[House Report 105-745]
[From the U.S. Government Publishing Office]



105th Congress                                                   Report
                        HOUSE OF REPRESENTATIVES

 2d Session                                                     105-745
_______________________________________________________________________


 
  PROVIDING FOR THE CONSIDERATION OF H.R. 2621, THE RECIPROCAL TRADE 
                   AGREEMENT AUTHORITIES ACT OF 1997

                                _______
                                

 September 24, 1998.--Referred to the House Calendar and ordered to be 
                                printed

_______________________________________________________________________


   Mr.  Dreier, from the Committee on Rules, submitted the following

                              R E P O R T

                       [To accompany H. Res. 553]

    The Committee on Rules, having had under consideration 
House Resolution 553, by a nonrecord vote, report the same to 
the House with the recommendation that the resolution be 
adopted.

               BRIEF SUMMARY OF PROVISIONS OF RESOLUTION

    The resolution provides for the consideration of H.R. 2621, 
the ``Reciprocal Trade Agreement Authorities Act of 1997,'' 
under a closed rule. The rule provides two hours of debate 
equally divided and controlled by the chairman and ranking 
minority member of the Committee on Ways and Means.
    The rule provides that the amendment in the nature of a 
substitute recommended by the Committee on Ways and Means now 
printed in the bill, modified by the amendments printed in this 
report, shall be considered as adopted. The rule waives all 
points of order against the bill, as amended.
    Finally, the rule provides for one motion to recommit, with 
or without instructions.

 SUMMARY OF AMENDMENT CONSIDERED AS ADOPTED BY THE RULE TO H.R. 2621, 
         THE RECIPROCAL TRADE AGREEMENT AUTHORITIES ACT OF 1997

            (Prepared by Committee on Ways and Means Staff)

     Sets forth certain findings of Congress, such as 
the sense that expansion of international trade is vital to 
U.S. national security and that trade is critical to U.S. 
economic growth and strength and its leadership in the world.
     Directs USTR, in agriculture negotiations, to take 
into account the impact of agreements covering agriculture to 
which the United States is a party.
     Provides for USTR, before commencing agriculture 
negotiations, to seek to develop a position, in consultation 
with Congress, on the treatment of seasonal and perishable 
agriculture products to be employed in the negotiations in 
order to develop an international consensus on the treatment of 
seasonal and perishable agriculture products with respect to 
dumping, safeguards, and any other relevant matters.
     Clarifies that the principal negotiating objective 
concerning agriculture applies to all future trade agreements 
requiring implementations, including accessions to existing 
trade agreements.
     Adds new provision to section 102(b)(7)(B) stating 
that nothing in this subsection is to be construed to authorize 
inclusion in an implementing bill or in an agreement to an 
implementing bill provisions that would restrict the autonomy 
of the United States in the listed areas.
     Adds provision to section 102(d) establishing that 
USTR is to timely consult with and keep fully apprised 
(including immediately before initialing an agreement), the 
congressional advisers for trade policy, the Committee on Ways 
and Means and the Committee on Finance. With regard to 
negotiations concerning agriculture, the House and Senate 
Committees on Agriculture would have the right to such 
consultations as well.
     Requires that the President, with respect to any 
trade agreement implemented under trade authorities procedures, 
submit to Congress a report describing the extent to which the 
parties to that trade agreement have in effect laws governing 
exploitative child labor.
     Prohibits the President from using his authority 
to reduce tariffs on any import sensitive products. As a 
result, the only way that tariff for import sensitive products 
could be reduced is if Congress passes legislation specifically 
implementing such a tariff reduction.
     Directs the President to commence negotiations 
covering trade barriers affecting any industry, product, or 
service sector, including: agriculture, commercial services, 
intellectual property rights, industrial and capital goods, 
government procurement, information technology products, 
environmental technology and services, medical equipment and 
services, civil aircraft, and infrastructure products.
     Directs that the President, before initiating 
agriculture negotiations to reduce tariffs on import sensitive 
agriculture products, is to consult with the Ways and Means and 
Agriculture Committees concerning the reductions, the impact of 
any reduction on the U.S. industry, and whether adjustment 
periods should be provided; directs the President to seek the 
advice of the International Trade Commission in determining 
which agriculture products are import sensitive.
     Prohibits any tariff reduction for agriculture 
import sensitive products unless USTR has consulted with the 
Ways and Means and Agriculture Committees concerning whether 
any further tariff reductions would be appropriate for these 
products, taking into account the impact on the U.S. industry. 
In addition, USTR must request the International Trade 
Commission to assess the probable economic effects of any 
reduction. After this process, USTR must notify the Committees 
of those products for which it will seek tariff reductions and 
which products are the subject of requests by U.S. trading 
partners.
     Requires a study by the International Trade 
Commission, due 90 days after the President enters into a trade 
agreement eligible for fast track implementation, assessing the 
likely impact of that agreement on the U.S. economy as a whole 
and on specific industry sectors, including the impact the 
agreement would have on gross domestic product, exports and 
imports, aggregate employment and employment opportunities, the 
production, employment, and the competitive position of 
industries likely to be significantly affected by the 
agreement, and the interest of U.S. consumers.
     Specifies that the trade authorities procedures 
shall not apply to the OECD Multilateral Agreement on 
Investment.
     Creates a Congressional Oversight Group for each 
trade negotiation, to be accredited as official advisers to the 
U.S. delegation for the negotiation, for the purpose of 
consulting with and providing advice regarding the formulation 
of specific objectives, negotiating strategies and positions, 
and the development of the trade agreement.
     Requires that the President, when submitting the 
final text of a trade agreement to Congress, also submit a plan 
for implementing and enforcing the agreement including border 
personnel requirements, agency staffing requirements, Customs 
infrastructure requirements, impact on state and local 
governments, and cost analysis.
     Requires that the U.S. Chief Agriculture 
Negotiator be selected from among individuals with appropriate 
experience in agriculture matters.
     Extend all Trade Adjustment Assistance programs 
through 1999.
     Reduces Information Technology funding at USDA; by 
law, the Department of Agriculture's Commodity Credit 
Corporation is allowed to spend $275 million during the fiscal 
year 1997-2002 for acquisition of information technology. This 
proposal provides $56 million in savings over five years by 
funding IT at $51 million in fiscal year 1998; $24 million in 
fiscal year 1999; $39 million in fiscal year 2000; $20 million 
in fiscal year 2001; $30 million in fiscal year 2002.
     Deletes ``repeal of the special rule for rental 
use of vacation homes, etc., for less than fifteen days.''
     Adds new provision to establish an agriculture 
``Special 301'' procedure for identifying in a report trade 
barriers in countries that deny ``fair and equitable market 
access'' and that impose unjustified sanitary and phytosanitary 
standards against U.S. agricultural exports. One month after 
the report is issued, USTR would be required to identify 
``priority foreign countries'' against which it would initiate 
Section 301 unfair trade practiceinvestigations, resulting in 
possible trade actions against the offending country.
     Sets forth findings of Congress that USTR would 
work diligently with the Minister of Finance of Japan to fully 
enforce the terms of the U.S.-Japan Insurance Agreement so that 
the Japanese insurance market will be open to U.S. investment; 
and so that existing and future U.S. investments in the 
Japanese insurance market are protected.
     Amends the marking statute with respect to 
perishable agricultural products to require marking of the 
immediate container as it ordinarily reaches the ultimate 
purchaser.
     Provides that Commerce is to monitor and 
vigorously enforce the suspension agreement covering tomatoes 
from Mexico; if the agreement is violated, Commerce is to 
immediately resume the antidumping investigation; Commerce is 
to establish a Rapid Response Team to ensure full compliance 
with the agreement.
     Requires that the President establish a task force 
to review conditions along the United States-Mexico border 
relating to housing, labor, the environment, and other relevant 
issues.
     Technical changes.
    Amendment considered as adopted by the rule:
  Amend section 101 to read as follows:

SEC. 101. SHORT TITLE AND FINDINGS.

  (a) Short Title.--The Act may be cited as the ``Reciprocal 
Trade Agreement Authorities Act of 1998''.
  (b) Findings.--The Congress makes the following findings:
          (1) The expansion of international trade is vital to 
        the national security of the United States. Trade is 
        critical to the economic growth and strength of the 
        United States and to its leadership in the world. 
        Stable trading relationships promote security and 
        prosperity. Trade agreements today serve the same 
        purposes that security pacts played during the Cold 
        War, binding nations together through a series of 
        mutual rights and obligations. Leadership by the United 
        States in international trade fosters open markets, 
        democracy, and peace throughout the world.
          (2) The national security of the United States 
        depends on its economic security, which in turn is 
        founded upon a vibrant and growing industrial base. 
        Trade expansion has been the engine of economic growth. 
        Trade agreements maximize opportunities for the 
        critical sectors and building blocks of the economy of 
        the United States, such as information technology, 
        telecommunications and other leading technologies, 
        basic industries, capital equipment, medical equipment, 
        services, agriculture, environmental technology, and 
        intellectual property. Trade will create new 
        opportunities for the United States and preserve the 
        unparalleled strength of the United States in economic, 
        political, and military affairs. The United States, 
        secured by expanding trade and economic opportunities, 
        will meet the challenges of the twenty-first century.
  In section 102(b)(6)--
          (1) in the matter preceding subparagraph (A), insert 
        ``of agricultural commodities'' after ``United States 
        exports'';
          (2) insert ``(A)'' before ``The principal negotiating 
        objective of the United States with respect to 
        agriculture'';
          (3) in subparagraph (A), redesignate clauses (i) and 
        (ii) as subclauses (I) and (II), and redesignate 
        subparagraph (A) as clause (i);
          (4) redesignate subparagraph (B) as clause (ii);
          (5) in subparagraph (C), redesignate clauses (i) 
        through (v) as subclauses (I) through (V), 
        respectively, and redesignate subparagraph (C) as 
        clause (iii);
          (6) redesignate subparagraphs (D) through (G) as 
        clauses (iv) through (vii), respectively;
          (7) strike ``and'' at the end of clause (vi), as so 
        redesignated, strike the period at the end of clause 
        (vii), as so redesignated, and insert ``; and''; and
          (8) add at the end the following:
                  (viii) taking into account the impact that 
                agreements covering agriculture to which the 
                United States is a party, including the North 
                American Free Trade Agreement, have on the 
                United States agricultural industry.
          (B)(i) Before commencing negotiations with respect to 
        agriculture, the United States Trade Representative, in 
        consultation with the Congress, shall seek to develop a 
        position on the treatment of seasonal and perishable 
        agricultural products to be employed in the 
        negotiations in order to develop an international 
        consensus on the treatment of seasonal or perishable 
        agricultural products in investigations relating to 
        dumping and safeguards and in any other relevant area.
          (ii) The negotiating objective provided in 
        subparagraph (A) applies with respect to agricultural 
        matters to be addressed in any trade agreement entered 
        into under section 103(a) or (b), including any trade 
        agreement entered into under section 103(a) or (b) that 
        provides for accession to a trade agreement to which 
        the United States is already a party, such as the North 
        American Free Trade Agreement and the United States-
        Canada Free Trade Agreement.
  In section 102(b)(7)(B), add the following at the end of the 
subparagraph: ``Nothing in this subparagraph shall be construed 
to authorize inclusion in an implementing bill under this Act 
or in an agreement subject to an implementing bill under this 
Act provisions that would restrict the autonomy of the United 
States in these areas.''.
  Add the following at the end of section 102(d):
          (3) Consultation before agreement initialed.--In the 
        course of negotiations conducted under this Act, the 
        United States Trade Representative shall--
                  (A) consult closely and on a timely basis 
                (including immediately before initialing an 
                agreement) with, and keep fully apprised of the 
                negotiations, the congressional advisers for 
                trade policy and negotiations appointed under 
                section 161 of the Trade Act of 1974 (19 U.S.C. 
                2211), the Committee on Ways and Means of the 
                House of Representatives, and the Committee on 
                Finance of the Senate; and
                  (B) with regard to any negotiations and 
                agreement relating to agricultural trade, also 
                consult closely and on a timely basis 
                (including immediately before initialing an 
                agreement) with, and keep fully apprised of the 
                negotiations, the Committee on Agriculture of 
                the House of Representatives and the Committee 
                on Agriculture, Nutrition, and Forestry of the 
                Senate.
  Insert after section 102(e) the following:
  (f) Report on Child Labor Laws.--With respect to any trade 
agreement which the President seeks to implement under trade 
authorities procedures, the President shall submit to the 
Congress a report describing the extent to which the country or 
countries that are parties to the agreement have in effect laws 
governing exploitative child labor.
  In section 103(a)(1), move the indentation of the text that 
reads ``The President shall notify the Congressof the 
President's intention to enter into an agreement under this 
subsection.'' 2 ems to the left.
  In section 103(a)(2), strike subparagraph (B) and insert the 
