House Report 106-1036 - REPORT ON THE LEGISLATIVE AND OVERSIGHT ACTIVITIES of the COMMITTEE ON WAYS AND MEANS during the 106TH CONGRESS

[House Report 106-1036]
[From the U.S. Government Publishing Office]

From the House Reports Online via GPO Access
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Union Calendar No. 598
106th Congress Report
HOUSE OF REPRESENTATIVES
2d Session 106-1036
_______________________________________________________________________

REPORT ON THE LEGISLATIVE AND OVERSIGHT ACTIVITIES

of the

COMMITTEE ON WAYS AND MEANS

during the

106TH CONGRESS

December 21, 2000.--Committed to the Committee of the Whole House on
the State of the Union and ordered to be printed

__________

U.S. GOVERNMENT PRINTING OFFICE
89-006 WASHINGTON : 2000

COMMITTEE ON WAYS AND MEANS

BILL ARCHER, Texas, Chairman
PHILIP M. CRANE, Illinois CHARLES B. RANGEL, New York
BILL THOMAS, California FORTNEY PETE STARK, California
E. CLAY SHAW, Jr., Florida ROBERT T. MATSUI, California
NANCY L. JOHNSON, Connecticut WILLIAM J. COYNE, Pennsylvania
AMO HOUGHTON, New York SANDER M. LEVIN, Michigan
WALLY HERGER, California BENJAMIN L. CARDIN, Maryland
JIM McCRERY, Louisiana JIM McDERMOTT, Washington
DAVE CAMP, Michigan GERALD D. KLECZKA, Wisconsin
JIM RAMSTAD, Minnesota JOHN LEWIS, Georgia
JIM NUSSLE, Iowa RICHARD E. NEAL, Massachusetts
SAM JOHNSON, Texas MICHAEL R. McNULTY, New York
JENNIFER DUNN, Washington WILLIAM J. JEFFERSON, Louisiana
MAC COLLINS, Georgia JOHN S. TANNER, Tennessee
ROB PORTMAN, Ohio XAVIER BECERRA, California
PHILIP S. ENGLISH, Pennsylvania KAREN L. THURMAN, Florida
WES WATKINS, Oklahoma LLOYD DOGGETT, Texas
J.D. HAYWORTH, Arizona
JERRY WELLER, Illinois
KENNY HULSHOF, Missouri
SCOTT McINNIS, Colorado
RON LEWIS, Kentucky
MARK FOLEY, Florida
LETTER OF TRANSMITTAL

----------

House of Representatives,
Committee on Ways and Means,
Washington, DC, December 20, 2000.
Hon. Jeff Trandahl,
Clerk of the House of Representatives,
The Capitol, Washington DC.
Dear Mr. Trandahl: I am herewith transmitting, pursuant to
House Rule XI, clause 1(d), the report of the Committee on Ways
and Means on its legislative and oversight activities during
the 106th Congress. With best personal regards,
Sincerely,
Bill Archer, Chairman.
C O N T E N T S

----------
Page
Transmittal Letter............................................... III
Foreword......................................................... VII
I. Legislative Activity Review.......................................1
A. Legislative Review of Tax, Trust Fund, and Pension
Issues............................................... 1
B. Legislative Review of Trade Issues.................... 14
C. Legislative Review of Health Issues................... 47
D. Legislative Review of Social Security Issues.......... 52
E. Legislative Review of Human Resources Issues.......... 56
F. Legislative Review of Debt Issues..................... 63
II. Oversight Activity Review........................................65
A. Oversight Agenda...................................... 65
B. Actions taken and recommendations made with respect to
oversight plan....................................... 74
C. Additional oversight activities, and any
recommendations or actions taken..................... 92
Appendix I. Jurisdiction of the Committee on Ways and Means...... 96
Appendix II. Historical Note..................................... 112
Appendix III. Statistical Review of the Activities of the
Committee on Ways and Means.................................... 118
Appendix IV. Chairmen of the Committee on Ways and Means and
Membership of the Committee from the 1st through the 106th
Congresses..................................................... 123
FOREWORD

Clause 1(d) of Rule XI of the Rules of the House, regarding
the rules of procedure for committees, contains a requirement
that each committee prepare a report at the conclusion of each
Congress summarizing its activities. The 104th Congress added
subsections on legislative and oversight activities, including
a summary comparison of oversight plans and eventual
recommendations and actions. The full text of the Rule, as
recodified in the 106th Congress, follows:

(d)(1) Each committee shall submit to the House not
later than January 2 of each odd-numbered year a report
on the activities of that committee under this rule and
rule X during the Congress ending at noon on January 3
of such year.
(2) Such report shall include separate sections
summarizing the legislative and oversight activities of
that committee during that Congress.
(3) The oversight section of such report shall
include a summary of the oversight plans submitted by
the committee under clause 2(d) of rule X, a summary of
the actions taken and recommendations made with respect
to each such plan, a summary of any additional
oversight activities undertaken by that committee, and
any recommendations made or actions taken thereon.
(4) After an adjournment sine die of the last regular
session of a Congress, the chairman of a committee may
file an activities report under subparagraph (1) with
the Clerk at any time and without approval of the
committee, provided that--
(A) a copy of the report has been available
to each member of the committee for at least
seven calendar days; and
(B) the report includes any supplemental,
minority, or additional view submitted by a
member of the committee.

The jurisdiction of the Committee on Ways and Means during
the 106th Congress is provided in Rule X, clause 1(s), as
follows:

The general oversight responsibilities of committees are
set forth in clause 2 of Rule X. The 104th Congress also added
the requirement in clause 2 of Rule X that each standing
committee submit its oversight plans for each Congress. The
text of the Rule, as recodified in the 106th Congress, in
pertinent part, follows:

2. (a) The various standing committees shall have general
oversight responsibilities as provided in paragraph (b) in
order to assist the House in--
(1) its analysis, appraisal, and evaluation of--
(A) the application, administration,
execution, and effectiveness of Federal laws;
and
(B) conditions and circumstances that may
indicate the necessity or desirability of
enacting new or additional legislation; and
(2) its formulation, consideration, and enactment of
changes in Federal laws, and of such additional
legislation as may be necessary or appropriate.
(b)(1) In order to determine whether laws and programs
addressing subjects within the jurisdiction of a committee are
being implemented and carried out in accordance with the intent
of Congress and whether they should be continued, curtailed, or
eliminated, each standing committee (other than the Committee
on Appropriations) shall review and study on a continuing
basis--
(A) the application, administration, execution, and
effectiveness of laws and programs addressing subjects
within its jurisdiction;
(B) the organization and operation of the Federal
agencies and entities having responsibilities for the
administration and execution of laws and programs
addressing subjects within its jurisdiction;
(C) any conditions or circumstances that may indicate
the necessity or desirability of enacting new or
additional legislation addressing subjects within its
jurisdiction (whether or not a bill or resolution has
been introduced with respect thereto); and
(D) future research and forecasting on subjects
within its jurisdiction.
(2) Each committee to which subparagraph (1) applies having
more than 20 members shall establish an oversight subcommittee,
or require its subcommittees to conduct oversight in their
respective jurisdictions, to assist in carrying out all its
responsibilities under this clause. The establishment of
anoversight subcommittee does not limit the responsibility of a
subcommittee with legislative jurisdiction in carrying out its
oversight responsibilities.
(c) Each standing committee shall review and study on a
continuing basis the impact or probable impact of tax policies
affecting subjects within its jurisdiction as described in
clauses 1 and 3.
(d)(1) Not later than February 15 of the first session of a
Congress, each standing committee shall, in a meeting that is
open to the public and with a quorum present, adopt its
oversight plans for that Congress. Such plan shall be submitted
simultaneously to the Committee on Government Reform and to the
Committee on House Administration. In developing its plan each
committee shall, to the maximum extent feasible--
(A) consult with other committees that have
jurisdiction over the same or related laws, programs,
or agencies within its jurisdiction with the objective
of ensuring maximum coordination and cooperation among
committees when conducting reviews of such laws,
programs, or agencies and include in its plan an
explanation of steps that have been or will be taken to
ensure such coordination and cooperation;
(B) give priority consideration to including in its
plan the review of those laws, programs, or agencies
operating under permanent budget authority or permanent
statutory authority; and
(C) have a view toward ensuring that all significant
laws, programs, or agencies within its jurisdiction are
subject to review every ten years.
To carry out its work during the 106th Congress, the
Committee on Ways and Means had five standing Subcommittees, as
follows:
Subcommittee on Trade;
Subcommittee on Oversight;
Subcommittee on Health;
Subcommittee on Social Security; and
Subcommittee on Human Resources.
The membership of the five Subcommittees of the Committee
on Ways and Means in the 106th Congress is as follows:

Subcommittee on Trade

PHILIP M. CRANE, Illinois,
Chairman

SANDER M. LEVIN, Michigan BILL THOMAS, California
CHARLES B. RANGEL, New York E. CLAY SHAW, Jr., Florida
RICHARD E. NEAL, Massachusetts AMO HOUGHTON, New York
MICHAEL R. McNULTY, New York DAVE CAMP, Michigan
WILLIAM J. JEFFERSON, Louisiana JIM RAMSTAD, Minnesota
XAVIER BECERRA, California JENNIFER DUNN, Washington
WALLY HERGER, California
JIM NUSSLE, Iowa

Subcommittee on Oversight

AMO HOUGHTON, New York, Chairman

WILLIAM J. COYNE, Pennsylvania ROB PORTMAN, Ohio
MICHAEL R. McNULTY, New York JENNIFER DUNN, Washington
JIM McDERMOTT, Washington WES WATKINS, Oklahoma
JOHN LEWIS, Georgia JERRY WELLER, Illinois
RICHARD E. NEAL, Massachusetts KENNY HULSHOF, Missouri
J.D. HAYWORTH, Arizona
SCOTT McINNIS, Colorado

Subcommittee on Health

BILL THOMAS, California, Chairman

FORTNEY PETE STARK, California NANCY L. JOHNSON, Connecticut
GERALD D. KLECZKA, Wisconsin JIM McCRERY, Louisiana
JOHN LEWIS, Georgia PHILIP M. CRANE, Illinois
JIM McDERMOTT, Washington SAM JOHNSON, Texas
KAREN L. THURMAN, Florida DAVE CAMP, Michigan
JIM RAMSTAD, Minnesota
PHILIP S. ENGLISH, Pennsylvania

Subcommittee on Social Security

E. CLAY SHAW, Jr., Florida,
Chairman

ROBERT T. MATSUI, California SAM JOHNSON, Texas
SANDER M. LEVIN, Michigan MAC COLLINS, Georgia
JOHN S. TANNER, Tennessee ROB PORTMAN, Ohio
LLOYD DOGGETT, Texas J.D. HAYWORTH, Arizona
BENJAMIN L. CARDIN, Maryland JERRY WELLER, Illinois
KENNY HULSHOF, Missouri
JIM McCRERY, Louisiana

Subcommittee on Human Resources

NANCY L. JOHNSON, Connecticut,
Chairman

BENJAMIN L. CARDIN, Maryland PHILIP S. ENGLISH, Pennsylvania
FORTNEY PETE STARK, California WES WATKINS, Oklahoma
ROBERT T. MATSUI, California RON LEWIS, Georgia
WILLIAM J. COYNE, Pennsylvania MARK FOLEY, Florida
WILLIAM J. JEFFERSON, Louisiana SCOTT McINNIS, Colorado
JIM McCRERY, Louisiana
DAVE CAMP, Michigan
The Committee on Ways and Means submits its report on its
legislative and oversight activities for the 106th Congress
pursuant to the above stated provisions of the Rules of the
House. Section I of the report describes the Committees'
legislative activities, divided into seven sections as follows:
Legislative Review of Tax, Trust Fund, and Pension Issues;
Legislative Review of Trade Issues; Legislative Review of
Health Issues; Legislative Review of Social Security Issues;
Legislative Review of Human Resources Issues; and Legislative
Review of Debt Issues.
Section II of the report describes the Committees'
oversight activities. It includes a copy of the Committee's
Oversight Agenda, adopted in open session on February 11, 1999,
along with a description of actions taken and recommendations
made with respect to the oversight plan. The report then
discusses additional Committee oversight activities, and any
recommendations or actions taken as a result. Finally, the
report includes three appendices with Committee information
which was historically included in a separate committee
publication (see WMCP: 103-29). Appendix I is an expanded
discussion of the Jurisdiction of the Committee on Ways and
Means along with a revised listing and explanation of blue slip
resolutions and points of order under House Rule XXI 5(b),
previously included in the Committee's ``Overview of the
Federal Tax System'' (WMCP: 103-17). Appendix II is a brief
Historical Note on the origins of the Committee; Appendix III
is a Statistical Review of the Activities of the Committee on
Ways and Means; and Appendix IV is a listing of the Chairmen
and Membership of the Committee from the 1st-106th Congresses.
Union Calendar No. 598
106th Congress Report
HOUSE OF REPRESENTATIVES
2d Session 106-1036

======================================================================

REPORT ON THE LEGISLATIVE AND OVERSIGHT ACTIVITIES OF THE COMMITTEE ON
WAYS AND MEANS DURING THE 106TH CONGRESS

_______

December 21, 2000.--Committed to the Committee of the Whole House on
the State of the Union and ordered to be printed

_______

Mr. Archer, from the Committee on Ways and Means, submitted the
following

R E P O R T

I. Legislative Activity Review

A. Legislative Review of Tax, Trust Fund, and Pension Issues

1. BILLS ENACTED INTO LAW DURING THE 106TH CONGRESS

a. Operation Allied Force

On April 13, 1999, Committee Chairman Archer introduced,
and the Committee marked up, H.R. 1376, a bill to extend tax
relief for personnel involved in Operation Allied Force (H.
Rept. 106-90). The bill passed the House and the Senate on
April 15, 1999, and the President signed it on April 19, 1999
(P.L. 106-21).
In summary, the bill extended combat zone tax benefits to
those serving in (or in support of) Operation Allied Force by
treating the Federal Republic of Yugoslavia (Serbia/
Montenegro), Albania, the Adriatic Sea, and the northern Ionian
Sea (including all of their airspaces) as a qualified hazardous
duty area. Thus, military personnel serving in this area became
entitled to various types of tax relief, including an exemption
for compensation earned while in the hazardous duty area, a
suspension of various tax filing and payment requirements, and
an exemption from telephone excise taxes. In addition, military
personnel serving as part of Operation Allied Force but
performing services outside of the qualified hazardous duty
area qualified for the suspension of various tax filing and
payment requirements, provided that their services were
performed outside the United States and while deployed away
from their permanent duty stations.

b. Tax Relief Extension Act of 1999

On September 23, 1999, Committee Chairman Archer introduced
H.R. 2923, abill to extend certain expiring provisions, to
fully allow nonrefundable personal income tax credits against regular
tax liability, and for other purposes. Many of its provisions were
substantially identical to provisions in H.R. 2488 discussed in section
I.A.2.a., below. On September 27, 1999, the Committee marked up H.R.
2923 (H. Rept. 106-344). The provisions of the bill were incorporated
(along with other tax provisions) into the conference report on H.R.
1180, the ``Ticket to Work and Work Incentives Improvement Act of
1999'' (Conference Rept. 106-478), and that bill was signed by the
President on December 17, 1999 (P.L. 106-170).
In summary, the bill extended through December 31, 2001,
the following provisions: Alternative Minimum Tax treatment of
nonrefundable credits, subpart F exception for active financing
income, suspension of the 100 percent net income limit for
marginal oil and gas properties, work opportunity tax credit,
welfare to work credit, employer provided educational
assistance, section 45 credit (with modifications), qualified
zone academy bond program (with modifications), D.C. homebuyer
credit, brownfields environmental remediation, and rum excise
tax coverover to Puerto Rico and the Virgin Islands. The
research and experimentation tax credit was extended until June
30, 2004 (and expanded to cover research in Puerto Rico). The
bill included several time sensitive provisions, including
provisions related to Administrative Pricing Agreements,
potential Y2K failures, Streptoccocus pneumoniae vaccines, dyed
fuels, and farm production payments. The bill also included
several revenue offsets, including provisions to clarify the
tax treatment of income and losses from derivatives, require
the reporting of cancellation of indebtedness by non-banks,
prevent conversion of ordinary income and short-term capital
gains into long-term capital gains, allow transfers of excess
defined benefit plan assets for retiree health, modify the
installment method of accounting and prohibit its use by
accrual basis taxpayers, clarify the treatment of charitable
split dollar life insurance, modify the tax treatment of
distributions of corporate stock by a partnership to a
corporate partner, allow Real Estate Investment Trusts
(``REITs'') to have taxable subsidiaries, prevent owners of
REITS from delaying estimated tax payments, and modify the
individual estimated tax safe harbor for taxpayers with
adjusted gross incomes in the prior year in excess of $150,000.

c. Full and Fair Political Activities Disclosure Act of 2000

On June 22, 2000, the Committee marked up H.R. 4717 (H.
Rept. 106-702). On June 27, 2000, Subcommittee Chairman
Houghton introduced H.R. 4762, a bill similar to H.R. 4717. The
House subsequently passed under suspension of the rules, H.R.
4762, on June 28, 2000; the Senate passed the bill on June 29,
2000, and the President signed the bill into law July 1, 2000
(P.L. 106-230).
In summary, H.R. 4762 would require a political
organization to give notice within 24 hours of being
established in order to be eligible for treatment under section
527 of the Internal Revenue Code. The bill also provides that
if notice is given after such period, the organization shall
not be so treated for any period before the notice is given. In
the case of an organization failing to give such notice, the
bill requires the organization's taxable income to be computed
by taking into account any exempt function income (and any
deductions directly connected with the production of such
income). The bill excepts certain organizations from the
notification requirement. The bill makes information on
organizations that file such notices, and such notices,
publicly available, prescribes monetary penalties for failures
to meet certain public availability requirements, and grants
existing organizations to whom the bill applied 30 days from
the enactment date to file a notice. The bill prescribes tax
penalties for failures by political organizations to make
certain disclosures of contributions and expenditures for
exempt functions, exempts certain organizations and political
committees from the disclosure requirement, makes such
disclosures publicly available, and prescribes monetary
penalties for failures to make disclosures available for
inspection. The bill requires political organizations which
have gross receipts of $25,000 or more per taxable year, with
an exception, to file tax returns, provides for public
disclosure of such returns, and prescribes monetary penalties
for failures to file or provide correct information.

d. Miscellaneous Trade and Technical Corrections Act of 1999

In addition to the trade provisions of H.R. 435, the
``Miscellaneous Trade and Technical Corrections Act of 1999''
(more fully described in section I.B.8.a., below), the bill
included one provision amending the Internal Revenue Code. The
provision generally would eliminate the distinction between the
assumption of a liability and the acquisition of an asset
subject to a liability for transfers after October 18, 1998.
The ``Miscellaneous Trade and Technical Corrections Act of
1998,'' H.R. 4856, as passed by the House on October 20, 1998,
contained a substantially identical provision.

e. Trade and Development Act of 2000

In addition to the trade provisions of H.R. 434, the
``Trade and Development Act of 2000'' (more fully described in
section I.B.7., below), the bill included two tax-related
provisions. One provision permits the President to waive the
foreign tax credit restrictions of Internal Revenue Code
section 901(j) if the President determines that such a waiver
is in the U.S. national interest and will expand trade
opportunities for U.S. companies. The other provision
accelerates the payment of amounts attributable to the increase
in the rum coverover rate to $13.25 per proof gallon (as
provided for in H.R. 1180, the ``Ticket to Work and Work
Incentives Improvements Act of 1999''). In addition, the bill
includes two clarifications to the rules governing coverover
payments.

f. FSC Repeal and Extraterritorial Income Exclusion Act of 2000

On July 27, 2000, Committee Chairman Archer introduced, and
the Committee marked up, H.R. 4986, the ``FSC Repeal and
Extraterritorial Income Exclusion Act of 2000'' (H. Rept. 106-
845). The bill passed the House on September 13, 2000. The
Senate passed an amended version of the bill (identical to the
provision included in the conference report to H.R. 2614) on
November 1, 2000. The House passed the Senate amendment on
November 14, 2000, and the President signed the bill into law
on November 15, 2000 (P.L. 106-519).
In response to World Trade Organization (WTO) dispute
settlement decisions, the bill repealed the provisions of the
Internal Revenue Code relating to foreign sales corporations
(FSCs). To comply with this WTO decision and to prevent U.S.
workers and companies from being disadvantaged, the bill
reforms current tax rules to exclude certain extraterritorial
income from gross income. As under a territorial tax system,
taxpayers with certain foreign trade income would avoid double
taxation of income through an exemption from U.S. taxation
(rather than through a foreign tax credit relating to such
income).
The bill generally applies to transactions after September
30, 2000. No new FSCs would be able to be formed after
September 30, 2000, and a limited transition period would apply
to existing FSCs.

g. Community Renewal Tax Relief Act of 2000

On July 24, 2000, Representative Watts introduced H.R.
4923, the ``Community Renewal and New Markets Act of 2000.'' On
July 25, 2000, the House passed H.R. 4923. Titles I, IV, and V
of the bill included provisions similar to sections 701 through
705, 1101 through 1107 and 1181 of H.R. 2488, the ``Taxpayer
Refund and Relief Act of 1999,'' and sections 401 through 405,
501 through 507, and 511 of H.R. 3081, the ``Small Business Tax
Fairness Act.'' Provisions substantially similar to H.R. 4923
were also included in title VI of H.R. 5542, the ``Taxpayer
Relief Act of 2000,'' as incorporated into the conference
report on H.R. 2614. On December 14, 2000, Chairman Archer
introduced H.R. 5662, the ``Community Renewal and New Markets
Act,'' which included provisions identical to title VI of H.R.
5542.
On September 26, 2000, the House passed under suspension of
the rules H.R. 5117, the ``Missing Children Tax Fairness Act of
2000.'' The provisions of the bill were subsequently included
in H.R. 2614, the ``Taxpayer Relief Act of 2000'' (see section
I.A.2.b., below) and H.R. 5662. The bill would have clarified
that families could continue to claim the child credit,
dependent exemption and the earned income credit in the case of
abducted children.
On May 25, 2000, Congressman Thomas Ewing introduced H.R.
4541, the ``Commodity Futures Modernization Act of 2000.'' On
October 19, 2000, the bill passed the House under suspension of
the rules. The bill, as passed by the House, included several
changes to the Internal Revenue Code. These tax-related
provisions generally modified the tax treatment of securities
futures contracts. The tax-related provisions of H.R. 4541 were
included in H.R. 5662.
The provisions of H.R. 5662 were incorporated by reference
into the conference report on H.R. 4577. H.R. 4577 passed the
House and Senate on December 15, 2000.
In summary, the bill establishes a procedure for the
designation of 40 ``renewal communities,'' at least eight of
which must be in rural areas. Once an area is designated as a
renewal community, individuals and businesses located in the
renewal community would be eligible for a variety of tax
incentives: a zero capital gains rate, increased expensing for
small businesses, an employment wage credit, and community
revitalization deductions. The bill also permits the
designation of nine new empowerment zones and expands and
extends current empowerment zone tax benefits. The bill permits
the Treasury Department to direct the allocation of up to $7.5
billion in ``New Markets Tax Credits'' to community development
entities that provide assistance to individuals and businesses
in low-income areas. The bill also includes an increase in the
low income housing tax credit and an acceleration of the
scheduled increase in the private activity bond volume cap. In
addition, the bill permits greater deduction (rather than
capitalization) of certain environmental remediation costs.
H.R. 5662 also renamed ``medical savings accounts'' as
``Archer MSAs'' and extended the program for two more years.
The bill also extended the D.C. homebuyer credit for two years
and the D.C. enterprise zone for one year. It extended and
modified the enhanced deduction for corporate donations of
computer technology and modified the tax treatment of Indian
tribes for FUTA purposes. The bill included several
administrative provisions and technical corrections,
substantially identical to those in H.R. 5542 (see I.A.2.b.,
below).

2. Comprehensive Tax Relief Proposals

a. Taxpayer Refund and Relief Act of 1999

On January 20, 1999, the Committee held hearings on the
Outlook for the State of the U.S. Economy in 1999. On February
4 and March 10, 1999, the Committee held hearings on the
President's Fiscal Year 2000 Budget. On June 16 and 23, 1999,
the Committee held hearings on Reducing the Tax Burden. On June
30, 1999, theCommittee held a hearing on the Impact of U.S. Tax
Rules on International Competitiveness.
On July 13, 1999, Committee Chairman Archer introduced H.R.
2488, the ``Financial Freedom Act of 1999.'' On July 13 and 14,
2000, the Committee marked up the bill (H. Rept. 106-238). The
House passed the bill on July 22, 1999. The Senate passed the
bill, as amended, on July 30, 1999. On August 4, 1999, the
conference report on H.R. 2488 (H. Rept. 106-289), retitled the
``Taxpayer Refund and Relief Act of 1999,'' was filed. The
House passed the conference report, as did the Senate, on
August 5, 1999. The President vetoed the bill on September 23,
1999.
In summary, title I of the conference report included
broad-based and family tax relief, including a reduction in
individual income tax rates and expansion of the lowest
individual regular income tax rate bracket, marriage penalty
relief provisions (see section I.A.3.a., below), and repeal of
the individual alternative minimum tax. Title II included
capital gains tax relief and IRA changes. Title III consisted
of business alternative minimum tax relief. Titles IV, V, and
VI included education savings incentives (see section I.A.3.g.,
below), health care provisions (see section I.A.3.i., below),
and death tax relief (see section I.A.3.b., below). Title VII
would have provided tax relief for distressed communities and
industries, including renewal communities (see section
I.A.1.g., above) and farming, oil and gas, and timber
incentives. Title VIII related to tax relief for small
businesses (see section I.A.3.h., below). International tax
relief, including modification of the interest allocation
rules, was included in title IX, and provisions relating to
tax-exempt organizations were included in title X. Title XI
consisted of real estate provisions, including an increase in
the low income housing tax credit (see section I.A.1.g., above)
and a provision allowing taxable REIT subsidiaries. Title XII
was composed of provisions relating to pensions (see section
I.A.3.e., below). Title XIII included miscellaneous provisions
affecting individuals, businesses, excise taxes, and the United
States Tax Court. Title XIV would have extended several
expiring provisions (see section I.A.1.b., above). Title XV
included several revenue offsets.

b. Taxpayer Relief Act of 2000

On October 25, 2000, Representative Armey introduced H.R.
5542, the ``Taxpayer Relief Act of 2000.'' The provisions of
H.R. 5542 were incorporated by reference into the conference
report on H.R. 2614. The conference report on H.R. 2614 passed
the House on October 26, 2000.
In summary, the bill included several provisions similar to
or identical to provisions that had previously passed the
House, including FSC repeal and extraterritorial income
exclusion (see section I.A.1.f., above), small business tax
relief (see section I.A.3.h., below), health insurance and
long-term care insurance provisions (see section I.A.3.i.,
below), pension and individual retirement arrangement
provisions (see section I.A.3.e., below), tax-exempt bond
provisions for school construction (see section I.A.3.g.,
below) and an expansion of the qualified zone academy bond
program, and community revitalization (see section I.A.1.g.,
above). The bill also included several administrative and
miscellaneous provisions and technical corrections (see section
I.A.1.g., above).

3. ISSUE SPECIFIC TAX BILLS

a. Marriage Tax Penalty Relief

On February 10, 1999, Representative Weller introduced H.R.
6. See discussion of the ``Taxpayer Refund and Relief Act of
1999'' at section I.A.2.a., above, for earlier action relating
to marriage tax penalty relief. On February 2, 2000, the Full
Committee marked up and ordered reported with an amendment,
H.R. 6, the ``Marriage Tax Penalty Relief Act of 2000.'' The
report was filed on February 7, 2000 (H. Rept. 106-493) and the
House passed the bill on February 10, 2000. Pursuant to
H.Con.Res. 290, budget reconciliation for Fiscal Year 200l, the
provisions of H.R. 6 were introduced as H.R. 4810 and passed by
the House on July 12, 2000. H.R. 4810 was amended and approved
by the Senate on July 18, 2000. On July 19, 2000, a conference
report to accompany H.R. 4810 was filed (H. Rept. 106-765) and
was passed by the House on July 20 by a vote of 271-156 and by
the Senate on July 21, 2000, by a vote of 60-34. On August 5,
2000, the President vetoed H.R. 4810. On September 13, 2000,
the House failed to override the President's veto.
In summary, H.R. 6 would have provided net tax reduction of
over $50 billion during the period Fiscal Year 2000-2005. Under
the bill, the basic standard deduction for a married couple
filing a joint return would have increased to twice that of a
taxpayer filing a single return, effective for tax years after
2000. The bill also would have expanded, over a six-year phase-
in period beginning in tax years after 2002, the 15 percent
regular income tax bracket for a married couple filing a joint
return to twice the size of the corresponding bracket for a
single return. In addition, H.R. 6 would have repealed current
law provisions that offset refundable income tax credits by the
amount of the alternative minimum tax (AMT), effective for tax
years after 2001. Finally, the bill would have increased by
$2,000 the beginning and ending income levels for the earned
income credit (EIC) phaseout for married couples filing
jointly, effective for tax years after 2000.
The conference agreement would have provided over $89
billion of net tax reliefover fiscal years 2001-05,
incorporating many of the provisions of the House passed bill. The
primary difference related to the effective dates of the provisions.
Under the conference agreement, the standard deduction and EIC
increases, together with the 15 percent bracket expansion, would have
been effective in tax year 2000. Finally, all of the tax reductions
would have sunset January 1, 2005.

b. Death Tax Repeal

On February 25, 1999, Representative Dunn introduced H.R.
8, the ``Death Tax Elimination Act.'' On May, 25, 2000, the
Committee marked up H.R. 8, retitled the ``Death Tax
Elimination Act of 2000'' (H. Rept. 106-651). The bill passed
the House on June 9, 2000, by a vote of 279-136 and the Senate
on July 14, 2000 by a vote of 59-39. The bill was vetoed by the
President on August 31, 2000, and the House failed to override
the veto on September 7, 2000.
In summary, the bill provided for a phased-in repeal of
estate, gift, and generation-skipping taxes. Prior to full
repeal in 2010, the estate and gift tax rates (and the
generation-skipping tax rate) would have been reduced as
follows. Beginning in 2001, the 55 percent tax rate and the 5
percent surtax would have been repealed. Beginning in 2002, the
highest rate would be 50 percent. Each of these rates would be
reduced by 1 percentage point per year from 2003 through 2006,
1.5 percentage point in 2007, and 2 percentage points in 2008
and 2009. However, no rate would be reduced below the lowest
general individual income tax rate for unmarried individuals
and the highest rate would not be reduced below the highest
general individual income tax rate for unmarried individuals.
From 2003 through 2009, the State death tax credit rates would
be reduced in proportion to the Federal estate and gift tax
rate reductions. Beginning in 2001, the unified estate and gift
tax credit would be replaced by an exemption. After repeal of
the estate, gift, and generation skipping taxes, the basis of
assets received from a decedent generally would be the basis of
the decedent (i.e., carryover basis); however, current law
basis step up rules would be retained for $3 million of assets
left to a surviving spouse and $1.3 million of other assets
left to any beneficiary (the $3 million and $1.3 million
figures would be indexed for inflation).
The bill would have made a number of simplifying changes to
the generation-skipping tax prior to its repeal. In addition,
the bill would have expanded the availability of the estate tax
rule for qualified conservation easements by modifying the
distance requirements. Under the bill, the maximum distance of
eligible land from a metropolitan area, national park, or
wilderness area would have been increased from 25 to 50 miles,
and from an Urban National Forest, it would have been increased
from 10 to 25 miles. The bill also would have clarified that
the date for determining easement compliance would be the date
on which the donation was made.

c. Railroad Retirement

On July 13, 2000, Representative Shuster introduced H.R.
4844, the ``Railroad Retirement and Survivors Improvement Act
of 2000.'' On July 25, 2000, the Committee marked up H.R. 4844
(H. Rept. 106-777, Part 2). On September 7, 2000, the House
passed the bill under suspension of the rules. No further
action taken by Senate.
In summary, the tax provisions of the bill would have
lowered the Tier 2 tax rate on employers from 16.1 percent to
15.6 percent in calendar year 2001 and 14.2 percent in 2002.
Beginning in calendar year 2003, the bill would have provided
for automatic modifications in the Tier 2 tax rates for
employers and employees based on the ratio of certain asset
balances to the sum of benefits and administrative expenses
(average account benefits ratio). If the average account
benefits ratio were to fall between 4.0 and 6.1, the tax rate
for employers and employees would have been 13.1 percent and
4.9 percent, respectively. If the ratio were to fall below 4.0,
the tax rate for employers would have automatically increased
to a level specified in the law. If the ratio were to exceed
6.0, the tax rate for employers and employees would have
decreased to a level specified in the law. In addition to the
changes in the Tier 2 tax rate, the bill would have repealed
the supplemental annuity tax paid by employers.
As passed by the Committee, the bill would have repealed
the 4.3 cents-per-gallon General Fund excise taxes on diesel
fuel used in trains and fuel used in barges operating on the
designated inland waterways system, effective on October 1,
2000.

d. Social Security Benefits Taxation

On July 17, 2000, Committee Chairman Archer introduced H.R.
4865, the ``Social Security Benefits Tax Relief Act of 2000.''
On July 19, 2000, the Committee marked up H. Rept. 106-780. The
House passed the bill on July 27, 2000. No further action taken
by Senate.
In summary, the ``Social Security Benefits Tax Relief
Act,'' would have repealed the second-tier, 85 percent
inclusion of Social Security benefits enacted as part of the
1993 Omnibus Budget Reconciliation Act. Thus, the maximum
amount of Social Security benefits included in gross income
would have been reduced to 50 percent under the Committee bill.
The amount equal to the revenues from the income taxation of
Social Security benefits which would have been credited to the
HI Trust Fund under the 1993 Act (but would not be credited
under the repeal contained in this bill) would have been
transferred to the Hospital Insurance Trust Fund from the
general fund in the U.S. Department of the Treasury. The
provisions would have been effective for taxable years
beginning after December 31, 2000.

e. Pension Reform

On March 23, 1999, the Committee on Ways and Means
Subcommittee on Oversight held a hearing on pension issues. On
June 16, 1999, the Committee on Ways and Means held a hearing
on enhancing retirement and health security.
The House passed pension reform five times during the 106th
Congress, the first occasion in H.R. 2488, the ``Taxpayer
Refund and Relief Act of 1999.'' For a history of that bill,
refer to section I.A.2.a., above.
In summary, title II of H.R. 2488 contained a number of
Individual Retirement Account (IRA) reform provisions,
including: an increase in the maximum contribution limit for
traditional and Roth IRAs, catch-up contributions to
traditional and Roth IRAs for individuals age 50 and above, and
an increase in the income limits for Roth IRA contributions and
conversions. Title XII of H.R. 2488 contained a series of
pension reform provisions. Subtitle A contained provisions for
expanding coverage, including an increase in contribution and
benefit limits, an increase in the deduction limits,
modification of the top-heavy rules, and an option to treat
elective deferrals as after-tax contributions. Subtitle B
contained provisions for enhancing fairness for women and other
participants, including additional catch-up contributions to
401(k)-type plans for individuals age 50 and above, faster
vesting of employer matching contributions, and simplification
and modification of the minimum required distribution rules.
Subtitle C contained provisions for increasing the portability
of retirement plan assets, including rollovers between
different types of retirement plans and IRAs, rollovers of
after-tax contributions, the elimination of the same-desk rule,
and the purchase of service credit under governmental pension
plans. Subtitle D contained provisions for strengthening
pension security and enforcement, including a phase-in of the
repeal of the current liability funding limit, an expansion of
the maximum deduction rule, notice of significant reduction in
plan benefit accruals, and the repeal of the 100 percent of
compensation limit under section 415 for multiemployer plans.
Subtitle E contained provisions for reducing regulatory
burdens, including modification of the timing of plan
valuations, reinvestment of Employee Stock Ownership Plan
(``ESOP'') dividends without loss of the deduction,
clarification of the treatment of employer-provided retirement
advice, and modification of the nondiscrimination rules.
The House again passed pension reform in H.R. 3081, the
``Wage and Employment Growth Act of 1999.'' For a history of
the bill, refer to section I.A.3.h., below.
In summary, title II of H.R. 3081 generally contained the
same pension package as that included in title XII of H.R.
2488, the ``Taxpayer Refund and Relief Act of 1999.'' The
principal difference was that the pension package in H.R. 3081
did not contain any modifications to the Employee Retirement
Income Security Act of 1974 (``ERISA''). In addition, H.R. 3081
did not contain any modifications to the IRA rules.
On March 9, 1999, Representative Portman introduced H.R.
1102, the Comprehensive Retirement Security and Pension Reform
Act.'' On July 13, 2000, Committee Chairman Archer introduced,
and the Committee marked up, H.R. 4843, the ``Comprehensive
Retirement Security and Pension Reform Act of 2000'' (H. Rept.
106-753). The text of H.R. 4843 was then substituted into H.R.
1102, the ``Comprehensive Retirement Security and Pension
Reform Act of 2000,'' and the House passed H.R. 1102 on July
19, 2000. On September 13, 2000, the Senate Finance Committee
marked up H.R. 1102, the ``Retirement Security and Savings Act
of 2000,'' and reported the bill, as amended.
In summary, the House-passed version of H.R. 1102 generally
contained the same pension package as that included in title
XII of H.R. 2488, the ``Taxpayer Refund and Relief Act of
1999,'' and H.R. 3081, the ``Small Business Tax Fairness Act of
2000.'' The principal differences were that H.R. 1102 increased
the deduction limit for contributions to stock bonus and profit
sharing plans, provided that catch-up contributions to 401(k)-
type plans are subject to the nondiscrimination and top-heavy
rules, modified the section 415 aggregation rules that apply to
multiemployer plans, and provided rules for prohibited
allocations of stock in ESOPs of subchapter S corporations. The
House-passed version of H.R. 1102 also increased the maximum
contribution limit for traditional and Roth IRAs and provided
for catch-up contributions to traditional and Roth IRAs for
individuals age 50 and above.
On September 19, 2000, the House of Representatives passed
H.R. 5203, the ``Debt Relief and Retirement Security
Reconciliation Act.'' Division B of H.R. 5203 contained the
same pension and IRA package as that contained in H.R. 1102, as
passed by the House of Representatives on July 19, 2000.
The House passed pension reform for a fifth time as part of
H.R. 2614 which incorporated H.R. 5542, the ``Taxpayer Relief
Act of 2000.'' For a history of that bill, refer to section
I.A.2.b., above.
Title IV of H.R. 5542, as incorporated by reference in H.R.
2614, generally contained the same pension package as that
included in title XII of H.R. 2488, the ``Taxpayer Refund and
Relief Act of 1999,'' H.R. 3081, the ``Small Business Tax
Fairness Act of 2000,'' H.R. 1102, the ``Comprehensive
Retirement Security and Pension Reform Act of 2000,'' and H.R.
5203, the ``Debt Relief and Retirement Security Reconciliation
Act.'' The principal differences were that H.R. 5542 increased
the deduction limit for contributions to stock bonus and profit
sharing plans to 25 percent of compensation and included
modifications to the Employee Retirement Income Security Act of
1974 (``ERISA''). H.R. 5542 also increased the maximum
contribution limit for traditional and Roth IRAs, provided for
catch-up contributions to traditional and Roth IRAs for
individuals age 50 and above, increased the income limits for
deductible IRA contributions and Roth IRA contributions and
conversions, and allowed tax-freewithdrawals from IRAs for
charitable purposes.

f. Telephone Excise Tax Repeal

On March 14, 2000, Representative Portman introduced H.R.
3916, a bill to repeal the Federal excise tax on telephone and
other communication services. On May 16, 2000, the Oversight
Subcommittee held a hearing on internet taxation issues
including the repeal of the telephone excise tax. On May 17,
2000, the Committee marked up H.R. 3916 (H. Rept. 106-631). The
House passed the bill on May 25, 2000. The Senate Finance
Committee reported the bill with an amendment on July 5, 2000
(S. Rept. 106-328). No further action taken. On July 27, 2000,
the conference committee on H.R. 4516, the ``Legislative Branch
Appropriations and Treasury Postal Appropriations for FY
2001,'' included a repeal of the communications excise tax,
effective October 1, 2000. The House passed the conference
report on September 14, 2000 and the Senate passed the
conference report on October 12, 2000. The legislation was
vetoed by the President on October 30, 2000.

g. Education Tax Incentives

On March 1, 1999, Representative Hulshof introduced H.R. 7,
the ``Education Savings and School Excellence Act of 1999.''
The Ways and Means Committee held hearings on June 23, 1999, on
proposals to strengthen families, including measures to provide
education tax incentives. On March 22, 2000, the Committee
marked up H.R. 7, retitled as the ``Education Savings and
School Excellence Act of 2000'' (H. Rept. 106-546). No further
action taken.
In summary, the bill would have increased the annual
contribution limit to education savings accounts or ``ESAs''
(also known as education IRAs) from $500 to $2,000 per
beneficiary and allowed corporate contributions to such
accounts. Limitations were waived in the case of special needs
beneficiaries. In addition, the bill would have permitted
contributions to ESAs for a year until April 15 of the
following tax year. The changes would have been effective for
taxable years after December 31, 2000. The bill would have
allowed tax-free distributions from ESAs for qualified
elementary and secondary school expenses, in addition to higher
education costs, effective January 1, 2001.
Both the contribution and earnings portions of
distributions from qualified State tuition programs would have
been excludable from gross income, beginning in 2001. In
addition, private colleges would have been allowed to offer
pre-paid tuition plans. As with State-sponsored tuition plans,
distributions from private pre-paid plans would have been tax-
free.
The bill would have increased the income limits for
purposes of the student loan interest deduction so that
individuals with adjusted gross incomes of up to $45,000 could
have claimed a deduction of up to $2,500 in 2001. The bill also
would have eliminated the marriage tax penalty contained in the
student loan interest rules so that the beginning point of the
phaseout range would be twice the phaseout limit for single
taxpayers. In addition, the bill would have repealed the 60-
month limitation during which interest may be deducted and the
restriction that nonmandatory payments of interest are not
deductible.
The bill would have provided tax-free treatment under
section 117 of the Internal Revenue Code for the National
Health Corps Scholarships and certain other Federal- and State-
sponsored health scholarship programs.
The bill would have increased the small issuer tax exempt
bond exception to $15 million, provided that at least $10
million of the bonds are issued to finance public schools,
effective for bonds issued after 2000. In addition, the bill
would have liberalized the construction bond expenditure rule
for certain public school bonds.
The bill would have extended for one year, through December
31, 2001, the current law provisions which allow corporations
to claim an enhanced charitable deduction for contributions of
computers to elementary and secondary schools.
The bill would have provided that the 2-percent floor
limitation on miscellaneous itemized deductions not apply to
certain professional development expenses of elementary and
secondary teachers, effective after December 31, 2000.

h. Small Business Tax Relief

On October 14, 1999, Representative Lazio introduced H.R.
3081, the ``Wage and Employment Growth Act of 1999.'' On
November 11, 1999, the Committee marked up H.R. 3081 (H. Rept.
106-467). On March 6, 2000, Committee Chairman Archer
introduced H.R. 3832, the ``Small Business Tax Fairness Act of
2000.'' On March 9, 2000, pursuant to H. Res. 434, the text of
H.R. 3832 was considered as adopted in H.R. 3081, in lieu of
the Committee on Ways and Means amendment printed in H.R. 3081.
H.R. 3081, as so amended, passed the House on March 9, 2000.
In summary, the bill contained tax incentives for small
businesses, including an acceleration of the scheduled increase
in the 100 percent deduction for health insurance costs of
self-employed persons, an increase in the trade or business
property expensing limit, an increased deduction for meal
expenses, modifications to the income averaging rules for
farmers and fishermen, and repeal of the occupational taxes for
distilled spirits, wine, and beer. The bill also included
provisions related to pension reform (see section I.A.3.e.,
above), death tax relief (see section I.A.3.b., above), tax
relief for distressed communities (see section I.A.1.g., above)
and industries, and modifications to the lowincome housing tax
credit and bond volume cap (see section I.A.1.g., above).

i. Health Care

On June 16, 1999, the Committee on Ways and Means held a
hearing on enhancing retirement and health security.
The House passed three health care packages during the
106th Congress. The first of these packages was included in
H.R. 2488, the ``Taxpayer Refund and Relief Act of 1999.'' For
a history of that bill, refer to section I.A.2.a., above.
In summary, title V of the bill contained a series of
health care provisions, including an above-the-line deduction
for health and long-term care insurance expenses, the allowance
of long-term care insurance to be offered as part of a
cafeteria plan, and an additional dependency deduction for
caretakers of elderly family members. Title VIII of the bill
contained a series of small business tax relief provisions,
including an acceleration to 100 percent of the self-employed
health insurance deduction. Title XIV of the bill contained a
series of miscellaneous provisions, including a credit for
clinical testing research expenses attributable to certain
qualified academic institutions.
On September 30, 1999, Representative Talent introduced
H.R. 2990, the ``Quality Care for the Uninsured Act of 1999.''
On October 7, 1999, the House of Representatives passed H.R.
2990. H.R. 2990 was organized into two divisions: Division A
was the ``Quality Care for the Uninsured Act of 1999,'' and
Division B was the ``Bipartisan Consensus Managed Care
Improvement Act of 1999.''
In summary, Division A of H.R. 2990 generally contained the
same health care package as that included in H.R. 2488, the
``Taxpayer Refund and Relief Act of 1999.'' The principal
difference was that H.R. 2990 modified and expanded the rules
applicable to medical savings accounts (MSAs) by making the
program permanent, providing for full availability of the
program, lowering the minimum deductible, increasing permitted
contributions, permitting both employee and employer
contributions, and allowing MSAs to be offered as part of
cafeteria plans.
The house again passed a health care package as part of
H.R. 2614 which incorporated H.R. 5542, the ``Taxpayer Relief
Act of 2000.'' For a history of that bill, refer to section
I.A.2.b., above.
Title III of H.R. 5542, as incorporated by reference in
H.R. 2614, contained various health and long-term care
provisions, including an above-the-line deduction for health
and long-term care insurance expenses, an acceleration to 100
percent of the self-employed health insurance deduction, a two-
year extension of the medical savings account program, and an
additional personal deduction to caretakers of family members.

j. Taxpayer Bill of Rights 2000

On April 4, 2000, Rep. Amo Houghton introduced H.R. 4163,
the Taxpayer Bill of Rights 2000. On April 5, 2000, the
Committee marked up H.R. 4163 (H. Rept. 106-566). The House
subsequently passed, under suspension of the rules, H.R. 4163,
on April 11, 2000.
In summary, H.R. 4163 would convert the present-law penalty
for failure to pay estimated tax into an interest provision;
increase the threshold for underpayment of estimated tax from
$1,000 to $2,000; simplify estimated tax calculations; exclude
from gross income interest that is paid by the Internal Revenue
Service (IRS) to individual taxpayers on overpayments of
Federal income tax.
The bill would repeal the present-law penalty for failure
to pay tax for taxpayers who have entered into installment
agreements; reduce the failure to pay tax penalty for all other
taxpayers who have not entered into installment agreements;
expand the circumstances in which interest on an underpayment
of tax may be abated; and allow taxpayers to limit their
exposure to underpayment interest through the use of a
qualified reserve account. In the case of an individual
taxpayer, the interest netting rules would be applied without
regard to the 45-day period in which the Secretary of the
Treasury may refund an overpayment of tax without the payment
of interest under section 6611(e).
The bill would require the IRS to disclose all advice or
instructions issued to IRS or Chief Counsel employees that
convey: (1) a legal interpretation of a revenue provision, (2)
an IRS or Chief Counsel policy concerning a revenue provision,
or (3) a legal interpretation of State law, foreign law, or
other Federal law relating to the assessment or collection of
any liability under a revenue provision.
The bill would require that a State conduct annual on-site
reviews of all of its contractors receiving Federal returns and
return information as agents of the State tax administration
agency to assess the contractors' efforts to safeguard Federal
returns and return information. The bill would impose higher
standards to protect taxpayers when they are requested to
disclose tax return information, such as on a mortgage
application. The bill includes provisions to prevent taxpayers
from being coerced into signing incomplete disclosure forms.

k. Right-To-Know National Payroll Act

On July 18, 2000, the House passed under suspension of the
rules H.R. 1264. The bill would have required that employers
show on IRS form W-2 for each employeethe employer's share of
taxes for old-age, survivors, and disability insurance and for hospital
insurance for the employee as well as the total amount of such taxes
for the employee.

