[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[S. 2709 Introduced in Senate (IS)]
106th CONGRESS
2d Session
S. 2709
To establish a Beef Industry Compensation Trust Fund with the duties
imposed on products of countries that fail to comply with certain WTO
dispute resolution decisions.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
June 8, 2000
Mr. Baucus (for himself, Mr. Bond, Mr. Bingaman, Mr. Dorgan, Mr.
Daschle, and Mr. Kerrey) introduced the following bill; which was read
twice and referred to the Committee on Agriculture, Nutrition, and
Forestry
_______________________________________________________________________
A BILL
To establish a Beef Industry Compensation Trust Fund with the duties
imposed on products of countries that fail to comply with certain WTO
dispute resolution decisions.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Trade Injury Compensation Act of
2000''.
SEC. 2. FINDINGS.
Congress makes the following findings:
(1) United States goods and services compete in global
markets and it is necessary for trade agreements to promote
such competition.
(2) The current dispute resolution mechanism of the World
Trade Organization is designed to resolve disputes in a manner
that brings stability and predictability to world trade.
(3) When foreign countries refuse to comply with a panel or
Appellate Body report of the World Trade Organization and
violate any of the Uruguay Round Agreements, it has a
deleterious effect on the United States economy.
(4) A WTO member can retaliate against a country that
refuses to implement a panel or Appellate Body report by
imposing additional duties of up to 100 percent on goods
imported from the noncomplying country.
(5) The World Trade Organization Dispute Settlement Body
found in favor of the United States regarding the European
Union's ban on United States beef produced with hormones and
authorized retaliation subsequent to the European Union's
failure to implement that decision.
(6) The United States beef industry has suffered by the
European Union's continued noncompliance with the World Trade
Organization ruling and should be remedied through the
establishment of a Beef Industry Compensation Trust Fund until
compliance is achieved.
(7) In cases where additional duties are imposed such as
the United States beef and the European Union dispute, the
additional duties should be used to provide relief to the
United States beef industry that has been insured by
noncompliance.
SEC. 3. DEFINITIONS.
In this Act:
(1) Uruguay round agreements.--The term ``Uruguay Round
Agreements'' has the meaning given such term in section 2(7) of
the Uruguay Round Agreements Act (19 U.S.C. 3501(7).
(2) World trade organization.--The term ``World Trade
Organization'' means the organization established pursuant to
the WTO Agreement.
(3) WTO agreement.--The term ``WTO Agreement'' means the
Agreement Establishing The World Trade Organization entered
into on April 15, 1994.
(4) WTO and wto member.--The terms ``WTO'' and ``WTO
member'' have the meanings given those terms in section 2 of
the Uruguay Round Agreements Act (19 U.S.C. 3501).
(5) Injured producer.--The term ``injured producer'' means
a domestic producer of a product (including an agricultural
product) with respect to which a dispute resolution proceeding
has been brought before the World Trade Organization, if the
dispute resolution is resolved in favor of the producer, and
the foreign country against which the proceeding has been
brought has failed to comply with the report of the panel or
Appellate Body of the WTO.
(6) Beef retaliation list.--The term ``beef retaliation
list'' means the list of products of European Union countries
with respect to which the United States Trade Representative is
imposing duties above the level that would otherwise be imposed
under the Harmonized Tariff Schedule of the United States as a
result of the European Union's ban on the importation of United
States beef produced with hormones.
SEC. 4. BEEF INDUSTRY COMPENSATION TRUST FUND.
(a) Establishment.--There is established in the Treasury of the
United States a fund to be known as the ``Beef Industry Compensation
Trust Fund'' (referred to in this Act as the ``Fund'') consisting of
such amounts as may be appropriated or credited to the Fund under
subsection (b) and any interest earned on investment of amounts in the
Fund under subsection (c)(2).
(b) Transfer of Amounts Equivalent to Certain Duties.--
(1) In general.--There are hereby appropriated and
transferred to the Fund an amount equal to the amount received
in the Treasury as a result of the imposition of additional
duties imposed on the products on a United States beef
retaliation list.
(2) Transfers based on estimates.--The amounts required to
be transferred under paragraph (1) shall be transferred at
least quarterly from the general fund of the Treasury to the
Fund on the basis of estimates made by the Secretary of the
Treasury. Proper adjustment shall be made in amounts
subsequently transferred to the extent prior estimates were in
excess of or less than the amounts required to be transferred.
(c) Investment of Fund.--
(1) In general.--The Secretary of the Treasury shall invest
such portion of the Fund as is not, in the Secretary's
judgment, required to meet current withdrawals. Such
investments may be made only in interest-bearing obligations of
the United States or in obligations guaranteed as to both
principal and interest by the United States.
(2) Credits to fund.--The interest on, and the proceeds
from the sale or redemption of, any obligations held in the
Fund shall be credited to and form a part of the Fund.
(d) Distributions From Fund.--Amounts in the Fund shall be
available as provided in appropriations Acts, for making distributions
in accordance with subsections (e) and (f).
(e) Availability of Amounts From Fund.--From amounts available in
the Fund (including any amounts not obligated in previous fiscal
years), the Secretary of Agriculture is authorized to provide grants to
a nationally recognized beef promotion and research board established
for the education and market promotion of the United States beef
industry for the following purposes:
(1) To provide assistance to United States beef producers
to improve the quality of beef produced in the United States.
(2) To provide assistance to United States beef producers
in market development, consumer education, and promotion of the
beef industry in overseas markets.
(f) Termination of Fund.--
(1) In general.--The Secretary of the Treasury shall cease
the transfer of amounts equivalent to the duties on the beef
retaliation list when the European Union complies with the
World Trade Organization ruling allowing United States beef
producers access to the European market and additional duties
are no longer imposed on products listed on the beef
retaliation list.
(2) Distribution of unused funds.--The Secretary of
Agriculture shall distribute any unused funds in a manner that
benefits the domestic beef industry.
(g) Report to Congress.--The Secretary of the Treasury shall, after
consultation with the Secretaries of Agriculture, Commerce, and Labor,
report to the Congress each year on the financial condition and the
results of the operations of the Fund during the preceding fiscal year
and on its expected condition and operations during the next fiscal
year.
SEC. 5. PROHIBITION ON REDUCING SERVICES OR FUNDS.
No payment made to an injured producer under this Act shall result
in the reduction or denial of any service or assistance with respect to
which the injured producer would otherwise be entitled.
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