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104th Congress                                            Rept. 104-839
                        HOUSE OF REPRESENTATIVES

 2d Session                                                      Part 1
_______________________________________________________________________


 
        UNITED STATES NATIONAL TOURISM ORGANIZATION ACT OF 1996
                                _______
                                

 September 25, 1996.--Committed to the Committee of the Whole House on 
            the State of the Union and ordered to be printed

                                _______
                                

  Mr. Bliley, from the Committee on Commerce, submitted the following

                              R E P O R T

                             together with

                            DISSENTING VIEWS

                        [To accompany H.R. 2579]

      [Including cost estimate of the Congressional Budget Office]

  The Committee on Commerce, to whom was referred the bill 
(H.R. 2579) to establish the National Tourism Board and the 
National Tourism Organization to promote international travel 
and tourism to the United States, having considered the same, 
report favorably thereon with an amendment and recommend that 
the bill as amended do pass.

                                CONTENTS

                                                                   Page
The Amendment....................................................     2
Purpose and Summary..............................................     5
Background and Need For Legislation..............................     6
Hearings.........................................................     6
Committee Consideration..........................................     7
Rollcall Votes...................................................     7
Committee Oversight Findings.....................................     7
Committee on Government Reform and Oversight.....................     7
New Budget Authority and Tax Expenditures........................     7
Committee Cost Estimate..........................................     8
Congressional Budget Office Estimate.............................     8
Inflationary Impact Statement....................................    10
Section-by-Section Analysis of the Legislation...................    10
Changes in Existing Law Made by the Bill, as Reported............    13
Dissenting Views.................................................    30

                               Amendment

  The amendment is as follows:
  Strike out all after the enacting clause and insert in lieu 
thereof the following:

SECTION 1. SHORT TITLE.

  This Act may be cited as the ``United States National Tourism 
Organization Act of 1996''.

SEC. 2. UNITED STATES NATIONAL TOURISM ORGANIZATION.

  (a) Establishment.--There is established with a Federal charter the 
United States National Tourism Organization. The Organization shall be 
a private not-for-profit organization. The Organization shall not be 
considered a Federal agency.
  (b) Duties.--The Organization shall--
          (1) seek to, and work for, an increase in the share of the 
        United States in the global tourism market;
          (2) develop and implement a national travel and tourism 
        strategy;
          (3) advise the President, the Congress, and the domestic 
        travel and tourism industry on the implementation of the 
        national travel and tourism strategy and on other matters 
        affecting travel and tourism;
          (4) operate travel and tourism promotion programs outside the 
        United States in partnership with the travel and tourism 
        industry in the United States;
          (5) conduct market research necessary for effective promotion 
        of the travel and tourism market; and
          (6) promote United States travel and tourism at international 
        trade shows.
  (c) Powers.--The Organization--
          (1) may sue and be sued, make contracts, acquire, hold, and 
        dispose of real and personal property as may be necessary for 
        its corporate purposes;
          (2) may provide financial assistance to any organization or 
        association in furtherance of the purpose of the corporation;
          (3) may adopt and alter a corporate seal;
          (4) may establish and maintain offices for the conduct of the 
        affairs of the Organization; and
          (5) may conduct any and all acts necessary and proper to 
        carry out the purposes of this Act.
  (d) Funding.--The Organization may accept financial contributions, 
and may accept gifts, legacies, and devices in furtherance of the 
purposes of this Act. The Organization may also accept such 
contributions on behalf of the Board to cover the expenses of the 
Board.
  (e) Political Activities Prohibited.--The Organization shall not 
engage in any activities designed in part or in whole to promote a 
political party or the candidacy of any person seeking or holding 
political office.

SEC. 3. UNITED STATES NATIONAL TOURISM ORGANIZATION BOARD.

  (a) Establishment.--There is established the United States National 
Tourism Organization Board for the purposes of governing and 
supervising the activities of the Organization.
  (b) Members.--The Board members shall be initially appointed or 
elected as follows:
          (1) The Under Secretary of Commerce for International Trade 
        of the Department of Commerce shall serve as a member ex 
        officio;
          (2) 5 State Travel Directors elected by the National Council 
        of State Travel Directors;
          (3) 5 members elected by the International Association of 
        Convention and Visitors Bureaus;
          (4) 3 members elected by the Air Transport Association;
          (5) 1 member elected by the National Association of 
        Recreational Vehicle Parks and Campgrounds; 1 member elected by 
        the Recreation Vehicle Industry Association;
          (6) 2 members elected by the International Association of 
        Amusement Parks and Attractions;
          (7) 3 members appointed by major companies in the travel 
        payments industry;
          (8) 5 members elected by the American Hotel and Motel 
        Association;
          (9) 2 members elected by the American Car Rental Association; 
        1 member elected by the American Automobile Association; 1 
        member elected by the American Bus Association; 1 member 
        elected by Amtrak;
          (10) 1 member elected by the American Society of Travel 
        Agents and 1 member elected by the Association of Retail Travel 
        Agents;
          (11) 1 member elected by the National Tour Association; 1 
        member elected by the United States Tour Operators Association;
          (12) 1 member elected by the Cruise Lines International 
        Association, 1 member elected by the National Restaurant 
        Association, one member elected by the National Park 
        Hospitality Association, 1 member elected by the Airports 
        Council International; 1 member elected by the Meeting 
        Professionals International, 1 member elected by the American 
        Sightseeing International, and 4 members elected by the Travel 
        Industry Association of America;
          (13) 1 member appointed by the Speaker of the House;
          (14) 1 member appointed by the Senate majority leader;
          (15) 1 member appointed as a representative of the AFL-CIO; 
        and
          (16) 1 member appointed by the National Federation of 
        Independent Businesses.
  (c) Chair.--
          (1) Appointment.--The Board shall elect a Chair for a term of 
        2 years. If at any time after such initial election there is a 
        subsequent vacancy in the office of the Chair, the President of 
        the Organization shall appoint an acting Chair until such time 
        as the Board reconvenes.
          (2) Removal.--Board members may only be removed upon petition 
        by the appointing official, with such petition requiring a \2/
        3\ vote of the Board for the removal to become effective.
  (d) President.--The Board shall appoint and establish the 
compensation and duties of a President who shall assist the Chair in 
organizing and carrying out the necessary functions of the Board. The 
duties of the President shall include serving as a member of the Trade 
Promotion Coordinating Committee.
  (e) Meetings.--The Board shall meet at the call of the Chair, but not 
less frequently than semiannually. The Board must meet within 3 months 
of appointment of all members, but in any case no later than 6 months 
after enactment of this Act.
  (f) Compensation and Expenses.--The Chair and members of the Board 
shall serve without compensation but may be compensated for expenses 
incurred in carrying out the duties of the Board.
  (g) Duties.--
          (1) The Board shall adopt such further bylaws and delegation 
        of authority for itself and the Organization as it deems 
        necessary and proper, which shall--
                  (A) require at least a three-fifths majority vote for 
                amendment;
                  (B) set forth the process for the number, terms, and 
                appointment or election of future Board members, not 
                inconsistent with the provisions of this Act (other 
                than subsection (b) of this section);
                  (C) provide the authority for the hiring and 
                compensation of additional staff; and
                  (D) establish the procedures for calling meetings and 
                providing appropriate notice, including procedures for 
                closing meetings where confidential information or 
                strategy will be discussed.
          (2) The Board shall designate a place of business for the 
        receipt of process, subject to the laws of the State or 
        district so designated, where such laws do not conflict with 
        the provisions of this Act.
          (3) The Board shall present testimony and make available 
        reports on its findings and recommendations to the Congress and 
        to legislatures of the States on at least a biannual basis.
          (4) Within one year of the date of its first meeting, the 
        Board shall report to the Senate Committee on Commerce, 
        Science, and Transportation and the House Committee on Commerce 
        on a plan for long-term financing for the Organization, with a 
        focus on contributions from the private sector and State and 
        local entities, and, if necessary, make recommendations to the 
        Congress and the President for further legislation.
          (5) The Board may suspend or terminate the existence of the 
        Organization if sufficient private sector and local and State 
        government funds are not identified or made available to 
        continue the Organization's operations.
          (6) The Board shall appoint and set the terms for liaisons to 
        the Tourism Policy Council established under section 302.

SEC. 4. UNITED STATES GOVERNMENT COOPERATION.

  (a) The Secretary of State, Director of the United States Information 
Agency, Secretary of Commerce, the United States Trade Representative, 
and the Trade and Development Agency shall--
          (1) give priority consideration to recommendations of the 
        Organization; and
          (2) cooperate with the Organization in carrying out its 
        duties.
  (b) The Under Secretary for International Trade, the Assistant 
Secretary for Trade Development, the United States and Foreign 
Commercial Service, the Director of the United States Information 
Agency, the United States Trade Representative, and the Trade and 
Development Agency shall report within 2 years of enactment of this 
Act, and every 2 years thereafter to the Senate Committee on Commerce, 
Science, and Transportation and the House Committee on Commerce on any 
travel and tourism activities carried out with the participation of the 
United States Federal Government.