4. ADDITIONAL TAX MATTERS

a. Federal Retirement Coverage Corrections Act

On February 11, 1999, the Committee marked up H.R. 416, the
``Federal Retirement Coverage Corrections Act.'' The reported
bill provided rules for the correction of certain retirement
coverage errors affecting Federal employees, including several
tax provisions. The bill provided that Federal retirement plans
would not fail to be treated as qualified retirement plans,
that no amounts would be includible in the income of any
individual, and that no amounts would be subject to employment
taxes, because of transfers made pursuant to the bill. However,
the House-passed version of H.R. 416 did not contain any tax
provisions. For a history of the bill, refer to section I.D.1.,
below.

b. Sunset of Internal Revenue Code

On March 9, 2000, Representative Largent introduced H.R.
4199, the ``Date Certain Tax Code Replacement Act.'' On April
13, 2000, the House passed H.R. 4199. No further action taken.
In summary, H.R. 4199 would have repealed, effective
January 1, 2005, the Internal Revenue Code of 1986 (other than
chapters 2, 21, and 22) and created a National Commission on
Tax Reform and Simplification to recommend a replacement tax
regime.

c. Hearings on Corporate Tax Shelters

On November 10, 1999, the Committee held hearings on issues
relating to corporate tax shelters.

d. Hearings on Fundamental Tax Reform

On April 11, 12, and 13, 2000, the Committee held hearings
on fundamental tax reform.

e. Hearings on JCT Disclosure Study

On February 3, 2000, the Committee requested written
comments on the Joint Committee on Taxation's Study of Present-
Law Taxpayer Confidentiality and Disclosure Provisions mandated
by the Internal Revenue Service Restructuring and Reform Act of
1998. Those comments are included in WMCP: 106-11.

B. Legislative Review of Trade Issues

1. MULTILATERAL TRADE ISSUES

a. Hearings on the Importance of Trade Negotiations in Expanding Trade
and Resisting Protectionism

On February 11, 1999, and March 4, 1999, the Subcommittee
held hearings on the Importance of Trade Negotiations in
Expanding Trade and Resisting Protectionism, which addressed
the content and strategy of trade negotiations in which the
United States is participating, including negotiations on the
Free Trade Area of the Americas (FTAA) and the Transatlantic
Economic Partnership (TEP) and in the Asia Pacific Economic
Cooperation Forum (APEC) and the World Trade Organization
(WTO). The Subcommittee analyzed the relationship of these
negotiations to trade negotiating authority and whether the
United States is disadvantaged by not having such authority in
place.

b. World Trade Organization

i. Seattle Ministerial Meeting
On August 5, 1999, the Subcommittee held a hearing on
United States negotiating objectives for the WTO Ministerial
Meeting, which would be hosted by the United States in Seattle
in November 1999. In addition, the Subcommittee held a number
of consultations with Ambassador Charlene Barshefsky, United
States Trade Representative, throughout 1999 regarding the
development of negotiating positions for the meeting.
From November 30-December 3, 1999, Chairman Crane led a
Ways and Means Committee delegation of 20 Members to attend the
meeting. In Seattle, the Delegation discussed WTO issues with
delegations from other WTO member countries, including the
European Union, Australia, Canada, Mexico, India, and countries
seeking to accede to the WTO such as China and Taiwan (WMCP
106-10). The delegation also met with U.S. environmental
groups.
The Subcommittee also requested that the GAO conduct a
study on the preparations for the meeting, attend the meeting,
and analyze the outcome (GAO/T-NSIAD-00-86). On February 8,
2000, the Subcommittee held a hearing on the outcome the WTO
Ministerial Meeting.
On November 4, 1999, prior to the Seattle Ministerial, the
House defeated a motion which would have made in order
consideration of a resolution calling on the President to
abstain from renegotiating international agreements governing
antidumping and countervailing duty measures and from
participating in any international negotiation in which
antidumping or countervailing duty rules are part of the
negotiating agenda. See also discussion on Antidumping and
Countervailing Duty Laws.
ii. Carousel Retaliation
On the subject of effective operation of the WTO dispute
settlement mechanism and lack of compliance with WTO panel
decisions, particularly in cases brought by the United States
in disputes with the European Union involving bananas and beef,
the Committee met several times with United States Trade
Representative Charlene Barshefsky. On September 22, 1999,
Senator DeWine introduced S. 1619 to amend sections 301-310 of
the Trade Act of 1974 to require the United States Trade
Representative (USTR) to make periodic revisions of retaliation
lists 120 days from the date the retaliation list is made and
every 180 days thereafter. A similar bill, H.R. 2991, was
introduced in the House on October 1, 1999 by Representatives
Combest, Portman, Thomas, Camp and several other Members. The
purpose of these bills was to facilitate efforts by the USTR to
enforce rights of the United States if another WTO member fails
to comply with the results of a dispute settlement proceeding.
An amended version of S. 1619 was included in Section 407 of
the Trade and Development Act of 2000 (P.L. 106-200).
On October 23, 2000, Chairman Archer sent a letter to
Chairman Young objecting to including in any appropriations
bill a provision concerning the imposition of retaliatory
measures under section 301 of the Trade Act of 1974, as
amended. He insisted, on jurisdictional grounds, that such
revenue provisions be excluded from any final appropriations
conference report because they would violate the prerogatives
of the House to originate such measures. No provision was
included in any legislation in the 106th Congress.
iii. Resolution Concerning U.S. Participation in WTO
Sections 124-125 of the Uruguay Round Agreements Act (URAA)
(P.L. 103-465) require the President to submit a special report
on U.S. participation in the WTO every five years from the date
the United States first joined the WTO. Congress received the
first of these five-year reports on March 2, 2000. Submission
of the report triggers an opportunity for any Member of either
House of Congress to introduce a motion to withdraw
Congressional approval of the WTO Agreements. Such a resolution
would be considered under expedited procedures. On March 6,
2000, pursuant to section 124-125 of the URAA, Rep. Ron Paul
(R-TX) introduced H.J. Res. 90, which would withdraw the
approval of the United States from the agreements establishing
the WTO.
On March 30, 2000, the Committee on Ways and Means held a
hearing to review future prospects for U.S. participation in
the WTO. The Committee received testimony from Members of
Congress, the Governor of Minnesota, a former United States
Trade Representative, and representatives of the U.S. private
sector.
On June 8, 2000, the Committee on Ways and Means ordered
H.J. Res. 90 reported adversely by a vote of 35-0 (H. Rept.
106-672).
On June 21, 2000, H.J. Res. 90 was defeated in the House by
a vote of 56-363. No action was taken in the Senate.
iv. Foreign Sales Corporation
On February 24, 2000, a WTO Appellate Body, over the
objections of the United States, upheld the finding of a WTO
dispute settlement panel that had found that the Foreign Sales
Corporation (FSC) provisions of sections 921 through 927 of the
Internal Revenue Code constitute a prohibited export subsidy
under the WTO Agreement on Subsidies and Countervailing
Measures and under the Agreement on Agriculture. The Panel
specified that FSC subsidies must be withdrawn at the latest
with effect from October 1, 2000. On September 30, 2000, the
United States and the European Union reached agreement on an
extension of the compliance period from October 1 to November 1
to allow Congress to complete passage of legislation to comply
with the WTO ruling. H.R. 4986, to amend the Internal Revenue
Code of 1986 to repeal the provisions relating to foreign sales
corporations (FSCs) and to exclude extraterritorial income from
gross income, was signed into law on November 16, 2000. (See
tax section for description of the legislative history of H.R.
4986.)
v. Agricultural Negotiating Objectives
Section 409 of the Trade and Development Act of 2000 (P.L.
106-200) contains specific agricultural negotiating objectives
of the United States for the World Trade Organization's
negotiations on agriculture mandated by the Uruguay Round Trade
Agreements. Section 409 also mandates consultations with
Congress at specific points during the negotiations.
vi. GAO Studies
On April 5, 2000, the Subcommittee received a GAO study,
requested by Chairman Crane, on the number and types of small-
and medium-sized companies that export goods, and the nature
and value of such goods (GAO/NSIAD-00-57R). Thereport aided the
Subcommittee in assessing the importance of achieving further trade
liberalization for these businesses through a new round of trade
negotiations.
In March 2000, the Subcommittee received a GAO study,
requested by Chairman Archer, concerning efforts by the U.S.
government to monitor and enforce existing trade agreements
(GAO/NSIAD-00-76). In June 2000, and August 2000, the
Subcommittee received the following two GAO studies, requested
by Chairman Archer: U.S. Experience to Date in Dispute
Settlement System (GAO/NSIAD/OGC-00-196BR) and Issues in
Dispute Settlement (GAO/NSIAD-00-210).

2. BILATERAL TRADE RELATIONS

a. Trade Relations with sub-Saharan Africa

Section 134 of the Uruguay Round Agreements Act (P.L. 103-
465) requires the President to produce a comprehensive trade
and development policy for the countries of Africa. The fourth
of the President's five annual reports was submitted to
Congress on January 15, 1999. The President's report indicated
the Administration's support for the passage of the African
Growth and Opportunity Act, which had been introduced and
passed by the House in the 105th Congress but did not become
public law. The report laid out the key policy objectives of
the President's ``Partnership for Economic Growth and
Opportunity in Africa'' for stimulating economic growth in sub-
Saharan Africa and facilitating the region's integration into
the global economy.
On February 2, 1999, H.R. 434, the African Growth and
Opportunity Act, was introduced by Subcommittee Chairman Crane
and Representatives Rangel, Matsui, Thomas, Shaw, Levin,
Johnson (CT), Houghton, McDermott, McNulty, Neal, Jefferson,
Ramstad, Dunn, Portman, English, et alia to authorize a new
trade and investment policy for sub-Saharan Africa. The bill
authorized the extension of trade and other benefits to
countries in sub-Saharan Africa that met certain market-based
economic reform eligibility criteria. With respect to trade
benefits, H.R. 434 offered eligible countries in sub-Saharan
Africa enhanced benefits under the Generalized System of
Preferences (GSP). In addition, the legislation called for the
creation of a United States-Sub-Saharan Africa Trade and
Economic Cooperation Forum to provide a regular opportunity for
the discussion of trade liberalization among the participating
countries. The bill also established as a policy objective the
creation of a United States-Sub-Saharan Africa Free Trade Area
and expressed Congressional support for the creation of a
position of Assistant United States Trade Representative for
African Affairs. H.R. 434 was referred to the Committee on
International Relations, and in addition to the Committees on
Ways and Means, and Banking and Financial Services.
On February 3, 1999, the Subcommittee on Trade held a
hearing on H.R. 434 and on ways to develop closer trade
relations with countries in sub-Saharan Africa. Testimony was
received from Members of Congress, the Secretary of Commerce,
representatives of sub-Saharan African governments, and
representatives of the U.S. private sector (WMCP 106-64). Later
that day, the Subcommittee on Trade ordered H.R. 434 favorably
reported to the Committee on Ways and Means without amendment
by a vote of 14-0.
On February 11, 1999, the Committee on International
Relations ordered H.R. 434 favorably reported out of Committee
(H. Rept. 106-19, Part I).
The Committee on Ways and Means marked up H.R. 434 on June
10, 1999, and favorably reported the bill to the House by a
voice vote (H. Rept. 106-19, Part II) with an amendment to
incorporate revenue offsets into the bill.
On June 17, 1999, the Committee on Banking and Financial
Services was discharged from further consideration of H.R. 434.
H.R. 434 was passed by the House of Representatives on July
16, 1999, by a vote of 234 to 163, with two amendments related
to HIV/AIDS in sub-Saharan Africa and an amendment on the
development of linkages between small businesses in the United
States and sub-Saharan Africa.
On June 22, 1999, the Senate Committee on Finance
considered legislation titled ``The African Growth and
Opportunity Act.'' The provisions in the version marked up by
the Committee on Finance differed from the trade provisions in
the House-passed version of H.R. 434. The Finance Committee
draft extended duty free and quota free benefits only to
apparel made from fabric of U.S. origin. On July 16, 1999,
Senator Roth introduced this draft text as S. 1387. On July 20,
1999, the Committee on Finance filed S. Rept. 106-112 on S.
1387.
On November 3, 1999, the Senate passed H.R. 434, as
amended, by a vote of 76 to 19. During Senate consideration of
the bill, the House-passed version of the African Growth and
Opportunity Act was replaced with the text of S. 1387. In
addition, the Senate adopted amendments related to HIV/AIDS,
debt relief, anticorruption efforts, desertification, and
improving agricultural practices in sub-Saharan Africa, as well
as a number of amendments unrelated to Africa. After passage of
the bill, the Senate appointed Senators Roth, Grassley, Lott,
Helms, Moynihan, Baucus, and Biden as conferees on H.R. 434.
On January 21, 2000, the President submitted his fifth and
final report pursuant to section 134 of the Uruguay Round
Agreements Act (P.L. 103-465). The President's report
reiterated the Administration's support for enactment of the
African Growth and Opportunity Act. In addition, it described
the ways that U.S. Government agencies work to support economic
reform in sub-Saharan Africa, enhance U.S.-sub-SaharanAfrica
economic engagement, increase African integration into the multilateral
trading system, and promote sustainable economic development.
On May 3, 2000, the Speaker appointed Representatives
Gilman, Royce, Gejdenson, Archer, Crane, Rangel, Houghton, and
Hoeffel to serve as conferees on H.R. 434.
On May 4, 2000, the conference report on H.R. 434 was filed
(H. Rept. 106-606). The conference agreement tracks the House
and Senate-passed versions of the bill extending regular and
enhanced GSP benefits through September 30, 2008, to countries
in sub-Saharan Africa pursuing market-based economic reform and
which meet the eligibility criteria of the GSP program,
including a new criterion relating to the elimination of the
worst forms of child labor (See discussion on Generalized
System of Preferences). In addition, the conference agreement
includes provisions establishing a United States-Sub-Saharan
Africa Trade and Economic Cooperation Forum and setting as a
policy objective the creation of a United States-Sub-Saharan
Africa Free Trade Area. The conference agreement also contains
the provision from the House bill expressing Congressional
support for the creation of a position of Assistant United
States Trade Representative for African Affairs. In addition,
the conference report contains most of the amendments adopted
during House and Senate floor consideration on HIV/AIDS, small
business linkages, debt relief, anticorruption efforts,
desertification, and improving agricultural practices in sub-
Saharan Africa. On apparel trade, the conference agreement
grants duty-free and quota-free treatment through September 30,
2008 to apparel articles from eligible countries made with U.S.
fabrics, or fabrics and yarns not available in the United
States, certain knit-to-shape sweaters, and folklore articles.
In addition, the conference agreement extends duty-free and
quota-free treatment for apparel articles wholly assembled in
sub-Saharan Africa from regional fabric subject to quantitative
limitations. In the first year of the legislation, the cap is
set at 1.5 percent of U.S. apparel imports, rising to 3.5
percent in equal annual increments through September 30, 2008.
Within this cap, eligible countries with per capita incomes
less than $1,500 are granted duty-free treatment on apparel
articles wholly assembled from fabric produced outside of the
region until September 30, 2004. The conference agreement also
contains a number of provisions unrelated to the Africa
legislation including parity for countries of the Caribbean
Basin, as described elsewhere in this report.
The House passed the conference report on H.R. 434 by a
vote of 309 to 110 on May 4, 2000. The Senate passed the
conference report by a vote of 77 to 19 on May 11, 2000. The
bill was signed into law by the President on May 18, 2000 (P.L.
106-200).
Pursuant to the provisions of P.L. 106-200, the President
issued Proclamation 7350 on October 2, 2000, designating
countries in sub-Saharan Africa eligible to receive benefits
under the African Growth and Opportunity Act.

b. Trade relations with Albania, including Normal Trade Relations

Albania first received conditional normal trade relations
from the United States in 1992 under a Presidential waiver from
the freedom of emigration requirements in Title IV of the Trade
Act of 1974 (the Jackson-Vanik amendment). In 1997, Albania was
found to be in full compliance with the Jackson-Vanik
requirements, but its trade status remained subject to annual
compliance reviews.
On February 2, 1999, the President submitted a report to
Congress, as required by law, on the continued compliance of
Albania with the freedom of emigration requirements in the
Jackson-Vanik amendment (House Document 106-16).
On September 29, 1999, Senator Lautenberg introduced
legislation, S. 1657, which would authorize the President to
determine that the Jackson-Vanik amendment should no longer
apply to Albania and to extend nondiscriminatory treatment
(normal trade relations treatment) to that country. S. 1657 was
referred to the Senate Committee on Finance.
On October 4, 1999, the Subcommittee on Trade issued a
request for written public comment on the extension of
unconditional normal trade relations to Albania. In response,
the Subcommittee received comments in support of the extension
of unconditional normal trade relations to Albania and none in
opposition to it (WMCP 106-7).
On November 3, 1999, the Senate adopted the text of S. 1657
as an amendment to H.R. 434, the African Growth and Opportunity
Act. H.R. 434 was passed by the Senate later that day by a vote
of 76-19.
On February 9, 2000, the President submitted a report to
Congress, as required by law, on the continued compliance of
Albania with the freedom of emigration requirements in the
Jackson-Vanik amendment (House Document 106-195).
The conference committee on H.R. 434 filed a report on the
conference agreement on H.R. 434 on May 4, 2000 (H. Rept. 106-
606). The conference agreement included the Senate amendment on
the extension of unconditional normal trade relations to
Albania. Later that day, the House passed the conference report
by a vote of 309-110. On May 11, 2000, the Senate passed the
conference report by a vote of 77-19. The bill was signed into
law by the President on May 18, 2000 (P.L. 106-200).
Pursuant to the provisions of P.L. 106-200, the President
issued Proclamation7326 on June 29, 2000 determining that title
IV of the Trade Act of 1974 should no longer apply to Albania and
declaring the extension of nondiscriminatory treatment to the products
of that country.

c. Trade Relations with Armenia, including Normal Trade Relations

Armenia first received conditional normal trade relations
from the United States in 1992 under a Presidential waiver from
the freedom of emigration requirements in Title IV of the Trade
Act of 1974 (the Jackson-Vanik amendment). In 1997, Armenia was
found to be in full compliance with the Jackson-Vanik
requirements, but its trade status remained subject to annual
compliance reviews.
On December 28, 1998, the President submitted a report to
Congress, as required by law, on the continued compliance of
Armenia with the freedom of emigration requirements in the
Jackson-Vanik amendment (House Document 106-5).
On October 4, 1999, the Subcommittee on Trade issued a
request for written public comment on the extension of
unconditional normal trade relations to Armenia. In response,
the Subcommittee received several comments, most in support of
the extension of unconditional normal trade relations to
Armenia (WMCP 106-7).
On July 2, 1999, the President submitted a report to
Congress, as required by law, on the continued compliance of
Armenia with the freedom of emigration requirements in the
Jackson-Vanik amendment (No House Document Number).
On January 7 and June 30, 2000, the President submitted
additional reports to Congress, as required by law, on the
continued compliance of Armenia with the freedom of emigration
requirements in the Jackson-Vanik amendment (House Documents
106-164 and 106-265).
No further action was taken during the 106th Congress.

d. Trade Relations with Caribbean Basin Countries

On March 4, 1999, Chairman Crane and Representatives
Rangel, Matsui, and Kolbe introduced H.R. 984, the Caribbean
and Central American Relief and Economic Stabilization Act,
which would grant NAFTA parity to nations in the Caribbean
Basin. Title I of the bill would have amended the Caribbean
Basin Economic Recovery Act to: (1) promote the growth of free
enterprise and economic opportunity in the Caribbean Basin
region; (2) increase trade and investment between the Caribbean
region and the United States; and (3) encourage the
participation of these countries in the Free Trade Area of the
Americas. On March 23, 1999, the Subcommittee held a hearing on
H.R. 984. The Subcommittee approved H.R. 984 by voice vote on
May 18, 1999. The Ways and Means Committee approved H.R. 984,
as amended, by voice vote on June 10, 1999. The bill was
sequentially referred to the Committee on International
Relations, the Committee on Banking and Financial Services, the
Committee on Judiciary, and the Committee on Armed Services. No
further action on H.R. 984 was taken in the House.
On June 22, 1999, the Senate Committee on Finance
considered draft legislation reported titled the ``United
States-Caribbean Basin Trade Enhancement Act.'' The provisions
in the version marked up by the Committee on Finance differed
from the trade provisions in H.R. 984, as approved by the
Committee on Ways and Means, by requiring that imports of
apparel products from the Caribbean Basin region qualifying for
duty free and quota free entry be made of fabric of U.S.
origin. On July 16, 1999, Senator Roth introduced the draft
text as S. 1389. On July 16, 2000, the Committee on Finance
filed its report on S. 1389 (S. Rept. 106-160).
On November 3, 1999, the Senate passed H.R. 434, the
``African Growth and Opportunity Act,'' as amended, by a vote
of 76-19. During Senate consideration of the bill, the text of
S. 1389 was added as an amendment. After passage of the bill,
the Senate appointed Senators Roth, Grassley, Lott, Helms,
Moynihan, Baucus, and Biden as conferees on H.R. 434. On May 3,
2000, the Speaker appointed Representatives Gilman, Royce,
Gejdenson, Archer, Crane, Rangel, Houghton, and Hoeffel to
serve as conferees.
On May 4, 2000, the conference report on H.R. 434 was filed
(H. Rept. 106-606). The conference agreement builds on the
Caribbean Basin Economic Recovery Act enacted in 1984 and
extends additional trade benefits through 2008. It extends
duty-free benefits to: (1) apparel made in the Caribbean Basin
from U.S. yarn and fabric; (2) knit apparel made in CBI from
regional fabric made with U.S. yarn and to knit-to-shape
apparel (except socks), up to a cap of 250 million square meter
equivalents, with a growth rate of 16 percent per year for
first three years; and (3) an additional category of regional
knit apparel products up to a cap of 4.2 million dozen, growing
16 percent per year for the first three years. Benefits under
the Caribbean Basin Trade Partnership Act are conditioned on
countries meeting certain eligibility criteria including
intellectual property protection, investment protection,
improved market access for U.S. exports, the extent to which
the country provides internationally recognized worker rights,
and whether a country has implemented its commitments to
eliminate the worst forms of child labor. See discussion on the
Generalized System of Preferences. The bill requires that
eligible countries implement Customs procedures to guard
against transshipment. Under a ``one strike and you are out''
provision, if an exporter is determined to have engaged in
illegal transshipment of textile and apparel products from a
CBI country, the President is required to deny all benefits
under the bill to that exporter for a period of two years.
The House passed the conference report on H.R. 434 by a
vote of 309-110 on May 4, 2000. The Senate passed the
conference report by a vote of 77-19 on May 11, 2000. The bill
was signed into law by the President on May 18, 2000 (P.L. 106-
2000).

e. Trade Relations with the People's Republic of China, including
Normal Trade Relations

On June 3, 1999, the President announced his decision to
waive for another year the freedom of emigration requirements
in Title IV of the Trade Act of 1974, with respect to China,
thereby granting normal trade relations (NTR) treatment to
China between July 1, 1999 and June 30, 2000. On June 7, 1999,
Representative Rohrabacher introduced H.J. Res. 57, a joint
resolution disapproving the President's waiver with respect to
the People's Republic of China. The effect of this resolution
would have been to withdraw NTR benefits from Chinese products.
The Subcommittee examined the President's annual determination
to renew China's NTR status in 1999 with a hearing on June 8,
1999. On July 1, 1999, the Committee reported H.J. Res. 57
adversely by voice vote. On July 26, 1999, the Committee
reported H.J. Res. 57 adversely to the House without amendment
by voice vote (H. Rept. 106-262). On July 27, 1999, H.J. Res.
57 failed in the House by a vote of 170-260.
On February 16, 2000, the Ways and Means Committee held a
hearing focusing on: (1) the opportunities and issues
associated with the entry of China into the WTO; and (2) the
potential benefits of the U.S.-China bilateral trade agreement
for U.S. firms, workers, farmers, ranchers, and other
interested parties. The Committee also received testimony on
how progress of China's accession to the WTO affects the
pending application of Taiwan to join the WTO and the potential
impact on the United States, China, Taiwan, and Hong Kong of
normalized trade relations between the United States and China.
Testimony was received from Members of Congress, the
Administration, and representatives of business, labor,
agricultural, and human rights organizations.
On March 8, 2000, President Clinton transmitted to Congress
a request for legislation to authorize the termination of the
application of Title IV of the Trade Act of 1974 to China and
to extend permanent Normal Trade Relations treatment to
products from China if the President certifies that China is
acceding to the WTO on terms no less favorable than the
agreement negotiated between the United States and China in
November of 1999.
On March 23, 2000, Senator William Roth introduced S. 2277,
to terminate the application of Title IV of the Trade Act of
1974 with respect to the People's Republic of China. The bill
was referred to the Committee on Finance. On May 17, 2000, the
Finance Committee ordered S. 2277 to be reported favorably
without amendment by a vote of 19-1 (S. Rept. 106-305).
On May 3, 2000, the Ways and Means Committee held a second
hearing on the bilateral trade agreement between the U.S. and
China and the pending accession of China to the World Trade
Organization (WTO). The focus of the hearing was to examine:
(1) the opportunities and issues associated with the entry of
China into the WTO; (2) the potential benefits of the U.S.-
China bilateral trade agreement for U.S. firms, workers,
farmers, ranchers, and other interested parties; and (3) the
current status of negotiations in Geneva for China to accede to
the WTO. The Committee also received testimony on how
normalizing trade relations with China would affect other U.S.
objectives in China and the surrounding region, such as
improved respect for human rights, progress toward
democratization, and enhanced economic and regional security.
Testimony was received from current and former Cabinet Members,
a Member of Congress, the U.S. Trade Representative, the
Commissioner of the U.S. Commission on International Religious
Freedom, and various U.S. private sector witnesses.
On May 15, 2000, Chairman Archer introduced H.R. 4444, to
authorize extension of nondiscriminatory treatment (normal
trade relations treatment) to the People's Republic of China.
As introduced, the bill would grant the President the authority
to determine that Title IV of the Trade Act should no longer
apply to the People's Republic of China if he transmits a
report to Congress certifying that the terms and conditions for
accession of China to the WTO are at least equivalent to those
agreed to in the November 15, 1999 bilateral agreement between
the United States and China.
On May 17, 2000, the Ways and Means Committee reported H.R.
4444 to the House with one amendment by a vote of 34-4. The
amended bill included a provision codifying the import surge
mechanism negotiated as part of the 1999 U.S.-China bilateral
agreement. Procedures for this new ``import surge mechanism''
are modeled after Section 406 of the Trade Act of 1974, as
amended, with certain changes to conform to the requirements of
the bilateral trade agreement. The legislation establishes
clear standards for the application of Presidential discretion
in providing relief to injured industries and workers. It also
authorizes the President to provide a provisional safeguard in
cases where ``delay would cause damage which it would be
difficult to repair,'' as permitted under the United States-
China Agreement. It also implements a provision in the
Agreement concerning trade diversion. (H. Rept. 106-632)
When H.R. 4444 was considered in the House, the House
adopted H. Res. 510, which provided for an amendment in the
nature of a substitute to H.R. 4444. The amendment included the
text of H.R. 4444, as reported from the Committee, and
additional language establishing a Congressional-Executive
Commission on China tofocus on monitoring human rights,
including internationally recognized core labor standards and religious
freedom. The legislation also included provisions that: (1) require
USTR to submit an annual report on China's compliance with WTO
obligations; (2) the United States will seek an annual review of
China's compliance with its WTO obligations in the WTO as part of
China's Protocol of Accession; (3) establish a task force on the
prohibition on the importation of products of forced or prison labor;
and (4) authorize additional resources for monitoring and enforcing
China's compliance with trade agreements. The legislation also contains
a sense of Congress that the accession of Taiwan and the People's
Republic of China to the WTO should be considered at the same WTO
General Council meeting. Finally, the legislation contains a number of
other provisions not in the jurisdiction of the Committee, such as the
authorization of funds to assist the development of rule of law and
democracy in China.
On May 24, 2000, Congressman Bonior moved to recommit the
H.R. 4444, as amended, with instructions to the House Ways and
Means and House International Relations subcommittees. The
instructions in the motion required the bill to promptly be
reported back to the House with an amendment adding a new
section to provide the conditions under which withdrawal of
normal trade relations with China could occur. Such conditions
included situations in which China were to attack, invade, or
impose a blockade on Taiwan. The motion failed by a recorded
vote of 176-258. H.R. 4444, as amended, passed the House on
June 24, 2000, by a vote of 237-197.
On June 2, 2000, the President announced his decision to
waive for another year the freedom of emigration requirements
in Title IV of the Trade Act of 1974, with respect to China,
thereby granting China NTR status between July 1, 2000 and June
30, 2001. On June 23, 2000, H.J. Res. 103, a joint resolution
disapproving the extension of NTR treatment to the People's
Republic of China was introduced by Representative Rohrabacher.
The effect of this resolution would have been to withdraw NTR
benefits from Chinese products. On July 13, 2000, the Committee
reported H.J. Res. 103 adversely to the House without amendment
(H. Rept. 106-755) by voice vote. On July 18, 2000, H.J. Res.
103 failed in the House by a vote of 147-281.
The Senate considered H.R. 4444 from September 8 to
September 19, 2000. The Senate approved H.R. 4444 on September
19, 2000, by a vote of 83-15. The bill was signed into law by
the President on October 10, 2000 (P.L. 106-286). The Ways and
Means Committee continues to monitor the progress China is
making in negotiations to join the WTO, which have not yet
concluded.
During the 106th Congress, the Committee on Ways and Means
requested two studies on China from the General Accounting
Office (GAO). In March 2000, the Committee received a report
entitled ``China's Membership Status and Normal Trade Relations
Issues,'' pursuant to an earlier request. On July 31, 2000,
Chairman Archer joined Chairman Roth of the Senate Finance
Committee in requesting GAO to assess China's fulfilment of its
WTO obligations once it becomes a member of the WTO.

f. Trade Relations with Cuba

On March 15, 2000, pursuant to section 332 of the Tariff
Act of 1930, the Committee requested that the ITC conduct by
February 2001 a study of the economic impact of U.S. sanctions
with respect to Cuba. Specifically, the report will provide an
overview of U.S. sanctions against Cuba, a description of the
Cuban economy and Cuban trade and investment policies and
trends, and an analysis of the historical impact of U.S.
sanctions on both the U.S. and Cuban economies.
Title VIII of the conference report on H.R. 4461, the
Agriculture and Related Agencies Appropriations bill, contains
the ``Trade Sanctions Reform and Export Enhancement Act of
2000'' (H. Rept. 106-948). The provision lifts existing U.S.
unilateral sanctions on agricultural and medical products, and
establishes a framework to be applied to the imposition of any
future U.S. unilateral agricultural and medical sanctions. In
addition, the provision includes certain requirements
associated with the sale of agricultural and medical products
to Cuba. Section 809 of the provision contains language in the
jurisdiction of the Ways and Means clarifying that nothing in
the title shall be construed to change the U.S. embargo against
imports from Cuba. The conference report on H.R. 4461 passed
the House of Representatives by a vote of 340-75 on October 11,
2000. The Senate passed the conference report on October 18,
2000 by a vote of 86-8. H.R. 4461 was signed into law by the
President on October 28, 2000 (P.L. 106-387).

g. Trade Relations with the European Union

On February 11 and March 4, 1999, the Subcommittee held
hearings on the Importance of Trade Negotiations in Expanding
Trade and Resisting Protectionism. The hearings addressed the
content and strategy of trade negotiations in which the United
States is participating, including U.S./EU negotiations on the
Transatlantic Economic Partnership and the Transatlantic
Business Dialogue (WMCP 106-61). The Subcommittee also met with
U.S. Trade Representative Charlene Barshefsky on a number of
occasions to discuss U.S.-EU trade relations and EU compliance
with WTO panel decisions. (See Multilateral Trade Issues.)
On June 25, 1999, the President signed into law legislation
exempting certain woven fabrics containing silk from country of
origin marking under the appropriate statute. This legislation
was part of H.R. 435, miscellaneous trade legislation for 1999
(P.L. 106-36).
On September 27, 2000, Chairman Crane requested that the
GAO conduct areview of preferential trade programs offered by
the European Union to developing countries in Africa, the Caribbean and
the Pacific. The Chairman requested that GAO study how the programs
work and whether they affect U.S. exports. The second part of this
study will examine Europe's trade agreements with Central and Eastern
European countries, European-Mediterranean association agreements, and
Europe's trade agreements with South Africa and Mexico.
See also discussion in WTO section concerning carousel
retaliation.

h. Trade Relations with Georgia, including Normal Trade Relations

Georgia first received conditional normal trade relations
from the United States in 1992 under a Presidential waiver from
the freedom of emigration requirements in the Jackson-Vanik
amendment to the Trade Act of 1974. In 1997, Georgia was found
to be in full compliance with the Jackson-Vanik requirements,
but its trade status remained subject to annual compliance
reviews.
On December 28, 1998, the President submitted a report to
Congress, as required by law, on the continued compliance of
Georgia with the freedom of emigration requirements in the
Jackson-Vanik amendment (House Document 106-5).
On July 2, 1999, the President submitted a report to
Congress, as required by law, on the continued compliance of
Georgia with the freedom of emigration requirements in the
Jackson-Vanik amendment (No House Document Number).
On October 4, 1999, the Subcommittee on Trade issued a
request for written public comment on the extension of
unconditional normal trade relations to Georgia. In response,
the Subcommittee received several comments, most in support of
the extension of unconditional normal trade relations to
Georgia (WMCP 106-7).
On January 7, 2000, the President submitted an additional
report to Congress, as required by law, on the continued
compliance of Georgia with the freedom of emigration
requirements in the Jackson-Vanik amendment (House Document
106-164).
On June 29, 2000, Subcommittee Chairman Crane introduced
similar legislation on Georgia, H.R. 4782, which was referred
to the Committee on Ways and Means.
On June 30, 2000, the Subcommittee on Trade issued a
request for written public comment on the extension of
unconditional normal trade relations to Georgia. In response,
the Subcommittee received comments in support of the extension
of unconditional normal trade relations to Georgia and none in
opposition to it. Also on June 30th, the President submitted
another report to Congress on the continued compliance of
Georgia with the freedom of emigration requirements in the
Jackson-Vanik amendment (House Document 106-265).
On September 19, 2000, the Senate Finance Committee ordered
H.R. 4868, the ``Tariff Suspension and Trade Act of 2000,'' to
be reported to the Senate with an amendment in the nature of a
substitute including the text of H.R. 4782 on the extension of
permanent normal trade relations to Georgia. The Senate Finance
Committee reported H.R. 4868 with an amendment in the nature of
a substitute without a report on September 27, 2000. On October
12, 2000, the Senate Finance Committee filed a written report
on H.R 4868 (S. Rept. 106-503). On October 13, 2000, the Senate
passed H.R. 4868 by unanimous consent with the amendment in the
nature of a substitute reported by the Senate Finance
Committee.
The House agreed to the Senate amendment on H.R. 4868 with
an amendment pursuant to the provisions of H. Res. 644 on
October 24, 2000, by a voice vote. The House amendment included
the language on the extension of permanent normal trade
relations to Georgia from the Senate amendment and added an
additional finding related to the commitment of Georgia to
strong and effective enforcement of internationally recognized
core labor standards and to continue to improve enforcement of
such standards.
On October 26, 2000, the Senate agreed to the House
amendment to the Senate amendment by unanimous consent.
H.R. 4868 was signed into law by the President on November
9, 2000 (P.L. 106-476).

i. Trade Relations with Japan

In September 1999 the Subcommittee received a study from
GAO, requested by Chairman Crane, to assess the implementation
of the U.S.-Japan insurance agreements, as well monitoring and
enforcement efforts by the U.S. government (GAO/NSIAD-99-
108BR).

j. Trade Relations with Kyrgyzstan, including Normal Trade Relations

Kyrgyzstan first received conditional normal trade
relations from the United States in 1992 under a Presidential
waiver from the freedom of emigration requirements in the
Jackson-Vanik amendment to the Trade Act of 1974. In
1997,Kyrgyzstan was found to be in full compliance with the Jackson-
Vanik requirements, but its trade status remained subject to annual
compliance reviews.
On December 28, 1998, the President submitted a report to
Congress, as required by law, on the continued compliance of
Kyrgyzstan with the freedom of emigration requirements in the
Jackson-Vanik amendment (House Document 106-5).
On January 28, 1999, Senator Brownback et alia introduced
S. 332, authorizing the President to determine that title IV of
the Trade Act of 1974 (the Jackson-Vanik amendment) should no
longer apply to Kyrgyzstan and to extend nondiscriminatory
treatment (normal trade relations treatment) to that country.
On May 12, 1999, the Subcommittee on Trade issued a request
for written public comment on the extension of unconditional
normal trade relations to Kyrgyzstan. In response, the
Subcommittee received several comments, most in support of the
extension of unconditional normal trade relations to Kyrgyzstan
(WMCP 106-5).
On July 2, 1999, the President submitted a report to
Congress, as required by law, on the continued compliance of
Kyrgyzstan with the freedom of emigration requirements in the
Jackson-Vanik amendment (No House Document Number).
On November 3, 1999, the Senate adopted the text of S. 332
as an amendment to H.R. 434, the ``African Growth and
Opportunity Act.'' H.R. 434 was passed by the Senate later that
day by a vote of 76-19.
On January 7, 2000, the President submitted a report to
Congress, as required by law, on the continued compliance of
Kyrgyzstan with the freedom of emigration requirements in the
Jackson-Vanik amendment (House Document 106-164).
The conference committee on H.R. 434 filed a report on the
conference agreement on H.R. 434 on May 4, 2000 (H. Rept. 106-
606). The conference agreement included the Senate amendment on
the extension of unconditional normal trade relations to
Kyrgyzstan. Later that day, the House passed the conference
report by a vote of 309-110. On May 11, 2000, the Senate passed
the conference report by a vote of 77-19. The bill was signed
into law by the President on May 18, 2000 (P.L. 106-200).
Pursuant to the provisions of P.L. 106-200, the President
issued Proclamation 7326 on June 29, 2000, determining that
title IV of the Trade Act of 1974 should no longer apply to
Kyrgyzstan and declaring the extension of nondiscriminatory
treatment to the products of that country.

k. Trade Relations with the Lao People's Democratic Republic, including
Normal Trade Relations

At present, ``Laos'' is listed in general note 3(b) of the
Harmonized Tariff Schedule among those countries that are
denied normal tariff treatment.
On July 29, 1999, the Subcommittee on Trade issued a
request for written public comment on the extension of normal
trade relations to the products of the Lao People's Democratic
Republic. In response, the Subcommittee received several
comments both in support and opposition (WMCP 106-6).
No further action was taken during the 106th Congress.

l. Trade Relations with Moldova, including Normal Trade Relations

Moldova first received conditional normal trade relations
from the United States in 1992 under a Presidential waiver from
the freedom of emigration requirements in the Jackson-Vanik
amendment to the Trade Act of 1974. In 1997, Moldova was found
to be in full compliance with the Jackson-Vanik requirements,
but its trade status remained subject to annual compliance
reviews.
On December 28, 1998, the President submitted a report to
Congress, as required by law, on the continued compliance of
Moldova with the freedom of emigration requirements in the
Jackson-Vanik amendment (House Document 106-5).
On October 4, 1999, the Subcommittee on Trade issued a
request for written public comment on the extension of
unconditional normal trade relations to Moldova. In response,
the Subcommittee received several comments, most in support of
the extension of unconditional normal trade relations to
Moldova (WMCP 106-7).
On July 2, 1999, the President submitted a report to
Congress, as required by law, on the continued compliance of
Moldova with the freedom of emigration requirements in the
Jackson-Vanik amendment (No House Document Number).
On January 7 and June 30, 2000, the President submitted
additional reports to Congress, as required by law, on the
continued compliance of Moldova with the freedom of emigration
requirements in the Jackson-Vanik amendment to the Trade Act of
1974 (House Documents 106-164 and 106-265).
No further action was taken during the 106th Congress.

m. Trade Relations with Mongolia, including Normal Trade Relations

Mongolia first received conditional normal trade relations
from the United States in 1991 under a Presidential waiver from
the freedom of emigration requirements in the Jackson-Vanik
amendment to the Trade Act of 1974. In 1996, Mongolia was found
to be in full compliance with the Jackson-Vanik requirements,
but its trade status remained subject to annual compliance
reviews.
On February 2, 1999, Chairman Archer, Subcommittee Chairman
Crane, and Representatives Rangel and Levin introduced H.R.
435, the ``Miscellaneous Trade and Technical Corrections Act of
1999.'' Among the provisions of this bill was language
authorizing the President to determine that title IV of the
Trade Act of 1974 (the Jackson-Vanik amendment) should no
longer apply to Mongolia and to proclaim the extension of
nondiscriminatory treatment (normal trade relations treatment)
to that country. H.R. 435 was referred to the Committee on Ways
and Means.
On February 9, 1999, H.R. 435 was passed by the House under
suspension of the rules by a vote of 414-1.
On February 11, 1999, the President submitted a report to
Congress, as required by law, on the continued compliance of
Mongolia with the freedom of emigration requirements in the
Jackson-Vanik amendment (House Document 106-19).
On May 27, 1999, the Senate passed H.R. 435 by unanimous
consent with an amendment in the nature of a substitute
containing the provision on Mongolia. On June 7, 1999, the
House agreed to the Senate amendment under suspension of the
rules by a vote of 375-1. H.R. 435 was signed into law on June
25, 1999 (P.L. 106-36).
Pursuant to the provisions of P.L. 106-36, the President
issued Proclamation 7207 on July 1, 1999, determining that
title IV of the Trade Act of 1974 should no longer apply to
Mongolia and declaring the extension of nondiscriminatory
treatment to the products of that country.

n. Trade Relations with Vietnam

Vietnam first received a Presidential waiver in 1998 from
the freedom of emigration requirements in the Jackson-Vanik
amendment to the Trade Act of 1974. However, because a
bilateral trade agreement between the United States has not
been transmitted and approved by Congress, Vietnam is
ineligible under Title IV of the Trade Act of 1974 to receive
normal trade relations from the United States. The practical
effect of the Jackson-Vanik waiver is to make Vietnam eligible
for certain U.S. government credits, or investment or credit
guarantee programs, provided that Vietnam meets the relevant
program criteria. These programs, which lie outside the
jurisdiction of the Committee on Ways and Means, include the
Overseas Private Investment Corporation, the Export-Import
Bank, and agricultural credit programs administered by the U.S.
Department of Agriculture.
On June 3, 1999, the President transmitted a letter and
report to Congress on the continuation of Vietnam's Jackson-
Vanik waiver for the next 12 month period (House Document 106-
78). The President issued the waiver on the basis that it would
substantially promote achievement of the objectives in the
statute.
H.J. Res. 58 was introduced on June 9, 1999, by
Representative Rohrabacher to disapprove the President's June
3rd waiver determination for Vietnam. The resolution was
referred to the Committee on Ways and Means.
On June 17, 1999, the Subcommittee on Trade held a hearing
on U.S.-Vietnam trade relations. At the hearing, testimony was
received from Members of Congress, Administration and private
sector witnesses, and representatives of POW/MIA families,
veterans organizations, refugees, and Vietnamese-Americans
(WMCP 106-20).
On July 1, 1999, the Committee on Ways and Means reported
H.J. Res. 58 adversely to the House of Representatives without
amendment by a voice vote (H. Rept. 106-282).
H.J. Res. 58 was defeated in the House by a vote of 130 to
297 on August 3, 1999, thereby continuing Vietnam's Jackson-
Vanik waiver for the next year.
On June 2, 2000, the President transmitted another letter
and report to Congress on the continuation of Vietnam's
Jackson-Vanik waiver for an additional 12 month period (House
Document 106-252).
On June 6, 2000, Representative Rohrabacher introduced H.J.
Res. 99 to disapprove the President's June 2nd waiver
determination for Vietnam. H.J. Res. 99 was referred to the
Committee on Ways and Means.
On June 15, 2000, the Subcommittee on Trade held a hearing
on U.S.-Vietnam Trade Relations. Oral testimony was taken from
a Member of Congress, and representatives of the
Administration, business, refugee, and Vietnamese-American
groups.
The Committee on Ways and Means adversely reported H.J.
Res. 99 by a voice vote to the House of Representatives without
amendment on June 28, 2000 (H. Rept. 106-794).
H.J. Res. 99 was defeated in the House by a vote of 91-332
on July 26, 2000, thereby continuing Vietnam's Jackson-Vanik
waiver for another year.

o. Unilateral Trade Sanctions

i. ``Enhancement of Trade, Security, and Human Rights
Through Sanctions Reform Act''
On March 24, 1999, Subcommittee Chairman Crane, for himself
and Chairman Archer, Representatives Rangel, Shaw, Johnson
(CT), Houghton, Herger, McCrery, Ramstad, Dunn, Portman,
English, Jefferson, Watkins, and a number of other cosponsors,
introduced H.R. 1244, the ``Enhancement of Trade, Security, and
Human Rights Through Sanctions Reform Act.'' The legislation
would have established a framework for the consideration of
future unilateral economic sanctions by the legislative and
executive branches. In addition, H.R. 1244 would have amended
the Arms Export Control Act to provide waiver authority to the
President under the Glenn Amendment, the provision of law which
prohibits a variety of assistance and commercial transactions
outside of Ways and Means jurisdiction between the United
States and a non-nuclear weapon country if the President
determines that such a country has detonated a nuclear
explosive device. H.R. 1244 was referred to the Committee on
International Relations, and sequentially to the Committee on
Ways and Means and the Committee on Banking and Financial
Services.
On May 27, 1999, the Subcommittee on Trade held a hearing
on the use and effect of unilateral trade sanctions. The
Subcommittee received testimony from Members of Congress, the
Administration, and private sector witnesses.
No further action was taken on H.R. 1244 in the 106th
Congress.
ii. India and Pakistan Sanctions
In September 1999, the International Trade Commission
submitted a report to the Committee on Ways and Means,
requested by Chairman Archer, providing an overview and
analysis of the economic impact of U.S. sanctions policy with
respect to India and Pakistan (ITC Publication 3236). In 1998,
the President imposed sanctions against India and Pakistan
pursuant to the Glenn Amendment after both countries detonated
nuclear explosive devices. Congress granted the President
authority for one year to waive the application of U.S.
sanctions against India and Pakistan through the enactment of
the ``India-Pakistan Relief Act of 1998'' (P.L. 105-277).
Subsequently, the conference agreement on H.R. 2561, the
``Department of Defense Appropriations Act for Fiscal Year
2000,'' included a provision authorizing the President to
waive, without time limitation, all of the sanctions contained
in the Arms Export Control Act with respect to India and
Pakistan (P.L. 106-79).
iii. Gum Arabic
On May 20, 1999, Representative Menendez introduced H.R.
1808 to exempt gum Arabic from the prohibition on imports of
products from Sudan under Executive Order 13067. H.R. 1808 was
referred to the Committee on Ways and Means and was included as
part of H.R. 4868, the ``Miscellaneous Trade and Technical
Corrections Act of 2000.''
On July 25, 2000, the House passed H.R. 4868 under
suspension of the rules. On October 13, 2000, the Senate passed
H.R. 4868 by unanimous consent with an amendment in the nature
of a substitute reported by the Senate Finance Committee that
did not contain the House provision related to gum Arabic
The House agreed to the Senate amendment on H.R. 4868 with
an amendment by a voice vote on October 24, 2000, pursuant to
the provisions of H. Res. 644, that included revised language
on gum Arabic in section 1464. Specifically, the revised
provision requires the Secretary of the Treasury and the
Secretary of State to consider promptly any license
applications by U.S. gum Arabic processors to import gum Arabic
in raw form from Sudan, and to consider whether adequate
commercial quantities of the highest grade of gum Arabic in raw
form are available from countries other than Sudan in reviewing
such future license applications. Finally, the provision
requires the President to promote the development of
alternative sources of the highest grade of gum Arabic in
countries other than Sudan. (See discussion under Miscellaneous
Trade Issues).
On October 26, 2000, the Senate agreed to the House
amendment to the Senate amendment by unanimous consent.
H.R. 4868 was signed into law by the President on November
9, 2000 (P.L. 106-476).
iv. Cuba
See earlier discussion on Cuba sanctions.