following:
                  (B) notwithstanding any other provision of 
                this Act, reduces the rate of duty below that 
                applicable under the Uruguay Round Agreements, 
                on any agricultural product which was the 
                subject of tariff reductions by the United 
                States as a result of the Uruguay Round 
                Agreements, for which the rate of duty, 
                pursuant to such Agreements, was reduced on 
                January 1, 1995, to a rate which was not less 
                than 97.5 percent of the rate of duty that 
                applied to such article on December 31, 1994; 
                or
  In section 103(c), amend paragraph (5)(A) to read as follows:
          (5) Extension disapproval resolutions.--(A) For 
        purposes of paragraph (1), the term ``extension 
        disapproval resolution'' means a resolution of either 
        House of the Congress, the sole matter after the 
        resolving clause of which is as follows: ``That the 
        ____ disapproves the request of the President for the 
        extension, under section 103(c)(1)(B)(i) of the 
        Reciprocal Trade Agreement Authorities Act of 1998, of 
        the trade authorities procedures under that Act to any 
        implementing bill submitted with respect to any trade 
        agreement entered into under section 103(b) of that Act 
        after September 30, 2001.'', with the blank space being 
        filled with the name of the resolving House of the 
        Congress.
  In section 103(b)(3), in the last sentence strike 
``subparagraph'' and insert ``paragraph''.
  In section 103, add the following at the end:
  (d) Commencement of Negotiations.--In order to contribute to 
the continued economic expansion of the United States, the 
President shall commence negotiations covering tariff and 
nontariff barriers affecting any industry, product, or service 
sector, and to expand existing sectoral agreements to countries 
that are not parties to those agreements, in cases where the 
President determines that such negotiations are feasible and 
timely and would benefit the United States. Such sectors 
include agriculture, commercial services, intellectual property 
rights, industrial and capital goods, government procurement, 
information technology products, environmental technology and 
services, medical equipment and services, civil aircraft, and 
infrastructure products.
  In section 104(a)(3)--
          (1) insert ``(A)'' after ``agriculture.--'';
          (2) strike ``102(b)(6)(A)'' and insert 
        ``102(b)(6)(A)(i)''; and
          (3) add at the end the following:
          (B) Before initiating negotiations to reduce United 
        States tariffs on agricultural products which the 
        President determines to be import sensitive, the 
        President shall consult with the Committee on Ways and 
        Means and the Committee on Agriculture of the House of 
        Representatives and the Committee on Finance and the 
        Committee on Agriculture, Nutrition, and Forestry of 
        the Senate concerning such tariff reductions. The 
        consultations shall include an assessment of the impact 
        of any tariff reduction on the United States industry 
        producing the product and whether adjustment periods 
        should be provided to the industry. The President, with 
        the advice of the International Trade Commission, shall 
        determine which agricultural products are import 
        sensitive.
          (C) Before initiating negotiations with regard to 
        agriculture, the United States Trade Representative 
        shall--
                  (i) identify those agricultural products 
                subject to tariff reductions by the United 
                States as a result of the Uruguay Round 
                Agreements, for which the rate of duty was 
                reduced on January 1, 1995, to a rate which was 
                not less than 97.5 percent of the rate of duty 
                that applied to such article on December 31, 
                1994;
                  (ii) consult with the Committee on Ways and 
                Means and the Committee on Agriculture of the 
                House of Representatives and the Committee on 
                Finance and the Committee on Agriculture, 
                Nutrition, and Forestry of the Senate 
                concerning whether any further tariff 
                reductions on the products identified under 
                clause (i) should be appropriate, taking into 
                account the impact of any such tariff reduction 
                on the United States industry producing the 
                product;
                  (iii) request that the International Trade 
                Commission prepare an assessment of the 
                probable economic effects of the tariff 
                reduction on the United States industry 
                producing the product and on the United States 
                economy as a whole; and
                  (iv) upon complying with clauses (i), (ii), 
                and (iii), notify the Committee on Ways and 
                Means and the Committee on Agriculture of the 
                House of Representatives and the Committee on 
                Finance and the Committee on Agriculture, 
                Nutrition, and Forestry of the Senate those 
                products identified in clause (i) for which the 
                Trade Representative intends to seek further 
                tariff liberalization in the negotiations.
          (D) If, after negotiations described in subparagraph 
        (C) are commenced--
                  (i) the United States Trade Representative 
                identifies any additional agriculture product 
                described in subparagraph (C)(i) for tariff 
                reductions which were not the subject of a 
                notification under subparagraph (C)(iv), or
                  (ii) any additional agricultural product 
                described in subparagraph (C)(i) is the subject 
                of a request for tariff reductions by a party 
                to the negotiations,
        the Trade Representative shall notify the committees 
        referred to in subparagraph (C)(iv) as soon as 
        practicable of those products.
  In section 104, amend the section heading to read as follows:

SEC. 104. CONSULTATIONS AND ASSESSMENT.

  Add the following at the end of section 104:
  (d) ITC Assessment.--
          (1) In general.--The President, at least 90 calendar 
        days before the day on which the Presidententers into a 
trade agreement under section 103(b), shall provide the International 
Trade Commission (referred to in this subsection as ``the Commission'') 
with the details of the agreement as it exists at that time and request 
the Commission to prepare and submit an assessment of the agreement as 
described in paragraph (2). Between the time the President makes the 
request under this paragraph and the time the Commission submits the 
assessment, the President shall keep the Commission current with 
respect to the details of the agreement.
          (2) ITC assessment.--Not later than 90 calendar days 
        after the President enters into the agreement, the 
        Commission shall submit to the President and Congress a 
        report assessing the likely impact of the agreement on 
        the United States economy as a whole and on specific 
        industry sectors, including the impact the agreement 
        will have on the gross domestic product, exports and 
        imports, aggregate employment and employment 
        opportunities, the production, employment, and the 
        competitive position of industries likely to be 
        significantly affected by the agreement, and the 
        interests of United States consumers.
          (3) Review of empirical literature.--In preparing the 
        assessment, the Commission shall review available 
        economic assessments regarding the agreement, including 
        literature regarding any substantially equivalent 
        proposed agreement, and shall provide in its assessment 
        a description of the analyses used and conclusions 
        drawn in such literature, and a discussion of areas of 
        consensus and divergence between the various analyses 
        and conclusions, including those of the Commission 
        regarding the agreement.
  In section 105(a)(1)(C), insert ``to the Congress'' after 
``submits''.
  In section 105(a)(2)(B)(i), add ``and'' after the semicolon.
  In section 105(b)(1), amend the paragraph caption to read as 
follows:
          (1) For lack of notice or consultations.--
  In section 105(b)(1), amend subparagraph (B) to read as 
follows:
                  (B) Procedural disapproval resolution.--For 
                purposes of this paragraph, the term 
                ``procedural disapproval resolution'' means a 
                resolution of either House of Congress, the 
                sole matter after the resolving clause of which 
                is as follows: ``That the President has failed 
                or refused to notify or consult (as the case 
                may be) with Congress in accordance with 
                section 104 or 105 of the Reciprocal Trade 
                Agreement Authorities Act of 1998 on 
                negotiations with respect to ____________ and, 
                therefore, the trade authorities procedures 
                under that Act shall not apply to any 
                implementing bill submitted with respect to 
                that trade agreement.'', with the blank space 
                being filled with a description of the trade 
                agreement with respect to which the President 
                is considered to have failed or refused to 
                notify or consult.
  In section 106(a), strike paragraph (2) and redesignate the 
succeeding paragraphs accordingly.
  Insert after section 106(b) the following:
  (c) Multilateral Agreement on Investment.--Notwithstanding 
any other provision of this Act, the trade authorities 
procedures shall not apply to the Multilateral Agreement on 
Investment concluded under the auspices of the Organization for 
Economic Cooperation and Development.
  Insert the following after section 106 and redesignate the 
succeeding sections, and references thereto, accordingly:

SEC. 107. CONGRESSIONAL OVERSIGHT GROUPS.

  (a) Appointment and Functions.--Not later than 30 days after 
the date on which the President provides notice under section 
104(a)(1) of the President's intention to enter into 
negotiations with respect to a trade agreement--
          (1) the Speaker of the House of Representatives, upon 
        the recommendation of the chairman of the Committee on 
        Ways and Means, shall appoint 5 members (not more than 
        3 of whom are members of the same political party) of 
        such committee, and
          (2) the President pro tempore of the Senate, upon the 
        recommendation of the chairman of the Committee on 
        Finance, shall appoint 5 members (not more than 3 of 
        whom are members of the same political party) of such 
        committee,
 to serve as members of a Congressional Oversight Group for the 
negotiations. Each such member shall be accredited by the 
United States Trade Representative on behalf of the President 
as official advisers to the United States delegation in the 
negotiations. Members of the Congressional Oversight Group 
shall consult with and provide advice to the Trade 
Representative regarding the formulation of specific 
objectives, negotiating strategies and positions, and the 
development of the trade agreement.
  (b) Additional Members.--
          (1) Authority to appoint.--In addition to the members 
        designated under subsection (a) for a Congressional 
        Oversight Group--
                  (A) the Speaker of the House of 
                Representatives may appoint additional members 
                of the House from any other committee of the 
                House or joint committee of Congress to serve 
                as members of the Congressional Oversight 
                Group; and
                  (B) the President pro tempore of the Senate 
                may appoint additional members of the Senate 
                from any other committee of the Senate or joint 
                committee of Congress to serve as members of 
                the Congressional Oversight Group.
        Members of the House and Senate appointed under this 
        paragraph shall be accredited by the United States 
        Trade Representative.
          (2) Consultations.--Before designating any member 
        under paragraph (1), the Speaker or the President pro 
        tempore shall consult with--
                  (A) the chairman and ranking minority member 
                of the Committee on Ways and Means and the 
                Committee on Finance, as appropriate; and
                  (B) the chairman and ranking minority member 
                of the committee from which the member will be 
                appointed.
          (3) Affiliation.--Not more than 2 members may be 
        appointed under this subsection as members of any 
        Congressional Oversight Group from any 1 committee of 
        Congress. If 2 members are appointed from 1 committee, 
        they must be from different political parties, and the 
        total members from any political party appointed under 
        this subsection for any Congressional Oversight Group 
        may not exceed the total number of members from any 
        other political party.
  (c) Guidelines.--
          (1) Purpose and revision.--Within 120 days after the 
        date of the enactment of this Act, the United States 
        Trade Representative shall develop written guidelines, 
        in consultation with the chairmen and ranking minority 
        members of the Committee on Ways and Means of the House 
        of Representatives and the Committee on Finance of the 
        Senate, to facilitate the useful and timely exchange of 
        information between the Trade Representative and the 
        Congressional Oversight Groups established under this 
        section. The Trade Representative may revise the 
        guidelines from time to time as needed following 
        further such consultation.
          (2) Content.--The guidelines developed under 
        paragraph (1) shall provide for, among other things--
                  (A) regular, detailed briefings of each 
                Congressional Oversight Group regarding 
                negotiating objectives and positions and status 
                of the negotiations with respect to which the 
                group was appointed, beginning as soon as 
                practicable after the appointment of the 
                members of the group, with more frequent 
                briefings as trade negotiations enter the final 
                stage;
                  (B) access by members of each Congressional 
                Oversight Group, and staff with proper security 
                clearances, to pertinent documents relating to 
                the negotiations, including classified 
                materials; and
                  (C) the closest practicable coordination 
                between the Trade Representative and each 
                Congressional Oversight Group at all critical 
                periods during the negotiations, including at 
                negotiation sites.