SEC. 5. TRADE PROMOTION COORDINATING COMMITTEE.

  Section 2312 of the Export Enhancement Act of 1988 (15 U.S.C. 4727) 
is amended--
          (1) in subsection (c) by adding at the end thereof:
          ``(6) give priority consideration to the recommendations of 
        the United States National Tourism Organization.''; and
          (2) in paragraph (d)(1) by striking ``and'' in ``(L)'', by 
        redesignating ``(M)'' as ``(N)'', and by inserting the 
        following:
                  ``(M) the President of the United States National 
                Tourism Organization; and''.

SEC. 6. REPEAL OF UNITED STATES TRAVEL AND TOURISM ADMINISTRATION AND 
                    RELATED PROVISIONS.

  Sections 202, 203, 204, 205, 206, 301, 303, 304, 305, 306, and 307 of 
the International Travel Act of 1961 (22 U.S.C. 2123, 2123a-2123d, 
2124, 2124b, 2124c, and 2125-2129) are repealed.

SEC. 7. POWERS AND DUTIES OF SECRETARY OF COMMERCE.

  Section 201 of the International Travel Act of 1961 (22 U.S.C. 2122) 
is amended to read as follows:
  ``Sec. 201. In order to carry out the national tourism policy 
established in section 101(b) and by the United States National Tourism 
Organization Act of 1996, the Secretary of Commerce (hereafter in this 
Act referred to as the `Secretary') shall develop and implement a 
comprehensive plan to perform critical tourism promotion functions 
which, in the determination of the Secretary, are not being carried out 
by the United States National Tourism Organization or other private 
sector entities or State governments. Such plan may include programs 
to--
          ``(1) collect and publish comprehensive international travel 
        and tourism statistics and other marketing information;
          ``(2) design, implement, and publish international travel and 
        tourism forecasting models;
          ``(3) facilitate the reduction or elimination of barriers to 
        international travel and tourism; and
          ``(4) work with the United States National Tourism 
        Organization, the Tourism Policy Council, State tourism 
        agencies, and Federal agencies in--
                  ``(A) coordinating the Federal implementation of a 
                national travel and tourism policy;
                  ``(B) representing the United States' international 
                travel and tourism interests to foreign governments; 
                and
                  ``(C) maintaining United States participation in 
                international travel and tourism trade shows and fairs 
                until such activities can be transferred to such 
                Organization and other private sector entities.''.

SEC. 8. TOURISM POLICY COUNCIL.

  Section 302 of the International Travel Act of 1961 (22 U.S.C. 2124a) 
is repealed and the following is inserted:
  ``Sec. 301. (a) In order to ensure that the United States' national 
interest in tourism is fully considered in Federal decision making, 
there is established a coordinating council to be known as the Tourism 
Policy Council (hereafter in this Act referred to as the `Council').
  ``(b) The Council shall consist of the following individuals:
          ``(1) The Secretary of Commerce, who shall serve as the 
        Chairman of the Council.
          ``(2) The Under Secretary of Commerce for International 
        Trade.
          ``(3) The Director of the Office of Management and Budget.
          ``(4) The Secretary of State.
          ``(5) The Secretary of Interior.
          ``(6) The Secretary of Labor.
          ``(7) The Secretary of Transportation.
          ``(8) The Commission of the United States Customs Service.
          ``(9) The Commissioner of the Immigration and Naturalization 
        Service.
          ``(10) Representatives of other Federal agencies which have 
        affected interests at each meeting as deemed appropriate and 
        invited by the Chairman.
  ``(c) The Chairman is encouraged to consult with, and, to the extent 
the Chairman determines is appropriate, invite the direct participation 
in Council meetings of, the liaisons to the Council appointed under 
section 3(g) of the United States National Tourism Organization Act of 
1996.
  ``(d) Members of the Council shall serve without additional 
compensation.
  ``(e) The Council shall conduct its first meeting not later than 90 
days after the date of the enactment of the United States National 
Tourism Organization Act of 1996. Thereafter the Council shall meet not 
less than 2 times each year.
  ``(f)(1) The Council shall coordinate national policies and programs 
relating to international travel and tourism, recreation, and national 
heritage resources, which involve Federal agencies;
  ``(2) The Council may request directly from any Federal department or 
agency such personnel, information, services, or facilities as deemed 
necessary by the Chairman and to the extent permitted by law and within 
the limits of available funds.
  ``(3) Federal departments and agencies may, in their discretion, 
detail to temporary duty with the Council such personnel as the 
Chairman may request for carrying out the functions of the Council. 
Each such detail of personnel shall be without loss of seniority, pay, 
or other employee status.
  ``(g) Where necessary to prevent the public disclosure of non-public 
information which may be presented by a Council member, the Council may 
hold, at the discretion of the Chairman, a closed meeting which may 
exclude any individual who is not an officer or employee of the United 
States.
  ``(h) The Council shall submit an annual report for the preceding 
fiscal year to the President for transmittal to the Congress on or 
before December 31 of each year. The report shall include--
          ``(1) a comprehensive and detailed report of the activities 
        and accomplishments of the Council;
          ``(2) the results of Council efforts to coordinate the 
        policies and programs of member's agencies that have a 
        significant effect on international travel and tourism, 
        recreation, and national heritage resources, including progress 
        towards resolving interagency conflicts and development of 
        cooperative program activity;
          ``(3) an analysis of problems referred to the Council by 
        State and local governments, the tourism industry, the United 
        States National Tourism Organization, the Secretary of 
        Commerce, along with a detailed summary of any action taken or 
        anticipated to resolve such problems; and
          ``(4) any recommendation as deemed appropriate by the 
        Council.''.

SEC. 9. DEFINITIONS.

  For purposes of this Act--
          (1) the term ``Organization'' means the United States 
        National Tourism Organization established under section 2; and
          (2) the term ``Board'' means the United States National 
        Tourism Organization Board established under section 3.

                          Purpose and Summary

    H.R. 2579, as reported, will establish a United States 
National Tourism Organization (USNTO) as a privately-funded, 
non-profit, non-Federal organization. The USNTO will be 
governed by a broad cross-section of the American travel and 
tourism industry, and will work to (1) promote the United 
States' share of the international travel and tourism market; 
(2) develop and implement a national travel and tourism 
strategy; (3) advise the President and Congress on how to 
implement this strategy and on other critical matters affecting 
the travel and tourism industry; (4) conduct travel and tourism 
market research; and (5) promote the interests of the United 
States travel and tourism industry at international trade 
shows. Federal agencies which conduct activities relating to 
international travel and tourism are required to give priority 
consideration to USNTO's recommendations and to report to 
Congress on any travel and tourism activities carried out with 
the participation of the United States Federal government. The 
authorization for the United States Travel and Tourism 
Administration (USTTA) is repealed, with the travel and 
tourism-related responsibilities of the Secretary of the 
Department of Commerce revised to be more narrowly focused on 
only those functions which the private sector is unable to 
implement effectively.

                  Background and Need for Legislation

    International travel and tourism is a multi-billion dollar 
industry in the United States. According to the Department of 
Commerce, inbound international tourism is our largest business 
services export, contributing towards a $22 billion 1994 
surplus in America's international travel account. The tourism 
industry, including local tourism, is the nation's second 
largest employer, and ranks third in retail sales at $417 
billion.
    Unfortunately, recent Federal tourism promotion efforts 
have failed to stem the rapid erosion of our country's 
international tourism market share. In 1993, the United States 
Travel and Tourism Administration (USTTA) in the Department of 
Commerce received $19.2 million to increase Federal efforts to 
promote international travel and tourism. For 1994, Congress 
appropriated another $21.5 million to further the USTTA's 
activities. Despite this infusion of Federal resources, the 
United States share of worldwide travel receipts actually 
dropped over the past three years, from a peak of 19.3 percent 
in 1992 down to 15.7 percent by the end of 1994. The United 
States has now fallen to only the third leading international 
destination, with its share of total global arrivals plummeting 
well over 8 percent. In part because of the failure of the 
USTTA to significantly positively impact America's 
international travel and tourism interests, Congress this year 
chose to discontinue USTTA's funding, effectively shutting the 
agency down.
    To preserve American interests and reverse this precipitous 
decline, the United States needs a new system for developing 
and implementing tourism policy and promotion. H.R. 2579, as 
amended, would form a new framework for the wide variety of 
businesses that compose the travel and tourism industry that 
will enable them to work together to maintain and enhance the 
United States share of the world market. It creates a 
Federally-chartered private tourism organization to promote and 
coordinate international travel and tourism to the United 
States. In so doing, it also will effectively transfer to the 
private sector the mantle of national tourism policy leadership 
from the recently dismantled and now defunct United States 
Travel and Tourism Administration.

