary supplements) or any successor or substantially 
     similar order, rule, or guidance of the Commonwealth of 
     Puerto Rico; and
       d. additional information the Task Force deems appropriate.
       Further, PROMESA urges the Task Force's final report to 
     reflect the shared views of all eight members ``to the 
     greatest extent practicable.'' PROMESA also directs the Task 
     Force to consult with the Puerto Rico Legislative Assembly, 
     the Puerto Rico Department of Economic Development and 
     Commerce, and the private sector of Puerto Rico.
       Task Force Members were selected in July in accordance with 
     specifications in PROMESA, and are as follows: Senator Orrin 
     Hatch, (R-UT); Senator Robert Menendez (D-NJ); Senator Marco 
     Rubio (R-FL); Senator Bill Nelson (D-FL); Representative Tom 
     MacArthur (R-NJ); Resident Commissioner Pedro Pierluisi (PR); 
     Representative Sean Duffy (R-WI); Representative Nydia 
     Velazquez (D-NY).
       This report provides the status update pursuant to the Task 
     Force's first basic charge, highlighting information the Task 
     Force has collected and outlining the Task Force's ongoing 
     activities related to information gathering, analysis of 
     policy options, and communication with stakeholders.
       Residents of Puerto Rico and their families face numerous 
     challenges to economic growth along many dimensions affected 
     by Federal law and programs, including health care, 
     government finances, economic stagnation, population loss, 
     and sectoral inefficiencies. In addition, Puerto Rico is 
     confronting challenges shared with several states related to 
     the Zika virus and faces the highest number of confirmed 
     cases of any U.S. jurisdiction. Task Force Members are 
     actively working to arrive at a consensus in order to provide 
     Congress with findings and recommendations as called for 
     under PROMESA.
     Information the Task Force has collected:

                                  Data

       Task Force staff convened a meeting with researchers from 
     the Federal Reserve Bank of New York to discuss sources of 
     data on Puerto Rico's economy and financial activities. The 
     Federal Reserve Bank of New York oversees the Second District 
     of the Federal Reserve System, which includes Puerto Rico. 
     Researchers and analysts at the Federal Reserve Bank of New 
     York have a long history of monitoring economic and financial 
     developments in Puerto Rico and provided useful information 
     to Task Force staff on available data to assist the Task 
     Force in analyzing the economic and financial environment in 
     the territory.
       Task Force staff have also been in contact with entities 
     within Puerto Rico, including the Puerto Rico Institute of 
     Statistics (Instituto de Estadisticas de Puerto Rico), to 
     obtain the best available information about Puerto Rico's 
     economic and fiscal situation.
       Like other observers, the Task Force is concerned about the 
     relative lack of reliable data pertaining to certain aspects 
     of the economic, financial, and fiscal situation in Puerto 
     Rico, which are necessary for productive analyses that may 
     lead to sound public policy recommendations.
       Therefore, the Task Force intends to analyze the extent to 
     which Federal statistical products that measure economic and 
     financial activity in the states might also provide 
     equivalent information for Puerto Rico and other territories, 
     and the Task Force intends to explore ways in which any such 
     data gaps can be responsibly closed.

                        Task Force Email Portal

       The Task Force established an email portal--
     [email protected] issued press releases calling 
     on stakeholders to submit their input to this portal. These 
     written submissions, from both the public and private 
     sectors, will be useful to the Task Force as it works to 
     arrive at bipartisan recommendations. All submissions will be 
     considered part of the public record and the Task Force 
     intends to publish them prior to or along with its final 
     report. To date, the Task Force has received approximately 
     335 submissions to the email portal from individuals and 
     organizations representing a wide variety of interests. Task 
     Force staff have begun analyzing these submissions and will 
     continue to do so as the year progresses.
       The Task Force initially announced a deadline for 
     submission to the email portal of September 2, 2016. The Task 
     Force has since extended the deadline until October 14, 2016 
     in order to cast the widest net possible and to ensure that 
     stakeholders have ample opportunity to provide input.

                            Federal Agencies

       As a U.S. jurisdiction, Puerto Rico is affected by Federal 
     laws enacted by Congress and administered by Federal 
     agencies. Accordingly, the Task Force, in order to fulfill 
     its charges under PROMESA, will require input and cooperation 
     from various Federal agencies and offices Task Force staff 
     have begun, and will continue, to contact congressional 
     liaisons from Federal agencies and offices to schedule 
     briefings and facilitate information sharing.
       Thus far, Task Force staff have contacted officials at the 
     U.S. Department of Health and Human Services, including the 
     Centers for Medicare and Medicaid Services, to open a 
     dialogue regarding Federal health policy and its impact on 
     Puerto Rico. Task Force staff have also contacted officials 
     at the U.S. Department of Commerce, the U.S. Department of 
     Labor, and the Federal Housing Finance Agency to discuss a 
     range of topics, including the inclusion, or lack thereof, of 
     Puerto Rico in economic measures commonly used to gauge 
     economic and financial activities in states. The U.S. 
     Department of Energy, the U.S. Environmental Protection

[[Page 12872]]

     Agency, the U.S. Small Business Administration, and the U.S. 
     Department of the Treasury have also been contacted to 
     discuss critical energy, environmental, health, and economic 
     issues. Task Force staff expect to contact officials at 
     additional Federal agencies to obtain pertinent information.
       Task Force Members urge all Federal agencies and offices 
     contacted by Task Force staff to recognize the relatively 
     brief time period in which the Task Force is required to 
     operate, and welcome prompt responses to requests for 
     information and willingness to meet with Task Force staff on 
     short notice to provide background and briefing materials. 
     Moreover, Task Force Members emphasize the need for 
     bipartisan cooperation as the Task Force works to arrive at 
     findings and recommendations.

                         Congressional Support

       The Task Force expects to benefit from the support of 
     available congressional support offices, most notably the 
     Joint Committee on Taxation (JCT), the Congressional Budget 
     Office (CBO), and the Library of Congress's Congressional 
     Research Service (CRS).
       Task Force staff have contacted JCT, which will provide a 
     briefing in the near term to discuss the application of 
     Federal tax policy in Puerto Rico, as well as individual, 
     corporate, and other tax proposals put forward in recent 
     years by stakeholders in Puerto Rico and in Congress. Staff 
     have reached out to CRS researchers for updates on 
     previously-issued CRS reports related to Puerto Rico and have 
     scheduled briefings on a number of germane issues.

                  Offices and Agencies in Puerto Rico

       As noted above, PROMESA specifically requires the Task 
     Force to consult with the Puerto Rico Legislative Assembly, 
     the Puerto Rico Department of Economic Development and 
     Commerce, and the private sector of Puerto Rico.
       Task Force staff have begun outreach to leaders of the 
     Puerto Rico Legislative Assembly, and welcome any input and 
     recommendations that they wish to provide. Task Force staff 
     have also contacted the Secretary of the Puerto Rico 
     Department of Economic Development and Commerce, and welcome 
     input and recommendations from the Secretary and other 
     officials at the agency. Similarly, Task Force staff have 
     contacted the Secretary of the Puerto Rico Department of 
     Health to obtain input with respect to the Department's 
     Administrative Order No. 346. Consultation with entities in 
     the private sector of Puerto Rico has also been ongoing and 
     will continue throughout this process.

                          ____________________