SEC. 108. ADDITIONAL IMPLEMENTATION AND ENFORCEMENT REQUIREMENTS.

  (a) In General.--At the time the President submits the final 
text of an agreement pursuant to section 105(a)(1)(C), the 
President shall also submit a plan for implementing and 
enforcing the agreement. The implementation and enforcement 
plan shall include the following:
          (1) Border personnel requirements.--A description of 
        additional personnel required at border entry points, 
        including a list of additional customs and agricultural 
        inspectors.
          (2) Agency staffing requirements.--A description of 
        additional personnel required by Federal agencies 
        responsible for monitoring and implementing the trade 
        agreement, including personnel required by the Office 
        of the United States Trade Representative, the 
        Department of Commerce, the Department of Agriculture, 
        and the Department of the Treasury.
          (3) Customs infrastructure requirements.--A 
        description of the additional equipment and facilities 
        needed by the United States Customs Service.
          (4) Impact on State and local governments.--A 
        description of the impact the trade agreement will have 
        on State and local governments as a result of increases 
        in trade.
          (5) Cost analysis.--An analysis of the costs 
        associated with each of the items listed in paragraphs 
        (1) through (4).
  (b) Budget Submission.--The President shall include a request 
for the resources necessary to support the plan described in 
subsection (a) in the first budget the President submits to 
Congress after the submission of the plan.
  In section 102(d)(2), strike ``the congressional advisers on 
trade policy and negotiations appointed under section 161 of 
the Trade Act of 1974'' and insert ``the Congressional 
Oversight Group appointed under section 107 with respect to the 
negotiations''.
  In section 109, as so redesignated (relating to Chief 
Agricultural Negotiator), insert before the period at the end 
of the first sentence the following: ``, from among individuals 
with appropriate experience in agricultural matters''.
  In section 110, as so redesignated (relating to conforming 
amendments)--
          (1) amend subsection (a)(1) to read as follows:
          (1) Implementing bill.--Section 151(b)(1) (19 U.S.C. 
        2191(b)(1)) is amended by striking ``, section 
        1103(a)(1) of the Omnibus Trade and Competitiveness Act 
        of 1988,''; and
          (2) strike ``Act of 1997'' each place it appears and 
        insert ``Act of 1998''.
  Amend section 201 to read as follows:

SEC. 201. ADJUSTMENT ASSISTANCE FOR WORKERS.

  Section 245 of the Trade Act of 1974 (19 U.S.C. 2317) is 
amended--
          (1) in subsection (a) by striking ``1993'' and all 
        that follows through ``1998,'' and inserting ``1998 and 
        1999 and for the period beginning October 1, 1999, and 
        ending December 31, 1999,''; and
          (2) in subsection (b) by striking ``1994'' and all 
        that follows through ``1998,'' and inserting ``1998 and 
        1999 and for the period beginning October 1, 1999, and 
        ending December 31, 1999,''.
  Insert the following after section 201 and redesignate the 
succeeding sections accordingly:

SEC. 202. NAFTA TRANSITIONAL PROGRAM.

  Section 250(d)(2) of the Trade Act of 1974 (19 U.S.C. 
2331(d)(2)) is amended by striking ``for any fiscal year 
$30,000,000'' and inserting ``$30,000,000 for fiscal year 1998 
or 1999 and shall not exceed $7,000,000 for the period 
beginning October 1, 1999, and ending December 31, 1999''.
  Amend section 203, as so redesignated, to read as follows:

SEC. 203. ADJUSTMENT ASSISTANCE FOR FIRMS.

  Section 256(b) of the Trade Act of 1974 (19 U.S.C. 2346(b)) 
is amended by striking ``1993'' and all that follows through 
``1998'' and inserting ``1998 and 1999 and for the period 
beginning October 1, 1999, and ending December 31, 1999''.
  Amend section 205, as so redesignated, to read as follows:

SEC. 205. TERMINATION.

  Section 285(c) of the Trade Act of 1974 (19 U.S.C. 2271 note 
preceding) is amended--
          (1) in paragraph (1), by striking ``September 30, 
        1998'' and inserting ``December 31, 1999''; and
          (2) in paragraph (2)(A), by striking ``the day that 
        is'' and all that follows through ``effective'' and 
        inserting ``December 31, 1999''.
  Strike title III and insert the following:

                      TITLE III--SPENDING OFFSETS

SEC. 301. COMPUTER-RELATED ACTIVITIES OF THE DEPARTMENT OF AGRICULTURE.

  (a) Prohibition on Funding.--No expenses for computer-related 
activities of the Department of Agriculture that are funded 
through the Commodity Credit Corporation pursuant to section 
4(g) of the Commodity Credit Corporation Charter Act shall be 
funded in fiscal year 1999.
  (b) Reduction in Limitation on Obligations.--Section 4(g) of 
the Commodity Credit Corporation Charter Act (15 U.S.C. 
714b(g)) is amended in the first sentence by striking 
``$193,000,000'' and inserting ``$128,000,000''.
  Add the following at the end:

                TITLE IV--MISCELLANEOUS TRADE PROVISIONS

SEC. 401. IDENTIFICATION OF COUNTRIES THAT DENY MARKET ACCESS FOR 
                    UNITED STATES AGRICULTURAL PRODUCTS.