                                Hearings

    On January 24, 1996, the Subcommittee on Commerce, Trade, 
and Hazardous Materials held a joint hearing on H.R. 2579 with 
the Committee on International Relations Subcommittee on 
International Economic Policy and Trade. Testimony was received 
from the Honorable Greg Farmer, Under Secretary of Commerce for 
Travel and Tourism, U.S. Department of Commerce; the Honorable 
Judd Buchanan, Chairman, Tourism Commission of Canada; Mr. 
Judson Green, President, Walt Disney Attractions, Inc.; Mr. 
Roger Ballou, Vice Chairman, Alamo Rent-a-Car, Inc.; Mr. 
Jonathan Tisch, President and CEO, Loews Hotels; and Mr. 
Jonathan S. Linen, Vice Chairman, American Express Co.

                        Committee Consideration

    On May 7, 1996, the Subcommittee on Commerce, Trade, and 
Hazardous Materials met in open markup session and approved 
H.R. 2579, the United States National Tourism Organization Act 
of 1996, for Full Committee consideration, as amended, by a 
voice vote.
    On July 24, 1996, the Committee on Commerce met in open 
markup session and ordered H.R. 2579 reported to the House, as 
amended, by voice vote, a quorum being present.

                             Rollcall Votes

    Clause 2(l)(2)(B) of rule XI of the Rules of the House of 
Representatives requires the Committee to list the recorded 
votes on the motion to report legislation and on amendments 
thereto. There were no recorded votes taken in connection with 
ordering H.R. 2579 reported or in adopting the amendment. The 
voice votes taken in Committee are as follows.

   committee on commerce, 104th congress, voice votes, july 24, 1996

    Bill: H.R. 2579, United States National Tourism 
Organization Act of 1996.
    Amendment: Amendment offered by Mr. Oxley re: repeal 
USTTA's authorizing language, narrow the new travel and tourism 
related focus of the Secretary of Commerce, and for other 
purposes.
    Disposition: Agreed to, by a voice vote.
    Motion: Motion by Mr. Bliley to order H.R. 2579 reported to 
the House, as amended.
    Disposition: Agreed to, by a voice vote.

                      Committee Oversight Findings

    Pursuant to clause 2(l)(3)(A) of rule XI of the Rules of 
the House of Representatives, the Subcommittee on Commerce, 
Trade, and Hazardous Materials held a legislative hearing and 
made findings that are reflected in this report.

              Committee on Government Reform and Oversight

    Pursuant to clause 2(l)(3)(D) of Rule XI of the Rules of 
the House of Representatives, no oversight findings have been 
submitted to the Committee by the Committee on Government 
Reform and Oversight.

               New Budget Authority and Tax Expenditures

    In compliance with clause 2(l)(3)(B) of Rule XI of the 
Rules of the House of Representatives, the Committee states 
that H.R. 2579 would result in no new or increased budget 
authority or tax expenditures or revenues.

                        Committee Cost Estimate

    In compliance with clause 7(a) of Rule XIII of the Rules of 
the House of Representatives, the Committee believes that 
enactment of H.R. 2579 would result in minimal additional costs 
to the Federal government. The Committee further adopts as its 
own, with the reservations described below, the cost estimate 
prepared by the Director of the Congressional Budget Office 
(CBO) pursuant to section 403 of the Congressional Budget Act 
of 1974.
    The revisions made by the Committee to the International 
Travel Act of 1961 (22 U.S.C. 2122-2129) narrow, not expand, 
the existing duties of the Secretary of the Department of 
Commerce, to focus on the remaining tourism promotion 
activities still being carried out by the Department. The 
Committee notes that the specifically authorized activities 
would actually be decreased by this legislation, resulting in 
no additional costs beyond current authorization levels.

                  Congressional Budget Office Estimate

    Pursuant to clause 2(l)(3)(C) of Rule XI of the Rules of 
the House of Representatives, the following is the cost 
estimate provided by the Congressional Budget Office pursuant 
to section 403 of the Congressional Budget Act of 1974:

                                     U.S. Congress,
                               Congressional Budget Office,
                                    Washington, DC, August 1, 1996.
Hon. Thomas J. Bliley, Jr.,
Chairman, Committee on Commerce,
House of Representatives, Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
reviewed H.R. 2579, the United States National Tourism 
Organization Act of 1996, as ordered reported by the House 
Committee on Commerce on July 24, 1996. Assuming the 
appropriation of the necessary amounts, we estimate that 
enacting this bill could result in increased discretionary 
spending of about $2 million per year for fiscal years 1997 and 
1998, and between $3 million and $5 million per year 
thereafter. Enacting H.R. 2579 would affect direct spending and 
receipts; hence, pay-as-you-go procedures would apply to the 
bill. However, CBO estimates that there would be no net impact 
on direct spending over time, and that the effect on receipts 
would be insignificant.
    Bill purpose: This bill would change the statutory basis of 
the travel and tourism programs administered by the Department 
of Commerce (DOC) and would establish a United States National 
Tourism Organization (USNTO) as a not-for-profit organization 
chartered by the federal government. The USNTO would be 
authorized to undertake a wide range of activities to promote 
tourism under the guidance of a National Tourism Organization 
Board. Although the USNTO would be a nongovernmental entity, 
the Under Secretary of Commerce for International Trade would 
serve as an ex-officio member of the board.
    H.R. 2579 would repeal the existing authorization for most 
of DOC's tourism activities and replace it with new statutory 
requirements. Under this measure, the department would be 
required to perform certain tasks not being done by the USNTO, 
states, or private sector, primarily in areas related to data 
collection, statistical modeling, official representation, and 
easing barriers to international travel and tourism. The bill 
also would direct the Department of State, the United States 
Information Agency (USIA), the United States Trade 
Representative, the Trade and Development Agency (TDA), and DOC 
to cooperate with the USNTO and give priority consideration to 
its recommendations. These and other federal agencies would be 
required to report to the Congress on their activities every 
two years. Finally, the bill would repeal DOC's authority to 
impose certain fees on commercial airlines and passenger cruise 
ship companies and to levy civil penalties for noncompliance.
    Impact on spending subject to appropriation: Based on 
information provided by the Department of Commerce, CBO 
estimates that DOC would spend about $2 million annually to 
develop and implement the kinds of programs outlined in this 
bill, assuming the appropriation of the necessary amounts. This 
is equivalent to the amount budgeted for fiscal year 1996 for 
the activities authorized under current law.
    The bill also would authorize certain agencies to devote 
resources to coordinating with the USNTO and giving priority 
consideration to the organization's recommendations. The extent 
of such agency efforts would depend on the nature of the 
USNTO's proposals, but could range from limited staff liaison 
to new program initiatives. For example, if the USNTO proposed 
initiatives similar to those recommended by the 1995 White 
House Commission on Travel and Tourism, we estimate that the 
USIA could spend between $1 million and $3 million annually to 
implement those proposals, assuming the appropriation of the 
necessary amounts. Any costs resulting from USNTO's 
recommendations to federal agencies would probably not be 
incurred until fiscal year 1999 because of the time needed by 
the USNTO to develop proposals and by the agencies and the 
Congress to consider them.
    We estimate that other provisions of the bill would have no 
significant impact on discretionary spending.
    Impact on direct spending and revenues: Authorizing the 
Department of State to assign priority to USNTO proposals could 
affect direct spending because recommendations for new 
initiatives probably would pertain to border security and 
visas, which are financed by fees charged for machine-readable 
visas. CBO estimates that enacting this bill would have no net 
impact on direct spending by the department over time, because 
it would not change the amount of collections or the 
expenditure of those collections.
    Repealing DOC's authority to impose fees and related civil 
penalties on commercial airlines and cruise companies could 
affect offsetting receipts and revenues, but we estimate that 
any impact would not be significant, because the department has 
never imposed such fees.
    Mandates statement: H.R. 2579 contains no intergovernment 
or private-sector mandates as defined in the Unfunded Mandates 
Reform Act of 1995 (Public Law 104-4) and would not impose 
costs on the budgets of state, local, or tribal governments. 
The bill would eliminate the authorization for assistance to 
state and local governments for tourism marketing activities. 
However, these activities are not mandated, and all funding for 
the Travel and Tourism Administration, which administered the 
programs, was eliminated on December 31, 1995.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contacts are Kathleen 
Gramp (for federal costs), and Leo Lex (for the state and local 
impact).
            Sincerely,
                                         June E. O'Neill, Director.