3. OPERATIONS OF THE U.S. CUSTOMS SERVICE, THE INTERNATIONAL TRADE
COMMISSION, AND THE OFFICE OF THE U.S. TRADE REPRESENTATIVE

a. Budget Authorizations

Chairman Crane held a hearing on April 13, 1999, on budget
authorizations for the U.S. Customs Service, the Office of the
United States Trade Representative, and the International Trade
Commission. Representatives of these agencies, the U.S. General
Accounting Office, the National Treasury Employees Union, and
invited private sector witnesses testified at the hearing.
At the hearing, the Subcommittee examined Customs
automation issues--the Automated Commercial System (ACS), the
Automated Commercial Environment (ACE), and the International
Trade Data System (ITDS). In addition, the Subcommittee
examined the impact of Customs rotation policies and collective
bargaining agreements on Customs drug interdiction efforts.
In addition to requesting appropriations for Customs base
expenses and other funding for the Customs Service, the
President's FY 2000 budget request included a fee in FY 2000
for the use of Customs automation in order to fund the ACE and
ITDS for FY 2001. According to the request, the fee would
generate an amount of $150 million for ACE and $13 million for
ITDS. The President's budget also proposed an increase in the
passenger processing fee under the Consolidated Omnibus Budget
Reconciliation Act of 1985 from $5 to $6.40 and removed the
exemption for passengers arriving from Canada, Mexico, and the
Caribbean.
Prior to the hearing, on March 11, 1999, Chairman Crane
sent two letters to David M. Walker, the Comptroller General of
the United States, requesting that GAO evaluate the
Administration's cost basis for the proposed access user fee,
and the passenger processing fee. The Administration's proposed
access fee did not provide sufficient information, and as a
result, GAO stated that it was unable to make any definitive
findings on this issue. (See Requests to GAO below).
On May 18, 1999, Subcommittee Chairman Crane introduced
H.R. 1833, authorizing appropriations for fiscal years 1999 and
2000 for the Customs Service for non-commercial and commercial
operations, and air and marine interdiction programs, as well
as authorizations for the Office of the United States Trade
Representative and the International Trade Commission. With
respect to the Customs authorization for commercial operations,
the legislation included funding for ACE ($150 million for FY
2000 and 2001). In addition, H.R. 1833 included authorizations
for prevention of on-line child pornography, incorporated
substantially the authorization provisions concerning drug
interdiction contained in H.R. 3809 of the 105th Congress, the
``Drug Free Borders Act of 1999,'' introduced by Subcommittee
Chairman Crane on May 7, 1998, and included provisions amending
overtime and premium pay for Customs officers. H.R. 1833 was
referred to the Committee on Ways and Means.
The Trade Subcommittee marked up and favorably reported
H.R. 1833 on May 18, 1999, as amended, by voice vote. On May
20, 1999, the Committee on Ways and Means considered H.R.1833
and ordered the bill favorably reported to the House, with an
amendment, by a vote of 36-0 (H. Rept. 106-161). The
Committee's amendment reflected a minor change in the
authorization amounts for Customs' commercial and non-
commercial operations. On May 25, 1999, the House passed the
bill under the suspension of the rules by vote of 410-2.
H.R. 1833 was received in the Senate and referred to the
Committee on Finance. On June 16, 1999, the Committee on
Finance ordered the bill to be reported favorably with an
amendment in the nature of a substitute. On July 20, 1999, the
Committee filed S. Rept. 106-156 on H.R. 1833, as amended.
The Senate amendment to H.R. 1833 struck authorizations for
the ITC and USTR as well as the amendments to Customs overtime
and premium pay. The Senate amendment included provisions that
allowed for five-year fixed term and an increased salary level
for the Commissioner of Customs, reports relating to best
practices by Customs, personnel flexibility, implementation of
personnel allocation mode, and detection and monitoring
requirements along the Southern and Northern borders. Finally,
the Senate amendment included a provision that established
civil penalties for marking violations.
The Senate agreed to H.R. 1833, as amended, by unanimous
consent.
No further action was taken on the legislation during the
106th Congress.

b. Requests Submitted to the General Accounting Office (GAO)

In a letter dated March 11, 1999, to Mr. David M. Walker,
the Comptroller General of the United States, Chairman Crane
requested that GAO examine the timeliness of the Customs Office
of Regulations and Rulings (OR&R) in responding to ruling
requests in all categories of rulings. GAO reported its
findings in September 2000 (GAO/GGD-00-181), concluding that
OR&R did not generally comply with itsown benchmark for
timeliness and that the system used to track rulings and timeliness was
not effective.
In a letter dated March 11, 1999, Chairman Crane requested
that GAO evaluate the Administration's cost basis for the
President's proposal in his FY 2000 budget request to establish
an access fee for the use of the Customs automation system. GAO
informally reported that it was unable to make the
determination because the available information was
insufficient.
The President's FY 2000 budget request also proposed an
increase in the passenger processing fee under the Consolidated
Omnibus Budget Reconciliation Act of 1985 from $5 to $6.40 and
removed the exemption for passengers arriving from Canada,
Mexico, and the Caribbean. In a letter dated March 11, 1999,
Chairman Crane requested that GAO assess the reasonableness and
cost basis Customs used to set conveyance and passenger related
fees as well as the merchandise processing fee. In a report
dated October 7, 1999, GAO reported that it could not
accurately determine the cost basis for the merchandise
processing fee because the information necessary to determine
the relationship between the fee and the cost of services was
not maintained in a manner that would allow that determination
(GAO/GGD-00-21R). In another report dated February 29, 2000,
GAO stated that it could not determine the reasonableness of
costs for processing air and sea passengers because Customs
could not provide adequate supporting documentation for the
labor percentages estimates used to allocate those costs (GAO/
AIMD/GGD-00-94R).
In a letter dated October 12, 1999, Chairmen Archer, Crane,
and Roth requested that GAO review the design and
implementation of the Customs self-inspection program to
determine the extent to which it will achieve the
accountability the Commissioner is seeking. GAO is expected to
complete this report on June 29, 2001.

4. GENERALIZED SYSTEM OF PREFERENCES

The reauthorization of the Generalized System of
Preferences Program (GSP) was included in the conference report
on H.R. 1180, the Ticket to Work and Work Incentives
Improvement Act of 1999 (P.L. 106-170). Section 508 contains a
provision to reauthorize the GSP program (Title V of the Trade
Act of 1974) as amended, for two years through September 30,
2001.
The Africa Growth and Opportunity Act, signed into law by
the President on May 18, 2000 (P.L. 106-200) extended regular
and enhanced GSP benefits through September 30, 2008, for
eligible countries in sub-Saharan Africa. In addition, section
412 adds a new eligibility criterion to the Generalized System
of Preferences so that the President shall not designate a
country for benefits if it has not implemented its commitments
to eliminate the worst forms of child labor. (See section on
Bilateral Trade Relations: Trade Relations with sub-Saharan
Africa.)

5. TRADE ADJUSTMENT ASSISTANCE

On June 2, 1999, the Senate Committee on Finance ordered
reported a draft bill reauthorizing through September 2, 2001,
the Trade Adjustment Assistance (TAA) programs for workers and
firms and the NAFTA-related TAA program, all of which were
scheduled to expire on June 30, 1999. This draft bill was
subsequently introduced by Senator Roth on July 16, 1999 as S.
1386. On July 22, 2000, the Senate Finance Committee filed a
report, S. Rept. 106-119, on S. 1386.
During Senate consideration of H.R. 434, the ``African
Growth and Opportunity Act,'' a number of amendments related to
the TAA programs for workers and firms were adopted. These
amendments were included in the version of H.R. 434 passed by
the Senate on November 3, 1999 by a vote of 76-19.
Specifically, section 401 of the Senate-passed amendment
contained the text of S. 1386, reauthorizing all of the TAA
programs through September 30, 2001. Section 402 of the Senate
amendment would have changed the TAA eligibility criteria for
textile and apparel workers to allow for certification of
workers who lose their jobs as a result of a decrease in a
firm's sales or production, or a plant closure or relocation.
Section 601 of the Senate amendment proposed the creation of a
TAA for Farmers program at the U.S. Department of Agriculture.
Section 703 of the Senate amendment would have required the
Comptroller General of the United States to submit a report to
Congress on the efficiency and effectiveness of Federal and
State coordination of employment and retraining activities
associated with TAA, the Job Training Partnership Act, the
Workforce Investment Act of 1998, and unemployment insurance.
Section 704 of the Senate amendment provided that certain
workers engaged in the decommissioning of a nuclear power plant
who were covered by a TAA certification issued in 1993 would be
eligible to apply for TAA benefits despite the expiration of
their certification. Section 715 of the Senate amendment
required the Secretary of Labor to submit a report to Congress
on the applicability of TAA programs to agricultural commodity
producers.
Reauthorization through September 30, 2001, of the general
TAA programs for workers and firms, as well as the NAFTA-
related TAA program was later included in the conference report
to H.R. 3194, the Consolidated Appropriations Act of 1999 (H.
Rept. 106-479). The conference report was passed by the House
of Representatives on November 18, 1999 by a vote of 296-135,
and by the Senate on the next day by a vote of 72-24. H.R. 3194
was signed into law on November 29, 1999 (P.L. 106-113).
On May 4, 2000, the conference report on H.R. 434, the
Trade and Development Act of 2000, was filed (H. Rept. 106-
606). Section 401 of the conference agreement contained the
Senate provision requiring the Comptroller General of the
United States to submit a report to Congress on the efficiency
and effectiveness of Federal and State coordination of
employment and retraining activities associated with TAA, the
Job Training Partnership Act, the Workforce Investment Act of
1998, and unemployment insurance. Section 402 of the conference
agreement contained the Senate provision providing that certain
workers engaged in the decommissioning of a nuclear power plant
who were covered by a TAA certification issued in 1993 are
eligible to apply for TAA benefits despite the expiration of
their certification. Section 408 of the conference agreement
requires the Secretary of Labor to submit a report to Congress
on the applicability of TAA programs to agricultural commodity
producers. On May 4, 2000, the House of Representatives passed
the conference report on H.R. 434 by a vote of 309-110. On May
11, 2000, the Senate passed the conference report by a vote of
77-19. The bill was signed into law by the President on May 18,
2000 (P.L. 106-200).
On October 26, 2000, the Secretary of Labor wrote to
Chairman Archer to transmit a copy of the report required by
section 408 of P.L. 106-200 on the applicability of TAA
programs to agricultural commodity producers.
On June 12, 2000, Representative Stupak introduced H.R.
4641, providing that workers at a copper mining facility
engaged in federally mandated environmental remediation
associated with the mine's closure, who were covered by a TAA
certification originally issued in 1995 would be eligible to
apply for TAA benefits despite the expiration of their
certification. H.R. 4641 was referred to the Committee on Ways
and Means.
The text of H.R. 4641 was incorporated as section 2001 of
H.R. 4868, the ``Miscellaneous Trade and Technical Corrections
Act of 2000,'' introduced by Subcommittee Chairman Crane on
July 18, 2000. H.R. 4868 was referred to the Committee on Ways
and Means.
On July 19, 2000, the Committee on Ways and Means reported
H.R. 4868 to the House by a voice vote (H. Rept. 106-789). The
House passed H.R. 4868 under suspension of the rules by a vote
of 411-0 on July 25, 2000.
On September 19, 2000, the Senate Finance Committee ordered
H.R. 4868 to be reported to the Senate with an amendment in the
nature of a substitute, which included the House provision on
the eligibility of certain copper mine workers for TAA
benefits. The Senate Finance Committee reported this version of
H.R. 4868 without a report on September 27, 2000. On October
12, 2000, the Senate Finance Committee filed a written report
on H.R. 4868 (S. Rept. 106-503). On October 13, 2000, the
Senate passed H.R. 4868 by unanimous consent with the amendment
in the nature of a substitute reported by the Senate Finance
Committee.
The House agreed to the Senate amendment on H.R. 4868 with
a further amendment, and included the provision related the
eligibility of certain copper mine workers for TAA benefits,
pursuant to the provisions of H. Res. 644 on October 24, 2000
by a voice vote. On October 26, 2000, the Senate agreed to the
House amendment to the Senate amendment by unanimous consent.
H.R. 4868 was signed into law by the President on November
9, 2000 (P.L.106-476).

6. LEGISLATION CONCERNING TRADE IN STEEL, OIL AND GAS

Pursuant to the provisions of section 111 of P.L. 105-277,
the ``Omnibus Appropriations Bill for Fiscal Year 1999,'' the
President submitted a report to Congress on January 7, 1999
entitled ``Comprehensive Plan for Responding to the Increase in
Steel Imports.'' This report detailed the Administration's
enforcement of U.S. trade laws, engagement of major steel
exporting and importing countries to enforce fair trade, work
with the International Monetary Fund (IMF) and other countries
to address the Asian financial crisis which triggered an
increase in U.S. steel imports, and efforts to provide American
steel communities with the resources to adjust to
globalization.
On February 25, 1999, the Subcommittee on Trade held a
hearing on steel trade issues. Testimony was taken from Members
of Congress, the Administration, and private sector witnesses
(Ways and Means Hearing 106-6).
On March 4, 1999, Representative Visclosky et alia
introduced H.R. 975, to direct the President to impose quotas,
tariff surcharges, or negotiate enforceable voluntary export
restraint agreements in order to ensure that the volume of
imported steel products in the United States during any month
does not exceed the average volume of imported steel for the
36-month period preceding July 1997. In addition, H.R. 975
proposed the creation of a steel import and monitoring program
at the Department of Commerce. H.R. 975 was referred to the
Committee on Ways and Means.
On March 5, 1999, Chairman Archer received a letter from
Speaker Hastert and Majority Leader Armey requesting that the
Committee on Ways and Means consider and report unfavorably
H.R. 975 in the next week.
On March 15, 1999, the Committee on Ways and Means
adversely reported H.R. 975 to the House by a voice vote
without amendment (H. Rept. 106-52).
The House passed H.R. 975 without amendment by a vote of
289-141 on March 17, 1999.
On June 22, 1999, the Senate cloture vote on the motion to
proceed to the consideration of H.R. 975 failed by a vote of
42-57.
No further action was taken on H.R. 975 in the 106th
Congress.
On June 18, 1999, the Senate amended and passed H.R. 1664,
the ``Emergency Steel Loan Guarantee and Emergency Oil and Gas
Guarantee Loan Act of 1999,'' by a vote of 63-34. As passed by
the Senate, the bill authorizes the establishment of an
Emergency Steel Guarantee Loan Program for qualified steel
companies that have experienced layoffs, production losses, or
financial losses since the beginning of the steel import crisis
in January 1998. The aggregate amount of loans guaranteed and
outstanding at any one time under the steel program is capped
at $1 billion. The Senate amendment to H.R. 1664, also
established a similar program, the Emergency Oil and Gas
Guarantee Loan Program, for qualified oil and gas companies
that have experienced layoffs, production losses, or financial
losses since the beginning of the oil import crisis after
January 1, 1997. The aggregate amount of loans guaranteed and
outstanding at any one time under the oil and gas program is
capped at $500 million.
On August 4, 1999, Mr. Regula moved that the House agree to
the Senate amendments to H.R. 1664. The House agreed to the
motion by a vote of 246-175, with 1 Member voting Present. H.R.
1664 was signed into law by the President on August 17, 1999
(P.L. 106-51).
The conference report on H.R. 4577, the Consolidated
Appropriations Act for Fiscal Year 2001, contained language in
section 146 calling upon the President: 1) to take all
appropriate action within his power to provide relief from
injury caused by steel imports; and 2) to immediately request
the U.S. International Trade Commission to commence an
expedited investigation for positive adjustment under section
201 of the Trade Act of 1974 of such steel imports (H. Rept.
106-1033; Congressional Record, December 15, 2000, p. H12280).

7. MISCELLANEOUS PROVISIONS IN THE TRADE AND DEVELOPMENT ACT OF 2000

During Senate consideration of H.R. 434, the African Growth
and Opportunity Act, several amendments related to various
trade issues were adopted. These amendments were included in
the version of H.R. 434 passed by the Senate on November 3,
1999. Some of these amendments were included in the conference
report on H.R. 434. See also the discussion on Africa, the
Caribbean Basin, Albania and Kyrgyzstan contained in the
discussion above on Bilateral Trade Issues.
Specifically, section 403 of the conference report provides
for reliquidation of certain nuclear fuel assemblies. Section
710 adds the Senate Finance Committee and the House Committee
on Ways and Means to the list of Committees to which the
following reports are submitted: Reports Regarding Initiatives
to Update the International Monetary Fund; Reports on Financial
Stabilization Programs; Annual Report on the State of the
International Financial System, IMF Reform, and Compliance with
IMF Agreements; Audits of the IMF; and Reports on Protection of
Borders Against Drug Trafficking. Section 405 clarifies section
334 of the Uruguay Round Agreements Act. Section 406
establishes within the Office of the United States Trade
Representative (USTR) a Chief Agricultural Negotiator with the
rank of Ambassador. Section 407 amends the Trade Act of 1974 to
require USTR to make periodic revisions of retaliation lists
120 days from the date the retaliation list is made and every
180 days thereafter. Section 409 outlines the United States
agricultural trade negotiating objectives within the World
Trade Organization (WTO). Section 410 amends the Trade Act of
1930 to allow for all merchandise withdrawn from a foreign
trade zone during a week to be treated as a single entry
billing for the purpose of assessing the merchandise processing
fee. Section 411 clarifies the ban on articles made with forced
or/and indentured labor includes those articles made with
forced or/and indentured child labor. Section 412 adds a new
eligibility criterion to the Generalized System of Preferences
so that the President shall not designate a country for
benefits if it has not implemented its obligations to eliminate
the worst forms of child labor. Title V of the conference
report reduces tariffs on high end worsted wool fabric intended
for use in the manufacture of men's suits, suit-type jackets,
and trousers in order to limit the tariff inversion U.S. suit-
makers face in the purchase of such fabric.
On May 4, 2000, the conference report on H.R. 434 was filed
(H. Rept. 106-606). On May 4, 2000, the House of
Representatives passed the conference report on H.R. 434 by a
vote of 309-110. On May 11, 2000, the Senate passed the
conference report by a vote of 77-19. The bill was signed into
law by the President on May 18, 2000 (P.L. 106-200).

8. MISCELLANEOUS TRADE ISSUES

a. Legislation Making Technical Corrections and Miscellaneous
Amendments to U.S. Trade Laws (1999)

On February 2, 1999, Chairman Archer introduced H.R. 435,
which contained substantially the provisions contained in H.R.
4856 of the 105th Congress. The bill was considered under
suspension of the rules and passed the House by 414-1 on that
same day. The bill was received in the Senate on February 11,
1999. On May 27, 1999, the Senate passed the legislation with
an amendment by unanimous consent and forwarded it to the
House. On June 7, 1999, the House passed the Senate amendment
to H.R. 435 by a vote of 375-1. The bill was presented to the
President on June 14, 1999. The President signed the
legislation on June 25, 1999 (P.L. 106-36).
H.R. 4856, introduced in the 105th Congress, contained
substantially the provisions contained in two other bills
introduced in the 105th Congress: H.R. 4342, as amended by the
Senate, and H.R. 4608. H.R. 4608 would have, among other
things, allowed for the following: drawback of methyl tertiary-
butyl ether (MBTE), if certain requirements are met; drawback
for substituted petroleum derivatives; reliquidation of water
resistant wool trousers and the issuance of a refund if
applicable; reliquidation of certain entries of mueslix cereal
using the Column 1 duty rate applicable to Canada for the
period between 1992 through 1995 and issuance of refunds if
applicable; expansion of the Foreign Trade Zone No. 163 area to
include areas in the vicinity of Chico Municipal Airport in
California; use of Customs user fee account to pay for
preclearance activities in certain areas; a collection of a $1
fee from cruise ship passengers to be used to pay salaries of
Customs inspectors for such passengers; establishment of a
Customs Advisory Committee consisting of representatives of the
airline, cruise ship, and other transportation industries to
consider issues relating to the performance of Customs Service
inspectional services; and exemption of certain woven fabrics
containing silk from country of origin marking under the
applicable statute.
H.R. 4342, of the 105th Congress contained two parts. The
first part contained miscellaneous corrections to U.S. trade
laws to bring them up to date with current institutions and
statutes. The second part contained provisions for temporary
duty suspensions and other trade provisions. The second part of
H.R. 4342 was in two sections. The first section provided
temporary duty suspensions for specified chemicals and dyes.
The second section of H.R. 4342 substantially included
provisions that would have (1) extended to certain fine jewelry
the trade benefits of insular possessions of the United States;
(2) permitted the deferral (until sale) of duty payment on any
large yacht (exceeding 70 feet in length and used primarily for
pleasure) that is imported for sale if the importer meets
certain conditions; and (3) provided an exception to the five-
year reviews of antidumping and countervailing orders in very
limited circumstances. A more detailed legislative history of
H.R. 4342 is found in H. Rept. 105-671.
Although H.R. 435 incorporated the provisions from H.R.
4608 and H.R. 4342 of the 105th Congress, H.R. 435 included
changes to certain provisions as well as additional provisions.
The provision relating to the collection of user fees for
cruise ship passengers was changed from $1 to $5. A provision
was added to allow payment of education costs of dependents of
certain Customs Service personnel who died in the line of duty.

b. Legislation Making Technical Corrections and Miscellaneous
Amendments to U.S. Trade Laws (2000)

On August 12, 1999, and April 12, 2000, Subcommittee
Chairman Crane requested written comments from parties
interested in miscellaneous trade proposals, technical
corrections to the trade laws, and temporary duty suspensions
on certain imports (Trade Advisory TR 15 and TR 20). These
technical corrections related to the on-going process of
identifying changes to improve the efficiency of the trade
laws.
On July 18, 2000, Chairman Crane introduced H.R. 4868, the
Miscellaneous Trade and Technical Corrections Act of 2000. This
legislation included provisions which were non-controversial
and revenue-neutral based on public comments received in
response to the advisories, Administration comments, and
revenue analysis by the Congressional Budget Office.
H.R. 4868 contained two parts. The first part contained a
group of provisions to provide for temporary duty suspensions,
extension of duty suspensions, liquidations and reliquidations,
and special classifications for product development and
testing. This part also contained two provisions introduced by
Chairman Crane: H.R. 2714, which would change in rate for duty
of goods brought by travelers returning to the United States;
and H.R. 2715, which would provide duty free treatment for
personal effects of participants in international sporting
events. Other provisions in this section included: (1) an
exception from making report of arrival and formal entry for
certain vessels (H.R. 2213); (2) designation of San Antonio
International Airport for Customs processing of certain private
aircraft arriving in the United States (H.R. 2256); (3)
collection of fees for Customs services for arrival of certain
ferries (H.R. 2881); (4) alternative mid-point interest
accounting methodology for underpayment of customs duties and
fees (H.R. 4337); (5) treatment of certain multiple entries of
merchandise as single entry (H.R. 4337); (6) requiring a report
on Customs procedures relating to entry information (H.R.
4337); (7) a prohibition on import and domestic sale of cat and
dog fur products (H.R. 1622); (8) a provision removing gum
Arabic from import sanctions(H.R. 1808); and (9) other
miscellaneous provisions.
The second part of H.R. 4868 contained a provision for
trade adjustment assistance for certain workers affected by
environmental remediation or closure of a copper mining
facility (H.R. 4641). In addition, the bill contained
provisions relating to the importation of cigarettes, including
a technical amendment to the Balanced Budget Act of 1997, and a
provision that would reinstate the duty-free allowance for
returning travelers bringing export-labeled cigarettes.
On July 17, 2000, the Trade Subcommittee marked up draft
legislation entitled the ``Miscellaneous Trade and Technical
Corrections Act of 2000,'' which was favorably reported by
voice vote to the Committee on Ways and Means. The Committee on
Ways and Means amended and marked up H.R. 4868, the
``Miscellaneous Trade and Technical Corrections Act of 2000,''
and ordered it favorably reported by voice vote on July 19,
2000. The bill was reported on July 25, 2000 (H. Rept. 106-
789). The Committee amendment included several duty-free
provisions, as well as withdrawal of the provisions relating to
the importation of cigarettes, the technical amendment to the
Balanced Budget Act of 1997, and the provision that would
reinstate the duty-free allowance for returning travelers
bringing export-labeled cigarettes. In addition, the
Committee's amendment expanded the exception for certain
vessels from making report of arrival and formal entry (H.R.
2213).
On July 25, 2000, Chairman Crane asked the House to suspend
the rules and pass the bill. The bill was considered under
suspension of the rules and passed the House by roll call vote
of 411-0 (Roll no. 438) on July 25, 2000, and it was received
in the Senate on July 26, 2000.
The Senate Committee on Finance ordered the bill favorably
reported with an amendment in the nature of a substitute on
September 19, 2000, and Senator Roth reported the bill with an
amendment in the nature of substitute on September 27, 2000.
Senator Roth filed a report on H.R. 4868 on October 12, 2000
(S. Rept. 106-503), and the bill passed the Senate with an
amendment by unanimous consent. The Senate amendment added
provisions relating to duty suspensions, cigarette importation,
jet fuel, and reliquidation of certain entries of orange juice,
tomato sauce, athletic shoes, and drawback of recycled
materials. The Senate amendment added criminal penalties and
increased civil penalties as well as other provisions relating
to the import and domestic sale ban on cat and dog fur products
(H.R. 1622), a provision granting normal trading relations to
Georgia, and a provision reinstating three annual reports:
ITC's report entitled The Year in Trade, and USTR's reports
entitled, Trade Policy Agenda and Annual Report, and, National
Trade Estimate Report on Foreign Trade Barriers. All three
reports had expired on December 21, 1999 and were extended
through May 2000. The Senate amendment did not include the
House passed provision on gum Arabic.
On October 24, 2000 the House agreed to the Senate
amendment with an amendment pursuant to H. Res. 644. The House
amendment added provisions relating to petroleum drawback, the
salary for the chief Agricultural Negotiator at the Office of
the United States Trade Representative, and a sense of the
Congress relating to gum Arabic (see discussions under
Unilateral Trade Sanctions). In addition, the House amended the
provisions relating to the import ban on cat and dog fur
products, including striking the criminal penalties provision
and modifying language on labeling, in consultations with the
Committees on Judiciary and Commerce. On October 26, 2000, the
Senate agreed to the House amendment by unanimous consent. The
President signed the bill on November 9, 2000 (P.L. 106-476).

c. Diamonds

There were a number of legislative proposals in Congress
seeking to address the trade in conflict diamonds. Such
diamonds generally come from mines controlled by rebel forces
and are traded for arms to fuel civil war in Africa. Some of
the proposals included banning diamonds imported from specified
countries and requiring a certification of where the imported
diamond was mined.
On September 12, 2000, Chairman Crane held a hearing on the
import of conflict diamonds. This hearing was an effort to
obtain viewpoints from the Administration, the industry, non-
governmental organizations and other interested parties for
possible solutions to the issues relating to the trade in
conflict diamonds.
On June 16, 2000, Chairman Archer sent a letter to Chairman
Young insisting that a Senate amendment to H.R. 4425, a bill
making appropriations for Military Construction, Family
Housing, and Base Realignment and Closure for the Department of
Defense for the fiscal year ending September 30, 2001, be
dropped from the bill during the House-Senate conference
consideration of H.R. 4425. The Senate amendment would have
imposed an import ban on diamonds from certain countries.
Chairman Archer objected on the basis that the provision
violated the prerogatives of the House to originate revenue
measures. This provision was not included in the conference
report.
In a letter to Chairman Young dated October 11, 2000,
Chairman Archer insisted that section 406 of the Senate-passed
version of H.R. 4690, the Department of Commerce, Justice, and
State, the Judiciary and Related Agencies Appropriations Actof
2001, be dropped from the conference report on H.R. 4690. Specifically,
section 406 would have imposed an import ban on diamonds from certain
identified countries. However, the provision was not dropped,
apparently by error, and was included in the conference report to H.R.
4690. On October 26, 2000, Chairman Archer sent another letter to
Chairman Young confirming a further mutual understanding to drop, or if
necessary, repeal the provision and that the provision or any similar
provision would not be included in any other remaining appropriations
vehicle. Finally, Chairman Archer noted that he did not insist on the
prerogatives of the House with respect to the conference report on H.R.
4690 based on the assurances of the mutual understanding they had
reached. The conference report on H.R. 4690 was not acted upon by the
Senate. Legislation appropriating funds for the Departments of
Commerce, Justice, and State, the Judiciary was included in the
conference report to H.R. 4577. That conference report did not contain
a diamond import ban.

d. Bear Protection Act

On May 24, 1999, Senator McConnell introduced S. 1109, the
``Bear Protection Act,'' to prohibit the importation,
exportation, and interstate trade of bear viscera and items,
products, or substances containing, or labeled or advertised as
containing bear viscera. The bill was referred to the Senate
Committee on the Environment and Public Works.
On July 26, 2000, S. 1109 was ordered reported to the
Senate by the Committee on the Environment and Public Works
without an amendment. On October 4, 2000, the Committee on the
Environment and Public Works filed a report on S. 1109 (S.
Rept. 106-484).
The Senate passed S. 1109 without amendment by unanimous
consent on October 17, 2000. Because S. 1109 contained a
revenue measure in contravention to the constitutional
requirement that revenue measures originate in the House of
Representatives, Subcommittee Chairman Crane introduced a
resolution, H. Res. 645, to return S. 1109 to the Senate. H.
Res. 645 was considered and passed by the House on October 25,
2000 by a voice vote.

e. Intelligence Authorization Bill for Fiscal Years 2000

On April 26, 1999, Chairman Goss of the House Permanent
Select Committee on Intelligence introduced H.R. 1555, the
Intelligence Authorization Act for Fiscal Year 2000. H.R. 1555
was referred to the House Permanent Select Committee on
Intelligence and was reported to the House on May 7, 1999 (H.
Rept. 106-130, Part I). On May 13, 1999, H.R. 1555 passed the
House by a voice vote.
On May 11, 1999, Chairman Shelby of the Senate Select
Committee on Intelligence introduced a similar bill, S. 1009.
Section 303 of the bill, as introduced, contained a provision
in the jurisdiction of the Committee on Ways and Means
extending through January 6, 2001 sanctions waiver authority
under the National Security Act of 1947. This provision dealt
with the President's authority to delay the imposition of
sanctions upon his determination that proceeding with sanctions
could compromise an ongoing criminal investigation or an
intelligence source or method. S. 1009 was reported by the
Senate Select Committee on Intelligence on May 11, 1999 (S.
Rept. 106-48) and by the Senate Committee on Armed Services on
June 8, 1999 (no written report filed). On July 21, 1999,
Chairman Shelby offered the text of S. 1009 as an amendment in
the nature of a substitute to H.R. 1555. On the same day, the
Senate agreed to the amendment and passed the bill, as amended,
by a voice vote.
On September 18, 1999, Chairman Archer wrote to House
Intelligence Chairman Goss regarding further consideration of
H.R. 1555. In his letter, Chairman Archer noted that section
303 of the Senate amendment contravened the requirement in
Article I, Section 7 of the Constitution that revenue measures
originate in the House of Representatives. On that basis,
Chairman Archer requested the deletion of section 303 of the
Senate amendment in the conference on H.R. 1555. Chairman Goss
replied to Chairman Archer on September 21, 1999 and indicated
that he would insist on the deletion of section 303 of the
Senate amendment in conference.
The conference report on H.R. 1555 was filed on November 5,
1999 and did not contain the sanctions deferral provision from
the Senate amendment (H. Rept. 106-457). On November 9, 1999,
the House agreed to the conference report on H.R. 1555 by a
voice vote. The Senate passed the conference report on H.R.
1555 by a voice vote on November 19, 1999. H.R. 1555 was signed
into law by the President on December 3, 1999 (P.L. 106-120).

f. Issues Involving U.S. Antidumping and Countervailing Duty Laws

On September 22, 1999 Representative Visclosky et alia
introduced H. Res. 298, a resolution calling on the President
to abstain from renegotiating international agreements
governing antidumping and countervailing duty measures and from
participating in any international negotiation in which
antidumping or countervailing duty rules are part of the
negotiating agenda. The bill was referred to the Committee on
Ways and Means. On November 4, 1999 Representative Visclosky
rose to a question of the privileges of the House and offered a
privileged resolution similar to H. Res. 298. On that same day,
the Speaker ruled that the resolution did not concern a
question of privilege and therefore may not be considered by
the House at that time. Representative Visclosky then offered a
motion to lay on the table the appeal of theruling of the
chair. The motion was defeated by a vote of 218-204.
On September 25, 2000, Chairman Archer wrote to Mr. Dan
Crippen, Director of the Congressional Budget Office,
requesting that CBO update its analysis of a 1998 study on the
usage of antidumping laws by the United States and its trading
partners. Chairman Archer requested that the study be made
available in the first quarter of 2001.
On October 3, 2000, the conference committee on H.R. 4461,
the Agriculture and Related Agencies Appropriations Act for
Fiscal Year 2001, adopted an amendment in the jurisdiction of
the Ways and Means Committee titled ``Continued Dumping and
Subsidy Offset Act of 2000.'' This provision, included in title
X of the conference report, provides for the distribution of
antidumping and countervailing duties collected by the U.S.
Customs Service each fiscal year to affected domestic producers
who were petitioners or interested parties to antidumping or
countervailing duty orders. The amendment further directs the
Commissioner of the U.S. Customs Service to establish a special
account in the U.S. Treasury for the deposit of antidumping and
countervailing duties collected by the Customs Service. On
October 4, 2000, Chairman Archer wrote to House Appropriations
Committee Chairman Young (FL) asserting the jurisdiction of the
Ways and Means Committee with respect to the amendment and
objecting to its inclusion in the conference report.
The conference report on H.R. 4461 was filed on October 6,
2000 with the ``Continued Dumping and Subsidy Offset Act of
2000'' included in title X (H. Rept. 106-948). The conference
report was passed by the House of Representatives by a vote of
340-75 on October 11, 2000. The Senate passed the conference
report on October 18, 2000 by a vote of 86-8. H.R. 4461 was
signed into law by the President on October 28, 2000 (P.L. 106-
387).

g. Plant Protection Act

In a letter dated May 23, 2000, Chairman Combest requested
that Chairman Archer waive the jurisdiction of the Committee on
Ways and Means on H.R. 1504, a bill to streamline, modernize,
and enhance the authority of the Secretary of Agriculture
relating to plant protection and quarantine, and for other
purposes. The conference report to H.R. 2559, the
``Agricultural Risk Protection Act of 1999,'' included a
provision, entitled ``Notification and Holding Requirements
Upon Arrival,'' which was within the jurisdiction of the
Committee on Ways and Means. Specifically, the provision would
have required the Secretary of the Treasury to notify promptly
the Secretary of Agriculture of the arrival of any plant, plant
product, biological control organism, plant pest, or noxious
weed at a port of entry. The provision also would have required
the Secretary of the Treasury to hold those products until they
are inspected and authorized for entry into or transit movement
through the United States, or otherwise released by the
Secretary of Agriculture.
In a letter dated May 25, 2000, Chairman Archer waived the
Committee's jurisdiction with the understanding that doing so
would not prejudice the jurisdictional prerogatives of the
Committee on this provision or any other similar legislation
and would not be considered as precedent for consideration of
matters of jurisdictional interest to the Committee in the
future. The bill was signed into law on June 22, 2000 (P.L.
106-224).

h. User Fees

On July 21, 2000, Chairman Archer and Ranking Member Rangel
sent a letter to Chairman Young objecting to section 2132 of
the Senate-passed version of H.R. 4577, a bill making
appropriations for the Departments of Labor, Health and Human
Services, and Education for fiscal 2001. The amendment would
have extended for seven years the authority to collect certain
user fees pursuant to section 13031(a) of the Consolidated
Budget Reconciliation Act of 1985. Chairman Archer and Ranking
Member Rangel stated that the basis for their objection was
that the provision was highly controversial and did not go
through the normal legislative process with full consideration
of the views of all interested parties. The provision was
dropped in the conference report.

i. Children's Sleepwear

In a letter to Chairman Young dated July 28, 1999, Chairman
Archer requested that House amendment 296 to H.R. 2490, a bill
making appropriations for the Treasury Department, the United
States Postal Service, the Executive Office of the President,
and certain Independent Agencies, for the fiscal year ending
September 30, 2000, be removed from H.R. 2490 during the House-
Senate conference. Specifically, amendment 296 would have
prohibited the import of children's sleepwear without the
labels required by the standards issued by the Consumer Product
Safety Commission. Chairman Archer objected on the basis that
the provision was within the jurisdiction of the Ways and Means
Committee and violated the prerogatives of the House to
originate revenue measures. The provision was deleted in the
conference report on H.R. 2490.

j. Steam Generators

On October 27, 2000, Chairman Archer sent a letter to
Chairman Youngobjecting to including a duty suspension
provision on imported steam generators in any appropriations
legislation. He insisted, on jurisdictional grounds, that such revenue
provisions be excluded from any final appropriations conference report
because they would violate the prerogatives of the House to originate
such measures. No such provision was included in any legislation in the
106th Congress.

k. Trade Deficit Review Commission

Throughout the 106th Congress, the Subcommittee monitored
work by the Emergency Trade Deficit Review Commission, which
was established by Sec. 127 of the Omnibus Appropriations Bill
for Fiscal Year 1999, signed into law on October 21, 1998 (P.L.
105-277). On November 13, 2000, the Ways and Means Committee
received the Commission's report. H.R. 4205, the National
Defense Authorization Act for Fiscal Year 2001, renamed the
Trade Deficit Review Commission as the United States-China
National Security Commission and directed it to monitor,
investigate, and report to Congress on the national security
implications of the bilateral trade and economic relationship
between the United States and the People's Republic of China.
H.R. 4205 passed the House on May 18, 2000, and the Senate on
July 13, 2000. It was signed into law on October 30, 2000 (P.L.
106-398).

l. Reports requested from the United States International Trade
Commission (ITC) pursuant to section 332(g) of the Tariff Act
of 1930, 19 U.S.C. Sec. 1332(g)

On May 12, 1999, the Committee received a report from ITC
entitled Pianos: Economic and Competitive Conditions Affecting
the U.S. Industry (ITC Publication 3196). The report contains
an overview of the global market for pianos, a profile of the
U.S. piano industry, and comparison of factors affecting the
competitive position of the U.S. and foreign producers. This
report was in response to a November 12, 1998, request made by
Chairman Archer.
On August 25, 1999, the Committee requested that the ITC
conduct a fact-finding investigation of the current competitive
conditions affecting the U.S. foundry coke industry with
respect to the role of imports from China in the U.S. market.
Specifically, the report was to review the foundry coke
industries in the United States and China for the most recent
five year period and address, among other issues, production,
prices, market factors, and transportation costs to U.S.
markets for Chinese and domestic foundry coke. The ITC was to
submit its report within one year of receipt of the request
letter. On May 23, 2000, the Committee sent another letter to
the ITC asking that the report be submitted by July 7, 2000,
rather than August 25, 2000, as originally requested. The
Committee received the report entitled Foundry Coke: A Review
of the Industries in the United States and China (ITC
Publication 3323) on July 10, 2000.
In September 1999, the International Trade Commission
submitted a report to the Committee, requested by Chairman
Archer, providing an overview and analysis of the economic
impact of U.S. sanctions policy with respect to India and
Pakistan (ITC Publication 3236).
On February 7, 2000, the Committee requested that the ITC
continue to submit its annual report on the operation of the
U.S. trade agreements, The Year in Trade 1999: Operation of the
Trade Agreements Program 51st Report (ITC Publication 3336).
Section 1463 of H.R. 4868, the Tariff Suspension and Trade Act
of 2000, reinstated the mandate for ITC to complete the Year in
Trade report on an annual basis.
On March 8, 2000, the Committee requested that the ITC
conduct an investigation on the civil aerostructures industry.
The ITC was asked to examine the composition of the industry,
the process of new aerostructures development, and the relative
strengths and weaknesses of the aerostructures industries in
United States, Europe, Canada, and Asia. The ITC is to submit
its report no later than 15 months after receipt of the request
letter.
On March 15, 2000, the Committee requested that the ITC
conduct a study of the economic impact of U.S. sanctions with
respect to Cuba. The ITC was asked to provide an overview of
U.S. sanctions against Cuba, a description of the Cuban economy
and Cuban trade and investment policies and trends, and an
analysis of the historical impact of U.S. sanctions on both the
U.S. and Cuban economies. The ITC is to submit its completed
report to the Committee no later than 11 months following
receipt of the request.
In June 2000, the International Trade Commission submitted
a report to the Committee, requested by Chairman Archer,
providing a simplification of the Harmonized Tariff Schedule of
the United States (ITC Publication 3318).
On June 28, 2000, the Committee requested that the ITC
conduct a fact-finding investigation relating to pricing of
prescription drugs by certain U.S. trading partners.
Specifically, the ITC was asked to determine the effect of the
utilization of price controls on innovative medicine by the
other G-8 countries or other countries that are signatories to
the NAFTA on pricing for such drugs abroad and in the United
States. The ITC was to submit the report within 90 days after
receipt of the request letter. On August 9, 2000, the Committee
sent a letter to the ITC extending the initial due date of the
report to December 1, 2000, because of the complex nature of
the study. On August 18, 2000, the Committee received a letter
from Chairman Koplan confirmingthat the ITC will deliver the
preliminary report on Pricing of Prescription Drugs on December 1,
2000. The Committee received the report entitled Pricing of
Prescription Drugs on December 1, 2000 (ITC Publication 3333).
On October 30, 2000, the Committee requested that the ITC
investigate tariff and non-tariff barriers that impact trade in
the processed food and beverage sectors. Specifically, ITC was
asked to describe the tariff and non-tariff barriers affecting
trade in the processed food and beverage sectors, evaluate the
prevalence of tariff escalation, and analyze the impact of
tariff and non-tariff barriers on trade and investment in the
processed food and beverage sectors. The ITC is to submit its
completed report no later than October 1, 2001.

m. Establishment of the FTAA Secretariat in Miami, Florida

On November 8, 1999, Senator Graham introduced S. Con Res.
71, expressing the sense of the Congress that Miami, Florida,
and not a competing foreign city, should serve as the permanent
location for the Secretariat of the Free Trade Area of the
Americas (FTAA) beginning in 2005. The Senate had passed S.
Con. Res. 71 by unanimous consent on November 19, 1999. On
April 11, 2000, the House suspended the rules and agreed to S.
Con. Res. 71, by voice vote.

C. Legislative Review of Health Issues

1. The Medicare, Medicaid and SCHIP Balanced Budget Refinement Act of
1999

The Subcommittee on Health held hearings regarding
provisions later included in the Medicare, Medicaid and SCHIP
Balanced Budget Refinement Act of 1999 on March 2, March 18,
and October 1, 1999.
On October 14, 1999, H.R. 3075 was introduced in the House
of Representatives. On October 15, 1999, the Subcommittee on
Health considered and approved by voice vote H.R. 3075, and
forwarded the bill to the full Ways and Means Committee. On
October 21, 1999, the full Ways and Means Committee considered
and approved H.R. 3075, which was then referred to the
Committee on Commerce, and subsequently passed the House on
November 5, 1999, by a vote of 388-25. The bill was received in
the Senate on November 8, 1999 and subsequently amended to be
re-introduced as H.R. 3426 on November 17, 1999. On November
19, 1999, H.R. 3426 was incorporated by cross reference in the
conference report to accompany H.R. 3194, the ``District of
Columbia Appropriations Act,'' which was enacted as P.L. 106-
113 on November 29, 1999.
The health provisions of H.R. 3194, as signed by the
President, provide for a number of adjustments to provisions in
the Balanced Budget Act of 1997. The legislation restores $16
billion in funding over 5 years to health care providers,
including hospitals, skilled nursing facilities, home health
agencies, and Medicare+Choice plans, harmed by the reductions
in spending mandated in the 1997 Balanced Budget Act. Among the
provisions are increased payments for Medicare+Choice plans, a
slow-down in the phase-in of the risk adjustment process, and
reforms to the Medicare+Choice program that offer seniors more
choices and flexibility.
The bill includes provisions to improve seniors' Medicare
benefits. Seniors' out-of-pocket costs for hospital outpatient
care are limited to the same amount as the deductible for
hospital inpatient care. Medicare's coverage of anti-rejection
drugs used after organ transplants are extended beyond three
years. Women are provided increased access to pap smear tests
and cervical cancer screening.
The legislation also provides significant, targeted funding
for hospitals to smooth the transition from a cost-based
payment system for hospital outpatient services to a
prospective payment system, and it establishes mechanisms to
ensure that seniors continue to enjoy access to the most modern
technologies and drugs through an ``outlier'' adjustment and a
transitional ``pass-through'' mechanism for new technologies
and drugs. A number of provisions in the bill offer financial
relief specifically for hospitals and other health care
providers in rural areas, including strengthening the Critical
Access Hospital program and extending the Medicare Dependent
Hospital program. Payments to teaching hospitals and hospices
also are increased.
Skilled nursing facilities receive additional assistance in
caring for medically-complex patients. Annual rehabilitation
therapy caps are lifted for two years, but with safeguards to
prevent fraud and abuse. The 15 percent scheduled reduction in
payments to home health agencies is delayed until one year
after the implementation of the prospective payment system for
home health services, and agencies receive financial assistance
with added paperwork and record keeping costs.
The legislation also includes several provisions to improve
the State Children's Health Insurance Program (SCHIP) for low-
income children and provides more stability in SCHIP funding by
creating floors and ceilings and correcting the original
payment formula to account for under-representation of the
population in certain areas. Additionally, the legislation
makes improvements in Medicaid disproportionate share funding
by providing a permanent extension for certain safety net
hospitals.