  (a) Identification Required.--
          (1) In general.--Chapter 8 of title I of the Trade 
        Act of 1974 is amended by adding at the end the 
        following:

``SEC. 183. IDENTIFICATION OF COUNTRIES THAT DENY MARKET ACCESS FOR 
                    AGRICULTURAL PRODUCTS.

  ``(a) In General.--Not later than the date that is 30 days 
after the date on which the annual report is required to be 
submitted to Congressional committees under section 181(b), the 
United States Trade Representative (hereafter in this section 
referred to as the `Trade Representative') shall identify--
          ``(1) those foreign countries that--
                  ``(A) deny fair and equitable market access 
                to United States agricultural products, or
                  ``(B) apply unjustified sanitary or 
                phytosanitary standards for imported 
                agricultural products from the United States; 
                and
          ``(2) those foreign countries identified under 
        paragraph (1) that are determined by the Trade 
        Representative to be priority foreign countries.
  ``(b) Special Rules for Identifications.--
          ``(1) Criteria.--In identifying priority foreign 
        countries under subsection (a)(2), the Trade 
        Representative shall only identify those foreign 
        countries--
                  ``(A) that engage in or have the most onerous 
                or egregious acts, policies, or practices that 
                deny fair and equitable market access to United 
                States agricultural products,
                  ``(B) whose acts, policies, or practices 
                described in subparagraph (A) have the greatest 
                adverse impact (actual or potential) on the 
                relevant United States products, and
                  ``(C) that are not--
                          ``(i) entering into good faith 
                        negotiations, or
                          ``(ii) making significant progress in 
                        bilateral or multilateral negotiations,
                to provide fair and equitable market access to 
                United States agricultural products.
          ``(2) Consultation and consideration requirements.--
        In identifying priority foreign countries under 
        subsection (a)(2), the Trade Representative shall--
                  ``(A) consult with the Secretary of 
                Agriculture and other appropriate officers of 
                the Federal Government, and
                  ``(B) take into account information from such 
                sources as may be available to the Trade 
                Representative and such information as may be 
                submitted to the Trade Representative by 
                interested persons, including information 
                containedin reports submitted under section 
181(b) and petitions submitted under section 302.
          ``(3) Factual basis requirement.--The Trade 
        Representative may identify a foreign country under 
        subsection (a)(1) only if the Trade Representative 
        finds that there is a factual basis for the denial of 
        fair and equitable market access as a result of the 
        violation of international law or agreement, or the 
        existence of barriers, referred to in subsection (d).
          ``(4) Consideration of historical factors.--In 
        identifying foreign countries under paragraphs (1) and 
        (2) of subsection (a), the Trade Representative shall 
        take into account--
                  ``(A) the history of agricultural trade 
                relations with the foreign country, including 
                any previous identification under subsection 
                (a)(2), and
                  ``(B) the history of efforts of the United 
                States, and the response of the foreign 
                country, to achieve fair and equitable market 
                access for United States agricultural products.
  ``(c) Revocations and Additional Identifications.--
          ``(1) Authority to act at any time.--If information 
        available to the Trade Representative indicates that 
        such action is appropriate, the Trade Representative 
        may at any time--
                  ``(A) revoke the identification of any 
                foreign country as a priority foreign country 
                under this section, or
                  ``(B) identify any foreign country as a 
                priority foreign country under this section.
          ``(2) Revocation reports.--The Trade Representative 
        shall include in the semiannual report submitted to the 
        Congress under section 309(3) a detailed explanation of 
        the reasons for the revocation under paragraph (1) of 
        the identification of any foreign country as a priority 
        foreign country under this section.
  ``(d) Definitions.--For purposes of this section, a foreign 
country denies fair and equitable market access if the foreign 
country effectively denies access to a market for a product 
through the use of laws, procedures, practices, or regulations 
which--
          ``(1) violate provisions of international law or 
        international agreements to which both the United 
        States and the foreign country are parties, or
          ``(2) constitute discriminatory nontariff trade 
        barriers.
  ``(e) Publication.--The Trade Representative shall publish in 
the Federal Register a list of foreign countries identified 
under subsection (a) and shall make such revisions to the list 
as may be required by reason of the action under subsection 
(c).
  ``(f) Annual Report.--The Trade Representative shall, not 
later than the date by which countries are identified under 
subsection (a), transmit to the Committee on Ways and Means and 
the Committee on Agriculture of the House of Representatives 
and the Committee on Finance and the Committee on Agriculture, 
Nutrition, and Forestry of the Senate, a report on the actions 
taken under this section during the 12 months preceding such 
report, and the reasons for such actions, including a 
description of progress made in achieving fair and equitable 
market access for United States agricultural products.''.
          (2) Clerical amendment.--The table of contents for 
        the Trade Act of 1974 is amended by inserting after the 
        item relating to section 182 the following:

``Sec. 183. Identification of countries that deny market access for 
          agricultural products.''.