                     Inflationary Impact Statement

    Pursuant to clause 2(l)(4) of rule XI of the Rules of the 
House of Representatives, the Committee finds that the bill 
would have no inflationary impact.

             Section-by-Section Analysis of the Legislation

                         Section 1. Short Title

    The title of the Act is the ``United States National 
Tourism Organization Act of 1996.''

         Section 2. United States National Tourism Organization

    Section 2 establishes the United States National Tourism 
Organization (USNTO), a private, not-for-profit, Federally-
chartered organization. The USNTO shall not be considered a 
Federal agency, and thus is not subject to Federal sunshine 
laws and similar restrictions applying solely to the Executive 
Branch. The Committee intends that the USNTO shall receive a 
501(c)(6) status designation from the Internal Revenue Service.
    The USNTO is responsible for: increasing the United States' 
share of international travel and tourism; developing and 
implementing a national travel and tourism strategy; advising 
the President and Congress on the implementation of such 
strategy; operating travel and tourism promotion programs 
overseas; conducting travel and tourism market research; and 
promoting United States travel and tourism at international 
trade shows. The Committee intends that the USNTO shall work 
with the Department of Commerce's International Trade 
Administration and United States & Foreign Commercial Service, 
and other Federal agencies, to assume many of the former roles 
of the USTTA (see Section 7 for the continued duties of the 
Secretary of Commerce).
    The USNTO may accept financial contributions on behalf of 
itself or the USNTO Board (established in Section 3), and may 
enter into litigation, contracts, or investments in its own 
name. The USNTO may also provide financial assistance to any 
organization or association in furtherance of the USNTO's 
purpose and responsibilities. It is prohibited, however, from 
promoting a political party or candidate, although it is not 
restricted from promoting an issue or specific legislation.

      Section 3. United States National Tourism Organization Board

    Section 3 establishes a USNTO Board to govern the USNTO. 
The Board includes 46 members from specified private-sector 
associations, as well as a representative from the Commerce 
Department, the House of Representatives, and the Senate. The 
Board will meet at least semi-annually, serve without 
compensation, elect a Chair, and a President (who will serve on 
the Trade Promotion Coordinating Committee), and create bylaws 
for the election or appointment of future Board members and for 
the hiring of additional staff and delegation of authority. The 
Committee does not intend to restrict the Board's ability to 
choose the number of future Board members or the composition of 
the Board, or to limit the ability of the Board to establish 
additional management, supervisory, or advisory structures.
    The Board shall establish procedures for: calling meetings 
and providing notice; closing meetings where confidential 
information will be discussed; designating a place of an 
official business for receipt of process; and appointing 
liaisons to the Tourism Policy Council (a Federal coordinating 
organization chaired by the Secretary of the Department of 
Commerce). The Committee recognizes that members of the travel 
and tourism industry have already established a national 
organization, the ``USA National Tourism Organization, Inc.'' 
(USA NTO, Inc.) to promote international tourism on an interim 
basis, and it is the Committee's assumption that the USA NTO, 
Inc. shall coordinate the first Board meeting.
    The Board shall present findings to Congress at least 
biannually, and shall report to the House Committee on Commerce 
and the Senate Committee on Commerce, Science, and 
Transportation, within one year of its first meeting, on a plan 
for long-term funding, with a focus on contributions from the 
private sector and local and State entities. The Board may 
suspend or terminate the USNTO if sufficient private sector and 
local and State funds are not received. While this section does 
not preclude any Federal funding, the Committee intends that 
the USNTO's funding should be generated by primarily non-
Federal sources.

            Section 4. United States Government Cooperation

    Section 4 directs the Secretary of State, the Director of 
the United States Information Agency, the Secretary of 
Commerce, the United States Trade Representative, and the Trade 
and Development Agency to give priority consideration to the 
recommendations of the USNTO and to cooperate with USNTO 
activities. While the Committee recognizes that Federal 
agencies, coordinated by the Tourism Policy Council, must 
continue to retain ultimate responsibility for determining 
Federal travel and tourism policies, the Committee intends that 
Federal agencies shall look primarily to the USNTO for 
development of a national travel and tourism strategy and work 
together with the USNTO to implement and monitor the 
effectiveness of such strategy.
    The Under Secretary for International Trade, the Assistant 
Secretary for Trade Development, the United States and Foreign 
Commercial Service, the Director of the United States 
Information Agency, the United States Trade Representative, and 
the Trade and Development Agency shall report every two years 
to the House Committee on Commerce and the Senate Committee on 
Commerce, Science, and Transportation on any travel and tourism 
activities carried out with the participation of the United 
States Federal government. The Committee intends that these 
reports include any activities of these agencies that will have 
a significant impact on the United States share of 
international travel and tourism.

           Section 5. Trade Promotion Coordinating Committee

    The Trade Promotion Coordinating Committee (TPCC) is 
directed to give priority consideration to the recommendations 
of the USNTO, and the President of the USNTO is made a member 
of the TPCC.

 Section 6. Repeal of United States Travel and Tourism Administration 
                         and Related Provisions

    Section 6 repeals USTTA's authorizing statutes and related 
provisions, including: restrictions on the Secretary of 
Commerce's performance of travel and tourism related duties; 
directives and restrictions relating to tourism marketing 
programs; required reporting by the Secretary on tourism trade 
barriers; directives to the Secretary on facilitation of entry 
of foreign tourists; establishment of the Travel and Tourism 
Advisory Board and the Rural Tourism Development Foundation; 
and the collection of a USTTA Facilitation Fee with 
corresponding civil fines. The Committee intends to allow the 
Secretary greater discretion and flexibility in carrying out a 
more narrow focus on international travel and tourism, without 
restrictions on method or required structure.

         Section 7. Powers and Duties of Secretary of Commerce

    The tourism-related duties of the Secretary of Commerce are 
narrowed to focus on critical promotion functions which, in the 
determination of the Secretary, are not being carried out by 
the USNTO or other private sector or State entities. The 
Committee intends that the Secretary will not undertake any 
travel and tourism promotion activities which would otherwise 
be carried out by the USNTO or others, but if such activities 
are not, or would not likely be, adequately performed by the 
States and private sector, that the Secretary continue to fill 
that void.
    The Secretary is directed to develop a tourism promotion 
plan, which may include programs to: collect and publish 
international travel and tourism statistics and other marketing 
information; design, implement, and publish international 
travel and tourism forecasting models; facilitate the reduction 
or elimination of barriers to international travel and tourism; 
and work with the USNTO, the Tourism Policy Council, State 
tourism agencies, and Federal agencies, to coordinate the 
Federal implementation of a national travel and tourism policy, 
represent the United States international travel and tourism 
interests to foreign governments, and maintain United States 
participation in international travel and tourism trade shows 
and fairs until such activities can be transferred to the USNTO 
and other private sector entities.

                   Section 8. Tourism Policy Council

    The Tourism Policy Council is slimmed down for greater 
effectiveness. The Secretary of Commerce, as the Chairman of 
the Council, is encouraged to consult with, and to the extent 
the Chair deems appropriate, invite the direct participation in 
Council meetings of the USNTO liaisons, as well as 
representatives of additional Federal agencies which have 
affected interests. The Committee intends that the Secretary 
will regularly invite USNTO liaisons to Council meetings and, 
where appropriate, integrate them into the Council to the 
extent possible without compromising disclosure of non-public 
information.
    Where necessary to prevent the public disclosure of non-
public information which may be presented by a Council member, 
the Council is allowed, at the discretion of the Chairman, to 
hold a closed meeting, and may exclude any individual who is 
not a Federal officer or employee. The Committee intends that 
the Council is not required to exclude non-Federal individuals, 
such as USNTO liaisons, in order to close a meeting to the 
general public.
    Provisions requiring designation of agency alternates are 
eliminated, as well as travel reimbursement provisions, 
specification of additional Council duties, authority to force 
Council agency members to transfer staff and resources to the 
Council, and limits on the purpose of policy committees. The 
Committee intends that participating or interested Federal 
agencies may, and should, continue to transfer resources as 
necessary to ensure the effectiveness of the Council. The 
Committee further recognizes that the Council may continue to 
form policy committees, and deletion of these limiting 
provisions are only intended to allow the Council greater 
flexibility in carrying out its activities.

                         Section 9. Definitions

    Section 9 defines ``Organization'' as the USNTO, and 
``Board'' as the USNTO's Board.