2. The Medicare RX 2000 Act

The Subcommittee on Health held a hearing on Medicare
beneficiaries' access to prescription drug benefits on February
15, 2000. In addition, the Subcommittee held a hearing on the
Administration's proposal to add a prescription drug benefit to
the Medicare program on May 11, 2000.
In response to these hearings, H.R. 4680, the ``Medicare Rx
2000 Act,'' was introduced in the House of Representatives on
June 15, 2000. The bill was referred to the Committee on Ways
and Means, and subsequently, to the Committee on Commerce. On
June 21, the Committee considered, marked up and ordered the
bill to be reported by a recorded vote of 23-14. The bill, as
amended, was reported by the Committee to the House of
Representatives on June 27, 2000. The Committee on Commerce
discharged the bill the same day and it was placed on the Union
Calendar. On June 28, 2000, the Rules committee reported H.
Res. 539, making in order the consideration of H.R. 4680. The
House of Representatives passed the bill the same day by a vote
of 217-214. The bill was received by the Senate on June 29,
2000, but no further action was commenced on the legislation in
the 106th Congress.
H.R. 4680 would have created a new outpatient prescription
drug program for Medicare beneficiaries under a new Part D in
Title XVIII of the Social Security Act. It would have also
modified the existing Medicare+Choice program. In addition, the
bill included provisions that would have reformed the Medicare
coverage and claims appeals processes, clarified the scope of
drugs and biologicals covered under Part B, and established a
voluntary disease management demonstration project for Medicare
beneficiaries with diabetes, advanced-stage congestive heart
failure, or coronary heart disease. Finally, the bill would
have established a new Medicare Benefits Administration within
the Department of Health and Human Services to administer both
the prescription drug and Medicare+Choice programs. The
Congressional Budget Office estimated that the bill would have
increased Medicare outlays by $50.6 billion and total direct
spending by $40 billion over five years.
The new prescription drug program included in H.R. 4680
would have been made available to all Medicare beneficiaries
beginning in 2003. Under the program, drug benefits would be
provided by either Medicare+Choice plans or new, private,
prescription drug plans. The bill would have required the
Secretary of Health and Human Services to contract with a
sufficient number of plan sponsors, such that all Medicare
beneficiaries would have access to at least two prescription
drug plan options. Beneficiaries who elected to participate in
the program would have chosen a plan each year during an annual
enrollment period. Participation by beneficiaries in the
program would have been voluntary.
The bill specified minimum benefit requirements,
beneficiary protections, and organizational standards that all
plan sponsors would have been required to meet to participate
in the program.
With respect to benefits, plans would have had to offer at
least a prescribed standard benefit package or qualified
alternative coverage. For 2003, the standard coverage would
have been defined to be coverage having (1) a $250 deductible,
(2) required cost-sharing of on average 50 percent on the next
$2,100 of incurred costs (above the deductible), and (3) a
limitation on overall beneficiary out-of-pocket spending of
$6,000. In subsequent years, the deductible, initial coverage
limit, and out-of-pocket spending limitation would have been
indexed to the average annual increase in per capita aggregate
expenditures for covered outpatient drugs for Medicare
beneficiaries. Qualified alternative coverage would have been
required to be of at least an equivalent actuarial value of the
standard package, have the same out-of-pocket spending
limitation, and meet other tests designed to prevent adverse
selection.
Plan sponsors would have had to meet minimum information
disclosure requirements, provide enrolled beneficiaries access
to grievance and appeals processes, abide by specific drug
formulary development, maintenance and appeals requirements,
and maintain ongoing quality assurance, utilization management
and medication therapy management programs. In addition, plan
sponsors would have been required to be licensed as risk-
bearing entities under state law or meet alternative solvency
requirements established by the Secretary, and meet other
organizational requirements now specified for Medicare+Choice
program contractors.
In addition to the standard prescription drug benefit, H.R.
4680 included additional benefit subsidies for low-income
beneficiaries who enrolled in the new prescription drug
program. Under the bill, enrollees who met the resource
requirements of the Qualified Medicare Beneficiary (QMB)
program and whose incomes were below 135 percent of the Federal
poverty level would have been eligible for complete premium
subsidies. In addition, these enrollees would have only been
subject to nominal copays on drug consumption up to the initial
benefit maximum. Enrollees who met the QMB program resource
requirements and who had incomes between 135 and 150 percent of
the Federal poverty level would have been eligible for phased-
out premium subsidies.
H.R. 4680 also included provisions providing for a
graduated scale of reinsurance payments to participating plan
sponsors. These payments would be made to plans to reimburse
them for a percentage of their incurred claims as their
respective enrollees' prescription drug costs exceeded certain
prescribed levels. For 2003, the bill would have provided
reinsurance payments equal to 30 percent of the plan's
incurredclaims in the $1,250 to $1,350 spending range, 50 percent of
the plan's incurred claims in the $1,350 to $1,450 spending range, 70
percent of the plan's incurred claims in the $1,450 to $1,550 spending
range, 90 percent of the plan's incurred claims in the $1,550 to $2,350
spending range, and 90 percent of the plan's incurred claims in the
$7,050 and above spending range. In subsequent years, the Secretary
would have been required to adjust these reinsurance attachment points
and percentages such that the estimated total reinsurance subsidy
payments in any given year equaled 35 percent of plans incurred claims,
based on standard coverage. After considering the probable effects of
the low-income and reinsurance subsidies, the Congressional Budget
Office estimated that the average premium for a standard prescription
drug plan would have to be approximately $39 a month and that 74
percent of eligible Medicare beneficiaries would have enrolled in the
program.
H.R. 4680 would have also established a new Medicare
Benefits Administration within the Department of Health and
Human Services. The Medicare Benefits Administration would have
been responsible for administering both the Medicare+Choice
program and new prescription drug benefit program, and for
conducting all Medicare beneficiary enrollment, eligibility and
education activities. The bill would have also created a
Medicare Ombudsman within the new Medicare Benefits
Administration to assist beneficiaries.
Finally, H.R. 4680 also included provisions that would have
modified the way Medicare+Choice plans were reimbursed. The
bill would have phased in the scheduled risk adjuster over a
ten year period; increased the national minimum payment amount
to $450 in 2002; increased the national per capita
Medicare+Choice growth percentage in 2001 and 2002; increased
the minimum update for payment areas with less than two plan
contracts; eliminated the budget neutrality provision in
current law that impedes the full financing of ``blended''
reimbursements in certain counties; accelerated the transition
to a 50 percent national/50 percent local blended reimbursement
rate; and allowed certain Medicare+Choice plans to begin
negotiating their payment updates with the Medicare Benefits
Administration starting in 2004.

3. THE MEDICARE, MEDICAID, AND SCHIP BENEFITS IMPROVEMENT AND
PROTECTION ACT OF 2000

The Subcommittee on Health held a hearing regarding
additional Medicare refinements to the Balanced Budget Act of
1997 on July 25, 2000. Many of the issues raised during the
hearing were later addressed in the Medicare, Medicaid, and
SCHIP Benefits Improvement and Protection Act of 2000. On
October 3, 2000, the Subcommittee considered, marked-up and
amended draft legislation, which was incorporated into H.R.
5543, the ``Medicare, Medicaid, and S-Chip Benefits Improvement
and Protection Act of 2000.''
On October 25, 2000, the Medicare, Medicaid, and SCHIP
Benefits Improvement and Protection Act of 2000 was introduced
in the House of Representatives as H.R. 5543. It includes many
provisions in the Medicare Refinement and Benefits Improvement
Act of 2000 and provisions in H.R. 5291, the ``Beneficiary
Improvement and Protection Act of 2000.'' H.R. 5543 was
included in the conference report to accompany H.R. 2614, the
``Enactment of Certain Small Business, Health, Tax, and Minimum
Wage Provisions,'' which passed the House of Representatives on
October 25, 2000. After discussions with the Senate, the bill
was subsequently amended to be re-introduced as H.R. 5661 on
December 14, 2000. On December 15, 2000, H.R. 5661 was
incorporated by cross reference in the conference report to
accompany H.R. 4577, the ``Departments of Labor, Health, and
Human Services, and Education and Related Agencies
Appropriations Act, 2001, which passed the House of
Representatives on December 15, 2000, and was agreed to by the
Senate by unanimous consent.
The legislation improves benefits offered to Medicare
enrollees and restores funding to health care providers that
have been harmed by payment reductions mandated by the Balanced
Budget Act of 1997. Overall, the bill restores more than $30
billion to seniors and providers over 5 years. The bill
accelerates the reduction of high copayments that Medicare
beneficiaries make for hospital outpatient services. In
addition, the plan creates and extends new preventive benefits
for seniors and the disabled, including coverage of biennial
pap smear screenings and pelvic exams, glaucoma screenings,
medical nutrition therapy for patients with diabetes or renal
disease, colon cancer screenings for all Medicare patients, and
study of Medicare coverage of thyroid screenings. Women are
assured access to the most advanced technology (digital
mammography) in the detection of breast cancer. The 24-month
waiting period for Medicare coverage of individuals disabled by
Amyotrophic Lateral Sclerosis (ALS), or Lou Gherig's disease,
is waived.
The bill also gives Medicare beneficiaries access to an
external review process and expands the rights of Medicare
patients to appeal coverage decisions. The time limitation on
Medicare benefits for immuno-suppressive drugs is eliminated so
seniors who receive organ transplants can live longer, and
balance billing limits on prescription drugs are imposed.
The legislation stabilizes and strengthens the
Medicare+Choice (M+C) program by increasing payment rates,
particularly in rural areas and medium-size cities. Assistance
also is targeted at help those communities at greatest risk of
losing their Medicare+Choice plans. M+C plans are permitted to
give cash rebates on their Part B premiums.
The bill offers assistance to health care providers by
providing full inflation updates to their prices in 2001, with
some providers receiving additional relief in 2002. Acute care,
long term, rehabilitation and psychiatric hospitals receive
payment increases, as do teaching hospitals and providers of
renal dialysis and ambulance services. Hospitals in rural areas
receive comparable treatment relative to hospitals in urban
areas in the calculation of Medicare disproportionate share
hospital (DSH) payments. Additional provisions build on, and
strengthen, the Critical Access Hospital program. Seniors in
rural areas may improve their access to world-class health care
through telemedicine, and are assured better availability of
home health services. Hospices receive increased payments. The
planned 15 percent reduction in payments to home health
agencies is delayed an additional year with study of whether
nonroutine medical supplies should be carved out of the home
health prospective payment system and paid on a separate basis.
Skilled nursing facilities are relieved of some of the
administrative burden of consolidated billing, and their
payments related to the nursing component of their rates are
increased so that they may hire more nurses to improve nurse
staffing.
The bill also makes several modifications to the Medicaid
program, including the revision of disproportionate share
hospital (DSH) payments and the creation of a new prospective
payment system for Federally qualified health centers (FQHCs)
and rural health centers (RHCs). The legislation allows for
additional entities, such as schools, to make Medicaid
presumptive eligibility determinations for children. The
Secretary of Health and Human Services is directed to develop a
simplified national application form for States, at their
option, to use for individuals who apply for medical assistance
for Medicare cost sharing under the Medicaid program.

D. Legislative Review of Social Security Issues

1. FEDERAL RETIREMENT COVERAGE CORRECTIONS ACT

On January 19, 1999, Rep. Joe Scarborough introduced H.R.
416, the ``Federal Retirement Coverage Corrections Act.'' On
February 11, 1999, H.R. 416 was ordered favorably reported by
the Full Committee (H. Rept. 106-29, Part 2). The bill passed
the House on March 23, 1999. No action was taken by the Senate.
H.R. 416 provides for the correction of certain retirement
coverage errors affecting Federal employees who were
erroneously enrolled in the wrong retirement plan. The bill
further provides that retroactive earnings will be credited if
individuals elect a retirement system that includes Social
Security coverage, and the Social Security Trust Funds will be
compensated to reflect the election. In addition, the
Commissioner of Social Security is given the authority to take
actions necessary to correct Social Security earnings records.
Finally, the bill makes necessary conforming changes to the
Social Security Act.

2. SOCIAL SECURITY GUARANTEE INITIATIVE

On February 23, 1999, Rep. Paul Ryan introduced H.J. Res.
32, the ``Social Security Guarantee Initiative.'' On February
24, 1999, the Full Committee ordered favorably reported H.J.
Res 32, as amended (H. Rept. 106-34). The resolution passed the
House on March 2, 1999. No action was taken by the Senate.
H.J. Res. 32 states that the President and the Congress
should join in strengthening the Social Security program and
protecting the retirement income security of all Americans for
the 21st century in a manner that: (1) ensures equal treatment
across generations; (2) recognizes the unique obstacles that
women face in ensuring retirement, disability, and survivor
security and the essential role the program plays in protecting
women's financial stability; (3) provides a continuous benefit
safety net for workers, survivors, their dependents, and the
disabled; (4) protects guaranteed lifetime benefits, including
cost-of-living adjustments, for current and future retirees;
and (5) does not increase taxes.

3. TICKET TO WORK AND WORK INCENTIVES IMPROVEMENT ACT OF 1999

The Subcommittee on Social Security held six hearings since
1995 to examine work incentives for recipients of Social
Security Disability Insurance (SSDI) benefits and Supplemental
Security Income (SSI) benefits.
On March 18, 1999, Rep. Rick Lazio introduced H.R. 1180,
the ``Work Incentives Improvement Act of 1999.'' On May 19,
1999, the Committee on Commerce ordered the bill favorably
reported, as amended (H. Rept. 106-220 Part 1.)
On October 13, 1999, Rep. Kenny Hulshof introduced H.R.
3070, the ``Ticket to Work and Work Incentives Improvement Act
of 1999.'' On October 14, 1999, the Full Committee ordered
favorably reported H.R. 3070, as amended (H. Rept. 106-393 Part
1).
The House approved H.R. 1180 on October 19, 1999. On
October 21, 1999, H.R. 1180 passed the Senate with amendment
consisting of the text of S. 331, asamended. The conference
report (H. Rept. 106-478) was agreed to by the House on November 18,
1999 and by the Senate on November 19, 1999. The President signed the
bill into law on December 17, 1999 (P.L. 106-170).
The law establishes a Ticket to Work and Work Incentives
Improvement Program within the Social Security Administration
(SSA). Under the program, recipients of SSDI and SSI benefits
receive a ``ticket'' which can be used to purchase services to
help recipients re-enter the workforce. Employment networks are
paid for results (rather than the cost of their services) by
sharing in the benefit savings when disabled individuals leave
the rolls and return to work.
The law eases the rules for restoring cash and health
benefits if a beneficiary re-enters the workforce, but must
later reapply for benefits because of failing health. For SSDI
beneficiaries, Medicare coverage is extended an additional 4.5
years for a total of 8.5 years of coverage. Several provisions
in the law provide States with added flexibility and incentives
to expand Medicare and Medigap coverage to workers with
disabilities
The law authorizes a SSDI demonstration project to study
the effects of replacing the current substantial gainful
activity level with a $1 reduction in SSDI payments for every
$2 in earnings over a determined level. In addition, GAO and
SSA are required to evaluate current work incentives for
individuals with disabilities and ways to improve such
incentives.
Finally, the law provides incentive payments to
correctional institutions for reporting incarceration of SSDI
beneficiaries, replaces the criteria for barring SSDI benefits
to prisoners, and includes a number of technical amendments.

4. SENIOR CITIZENS' FREEDOM TO WORK ACT OF 1999

On March 1, 1999, Rep. Sam Johnson introduced H.R. 5, the
``Senior Citizens' Freedom to Work Act of 1999.'' The
Subcommittee held a hearing on February 15, 2000 and received
testimony in support of H.R. 5 from the Administration,
individuals affected by the retirement earnings test, and
organizations representing senior citizens.
On February 16, 2000, the Subcommittee ordered favorably
reported H.R. 5, as amended. The Full Committee ordered the
bill favorably reported, as amended on February 29, 2000 (H.
Rept. 106-507), and the House passed the bill on March 1, 2000.
On March 22, 2000, the Senate passed the bill with
amendment. The House agreed to the Senate amendment on March
28, 2000, and the President signed the bill into law on April
7, 2000 (P.L. 106-182).
The law repeals the retirement earnings test for
individuals who attain the full retirement age (currently age
65).

5. SOCIAL SECURITY BENEFITS TAX RELIEF ACT OF 2000

On July 27, 2000, the House passed H.R. 4865, the ``Social
Security Benefits Tax Relief Act of 2000.'' For a discussion of
this bill, see I.A.3.d. above.

6. RAILROAD RETIREMENT AND SURVIVORS' IMPROVEMENT ACT OF 2000

On July 13, 2000, Rep. Bud Shuster introduced H.R. 4844,
the ``Railroad Retirement and Survivors' Improvement Act of
2000.'' On July 25, 2000, the Full Committee ordered favorably
reported H.R. 4844, as amended (H. Rept. 106-777, Part 2). The
bill passed the House on September 7, 2000.
On October 3, 2000, the Senate Committee on Finance ordered
favorably reported H.R. 4844 with an amendment in the nature of
a substitute (Rept. 106-475). No further action was taken by
the Senate.
H.R. 4844 makes several changes to the tax and benefit
structure of the Railroad Retirement program and expands the
program's investment authority. The bill makes four changes to
Railroad Retirement benefits. First, widow(er) benefits are
increased from 50 percent to 100 percent of the deceased
worker's Tier 2 annuity. Second, vesting requirements for Tier
1 and Tier 2 annuities are reduced from 10 years to 5 years.
Third, the normal retirement age is reduced from 62 to 60 for
workers with 30 years of service in the rail industry, thus
restoring the retirement age to its pre-1983 level. Fourth, the
maximum benefit which applies to Tier 2 annuities is repealed.
H.R. 4844 establishes a Railroad Retirement Investment
Trust outside of Treasury to invest the assets fo the Railroad
Retirement Account. An independent Board of Trustees is
appointed to administer the Trust. A private disbursing agent
consolidates all funds needed to pay current benefits and
issues a single monthly benefit check to each beneficiary.
The supplemental annuity tax paid by railroad employers is
eliminated, and supplemental annuity benefits are paid from the
Railroad Retirement Investment Trust. In addition, the Tier 2
payroll tax rate levied on employers is gradually reduced from
16.1 to 13.1 percent. Thereafter, the tax rate is set each
calendar year pursuant to astatutory formula based on a ratio
of the balances and benefit obligations of the Railroad Retirement
Investment Trust.
H.R. 4844, as amended by the Full Committee, would have
repealed the 4.3 cent motor fuel excise tax on railroads and
inland waterway transportation. This provision was not included
in H.R. 4844 as passed by the House, but was included in H.R.
2614, the ``Taxpayer Relief Act of 2000'' which passed the
House on October 26, 2000 (see I.B.2.b. above).

7. social security number privacy and identity theft prevention act of
2000

On May 4, 2000, the Subcommittee held a hearing to examine
eligibility requirements, SSA oversight, and activities of
representative payees. On May 9 and 11, 2000, the Subcommittee
held a two-day hearing to examine the use and misuse of Social
Security numbers (SSNs). On July 17, 2000, the Subcommittee
held a field hearing on protecting privacy and preventing SSN
misuse.
On July 13, 2000, Subcommittee Chairman E. Clay Shaw, Jr.
introduced H.R. 4857, the ``Social Security Number Privacy and
Identity Theft Prevention Act of 2000.'' On July 20, 2000, the
Subcommittee ordered favorably reported H.R. 4857, as amended.
The Full Committee ordered the bill favorably reported, as
amended on September 28, 2000 (H. Rept. 106-996 Part 1). No
action was taken by the House or the Senate.
H.R. 4857 restricts the sale, use and public display of
SSNs in the public and private sectors. The bill prohibits
federal, State, and local government agencies from: (1) selling
SSNs to the public, (2) displaying SSNs on internet sites and
public documents, (3) displaying SSNs on government checks, (4)
displaying SSNs on employee identification cards or military
tags, and (5) displaying SSNs on drivers' licenses or other
identification documents issued by State Departments of Motor
Vehicles. The bill also prohibits government agencies from
employing prisoners in jobs that provide them access to SSNs.
Limited exceptions are made for the provisions prohibiting the
sale and public display of SSNs, mainly to facilitate law
enforcement and to ensure the accuracy of credit reporting. The
bill requires GAO to study the use of the SSN as a personal
identifier in all branches and levels of the government and to
recommend how such use can be minimized.
H.R. 4857 authorizes the Federal Trade Commission to issue
regulations restricting the purchase and sale of SSNs in the
private sector. The bill discourages businesses from denying
services to individuals who refuse to provide their SSNs by
subjecting them to penalties under Federal law. Finally, the
bill amends the definition of ``credit report'' under the Fair
Credit Reporting Act to include the SSN so that SSNs receive
the same privacy protections as other consumer credit
information.
H.R. 4857 creates new criminal and civil penalties for
violations of the law and enhances law enforcement authority
for the Social Security Administration Office of Inspector
General.
H.R. 4857 also includes several provisions to protect
Social Security and SSI beneficiaries whose monthly benefits
are managed by representative payees. The bill enhances
oversight of representative payees, disqualifies individuals
from serving as representative payees if they have been
convicted of an offense resulting in more than one year of
imprisonment, and provides SSA with additional means of
collecting misused funds. In addition, H.R. 4857 authorizes the
re-issuance of Social Security and SSI benefit payments when a
representative payee is found to have misused funds. The bill
requires the payee to forfeit any fee collected from the
beneficiary for months in which benefits were misused. Civil
monetary penalties are extended for violations of the law.
Finally, H.R. 4857 eliminates deemed military wage credits
for certain active duty military service, allowing funds to be
applied to other military compensation packages. The bill also
prohibits organizations from charging customers for services
that SSA provides free of charge and includes several other
technical and conforming amendments.

E. Legislative Review of Human Resources Issues

1. child protection, foster care, and adoption

a. Foster Care Independence Act of 1999

Title I of H.R. 3443, the ``Foster Care Independence Act of
1999,'' provided States with more funding and greater
flexibility in carrying out programs designed to help children
make the transition from foster care to self-sufficiency.
States promote the self-sufficiency of these young people by
providing assistance in obtaining a high school diploma, career
exploration, vocational training, job placement and retention,
training in daily living skills, training in budgeting and
financial management skills, substance abuse prevention, and
preventive health activities (including smoking avoidance,
nutrition education, and prepregnancy prevention).
In addition, the ``Foster Care Independence Act of 1999''
containedSupplemental Security Income (SSI) provisions aimed at
improving payment accuracy and reducing fraud. The legislation allowed
the Social Security Administration (SSA) to use additional debt
collection practices in recovering SSI overpayments. It allowed SSA to
count certain trust funds as resources in determining eligibility for
SSI benefits; imposed a period of ineligibility on SSI applicants who
transfer or sell assets for less than fair market value; and, permitted
SSA to obtain financial records for SSI recipients to ensure that they
meet SSI's resource restrictions and remain eligible for benefits.
Title II created a new program under title VIII of the
Social Security Act that paid benefits to SSI recipients who
served in the military during World War II and moved overseas.
Recipients in this new program would be ineligible for SSI but
would receive monthly benefits equal to about 75 percent of
their old SSI benefit. By moving overseas, they would also
become ineligible for Medicaid and food stamps. This new
program would apply only to veterans receiving SSI at the time
of enactment and would take effect a year after enactment.
Title III narrowed and eventually eliminated the hold-
harmless provision of the child support program. Under current
law, Federal and State governments retain any child support
collected on behalf of current recipients and certain support
collected on behalf of former recipients. Under the hold-
harmless provision, the Federal government guarantees that a
State's amount of retained child support will not fall below
the amount that it retained in fiscal year 1995.
The Foster Care Independence Act of 1999 was originally
introduced as H.R. 1802 on May 13, 1999, by Chairman Nancy
Johnson and Ranking Member Ben Cardin of the Subcommittee on
Human Resources. A hearing was held on May 13, 1999, to receive
comments on H.R. 1802. Testimony at the hearing was presented
by scholars, program administrators, foundation executives, a
Member of Congress, and individuals participating in programs
designed to help adolescents in foster care achieve self-
sufficiency through employment or post-secondary education. The
Subcommittee also conducted a hearing on March 9, 1999, which
included testimony from the Administration, child advocacy
groups, program administrators, and former foster children. The
Subcommittee considered H.R. 1802 and ordered it favorably
reported to the full Committee, as amended, on May 20, 1999 by
a voice vote, with a quorum present. The full Committee on Ways
and Means considered the Subcommittee reported bill on May 26,
1999, and ordered it favorably reported, as amended, on
Wednesday, May 26, 1999, by voice vote (H. Rept. 106-182, Part
I).
H.R. 1802 was considered and passed, as amended, in the
House on June 25, 1999. H.R. 3443, an updated version of the
Foster Care Independence Act of 1999, was introduced November
18, 1999, by Chairman Johnson and Ranking Member Ben Cardin.
Under unanimous consent, the bill passed in the House on
November 18, 1999. It passed under unanimous consent in the
Senate on November 19, 1999, and was signed into law by the
President on December 14, 1999 (P.L. 106-169).

b. Sense of Congress Resolution on Abandoned Babies

H. Res. 465 expressed the sense of the House of
Representatives that local, State, and Federal governments
should collect and disseminate statistics on the number of
newborn babies abandoned in public places.
Chairman Johnson, along with Subcommittee members Dave
Camp, Phil English, Wes Watkins, Mark Foley, and Scott McInnis,
introduced this legislation on April 6, 2000. It was considered
in the House under suspension of the rules and agreed to by
voice vote on April 11, 2000.

c. Intercountry Adoption Act

The subject matter of adoption is of longstanding interest
to the Committee on Ways and Means. The purpose of the
Intercountry Adoption Act was to implement the Hague Convention
on the Protection of Children and Cooperation in Respect of
Intercountry Adoption which became final on May 29, 1993 and
was signed by the United States on March 31, 1994. The treaty
was designed to establish internationally agreed upon norms and
procedures for international adoptions to protect the rights
of, and prevent abuses against, children, birth families, and
adoptive parents involved in adoptions subject to the
Convention, and to ensure that such adoptions are in the
children's best interests; and to improve the ability of the
Federal Government to assist U.S. citizens seeking to adopt
children from abroad and residents of other Convention
countries seeking to adopt children from the United States.
H.R. 2909 was introduced by International Relations
Committee Chairman Ben Gilman and Representative Dave Camp of
the Committee on Ways and Means with 36 cosponsors on September
22, 1999. The bill was referred to the Committee on
International Relations, with additional referrals to the
Committees on the Judiciary, Education and the Workforce, and
Ways and Means. The Committee on International Relations
reported the bill as amended on March 22, 2000, and it was
discharged from the Committee on Ways and Means on June 22,
2000.
The bill, as amended, passed by voice vote in the House
under suspension of the rules on July 18, 2000. It passed in
the Senate with an amendment by unanimous consent on July 27,
2000. On September 18, 2000, the Senate bill, as amended,
waspassed in the House with amendment. The Senate agreed to the House
amendment to the Senate amendment by unanimous consent on September 20,
2000. H.R. 2909 was signed into law by the President on October 6, 2000
(P.L. 106-279).

d. Flexible Funding for Child Protection Act of 2000

On September 26, 2000, Chairman Johnson introduced H.R.
5292, a bill that provided for demonstration programs on
flexible funding in State use of Federal child protection
funds. The purpose of the demonstrations was to determine
whether providing States with such flexibility has an effect on
caseload levels, on availability and use of services, on
efficiency of service delivery, and on child safety,
permanency, and well-being. The goal was to find ways to allow
States to use the Title IV-E dollars for prevention and
treatment as well as out-of-home placement. On July 20, 2000,
the Subcommittee held a hearing on increasing the flexibility
States have in their use of Federal funds in the child
protection program. A hearing on the bill was held Tuesday,
October 3, 2000.
No further action was taken.

e. Adoption Incentives Bonus Provision

The Adoption and Safe Families Act (P.L. 105-89)
established a new provision (Section 473A of the Social
Security Act) that is intended to promote adoption through
incentive payments to States that increase their number of
foster child adoptions, with additional incentives for the
adoption of special needs foster children who receive Federally
subsidized adoption assistance. The incentive payment is $4,000
for each foster child above the number of adoptions in a
baseline year whose adoption is finalized over baseline. An
additional $2,000 incentive payment is made for each special
needs child above the number of special needs adoptions in a
baseline year whose adoption is finalized.
The Adoption and Safe Families Act (P.L. 105-89) originally
authorized appropriations of $20 million annually for FY 1999-
FY 2003 for adoption incentive payments. For FY 1999, $20
million was appropriated by P.L. 105-277. However, the amount
of incentive payments that States earned exceeded the $20
million level. The Foster Care Independence Act (P.L. 106-169)
authorized an additional $23 million for adoption incentive
payments in FY 2000.
Current law authorizes $20 million for FY 2001 to pay
adoption incentives for FY 2000. FY 2001 appropriations for the
Departments of Labor, Health and Human Services, and Education
provides an additional $23 million as a retroactive payment for
the 1999 payment shortfall, bringing the total FY 2001
appropriation to $43 million. This provision was included in
H.R. 4577, a consolidated appropriations bill that passed in
the House and Senate on December 15, 2000.

2. WELFARE REFORM

a. Fathers Count Act of 1999

The Fathers Count Act of 1999, H.R. 3073, established
fatherhood grant programs for public and private entity
projects designed to promote marriage, encourage successful
parenting, and help fathers and their families avoid or leave
cash welfare and improve their economic status. The legislation
also established a national clearinghouse of information about
fatherhood programs and provided for funds to conduct multicity
fatherhood projects.
The bill also expanded eligibility for participation in the
Welfare-to-Work program under section 403(a)(5) of the Social
Security Act to include more long-term welfare recipients and
noncustodial parents with children on public assistance
programs and expanded the definition of allowable work
activities to include limited vocational education and job
training.
The legislation provided for the development of an
alternative penalty procedure in child support for States that
failed to meet the State Disbursement Unit (SDU) requirements
of current law; and established new procedures by which States
can use information in the New Hire Directory to reduce fraud
in the Unemployment Insurance program.
In addition, the legislation eliminated the performance
bonus in the Welfare-to-Work program, provided additional
funding for a major study of the effects of the 1996 welfare
reform law (P.L. 104-193), and expanded training funds for
court personnel in the child protection program funded under
Title IV-E of the Social Security Act.
The Subcommittee conducted a hearing on April 27, 1999, on
fatherhood programs, which included testimony from the
Administration, researchers, advocates, individuals who have
designed and conducted programs for low-income fathers, and
young fathers whose children are on welfare. The Subcommittee
on Human Resources held a hearing on October 5, 1999, to
receive comments on early drafts of the Fathers Count Act of
1999 (later introduced as H.R. 3073), the bipartisan
legislation written by Chairman Johnson and Ranking Member
Cardin. Testimony at the hearing was presented by scholars,
program administrators, foundation executives, and Members of
the U.S. House of Representatives and the U.S. Senate.
The Fathers Count Act of 1999 was considered by the
Subcommittee on Human Resources and ordered favorably reported
to the full Committee, as amended, on October 13, 1999, by a
voice vote, with a quorum present. The bill was then introduced
on October 14, 1999, as H.R. 3073, by Chairman Johnson and
Ranking Member Cardin. The full Committee on Ways and Means
considered the Subcommittee reported bill on October 21, 1999,
and ordered it favorably reported, as amended, on Thursday,
October 28, 1999, by voice vote.
The House approved the legislation with amendments on
November 10, 1999. Provisions from H.R. 3073 were included in
H.R. 4678, the Child Support Distribution Act of 2000, which
passed the House on September 7, 2000.

b. Welfare-to-Work

At one time included as Title III of H.R. 3073, the Fathers
Count Act of 1999, the welfare-to-work provision to modify
eligibility and expand the allowable work activities was passed
as part of the Fiscal Year 2000 Labor, Health and Human
Services, Education, and Related Agencies appropriations bill,
H.R. 3194. H.R. 3194 included several appropriations bills and
other legislation and was signed into law on November 29, 1999
(P.L. 106-113).

c. Census Bureau Provision for Welfare Reform Impact Evaluation

Current law authorizes and appropriates $10 million for
each of fiscal years 1996 through 2002 for the Census Bureau to
collect survey information to be used to evaluate the impact of
welfare reform. Under this provision, an additional $5 million
would be appropriated for the Census Bureau to address the
problem of attrition from the research sample. This provision
was included in H.R. 4577, a consolidated appropriations bill
that passed in the House and Senate on December 15, 2000.

3. CHILD SUPPORT ENFORCEMENT

a. The Child Support Distribution Act of 2000

The Child Support Distribution Act of 2000, H.R. 4678
(introduced as H.R. 4469) provided more child support money to
current and former welfare recipients, simplified the rules
governing the assignment and distribution of child support
collected by States on behalf of children, improved the
collection of child support, authorized demonstration programs
on encouraging non-IV-D public agencies to help collect child
support, and implemented a fatherhood grant program to promote
marriage, encourage successful parenting, and help fathers find
jobs and increase their earnings.
The Subcommittee on Human Resources conducted hearings on
September 23, 1999, and October 5, 1999, on child support
enforcement issues. These hearings included testimony from the
Administration, child support administrators, officials of
local child support programs that operate independently of the
Federal-State program, academic witnesses, researchers, and
advocacy groups. Testimony at these hearings concerned State
implementation of the 1996 child support reforms, the current
and potential role of child support enforcement outside the
Federal-State program funded under Title IV-D of the Social
Security Act, the impact of domestic violence on child support
enforcement, and fatherhood programs. The Subcommittee held a
hearing on May 18, 2000, to receive comments on H.R. 4469.
Testimony at the hearing was presented by the Administration,
program administrators, advocates, researchers, and Members of
the U.S. House of Representatives.
On June 15, 2000, Chairman Johnson introduced H.R. 4678,
the Child Support Distribution Act of 2000. On June 27, 2000,
the Subcommittee ordered the bill favorably reported, with
amendment, to the full Committee, by recorded vote, with a
quorum present. The full Committee on Ways and Means considered
the Subcommittee reported bill on July 19, 2000, and ordered it
favorably reported, as amended, on July 19, 2000, by voice
vote. The House passed H.R. 4678, as amended, on September 7,
2000.
No further action was taken.

b. Alternate Penalty Provision Relating to State Disbursement Units

This provision provided an alternative penalty for States
that failed to meet the State Disbursement unit (SDU)
requirements of current law and had submitted a corrective
compliance plan by April 1, 2000. If a State comes into
compliance on or after April 1, 2000 or on or before September
30, 2000, the penalty amount would be one percent. If the State
fails to come into compliance by September 30, 2000 the penalty
in current law is replaced by an alternative penalty of 4
percent for the first year, 8 percent for the second year, and
16 percent, 25 percent, and 30 percent for years three through
five (or more) respectively; the percentage penalty is applied
to the Federal administrative reimbursement of State child
support enforcement expenditures.
The alternative penalty provision was included as Title IV
of H.R. 3073, the Fathers Count Act of 1999. It was passed as
part of the Fiscal Year 2000 Labor, Health and Human Services,
Education, and Related Agencies appropriations bill, H.R. 3194.
H.R. 3194 included several appropriations bills and other
legislation. It wassigned into law on November 29, 1999 (P.L.
106-113).

4. SUPPLEMENTAL SECURITY INCOME (SSI)

a. SSI Fraud and Abuse Provisions in the Foster Care Independence Act
of 1999

The SSI Fraud Prevention Act of 1999, H.R. 631, addressed
fraud and abuse in programs under Titles II (especially the
disability program) and XVI of the Social Security Act. Issues
addressed in the bill included prevention and collection of
overpayment of benefits, prevention of SSI payments to
prisoners, treatment of trusts and resources in determining
eligibility, provision of new authority and responsibility to
SSA with respect to fraudulent claims, improvement of data
sharing, increased reporting to Congress on legislative and
administrative reforms to reduce or prevent fraud and
overpayments, and provision of new sources of information to
SSA.
In addition, H.R. 631 allowed certain Filipino veterans of
the U.S. armed forces during World War II who move back to the
Philippines to receive SSI benefits.
The Subcommittee held a hearing on SSI fraud and abuse on
February 3, 1999, which included testimony from Members of
Congress, the Administration, and organizations representing
citizens with disabilities and Filipino veterans. On February
10, 1999 the Subcommittee on Human Resources ordered favorably
reported to the full Committee, as amended, H.R. 631, the ``SSI
Fraud Prevention Act of 1999,'' by a voice vote, with a quorum
present.
H.R. 631 was included as Title II of H.R. 1802, the Foster
Care Independence Act of 1999. Consequently, H.R. 1802 was
included in H.R. 3443, which was introduced and passed in the
House by unanimous consent on November 18, 1999. On November
19, 1999, H.R. 3443 passed by unanimous consent in the Senate
and it was signed into law on December 14, 1999 (P.L. 106-169).

b. SSI Provision Regarding Statutory Employees

Under current law, wages are defined to include the
earnings of ``statutory employees'' and regardless of whether
the employees are self-employed, they are treated by statute as
employees for Social Security purposes. While these employees
are treated as statutory employees for Social Security
purposes, they are treated as self-employed for income tax
purposes. This bifurcation has caused problems in determining
SSI eligibility, particularly for statutory employees who are
parents of disabled children. This provision treats individuals
who are statutory employees under Social Security as self-
employed for purposes of SSI. This provision was included in
H.R. 4577, a consolidated appropriations bill that passed in
the House and Senate on December 15, 2000.

5. UNEMPLOYMENT COMPENSATION

On Tuesday, February 29, 2000, the Subcommittee on Human
Resources held a hearing on legislation related to Unemployment
Compensation (UC) and proposals to reform and improve the UC
system. Provisions included in these various proposals
eliminated the 0.2 percent Federal Unemployment Tax Act
surcharge, changed the base period employment requirements for
eligibility for UC, shifted some Federal responsibilities to
the States, provided incentives for States to improve the
solvency of their benefit accounts, and increased access to
unemployment benefits for laid-off workers seeking part-time
work. The legislation considered during the hearing included
H.R. 3174, the Employment Security Financing Act of 1999 which
was introduced by Rep. Jim McCrery on October 28, 1999, H.R.
3169, the Unemployment Tax Repeal Act of 1999 which was
introduced by Rep. Phil English, H.R. 3708, the Parity for Part
Time Workers Act which was introduced by Rep. Benjamin Cardin,
and H.R. 1830, the Unemployment Compensation Amendments of 1999
which was introduced by Representatives Sander Levin and Phil
English. Witnesses included Representatives English and Levin,
Administration officials, State administrators, organized
labor, and employer representatives.
Both before and after the February 29, 2000, hearing, a
coalition of groups with an interest in the Unemployment
Compensation system consisting of representatives from the
Administration, organized labor, the business community, and
the States met to work on a consensus reform proposal. On
September 7, 2000, the Subcommittee held a hearing on this
proposal. Witnesses included representatives of each group
involved in the coalition meetings.
No further action was taken.

6. ABSTINENCE EVALUATION

a. Abstinence Evaluation Date Change Provision

Current law requires that the Secretary of Health and Human
Services conduct an evaluation of Abstinence Education
programs. The funds for evaluation must be spent by the end of
Fiscal Year 2001. The provision changes the date to the end of
Fiscal Year 2005. The provision passed the House on September
7, 2000 as part of H.R. 4678, the Child Support Distribution
Act of 2000. This provision was included in H.R. 4577, a
consolidated appropriations bill that passed in the House and
Senate onDecember 15, 2000.

F. Legislative Review of Debt Issues

1. DEBT REDUCTION RECONCILIATION ACT OF 2000

2. DEBT RELIEF RECONCILIATION ACT FOR FISCAL YEAR 2001

3. DEBT RELIEF LOCK-BOX RECONCILIATION ACT FOR FISCAL YEAR 2001

On February 9, 2000, the Committee on Ways and Means held a
hearing on the President's Fiscal Year 2001 budget proposals.
On March 24, 2000, the House approved H. Con. Res. 290,
setting forth the Congressional budget for the United States
Government for fiscal year 2001, revising the budget for fiscal
year 2000, and setting forth appropriate budgetary levels for
each fiscal year 2002 through 2005. The House agreed to the
conference report on H. Con. Res. 290 on April 13, 2000.
On September 14, 2000, pursuant to Sections 103(b)(2) and
213(b)(2)(C) of H. Con. Res. 290, the Committee ordered
favorably reported, as amended, its debt reconciliation
recommendations which were incorporated into H.R. 5173, the
``Debt Relief Lock-Box Reconciliation Act for Fiscal Year
2001,'' introduced by Representative Ernest Fletcher on
September 14, 2000 (H. Rept. 106-862, Part 1). On September 18,
2000, H.R. 5173 passed the House.
The text of H.R. 5173 was also included in H.R. 5203, the
``Debt Relief and Retirement Security Reconciliation Act,''
introduced by Social Security Subcommittee Chairman E. Clay
Shaw, Jr. on September 19, 2000. H.R. 5203 passed the House on
September 19, 2000. No action was taken by the Senate on either
bill.
H.R. 5173 would establish an off-budget account in the U.S.
Treasury, called the Public Debt Reduction Payment Account. The
bill would provide that $42 billion would be appropriated to
the account on October 1, 2000 or the date of enactment
(whichever is later), and the statutory debt limit would be
reduced by an equivalent amount. Funds in the account can be
used only to reduce the debt held by the public. The bill would
require the Secretary of the Treasury and the U.S. Comptroller
General of the United States to report to Congress on how the
funds were used to reduce the debt.
In addition, H.R. 5173 would establish points of order
designed to reserve the surpluses in the Social Security and
Medicare Hospital Insurance (HI) Trust Funds for debt reduction
until legislation to save Social Security and Medicare is
passed. The bill would establish a point of order against the
consideration of any bill, joint resolution, amendment, motion,
or conference report that would cause the on-budget surplus to
be less than the projected surplus in the Medicare HI Trust
Fund in any fiscal year. An exception would apply to any
legislation designated as saving Social Security or Medicare.
The bill also would establish a point of order against the
consideration of any subsequent legislation that would cause
the on-budget surplus to be less than the projected surplus in
the Medicare HI Trust Fund for any fiscal year. An exception
would apply to any legislation designated as saving Social
Security or Medicare.
H.R. 5173 would provide that any budget submitted by the
President that recommends an on-budget surplus less than the
surplus in the Medicare HI Trust Fund must include proposed
legislative language for Social Security or Medicare reform.
Finally, H.R. 5173 would provide that the receipts and
outlays of the Social Security Trust Funds must be excluded
from official government budget documents and must be submitted
separately.

II. Oversight Review

A. Oversight Agenda

Committee on Ways and Means,
House of Representatives,
Washington, DC, February 11, 1999.
Hon. Dan Burton,
Chairman, Committee on Government Reform, Rayburn House Office
Building, Washington, DC.
Hon. William M. Thomas,
Chairman, Committee on House Administration, Longworth House Office
Building, Washington, DC.
Dear Chairman Burton and Chairman Thomas: In accordance
with the requirements of Clause 2 of Rule X of the rules of the
House of Representatives, the following is a list of oversight
hearings and other oversight-related activities which the
Committee on Ways and Means and its subcommittees plan to
conduct during the 106th Congress. The list has been broken
down by Subcommittee, and follows an order in which the listed
activities are likely to occur. This list is not intended to be
exclusive; the Committee anticipates that additional oversight
activities will be scheduled as issues arise and/or as time
permits.

FULL COMMITTEE

1. Social Security Trust Fund solvency issues. The
Committee will continue to hold hearings to examine various
issues affecting the well-being of individual recipients and
the long-term solvency of the Social Security Trust Funds.
2. Tax Proposals in Administration's Fiscal Year 2000
Budget. The Full Committee will hold a series of hearings
beginning February 14, 1999, to examine the tax proposals in
the Administration's Fiscal Year 2000 budget.
3. Fundamental Tax Reform. The Full Committee will continue
to examine the impact of replacing the current income tax
system with a broad-based consumption tax.
4. Y2K Computer Conversion Efforts. The Full Committee will
hold a hearing on February 24, 1999, to review the Y2K
conversion efforts and contingency plans of agencies within the
jurisdiction of the Committee. The goal of the hearing is to
determine whether the agencies have adequate financial and
personnel resources and are taking appropriate measures to
ensure (1) services to program beneficiaries, and (2)that
taxpayers will not be disrupted in the new year.