  (b) Investigations.--
          (1) In general.--Subparagraph (A) of section 
        302(b)(2) of the Trade Act of 1974 (19 U.S.C. 
        2412(b)(2)) is amended by inserting ``or 183(a)(2)'' 
        after ``section 182(a)(2)'' in the matter preceding 
        clause (i).
          (2) Conforming amendment.--Subparagraph (D) of 
        section 302(b)(2) of such Act is amended by inserting 
        ``concerning intellectual property rights that is'' 
        after ``any investigation''.

SEC. 402. ENFORCEMENT OF U.S.-JAPAN INSURANCE AGREEMENT.

  (a) Findings.--The Congress finds that--
          (1) the Japanese insurance market has historically 
        been closed to United States interests and investment;
          (2) the terms of the U.S.-Japanese Insurance 
        Agreement have begun the process of opening the 
        Japanese insurance market to United States interests 
        and investment; and
          (3) failure to fully enforce the terms of the U.S.-
        Japanese Insurance Agreement will endanger the United 
        States investments that have occurred and those which 
        may occur in the future.
  (b) Sense of Congress.--It is the sense of the Congress that 
the United States Trade Representative should work diligently 
with the Minister of Finance of Japan to fully enforce the 
terms of the U.S.-Japan Insurance Agreement so that Japanese 
insurance markets willcontinue to be open to United States 
investment and that existing and future United States investments in 
the Japanese insurance markets are protected.
  (c) Definition.--As used in this section, the term ``U.S.-
Japan Insurance Agreement'' means the Measures by the 
Government of the United States and the Government of Japan 
Regarding Insurance, signed on October 11, 1994, as amended by 
the Supplementary Measures by the Government of the United 
States and the Government of Japan Regarding Insurance, signed 
on December 24, 1996.

SEC. 403. MARKING OF CONTAINERS FOR PERISHABLE AGRICULTURAL 
                    COMMODITIES.

  (a) In General.--Section 304 of the Tariff Act of 1930 (19 
U.S.C. 1304) is amended--
          (1) by redesignating subsections (h), (i), (j), and 
        (k) as subsections (i), (j), (k), and (l), 
        respectively; and
          (2) by inserting after subsection (g) the following 
        new subsection:
  ``(h) Marking of Containers of Perishable Agricultural 
Commodities.--
          ``(1) In general.--The immediate container, as it 
        ordinarily reaches the ultimate purchaser, of any 
        perishable agricultural commodity excepted from the 
        marking requirements of subsection (a) shall be marked 
        in the manner required by subsection (a), unless an 
        exception from the requirements of marking applies to 
        such container under any subparagraph of subsection 
        (a)(3) other than subparagraph (J).
          ``(2) Definition.--For purposes of this subsection, 
        the term `perishable agricultural commodity' has the 
        meaning given that term in section 1(b) of the 
        Perishable Agricultural Commodities Act, 1930 (7 U.S.C. 
        499a(b)).''.
  (b) Conforming Amendment.--Section 304(j) of such Act, as 
redesignated by subsection (a)(1), is amended by striking 
``subsection (h)'' and inserting ``subsection (i)''.
  (c) Effective Date.--The amendments made by this section 
apply to goods entered, or withdrawn from warehouse for 
consumption, on or after the 120th day after the date of the 
enactment of this Act.

SEC. 404. MONITORING AND ENFORCEMENT OF SUSPENSION AGREEMENT.

  The administering authority (as defined in section 771(1) of 
the Tariff Act of 1930) shall closely monitor and vigorously 
enforce the suspension agreement concerning fresh tomatoes from 
Mexico that was entered into on October 28, 1996, pursuant to 
section 734 of the Tariff Act of 1930. If the administering 
authority determines that the suspension agreement is being, or 
has been, violated, is no longer in the public interest as set 
forth in section 734(d) of that Act, or no longer meets the 
applicable requirements of section 734(c) or (d) of that Act, 
the administering authority shall immediately resume the 
antidumping investigation suspended by the agreement and take 
other action under section 734(i) of that Act. The 
administering authority shall establish a Rapid Response Team 
to ensure full compliance with the agreement and speedy 
resolution of claims with respect to the agreement.

SEC. 405. REVIEW OF CONDITIONS ALONG UNITED STATES-MEXICAN BORDER.

  (a) Task Force to Review Conditions.--The President shall 
establish a task force to review conditions along the United 
States-Mexican border relating to housing, labor, the 
environment, and other relevant issues as they relate to United 
States companies that are located along the border. The task 
force should determine the ways in which partnerships made up 
of public and private entities can improve conditions along the 
border.
  (b) Report to Congress.--The President shall report to the 
Congress not later than 1 year after the date of the enactment 
of this Act on the results of the review under subsection (a).

                                
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