         Changes in Existing Law Made by the Bill, as Reported

  In compliance with clause 3 of rule XIII of the Rules of the 
House of Representatives, changes in existing law made by the 
bill, as reported, are shown as follows (existing law proposed 
to be omitted is enclosed in black brackets, new matter is 
printed in italic, existing law in which no change is proposed 
is shown in roman):

           SECTION 2312 OF THE EXPORT ENHANCEMENT ACT OF 1988

SEC. 2312. TRADE PROMOTION COORDINATING COMMITTEE.

  (a) * * *
          * * * * * * *
  (c) Strategic Plan.--To carry out subsection (b), the TPCC 
shall develop and implement a governmentwide strategic plan for 
Federal trade promotion efforts. Such plan shall--
          (1) * * *
          * * * * * * *
          (6) give priority consideration to the 
        recommendations of the United States National Tourism 
        Organization.
  (d) Membership.--
          (1) In general.--Members of the TPCC shall include 
        representatives from--
                  (A) * * *
          * * * * * * *
                  (L) the Export-Import Bank of the United 
                States; [and]
                  (M) the President of the United States 
                National Tourism Organization; and
                  [(M)] (N) at the discretion of the President, 
                such other departments or agencies as may be 
                necessary.
          * * * * * * *
                              ----------                              