SUBCOMMITTEE ON OVERSIGHT

1. Taxpayer Advocate Report. The Subcommittee held a
hearing on February 10, 1999, to examine the third annual
report of the Internal Revenue Service (IRS) Taxpayer Advocate
to the tax-writing committees. In this report, which was
mandated by the Taxpayer Bill of Rights 2 (``TBOR2''), the
Taxpayer Advocate identifies initiatives undertaken to improve
taxpayer services and IRS responsiveness and provides
recommendations from the Problem Resolution Officers in IRS
District Offices as to how to resolve problems which taxpayers
experience in their dealings with the IRS.
2. Y2K Computer Conversion Efforts. The Subcommittee held
two hearings in the 105th Congress and issued a report to
review the Y2K conversion efforts and contingency plans of
agencies within the jurisdiction of the Committee. Following a
Full Committee hearing in February of this year, additional
hearings in the Oversight Subcommittee may be scheduled as
needed.
3. Steel Trade. In consultation with the Trade
Subcommittee, the Oversight Subcommittee will review the
President's January 1999 Report to the Congress on a
Comprehensive Plan for Responding to the Increase in Steel
Imports, and determine whether existing tax and trade laws (and
relief for workers) are adequate in light of the recent
increase in steel imports.
4. Domestic Oil and Gas Industry. The Subcommittee will
review the impact of current tax and trade policies on the
domestic oil and gas industry, with an emphasis on the impact
of world oil prices on small, independent producers.
5. Tax Code Compliance Burden. The Subcommittee held a
hearing in the 105th Congress on the compliance burden of the
Internal Revenue Code for individual taxpayers and small
businesses. The Subcommittee will continue this review of
individual tax simplification issues such as the alternative
minimum tax, family credits, and the capital gains tax, as well
as small business issues such as expensing limits.
6. IRS Fiscal Year 2000 Budget/1999 Tax Return Filing
Season. The Subcommittee will hold a hearing in March or April
to review the Administration's request for the IRS FY 2000
budget and the status of the 1999 tax return filing season.
Among other things, the Subcommittee will review how the IRS is
improving customer service, how it is implementing recent
changes in the tax law, and how it is progressing to modernize
its computer systems to handle a growing workload as well as
the century date change. Information developed at the hearing
will be used as background for preparing the full Committee's
recommendations to the Appropriations Committee regarding
funding priorities for the IRS for FY 2000.
7. Structured Settlements. The Subcommittee will hold a
hearing on the tax rules that govern the use of structured
settlements and the recent growth in transactions in which the
recipients of structured settlements sell off future payments
to factoring companies in exchange for discounted lump sum
payments.
8. Pension Policy. The Subcommittee will continue to review
the pension tax law and explore ways in which it might be
simplified and improved. The Subcommittee will examine employer
coverage and employee participation issues, particularly for
low-income and part-time workers, women and others who may not
be adequately served by current law. The Subcommittee will also
explore ways to remove burdensome regulatory requirements,
improve the level of benefits that workers may accrue toward
their retirement, and improve the portability of pension
benefits by removing artificial barriers which prevent workers
from rolling over their benefits among pension plans.
9. Most Serious Management Problems. The Subcommittee will
hold a hearing to receive testimony from the U.S. General
Accounting Office (GAO) and the Inspectors General regarding
high risk programs (i.e., programs vulnerable to waste, fraud,
or abuse) within the Committee's jurisdiction. The information
obtained at this hearing about high risk programs (e.g.,
security of information systems, and implementation of a
variety of Medicare cost-saving improvements; Medicare claims
fraud, IRS Accounts Receivable, Social Security Administration
overpayments) will lay the groundwork for additional oversight
activities in the 106th Congress.
10. Oversight of the U.S. Customs Service. In consultation
with the Trade Subcommittee, the Oversight Subcommittee will
review the Customs Service's operations, including efforts to
upgrade computer systems, interdict illegal narcotics at the
southern and northern borders, comply with the Customs
Modernization Act, and implement the Results Act.
11. International Tax Law. The Subcommittee will hold a
hearing to review the complexity of provisions of international
tax law which have widespread application, with a focus on the
need for simplification.
12. Implementation of IRS Restructuring and Reform. The
105th Congress passed the landmark IRS Restructuring and Reform
Act of 1998, which contains numerous taxpayer protections, as
part of its Taxpayer Bill of Rights 3 title. The Act
alsoincludes significant IRS organizational changes. The Subcommittee
will review the implementation of the new law, as well as the ``tax
gap,'' focusing on the major categories of noncompliant filers, and
consider ways to improve compliance where noncompliance rates and
revenue losses are the greatest.
13. Public-Private Worker Training Partnerships. The
Subcommittee will review whether current law tax incentives are
adequate for providing worker retraining, basic and high-tech
training, and educational opportunities, including an
assessment of successful programs and areas where the tax rules
might be strengthened.
14. Internet Commerce. The Subcommittee will examine tax
issues related to commerce over the Internet.
15. Urban Revitalization and Land Use. The Subcommittee
will continue its review of the impact of tax rules on urban
problems and land use, including effectiveness of the Low
Income Housing Tax Credit, the Work Opportunity Tax Credit, and
EZ/EC programs, Brownfields, as well as urban sprawl issues.
16. Global Warming. The Subcommittee will review the
adequacy of current law tax incentives in encouraging global
climate change research to follow up on the full Committee's
hearing on the fiscal year 2000 budget.
17. Penalty and Interest Reform. The latest comprehensive
revision of the overall penalty structure in the Internal
Revenue Code was enacted as part of the Omnibus Reconciliation
Act of 1989. The IRS Restructuring and Reform Act of 1998
requires the Joint Committee on Taxation and the Treasury
Department to conduct separate studies, due no later than July
22, 1999, reviewing the interest and penalty provisions of the
Code and making recommendations for administrative and
legislative changes. The Subcommittee will review the studies
and assess the recommendations.
18. Taxpayer Information Privacy. The Internal Revenue Code
prohibits disclosure of tax returns and taxpayer information,
except as specifically authorized by the Code. These provisions
have been amended in a piecemeal fashion since a major revision
in 1976. The IRS Restructuring and Reform Act of 1998 requires
the Joint Committee on Taxation and the Treasury Department to
conduct separate studies, due no later than January 22, 2000,
on provisions regarding taxpayer confidentiality. The
Subcommittee will review the reports when they are issued.
19. Field Investigations and Hearings. The Subcommittee
will conduct such field investigations and hearings as
Committee staffing and budget resources permit, and as are
necessary for purposes of evaluating the effectiveness of and
compliance with the programs and laws under the jurisdiction of
the Committee on Ways and Means.

SUBCOMMITTEE ON TRADE

1. African Growth and Opportunity Act. The Subcommittee
will hold a hearing on February 3 to consider the U.S. trade
relationship with Africa and legislation recently introduced by
Chairman Crane, Mr. Rangel, and Mr. McDermott.
2. Bilateral, Regional, and Multilateral Trade
Negotiations. The Subcommittee will hold a series of hearings,
beginning in February, concerning the content and strategy of
trade negotiations in which the United States is participating,
including the World Trade Organization Ministerial Meeting to
be held in Seattle, the Asia Pacific Economic Cooperation
Forum, and the negotiations on the Free Trade of the Americas
Agreement. In addition, the Subcommittee will examine the
prospects for further bilateral trade negotiations, including
Europe, Chile, New Zealand, Australia, Singapore, and others.
The Subcommittee will address the identification of U.S.
priority negotiating objectives for these negotiations. The
Subcommittee also intends to analyze the relationship of such
negotiations to trade negotiating authority (``fast track''),
particularly whether the United States is disadvantaged in
these negotiations without having such authority in place.
Finally, the Subcommittee will study the impact that trade
agreements have on U.S. companies, farmers, workers, and
others.
3. Steel Trade. The Subcommittee, with the participation of
interested members of the Oversight Subcommittee, will hold a
hearing in early March to address the recent increase in
imports of steel including its causes and its effects on U.S.
companies and workers. In addition, the Subcommittee will
examine legislative and other proposals regarding steel in
order to determine their consistency with the letter and spirit
of the WTO, their impact on trade practices of U.S. trading
partners, and their effect on the U.S. steel industry, its
workers, U.S. consumers, U.S. exporters, and U.S. industrial
users.
4. Authorizations for USTR, Customs, and the International
Trade Commission. In March, the Subcommittee will hold a
hearing to consider biannual authorizations of these agencies,
as provided by statute; the Subcommittee also reviews annually
the parts of the budgets of other agencies that have functions
within Ways and Means oversight jurisdiction, such as the
Commerce Department, State Department (payments to
international organizations), etc.
5. Customs Automation and the International Trade Data
System (ITDS). In March, in cooperation with the Oversight
Subcommittee, the Subcommittee will hold a hearing both on
Customs automation efforts and on the ITDS, a program that
theAdministration is proposing to serve as a single point of
interaction between the U.S. Government and the trade community for the
collection of revenue, including duties, related to international trade
activities and information required by U.S. trade laws.
6. Trade Remedies. The Subcommittee will hold a hearing in
the spring to review the application of the new Commerce
antidumping and countervailing duty regulations and to review
application of ``sunset'' procedures. In addition, the
Subcommittee will focus on how the antidumping, countervailing
duty, and safeguard laws benefit particular industries and will
address the consistency of remedies with WTO obligations.
Finally, the Subcommittee will also continue to review the
effect of antidumping orders on downstream users, especially
the lack of availability to users of products subject to these
orders.
7. The World Trade Organization (WTO). Between now and
November, the Subcommittee intends to hold a hearing and a
series of consultations with the Administration on U.S.
objectives for the WTO Ministerial meeting, which will be
hosted by the United States. The Subcommittee and Committee
expect to develop a U.S. agenda for the Ministerial together
with the Administration through the process of consultations
noted. Particular focus will be paid to areas in which the WTO
needs to be deepened, broadened or improved, including with
respect to next steps in agricultural trade, services trade,
industrial tariffs, TRIPS, and addressing informal barriers to
trade. The Subcommittee will also continually review ongoing
trade negotiations within the WTO, including negotiations of
accessions (particularly China and Russia). The Subcommittee
will also examine the WTO dispute resolution system in order to
assess the formal WTO review of the system and issues relating
to the operation of the system in cases of interest to the
United States. Finally, the Subcommittee will focus on the
operation of key agreements in areas of greatest interest to
the United States.
8. Unilateral Trade Sanctions. The Subcommittee intends to
continue its review of the use of unilateral trade sanctions to
enforce non-trade goals and whether a process should be
established with guidelines for the use of such sanctions.
9. Trade Deficit Review Commission. The Subcommittee will
review the findings of the Trade Deficit Review Commission and
study the impact of the current account deficit on the U.S.
economy.
10. Caribbean Basin Trade Security Act. Particularly in
light of the severe devastation and economic dislocation
wrought on Central America as a result of recent hurricanes,
the Subcommittee intends to continue its oversight concerning
efforts to achieve NAFTA parity for the nations of the
Caribbean Basin.
11. Customs drug interdiction efforts. In cooperation with
the Oversight Subcommittee, the Subcommittee will review
Customs' current drug interdiction efforts to analyze their
effectiveness and impact on business facilitation functions;
determine whether additional authorizations are appropriate for
drug interdiction efforts; study whether rotation policy should
be changed to improve interdiction efforts; examine the impact
of collective bargaining agreements and union grievances on
drug interdiction efforts.
12. Extension of the GSP program. The current program of
tariff assistance to developing countries will expire on July
1, 1999. The Subcommittee will likely consider whether it
should be renewed for short time periods (and paid for under
the budget rules) or for a longer duration.
13. China's normal trade relations (NTR) status. The annual
renewal process of China's NTR status under the Jackson-Vanik
provisions of law begin each June with a Presidential
determination of what the status should be for the upcoming
year. The Subcommittee will examine the President's
determinations in 1999 and 2000.
14. Trade relations with Europe. The Subcommittee will
review implementation by Europe of WTO panel rulings (bananas
and beef hormones); review negotiations with Europe as part of
the Transatlantic Economic Partnership and the Transatlantic
Business Dialogue.
15. Trade Relations with Japan. The Subcommittee will
continue its oversight of U.S.-Japan trade relations,
including: (1) operation of sectoral bilateral agreements (in
particular, the U.S.-Japan bilateral agreement on insurance);
(2) U.S.-Japan trade relations under the Uruguay Round
agreements; (3) ability of WTO rules and dispute procedures to
address opaque forms of protection still operating in Japan's
market; and (4) importance of deregulation and market access in
Japan to hastening recovery of Asia from its financial crisis.
16. Normal Trade Relations with the Kyrgyz Republic. The
Subcommittee will examine whether to authorize the President to
determine that the Jackson-Vanik amendment to title IV of the
Trade Act of 1974 should no longer apply to the Kyrgyz Republic
and to extend unconditional normal trade relations to that
country.
17. Normal Trade Relations with the Lao People's Democratic
Republic. Subcommittee will consider whether to extend normal
trade relations to the Lao People's Democratic Republic upon
publication of a Federal Register notice that a bilateral
commercial agreement between the United States and the Lao
People's Democratic Republic has entered into force.
18. Jackson-Vanik Waiver for Vietnam. The annual review
process of Vietnam's Jackson-Vanik waiver will begin in June
with a Presidential determination of what that country's status
should be for the upcoming year. If a resolution of disapproval
is introduced with respect to the President's determination,
the Subcommittee will consider that issue. In addition, the
Subcommittee will review the status of the ongoing bilateral
commercial agreement negotiations with Vietnam, which must be
concluded and the results approved by Congress before an
extension of normal trade relations to Vietnam can take place.
19. Trade Adjustment Assistance (TAA). The Subcommittee
will consider whether an extension of the general TAA programs
for workers and firms, as well as the NAFTA-related TAA
programs, is appropriate beyond the current expiration on June
30, 1999. In this context, the Subcommittee may also consider
ways in which trade adjustment assistance programs can be
improved to ensure that they are as effective as possible in
enabling workers and firms to adjust rapidly to dynamic
economic changes that occur as a result of the increasing
importance of trade to the U.S. economy.
20. Rules of origin and country of origin marking. The
Subcommittee will review and continue to consult with the
Administration and the trade community on the status of the
rules of origin negotiations underway in the World Customs
Organization; updating rules of origin and country of origin
marking to implement those negotiations so they reflect current
business production, sales, and distribution practices; review
whether U.S. law and practices are effective in preventing
unlawful transshipment; review labeling requirements of U.S.
trading partners with respect to meat and fresh produce.
21. Miscellaneous reforms of U.S. Customs laws and
practices. In cooperation with the Oversight Subcommittee, the
Subcommittee will continue its oversight and review of customs
laws, regulations and practices to ensure that they are not
creating an unnecessary burden and cost to U.S. users
(including turn-around time for ruling letter and decisions
relating to detained and seized merchandise); reform overtime
and premium pay for Customs inspectors; verification of Customs
operational enhancement; review the r services provided; and
conduct oversight hearings of Customs on various issues
including Customs progress in implementing regulations and
Customs practices under the Customs Modernization Act. In
addition, the Subcommittee will work closely with the Senate
Committee on Finance in its oversight efforts.

SUBCOMMITTEE ON HEALTH

1. Management of the Health Care Financing Administration.
The Subcommittee will hold a hearing on February 11th to
examine and evaluate the management of the Health Care
Financing Administration (HCFA).
2. MedPAC Report and Recommendations. The Subcommittee will
hold a hearing on the Medicare Payment Advisory Committee's
(MedPAC's) 1999 recommendations to Congress regarding Medicare
policies. Each year, MedPAC's panel of health care experts
provides recommendations to Congress and its Committees with
jurisdiction over the program.
3. Medicare+Choice Program. The Subcommittee will hold a
hearing in March to examine the Administration's implementation
of the Medicare+Choice program. In particular, the Subcommittee
will examine the risk adjuster, the payment rates, the timing
of the plans applications, and the impact of the regulations on
plan participation.
4. Health Care Costs and the Uninsured. The Subcommittee
will hold a hearing in March to examine health care costs and
the uninsured. In particular, the hearing will examine the
factors affecting health care cost growth and the impact of the
rising costs on premiums and the number of uninsured.
5. Health Care Quality. The Subcommittee will hold a
hearing in early Spring to examine health care quality issues.
The hearing will examine changes in the health care marketplace
reflecting consumer concerns.
6. Graduate Medical Education and Other Special Payments.
The Subcommittee will hold a hearing during the late Spring on
Medicare Graduate Medical Education payments, Disproportionate
Share hospital adjustments and other special payments.
7. Development of Prospective Payment Systems. The
Subcommittee will hold a hearing during late Spring to examine
the Administration's development of several prospective payment
systems. The Balanced Budget Act required the Secretary of
Health and Human Services to move from cost-based reimbursement
to prospective payment systems. The hearing will take a close
look at the progress on these systems.
8. Other Issues. Further hearings will be scheduled as time
permits to examine certain additional aspects of Medicare
program management.

SUBCOMMITTEE ON HUMAN RESOURCES

1. Welfare Reform. The Subcommittee will conduct a series
of hearings to examine the impacts of the 1996 welfare reform
law. The Subcommittee intends to examine the impacts of reform
on female labor force participation, especially among never-
married mothers, as well as the impacts on poverty among all
children and among inner-city children in particular. The
Subcommittee will also examine the coordination between the
welfare-to-work programs being mounted by States and the labor
market services provided by both the U.S. Employment Service
and the various work programsassociated with the Workforce
Investment Act passed by Congress in 1998.
2. Child Care. Given the dramatic movement of welfare
mothers into the work force, child care has become an important
issue in the States. The 1996 welfare reform law substantially
reformed child care, primarily by terminating many disparate
programs and combining most Federal requirements into one
simplified child care program. Total Federal funding to States
was increased by about $4 billion over 6 years. The
Subcommittee will examine whether States are experiencing
problems with the availability, cost, or quality of child care,
focusing especially on whether States are using all the Federal
funds available to them for child care.
3. Child Support Enforcement. One of the most important
provisions of the 1996 welfare reform law was the reform of the
nation's child support enforcement program. Many of these
reforms have now been implemented by States; the Subcommittee
will examine the impacts of these reforms in a series of
hearings. The major reforms under review will be the effects of
the new hire tracking system, the effectiveness of the State
Disbursement Units that handle payments, and the impacts of the
new enforcement tools provided to States. In addition, the
Subcommittee will explore issues of interstate child support
enforcement and the possibility of more involvement of the
private sector in collecting child support.
4. Supplemental Security Income (SSI). For the past several
years, the General Accounting Office has kept the SSI program
on its list of programs at high risk of waste, fraud, and
abuse. The Subcommittee expects to report legislation on this
topic shortly.
5. Child Protection. In November of last year, the
Administration published regulations that outlined a proposed
system of federal oversight of State child protection programs.
The Subcommittee will conduct a hearing on these regulations
and may introduce legislation aimed at strengthening the
regulations. In addition, the Subcommittee will hold hearings
to examine how State child protection programs are financed,
with special attention to whether Federal funds provide States
with adequate flexibility. Finally, the Subcommittee will
conduct a hearing on the problems faced by adolescents who are
aging out of foster care. Several studies have suggested that
these children are at increased risk of unemployment, poverty,
homelessness, and welfare dependency. The Subcommittee will
explore whether States and local governments have developed
good programs to address these problems.
6. Unemployment Insurance. Following up on a hearing
conducted last year, the Subcommittee will conduct a series of
hearings on the nation's unemployment insurance system. Several
issues, including comprehensive reform proposals that would
increase State flexibility in designing and administering the
unemployment insurance program, will be examined in these
hearings.
7. Nonmarital Births. A major goal of the 1996 welfare
reform law was to reduce the incidence of nonmarital births.
The Subcommittee will conduct one or more hearings to study
progress toward the goal of reducing births outside marriage,
especially among teenagers. The Subcommittee will focus special
attention on explanations for the reduction in nonmarital
births in recent years, the first decline in a generation.

Subcommittee On Social Security

1. Social Security Trust Fund solvency issues. The
Subcommittee will hold a series of hearings beginning in
February 1999 to examine various issues affecting the well-
being of individual recipients and the long-term solvency of
the Social Security Trust Funds. In addition, the Subcommittee
will examine specific Social Security reform proposals and the
experiences of other countries in making reforms to their
retirement insurance programs.
2. Disability program reform and oversight. The
Subcommittee will hold an early hearing on the Social Security
Disability Insurance (DI) program reforms designed to assist
individuals with disabilities in returning to the workforce. In
addition, the Subcommittee will conduct several hearings
related to the solvency of the DI program, which is projected
to become insolvent in 2019. The Subcommittee will focus
oversight hearings on: the disability appeals process; SSA
progress in redesigning the disability determination claims
process to cut costs and improve public service; and a
comprehensive review of the purpose, effectiveness, and
progressivity of the disability program as it enters the 21st
century.
3. Social Security Administration (SSA) management of
information technology. The Subcommittee will conduct an
oversight hearing on SSA's year-2000 information systems
readiness, and the status of SSA's efforts to implement its new
modernized information systems infrastructure, to improve its
software development process, and to deliver service over the
Internet.
4. Waste, fraud, and abuse in Social Security programs. The
Subcommittee will conduct oversight to assess the degree of
waste, fraud, and abuse in Social Security programs and to
explore legislative remedies.
5. Use of the Social Security number. The Subcommittee will
examine the use of the Social Security number as an identifier,
including the extent of its use by government and private
entities, and the impact of restricting its use in keeping with
privacy and other concerns.
6. Service delivery. The Subcommittee will continue its
ongoing oversight of SSA's service delivery with particular
focus on plans to address the service needs of aging baby
boomers.
Sincerely,
Bill Archer, Chairman.

B. Actions Taken and Recommendations Made With Respect To Oversight
Plan

Full Committee

1. Hearings to examine Social Security Trust Fund solvency
issues.
Action Taken: On January 21, 1999, the Full Committee held
a hearing to examine several issues raised by Social Security's
long-term insolvency and proposals to preserve Social Security
for the future. Testimony was heard from the Honorable Jack
Kemp, the Reverend Jesse L. Jackson, and Dr. Alicia H. Munnell
of the Boston College Carroll School of Management
On February 11, 1999, the Full Committee held a hearing to
examine Social Security reform in other countries. Testimony
was heard from scholars of foreign public retirement programs
and representatives of selected nations that have made recent
changes to their public pension programs.
On February 23, 1999, the Full Committee held a hearing to
examine the President's Social Security reform framework, which
was outlined in the Budget for Fiscal Year 2000. Testimony was
heard from the Administration, GAO, the Congressional Budget
Office, and a representative from the Committee for a
Responsible Federal Budget.
On June 9-10, 1999, the Full Committee held a hearing to
examine Social Security proposals offered by Members of
Congress that would achieve 75-year solvency as estimated by
the Social Security Administration (SSA). Testimony was heard
from the Deputy Chief Actuary of SSA, Committee Chairman Bill
Archer, Subcommittee Chairman E. Clay Shaw, Jr., and other
Members of Congress who have authored reform plans that are
estimated to restore 75-year solvency.
On October 26, 1999, the Administration submitted
legislation outlining a plan that would extend the solvency of
the Social Security Trust Funds. Rep. Richard Gephardt
introduced the legislation (H.R. 3165, the ``Strengthening
Social Security and Medicare Act of 1999'') on October 28,
1999. The Full Committee held a hearing on November 9, 1999 to
examine the legislation. Testimony was heard from the
Administration, GAO, and the Congressional Budget Office.
2. Y2K Computer Conversion Efforts.
Action taken: The Ways and Means Committee held a hearing
on February 24, 1999, to determine whether Federal agencies
with programs within the Committee's jurisdiction would be able
to renovate their computer systems to avoid problems associated
with the ``Y2K bug'' in order to provide continuous service to
beneficiaries and taxpayers in the year 2000. The Committee
heard testimony from the Social Security Administration, the
Financial Management Service, the Internal Revenue Service
(IRS), the Customs Service, the Health Care Financing
Administration (HCFA), the General Accounting Office and
private sector stakeholders. Subsequent to the hearing,
Subcommittee staff continued to monitor the progress of the
agencies with emphasis on the agencies most likely to
experience difficulty in their conversion efforts: the IRS and
HCFA. On September 15, 1999, the Committee sent a detailed
follow-up letter to each of the agencies to address specific
concerns within the agencies. There were no significant
interruptions in service to beneficiaries or to taxpayers
associated with Y2K compliance.

Subcommittee on Oversight

A. Subcommittee Hearings for 106th Congress
1. Taxpayer Advocate Report.
Action taken: The Subcommittee held a hearing on February
10, 1999, to examine the third annual report of the Internal
Revenue Service (IRS) Taxpayer Advocate to the tax-writing
committees. In this report, which was mandated by the Taxpayer
Bill of Rights 2 (TBOR2), the Taxpayer Advocate identifies
initiatives undertaken to improve taxpayer services and IRS
responsiveness and provides recommendations from the Problem
Resolution Officers in IRS District Offices as to how to
resolve problems which taxpayers experience in their dealings
with the IRS.
2. Steel Trade.
Action taken: Members of the Oversight Subcommittee joined
the Trade Subcommittee in a hearing on February 25, 1999, to
review the President's January Report to Congress on a
Comprehensive Plan for Responding to the Increase in Steel
Imports. The Members also reviewed current tax and trade laws
to determine whether they were adequate in light of increases
in steel imports.
3. Domestic Oil and Gas Industry.
Action taken: The Subcommittee held a hearing on February
25, 1999, to review the current tax laws, including incentives,
to determine whether they are adequate to support the domestic
oil and gas industry during a significant downturn in price.
H.R. 2488, the ``Taxpayer Refund and Relief Act of 1999'' (H.
Rept. 106-289) included provisions to allow net operating
losses from oil and gas properties to be carried back for up to
five years, to modify the small refiner limit for percentage
depletion deductions, and to allow a current deduction for
geophysical and geological costs associated with oil and gas
production. The President vetoed the bill on September 23,
1999.
4. Tax Code Compliance Burden.
Action taken: The Subcommittee held a hearing on May 25,
1999, to examine provisions of the Internal Revenue Code that
are overly complex, subject to frequent errors, or which place
unnecessary compliance burdens on individual taxpayers and
small businesses. The Subcommittee received testimony calling
for the repeal of the individual Alternative Minimum Tax. The
Subcommittee received testimony calling for the repeal of the
Alternative Minimum Tax. H.R. 2488, the ``Financial Freedom Act
of 1999,'' (H. Rept. 106-238) included such a provision. H.R.
2488 was later retitled the ``Taxpayer Refund and Relief Act of
1999.'' The House passed the conference report on H.R. 2488 on
August 5, 1999. The President vetoed the bill on September 23,
1999.
The Subcommittee held a hearing on June 29, 2000, to review
the first Annual Report from the Commissioner of the Internal
Revenue Service on Tax Law Complexity. The annual report was
required by section 4022(a) of the IRS Restructuring and Reform
Act of 1999, P.L. 105-206. Provisions discussed included
simplification of filing definitions, the individual
Alternative Minimum Tax, and estimated taxes.
5(a). IRS Fiscal Year 2000 Budget/1999 Tax Return Filing
Season.
Action taken: The Subcommittee held a hearing on April 13,
1999, to review the IRS' budget request for FY 2000 and the
1999 tax return filing season. The IRS' budget requested $8.2
billion to support its programs and activities in Fiscal Year
2000. H.R. 2490, the Treasury, Postal Service Appropriations
bill for Fiscal Year 2000 (P.L. 106-58) appropriated $8.2
billion for the IRS.
5(b). IRS Fiscal Year 2001 Budget/2000 Tax Return Filing
Season.
Action taken: The Subcommittee held a hearing on March 28,
2000, to review the IRS' budget request for FY 2001 and the
2000 tax return filing season. The IRS budget requested $9.0
billion to support its programs and activities in Fiscal Year
2001. H.R. 4985, the Treasury, Postal Service Appropriations
bill for Fiscal Year 2001, appropriated $8.9 billion for the
IRS. H.R. 4985 was included as part of H.R. 4516, the
Legislative Appropriations bill (H. Rept. 106-796). H.R. 4516
was vetoed by the President on October 30, 2000.
6. Structured Settlements.
Action taken: The Subcommittee held a hearing on March 18,
1999, to review the current tax treatment of structured
settlements under section 130 of the Internal Revenue Code, to
examine the tax consequences of the purchase of structured
settlements, and to review proposals to levy an excise tax on
the purchase of structured settlements. On July 13, 1999,
Chairman Archer and Oversight Subcommittee Chairman Houghton
engaged in a colloquy calling on the interested parties to
settle their differences. As a result, the interested parties
have agreed to a compromise that is reflected in H.R. 5421, the
``Structured Settlement Protection Act.''
7. Pension Policy.
Action taken: The Subcommittee held a hearing on March 23,
1999, to review the operation and effectiveness of the pension
provisions in the tax law. Testimony received at the hearing
helped in the development of H.R. 1002, the ``Comprehensive
Retirement Security and Pension Reform Act,'' which later was
incorporated into H.R. 2488, the ``Financial Freedom Act of
1999,'' H.R. 5542, the ``Taxpayer Relief Act of 2000,'' and the
conference report on the H.R. 2614, the ``Minimum Wage Act of
2000.''
8. Most Serious Management Problems.
Action taken: See activities by Social Security
Subcommittee and Health Subcommittee.
9. Oversight of U.S. Customs Service.
Action taken: The Subcommittee held a hearing on May 20,
1999, to review allegations of racial profiling by customs
inspectors performing personal searches of passengers arriving
in the United States on international flights. Subsequent to
the hearing, the Customs Service (1)implemented a new policy
requiring Customs officers to consult with the local U.S. Attorney's
office when a passenger has been held for more than 8 hours; (2)
implemented a new policy in which Customs lawyers are available around
the clock to advise Customs officers during the search process; (3)
implemented a new policy requiring Customs supervisors to approve all
pat-down searches (other than for weapons), (4) implemented a new
policy requiring Customs supervisors to complete a checklist and review
of every personal search performed; (5) implemented a new policy
requiring a Customs Port Director to approve all searches that involve
moving a person to a medical facility for a medical examination; (6)
overhauled the Customs Personal Search Handbook; (7) instituted
mandatory data collection to gather information on race, gender, age,
citizenship, of all persons searched as well as the reasons for the
search; (8) created a Passenger Data Analysis Unit at Customs
headquarters to review all search data; and (9) instituted new and
recurring training. After implementing these new passenger protections,
the Customs Service conducted 61 percent fewer personal searches in
Fiscal Year 2000 than in Fiscal Year 1999, yet the number of successful
searches increased by 25 percent.
10. International Tax Law.
Action taken: The Subcommittee held a hearing on June 22,
1999, to examine provisions of the current U.S. international
tax regime that are overly complex, subject to frequent errors
by taxpayers and revenue agents, or which place U.S. taxpayers
at a competitive disadvantage in the global marketplace. The
Subcommittee received testimony on two provisions that were
later passed into law during the 106th Congress: (1) a
prohibition on disclosure of advanced pricing agreements and
APA background proposals was included in the conference report
on H.R. 1180, the ``Ticket to Work And Work Incentives
Improvement Act of 1999,'' P.L. 106-170, signed by the
President on December 17, 1999; and (2) equitable treatment for
sales of military property by foreign sales corporations in
H.R. 4986, the ``Foreign Sales Corporation (FCS) Repeal and
Extraterritorial Income Exclusion Act of 2000,'' P.L. 106-519,
signed by the President on November 15, 2000. The Subcommittee
also received testimony on several provisions that were
included in H.R. 2488, the ``Financial Freedom Act of 1999,''
later retitled the ``Taxpayer Refund and Relief Act of 1999.''
The conference report was passed by the House and Senate, but
vetoed by the President on September 23, 1999.
11. Implementation of IRS Restructuring and Reform Act.
Action taken: The Subcommittee held a hearing on July 22,
1999, to review implementation of the IRS Restructuring and
Reform Act of 1998.
12. Public-Private Worker Training Partnerships.
Action taken: The Subcommittee held a hearing on July 1,
1999, to review the operation and effectiveness of the work
opportunity tax credit. Testimony taken at the hearing was
helpful in developing H.R. 2101, the ``Work Opportunity Tax
Credit Reform and Improvement Act of 1999.'' The work
opportunity tax credit was extended until December 31, 2001 in
H.R. 1180, the ``Ticket to Work And Work Incentives Improvement
Act of 1999,'' P.L. 106-170, signed by the President on
December 17, 1999. The House passed an extension of the work
opportunity tax credit through June 30, 2004 on October 26,
2000 in H.R. 5542, the ``Taxpayer Relief Act of 2000,'' which
was later incorporated into H.R. 2614, the conference report on
the ``Minimum Wage Act of 2000,'' which was passed by the House
on October 26, 2000.
13. Internet Commerce.
Action taken: The Subcommittee held a hearing on May 16,
2000, to review the Advisory Commission on Electronic
Commerce's report to Congress and to examine the effects of
State and local, Federal, and international taxes on Internet
access and electronic commerce. At the hearing the Subcommittee
also heard testimony on H.R. 3916, a bill to repeal the Federal
excise tax on telephone and other communications services. The
House and Senate later passed the bill with amendments, and it
was incorporated into H.R. 4516, the legislative branch and
appropriations and Treasury-Postal appropriations for fiscal
year 2001. The legislation was vetoed by the President on
October 30, 2000.
14. Urban Revitalization and Land Use.
Action taken: The Subcommittee held a hearing on September
30, 1999, to examine the impact of Federal tax laws on
environmental conservation and preservation. The conference
report on the ``Minimum Wage Act of 2000,'' H.R. 2614, which
passed the House on October 26, 2000, included modifications to
the expensing of environmental remediation costs.
The Subcommittee held a hearing on March 21, 2000, to
review current tax law incentives to assist distressed
communities and to discuss proposals aimed to extend or
strengthen current law incentives. The conference report on the
``Minimum Wage Act of 2000,'' H.R. 2614, which passed the House
on October 26, 2000, included tax incentives for renewal
communities, extension and expansion of empowerment zone
incentives, a new markets tax credit, improvements in the low-
income housing tax credit, and other community revitalization
provisions.
15. Global Warming.
Action taken: The Subcommittee received testimony on the
Energy Efficiency Technology Act as part of its September 30,
1999, hearing to examine the impact of Federal tax laws on
environmental conservation and preservation.
16. Penalty and Interest Reform.
Action taken: The Subcommittee held a hearing on January
27, 2000, to review the Joint Committee on Taxation's Study of
Present-Law Penalty and Interest Provisions and the Department
of Treasury's Report to the Congress on Penalty and Interest
Provisions of the Internal Revenue Code. The reports were
mandated by section 3801 of the ``IRS Restructuring and Reform
Act of 1998,'' P.L. 105-206. The purpose of the hearing was to
examine the current penalty and interest provisions in the
Internal Revenue Code and to consider recommendations to
improve these provisions. Testimony taken at the hearing helped
in the development of H.R. 4163, the ``Taxpayer Bill of Rights
2000,'' which passed the House on April 11, 2000.
17. Taxpayer Information Privacy.
Action taken: On February 3, 2000, the Committee requested
written comments for the record from all parties interested in
the study and recommendations released on January 28, 2000, by
the Joint Committee on Taxation concerning disclosure of
Federal tax returns and return information. A number of
provisions to strengthen the privacy of taxpayer information
were included in H.R. 4163, the ``Taxpayer Bill of Rights
2000,'' which passed the House on April 11, 2000.
Subcommittee on Trade--Comparison of oversight plan
developed in January 1999 to actual activities of the
Subcommittee during the 106th Congress:
1. U.S.-African Trade Relations and the African Growth and
Opportunity Act.
Action taken: The Subcommittee held a hearing on U.S. trade
relations with sub-Saharan Africa on February 3, 1999, to
consider H.R. 434, introduced by Chairman Crane, Ranking Member
Rangel, and others to strengthen and promote mutually
beneficial trade relations between the United States and
countries in sub-Saharan Africa undertaking political and
economic reform. The legislation passed the House on July 16,
1999, and the Senate passed its version of the bill on November
3, 1999. The conference report on H.R. 434 was passed by the
House on May 4, 2000, and by the Senate on May 11, 2000. H.R.
434 was signed into law by the President on May 18, 2000 (P.L.
106-200).
2. Bilateral, Regional, and Multilateral Trade
Negotiations.
Actions taken: On February 11, 1999, and March 4, 1999, the
Subcommittee held hearings on the Importance of Trade
Negotiations in Expanding Trade and Resisting Protectionism,
which addressed the content and strategy of trade negotiations
in which the United States is participating, including
negotiations on the Free Trade Agreement of the Americas
(FTAA), the Transatlantic Economic Partnership (TEP), and in
the Asia Pacific Economic Cooperation forum (APEC). The
Subcommittee analyzed the relationship of these negotiations to
trade negotiating authority and whether the United States is
disadvantaged by not having such authority in place. The
Subcommittee consulted frequently with the Administration as to
the status of all of these negotiations. Finally, the
Subcommittee requested that GAO conduct a study concerning
efforts by the U.S. government to monitor and enforce existing
trade agreements.
On April 11, 2000, the House suspended the rules and
agreed, by voice vote, to S. Con. Res. 71, which expresses the
sense of the Congress that Miami, Florida, and not a competing
foreign city, should serve as the permanent location for the
Secretariat of the Free Trade Area of the Americas (FTAA)
beginning in 2005.
3. Steel Trade.
Actions taken: The Subcommittee held a hearing on steel
trade issues on February 25, 1999, at which representatives of
the U.S. steel industry, steel workers, and downstream users of
steel products presented their views on the increase in imports
of steel, including its causes and its effects on U.S.
companies and workers. In addition, witnesses testified on U.S.
trade remedy laws, particularly as they related to pending
antidumping and countervailing duty investigations involving
hot rolled steel from Japan, Russia, and Brazil.
4. Biannual Authorizations for the Office of the United
States Trade Representative (USTR), the U.S. Customs Service,
and the International Trade Commission (ITC).
Actions taken: The Subcommittee held a hearing on April 13,
1999 on budget authorizations for USTR, the Customs Service,
and the ITC. At that hearing, the Subcommittee also examined
Customs automation issues--the Automated Commercial System
(ACS), the Automated Commercial Environment (ACE), and the
International Trade Data System (ITDS). In addition, the
Subcommittee examined the impact of Customs rotation policies
and collective bargaining agreements on Customs drug
interdiction efforts. The Subcommittee and Committee later
reported favorably H.R. 1833, which provided budget
authorizations for USTR, the ITC and Customs, and the
legislation passed the House on May 25, 1999. The Senate passed
its own version of the bill, and the bill is awaiting
conference action.
The Subcommittee also requested and received a report from
the General Accounting Office reviewing implementation of the
Customs Modernization Act. In addition, the Subcommittee
requested and received from GAO reviews of Customs user fees
for air and sea passengers, Customs automation access fees, and
themerchandise processing fee. The Subcommittee also requested
and received from GAO a study analyzing the time taken by Customs to
issue rulings. Finally, the Subcommittee has requested from GAO a
review of the design and implementation of the Customs self-inspection
program.
5. Customs Automation and the International Trade Data
System (ITDS).
Actions taken: At its hearing on April 13, 1999 hearing on
budget authorizations for USTR, the Customs Service, and the
ITC, the Subcommittee examined Customs automation issues,
including the Automated Commercial System (ACS), the Automated
Commercial Environment (ACE), and the ITDS. In addition,
Subcommittee requested and received from GAO a review of
Customs automation access fees.
6. U.S. Trade Remedy Laws.
Actions taken: The Subcommittee took testimony on the
effectiveness of U.S. trade remedy laws in responding to unfair
trade practices at its February 25, 1999 hearing on steel trade
issues. The Subcommittee also took testimony on the consistency
under World Trade Organization rules of various proposed
legislative changes to U.S. antidumping, countervailing duty,
and safeguard laws. On September 25, 2000, Chairman Archer
requested the Congressional Budget Office to update its 1998
analysis on the usage of antidumping laws by the United States
and its trading partners. The report will be completed during
the first quarter of 2001.
7. World Trade Organization and Preparation for the WTO
Seattle Ministerial Meeting.
Action taken: On August 5, 1999, the Subcommittee held a
hearing on United States Negotiating Objectives for the WTO
Seattle Ministerial Meeting hosted by the United States in
November 1999. In addition, the Subcommittee held consultations
with Ambassador Barshefsky throughout the year regarding the
development of U.S. negotiating positions for this meeting.
From November 30-December 3, 1999, Chairman Crane led a Ways
and Means Committee delegation of 20 Members to attend the
meeting. The Subcommittee received reports from the General
Accounting Office, as follows: a review of the issues and
agenda to be considered at the WTO Ministerial in Seattle, as
well as the timing for a new round of trade negotiations; a
report on the U.S. experience to date in dispute settlement
system; a report analyzing the terms of China's accession to
the WTO; a report on the amount of exports of goods and
services by small and medium businesses; and a study concerning
efforts by the U.S. government to monitor and enforce trade
existing agreements. The Subcommittee has also requested a
report assessing China's fulfillment of its World Trade
Organization (WTO) obligations once it becomes a member of the
WTO.
On the subject of effective operation of the WTO dispute
settlement mechanism and lack of compliance with WTO panel
decisions, particularly in cases brought by the United States
in disputes with the European Union involving bananas and beef,
the Committee met several times with United States Trade
Representative Charlene Barshefsky.
Sections 124-125 of the Uruguay Round Agreements Act (URAA)
(P.L. 103-465) require the President to submit a special report
on U.S. participation in the WTO every five years from the date
the United States first joined the WTO. The Committee received
the first of these five-year reports on March 2, 2000.
On March 6, 2000, Rep. Ron Paul (R-TX) introduced H.J. Res.
90, which would withdraw Congressional approval of the United
States from the agreements establishing the WTO. On June 8,
2000, the Committee on Ways and Means ordered H.J. Res. 90, a
resolution to withdraw approval of the United States of the
agreements establishing the WTO, reported adversely. On June
21, 2000, H.J. Res. 90 was defeated in the House.
8. Use and Effect of Unilateral Trade Sanctions.
Actions taken: The Subcommittee held a hearing on the use
and effect of unilateral trade sanctions on May 27, 1999.
During the hearing, the Subcommittee examined H.R. 1244, the
``Enhancement of Trade, Security, and Human Rights Through
Sanctions Reform Act,'' legislation introduced by Trade
Subcommittee Chairman Crane to establish a procedural framework
for the consideration of future U.S. unilateral sanctions.
In September 1999, the International Trade Commission
submitted a report to the Committee on Ways and Means,
requested by Chairman Archer, providing an overview and
analysis of the economic impact of U.S. sanctions policy with
respect to India and Pakistan.
On March 15, 2000, pursuant to section 332 of the Trade Act
of 1974, the Committee requested that the ITC conduct by
February 2001 a study of the economic impact of U.S. sanctions
with respect to Cuba.
9. Oversight and Review of the Trade Deficit Review
Commission.
Action taken: The Subcommittee has monitored the formation
of the Commission and work done by the Commission to date. On
November 13, 2000, theWays and Means Committee received the
Commission's report.
10. Hearing on the Caribbean Basin Trade Security Act.
Actions taken: On March 4, 1999, Chairman Crane and
Congressman Rangel introduced H.R. 984, the Caribbean and
Central American Relief and Economic Stabilization Act, which
would grant NAFTA parity to nations in the Caribbean Basin.
Title I of the bill would have amended the Caribbean Basin
Economic Recovery Act (CBERA) to: promote the growth of free
enterprise and economic opportunity in the Caribbean Basin
region; (2) increase trade and investment between the Caribbean
region and the United States; and (3) encourage the
participation of these countries in the Free Trade Area of the
Americas. On March 23, 1999, the Subcommittee held a hearing on
H.R. 984. The Subcommittee approved H.R. 984 by voice vote on
May 18, 1999. The Ways and Means Committee approved H.R. 984,
as amended, by voice vote on June 10, 1999. The conference
report on H.R. 434, the Trade and Development Act of 2000, was
filed on May 4, 2000 (H. Rept. 106-606). The conference
agreement builds on the Caribbean Basin Economic Recovery Act
enacted in 1984 and extends additional trade benefits through
2008. It extends duty-free benefits to several products
categories previously excluded from duty-free treatment under
the CBERA. The House passed the conference report on H.R. 434
by a vote of 309-110 on May 4, 2000. The bill was signed into
law by the President on May 18, 2000 (P.L. 106-200).
11. Oversight and Review of Narcotics Interdiction Efforts
by the U.S. Customs Service.
Actions taken: Throughout its oversight of the Customs
budget, the Subcommittee continued to review the effectiveness
of Customs drug efforts and its impact on trade facilitation.
As a result of this review, the Subcommittee included in H.R.
1833, the authorization legislation for the Customs Service,
additional funding for drug interdiction efforts including
funding for equipment purchases and hiring of additional
customs inspectors, special agents, and canine officers.
12. Reauthorization of the Generalized System of
Preferences.
Actions taken: The Generalized System of Preferences
Program was reauthorized through September 30, 2001, as part of
H.R. 1180, the Ticket to Work and Work Incentives Improvement
Act of 1999 (P.L. 106-170). The Africa Growth and Opportunity
Act, signed into law by the President on May 18, 2000 (P.L.
106-200) extended regular and enhanced GSP benefits through
September 30, 2008, for eligible countries in sub-Saharan
Africa.
13. Normal Trade Relations (NTR) with the People's Republic
of China.
Actions taken: The Subcommittee examined the President's
annual determination to continue China's NTR status in 1999
with a hearing on June 8, 1999. A resolution disapproving the
President's determination, H.J. Res. 57, was reported
unfavorably by the Committee and was defeated by the House on
July 27, 1999.
On February 16, 2000, the Ways and Means Committee held a
hearing focusing on: (1) the opportunities and issues
associated with the entry of China into the WTO, and (2) the
potential benefits of the U.S.-China bilateral trade agreement
for U.S. firms, workers, farmers, ranchers, and other
interested parties. The Committee also received testimony on
how progress of China's accession to the WTO affects the
pending application of Taiwan to join the WTO and the potential
impact on the United States, China, Taiwan, and Hong Kong of
normalized trade relations between the United States and China.
On May 3, 2000, the Ways and Means Committee held a second
hearing on the bilateral trade agreement between the U.S. and
China and the pending accession of China to the World Trade
Organization (WTO). The focus of the hearing was to examine:
(1) the opportunities and issues associated with the entry of
China into the WTO; (2) the potential benefits of the U.S.-
China bilateral trade agreement for U.S. firms, workers,
farmers, ranchers, and other interested parties; and (3) the
current status of negotiations in Geneva for China to accede to
the WTO. The Committee also received testimony on how
normalizing trade relations with China would affect other U.S.
objectives in China and the surrounding region, such as
improved respect for human rights, progress toward
democratization, and enhanced economic and regional security.
On May 15, 2000, Chairman Archer introduced H.R. 4444, to
authorize extension of nondiscriminatory treatment (normal
trade relations treatment) to the People's Republic of China
and to establish a framework for relations between the United
States and the People's Republic of China. On May 17, 2000, the
Ways and Means Committee reported H.R. 4444 to the House, with
an amendment. H.R. 4444 was further amended on the House floor
and passed the House on June 24, 2000.
On June 2, 2000, the President announced his decision to
waive for another year the freedom-of-emigration requirements
in Title IV of the Trade Act of 1974, with respect to China,
thereby continuing China's NTR status between July 1, 2000 and
June 30, 2001. A resolution disapproving the President's
determination was reported unfavorably by the Committee and was
defeated by the House.
H.R. 4444 was signed into law by the President on October
10, 2000 (P.L.106-286). The Ways and Means Committee continues
to monitor the progress China is making in negotiations to join the
WTO.
In March 2000, the Committee received a report from GAO
entitled, China's Membership Status and Normal Trade Relations
Issues, pursuant to an earlier request. On July 31, 2000,
Chairman Archer joined Chairman Roth of the Senate Finance
Committee in requesting GAO to assess China's fulfilment of its
WTO obligations once it becomes a member of the WTO.
14. Trade Relations with the European Union (EU).
Actions taken: On February 11 and March 4, 1999, the
Subcommittee held hearings on the Importance of Trade
Negotiations in Expanding Trade and Resisting Protectionism.
The hearings addressed the content and strategy of trade
negotiations in which the United States is participating,
including U.S./EU negotiations on the Transatlantic Economic
Partnership and the Transatlantic Business Dialogue. The
Subcommittee has also met with U.S. Trade Representative
Charlene Barshefsky and with EU officials on a number of
occasions to discuss EU compliance with WTO panel decisions. In
addition, on September 27, 2000, the Subcommittee requested GAO
to determine whether EU preferential trade agreements are
structured to benefit the EU to the disadvantage of non-
participants.
15. Trade Relations with Japan.
Actions taken: In September 1999 the Subcommittee received
a study from GAO, requested by Chairman Crane, to assess the
implementation of the U.S.-Japan insurance agreements, as well
monitoring and enforcement efforts by the U.S. government.
16. Normal Trade Relations with the Kyrgyz Republic.
Actions taken: The Subcommittee accepted written public
comment from May 12, 1999, through June 11, 1999, on the
extension of unconditional normal trade relations to the Kyrgyz
Republic, which acceded to the World Trade Organization in
December 1998. Legislation authorizing the President to
determine that the Jackson-Vanik amendment to the Trade Act of
1974 should no longer apply to the Kyrgyz Republic and to
extend unconditional normal trade relations to that country was
included in the conference report on H.R. 434, the ``Trade and
Development Act of 2000.'' H.R. 434 was signed into law by the
President on May 18, 2000 (P.L. 106-200).
17. Normal Trade Relations with the Lao People's Democratic
Republic.
Actions taken: The Subcommittee accepted written public
comment from July 29, 1999, through September 10, 1999, on the
extension of unconditional normal trade relations to the Lao
People's Democratic Republic upon the publication of a Federal
Register notice that a bilateral commercial agreement between
the United States and Laos has entered into force.
18. Renewal of Presidential Waiver Under Title IV of the
Trade Act of 1974 with Respect to Vietnam.
Actions taken: The Subcommittee held a hearing on June 17,
1999, on U.S.-Vietnam trade relations, including the
President's renewal of Vietnam's waiver under the Jackson-Vanik
amendment to the Trade Act of 1974. A resolution disapproving
the President's determination, H.J. Res. 58, was reported
adversely by the Committee on July 1, 1999 and was defeated by
the House on August 3, 1999.
The Subcommittee held another hearing on U.S.-Vietnam trade
relations on June 15, 2000, and took testimony on the
President's renewal of Vietnam's annual Jackson-Vanik waiver
and the progress on the negotiation of a bilateral trade
agreement with Vietnam. On June 28, 2000, a resolution
disapproving the President's extension of Vietnam's Jackson-
Vanik waiver, H.J. Res. 99, was reported adversely by the
Committee. H.J. Res. 99 was defeated by the House on July 26,
2000.
19. Reauthorization of the Trade Adjustment Assistance
(TAA) programs.
Actions taken: The general TAA programs for workers and
firms, as well as the NAFTA-related TAA programs, were
reauthorized through September 30, 2001, as part of the
Consolidated Appropriations Act for Fiscal Year 2000 (P.L. 106-
113).
Section 401 of the conference report on H.R. 434, the
``Trade and Development Act of 2000,'' requires the General
Accounting Office to submit a report to Congress on the
efficiency and effectiveness of Federal and State coordination
of employment and retraining activities associated with TAA,
the Job Training Partnership Act, the Workforce Investment Act
of 1998, and unemployment insurance. The report required
pursuant to section 401 is due by February 2001. Section 408 of
the same conference report requires the Secretary of Labor to
submit a report to Congress on the applicability of TAA
programs to agricultural commodity producers. The Secretary of
Labor wrote to Chairman Archer to transmit a copy of the report
required by section 408 on October 26, 2000.
20. Rules of Origin and Country-of-Origin Marking.
Actions taken: The Subcommittee has continued to review and
consult with theAdministration and the trade community on the
status of the rules of origin negotiations underway in the World
Customs Organization (WTO). In addition, the Subcommittee continues to
review whether U.S. law and U.S. Customs enforcement efforts are
effective in preventing unlawful transhipment. The Subcommittee is also
reviewing labeling requirements of U.S. trading partners with respect
to meat, fresh produce, forged hand tools, and genetically modified
products. The Subcommittee accepted written public comment from October
18, 1999, through November 1, 1999, on H.R. 3066, a bill to amend the
Uruguay Round Agreements Act with respect to the rules of origin for
certain textile and apparel products. H.R. 435 (P.L. 106-36) amended
the marking laws (19 U.S.C. 1304) relating to certain silk products.
21. Miscellaneous Reforms of U.S. Customs Laws and
Practices.
Actions taken: The Subcommittee has continued its oversight
and review of Customs laws, regulations, and practices to
ensure that they are not creating an unnecessary burden and
cost to U.S. users. On April 20, 2000, Chairman Crane asked for
public and Administration comment on H.R. 4337, which included
a number of Customs reform procedures. The following three
provisions from the legislation were included in H.R. 4868
(P.L. 106-476): alternative mid-point interest accounting
methodology for underpayment of customs duties and fees;
treatment of certain multiple entries of merchandise as single
entry; and requiring a report on Customs procedures relating to
entry information.
The Subcommittee requested and received a number of reports
related to Customs performance from the General Accounting
Office (GAO) as follows: (1) a report examining the Customs
Service compliance assessment of selected importers; (2) a
report relating the Office of Regulations and Rulings
timeliness in responding to importers' ruling requests in all
categories of rulings; (3) an informal report relating to the
cost basis for the President's FY 2000 budget proposed access
fee for the use of Customs automation system (GAO was unable to
make a determination); (4) a report on cost basis for the
merchandise processing fee (GAO was unable to make a
determination); and (5) a report on costs basis for user fees
for processing air and sea passengers (GAO was unable to make a
determination). Chairman Crane, joined by Archer and Chairmen
Roth, requested that GAO review the design and implementation
of the self-inspection program to determine the extent to which
it will achieve the accountability the Commissioner is seeking.
GAO is expected to complete this report on June 29, 2001.
Subcommittee on Health--Comparison of oversight plan
developed in January 1999 to actual activities of the
Subcommittee during the 106th Congress.
1. Hearing to examine Management of the Health Care
Financing Administration.
Action taken: The Subcommittee hearing was held on February
11, 1999. Testimony taken at the hearing helped form the basis
of legislation considered by the Committee which was included
in H.R. 4680, the ``Medicare Rx 2000 Act.''
2. Hearing to examine MedPAC Report and Recommendations.
Action taken: The Subcommittee hearing was held on March 2,
1999. Testimony taken at the hearing helped form the basis of
legislation considered by the Committee which was included in
H.R. 3075, the ``Balanced Budget Refinement Act of 1999.''
3. Hearing to examine Medicare+Choice Program.
Action taken: The Subcommittee hearing was held on March
18, 1999. Testimony taken at the hearing helped form the basis
of legislation considered by the Committee which was included
in H.R. 3075 and H.R. 4680, and in H.R. 5543, the ``Medicare,
Medicaid and SCHIP Benefits Improvement and Protection Act of
2000.''
4. Hearing to examine Health Care Costs and the Uninsured.
Action taken: The Subcommittee hearing was held on June 15,
1999. Testimony taken at the hearing helped form the basis of
legislation considered by the Committee which was included in
H.R. 2990, the ``Quality Care for the Uninsured Act of 1999.''
5. Hearing to examine Health Care Quality.
Action taken: The Subcommittee hearing was held on February
10, 2000. Testimony taken at the hearing helped form the basis
of legislation considered by the Committee which was included
in H.R. 2990, the ``Quality Care for the Uninsured Act of
1999.''
6. Hearing to examine Graduate Medical Education and Other
Special Payments.
Action taken: The Subcommittee held hearings which
considered these matters on September 22, 1999, and July 25,
2000. Testimony taken at the hearing helped form the basis of
legislation considered by the Committee which was included in
H.R. 3075 and H.R. 5543.
7. Hearing to examine Development of Prospective Payment
Systems.
Action taken: The Subcommittee held hearings which
considered these matters on September 22, 1999, and July 25,
2000. Testimony taken at the hearing helped form the basis of
legislation considered by the Committee which was included in
H.R. 3075 and H.R. 5543.
Subcommittee on Human Resources--Comparison of oversight
plan developed in January 1999 to actual activities of the
Subcommittee during the 106th Congress:
1. Welfare Reform.
Action taken: On April 27, 1999, the Subcommittee held a
hearing on the difficulties faced by unmarried fathers of
children on welfare. Additional testimony on this issue and
draft fatherhood legislation took place at an October 5, 1999
hearing. Witnesses testifying at these hearings included
Administration officials, scholars, and representatives from
fatherhood groups. The Subcommittee proceeded to markup and
pass H.R. 3073, the Fathers Count Act of 1999, on October 13,
1999, with full Committee markup and passage on October 21,
1999. The bill passed in the House on November, 10, 1999 by a
vote of 328 to 93.
The fatherhood provisions of H.R. 3073 were included as
Title V of H.R. 4678, the Child Support Distribution Act of
2000. H.R. 4678 was considered by the Subcommittee on June 27,
2000, and a full Committee markup took place on July 26, 2000.
On September 7, 2000, the bill passed in the House by a vote of
405 to 18.
In addition, the Subcommittee conducted several oversight
hearings on welfare reform. A hearing on the effects of welfare
reform was held on May 27, 1999. Field hearings on welfare
reform were held in Erie, Pennsylvania, on November 15, 1999,
Riviera Beach, Florida, on January 24, 2000, and Baltimore,
Maryland, on February 14, 2000.
2. Child Care.
Action taken: The Subcommittee held a hearing on March 16,
1999, on the Federal resources available for child care. The
hearing examined the President's request for additional
spending for child care programs and how the substantial
reforms in Federal child care programs enacted as part of
welfare reform were working at the State and local level.
Witnesses included a representative from the Administration,
researchers, State policymakers, and child care administrators.
3. Child Support Enforcement.
Action taken: On September 23, 1999, the Subcommittee held
a hearing on oversight of the child support enforcement program
which included testimony from the Administration, directors of
child support programs, judges, and advocates. Legislation to
turn child support collection over to the Internal Revenue
Service, H.R. 1488, was the subject of a hearing on March 16,
2000. Representatives Henry Hyde and Lynn Woolsey, sponsors of
the bill, testified at this hearing. On May 18, 2000, a hearing
on child support reforms including a proposal (H.R. 4469) to
increase the amount of child support going to custodial parents
and children was held. Witnesses included the Administration,
advocacy groups, advocates for local government and private
child support agencies, and State child support administrators.
On June 27, 2000, the Subcommittee ordered H.R. 4678
(introduced as H.R. 4469), the Child Support Distribution Act
of 2000, favorably reported to the full Committee. The full
Committee considered the Subcommittee reported bill and ordered
it favorably reported on July 19, 2000. The House passed H.R.
4678 on September 7, 2000.
4. Supplemental Security Income.
Action taken: The Subcommittee held a hearing on
Supplemental Security Income (SSI) fraud and abuse on February
3, 1999, which included testimony from Members of Congress, the
Administration, and organizations representing citizens with
disabilities and Filipino veterans. On February 10, 1999 the
Subcommittee ordered favorably reported to the full Committee
H.R. 631, the ``SSI Fraud Prevention Act of 1999.'' H.R. 631
was included as Title II of H.R. 1802, the Foster Care
Independence Act of 1999. H.R. 1802 passed the House on July
25, 1999. H.R. 1802 was reintroduced as H.R. 3443 and passed in
the House by unanimous consent on November 18, 1999. On
November 19, 1999, it passed by unanimous consent in the Senate
and was signed into law on December 14, 1999 (P.L. 106-169). In
addition, a joint hearing with the Social Security Subcommittee
on the management of disability cases was held on October 21,
1999. Witnesses included representatives from the Social
Security Administration, the U.S. General Accounting Office,
judges, advocates, and organized labor.
5. Child Protection.
Action taken: On March 9, 1999, a Subcommittee hearing on
the challenges confronting children aging out of the foster
care system was held. Witnesses included the Administration,
young adults who had recently left foster care, State program
directors, and advocates. On April 22, 1999, a hearing on child
protection oversight to examine the adequacy of the newly
established Federal child protection review system was held.
Witnesses included representatives from the Administration,
theCongressional Research Service, State policymakers, and advocacy
groups. H.R. 1802, the Foster Care Independence Act of 1999, as
introduced by Chairman Johnson and Ranking Member Cardin, was the
subject of a May 13, 1999, hearing. Witnesses included Representative
Tom DeLay. The Subcommittee met to markup H.R. 1802 and pass it by
voice on May 20, 1999. This was followed by full Committee markup and
passage on May 26, 1999. H.R. 1802 was considered and passed in the
House on June 25, 1999.
The major provisions of H.R. 1802 were included in H.R.
3443, the Foster Care Independence Act of 1999, that was
introduced November 18, 1999, by Chairman Johnson and Ranking
Member Ben Cardin. Under unanimous consent, H.R. 3443 passed in
the House on November 18, 1999. It passed under unanimous
consent in the Senate on November 19, 1999, and was signed into
law by the President on December 14, 1999 (P.L. 106-169).
Other hearings held by the Subcommittee included a July 20,
1999, hearing on promoting adoption and other permanent
placements, a February 17, 2000, hearing on State child and
family services reviews, and a March 23, 2000, hearing on the
availability of court personnel to decide child protection
cases and the extent of substance abuse among families in the
child protection system. A July 20, 2000, hearing on increasing
State flexibility in use of Federal child protection funds was
followed by an October 3, 2000, hearing on a bill introduced by
Chairman Johnson, H.R. 5292, the Flexible Funding for Child
Protection Act of 2000.
6. Unemployment Insurance.
Action taken: On February 29, 2000, and September 7, 2000,
the Subcommittee held hearings on a variety of proposals to
reform and improve the Unemployment Compensation system.
Witnesses from the U.S. Department of Labor, employer groups,
organized labor, and the State administrators testified at
these hearings.
7. Nonmarital Births.
Action taken: Witnesses at a June 29, 1999, Subcommittee
hearing on nonmarital births included advocacy organizations,
scholars, and the senior researcher on this issue from the
National Center for Health Statistics.
Subcommittee on Social Security--Comparison of oversight
plan developed in January 1999 to actual activities of the
Subcommittee during the 106th Congress:
1. Hearings to examine Social Security Trust Fund solvency
issues.
Action taken: The Subcommittee held a series of hearings on
the impacts of the current Social Security system. The first
hearing in the series was held on February 2, 1999 to examine
the effects of the current program on young and future workers.
Testimony was heard from program scholars and policy experts
who discussed the impact on young and future workers if Social
Security reform is delayed and the need to save now to prepare
for their retirement.
The second hearing in the series was held on February 3,
1999 to examine how the current Social Security program
protects women and how these protections can be enhanced.
Testimony was heard from the U.S. General Accounting Office
(GAO), Social Security experts, and organizations interested in
women's retirement security.
The third hearing in the series was held on February 10,
1999 to examine the role of Social Security in reducing poverty
among minorities, surviving families, and individuals with
disabilities. Testimony was heard from GAO and various
organizations representing interested groups.
In addition to this series, the Subcommittee held other
hearings to examine Trust Fund solvency.
On March 3, 1999, the Subcommittee held a hearing to
examine the effects of investing Social Security trust funds in
the private markets. Testimony regarding the differences
between government investing and individual investing was heard
from the Administration and from several Social Security and
financial experts.
On March 25, 1999, the Subcommittee held a hearing on the
goals of the Social Security program and the criteria for
assessing reform proposals. Testimony was heard from the
Administration, GAO, and Social Security experts.
On April 15, 1999, the Subcommittee held a hearing to
examine the findings of the 1999 Annual Report of the Board of
Trustees on the financial status of the Social Security Trust
Funds. Testimony was heard from the public representatives on
the Board of Trustees who testified that the Social Security
Trust Funds are expected to be depleted by 2034 under
intermediate assumptions about economic and demographic
variables.
On April 6, 2000, the public representatives of the Board
of Trustees testified before the Subcommittee regarding the
findings of the 2000 Annual Report of the Board of Trustees.
They testified that the date of depletion of the Social
Security Trust Funds was extended from 2034 to 2037, mainly
because of improvements in economic growth.
On September 21, 2000 the Subcommittee held a hearing to
examine the global aging crisis and the effects of global aging
on public pension systems in other industrialized countries.
Testimony was heard from Social Security and financial experts,
including participants of the Global Aging Initiative of the
Center for Strategic and International Studies.
2. Hearings to examine disability program reform and
oversight.
Action taken: On March 11, 1999, the Subcommittee held a
hearing to examine barriers preventing disability beneficiaries
from returning to work. Testimony was heard from Disability
Insurance program experts, representatives of organizations
that promote the self-sufficiency of individuals with
disabilities, service providers who assist return-to-work
efforts, and consumers and potential consumers of those
services. Witnesses offered recommendations for changes to the
law that would remove existing barriers. Testimony from this
and previous hearings on the topic formed the basis of H.R.
3070, the ``Ticket to Work and Work Incentives Improvement Act
of 1999,'' introduced by Subcommittee Member Kenny Hulshof. The
Full Committee ordered favorably reported H.R. 3070, as
amended, on October 14, 1999 (H. Rept. 106-393, Part 1). A
similar version of the bill, H.R. 1180, introduced by Rep. Rick
Lazio, passed the House on October 19, 1999 and was signed into
law on December 17, 1999 (P.L. 106-170).
On October 21, 1999, the Subcommittee held a joint hearing
with the Subcommittee on Human Resources to examine SSA's
management of disability caseloads. Testimony was heard from
SSA, GAO, organizations representing disability examiners,
Social Security caseworkers and applicants, and disability
beneficiaries.
On March 23, 2000, the Subcommittee held a hearing to
examine work incentives in the Social Security Disability
Insurance (SSDI) program for individuals who are blind and for
those with other disabilities. Testimony was heard from policy
experts, advocates for blind and disabled individuals, and
affected beneficiaries. Witnesses focused their testimonies on
the substantial gainful activity level used to determine
initial and continuing eligibility for SSDI benefits. The
``Ticket to Work and Work Incentives Improvement Act'' (P.L.
106-170), which was signed into law on December 17, 1999,
authorizes SSA to conduct a demonstration project regarding the
effect of reducing benefits by $1 for every $2 of earnings in
excess of the substantial gainful activity level. The law also
authorizes the SSA and GAO to study work incentives for
recipients of disability benefits.
On July 13, 2000, the Subcommittee held a hearing to
examine the challenges facing the SSDI and Supplemental
Security Income (SSI) programs in the 21st century. Testimony
was heard from GAO, disability experts, and advocates for
people with disabilities. Witnesses discussed the
characteristics of people with severe disabilities, the
supports needed to achieve independence, and changes made
within foreign and private-sector disability systems to meet
the changing needs of people with disabilities.
3. Hearings to examine Social Security Administration
management of information technology.
Action taken: On July 29, 1999, the Subcommittee held a
hearing to examine SSA's readiness for the Year 2000 and other
information technology issues. Testimony was heard from SSA and
GAO, which has examined Social Security information technology
systems.
The Subcommittee also held a series of hearings to examine
Social Security's readiness for the impending wave of Baby Boom
retirees. The first hearing in the series was held on February
10, 2000 with the Subcommittee on Human Resources. The second
hearing was held on March 16, 2000. Testimony was heard from
SSA, GAO, service delivery experts, management and employee
representatives, and advocates for beneficiaries. Witnesses
testified about current and future service delivery challenges
that SSA is facing in the 21st Century and what the agency is
doing to prepare for those challenges. The agency's information
technology initiatives and future needs were discussed at the
hearing. On October 11, 2000, Subcommittee Chairman E. Clay
Shaw, Jr. introduced H.R. 5447, the ``Social Security
Administration Preparedness Act of 2000'' to ease budgetary
rules, making it easier for the agency to receive
administrative resources to prepare for future service delivery
challenges and to invest in technology initiatives.
4. Hearings to examine waste, fraud, and abuse in Social
Security programs.
On March 30, 2000, the Subcommittee held a hearing to
examine SSA's program integrity activities designed to prevent
waste, fraud and abuse in the Social Security program.
Testimony was heard from the Deputy Commissioner of Social
Security and the Social Security Inspector General.
On May 4, 2000, the Subcommittee held a hearing to examine
Social Security representative payees who are hired to manage
the monthly benefit payments of some Social Security and SSI
beneficiaries. Testimony was heard from SSA, the Social
Security Inspector General, and organizations that serve as
representative payees. Witnesses discussed the current
eligibility requirements for representative payees, SSA's
oversight systems, instances in which those systems failed to
protect beneficiaries from fraud and abuse, and suggestions for
improving beneficiary protections. On November 13, Subcommittee
Chairman E. Clay Shaw, Jr. introducedH.R. 4857, the ``Social
Security Number Privacy and Identity Theft Prevention Act of 2000.''
The bill includes several provisions to strengthen eligibility
requirements for representative payees, enhance oversight, and protect
Social Security and SSI beneficiaries who rely on representative
payees. H.R. 4857 was ordered favorably reported by the Subcommittee
and the Full Committee on July 20, 2000 and September 28, 2000,
respectively. No action was taken by the House or Senate.
5. Hearings to examine use of the Social Security number.
Action taken: On May 9 and 11, 2000, the Subcommittee held
a two-day hearing regarding the use and misuse of the Social
Security number (SSN). On the first day of the hearing,
testimony was heard from GAO, the Social Security Inspector
General, and identity theft victims. On the second day of the
hearing, testimony was heard from Members of Congress who have
introduced SSN privacy legislation, consumer privacy advocates,
and representatives from industries who would be affected if
SSN use were limited.
On July 17, 2000, the Subcommittee held a field hearing in
Delray Beach, Florida on protecting privacy and preventing SSN
misuse. Testimony was heard from identity theft victims, law
enforcement officials, State government officials, and private
investigators.
In response to information gathered at these hearings,
Subcommittee Chairman E. Clay Shaw, Jr., introduced H.R. 4857,
the ``Social Security Number Privacy and Identity Theft
Prevention Act of 2000.'' The Subcommittee ordered the bill
favorably reported on July 20, 2000, and the Full Committee
ordered the bill favorably reported September 28, 2000. No
action was taken by the House or the Senate.
6. Hearings on SSA's service delivery.
Action taken: The Subcommittee held a series of hearings to
examine SSA's readiness for the impending wave of Baby Boomer
beneficiaries. The first hearing in the series was held on
February 10, 2000 with the Subcommittee on Human Resources. The
hearing examined current and future service delivery challenges
that SSA is facing in the 21st Century. Testimony was heard
from members of the Social Security Advisory Board, which
released a report on the topic identifying several impending
challenges. Testimony was also heard from GAO and service
delivery experts.
The second hearing in the series was held on March 16, 2000
to examine what SSA is doing to prepare for future challenges.
Testimony was heard from the Commissioner of Social Security,
Social Security management and employee representatives, and
advocates for Social Security and SSI recipients.
In response to this series of hearings, Subcommittee
Chairman E. Clay Shaw, Jr. introduced H.R. 5447, the ``Social
Security Administration Preparedness Act of 2000,'' on October
11, 2000. The bill eases budgetary rules applying to SSA's
administrative budget, making it easier for the agency to
receive the resources it needs to address future service
delivery challenges.
On June 14, 2000, the Subcommittee held a hearing on SSA's
processing of fees for attorneys who represent Social Security
claimants. Testimony was heard from GAO, SSA, and individuals
affected by the processing procedures. On June 9, 2000,
Subcommittee Chairman E. Clay Shaw, Jr. introduced H.R. 4633 to
improve SSA's payment system for attorneys.
On September 26, 2000, the Subcommittee held a hearing to
examine the quality of the notices which SSA sends to the
public and action taken by the agency to improve the notices.
Testimony was heard from SSA and GAO. In 1994, GAO reported
that SSA's letters to the public were often difficult to
understand, lacked essential details, presented information in
an illogical order, and required complex analysis to understand
how benefit adjustments had been made. Chairman Shaw had asked
GAO to assess SSA's progress in improving its letters. GAO
presented its findings at the hearing.