                    INTERNATIONAL TRAVEL ACT OF 1961

          * * * * * * *

                            TITLE II--DUTIES

  [Sec. 201. In order to carry out the national tourism policy 
established by section 101(b) the Secretary of Commerce 
(hereafter in this Act referred to as the ``Secretary'') 
shall--
          [(1) develop, plan, and carry out a comprehensive 
        program designed to stimulate and encourage travel to 
        the United States by residents of foreign countries for 
        the purpose of study, culture, recreation, business, 
        and other activities as a means of promoting friendly 
        understanding and good will among peoples of foreign 
        countries and of the United States;
          [(2) provide export promotion services that will 
        increase the number of States, local governments (as 
        defined in section 3371(2) of title 5, United States 
        Code), and companies in the United States that sell 
        their tourism services in the international market, 
        expand the number of foreign markets in which exporting 
        States, cities, and companies are active, and inform 
        States, cities, and companies in the United States 
        regarding the specialized services the international 
        market requires;
          [(3) encourage the development of receptive, 
        linguistic, informational, currency exchange, meal, and 
        package tour services required by the international 
        market;
          [(4) foster and encourage the widest possible 
        distribution of the benefits of travel at the cheapest 
        rates between foreign countries and the United States 
        consistent with sound economic principles;
          [(5) encourage the simplification, reduction, or 
        elimination of barriers to travel, and the facilitation 
        of international travel generally;
          [(6) collect, publish, and provide for the exchange 
        of statistics and technical information, including 
        schedules of meetings, fairs, and other attractions, 
        relating to international travel and tourism; and
          [(7) encourage to the maximum extent feasible travel 
        to and from the United States on United States carriers 
        and the use of other United States providers of travel 
        products and services; and
          [(8) advise and provide information and technical 
        assistance to United States firms seeking to facilitate 
        travel to and from the emerging democracies of Eastern 
        Europe and the former Soviet Union and compile 
        statistics, as available, regarding such travel.
  [Sec. 202. (a) In performing the duties set forth in section 
201, the Secretary--
          [(1) shall utilize the facilities and services of 
        existing agencies of the Federal Government to the 
        fullest extent possible including the maximum 
        utilization of counterpart funds; and, to the fullest 
        extent consistent with the performance of their own 
        duties and functions, such agencies shall permit such 
        utilization of facilities and services;
          [(2) may consult and cooperate with individuals, 
        businesses, and organizations engaged in or concerned 
        with international travel, including local, State, 
        Federal, and foreign governments, and international 
        agencies;
          [(3) may obtain by contract and otherwise the advice 
        and services of qualified professional organizations 
        and personnel;
          [(4) after consultation with the Secretary of State, 
        may establish such branches in foreign countries, as he 
        deems to be necessary and desirable.
          [(5) shall provide financial assistance under section 
        203 to cooperative tourism marketing programs;
          [(6) may enter into contracts with private profit- or 
        non-profit-making individuals, businesses, and 
        organizations for projects designed to carry out the 
        purposes of this Act whenever he determines that such 
        projects cannot be accomplished under the authority of 
        paragraph (5) of this subsection;
          [(7) may make awards of merchandise manufactured and 
        purchased in the United States to travel agents and 
        tour operators in foreign countries as an incentive for 
        their promotion of travel to the United States by 
        residents of foreign countries; and the Secretary may 
        establish such policies, standards, criteria, and 
        procedures as he may deem necessary or appropriate for 
        the administration of this paragraph;
          [(8) shall establish facilitation services at major 
        ports-of-entry of the United States;
          [(9) shall consult with foreign governments on travel 
        and tourism matters and, in accordance with applicable 
        law, represent the United States national tourism 
        interest before international and intergovernmental 
        meetings;
          [(10) shall develop and administer a comprehensive 
        program relating to travel industry information, data 
        service, training and education, and technical 
        assistance;
          [(11) shall develop a program to seek and to receive 
        information on a continuing basis from the tourism 
        industry, including consumer and travel trade 
        associations, regarding needs and interests which 
        should be met by a Federal agency or program and to 
        direct that information to the appropriate agency or 
        program;
          [(12) shall encourage to the maximum extent feasible 
        travel to and from the United States on United States 
        carriers and the use of other United States providers 
        of travel products and services;
          [(13) shall assure coordination within the Department 
        of Commerce so that, to the extent practicable, all the 
        resources of the Department are used to effectively and 
        efficiently carry out the national tourism policy;
          [(14) may only promulgate, issue, rescind, and amend 
        such interpretive rules, general statements of policy, 
        and rules of agency organization, procedure, and 
        practice as may be necessary to carry out this Act; and
          [(15) may assist the Rural Tourism Development 
        Foundation, established under section 4 of the Tourism 
        Policy and Export Promotion Act of 1992, in the 
        development and promotion of rural tourism.
  [(b) The Secretary, under the authority of this Act, shall 
not provide or arrange for transportation for, or 
accommodations to, persons traveling between foreign countries 
and the United States in competition with business engaged in 
providing or arranging for such transportation or 
accommodations.
  [(c) No financial assistance will be made available under 
section 203 unless the Secretary determines that matching funds 
will be available from State or other non-Federal sources. Any 
recipient of financial assistance under section 203 shall 
provide matching funds (consisting of actual dollar 
expenditures on the program for which such financial assistance 
is provided) equal to at least 25 percent of such financial 
assistance. The Secretary is authorized to establish such 
policies, standards, criteria, and procedures and to prescribe 
such rules and regulations as he may deem necessary or 
appropriate for the administration this subsection. Each 
recipient of assistance under section 203 shall keep such 
records as the Secretary shall prescribe, including records 
which fully disclose the amount and disposition by such 
recipient of the proceeds of such assistance, the total cost of 
the project or undertaking in connection with which such 
assistance is given or used, and the amount of that portion of 
the cost of the project or undertaking supplied by other 
sources, and such other records as will facilitate an effective 
audit.
  [(d) The Secretary and the Comptroller General of the United 
States, or any of their duly authorized representatives shall 
have access for the purpose of audit and examination to any 
books, documents, papers, and records of the recipients that 
are pertinent to the assistance received under section 203.
  [(e)(1) The Secretary's tourism trade development efforts 
shall focus on the markets which have the greatest potential 
for increasing travel and tourism revenues.
  [(2)  By  October  1  of  each  year  (commencing  October 1, 
1993), the Secretary shall publish a notice in the Federal 
Register soliciting comment, from persons interested in tourism 
trade, concerning markets that would be an appropriate focus of 
tourism trade development efforts to be carried out in the 
twelve-month period that begins twelve months after the notice 
is published.
  [(3) Not later than three months after the notice is 
published under paragraph (2), the Secretary shall select the 
markets that the Secretary determines are an appropriate focus 
of tourism trade development efforts to be carried out in the 
twelve-month period described in paragraph (2). The selection 
shall be announced by publication in the Federal Register.
  [(4) At the same time the Secretary announces the selection 
of markets under paragraph (3), the Secretary shall issue a 
request for proposals from cooperative tourism marketing 
programs to develop and implement tourism trade development 
programs applicable to the markets so selected. The Secretary 
shall provide financial assistance in accordance with section 
203 to carry out proposals submitted under this subparagraph. 
Such financial assistance shall be provided on or before 
September 30 of the year in which the markets are selected 
under paragraph (3).
  [(5) During each twelve-month period described in paragraph 
(2), tourism trade development efforts shall be directed at the 
markets selected under paragraph (3).
  [Sec. 203. (a) The Secretary shall provide financial 
assistance to cooperative tourism marketing programs in 
accordance with this section.
  [(b)(1) To be eligible for financial assistance under 
subsection (a), a cooperative tourism marketing program shall, 
at a minimum--
          [(A) involve the participation of--
                  [(i) two or more States;
                  [(ii) one or more States and one or more 
                political subdivisions of States; or
                  [(iii) one or more States and one or more 
                nonprofit organizations;
          [(B) be established for the purpose of increasing the 
        number of foreign visitors to the region in which such 
        States or local governments are located; and
          [(C) have a written regional tourism marketing plan 
        which includes advertising, publication of promotional 
        materials, or other promotional or market research 
        activities designed to increase the number of foreign 
        visitors to such region.
  [(2) Financial assistance may be provided under subsection 
(a) if the applicant for the assistance demonstrates to the 
satisfaction of the Secretary that the assistance will be used 
for a purpose described in subsection (c) and that--
          [(A) such cooperative tourism marketing program for 
        which the financial assistance will be provided will 
        increase the travel of foreign visitors to the region 
        for which the assistance is sought;
          [(B) such program will contribute to the economic 
        well-being of such region;
          [(C) such region is developing or has developed a 
        regional transportation system that will enhance travel 
        to the facilities and attractions in such region; and
          [(D) such program will focus its efforts on the 
        countries in the markets selected by the Secretary 
        under section 202(e)(3).
  [(c) Financial assistance provided under subsection (a) may 
be used for the purpose of--
          [(1) promoting or marketing to foreign visitors or 
        potential foreign visitors the tourism and recreational 
        opportunities in the region for which such financial 
        assistance is sought;
          [(2) targeting foreign visitors to develop or enhance 
        their interest in tourism and recreational 
        opportunities in such region;
          [(3) encouraging the development by such cooperative 
        tourism marketing program of regional strategies for 
        international tourism promotion and marketing; or
          [(4) developing and implementing tourism trade 
        development programs applicable to markets selected 
        under section 202(e)(3).
  [(d) In connection with financial assistance provided under 
subsection (a), a cooperative tourism marketing program may 
enter into agreements with individuals and private profit and 
nonprofit businesses and organizations who will assist in 
carrying out the purposes for which such financial assistance 
is provided. Such an agreement shall be disclosed in any 
application for financial assistance under subsection (a) and 
such an application may be approved by the Secretary only if 
the Secretary finds that such agreement meets all applicable 
legal requirements and is consistent with the purposes of this 
Act.
  [(e) After notice and opportunity for public comment and 
within one hundred and eighty days after the date of enactment 
of the Tourism Policy and Export Promotion Act of 1992, the 
Secretary shall issue rules and guidelines to carry out this 
section. Proposed rules and guidelines shall be issued within 
ninety days after such date of enactment.
  [(f)(1) The total amount of financial assistance that may be 
provided under subsection (a) shall, in each of the fiscal 
years 1994, 1995, and 1996, be not less than 25 percent of the 
amount appropriated to the Secretary for such fiscal year under 
section 304.
  [(2) Not more than 50 percent of the financial assistance 
provided under subsection (a) for any fiscal year may be used 
for tourism trade development designed to promote travel and 
tourism in the United States generally without promotion of a 
particular area of the United States. Cooperative tourism 
marketing programs receiving financial assistance under 
subsection (a) shall pool 50 percent of their financial 
assistance for such general tourism trade development in each 
market selected by the Secretary under section 202(e)(3). The 
Secretary shall provide technical assistance to recipients of 
such financial assistance and coordinate such efforts.
  [Sec. 204. For each calendar year beginning with calendar 
year 1994, the Secretary shall--
          [(1) identify and analyze acts, policies, or 
        practices of each foreign country that constitute 
        significant barriers to, or distortions of, United 
        States travel and tourism exports;
          [(2) make an estimate of the trade-distorting impact 
        on United States commerce of any act, policy, or 
        practice identified under paragraph (1); and
          [(3) make an estimate, if feasible, of the value of 
        additional United States travel and tourism exports 
        that would have been exported to each foreign country 
        during such calendar year if each of such acts, 
        policies, and practices of such country did not exist.
  [Sec. 205. The Secretary shall, in coordination with 
appropriate Federal agencies, take appropriate action to ensure 
that foreign tourists are not unnecessarily delayed when 
entering the United States and to ensure that the international 
processing standard of the International Civil Aviation 
Organization is met.
  [Sec. 206. (a) Beginning October 1, 1994, and annually 
thereafter, the Secretary shall submit to the Committee on 
Commerce, Science, and Transportation of the Senate and the 
Committee on Energy and Commerce of the House of 
Representatives the goals of the United States Travel and 
Tourism Administration for the applicable forthcoming fiscal 
year, including quantifiable measures on which such 
Administration's performance can be evaluated. Such goals shall 
include--
          [(1) the number of written and telephone inquiries 
        regarding the possibility of foreign travel to the 
        United States expected to be generated by the financial 
        assistance provided to cooperative tourism marketing 
        programs under section 203;
          [(2) the number of tour packages for foreign visitors 
        to the United States expected to be sold in connection 
        with such financial assistance;
          [(3) the number of tourists from countries in markets 
        selected under section 202(e)(3) expected to visit the 
        United States destinations being promoted in such 
        countries in connection with such financial assistance; 
        and
          [(4) the actions recommended to eliminate acts, 
        policies, and practices of foreign countries identified 
        under section 204 that constitute significant barriers 
        to or distortions of United States travel and tourism 
        exports.
  [(b) By December 31, 1995, and annually thereafter, the 
Secretary shall submit to the Committee on Commerce, Science, 
and Transportation of the Senate and the Committee on Energy 
and Commerce of the House of Representatives a report outlining 
the degree to which the goals set forth for the prior fiscal 
year have been attained. Such report shall include--
          [(1) the number of written and telephone inquiries 
        regarding the possibility of foreign travel to the 
        United States actually received by the Secretary and by 
        persons receiving financial assistance under section 
        203;
          [(2) the number of tour packages for foreign visitors 
        to the United States actually sold in connection with 
        such financial assistance;
          [(3) the number of tourists from countries in markets 
        selected under section 202(e)(3) that actually visited 
        the United States destinations being promoted in such 
        countries in connection with such financial assistance;
          [(4) an evaluation of the effectiveness of such 
        financial assistance; and
          [(5) an evaluation of the effectiveness of any 
        actions recommended under subsection (a)(4) which were 
        taken to eliminate acts, policies, and practices that 
        constitute significant barriers to, or distortions of, 
        United States travel and tourism exports.
  [(c) The Secretary shall collect from persons receiving 
financial assistance under section 203 such information as may 
be necessary to enable the Secretary to comply with subsections 
(a) and (b). The Secretary may condition the receipt of such 
financial assistance on the agreement of the recipient to 
provide such information to the Secretary at such times and in 
such manner and form as the Secretary deems appropriate.]
  Sec. 201. In order to carry out the national tourism policy 
established in section 101(b) and by the United States National 
Tourism Organization Act of 1996, the Secretary of Commerce 
(hereafter in this Act referred to as the ``Secretary'') shall 
develop and implement a comprehensive plan to perform critical 
tourism promotion functions which, in the determination of the 
Secretary, are not being carried out by the United States 
National Tourism Organization or other private sector entities 
or State governments. Such plan may include programs to--
          (1) collect and publish comprehensive international 
        travel and tourism statistics and other marketing 
        information;
          (2) design, implement, and publish international 
        travel and tourism forecasting models;
          (3) facilitate the reduction or elimination of 
        barriers to international travel and tourism; and
          (4) work with the United States National Tourism 
        Organization, the Tourism Policy Council, State tourism 
        agencies, and Federal agencies in--
                  (A) coordinating the Federal implementation 
                of a national travel and tourism policy;
                  (B) representing the United States' 
                international travel and tourism interests to 
                foreign governments; and
                  (C) maintaining United States participation 
                in international travel and tourism trade shows 
                and fairs until such activities can be 
                transferred to such Organization and other 
                private sector entities.