C. Additional Oversight Activities and Any Recommendation or Actions
Taken

1. ADDITIONAL OVERSIGHT ACTIVITIES OF THE TRADE SUBCOMMITTEE

In addition to the oversight activities detailed above with
respect to the Committee's oversight plan, the Subcommittee
held hearing on September 13, 2000 to examine issues related to
trade in African conflict diamonds.
On February 24, 2000, a WTO Appellate Body, over the
objections of the United States, upheld the finding of a WTO
dispute settlement panel that had found that the Foreign Sales
Corporation (FSC) provisions of sections 921 through 927 of the
Internal Revenue Code constitute a prohibited export subsidy
under the WTO Agreement on Subsidies and Countervailing
Measures and under the Agreement on Agriculture. H.R. 4986, to
amend the Internal Revenue Code of 1986 to repeal the
provisions relating to foreign sales corporations (FSCs) and to
exclude extraterritorial income from gross income, was signed
into law on November 16, 2000. In developing this legislation,
the Committee consulted heavily with the Administration and all
parties affected.
The Subcommittee also requested written public comment
concerning theextension of unconditional normal trade relations
with Albania, Armenia, Georgia, and Moldova.
The Subcommittee also requested public and Administration
comment concerning hundreds of legislative proposals making
miscellaneous and technical changes to U.S. trade statutes. The
Congress passed, and the President signed into law, two such
omnibus bills during the 106th Congress: P.L. 106-36 and P.L.
106-476.
In January 1999, Chairman Archer led a delegation of
Members to Chile, Venezuela, and Brazil. In April 2000,
Chairman Archer led a delegation of Members to the Czech
Republic, Egypt, and Morocco. The purpose of these trips was to
provide an opportunity for Members to exchange views with
foreign officials and the U.S. business community abroad about
multilateral, regional, and bilateral trade issues.
Finally, the Subcommittee requested and received a number
of reports not listed in its oversight plans, as follows:
received a report from the International Trade Commission (ITC)
on the competitive conditions of the U.S. piano industry;
received a report from the ITC of the current competitive
conditions affecting the U.S. foundry coke industry with
respect to the role of imports from China in the U.S. market;
received a report from the ITC providing an overview and
analysis of the economic impact of U.S. sanctions policy with
respect to India and Pakistan; received ITC's annual report on
the operation of the U.S. trade agreements; requested a study
by the ITC on the civil aerostructures industry; requested that
the ITC conduct a study of the economic impact of U.S.
sanctions with respect to Cuba; received an ITC report
providing a simplification of the Harmonized Tariff Schedule of
the United States; requested a report from the ITC relating to
pricing of prescription drugs by certain U.S. trading partners;
and requested a report from the ITC on tariff and non-tariff
barriers that impact trade in the processed food and beverage
sectors.

2. ADDITIONAL OVERSIGHT ACTIVITIES OF THE OVERSIGHT SUBCOMMITTEE

1. Joint Hearings to Review Strategic Plans and Budget of
the IRS.
The Ways and Means Committee participated in joint hearings
to review the strategic plans and budget of the IRS on May 25,
1999 and May 3, 2000. The joint hearings were mandated by the
IRS Restructuring and Reform Act of 1998 [P.L. 105-206] and
included two Members from the majority and one Member from the
minority from each of the House Committees on Ways and Means,
Appropriations, and Government Reform and Senate Committees on
Finance, Appropriations, and Governmental Affairs. Oversight
Subcommittee Chairman Houghton, Subcommittee Ranking Minority
Member Coyne, and Subcommittee Member Rob Portman represented
the Committee on Ways and Means.
2. Repeal of the Installment Method of Accounting for
Accrual Basis Taxpayers.
Action taken: The Subcommittee held a hearing on February
29, 2000, to examine the effects of the repeal of the
installment method of accounting for accrual basis taxpayers
and to discuss possible regulatory and legislative solutions.
On March 9, 2000, pursuant to H. Res. 434, the House adopted
H.R. 3832, the ``Small Business Tax Fairness Act of 2000,'' to
amend the Internal Revenue Code to repeal revisions to the Code
(made by the ``Ticket to Work and Work Incentives Improvement
Act of 1999'') which repealed the use of the installment method
of accounting for accrual method taxpayers and modified the
pledge rules of installment obligations. H.R. 5542, the
``Taxpayer Relief Act of 2000,'' which was later incorporated
into H.R. 2614, the conference report on the ``Minimum Wage Act
of 2000,'' also repealed the use of the installment method of
accounting for accrual method taxpayers and modified the pledge
rules of installment obligations. The House passed the
conference report on October 26, 2000.
3. Disclosure of Political Activities by Tax-Exempt
Organizations.
Action taken: The Subcommittee held a hearing on June 20,
2000, on proposals for enhanced public disclosure relating to
political activities of tax-exempt organizations. On June 22,
2000, the Committee ordered favorably reported H.R. 4717, the
``Full and Fair Political Disclosure Act of 2000,'' to require
the disclosure of political and lobbying activities by all tax-
exempt organizations permitted to engage in such activities.
H.R. 4762, to amend the Internal Revenue Code of 1986 to
require 527 organizations to disclose their political
activities, subsequently passed the House on June 28 and the
Senate on June 29, 2000, and was signed into law on July 1,
2000 [P.L. 106-230].
4. Transportation Infrastructure.
Action taken: The Subcommittee held a hearing on July 25,
2000, to review the effect of the Internal Revenue Code on
transportation infrastructure. The testimony supported improved
tax treatment of expenditures for transportation infrastructure
such as H.R. 3700, the ``High Speed Rail Investment Act.'' The
conference report on the ``Minimum Wage Act of 2000,'' H.R.
2614, which passed the House on October 26, 2000, by a vote of
237-174, provided for a credit to holders of qualified Amtrak
bonds.
5. Tax Code and New Economy.
Action taken: The Subcommittee held hearings on September
26 and 28, 2000, to examine the cost recovery rules for
physical property, including a review of the Treasury
Department's ``Report to Congress on Depreciation Recovery
Periods and Methods''; the Federal tax treatment of research
and development expenses; and the Federal tax treatment of the
cost of maintaining a skilled workforce. The purpose of the
hearing was to examine whether Federal tax laws have adequately
kept pace with the changes in the economy in the advent of the
information age and to consider possible solutions where they
have not.
6. Stock Options.
Action taken: The Subcommittee held a hearing on October
12, 2000, to examine the Federal tax treatment of employee
stock option plans and to discuss recommendations to expand the
types of stock option plans available to businesses and their
employees.
7. Field Investigations and Hearings.
Action taken: The Subcommittee did not deem it necessary to
hold field hearings during the 106th Congress.

3. additional oversight activities of the human resources subcommittee

In addition to the Subcommittee's oversight activities on
welfare reform and other legislative issues described above, on
March 9, 2000, the Subcommittee held a hearing on the
Unemployment Compensation (UC) system and the Family and
Medical Leave Act. This hearing focused on a proposed rule
issued by the U.S. Department of Labor to allow the use of UC
funds to provide partial wage replacement to parents on leave
following the birth or adoption of a child. A Subcommittee
hearing on maintaining health coverage for families leaving the
Temporary Assistance for Needy Families program for work was
conducted on May 16, 2000. A joint hearing with the Committee
on Education and the Workforce Subcommittee on Postsecondary
Education, Training, and Life-Long Learning was held on June
29, 2000, on One-Stop Job Centers. Witnesses included the U.S.
General Accounting Office, the U.S. Department of Labor, State
workforce boards, and State employment office administrators.

4. additional oversight activities of the health subcommittee

In addition to the activities detailed above, the
Subcommittee on Health continued its investigations into
several matters of importance to the Medicare program. Among
these was a hearing on the Medicare Coverage and Appeals
process as administered by the Health Care Financing
Administration (HCFA), held on April 22, 1999. Testimony taken
from this hearing was instrumental in the formulation of H.R.
2356, the ``Medicare Patient Appeals Act of 1999,'' and H.R.
4680, the ``Medicare Rx 2000 Act,'' as well as H.R. 5543, the
``Medicare, Medicaid, and S-Chip Benefits Improvement and
Protection Act of 2000.'' The Subcommittee also held two
hearings on the subject of the confidentiality of medical
records. The first hearing, held July 20, 1999, examined HCFA's
current administrative procedures for protecting the
confidentiality of health information pertaining to Medicare
beneficiaries that is collected incident to the administration
of Medicare. The second hearing, held February 17, 2000,
examined the Administration's proposed regulation respecting
the confidentiality of health information. Also, the
Subcommittee considered a myriad of potential amendments to the
Balanced Budget Act of 1997 in two separate hearings on October
1, 1999, and July 25, 2000. The testimony at these hearings
helped form the basis of H.R. 5543 and H.R. 3075.
The Subcommittee also had several other hearings of vital
interest to the Medicare program. Among these hearings were a
July 1, 1999, hearing on the topic of Veterans' Subvention and
a February 10, 2000, hearing on the Institute of Medicine
report regarding Medical Errors in the Medicare Program.
During the 106th Congress, the Subcommittee on Health also
held a hearing on May 13, 1999, discussing Medicare ``self-
referral'' laws which helped form the basis for H.R. 2651, the
``Physician Self-Referral Amendments of 1999.'' Additionally,
two hearings were held regarding the topic of prescription drug
coverage under the Medicare program. Held on February 15, 2000,
and May 11, 2000, these hearings helped form the basis for H.R.
4680, the ``Medicare Rx 2000 Act.''

5. additional oversight activities of the social security subcommittee

In addition to the activities detailed above, the Social
Security Subcommittee held a hearing on April 11, 2000 to
examine the Social Security Administration's (SSA) efforts to
inform the public about the Social Security program. Possible
changes to the Social Security statement (which is now sent to
all workers age 25 and older each year) were discussed.
Testimony was heard from Members of Congress, the Commissioner
of Social Security, the U.S. General Accounting Office (GAO),
and program experts.
On June 27, 2000, the Subcommittee held a hearing on the
Government Pension Offset (GPO). Testimony was heard from Rep.
William Jefferson (who has introducedH.R. 1217, a bill that
would reduce the GPO), SSA, the Congressional Budget Office, program
experts, and representatives from Federal and State government employee
associations. Witnesses discussed why the GPO was created, the effect
it has on certain beneficiaries, and the effect of reducing or
eliminating the GPO.
On February 15, 2000, the Subcommittee held a hearing on
improving Social Security work incentives. Testimony was heard
from the Commissioner of Social Security, policy experts who
have studied work disincentives within the Social Security
program (including the retirement earnings test), and seniors
affected by the retirement earnings test. On February 29, 2000,
the Full Committee ordered favorably reported H.R. 5, ``the
Senior Citizens Freedom to Work Act of 2000,'' as amended. The
bill was signed into law on April 7, 2000.
In addition to these hearings, Subcommittee Chairman E.
Clay Shaw, Jr. has requested a GAO study regarding the use
Social Security numbers in the public sector and how that use
can be minimized.

6. additional oversight activities of the full committee

In addition to the activities detailed above, the Full
Committee held a hearing on September 29, 1999 to examine
Treasury's debt buyback proposal. On August 4, 1999, the U.S.
Department of Treasury announced regulations (31 CFR Part 375)
to allow Treasury to buy back outstanding debt before it
matures. Treasury indicated that the prospect of large and
sustained budget surpluses has created a need to examine new
cash and debt management policies. This hearing focused on the
potential costs and benefits of Treasury's debt buyback
proposal and the effect such a proposal would have on the
budget. In addition, the hearing explored Treasury's debt
management goals and the policy issues posed by growing
surpluses. Testimony was heard from the Treasury Department,
the U.S. General Accounting Office, and other experts on
financial markets and debt management.

Appendix I. Jurisdiction of the Committee on Ways and Means

A. U.S. Constitution

Article I, section 7, of the Constitution of the United
States provides as follows:
All Bills for raising Revenue shall originate in the House
of Representatives; but the Senate may propose or concur with
Amendments as on other Bills.
In addition, Article I, Section 8, Constitution of the
United States provides the following:

The Congress shall have Power To lay and collect
Taxes, Duties, Imports and Excises, to pay the Debts
and * * * To borrow Money on the credit of the United
States.

B. Rule X, Clause 1, Rules of the House of Representatives

Rule X, clause 1(s), of the Rules of the House of
Representatives, in effect during the 106th Congress, provides
for the jurisdiction of the Committee on Ways and Means, as
follows:

(s) Committee on Ways and Means.
(1) Customs, collection districts, and ports of entry
and delivery.
(2) Reciprocal trade agreements.
(3) Revenue measures generally.
(4) Revenue measures relating to insular possessions.
(5) The bonded debt of the United States, subject to
the last sentence of clause 4(f). [The last sentence of
clause 4(f) requires the Committee on Ways and Means to
include in its annual report to the Committee on the
Budget a specific recommendation, made after holding
public hearings, as to the appropriate level of the
public debt that should be set forth in the concurrent
resolution on the budget and serve as the basis for an
increase or decrease in the statutory limit on such
debt.]
(6) Deposit of public monies.
(7) Transportation of dutiable goods.
(8) Tax exempt foundations and charitable trusts.
(9) National Social Security (except health care and
facilities programs that are supported from general
revenues as opposed to payroll deductions and except
work incentive programs).

C. Brief Description of Committee's Jurisdiction

The foregoing recitation of the provisions of House Rule X,
clause 1, paragraph (s), does not convey the comprehensive
nature of the jurisdiction of the Committee on Ways and Means.
The following summary provides a more complete description:
(1) Federal revenue measures generally.--The Committee on
Ways and Means has the responsibility for raising the revenue
required to finance the Federal Government. This includes
individual and corporate income taxes, excise taxes, estate
taxes, gift taxes, and other miscellaneous taxes.
(2) The bonded debt of the United States.--The Committee on
Ways and Means has jurisdiction over the authority of the
Federal Government to borrow money. Title 31 of Chapter 31 of
the U.S. Code authorizes the Secretary of the Treasury to
conduct any necessary public borrowing subject to a maximum
limit on the amount of borrowing outstanding at any one time.
This statutory limit on the amount of public debt (``the debt
ceiling'') currently is $5.95 trillion. The committee's
jurisdiction also includes conditions under which the
Department of the Treasury manages the Federal debt, such as
restrictions on the conditions under which certain debt
instruments are sold.
(3) National Social Security programs.--The Committee on
Ways and Means has jurisdiction over most of the programs
authorized by the Social Security Act, which includes not only
those programs that are normally referred to colloquially as
``Social Security'' but also social insurance programs and a
whole series of grant-in-aid programs to State governments for
a variety of purposes. The Social Security Act, as amended,
contains 20 titles (a few of which have either expired or have
been repealed). The principal programs established by the
Social Security Act and under the jurisdiction of the Committee
on Ways and Means in the 106th Congress can be outlined as
follows:
(a) Old-age, survivors, and disability insurance
(title II)--At present, there are approximately 154
million workers in employment covered by the program,
and as of December 1999, $386 billion in benefits were
being paid annually to 45 million individuals.
(b) Medicare (title XVIII)--Provides hospital
insurance benefits to 33.6 million persons over the age
of 65 and to 5.3 million disabled persons. Voluntary
supplementary medical insurance is provided to 32.4
million aged persons and 4.6 million disabled persons.
Total program outlays under these programs were $212
billion in fiscal year 1999.
(c) Supplemental security income (title XVI)--The SSI
program was inaugurated in January 1974 under the
provisions of Public Law 92-603, as amended. It
replaced the former Federal-State programs for the
needy aged, blind, and disabled. In 1999, 6.6 million
persons received federally administered benefits under
the SSI program. Of these 6.6 million persons,
approximately 1.3 million received benefits on the
basis of age, and 5.2 million on the basis of blindness
or disability. Total federally administered payments
during fiscal year 1999 amounted to approximately $30.9
billion, of which $26.8 billion were basic Federal
benefits and $3.3 billion were federally administered
State supplements to the payments.
(d) Temporary Assistance for Needy Families (TANF)
(part A of title IV)--The TANF program is a block grant
of about $16.5 billion dollars awarded to states to
provide income assistance to poor families, to end
dependency on welfare benefits, to prevent nonmarital
births, and to encourage marriage. TANF also includes
incentive funds for states that achieve the overall
program goals and additional incentive funds for states
that are successful in reducing nonmarital births. In
most cases, TANF benefits for individuals are limited
to 5 years and individuals must work to maintain their
eligibility. In December of 1999, about 2.4 million
families and 6.3 million individuals received benefits
from the TANF program. In fiscal year 1999, Federal
administrative expenditures totaled $2.7 billion for
the child support enforcement program. Child support
collections for that year totaled $15.8 billion.
(e) Social services (title XX)--Title XX authorizes
the Federal Government to reimburse the States for
money spent to provide persons with various services.
Generally, the specific services provided are
determined by each State. The statutory ceiling on
Federal matching funds available to the States for
fiscal year 2000 was $2.4 billion and $1.8 billion was
appropriated for fiscal year 2000. These funds are
allocated on the basis of population.
(f) Unemployment compensation programs (titles II,
IX, etc.)--These titles include the State unemployment
compensation programs and the permanent extended
benefits program. In fiscal year 2000, an estimated
$21.6 billion was paid in unemployment compensation
benefits, with approximately 7.0 million workers
receiving unemployment benefits.
(g) Child welfare, foster care and adoption
assistance (parts B and E of title IV)--Provides funds
to States for child welfare services, for abused and
neglected children; foster care for AFDC children and
adoption assistance for children with special needs. In
fiscal year 2000, Federal expenditures for child
welfare services totaled $292 million. Federal
expenditures for foster care were approximately $4.5
billion.
(4) Trade and tariff legislation.--The Committee on Ways
and Means has responsibility over legislation relating to
tariffs, import trade, and trade negotiations. In the early
days of the Republic, tariff and customs receipts were major
sources of revenue for the Federal Government. As the committee
with jurisdiction over revenue-raising measures, the Committee
on Ways and Means thus evolved as the primary committee
responsible for international trade policy.
The Constitution vests the power to levy tariffs and to
regulate international commerce specifically in the Congress as
one of its enumerated powers. Any authority to regulate imports
or to negotiate trade agreements must therefore be delegated to
the executive branch through legislative action. Statutes
including the Reciprocal Trade Agreements Acts beginning in
1934, the Trade Expansion Act of 1962, the Trade Act of 1974,
the Trade Agreements Act of 1979, the Trade and Tariff Act of
1984, the Omnibus Trade and Competitiveness Act of 1988, the
North American Free Trade Agreement Implementation Act, and the
Uruguay Round Agreements Act provide the basis for U.S.
bargaining with other countries to achieve the mutual reduction
of tariff and nontariff trade barriers under reciprocal trade
agreements.
The committee's jurisdiction includes the following
authorities and programs:
(a) The tariff schedules and all tariff preference
programs, such as the Generalized System of Preferences
and the Caribbean Basin Initiative;
(b) Laws dealing with unfair trade practices,
including the antidumping law, countervailing duty law,
section 301, and section 337;
(c) Other laws dealing with import trade, including
section 201 (escape clause), section 232 national
security controls, section 22 agricultural
restrictions, international commodity agreements,
textile restrictions under section 204, and any other
restrictions or sanctions affecting imports;
(d) General and specific trade negotiating authority,
as well as implementing authority for trade agreements
and the grant of normal-trade-relations (NTR) status;
(e) General and NAFTA-related trade adjustment
assistance programs for workers, and trade adjustment
assistance for firms;
(f) Customs administration and enforcement, including
rules of origin and country of origin marking, customs
classification, customs valuation, customs user fees,
and U.S. participation in the World Customs
Organization (WCO);
(g) Authorization of the budget for the U.S.
International Trade Commission (ITC), the U.S. Customs
Service, and the Office of the U.S. Trade
Representative (USTR).

D. Revenue Originating Prerogative of the House of Representatives

The Constitutional Convention debated adopting the British
model in which the House of Lords could not amend revenue
legislation sent to it from the House of Commons. Eventually,
however, the Convention proposed and the States later ratified
the Constitution providing that ``All bills for raising revenue
shall originate in the House of Representatives, but the Senate
may propose or concur with amendments as on other bills.''
(Article 1, Section 7, clause 1.)
In order to pass constitutional scrutiny under this
``origination clause,'' a tax bill must be passed first by the
House of Representatives. After the House has completed action
on a bill and approved it by a majority vote, the bill is
transmitted to the Senate for formal action. The Senate may
have already reviewed issues raised by the bill before its
transmission. For example, the Senate Committee on Finance
frequently holds hearings on tax legislative proposals before
the legislation embodying those proposals is transmitted from
the House of Representatives. On occasion, the Senate will
consider a revenue bill in the form of a Senate or ``S.'' bill,
and then await passage of a revenue (``H.R.'') bill from the
House. The Senate then will add or substitute provisions of the
``S.'' bill as an amendment to the ``H.R.'' bill and send the
``H.R.'' bill back to the House of Representatives for its
concurrence or for conference on the differing provisions.

E. The House's Exercise of its Constitutional Prerogative: ``Blue-
Slipping''

When a Senate bill or amendment to a House bill infringes
on the constitutional prerogative of the House to originate
revenue measures, that infringement may be raised in the House
as a matter of privilege. That privilege has also been asserted
on a Senate amendment to a House amendment to a Senate bill
(see 96th Congress, 1st Session, November 8, 1979,
Congressional Record p H10425).
Note that the House in its sole discretion may determine
that legislation passed by the Senate infringes on its
prerogative to originate revenue legislation. In the absence of
such determination by the House, the Federal courts are
occasionally asked to rule a certain revenue measure to be
unconstitutional as not having originated in the House (see
U.S. v. Munoz-Flores, 495 U.S. 385 (1990)).
Senate bills or amendments to nonrevenue bills infringe on
the House's prerogative even if they do not raise or reduce
revenue. Such infringements are referred to as ``revenue
affecting.'' Thus, any import ban which could result in lost
customs tariffs must originate in the House (100th Congress,
1st Session, July 30, 1987 100th Congress, 2d Session, June 16,
1988, Congressional Record p. H4356).
Offending bills and amendments are returned to the Senate
through the passage in the House of a House Resolution which
states that the Senate provision: ``in the opinion of the
House, contravenes the first clause of the seventh section of
the first article of the Constitution of the United States and
is an infringement of the privilege of the House and that such
bill be respectfully returned to the Senate with a message
communicating this resolution'' (e.g., 100th Congress, 1st
Session, July 30, 1987, Congressional Record p. H6808) This
practice is referred to as ``blue slipping'' because the
resolution returning the offending bill to the Senate is
printed on blue paper.
In other cases, the Committee of the Whole House has passed
a similar or identical House bill in lieu of a Senate bill or
amendment (e.g., 91st Congress, 2d Congress, May 11, 1970,
Congressional Record pp. H14951-14960). The Committee on Ways
and Means has also reported bills to the House which were
approved and sent to the Senate in lieu of Senate bills (e.g.,
93d Congress, 1st Session, November 6, 1973, Congressional
Record pp. 36006-36008). In other cases, the Senate has
substituted a House bill or delayed action on its own
legislation to await a proper revenue affecting bill or
amendment from the House (see 95th Congress, 2d Session,
September 22, 1978, Congressional Record p. H30960; January 22,
1980, Congressional Record p. S107).
Any Member may offer a resolution seeking to invoke Article
I, Section 7. However, the determination that a bill violates
the Origination Clause has been traditionally made by members
of the Committee on Ways and Means, and the resolution has been
offered by the Chairman or another Member of the Committee on
Ways and Means. Because Article I, Section 7 involves the
privileges of the House, a blue-slip resolution offered by the
Chairman or other member of the Committee on Ways and Means has
been typically adopted by voice vote on the House Floor. There
have been instances where the House has agreed to not deal
directly with the issue by tabling a resolution.^1,}2
---------------------------------------------------------------------------
\1\ In cases where the Chairman of the Committee on Ways and Means
did not believe that the bill in question violated the Origination
Clause or the objection had been dealt with in another manner,
resolutions offered by other Members of the House have been tabled.
[See adoption of motion by Mr. Rostenkowski to table H. Res. 571, 97-2,
p. 22127.]
\2\ This was an instance where the Chairman of the Committee on
Ways and Means raised a question of the privilege of the House pursuant
to Article I, Section 7, of the U.S. Constitution on H.R. 4516,
Legislative Branch Appropriations. The motion was laid on the table.

BLUE SLIP RESOLUTIONS--97TH CONGRESS THROUGH 106TH CONGRESS
CHRONOLOGICAL LIST
[Resolutions passed by the House returning to the Senate bills passed in
violation of the origination clause of the United States Constitution
(Clause 1, Section 7 of Article 1)]
------------------------------------------------------------------------
Description of Senate action
H. Res., sponsor, and date of House (and related House action, if
passage any)
------------------------------------------------------------------------
106th Congress:
H. Res. 645, Mr. Crane, October 24, On October 17, 2000, the Senate
2000. passed S. 1109, the Bear
Protection Act of 1999. This
legislation would have
conserved global bear
populations by prohibiting the
importation, exportation, and
interstate trade of bear
viscera and items, products,
or substances containing, or
labeled or advertised as
containing, bear viscera. The
proposed change in the import
laws constituted a revenue
measure in the constitutional
sense, because it would have
had a direct impact on customs
revenues.
H. Res. 394, Mr. Weller, November On November 3, 1999, the Senate
18, 1999. passed S. 1232, Federal
Erroneous Retirement Coverage
Corrections Act. This
legislation would have
provided that no Federal
retirement plan involved in
the corrections under the bill
would fail to be treated as a
tax-qualified retirement plan
by reason of the correction,
and that any fund transfers or
government contributions
resulting from the corrections
would have no impact on the
tax liability of individuals.
These changes constituted a
revenue measure in the
constitutional sense because
they would have had a direct
impact on Federal revenues.
H. Res. 393, Mr. Weller, November On February 24, 1999, the
18, 1999. Senate passed S. 4, the
Soldiers', Sailors', Airmen's,
and Marines' Bill of Rights
Act of 1999. The legislation
would have allowed members of
the Armed Forces to
participate in the Federal
Thrift Savings Program and to
avoid the tax consequences
that would otherwise have
resulted from certain
contributions in excess of the
limitations imposed in the
Internal Revenue Code. This
proposed exemption therefore
constituted a revenue measure
in the constitutional sense
because it would have had a
direct impact on Federal
revenues.
H. Res. 249, Mr. Portman, July 16, On May 20, 1999, the Senate
1999. passed S. 254, the Violent and
Repeat Juvenile Offender
Accountability and
Rehabilitation Act of 1999.
The legislation would have had
the effect of banning the
import of large capacity
ammunition feeding devices.
The proposed change in the
import laws constituted a
revenue measure in the
constitutional sense, because
it would have had a direct
impact on customs revenues.
105th Congress:
H. Res. 601, Mr. Crane, October 15, On October 8, 1998, the Senate
1998. passed S. 361, the Tiger and
Rhinoceros Conservation Act of
1998. This legislation would
have had the effect of
creating a new basis and
mechanism for applying import
restrictions for products
intended for human consumption
or application containing (or
labeled as containing) any
substance derived from tigers
or rhinoceroses. The proposed
change in the import laws
constituted a revenue measure
in the constitutional sense,
because it would have had a
direct impact on customs
revenues.
H. Res. 379, Mr. Ensign, March 5, On April 15, 1997, the Senate
1998. passed S. 104, the Nuclear
Waste Policy Act of 1997. This
legislation would have
repealed a revenue provision
and replaced it with a user
fee. The revenue provision in
question was a fee of 1 mill
per kilowatt hour of
electricity generated by
nuclear power imposed by the
Nuclear Waste Policy Act of
1982. The proposed user fee in
the legislation would have
been limited to the amount
appropriated for nuclear waste
disposal. The original fee was
uncapped, and, in fact,
because the fees collected
exceeded the associated costs,
it was being used as revenue
to finance the federal
government generally. Its
proposed repeal therefore
constituted a revenue measure
in the constitutional sense
because it would have had a
direct impact on federal
revenues.
104th Congress:
H. Res. 554, Mr. Crane, September On June 30, 1996, the Senate
28, 1996. passed H.R. 400, the Anaktuvuk
Pass Land Exchange and
Wilderness Redesignation Act
of 1995, with an amendment.
Section 204(a) of the Senate
amendment would have
overridden existing tax law by
expanding the definition of
actions not subject to
federal, state, or local
taxation under the Alaska
Native Claims Settlement Act.
These changes constituted a
revenue measure in the
constitutional sense because
they would have had a direct
impact on federal revenues.
H. Res. 545, Mr. Archer, September On September 25, 1996, the
27, 1996. Senate passed S. 1311, the
National Physical Fitness and
Sports Foundation
Establishment Act. Section 2
of the bill would have waived
the application of certain
rules governing recognition of
tax-exempt status for the
foundation established under
this legislation. This
exemption constituted a
revenue measure in the
constitutional sense because
it would have had a direct
impact on federal revenues.
H. Res. 402, Mr. Shaw, April 16, On January 26, 1996, the Senate
1996. passed S. 1463, to amend the
Trade Act of 1974. The bill
would have changed the
authority and procedure for
investigations by the
International Trade Commission
for certain domestic
agricultural products. Such
investigations are a predicate
necessary for achieving access
to desired trade remedies that
the President may order, such
as tariff adjustments, tariff-
rate quotas, quantitative
restrictions, or negotiation
of trade agreements to limit
imports. By creating a new
basis and mechanism for import
restrictions under authority
granted to the President, the
bill constituted a revenue
measure in the constitutional
sense because it would have
had a direct impact on customs
revenues.
H. Res. 387, Mr. Crane, March 21, On February 1, 1996, the Senate passed S. 1518, repealing the
Tea Importation Act of 1897.
Under existing law in 1996, it
was unlawful to import
substandard tea, except as
provided in the Harmonized
Tariff Schedule. Changing
import restrictions
constituted a revenue measure
in the constitutional sense
because it would have had a
direct impact on customs
revenues.
103d Congress:
H. Res. 577, Mr. Gibbons, October On October 3, 1994, the Senate
7, 1994. passed S. 1216, the Crow
Boundary Settlement Act of
1994. The bill would have
overridden existing tax law by
exempting certain payments and
benefits from taxation. These
exemptions constituted a
revenue measure in the
constitutional sense because
they would have had a direct
impact on federal revenues.
H. Res. 518, Mr. Gibbons, August On July 20, 1994, the Senate
12, 1994. passed H.R. 4554, the
Agriculture and Rural
Development Appropriation for
FY1995, with amendments.
Senate amendment 83 would have
provided authority for the
Food and Drug Administration
to collect fees to cover the
costs of regulation of
products under their
jurisdiction. However, these
fees were not limited to
covering the cost of specified
regulatory activities, and
would have been charged to a
broad cross-section of the
public (rather than been
limited to those who would
have benefited from the
regulatory activities) to fund
the cost of the FDA's
activities generally. These
fees constituted a revenue
measure in the constitutional
sense because they were not
based on a direct relationship
between their level and the
cost of the particular
government activity for which
they would have been assessed,
and would have had a direct
impact on federal revenues.
H. Res. 487, Mr. Gibbons, July 21, On May 25, 1994, the Senate
1994. passed S. 1030, the Veterans
Health Programs Improvement
Act of 1994. A provision in
the bill would have exempted
from taxation certain payments
made on behalf of participants
in the Education Debt
Reduction Program. This
provision constituted a
revenue measure in the
constitutional sense because
it would have had a direct
impact on federal revenues.
H. Res. 486, Mr. Gibbons, July 21, On May 29, 1994, the Senate
1994. passed S. 729, to amend the
Toxic Substances Control Act.
Title I of the bill included
several provisions to prohibit
the importation of specific
categories of products which
contained more than specified
quantities of lead. By
establishing these import
restrictions, the bill
constituted a revenue measure
in the constitutional sense
because it would have had a
direct impact on customs
revenues.
H. Res. 479, Mr. Rangel, July 14, On June 22, 1994, the Senate
1994. passed H.R. 4539, the
Treasury, Postal Service, and
General Government
Appropriation for FY1995, with
amendments. Senate amendment
104 would have prohibited the
Treasury from using
appropriations to enforce the
Internal Revenue Code
requirement for the use of
undyed diesel fuel in
recreational motorboats. This
prohibition therefore
constituted a revenue measure
in the constitutional sense
because it would have had a
direct impact on federal
revenues.
102d Congress:
H. Res. 373, Mr. Rostenkowski, On August 1, 1991, the Senate
February 25, 1992. passed S. 884 amended, the
Driftnet Moratorium
Enforcement Act of 1991; This
legislation would require the
President to impose economic
sanctions against countries
that fail to eliminate large-
scale driftnet fishing.
Foremost among the sanction
provisions are those which
impose a ban on certain
imports into the United States
from countries which continue
to engage in driftnet fishing
on the high seas after a
certain date. These changes in
our tariff laws constitute a
revenue measure in the
constitutional sense, because
they would have a direct
effect on customs revenues.
H. Res. 267, Mr. Rostenkowski, On February 20, 1991, the
October 31, 1991. Senate passed S. 320, to
reauthorize the Export
Administration Act of 1979.
This legislation contains
several provisions which
impose, or authorize the
imposition of, a ban on
imports into the United
States. Among the provisions
containing import sanctions
are those relating to certain
practices by Iraq, the
proliferation and use of
chemical and biological
weapons, and the transfer of
missile technology. These
changes in our tariff laws
constitute a revenue measure
in the constitutional sense,
because they would have a
direct effect on customs
revenues.
H. Res. 251, Mr. Russo, October 22, On July 11, 1991, the Senate
1991. passed S. 1241, the Violent
Crime Act of 1991. This
legislation contains several
amendments to the Internal
Revenue Code. Sec. 812(f)
provides that the police corps
scholarships established under
the bill would not be included
in gross income for tax
purposes. In addition, secs.
1228, 1231, and 1232 each make
amendments to the Tax Code
with respect to violations of
certain firearms provisions.
Finally, title Vll amends sec.
922 of title VIII of the U.S.
Code, making it illegal to
transfer, import or possess
assault weapons. These changes
in our tariff and tax laws
constitute revenue measures in
the constitutional sense,
because they would have an
immediate impact on revenues
anticipated by U.S. Customs
and the Internal Revenue
Services.
101st Congress:
H. Res. 287, Mr. Cardin, Nov. 9, On August 4, 1989, the Senate
1989. passed S. 686, the Oil
Pollution Liability and
Compensation Act of 1989. This
legislation contained a
provision which would have
allowed a credit against the
oil spill liability tax for
amounts transferred from the
Trans-Alaska Pipeline Trust
Fund to the Oil Spill
Liability Trust Fund.
H. Res. 177, Mr. Rostenkowski, June On Apr. 19, 1989, the Senate
15, 1989. passed S. 774, the Financial
Institution Reform, Recovery
and Enforcement Act of 1989.
This legislation would create
two corporations to administer
the financial assistance under
the bill: the Resolution Trust
Corporation and the Resolution
Financing Corporation. S. 774
would have conferred tax-
exempt status to these two
corporations. Without these
two tax provisions, these two
corporations would be taxable
entities under the Federal
income tax.
100th Congress:
H. Res. 235, Mr. Rostenkowski, July On Mar. 30, 1987, the Senate
30, 1987. passed S. 829, legislation
which would authorize
appropriations for the U.S.
International Trade
Commission, the U.S. Customs
Service, and the Office of the
U.S. Trade Representative for
fiscal year 1988, and for
other purposes. In addition,
the bill contained a provision
relating to imports from the
Soviet Union which amends
provisions of the Tariff Act
of 1930.
H. Res. 474, Mr. Rostenkowski, June On 0ct. 6, 1987, the Senate
16, 1988 (see also H.R. 3391). passed S. 1748, legislation
which would prohibit the
importation into the United
States of all products from
Iran. (The House passed H.R.
3391, which included similar
provisions, on 0ct. 6, 1987.)
H. Res. 479, Mr. Rostenkowski, June On May 13, 1987, the Senate
21, 1988 (see also H.R. 2792 and passed S. 727, legislation
H.R. 4333). which would clarify Indian
treaties and Executive orders
with respect to fishing
rights. This legislation dealt
with the tax treatment of
income derived from the
exercise of Indian treaty
fishing rights. (The House
passed H.R. 2792, which
included similar provisions,
on June 20, 1988, under
suspension of the rules and
was enacted into law as part
of Public Law 100-647, H.R.
4333.)
H. Res. 544, Mr. Rostenkowski, On Sept. 9, 1988, the Senate
Sept. 23, 1988 (see also H.R. passed S. 2662, the Textile
1154). and Apparel Trade Act of 1988.
This legislation would impose
global import quotas on
textiles and footwear
products.
H. Res. 552, Mr. Rostenkowski, On Sept. 9, 1988, the Senate
Sept. 28, 1988. passed S. 2763, the Genocide
Act of 1988. This legislation
contained a ban on the
importation of all oil and oil
products from Iraq.
H. Res. 603, Mr. Rostenkowski, Oct. On Mar. 30, 1988, the Senate
21, 1988. passed S. 2097, the Uranium
Mill Tailings Remedial Action
Amendments of 1987. This
legislation would establish a
Federal fund to assist in the
financing of reclamation and
other remedial action at
currently active uranium and
thorium processing sites and
would increase the demand for
domestic uranium. The fund
would be financed in part by
what are called ``mandatory
fees'' which are equal to $22
per kilogram for uranium
contained in fuel assemblies
initially loaded into civilian
nuclear power reactors during
calendar years 1989-1993. In
addition, S. 2097 would impose
charges on domestic utilities
that use foreign-source
uranium in new fuel assemblies
loaded in their nuclear
reactors.
H. Res. 604, Mr. Rostenkowski, Oct. On Aug. 8, 1988, the Senate
21, 1988. passed H.R. 1315, legislation
which would authorize
appropriations for the Nuclear
Regulatory Commission for
fiscal years 1988 and 1989.
Title IV of the legislation
would, among other things,
establish a Federal fund to
assist in the financing of
reclamation and other remedial
action at currently active
uranium and thorium processing
sites and would assist the
domestic uranium industry by
increasing the demand for
domestic uranium. The fund
would be financed in part by
what are called ``mandatory
fees'' equal to $72 per
kilogram of uranium contained
in fuel assemblies initially
loaded into civilian nuclear
power reactors on or after
Jan. 1, 1988. These fees would
be paid by licensees of
civilian nuclear power
reactors and would be in place
until $1 billion had been
raised.
99th Congress:
H. Res. 283, Mr. Rostenkowski, Oct. On Sept. 26, 1985, the Senate
1, 1985. passed S. 1712, legislation
which would extend the 16-
cents-per-pack cigarette
excise tax rate for 45 days,
through Nov. 14, 1985. (The
House passed H.R. 3452, which
included a similar extension,
on Sept. 30, 1985.)
H. Res. 562, Mr. Rostenkowski, The Senate passed S. 638,
Sept. 25, 1986. legislation to provide for the
sale of Conrail to the Norfolk
Southern Railroad. The
legislation contained numerous
provisions relating to the tax
treatment of the sale of
Conrail.
98th Congress:
H. Res. 195, Mr. Rostenkowski, On Apr. 21, 1983, the Senate
June 17, 1983. passed S. 144, a bill to
insure the continued expansion
of international market
opportunities in trade, trade
in services and investment for
the United States, and for
other purposes
97th Congress:
None...............................
------------------------------------------------------------------------

F. Prerogative Under the Rules of the House Over ``Revenue Measures
Generally''

In the House of Representatives, tax legislation is
initiated by the Committee on Ways and Means. The Committee's
exclusive prerogative to report ``revenue measures generally''
is provided by Rule X(1)(s) of the Rules of the House of
Representatives. The jurisdiction of the Committee on Ways and
Means under Rule X(1)(s) is protected through the exercise of
Rule XXI(5)(a) which states:

A bill or joint resolution carrying a tax or tariff
measure may not be reported by a committee not having
jurisdiction to report tax or tariff measures, and an
amendment in the House or proposed by the Senate
carrying a tax or tariff measure shall not be in order
during the consideration of a bill or joint resolution
reported by a committee not having that jurisdiction. A
point of order against a tax or tariff measure in such
a bill, joint resolution, or amendment thereto may be
raised at any time during pendency of that measure for
amendment.

Based on the precedents of the House, especially those
involving Rule XXI(5)(a), the following statements can be made
concerning points of order made under the rule.
1. Timeliness.--The point of order can be raised at any
point during consideration of the bill. However, that section
of the bill in which the ``tax or tariff'' provision lies must
either have been previously read or currently open for
amendment. A point of order may not be raised after the
Committee of the Whole has risen and reported the bill to the
House. A point of order against an amendment must be made prior
to its adoption.
2. Effect.--If a point of order is sustained, the effect is
that the provision in the bill or amendment is automatically
deleted.
3. Substance over form.--A provision need not involve an
amendment to the Internal Revenue Code (IRC) or the Harmonized
Tariff Schedule (HTS) in order to be determined to be a ``tax
or tariff'' provision.
4. Revenue decreases and increases.--A provision need not
raise revenue in order to be found to be a ``tax or tariff
measure.'' Provisions which would have the effect of decreasing
revenues are also covered by the rule. Similarly, provisions
which could have a revenue effect have been determined to be
covered by the rule.
The following is a detailed listing of each of the
occasions on which points of order relating to the rule have
been sustained:

G. Points of Order--House Rule XXI, Clause 5, Paragraph (a)
Chronological List

September 8, 1999

H.R. 2684, Departments of Veterans Affairs and Housing and
Urban Development Appropriations for 2000
A point of order was raised against an amendment offered by
Representative Edwards, which would have offset an increase in
funding for veterans' health care by postponing the
implementation of a capital gains tax cut. The chair ruled that
the amendment constituted legislation in violation of Rule XXI,
clause 2(c), and, in addition, constituted a tax measure in
violation of Rule XXI, clause 5(a). The point of order was
sustained, and the amendment ruled not in order. [106-1, p.
H7923]

September 3, 1997

H.R. 2159, Foreign Operations Appropriations for FY 1998
A point of order was raised against section 539 of the
bill, which would have restricted the President's ability to
issue an executive order lifting import sanctions against
Yugoslavia (Serbia). The Chair ruled that since current law
allowed the President to waive the application of certain
sanctions, including import prohibitions which affect tariff
collections, the provision in question was a tariff measure
within the meaning of Rule XXI, clause 5(b). The point of order
was sustained, and the provision stricken from the bill. [105-
1, p. H 6731]

July 17, 1996

H.R. 3756, Treasury, Postal Service, and General Government
Appropriations Act of 1997
A point of order was raised against an amendment which
prohibited the use of funds by the United States Customs
Service to take any action that allowed certain imports into
the United States from the People's Republic of China. The
point oforder was sustained. [104-2, p. H 7708]

May 9, 1995

H.R. 1361, Coast Guard Authorization
A point of order was raised against an amendment which
increased certain fees for large foreign-flag cruise ships. The
Chair ruled that by increasing the fees charged by the Coast
Guard for inspecting large foreign-flag cruise hips by an
unspecified amount in order to offset a decrease in fees for
other vessels, the amendment attenuated the relationship
between the amount of the fee and the cost of the particular
government activity for which it was assessed. Therefore the
increased fee qualified as a tax or tariff within the meaning
of Rule XXI, clause 5(b). The point of order was sustained, and
the amendment ruled out of order. [1-4-1, p. H 4593]

June 15, 1994

H.R. 4539, Treasury, Postal Service, and General Government
Appropriation for FY 1995
A point of order was raised against section 527 of the
bill, which would have amended the Harmonized Tariff Schedule
to create a new tariff classification. The new classification
would have changed the rate of duty on the import of certain
fabrics intended for use in the manufacture of hot air
balloons, thus having direct impact on customs revenues. The
point of order was conceded and sustained, and the provision
was stricken from the bill. [103-2, p. H 4531]

September 16, 1992

H.R. 5231, The National Competitiveness Act of 1992
A point of order was raised against an amendment offered by
Rep. Walker. The bill was reported solely from the Committee on
Science and Technology and amended the Internal Revenue Code to
provide, inter alia, changes in the tax treatment of capital
gains.
The Chair sustained the point of order without elaboration.
[H102- p. H8621]

October 23, 1990

H.R. 5021, Department of Commerce, Justice and State, the
Judiciary and Related Agencies Appropriations Act,
1991
A point of order was raised against amendment 139 which
increased the rate of fees paid to the Securities and Exchange
Commission at the time of filing a registration statement. The
Chair ruled that since the amendment provided that the
increased level of fees would be deposited in the Treasury, the
fee involved was in reality a tax and the revenues were to be
used to defray general governmental costs. The point of order
was conceded and sustained. [101-2, p. H 11412]

July 13, 1990

H.R. 5241, Treasury, Postal Service and General Government
Appropriations Act of 1991
A point of order was raised against section 528 which
prohibited that ``no funds appropriated'' would be used to
impose or assess any tax under section 4181 of the Internal
Revenue Code relating to the excise tax on the manufacture of
firearms. The point of order was conceded and sustained. [101-
2, p. H 4692]

July 13, 1990

H.R. 5241, Treasury, Postal Service and General Government
Appropriations Act of 1991
A point of order was raised against section 524 which
prohibited the Internal Revenue Service from enforcing rules
governing the antidiscrimination rules of the exclusion for
employer provided health-care plans (section 89 of the Internal
Revenue Code). The point of order was conceded and sustained.
[101-2, p. H 4692]

October 5, 1989

H.R. 3299, Omnibus Budget Reconciliation Act of 1989
A point of order was raised against section 3201 which
imposed fees on the filing of certain forms required to be
filed annually in connection with maintaining pension and
benefit plans. The point of order was sustained with the Chair
ruling that the revenue raised funded ``general government
activity.'' [101-1, p. H 6662]

October 4, 1989

H.R. 3299, Omnibus Budget Reconciliation Act of 1989
A point of order was raised against section 3156 which
imposed a ``Termination Fee.'' Under the provision of the bill,
an employer who terminated a pension plan in a standard
termination was required to pay a $200-per-participant fee to
the Pension Benefit Guaranty Corporation (PBGC), the Federal
insurance agency established to insure defined pension plans
against insolvency. The point of order was conceded and
sustained. [101-1, p. H 6621]

October 4, 1989

H.R. 3299, Omnibus Budget Reconciliation Act of 1989
A point of order was raised against section 3131(b) which
exempted multi-employer pension plans from the full funding
limits of the Internal Revenue Code, section 412(c)(7). This
provision directly amended the Internal Revenue Code to allow
the deductibility of contributions to a multi-employer pension
plan in excess of the full funding limit. The point of order
was conceded and sustained. [101-1, p. H 6622]

October 4, 1989

H.R. 3299, Omnibus Budget Reconciliation Act of 1989
A point of order was raised against section 7002 which
imposed an annual fee of $1 per acre on the holder of Outer
Continental Shelf leases. This fee has been designated to
offset the costs of ocean related environmental research,
assessment, and protection programs. The point of order was
sustained with the Chair stating that ``a provision raising
revenue to finance general government functions improperly
characterized as a tax within the jurisdiction of Clause 5(b)
of Rule XXI. [101-1, p. H 6610]

October 4, 1989

H.R. 3299, Omnibus Budget Reconciliation Act of 1989
A point of order was raised against section 7002 which
imposed a fee of $20 per passenger on vessels engaged in U.S.
cruise trade or which offer off-shore gambling. The proceeds of
this fee were to be deposited in both the Harbor Maintenance
Trust Fund and the Treasury's general fund. The point of order
was conceded and sustained. [101-1, p. H 6620]

September 30, 1988

H.R. 4637, Conference Agreement to accompany the Foreign
Operations, Export Financing and Related Programs
Appropriations Act of 1989
A point of order was raised against the motion to concur in
the Senate amendment No. 176 which provided that S. 2848
(Sanctions Against Iraqi Chemical Weapons Use Act), be added to
the bill. The point of order was conceded and sustained. [100-
2, p. H 9236]

June 25, 1987

H.R. 3545, Budget Reconciliation Act of 1987
A point of order was raised against the section of the bill
providing that ``all earnings and distributions'' from the
Enjebi Community Trust Fund, ``shall not be subject to any form
of Federal, State, or local taxation.'' The point of order was
conceded and sustained. [100-1, p. H 5539-40]

August 1, 1986

H.R. 5294, Appropriations, Treasury, Postal Service and
General Government Appropriations, 1987
A point of order was raised against section 103 which
denied funds to the Internal Revenue Service to impose vesting
requirements for qualified pension funds more stringent than 4/
40. As a result, legally collectible taxes on employer
contributions to such plans would be indefinitely deferred. The
point of order was conceded and sustained. [99-2, p. H 5311]

August 1, 1986

H.R. 5294, Appropriations, Treasury, Postal Service and
General Government Appropriations, 1987
A point of order was raised against section 3 which
prohibited the use of funds to implement regulations issued by
the Department of the Treasury to implement section 274(d) of
the Internal Revenue Code relating to the duty imposed on
taxpayers to substantiate deductibility of certain expenses
relating to travel, gifts, and entertainment.
The Chair sustained the point of order stating that a
limitation otherwise in order under Clause 2(c), of House Rule
XXI which ``effectively and inherently either preclude[s] the
IRS from collecting revenues otherwise due to be [owed]
underprovision of the Internal Revenue Code or require[s] the
collection of revenue not legally due and owing constitutes a tax
provision within the meaning of Rule XXI, Clause 5(b).''
The Chair also noted that when the point of order was
raised that under the rule the point of order against the
provision could be raised at any point during the consideration
of the bill. [99-2, p. H 5310]

October 24, 1986

H.R. 3500, Budget Reconciliation Act of 1985
A point of order was raised against section 3113. The
provision in the reconciliation bill reported from the Budget
Committee contained a recommendation from the Committee on
Education and Labor to exclude certain interest on obligations
to Student Loan Marketing Association from Application of
Internal Revenue Code (IRC), section 265 which denies a
deduction for certain expenses and interest relating to the
production of tax-exempt income. The point of order was
sustained. [99-1, p. H 5310]

October 24, 1985

H.R. 3500, Budget Reconciliation Act of 1985
A point of order was raised against section 6701 which had
been reported from the Committee on the Budget containing a
recommendation of the Committee on Merchant Marine and
Fisheries. Section 6701 expanded tax benefits available to ship
owners through the ``capital construction fund'' (section 7518
of the Internal Revenue Code), by permitting repatriation of
foreign-source income to avoid U.S. taxes and expanding the
definition of vessels eligible to establish such tax-exempt
funds. [99-1, p. H 9189]

July 26, 1985

H.R. 3036, Appropriations, Treasury, Postal Service, and
General Government Appropriation, 1986
A point of order was raised against section 106 which
prohibited the use of funds to implement or enforce regulations
imposing or collecting a tax on the interest deferral from
entrance or accommodation fees paid by elderly residents of
continuing care facilities (section 7872 of the Internal
Revenue Code). The Chair sustained the point of order against
the provision as a tax provision within the meaning of House
Rule XXI, Clause 5(b). [99-1, p. H 6418]

July 11, 1985

H.R. 1555, International Security and Development Act of
1985
A point of order was raised against section 1208 which
denied trade benefits to Afghanistan, provided for the denial
of most favored nation status to Afghanistan and denied trade
credits to Afghanistan. The point of order was conceded and
sustained. [99-1, p. H 5489]

June 4, 1985

H.R. 1460, Anti-Apartheid Act of 1985
A point of order was raised against an amendment to
prohibit the entry of South African Krugerrands or gold coins
into the customs territory of the United States unless uniform
5 percent fee were paid. The point of order was sustained on
the grounds that the fee was equivalent to a tariff uniform
charge imposed at ports of entry with proceeds deposited in the
Treasury. [99-1, p. H 3762]

September 12, 1984

H.R. 5798, Conference Report to accompany the
Appropriations, Treasury, Postal Service, Executive
Office of the President and certain independent
agencies Appropriation, 1985
A point of order was raised against a Senate amendment, No.
92 which amended the existing customs law under the Tariff Act
of 1930 with respect to seizures and forfeitures of property by
the Customs Service. The point of order was conceded and
sustained. [98-2, p. H 9407]

September 12, 1984

H.R. 5798, Conference Report to accompany the
Appropriations, Treasury, Postal Service, Executive
Office of the President and certain independent
agencies Appropriation, 1985
A point of order was raised against a Senate amendment, No.
26 which amended the tariff schedule of the United States
(TSUS) to provide duty-free importation of a telescope for the
University of Arizona. The point of order was conceded and
sustained. [98-2, p. H 9396]

September 12, 1984

H.R. 5798, Conference Report to accompany the
Appropriations, Treasury, Postal Service, Executive
Office of the President and certain independent
agencies Appropriation, 1985
A point of order was raised against a Senate amendment, No.
24 which provided that ``none of the funds appropriated by this
act or any other act'' shall be used to impose of assess the
manufacturer's excise tax on sporting goods. The point of order
specifically stated that the term ``tax'' and ``tariff'' under
House Rule XXI, Clause 5(b), included provisions such as these
contained in the amendment which would result less revenue
spent than under the operation of existing law. The point of
order was conceded and sustained. [98-2, p. H 9395-9396]

October 27, 1983

H.R. 4139, Conference Report to accompany the
Appropriations Treasury, Postal Service, Executive
Office of the President and certain independent
agencies Appropriation, 1984
The Chair sustained a point of order against section 511
which would have prohibited the Customs Service from enforcing
a provision of law permitting agricultural products to enter
the United States duty-free under the Caribbean Basin
Initiative. The Chair ruled that the effect of the provision
was to cause duties on certain imports to be imposed where none
is required and to require collections of revenue contrary to
existing tariff laws and that, as a result, section 511 was a
tariff provision rather than a limitation of appropriated
funds. [98-1, p. H 8717]

September 21, 1983

H.R. 1036, Community Renewal Employment Act
The Chair sustained a point of order against a motion to
recommit a bill to a committee without jurisdiction over
revenue measures (the Committee on Education and Labor), and to
report the bill back to the House with tax provisions relating
to ``enterprise zones.'' The motion was ruled to violate House
Rule XVI, Clause 7, and House Rule XXI Clause 5(b). [98-1, p. H
7244]

H. Restrictions on ``Federal Income Tax Rate Increases''

House Rule XXI, clause 5(b) and (c) prohibit retroactive
Federal income tax rate increases and require a supermajority
[3/5] vote for any bill containing a prospective Federal income
tax rate increase. The wording of the rule and its legislative
history make it clear that the rule applies only to increases
in specific statutory rates in the Internal Revenue Code and
not to provisions merely because they raise revenue or
otherwise modify the income tax base.

Appendix II. Historical Note

The Committee on Ways and Means was first established as an
ad hoc committee in the first session of the First Congress, on
July 24, 1789. Mr. Fitzsimons, from Pennsylvania, in commenting
on the report of a select committee concerning appropriations
and revenues, pointed out the desirability of having a
committee to review the expenditure needs of the Government and
the resources available, as follows:
The finances of America have frequently been mentioned in
this House as being very inadequate to the demands. I have
never been of a different opinion, and do believe that the
funds of this country, if properly drawn into operation, will
be equal to every claim. The estimate of supplies necessary for
the current year appears very great from a report on your
table, and which report has found its way into the public
newspapers. I said, on a former occasion, and I repeat it now,
notwithstanding what is set forth in the estimate, that a
revenue of $3 million in specie, will enable us to provide
every supply necessary to support the Government, and pay the
interest and installments on the foreign and domestic debt. If
we wish to have more particular information on these points, we
ought to appoint a Committee of Ways and Means, to whom, among
other things, the estimate of supplies may be referred, and
this ought to be done speedily, if we mean to do it this
session.
After discussion, the motion was agreed to and a committee
consisting of one member from each State (North Carolina and
Rhode Island had not yet ratified the Constitution) was
appointed as follows: Messrs. Fitzsimons (Pennsylvania), Vining
(Delaware), Livermore (New Hampshire), Cadwalader (New Jersey),
Laurance (New York), Wadsworth (Connecticut), Jackson
(Georgia), Gerry (Massachusetts), Smith (Maryland), Smith
(South Carolina), and Madison (Virginia).
While there does not appear to be any direct relationship,
it is interesting to note that the appointment of this ad hoc
committee came within a few weeks after the House, in Committee
of the Whole, had spent a good part of the months of April,
May, and June in wrestling with the details involved in writing
bills ``for laying a duty on goods, wares, and merchandises
imported into the United States'' and for imposing duties on
tonnage. Tariffs, of course, became a prime revenue source for
the new government.
However, the results of this ad hoc committee are not
clear. It existed for a period of only 8 weeks, being dissolved
on September 17, 1789, with the following order:
That the Committee on Ways and Means be discharged from
further proceeding on the business referred to them, and that
it be referred to the Secretary of the Treasury to report
thereon.
It has also been suggested by one student that the
committee was dissolved because Alexander Hamilton had become
Secretary of the newly created Department of the Treasury, and
thus it was presumed that the Treasury Department could provide
the necessary machinery for developing information which would
be needed. During the next 6 years there was no Ways and Means
Committee or any other standing committee for the examination
of estimates. Rather, ad hoc committees were appointed to draw
up particular pieces of legislation on the basis of decisions
made in the Committee of the Whole House. On November 13, 1794,
a rule was adopted providing that:

All proceedings touching appropriations of money
shall be first moved and discussed in a Committee on
the Whole House.

In the next Congress historians have suggested that the
House was determined to curtail Secretary Hamilton's influence
by first setting up a Committee on Ways and Means and requiring
that committee to submit a report on appropriations and revenue
measures before consideration in the Committee of the Whole
House. It was also said that this Ways and Means Committee was
put on a more or less standing basis since such a committee
appeared at some point in every Congress until it was made a
permanent committee.
In the first session of the 7th Congress, Tuesday, December
8, 1801, a resolution was adopted as follows:

Resolved, That a standing Committee of Ways and Means
be appointed, whose duty it shall be to take into
consideration all such reports of the Treasury
Department, and all such propositions, relative to the
revenue as may be referred to them by the House; to
inquire into the state of the public debt, of the
revenue, and of the expenditures; and to report, from
time to time, their opinion thereon.

The following Members were appointed: Messrs. Randolph
(Virginia), Griswold (Connecticut), Smith (Vermont), Bayard
(Delaware), Smilie (Pennsylvania), Read (Massachusetts),
Nicholson (Maryland), Van Rensselaer (New York), Dickson
(Tennessee).
On Thursday, January 7, 1802, the House agreed to standing
rules which, among other things, provided for standing
committees, including the Committee on Ways and Means. The
relevant part of the rules in this respect read as follows:
A Committee of Ways and Means, to consist of seven members;

* * * * * * *

It shall be the duty of the said Committee of Ways and
Means to take into consideration all such reports of the
Treasury Department, and all such propositions relative to the
revenue, as may be referred to them by the House; to inquire
into the state of the public debt, of the revenue, and of the
expenditures, and to report, from time to time, their opinion
thereon; to examine into the state of the several public
departments, and particularly into the laws making
appropriations of moneys, and to report whether the moneys have
been disbursed conformably with such laws; and also to report,
from time to time, such provisions and arrangements, as may be
necessary to add to the economy of the departments, and the
accountability of their officers.
It has been said that the jurisdiction of the committee was
so broad in the early 19th century that one historian described
it as follows:

It seemed like an Atlas bearing upon its shoulders
all the business of the House.

The jurisdiction of the committee remained essentially the
same until 1865 when the control over appropriations was
transferred to a newly created Committee on Appropriations and
another part of its jurisdiction was given to a newly created
Committee on Banking and Currency. This action followed rather
extended discussion in the House, too lengthy to review here.
During the course of that discussion, however, the
following observations are of some historical interest. Mr.
Cox, who was handling the motion to divide the committee, gave
a very picturesque discussion of the many varied and heavy
duties which had fallen on the committee over the years. He
observed:

And yet, sir, powerful as the committee is
constituted, even their powers of endurance, physical
and mental, are not adequate to the great duty which
has been imposed by the emergencies of this historic
time. It is an old adage, that ``whoso wanteth rest
will also want of might''; and even an Olympian would
faint and flag if the burden of Atlas is not relieved
by the broad shoulders of Hercules.

He continued:

I might give here a detailed statement of the amount
of business thrown upon that committee since the
commencement of the war. But I prefer to append it to
my remarks. Whereas before the war we scarcely expended
more than $70 million a year, now, during the five
sessions of the last two Congresses, there has been an
average appropriation of at least $800 million per
session. The statement which I hold in my hand shows
that during the first and extra session of the 37th
Congress there came appropriation bills from the
Committee on Ways and Means amounting to
$226,691,457.99. I say nothing now of the loan and
other fiscal bills emanating from that committee. * * *
During the present session I suppose it would be a fair
estimate to take the appropriations of the last session
of the 37th Congress, say $900 million.
These are appropriation bills alone. They are
stupendous, and but poorly symbolize the immense labors
which the internal revenue, tariff, and loan bills
imposed on the committee. * * * And this business of
appropriations is perhaps not one-half of the labor of
the committee. There are various and important matters
upon which they act, but upon which they never report.
Their duties comprehend all the varied interests of the
United States; every element and branch of industry,
and every dollar or dime of value. They are connected
with taxation, tariffs, banking, loan bills, and ramify
to every fiber of the body-politic. All the springs of
wealth and labor are more or less influenced by the
action of this committee. Their responsibility is
immense, and their control almost imperial over the
necessities, comforts, homes, hopes, and destinies of
the people. All the values of the United States, which
in the census of 1860 (page 194) amount to nearly $17
billion, or, to be exact, $16,159,616,068, are affected
by the action of that committee, even before their
action is approved by the House. Those values fluctuate
whenever the head of the Ways and Means rises in his
place and proposes a measure. The price of every
article we use trembles when he proposes a gold bill or
a loan bill, or any bill to tax directly or indirectly.
* * *
* * * the interests connected with these economical
questions are of all questions those most momentous for
the future. Parties, statesmanship, union, stability,
all depend upon the manner in which these questions are
dealt with.

Congressman Morrill (who was subsequently appointed
chairman of the Ways and Means Committee in the succeeding
Congress, and who still later became chairman of the Senate
Finance Committee after he became a Senator) observed as
follows:

I am entirely indifferent as to the disposition which
shall be made of this subject by the House. So far as I
am myself concerned, I have never sought any position
upon any committee from the present or any other
Speaker of the House, and probably never shall. I have
no disposition to press myself hereafter for any
position. In relation to the proposed division of the
Committee on Ways and Means, the only doubt that I have
is the one expressed by my colleague on that committee,
Mr. Stevens, in regard to the separation of the
questions of revenue from those relating to
appropriations. In ordinary times of peace I should
deem it almost indispensable and entirely within their
power that this committee should have the control of
both subjects, in order that they might make both ends
meet, that is, to provide a sufficient revenue for the
expenditures. That reason applies now with greater
force; but it may be that the committee is overworked.
It is true that for the last 3 or 4 years the labors of
the Committee on Ways and Means have been incessant,
they have labored not only days but nights; not only
weekends but Sundays. If gentlemen suppose that the
committee have permitted some appropriations to be
reported which should not have been permitted they
little understand how much has been resisted.

The influence the committee emanated came not only from the
nature of its jurisdiction but also because for many years the
chairman of the committee was also ad hoc majority floor leader
of the House.
When the revolt against Speaker Cannon took place, and the
Speaker's powers to appoint the members of committees were
curtailed, the Majority Members on the Committee on Ways and
Means became the Committee on Committees. Subsequently, this
power was disbursed to the respective party caucuses, beginning
in the 94th Congress.
Throughout its history, many famous Americans have served
on the Committee on Ways and Means. The long and distinguished
list includes 8 Presidents of the United States, 8 Vice
Presidents, 4 Justices of the Supreme Court, 34 Cabinet
members, and quite interestingly, 21 Speakers of the House of
Representatives. This latter figure represents nearly one-half
of the 51 Speakers who have served since 1789 through the end
of the 106th Congress. See the alphabetical list which follows
for names.

Major positions held by former members of the Committee on Ways and
Means

President of the United States:
George H.W. Bush, Texas
Millard Fillmore, New York
James A. Garfield, Ohio
Andrew Jackson, Tennessee
James Madison, Virginia
William McKinley, Jr., Ohio
James K. Polk, Tennessee
John Tyler, Virginia
Vice President of the United States:
John C. Breckinridge, Kentucky
George H.W. Bush, Texas
Charles Curtis, Kansas
Millard Fillmore, New York
John N. Garner, Texas
Elbridge Gerry, Massachusetts
Richard M. Johnson, Kentucky
John Tyler, Virginia
Justice of the Supreme Court:
Philip P. Barbour, Virginia
Joseph McKenna, California
John McKinley, Alabama
Fred M. Vinson, Kentucky (Chief Justice)
Speaker of the House of Representatives:
Nathaniel P. Banks, Massachusetts
Philip P. Barbour, Virginia
James G. Blaine, Maine
John G. Carlisle, Kentucky
Langdon Cheves, South Carolina
James B. (Champ) Clark, Missouri
Howell Cobb, Georgia
Charles F. Crisp, Georgia
John N. Garner, Texas
John W. Jones, Virginia
Michael C. Kerr, Indiana
Nicholas Longworth, Ohio
John W. McCormack, Massachusetts
James K. Polk, Tennessee
Henry T. Rainey, Illinois
Samuel J. Randall, Pennsylvania
Thomas B. Reed, Maine
Theodore Sedgwick, Massachusetts
Andrew Stevenson, Virginia
John W. Taylor, New York
Robert C. Winthrop, Massachusetts
Cabinet Member:
Secretary of State:
James G. Blaine, Maine
William J. Bryan, Nebraska
Cordell Hull, Tennessee \3\
---------------------------------------------------------------------------
\3\ Recipient of Nobel Peace Prize in 1945.
---------------------------------------------------------------------------
Louis McLean, Delaware
John Sherman, Ohio
Secretary of the Treasury:
George W. Campbell, Tennessee
John G. Carlisle, Kentucky
Howell Cobb, Georgia
Thomas Corwin, Ohio
Charles Foster, Ohio
Albert Gallatin, Pennsylvania
Samuel D. Ingham, Pennsylvania
Louis McLean, Delaware
Ogden L. Mills, New York
John Sherman, Ohio
Philip F. Thomas, Maryland
Fred M. Vinson, Kentucky
Attorney General:
James P. McGranery, Pennsylvania
Joseph McKenna, California
A. Mitchell Palmer, Pennsylvania
Caesar A. Rodney, Delaware
Postmaster General:
Samuel D. Hubbard, Connecticut
Cave Johnson, Tennessee
Horace Maynard, Tennessee
William L. Wilson, West Virgina
Secretary of the Navy:
Thomas W. Gilder, Virginia
Hilary A. Herbert, Alabama
Victor H. Metcalf, California
Claude A. Swanson, Virginia
Secretary of the Interior:
Rogers C.B. Morton, Maryland
Jacob Thompson, Mississippi
Secretary of Commerce and Labor:
Victor H. Metcalf, California
Secretary of Commerce:
Rogers C.B. Morton, Maryland
Secretary of Agriculture:
Clinton P. Anderson, New Mexico

Appendix III. Statistical Review of the Activities of the Committee on
Ways and Means

A. Number of Bills and Resolutions Referred to the Committee

As of the close of the 106th Congress on December 15, 2000,
there had been referred to the Committee a total of 1762 bills,
representing 25.3 percent of all the public bills introduced in
the House of Representatives.
The following table gives a more complete statistical
review since 1967.

TABLE 1.--NUMBER OF BILLS AND RESOLUTIONS REFERRED TO THE COMMITTEE, 90TH THROUGH 106TH CONGRESSES
----------------------------------------------------------------------------------------------------------------
Referred to
Introduced in Committee on Ways Percentage
House and Means
----------------------------------------------------------------------------------------------------------------
90th Congress.......................................... 24,227 3,806 15.7
91st Congress.......................................... 23,575 3,442 14.6
92d Congress........................................... 20,458 3,157 15.4
93d Congress........................................... 21,096 3,370 16.0
94th Congress.......................................... 19,371 3,747 19.3
95th Congress.......................................... 17,800 3,922 22.0
96th Congress.......................................... 10,196 2,337 22.9
97th Congress.......................................... 9,909 2,377 26.4
98th Congress.......................................... 8,104 1,904 23.5
99th Congress.......................................... 7,522 1,568 20.8
100th Congress......................................... 7,043 1,419 22.1
101st Congress......................................... 7,640 1,737 22.7
102d Congress.......................................... 7,771 1,972 25.4
103d Congress.......................................... 6,645 1,496 22.5
104th Congress......................................... 5,329 1,071 20.1
105th Congress......................................... 5,976 1,509 25.2
106th Congress......................................... 6,942 1,762 25.3
----------------------------------------------------------------------------------------------------------------

B. Public Hearings

In the course of the 106th Congress, the full Committee on
Ways and Means held public hearings on a total of 23 days,
including 15 days in the first session and 8 days in the second
session. Many of these hearings dealt with major subjects
including the President's fiscal year 2000 and 2001 budgets,
fundamental tax reform, and reducing the tax burden. The full
Committee also focused on such issues as legislation to cover
prescription drugs under Medicare, U.S.-China bilateral trade
agreement and the accession of China to the WTO, and Social
Security reform.
The following table specifies the statistical data on the
number of days and witnesses published on each of the subjects
covered by public hearings in the full Committee during the
106th Congress.

TABLE 2.--PUBLIC HEARINGS CONDUCTED BY THE FULL COMMITTEE ON WAYS AND
MEANS
------------------------------------------------------------------------
Number of
Subject and date --------------------
Days Witnesses
------------------------------------------------------------------------
1999:
Outlook for the State of the U.S. Economy in 1 1
1999, Jan. 20.................................
Preserving and Strengthening Social Security, 1 3
Jan. 21.......................................
President's Fiscal Year 2000 Budget, Feb. 4.... 1 1
Social Security Reform Lessons Learned in Other 1 8
Countries, Feb. 11............................
President's Social Security Framework, Feb. 23. 1 8
Year 2000 Conversion Efforts and Implications 1 27
for Beneficiaries and Taxpayers, Feb. 24......
Revenue Provisions in President's Fiscal Year 1 15
2000 Budget, Mar. 10..........................
Proposals Certified to Save Social Security, 2 16
June 9, 10....................................
Reducing the Tax Burden: I. Enhancing 1 22
Retirement and Health Security, June 16.......
Reducing the Tax Burden: II. Providing Tax 1 30
Relief to Strengthen the Family and Sustain a
Strong Economy, June 23.......................
Impact of U.S. Tax Rules on International 1 18
Competitiveness, June 30......................
Treasury's Debt Buyback Proposal, Sept. 29..... 1 4
President's Social Security Legislation, Nov. 9 1 3
Corporate Tax Shelters, Nov. 10................ 1 11
--------------------
Total for 1999............................... 15 167
====================
2000:
President's Fiscal Year 2001 Budget, Feb. 9.... 1 1
U.S.-China Bilateral Trade Agreement and the 1 19
Accession of China to the WTO, Feb. 16........
Future of the World Trade Organization, Mar. 30 1 6
Fundamental Tax Reform, April 11, 12, 13....... 3 39
Accession of China to the WTO, May 3........... 1 12
Legislation to Cover Prescription Drugs Under 1 15
Medicare, June 13.............................
--------------------
Total for 2000............................... 8 92
====================
Total for both sessions...................... 23 259
------------------------------------------------------------------------

The five subcommittees of the Committee on Ways and Means
were also very active in conducting public hearings during the
106th Congress. The following table specifies in detail the
number of days and witnesses published by each of the
subcommittees.