                       TITLE III--ADMINISTRATION

  [Sec. 301. (a)(1) There is established in the Department of 
Commerce a United States Travel and Tourism Administration 
which shall be headed by an Under Secretary of Commerce for 
Travel and Tourism who shall be appointed by the President, by 
and with the advice and consent of the Senate, and who shall 
report directly to the Secretary. All the duties and 
responsibilities of the Secretary under this Act shall be 
exercised directly by the Secretary or by the Secretary through 
the Under Secretary of Commerce for Travel and Tourism.
          [(2)  The Secretary shall designate a Deputy Under 
        Secretary for Tourism Trade Development who shall be 
        drawn from, and serve as a member of, the career 
        service. The Deputy Under Secretary shall have 
        responsibility for--
                  [(A) facilitating the interaction between 
                industry and government concerning tourism 
                trade development;
                  [(B) directing and managing field operations;
                  [(C) directing program evaluation research 
                and industry statistical research;
                  [(D) developing an outreach program to those 
                communities with underutilized tourism 
                potential to assist them in development of 
                strategies for expansion of tourism trade;
                  [(E) implementing the program to provide 
                financial assistance under section 203 in 
                support of non-Federal tourism trade 
                development activities; and
                  [(F) performing such other functions as the 
                Under Secretary may assign.
  [(b)(1) The Secretary may not reduce the total number of 
employees of the United States Travel and Tourism 
Administration assigned to the offices of the Administration in 
foreign countries to a number which is less than the total 
number of employees of the United States Travel Service 
assigned to offices of the Service in foreign countries in 
fiscal year 1979.
  [(2) In any fiscal year the amount of funds which shall be 
made available from appropriations under this Act for 
obligation for the activities of the offices of the United 
States Travel and Tourism Administration in foreign countries 
shall not be less than the amount obligated in fiscal year 1980 
for the activities of the offices of the United States Travel 
Service in foreign countries.
  [(c) The Under Secretary of Commerce for Travel and Tourism 
shall continue to seek the assistance of the United States and 
Foreign Commercial Service and shall continue to be available 
to assist the United States Travel and Tourism Administration 
at locations identified by the Under Secretary, in consultation 
with the Director General of the United States and Foreign 
Commercial Service, as necessary to assist the Administration's 
foreign offices in stimulating and encouraging travel to the 
United States by foreign residents and in carrying out other 
powers and duties of the Secretary specified in section 202.
  [(d) The expenditures for personnel compensation, rental 
payments, communications, utilities, miscellaneous charges, and 
equipment shall not exceed--
          [(1) in fiscal year 1993, 55 percent of the amount 
        appropriated to the Secretary under section 304;
          [(2) in fiscal year 1994, 52.5 percent of the amount 
        appropriated to the Secretary under section 304; and
          [(3) in fiscal year 1995 and in subsequent fiscal 
        years, 50 percent of the amount appropriated to the 
        Secretary under section 304.
  [Sec. 302. (a) In order to assure that the national interest 
in tourism is fully considered in Federal decisionmaking, there 
is established an interagency coordinating council to be known 
as the Tourism Policy Council (hereinafter in this section 
referred to as the ``Council'').
  [(b)(1) The Council shall consist of--
          [(A) the Secretary of Commerce who shall serve as 
        Chairman of the Council;
          [(B) the Under Secretary for Travel and Tourism who 
        shall serve as the Vice President of the Council and 
        who shall act as Chairman of the Council in the absence 
        of the Chairman;
          [(C) the Director of the Office of Management and 
        Budget or the individual designated by the Director 
        from the Office;
          [(D) an individual designated by the Secretary of 
        Commerce from the International Trade Administration of 
        the Department of Commerce;
          [(E) the Secretary of Energy or the individual 
        designated by such Secretary from the Department of 
        Energy;
          [(F) the Secretary of State or the individual 
        designated by such Secretary from the Department of 
        State;
          [(G) the Secretary of the Interior or the individual 
        designated by such Secretary from the National Park 
        Service or the Heritage Conservation and Recreation 
        Service of the Department of the Interior;
                  [(H) the Secretary of Agriculture;
                  [(I) the Chairman of the Tennessee Valley 
                Authority;
                  [(J) the Commanding General of the Corps of 
                Engineers of the Army, within the Department of 
                Defense;
                  [(K) the Administrator of the Small Business 
                Administration;
                  [(L) the Commissioner of the Immigration and 
                Naturalization Service;
                  [(M) the Chief Executive Officer of the 
                National Railroad Passenger Corporation;
                  [(N) the Commissioner of Customs;
          [(O) the Secretary of Labor or the individual 
        designated by such Secretary from the Department of 
        Labor; and
          [(P) the Secretary of Transportation or the 
        individual designated by such Secretary from the 
        Department of Transportation.
  [(2) Members of the Council shall serve without additional 
compensation, but shall be reimbursed for actual and necessary 
expenses, including travel expenses, incurred by them in 
carrying out the duties of the Council.
  [(3) Each member of the Council, other than the Vice 
Chairman, may designate an alternate, who shall serve as a 
member of the Council whenever the regular member is unable to 
attend a meeting of the Council or any committee of the 
Council. The designation by a member of the Council of an 
alternate under the preceding sentence shall be made for the 
duration of the member's term on the Council. Any such 
designated alternate shall be selected from individuals who 
exercise significant decisionmaking authority in the Federal 
agency involved and shall be authorized to make decisions on 
behalf of the member for whom he or she is serving.
  [(c)(1) Whenever the Council, or a committee of the Council, 
considers matters that affect the interests of Federal agencies 
that are not represented on the Council or the committee, the 
Chairman may invite the heads of such agencies, or their 
alternates, to participate in the deliberations of the Council 
or committee.
  [(2) The Council shall conduct its first meeting not later 
than ninety days after the date of enactment of this section. 
Thereafter the Council shall meet not less than four times each 
year.
  [(d)(1) The Council shall coordinate policies, programs, and 
issues relating to tourism, recreation, or national heritage 
resources involving Federal departments, agencies, or other 
entities. Among other things, the Council shall--
          [(A) coordinate the policies and programs of member 
        agencies that have a significant effect on tourism, 
        recreation, and national heritage preservation;
          [(B) develop areas of cooperative program activity;
          [(C) assist in resolving interagency program and 
        policy conflicts; and
          [(D) seek and receive concerns and views of State and 
        local governments and the Travel and Tourism Advisory 
        Board with respect to Federal programs and policies 
        deemed to conflict with the orderly growth and 
        development of tourism.
  [(2) To enable the Council to carry out its functions--
          [(A) the Council may request directly from any 
        Federal department or agency such personnel, 
        information, services, or facilities, on a compensated 
        or uncompensated basis, as he determines necessary to 
        carry out the functions of the Council;
          [(B) each Federal department or agency shall furnish 
        the Council with such information, services, and 
        facilities as it may request to the extent permitted by 
        law and within the limits of available funds; and
          [(C) Federal agencies and departments may, in their 
        discretion, detail to temporary duty with the Council, 
        such personnel as the Council may request for carrying 
        out the functions of the Council, each such detail to 
        be without loss of seniority, pay, or other employee 
        status.
  [(3) The Administrator of the General Services Administration 
shall provide administrative support services for the Council 
on a reimbursable basis.
          [(4)(A) Every year, upon designation by the Secretary 
        in accordance with subparagraph (B), up to three 
        Federal departments and agencies represented on the 
        Council shall each detail to the Council for that year 
        one staff person and associated resources.
          [(B) In making the designation referred to in 
        subparagraph (A), the Secretary shall designate a 
        different group of agencies and departments each year 
        and shall not redesignate any agency or department 
        until all the other agencies and departments 
        represented on the Council have been designated the 
        same number of years.
  [(e) The Council shall establish such policy committees as it 
considers necessary and appropriate, each of which shall be 
comprised of any or all of the members of the Council and 
representatives from Federal departments, agencies, and 
instrumentalities not represented on the Council. Each such 
policy committee shall be designed--
          [(1) to monitor a specific area of Federal Government 
        activity, such as transportation, energy and natural 
        resources, economic development, or other such 
        activities related to tourism; and
          [(2) to review and evaluate the relation of the 
        policies and activities of the Federal Government in 
        that specific area to tourism, recreation, and national 
        heritage conservation in the United States.
  [(f) The Council shall submit an annual report for the 
preceding fiscal year to the President for transmittal to 
Congress on or before the thirty-first day of December of each 
year. The report shall include--
          [(1) a comprehensive and detailed report of the 
        activities and accomplishments of the Council and its 
        policy committees;
          [(2) the results of Council efforts to coordinate the 
        policies and programs of member agencies that have a 
        significant effect on tourism, recreation, and national 
        heritage reservation, resolve interagency conflicts, 
        and develop area of cooperative program activity;
          [(3) an analysis of problems referred to the Council 