TABLE 3.--PUBLIC HEARINGS CONDUCTED BY THE SUBCOMMITTEES OF THE
COMMITTEE ON WAYS AND MEANS
------------------------------------------------------------------------
Number of
Subject and date --------------------
Days Witnesses
------------------------------------------------------------------------
SUBCOMMITTEE ON TRADE
1999:
U.S. Trade Relations with Sub-Saharan Africa, 1 16
Feb. 3........................................
Importance of Trade Negotiations in Fighting 2 10
Foreign Protectionism, Feb. 11, Mar. 4........
Steel Trade Issues, Feb. 25.................... 1 24
H.R. 984, the ``Caribbean and Central American 1 14
Relief and Economic Stabilization Act,'' Mar.
23............................................
Trade Agency Budget Authorizations and Other 1 17
Customs Issues, Apr. 13.......................
Use and Effect of Unilateral Trade Sanctions, 1 14
May 27........................................
United States-China Trade Relations and the 1 19
Possible Accession of China to the World Trade
Organization, June 8..........................
United States-Vietnam Trade Relations, June 17. 1 14
United States Negotiating Objectives for the 1 21
WTO Seattle Ministerial Meeting, Aug. 5.......
2000:
Outcome of the WTO Ministerial in Seattle, Feb. 1 17
8.............................................
United States-Vietnam Trade Relations, June 15. 1 7
Trade in African Diamonds, Sept. 12............ 1 11
--------------------
Total........................................ 13 184
====================
SUBCOMMITTEE ON OVERSIGHT
1999:
Annual Report of the Internal Revenue Service 1 3
National Taxpayer Advocate, Feb. 10...........
Incentives for Domestic Oil and Gas Production 1 10
and Status of the Industry, Feb. 25...........
Tax Treatment of Structured Settlements, Mar. 1 5
18............................................
Pension Issues, Mar. 23........................ 1 13
1999 Tax Return Filing Season and the IRS 1 5
Budget for Fiscal Year 2000, Apr. 13..........
U.S. Customs Service Passenger Inspection 1 6
Operations, May 20............................
Impact of Complexity in the Tax Code on 1 8
Individual Taxpayers and Small Businesses, May
25............................................
Current U.S. International Tax Regime, June 22. 1 7
Work Opportunity Tax Credit, July 1............ 1 12
Implementation of the Internal Revenue Service 1 3
Restructuring and Reform Act, July 22.........
Impact of Tax Law on Land Use, Conservation, 1 18
and Preservation, Sept. 30....................
2000:
Penalty and Interest Provisions in the Internal 1 7
Revenue Code, Jan. 27.........................
Review the Repeal of the Installment Method of 1 4
Accounting for Accrual Basis Taxpayers, Feb.
29............................................
Tax Incentives to Assist Distressed 1 8
Communities, Mar. 21..........................
2000 Tax Return Filing Season and the IRS 1 5
Budget for Fiscal Year 2001, Mar. 28..........
Internet Tax Issues, May 16.................... 1 13
Disclosure of Political Activities of Tax- 1 12
Exempt Organizations, June 20.................
Complexity in Administration of Federal Tax 1 1
Laws, June 29.................................
Tax Treatment of Transportation Infrastructure, 1 11
July 25.......................................
Tax Code and the New Economy, Sept. 26, 28..... 2 15
Employee Stock Option Plans, Oct. 12........... 1 5
--------------------
Total........................................ 22 171
====================
SUBCOMMITTEE ON HEALTH
1999:
Management of the Medicare Program, Feb. 11.... 1 5
Report on Medicare Payment Policies, Mar. 2.... 1 1
Medicare+Choice Program, Mar. 18............... 1 7
Medicare Coverage Decisions and Beneficiary 1 7
Appeals, April 22.............................
Medicare ``Self-Referral'' Laws, May 13........ 1 6
Uninsured Americans, June 15................... 1 4
Medicare ``Veterans Subvention,'' July 1....... 1 4
Confidentiality of Health Information, July 20. 1 7
Strengthening Medicare for Future Generations, 1 5
Sept. 22......................................
Medicare Balanced Budget Act Refinements, Oct. 1 9
1.............................................
2000:
Medical Errors, Feb. 10........................ 1 8
Seniors' Access to Prescription Drug Benefits, 1 6
Feb. 15.......................................
Confidentiality of Patient Records, Feb. 17.... 1 7
Administration's Prescription Drug Proposal, 1 3
May 11........................................
Additional Medicare Refinements to the Balanced 1 7
Budget Act of 1997, July 25...................
--------------------
Total........................................ 15 86
====================
SUBCOMMITTEE ON SOCIAL SECURITY
1999:
Impacts of Current Social Security System, Feb. 3 24
2, 3, 10......................................
Investing in the Private Market, Mar. 3........ 1 9
Barriers Preventing Disability Beneficiaries 1 8
From Returning to Work, Mar. 11...............
Social Security's Goals and Criteria for 1 5
Assessing Reforms, Mar. 25....................
1999 Social Security Trustees' Report, Apr. 15. 1 2
Y2K and Other Social Security Information 1 2
Technology Issues, July 29....................
Management of Disability Cases (held jointly 1 8
with Subcommittee on Human Resources), Oct. 21
2000:
Examine Social Security's Readiness for the 2 13
Impending Wave of Baby Boomer Beneficiaries,
Feb. 10, Mar. 16..............................
Improving Social Security Work Incentives, Feb. 1 13
15............................................
Work Incentives for Blind and Disabled Social 1 11
Security Beneficiaries, Mar. 23...............
Social Security Program Integrity Activities, 1 2
Mar. 30.......................................
2000 Social Security Trustees' Annual Report, 1 2
Apr. 6........................................
Efforts to Inform the Public about Social 1 14
Security, Apr. 11.............................
Social Security Representative Payees, May 4... 1 7
Use and Misuse of Social Security Numbers, May 2 14
9, 11.........................................
Processing of Attorney Fees by the Social 1 6
Security Administration, June 14..............
Social Security Government Pension Offset, June 1 8
27............................................
Challenges Facing Social Security Disability 1 7
Programs in the 21st Century, July 13.........
Protecting Privacy and Preventing Misuse of the 1 4
Social Security Number, July 17...............
Global Aging Crisis, Sept. 21.................. 1 5
Social Security Notices, Sept. 26.............. 1 2
--------------------
Total........................................ 25 166
====================
SUBCOMMITTEE ON HUMAN RESOURCES
1999:
Supplemental Security Income Fraud and Abuse, 1 6
Feb. 3........................................
Challenges Confronting Older Children Leaving 1 10
Foster Care, Mar. 9...........................
Federal Resources Available for Child Care, 1 8
Mar. 16.......................................
Child Protection Oversight, Apr. 2............. 1 8
Fatherhood, Apr. 27............................ 1 10
Foster Care Independent Living, May 13......... 1 9
Effects of Welfare Reform, May 27.............. 1 9
Reducing Nonmarital Births, June 29............ 1 11
Promoting Adoption and Other Permanent 1 8
Placements, July 20...........................
Oversight of the Child Support Enforcement 1 11
Program, Sept. 23.............................
Fatherhood Legislation, Oct. 5................. 1 15
Welfare Reform, Nov. 15........................ 1 5
2000:
Welfare Reform, Jan. 24........................ 1 7
Welfare Reform, Feb. 14........................ 1 9
Child Protection Review System, Feb. 17........ 1 6
Unemployment Compensation Reform, Feb. 29...... 1 10
Unemployment Compensation and the Family and 1 8
Medical Leave Act, Mar. 9.....................
H.R. 1488, the ``Hyde-Woolsey'' Child Support 1 10
Bill, Mar. 16.................................
Child Protection Issues, Mar. 23............... 1 12
Health Coverage for Families Leaving Welfare, 1 10
May 16........................................
Child Support Enforcement, May 18.............. 1 13
``One-Stop Job Centers,'' (held jointly with 1 5
Subcommittee on Postsecondary Education,
Training and Life-Long Learning, Committee on
Education and the Workforce), June 29.........
Increasing State Flexibility in Use of Federal 1 7
Child Protection Funds, July 20...............
Unemployment Compensation, Sept. 7............. 1 4
H.R. 5292, the ``Flexible Funding for Child 1 6
Protection Act of 2000,'' Oct. 3..............
--------------------
Total........................................ 25 217
------------------------------------------------------------------------

As the foregoing statistics indicate, during the 106th
Congress the full Committee and its five subcommittees held
public hearings aggregating a grand total of 123 days, during
which time 1,083 witnesses testified. There were four field
hearings, three held by the Subcommittee on Human Resources in
Erie, Pennsylvania; Riviera Beach, Florida; and Baltimore,
Maryland; and one held by the Subcommittee on Social Security
in Del Ray Beach, Florida.
In addition, written comments were printed after having
been requested and received by the full Committee on Joint
Committee on taxation disclosure study; the Subcommittee on
Oversight on recent recommendations on tax penalty and interest
provisions; and the Subcommittee on Trade on the extension of
unconditional normal trade relations to the Kyrgyz Republic,
Albania, Armenia, Georgia, and Moldova, on the extension of
normal trade relations to the Lao People's Democratic Republic,
miscellaneous corrections to trade legislation and
miscellaneous duty suspension bills, H.R. 3066, a bill to
change customs rules-of-origin for certain textile products,
technical corrections to U.S. trade laws and miscellaneous duty
suspension bills, and H.R. 4782, extending unconditional normal
trade relations to Georgia.

C. Markup Sessions

With respect to markup or business sessions during the
106th Congress, the full Committee and its five subcommittees
were also very actively engaged. The full Committee held such
sessions on 32 working days, usually both morning and afternoon
sessions, and the subcommittees an aggregate of 11 working
days, making a grand total of 43 working days of markup or
business sessions for the full Committee and its subcommittees
during the 106th Congress.

D. Number and Final Status of Bills Reported From the Committee on Ways
and Means in the 106th Congress

During the 106th Congress, the Committee reported to the
House a total of 37 bills, 32 favorably and 5 adversely. Fifty
eight bills containing provisions within the purview of the
Committee were passed by the House and 16 were enacted into
law. It should be noted that this total is not at all
indicative of the total number of bills considered by the
Committee, because when the Committee goes into session on
major tax, tariff, Social Security, health, unemployment
compensation, or human resources matters, it very often
considers the broad subject rather than certain specific bills,
and in the course of consideration of the subject makes every
attempt to review all of the pertinent bills pending before the
Committee which are encompassed within that subject. Further,
it is the practice of the Committee normally to report bills on
a major subject which may involve many sections containing
subjects included in perhaps as many as several hundred bills
pending before the Committee.

Appendix IV. Chairmen of the Committee on Ways and Means and Membership
of the Committee From the 1st Through the 106th Congresses

A. Chairmen of the Committee on Ways and Means, 1789 to Present

----------------------------------------------------------------------------------------------------------------
Name State Party Term of service
----------------------------------------------------------------------------------------------------------------
Thomas Fitzsimons.................... Pennsylvania........... Federalist............. 1789.
William L. Smith..................... South Carolina......... do..................... 1794 to 1797.
Robert G. Harper..................... South Carolina......... do..................... 1797 to 1800.
Roger Griswold....................... Connecticut............ do..................... 1800 to 1801.
John Randolph........................ Virginia............... Jeffersonian Republican 1801 to 1805, 1827.
Joseph Clay.......................... Pennsylvania........... do..................... 1805 to 1807.
George W. Campbell................... Tennessee.............. do..................... 1807 to 1809.
John W. Eppes........................ Virginia............... do..................... 1809 to 1811.
Ezekiel Bacon........................ Massachusetts.......... do..................... 1811 to 1812.
Langdon Cheves....................... South Carolina......... do..................... 1812 to 1813.
John W. Eppes........................ Virginia............... do..................... 1813 to 1815.
William Lowndes...................... South Carolina......... do..................... 1815 to 1818.
Samuel Smith......................... Maryland............... do..................... 1818 to 1822.
Louis McLane......................... Delaware............... do..................... 1822 to 1827.
George McDuffie...................... South Carolina......... Democrat............... 1827 to 1832.
Gulian C. Verplanck.................. New York............... do..................... 1832 to 1833.
James K. Polk........................ Tennessee.............. do..................... 1833 to 1835.
C. C. Cambreleng..................... New York............... do..................... 1835 to 1839.
John W. Jones........................ Virginia............... do..................... 1839 to 1841.
Millard Fillmore..................... New York............... Whig................... 1841 to 1843.
James Iver McKay..................... North Carolina......... Democrat............... 1843 to 1847.
Samuel F. Vinton..................... Ohio................... Whig................... 1847 to 1849.
Thomas H. Bayly...................... Virginia............... Democrat............... 1849 to 1851.
George S. Houston.................... Alabama................ do..................... 1851 to 1855.
Lewis D. Campbell.................... Ohio................... Republican............. 1855 to 1857.
J. Glancy Jones...................... Pennsylvania........... Democrat............... 1857 to 1858.
John S. Phelps....................... Missouri............... do..................... 1858 to 1859.
John Sherman......................... Ohio................... Republican............. 1859 to 1861.
Thaddeus Stevens..................... Pennsylvania........... do..................... 1861 to 1865.
Justin S. Morrill.................... Vermont................ Republican............. 1865 to 1867.
Robert C. Schenck.................... Ohio................... do..................... 1867 to 1871.
Samuel D. Hooper..................... Massachusetts.......... do..................... 1871.
Henry L. Dawes....................... Massachusetts.......... do..................... 1871 to 1875.
William R. Morrison.................. Illinois............... Democrat............... 1875 to 1877.
Fernando Wood........................ New York............... do..................... 1877 to 1881.
John R. Tucker....................... Virginia............... do..................... 1881.
William D. Kelley.................... Pennsylvania........... Republican............. 1881 to 1883.
William R. Morrison.................. Illinois............... Democrat............... 1883 to 1887.
Roger Q. Mills....................... Texas.................. do..................... 1887 to 1889.
William McKinley, Jr................. Ohio................... Republican............. 1889 to 1891.
William M. Springer.................. Illinois............... Democrat............... 1891 to 1893.
William L. Wilson.................... West Virginia.......... do..................... 1893 to 1895.
Nelson Dingley, Jr................... Maine.................. Republican............. 1895 to 1899.
Sereno E. Payne...................... New York............... do..................... 1899 to 1911.
Oscar W. Underwood................... Alabama................ Democrat............... 1911 to 1915.
Claude Kitchin....................... North Carolina......... do..................... 1915 to 1919.
Joseph W. Fordney.................... Michigan............... Republican............. 1919 to 1923.
William R. Green..................... Iowa................... do..................... 1923 to 1928.
Willis C. Hawley..................... Oregon................. do..................... 1929 to 1931.
James W. Collier..................... Mississippi............ Democrat............... 1931 to 1933.
Robert L. Doughton................... North Carolina......... do..................... 1933 to 1947, 1949 to
1953.
Harold Knutson....................... Minnesota.............. Republican............. 1947 to 1949.
Daniel A. Reed....................... New York............... Republican............. 1953 to 1955.
Jere Cooper.......................... Tennessee.............. Democrat............... 1955 to 1957.
Wilbur D. Mills...................... Arkansas............... do..................... 1957 to 1975.
Al Ullman............................ Oregon................. do..................... 1975 to 1981.
Dan Rostenkowski..................... Illinois............... do..................... 1981 to 1994.
Bill Archer.......................... Texas.................. Republican............. 1995 to 2001.
----------------------------------------------------------------------------------------------------------------

B. Tables Showing Past Membership of the Committee

1. MEMBERS OF THE COMMITTEE ON WAYS AND MEANS FROM THE 1ST THROUGH THE
106TH CONGRESS, BY STATE

Alabama: Congress(es)
John McKinley....................................... 23
David Hubbard....................................... 26
Dixon H. Lewis...................................... 27-28
George S. Houston................................... 29-30, 32-33
James F. Dowdell.................................... 35
Hilary A. Herbert................................... 48
Joseph Wheeler...................................... 53-55
Oscar W. Underwood.................................. 56, 59-63
Ronnie G. Flippo.................................... 98-101
Arizona:
J.D. Hayworth....................................... 105-
Arkansas:
James K. Jones...................................... 48
Clifton R. Breckinridge............................. 49-51, 53
William A. Oldfield................................. 64-70
Heartsill Ragon..................................... 70-73
William J. Driver................................... 72
Claude A. Fuller.................................... 73-75
Wilbur D. Mills..................................... 77-94
Jim Guy Tucker, Jr.................................. 95
Beryl Anthony, Jr................................... 97-102
California:
Joseph McKenna...................................... 51-52
Victor H. Metcalf................................... 57-58
James C. Needham.................................... 58-62
William E. Evans.................................... 73
Frank H. Buck....................................... 74-77
Bertrand W. Gearhart................................ 76-80
Cecil R. King....................................... 78-79, 81-90
James B. Utt........................................ 83, 86-91
James C. Corman..................................... 90-96
Jerry L. Pettis..................................... 91-94
William M. Ketchum.................................. 94-95
Fortney Pete Stark.................................. 94-
John H. Rousselot................................... 95-97
Robert T. Matsui.................................... 97-
William M. Thomas................................... 98-
Wally Herger........................................ 103-
Xavier Becerra...................................... 105-
Colorado:
Robert W. Bonynge................................... 60
Charles B. Timberlake............................... 66-72
John A. Carroll..................................... 81
Donald G. Brotzman.................................. 92-93
George H. ``Hank'' Brown............................ 100-101
Scott McInnis....................................... 103-
Connecticut:
Jeremiah Wadsworth.................................. 1
Uriah Tracy......................................... 3
James Hillhouse..................................... 4
Nathaniel Smith..................................... 4-5
Joshua Coit......................................... 5
Roger Griswold...................................... 5-8
John Davenport...................................... 8
Jonathan O. Moseley................................. 9, 14, 16
Benjamin Tallmadge.................................. 10-11
Timothy Pitkin...................................... 12-13, 15
Ralph I. Ingersoll.................................. 21-22
Samuel D. Hubbard................................... 30
James Phelps........................................ 45-46
Charles A. Russell.................................. 54-57
Ebenezer J. Hill.................................... 58-62, 64-65
John Q. Tilson...................................... 66-68
Antoni N. Sadlak.................................... 83-85
William R. Cotter................................... 94-97
Barbara B. Kennelly................................. 98-105
Nancy L. Johnson.................................... 101-
Delaware:
John Vining......................................... 1
Henry Latimer....................................... 3
John Patten......................................... 4
James A. Bayard, Sr................................. 5, 7
Caesar A. Rodney.................................... 8
Louis McLane........................................ 16-19
Florida:
A.S. Herlong, Jr.................................... 84-90
Sam M. Gibbons...................................... 91-104
L.A. (Skip) Bafalis................................. 94-97
E. Clay Shaw, Jr.................................... 100-
Karen L. Thurman.................................... 105-
Mark Foley.......................................... 104-
Georgia:
James Jackson....................................... 1
Abraham Baldwin..................................... 3-5
Benjamin Taliaferro................................. 6
John Milledge....................................... 7
David Meriwether.................................... 8-9
William W. Bibb..................................... 12-13
Joel Abbott......................................... 15
Joel Crawford....................................... 15-16
Wiley Thompson...................................... 17-18
George R. Gilmer.................................... 20
Richard H. Wilde.................................... 22-23
George W. Owens..................................... 24-25
Charles E. Haynes................................... 25
Mark A. Cooper...................................... 26
Absalom H. Chappell................................. 28
Seaborn Jones....................................... 29
Robert Toombs....................................... 30-31
Alexander H. Stephens............................... 30-31, 33
Marshall J. Wellborn................................ 31
Howell Cobb......................................... 34
Martin J. Crawford.................................. 35-36
Benjamin H. Hill.................................... 44
Henry R. Harris..................................... 45, 49
William H. Felton................................... 46
Emory Speer......................................... 47
James H. Blount..................................... 48
Henry G. Turner..................................... 50-54
Charles F. Crisp.................................... 54
James M. Griggs..................................... 60-61
William G. Brantley................................. 61-62
Charles R. Crisp.................................... 64-72
Albert S. Camp...................................... 78-83
Phillip M. Landrum.................................. 89-94
Ed Jenkins.......................................... 95-102
Wyche Fowler, Jr.................................... 96-99
John Lewis.......................................... 103-
Mac Collins......................................... 104-
Hawaii:
Cecil (Cec) Heftel.................................. 96-99
Illinois:
Daniel P. Cook...................................... 19
John A. McClernand.................................. 37
John Wentworth...................................... 39
John A. Logan....................................... 40
Samuel S. Marshall.................................. 41
Horatio C. Burchard................................. 42-45
William R. Morrison................................. 44, 46-49
William M. Springer................................. 52
Albert J. Hopkins................................... 52-57
Henry S. Boutell.................................... 58-61
Henry T. Rainey..................................... 62-66, 68-72
John A. Sterling.................................... 65
Ira C. Copley....................................... 66-67
Carl R. Chindblom................................... 68-72
Chester C. Thompson................................. 74-75
Raymond S. McKeough................................. 76-77
Charles S. Dewey.................................... 78
Thomas J. O'Brien................................... 79, 81-88
Noah M. Mason....................................... 80-87
Harold R. Collier................................... 88-93
Dan Rostenkowski.................................... 88-103
Abner J. Mikva...................................... 94-96
Philip M. Crane..................................... 94-
Marty Russo......................................... 96-102
Mel Reynolds........................................ 103
Jerry Weller........................................ 105-
Indiana:
David Wallace....................................... 27
Cyrus L. Dunham..................................... 32
William E. Niblack.................................. 40, 43
Godlove S. Orth..................................... 41
Michael C. Kerr..................................... 42
Thomas M. Browne.................................... 48-50
William D. Bynum.................................... 50, 53
Benjamin F. Shively................................. 52
George W. Steele.................................... 54-57
James E. Watson..................................... 58-60
Edgar D. Crumpacker................................. 60-61
Lincoln Dixon....................................... 62-65
Harry C. Canfield................................... 71-72
John W. Boehne, Jr.................................. 73-77
Robert A. Grant..................................... 80
Andy Jacobs, Jr..................................... 94-104
Iowa:
John A. Kasson...................................... 38, 43, 47-48
William B. Allison.................................. 39-41
John H. Gear........................................ 51, 53
Jonathan P. Dolliver................................ 54-56
William R. Green.................................... 63-70
C. William Ramseyer................................. 70-71
Otha D. Wearin...................................... 75
Lloyd Thurston...................................... 75
Thomas E. Martin.................................... 80-83
Fred Grandy......................................... 102-103
Jim Nussle.......................................... 104-
Kansas:
Dudley C. Haskell................................... 47
Chester I. Long..................................... 56-57
Charles Curtis...................................... 58-59
William A. Calderhead............................... 60-61
Victor Murdock...................................... 63
Guy T. Helvering.................................... 64-65
Frank Carlson....................................... 76-79
Martha E. Keys...................................... 94-95
Kentucky:
Alexander D. Orr.................................... 3
Christopher Greenup................................. 4
Thomas T. Davis..................................... 5
John Boyle.......................................... 8
Richard M. Johnson.................................. 11-12
Thomas Montgomery................................... 13
David Trimble....................................... 15-16
Nathan Gaither...................................... 22
John Pope........................................... 25
Thomas F. Marshall.................................. 27
Garrett Davis....................................... 28
Charles S. Morehead................................. 30-31
John C. Breckinridge................................ 33
Robert Mallory...................................... 38
James B. Beck....................................... 42-43
Henry Watterson..................................... 44
John G. Carlisle.................................... 46-47, 51
Joseph C.S. Blackburn............................... 48
William C.P. Breckinridge........................... 49-50
Alexander B. Montgomery............................. 52-53
Walter Evans........................................ 54-55
Ollie M. James...................................... 62
Augustus O. Stanley................................. 63
Frederick M. Vinson................................. 72-75
Noble J. Gregory.................................... 78-85
John C. Watts....................................... 86-92
Jim Bunning......................................... 102-105
Ron Lewis........................................... 104-
Louisiana:
Thomas B. Robertson................................. 14
William L. Brent.................................... 19-20
Walter H. Overton................................... 21
Lionel A. Sheldon................................... 43
Randall L. Gibson................................... 45-46
Charles J. Boatner.................................. 54
Samuel M. Robertson................................. 55-59
Robert F. Broussard................................. 61
Whitmell P. Martin.................................. 65-70
Paul H. Maloney..................................... 76, 78-79
Thomas Hale Boggs, Sr............................... 81-91
Joe D. Waggonner, Jr................................ 92-95
W. Henson Moore III................................. 96-99
William J. Jefferson................................ 103, 105-
Jim McCrery......................................... 103-
Jimmy Hayes......................................... \4\ 104
---------------------------------------------------------------------------
\4\ Appointed January 25, 1996.
---------------------------------------------------------------------------
William J. Jefferson................................ 105-
Maine:
Peleg Sprague....................................... 19-20
Francis O.J. Smith.................................. 24
George Evans........................................ 26
Israel Washburn, Jr................................. 36
James G. Blaine..................................... 44
William P. Frye..................................... 46
Thomas B. Reed...................................... 48-50, 52-53
Nelson Dingley, Jr.................................. 51, 54-55
Daniel J. McGillicuddy.............................. 64
Maryland:
William Smith....................................... 1
Gabriel Christie.................................... 3
William Vans Murray................................. 4
William Hindman..................................... 4-5
William Craik....................................... 5
Joseph H. Nicholson................................. 6-9
Nicholas R. Moore................................... 8
Roger Nelson........................................ 9
John Montgomery..................................... 10-11
Alexander McKim..................................... 13
Stevenson Archer.................................... 13
Samuel Smith........................................ 14-17
Isaac McKim......................................... 18, 23-25
Henry W. Davis...................................... 34-36
Phillip F. Thomas................................... 44
David J. Lewis...................................... 72-75
Rogers C.B. Morton.................................. 91-92
Benjamin L. Cardin.................................. 101-
Massachusetts:
Elbridge Gerry...................................... 1
Fisher Ames......................................... 3
Theodore Sedgwick................................... 4
Theophilus Bradbury................................. 4
Harrison Gray Otis.................................. 5-6
Samuel Sewall....................................... 5
Isaac Parker........................................ 5
Bailey Bartlett..................................... 6
Nathan Read......................................... 7
Seth Hastings....................................... 8
Josiah Quincy....................................... 9
Ezekiel Bacon....................................... 11-12
Ebenezer Seaver..................................... 11
Henry Shaw.......................................... 16
Henry W. Dwight..................................... 19-21
Benjamin Gorham..................................... 23
Abbott Lawrence..................................... 24, 26
Richard Fletcher.................................... 25
George N. Briggs.................................... 25
Leverett Saltonstall................................ 26
Robert C. Winthrop.................................. 29
Charles Hudson...................................... 30
George Ashmun....................................... 31
William Appleton.................................... 32-33, 37
Alexander De Witt................................... 34
Nathaniel P. Banks.................................. 35, 45
Samuel Hooper....................................... 37-41
Henry L. Dawes...................................... 42-43
Chester W. Chapin................................... 44
William A. Russell.................................. 47-48
Moses T. Stevens.................................... 52-53
Samuel W. McCall.................................... 56-62
Andrew J. Peters.................................... 62-63
Augustus P. Gardner................................. 63-65
John J. Mitchell.................................... 63
Allen T. Treadway................................... 65-78
Peter F. Tague...................................... 67-68
John W. McCormack................................... 72-76
Arthur D. Healey.................................... 77
Charles L. Gifford.................................. 79-80
Angier L. Goodwin................................... 80, 82-83
James A. Burke...................................... 87-95
James M. Shannon.................................... 96-98
Brian J. Donnelly................................... 99-102
Richard E. Neal..................................... 103-
Michigan:
William A. Howard................................... 34-36
Austin Blair........................................ 41
Henry Waldron....................................... 43
Omar D. Conger...................................... 46
Jay A. Hubbell...................................... 47
William C. Maybury.................................. 49
Julius C. Burrows................................... 50-53
Justin R. Whiting................................... 52-53
William A. Smith.................................... 59
Joseph W. Fordney................................... 60-67
James C. McLaughlin................................. 68-72
Roy O. Woodruff..................................... 73-82
John D. Dingell..................................... 74-84
Victor A. Knox...................................... 83, 86-88
Thaddeus M. Machrowicz.............................. 84-87
Martha W. Griffiths................................. 87-93
Charles E. Chamberlain.............................. 91-93
Richard F. Vander Veen.............................. 93-94
Guy Vander Jagt..................................... 94-102
William M. Brodhead................................. 95-97
Sander M. Levin..................................... 100-
Dave Camp........................................... 103-
Minnesota:
Mark H. Dunnell..................................... 46-47
James A. Tawney..................................... 54-58
James T. McCleary................................... 59
Winfield S. Hammond................................. 62-63
Sydney Anderson..................................... 63
Harold Knutson...................................... 73-80
Eugene J. McCarthy.................................. 84-85
Joseph E. Karth..................................... 92-94
Bill Frenzel........................................ 94-101
Jim Ramstad......................................... 104-
Mississippi:
Jacob Thompson...................................... 31
John Sharp Williams................................. 58-59
James W. Collier.................................... 63-72
Aaron Lane Ford..................................... 77
Missouri:
James S. Green...................................... 31
John S. Phelps...................................... 32-37
Henry T. Blow....................................... 38
John Hogan.......................................... 39
Gustavus A. Finkelburg.............................. 42
John C. Tarsney..................................... 53-54
Seth W. Cobb........................................ 54
Champ Clark......................................... 58-61
Dorsey W. Shackleford............................... 62-63
Clement C. Dickinson................................ 63-66, 68-70,
72-73
Charles L. Faust.................................... 69-70
Richard M. Duncan................................... 74-77
Thomas B. Curtis.................................... 83-90
Frank M. Karsten.................................... 84-90
Richard A. Gephardt................................. 95-101
Mel Hancock......................................... 103-104
Kenny Hulshof....................................... 105-
Montana:
Lee W. Metcalf...................................... 86
James F. Battin..................................... 89-91
Nebraska:
William J. Bryan.................................... 52-53
Charles H. Sloan.................................... 63-65
Ashton C. Shallenberger............................. 73
Carl T. Curtis...................................... 79-83
Hal Daub............................................ 99-100
Peter Hoagland...................................... 103
Jon Christensen..................................... 104-105
Nevada:
Francis G. Newlands................................. 56-57
John Ensign......................................... 104-105
New Hampshire:
Samuel Livermore.................................... 1
Nicholas Gilman..................................... 3-4
Abiel Foster........................................ 5
Nathaniel A. Haven.................................. 11
Henry Hubbard....................................... 23
Charles G. Atherton................................. 25-27
Moses Norris, Jr.................................... 28-29
Harry Hibbard....................................... 31-33
Judd A. Gregg....................................... 99-100
New Jersey:
Lambert Cadwalader.................................. 1
Elias Boudinot...................................... 3
Isaac Smith......................................... 4
Thomas Sinnickson................................... 5
James H. Imlay...................................... 6
William Coxe, Jr.................................... 13
John L. N. Stratton................................. 37
William Hughes...................................... 62
Isaac Bacharach..................................... 66-74
Donald H. McLean.................................... 76-78
Robert W. Kean...................................... 78-85
Henry Helstoski..................................... 94
Frank J. Guarini.................................... 96-102
Dick Zimmer......................................... 104
New Mexico:
Clinton P. Anderson................................. 79
New York:
John Laurance....................................... 1
John Watts.......................................... 3
Ezekiel Gilbert..................................... 4
James Cochran....................................... 5
Hezekiah L. Hosmer.................................. 5
Jonas Platt......................................... 6
Killian K. Van Rensselaer........................... 7
Joshua Sands........................................ 8
Erastus Root........................................ 11
John W. Taylor...................................... 13
Jonathan Fisk....................................... 13
Thomas J. Oakley.................................... 13
James W. Wilkin..................................... 14
James Tallmadge, Jr................................. 15
Albert H. Tracy..................................... 16
Nathaniel Pitcher................................... 17
Churchill C. Cambreleng............................. 17-18, 23-25
Dudley Marvin....................................... 19
Gulian C. Verplanck................................. 20-22
Aaron Vanderpoel.................................... 26
Millard Filmore..................................... 27
Daniel D. Barnard................................... 28
David L. Seymour.................................... 28
George O. Rathbun................................... 28
Orville Hungerford.................................. 29
Henry Nicoll........................................ 30
James Brooks........................................31-32, 39-40, 42
William Duer........................................ 31
Solomon G. Haven.................................... 33
Russell Sage........................................ 34
John Kelly.......................................... 35
William B. MacLay................................... 35
Elbridge G. Spaulding............................... 36-37
Erastus Corning..................................... 37
Reuben E. Fenton.................................... 38
De Witt C. Littlejohn............................... 38
Henry G. Stebbins................................... 38
John V.L. Pruyn..................................... 38
Roscoe Conkling..................................... 39
Charles H. Winfield................................. 39
John A. Griswold.................................... 40
Dennis McCarthy..................................... 41
Ellis H. Roberts.................................... 42-43
Fernando Wood....................................... 43-46
Abram S. Hewitt..................................... 48-49
Frank Hiscock....................................... 48-49
Sereno E. Payne..................................... 51-63
Roswell P. Flower................................... 51
William B. Cochran.................................. 52-53, 58-60
George B. McClellan................................. 55-58
John W. Dwight...................................... 61
Francis B. Harrison................................. 61-63
Michael F. Conry.................................... 64
George W. Fairchild................................. 64-65
John F. Carew....................................... 65-71
Luther W. Mott...................................... 66-67
Alanson B. Houghton................................. 67
Ogden L. Mills...................................... 67-69
Frank Crowther...................................... 68-77
Thaddeus C. Sweet................................... 70
Frederick M. Davenport.............................. 70-71
Thomas H. Cullen.................................... 71-78
Christopher D. Sullivan............................. 72-76
Daniel A. Reed...................................... 73-86
Walter A. Lynch..................................... 78-81
Eugene J. Keogh..................................... 82-89
Albert H. Bosch..................................... 86
Steven B. Derounian................................. 87-88
Barber B. Conable, Jr............................... 90-98
Jacob H. Gilbert.................................... 90-91
Hugh L. Carey....................................... 91-93
Otis G. Pike........................................ 93-95
Charles B. Rangel................................... 94-
Thomas J. Downey.................................... 96-102
Raymond J. McGrath.................................. 99-102
Michael R. McNulty.................................. \5\ 103, 104-
---------------------------------------------------------------------------
\5\ Appointed January 25, 1996.
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Amo Houghton........................................ 103-
North Carolina:
William B. Grove.................................... 3
Thomas Blount....................................... 4-5
Robert Williams..................................... 5
David Stone......................................... 6
James Holland....................................... 7
Willis Alston....................................... 10-11, 13
William Gaston...................................... 13-14
Abraham Rencher..................................... 25, 27
Henry W. Conner..................................... 26
James I. McKay...................................... 28-30
Edward Stanly....................................... 32
William M. Robbins.................................. 45
Edward W. Pou....................................... 60-61
Claude Kitchin...................................... 62-67
Robert L. Doughton.................................. 69-82
James G. Martin..................................... 94-98
North Dakota:
Martin N. Johnson................................... 54-55
George M. Young..................................... 66-68
Byron L. Dorgan..................................... 98-102
Ohio:
William Creighton, Jr............................... 13
Thomas R. Ross...................................... 16
Thomas Corwin....................................... 23-24
Thomas L. Hamer..................................... 25
Taylor Webster...................................... 25
Samson Mason........................................ 26-27
John B. Weller...................................... 28
Samuel F. Vinton.................................... 29-31
Lewis D. Campbell................................... 34-35
John Sherman........................................ 36
Valentine B. Horton................................. 37
George H. Pendleton................................. 38
James A. Garfield................................... 39, 44-46
Robert C. Schenck................................... 40-41
Charles Foster...................................... 43
Milton Sayler....................................... 45
William McKinley, Jr................................ 46-47, 49-51
Frank H. Hurd....................................... 48
Charles H. Grosvenor................................ 53-59
Nicholas Longworth.................................. 60-62, 64-67
Timothy T. Ansberry................................. 62-63
Alfred G. Allen..................................... 64
George White........................................ 65
Charles C. Kearns................................... 68-71
Charles F. West..................................... 73
Thomas A. Jenkins................................... 73-85
Arthur P. Lamneck................................... 74-75
Stephen M. Young.................................... 81
Jackson E. Betts.................................... 86-92
Donald D. Clancy.................................... 93-94
Charles A. Vanik.................................... 89-96
Bill Gradison....................................... 95-103
Don J. Pease........................................ 97-102
Rob Portman......................................... 104-
Oklahoma:
Thomas A. Chandler.................................. 67
James V. McClintic.................................. 73
Wesley E. Disney.................................... 74-78
James R. Jones...................................... 94-99
Bill K. Brewster.................................... 103
Wes Watkins......................................... 105-
Oregon:
William R. Ellis.................................... 61
Willis C. Hawley.................................... 65-72
Albert C. Ullman.................................... 87-96
Mike Kopetski....................................... 103
Pennsylvania:
Thomas Fitzsimons................................... 1, 3
Albert Gallatin..................................... 4-6
Henry Woods......................................... 6
John Smilie......................................... 6-7, 10-12
Joseph Clay......................................... 8-9
John Rea............................................ 11
Jonathan Roberts.................................... 12-13
Samuel D. Ingham.................................... 13-14, 18
John Sergeant....................................... 15, 25
John Tod............................................ 17
John Gilmore........................................ 21-22
Horace Binney....................................... 23
Richard Biddle...................................... 26
Joseph R. Ingersoll................................. 24, 27-29
James Pollock....................................... 30
Moses Hampton....................................... 31
J. Glancy Jones..................................... 32, 35
John Robbins........................................ 33
James H. Campbell................................... 34
Henry M. Phillips................................... 35
Thaddeus Stevens.................................... 36-38
James K. Moorhead................................... 39-40
William D. Kelley................................... 41-50
Russell Errett...................................... 47
Samuel J. Randall................................... 47
William L. Scott.................................... 50
Thomas M. Bayne..................................... 51
John Dalzell........................................ 52-62
A. Mitchell Palmer.................................. 62-63
J. Hampton Moore.................................... 63-66
John J. Casey....................................... 64, 68
Henry W. Watson..................................... 66-73
Harris J. Bixler.................................... 69
Harry A. Estep...................................... 70-72
Thomas C. Cochran................................... 73
Joshua T. Brooks.................................... 74
Patrick J. Boland................................... 76-77
Benjamin Jarrett.................................... 76-77
James P. McGranery.................................. 77-78
Herman P. Eberharter................................ 78-85
Richard M. Simpson.................................. 78-86
William J. Green, Jr................................ 86-88
John A. Lafore, Jr.................................. 86
Walter M. Mumma..................................... 86-87
George M. Rhodes.................................... 88-90
Herman T. Schneebeli................................ 87-94
William J. Green III................................ 90-94
Raymond F. Lederer.................................. 95-96
Dick Schulze........................................ 95-102
Donald A. Bailey.................................... 97
William J. Coyne.................................... 99-
Rick Santorum....................................... 103
Philip S. English................................... 104-
Rhode Island:
Benjamin Bourne..................................... 3-4
Francis Malbone..................................... 4
Elisha R. Potter.................................... 4
Christopher G. Champlin............................. 5
John Brown.......................................... 6
Joseph Stanton, Jr.................................. 8
Daniel L.D. Granger................................. 59-60
George F. O'Shaunessy............................... 65
Richard S. Aldrich.................................. 69-72
Aime J. Forand...................................... 78-86
South Carolina:
William L. Smith.................................... 3-5
Robert Goodloe Harper............................... 5-6
Abraham Nott........................................ 6
David R. Williams................................... 9
Langdon Cheves...................................... 12
Theodore Gourdin.................................... 13
William Lowndes..................................... 13-15
John Taylor......................................... 14
Thomas R. Mitchell.................................. 17
George McDuffie..................................... 18-22
R. Barnwell Rhett................................... 25-26
Francis W. Pickens.................................. 27
John L. McLaurin.................................... 54-55
Ken Holland......................................... 95-97
Carroll A. Campbell, Jr............................. 98-99
Tennessee:
Andrew Jackson...................................... 4
William C.C. Claiborne.............................. 5
William Dickson..................................... 7, 9
George W. Campbell.................................. 10
Bennett H. Henderson................................ 14
Francis Jones....................................... 16-17
James K. Polk....................................... 22-23
Cave Johnson........................................ 24
George W. Jones..................................... 31-34
Horace Maynard...................................... 37, 40-42
Benton McMillan..................................... 49-55
James D. Richardson................................. 55-57
Cordell Hull........................................ 62-66, 68-71
Edward E. Eslick.................................... 72
Jere Cooper......................................... 72-85
Howard H. Baker..................................... 83-88
James B. Frazier, Jr................................ 85-87
Ross Bass........................................... 88
Richard H. Fulton................................... 89-94
John J. Duncan...................................... 92-100
Harold E. Ford...................................... 94-104
Don Sundquist....................................... 101-103
John S. Tanner...................................... 105-
Texas:
John Hancock........................................ 44
Roger Q. Mills...................................... 46, 48-51
Joseph W. Bailey.................................... 55
Samuel B. Cooper.................................... 56-58
Choice B. Randell................................... 60-62
John N. Garner...................................... 63-71
Morgan G. Sanders................................... 72-75
Milton H. West...................................... 76-80
Jesse M. Combs...................................... 81-82
Frank N. Ikard...................................... 84-87
Bruce Alger......................................... 86-88
Clark W. Thompson................................... 87-89
George H.W. Bush.................................... 90-91
Omar T. Burleson.................................... 90-95
Bill Archer......................................... 93-106
J.J. Pickle......................................... 94-103
Kent R. Hance....................................... 97-98
Michael A. Andrews.................................. 99-103
Sam Johnson......................................... 104-
Greg Laughlin....................................... \6\ 104-
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\6\ Appointed July 10, 1995.
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Lloyd Doggett....................................... 104-
Utah:
Walter K. Granger................................... 82
Vermont:
Daniel Buck......................................... 4
Israel Smith........................................ 3, 4, 7
Lewis R. Morris..................................... 5
James Fisk.......................................... 10, 12
Horace Everett...................................... 25
Justin S. Morrill................................... 35-39
Virginia:
James Madison....................................... 1, 3, 4
William B. Giles.................................... 5
Richard Brent....................................... 5
Walter Jones........................................ 5
Leven Powell........................................ 6
John Nicholas....................................... 6
John Randolph....................................... 7-9, 20
James M. Garnett.................................... 9
John W. Eppes....................................... 10-11, 13
William A. Burwell.................................. 12, 14-16
James Pleasants..................................... 12-13
John Tyler.......................................... 16
Andrew Stevenson.................................... 17-19
Alexander Smyth..................................... 20-21
Philip P. Barbour................................... 21
Mark Alexander...................................... 21-22
George Loyall....................................... 23-24
John W. Jones....................................... 25-27
John M. Botts....................................... 27
Thomas W. Gilmer.................................... 27
Thomas H. Bayly..................................... 28, 31
George C. Dromgoole................................. 28-29
James McDowell...................................... 30
John Letcher........................................ 34-35
John S. Millson..................................... 36
John R. Tucker...................................... 44-47
Claude A. Swanson................................... 55-58
A. Willis Robertson................................. 75-79
Burr P. Harrison.................................... 82, 84-87
W. Pat Jennings..................................... 88-89
Joel T. Broyhill.................................... 88-93
Joseph L. Fisher.................................... 94-96
L.F. Payne.......................................... 103-104
Washington:
Francis W. Cushman.................................. 61
Lindley H. Hadley................................... 66-72
Samuel B. Hill...................................... 71-74
Knute Hill.......................................... 77
Otis H. Holmes...................................... 80-85
Rodney D. Chandler.................................. 100-102
Jim McDermott....................................... 102-
Jennifer Dunn....................................... 104-
West Virginia:
William L. Wilson................................... 50, 52-53
Joseph H. Gaines.................................... 60-61
George M. Bowers.................................... 66-67
Hubert S. Ellis..................................... 80
Wisconsin:
Charles Billinghurst................................ 34
Robert M. La Follette............................... 51
Joseph W. Babcock................................... 57-59
James A. Frear...................................... 66-68, 71-73
Thaddeus F.B. Wasielewski........................... 78-79
John W. Byrnes...................................... 80-92
William A. Steiger.................................. 94-95
Jim Moody........................................... 100-102
Gerald D. Kleczka................................... 103-
2. COMMITTEE MEMBERSHIP, 106TH CONGRESS

Committee on Ways and Means
one hundred sixth congress
BILL ARCHER, Texas, Chairman

CHARLES B. RANGEL, New York PHILIP M. CRANE, Illinois
FORTNEY PETE STARK, California BILL THOMAS, California
ROBERT T. MATSUI, California E. CLAY SHAW, Jr., Florida
WILLIAM J. COYNE, Pennsylvania NANCY L. JOHNSON, Connecticut
SANDER M. LEVIN, Michigan AMO HOUGHTON, New York
BENJAMIN L. CARDIN, Maryland WALLY HERGER, California
JIM McDERMOTT, Washington JIM McCRERY, Louisiana
GERALD D. KLECZKA, Wisconsin DAVE CAMP, Michigan
JOHN LEWIS, Georgia JIM RAMSTAD, Minnesota
RICHARD E. NEAL, Massachusetts JIM NUSSLE, Iowa
MICHAEL R. McNULTY, New York SAM JOHNSON, Texas
WILLIAM J. JEFFERSON, Louisiana JENNIFER DUNN, Washington
JOHN S. TANNER, Tennessee MAC COLLINS, Georgia
XAVIER BECERRA, California ROB PORTMAN, Ohio
KAREN L. THURMAN, Florida PHILIP S. ENGLISH, Pennsylvania
LLOYD DOGGETT, Texas WES WATKINS, Oklahoma
J.D. HAYWORTH, Arizona
JERRY WELLER, Illinois
KENNY HULSHOF, Missouri
SCOTT McINNIS, Colorado
RON LEWIS, Kentucky
MARK FOLEY, Florida