        by State and local governments, the tourism industry, 
        the Secretary of Commerce, or any of the Council's 
        policy committees along with a detailed statement of 
        any actions taken or anticipated to be taken to resolve 
        such problems; and
          [(4) such recommendations as the Council deems 
        appropriate.
  [Sec. 303. (a) There is established the Travel and Tourism 
Advisory Board (hereinafter in this section referred to as the 
``Board'') to be composed of fifteen members appointed by the 
Secretary. The members of the Board shall be appointed as 
follows:
          [(1) Not more than eight members of the Board shall 
        be appointed from the same political party.
          [(2) The members of the Board shall be appointed from 
        among citizens of the United States who are not regular 
        fulltime employees of the United States and shall be 
        selected for appointment so as to provide as nearly as 
        practicable a broad representation of different 
        geographical regions within the United States and of 
        the diverse and varied segments of the tourism 
        industry.
          [(3) Twelve of the members shall be appointed from 
        senior executive officers of organizations engaged in 
        the travel and tourism industry. Of such members--
                  [(A) at least one shall be a senior 
                representative from a labor organization 
                representing employees of the tourism industry;
                  [(B) at least two shall be representatives of 
                the States who are knowledgeable of tourism 
                promotion; and
                  [(C) at least one shall be a representative 
                of a city who is knowledgeable of tourism 
                promotion.
          [(4) Of the remaining three members of the Board--
                  [(A) one member shall be a consumer advocate 
                or ombudsman from the organized public interest 
                community;
                  [(B) one member shall be an economist, 
                statistician, or accountant; and
                  [(C) one member shall be an individual from 
                the academic community who is knowledgeable in 
                tourism, recreation, or national heritage 
                conservation.
The Secretary shall serve as an ex officio member of the Board. 
The duration of the Board shall not be subject to the Federal 
Advisory Committee Act. A list of the members appointed to the 
Board shall be forwarded by the Secretary to the Senate 
Committee on Commerce, Science, and Transportation and the 
House Committee on Energy and Commerce.
  [(b) The members of the Board shall be appointed for a term 
of office of three years, except that of the members first 
appointed--
          [(1) four members shall be appointed for terms of one 
        year, and
          [(2) four members shall be appointed for terms of two 
        years, as designated by the Secretary at the time of 
        appointment. Any member appointed to fill a vacancy 
        occurring before the expiration of the term for which 
        the member's predecessor was appointed shall be 
        appointed only for the remainder of such term. A member 
        may serve after the expiration of his term until his 
        successor has taken office. Vacancies on the Board 
        shall be filled in the same manner in which the 
        original appointments were made. No member of the Board 
        shall be eligible to serve in excess of six consecutive 
        years or nine years in the aggregate.
  [(c) The Chairman and Vice Chairman and other appropriate 
officers of the Board shall be elected by and from members of 
the Board other than the Secretary.
  [(d) The members of the Board shall receive no compensation 
for their services as such, but shall be allowed such necessary 
travel expenses and per diem as are authorized by section 5703 
of title 5, United States Code. The Secretary shall pay the 
reasonable and necessary expenses incurred by the Board in 
connection with the coordination of Board activities, 
announcement and reporting of meetings, and preparation of such 
reports as are required by subsection (f).
  [(e) The Board shall meet at least semi-annually and shall 
hold such other meetings at the call of the Chairman, the 
Administrator, or a majority of its members.
  [(f) The Board shall advise the Secretary with respect to the 
implementation of this Act. The Board shall prepare an annual 
report concerning its activities and include therein such 
recommendations as it deems appropriate with respect to the 
performance of the Secretary under this Act and the operation 
and effectiveness of programs under this Act. Each annual 
report shall cover a fiscal year and shall be submitted on or 
before the thirty-first day of December following the close of 
the fiscal year.
  [Sec. 304. For the purpose of carrying out this Act there is 
authorized to be appropriated an amount not to exceed 
$8,600,000 for the fiscal year ending September 30, 1982, not 
to exceed $21,000,000 for fiscal year 1993, not to exceed 
$22,500,000 for fiscal year 1994, not to exceed $24,000,000 for 
fiscal year 1995, and not to exceed $26,000,000 for fiscal year 
1996. Funds appropriated under this section may be expended by 
the Secretary without regard to sections 501 and 3702 of title 
44, United States Code. Funds appropriated under this section 
for the printing of travel promotional materials shall remain 
available for 2 fiscal years.
  [Sec. 305. As used in this Act, the term ``United States'' 
and the term ``State'' are defined to include the District of 
Columbia, the Commonwealth of Puerto Rico, the Virgin Islands, 
Guam, American Samoa, and the Trust Territory of the Pacific 
Islands.
  [Sec. 306. (a) To the extent not inconsistent with treaties 
or international agreements entered into by the United States, 
the Secretary, on a calendar quarterly basis beginning January 
1, 1991, shall charge and collect from each commercial airline 
and passenger cruise ship line transporting passengers to the 
United States, a United States Travel and Tourism 
Administration Facilitation Fee, in an amount determined under 
subsection (b).
  [(b)(1) During the period from January 1, 1991, through 
December 31, 1991, the Secretary shall charge each commercial 
airline and passenger cruise ship line an amount equal to one 
dollar multiplied by the number of aliens described in section 
101(a)(15)(B) of the Immigration and Nationality Act (8 U.S.C. 
1101(a)(15)(B)) arriving at any port within the United States 
aboard a commercial aircraft or cruise ship of such airline or 
passenger cruise ship line during that calendar quarter.
  [(2) Commencing in 1991, the Secretary shall each year 
determine and publish the amount of the fee described in 
subsection (a) for the 12-month period commencing on January 1 
of the succeeding calendar year, as follows:
          [(A) The Secretary (in consultation with the Attorney 
        General and the Secretary of State) shall estimate the 
        number of aliens described in section 101(a)(15)(B) of 
        the Immigration and Nationality Act (8 succeeding 
        calendar year, based upon the number of such aliens who 
        entered the United States during the previous calendar 
        year (as reported or estimated by the Attorney General) 
        and such other available information as the Secretary 
        deems reliable.
          [(B) The Secretary shall divide the amount 
        appropriated to the United States Travel and Tourism 
        Administration for the fiscal year during which such 
        determination is made by the number of aliens described 
        in subparagraph (A) expected by the Secretary to enter 
        the United States during the calendar year described in 
        such subparagraph, as estimated by the Secretary under 
        such subparagraph, and shall round the result up to the 
        nearest quarter-dollar.
          [(C) The Secretary shall publish in the Federal 
        Register the estimate required by subparagraph (A), 
        together with a description of the information 
        supporting such estimate, and the amount of the fee 
        determined under subparagraph (B) which shall be 
        applicable during the 12-month period commencing on 
        January 1 of the succeeding calendar year.
          [(D) For each calendar quarter beginning after 
        December 31, 1991, the Secretary shall charge each 
        commercial airline and passenger cruise ship line an 
        amount equal to the fee amount determined under 
        subparagraph (B) and applicable under subparagraph (C) 
        multiplied by the number of aliens described in section 
        101(a)(15)(B) of the Immigration and Nationality Act (8 
        U.S.C. 1101(a)(15)(B)) arriving at any port within the 
        United States aboard a commercial aircraft or cruise 
        ship of such airline or passenger cruise ship line 
        during that calendar quarter.
  [(3) Neither the estimate of the Secretary under paragraph 
(2)(A) nor the amount determined by the Secretary under 
paragraph (2)(B) shall be subject to judicial review.
  [(c) Each commercial airline and passenger cruise ship line 
shall remit the fee charged by the Secretary under subsection 
(b), in United States dollars, no later than 31 days after the 
close of the calendar quarter of the arrival of the aliens on 
which the calculation of the fee is based.
  [(d) The Secretary shall deposit the fees received pursuant 
to subsection (c) in the general fund of the Treasury as 
offsetting receipts and ascribed to the travel and tourism 
activities of the Secretary.
  [(e) Beginning on October 1, 1992, the aggregate amounts 
collected for the fee charged under this section shall at least 
equal the appropriations made for the travel and tourism 
activities of the Secretary under this Act, but at no time 
shall the aggregate of amounts collected for any fiscal year 
under this section exceed 105 percent of the aggregate of 
appropriations made for such fiscal year for activities to be 
funded by such fees.
  [(f) The Secretary may prescribe such rules and regulations 
as may be necessary to carry out the provisions of this 
section.
  [Sec. 307. (a) Any commercial airline or commercial cruise 
ship line which is found by the Secretary or the Secretary's 
designee, after notice and an opportunity for a hearing, to 
have failed to pay to the Secretary, by the due date, the fee 
charged by the Secretary under section 306(a), may be ordered 
by the Secretary or the Secretary's designee to pay any fee 
amount outstanding plus interest on any late payment and, in 
addition, to pay a civil penalty not to exceed $5,000 for each 
day payment to the Secretary is not made or was made late. The 
amount of such civil penalty shall be assessed by the Secretary 
or the Secretary's designee by written notice. In determining 
the amount of such penalty, the Secretary or the Secretary's 
designee shall take into account the nature, circumstances, 
extent, and gravity of the violation, and, with respect to the 
violator, the degree of culpability, and history of prior 
offenses, ability to pay, and such other matters as justice may 
require. Each day a payment to the Secretary required by this 
Act is late shall constitute a separate violation of this Act.
  [(b) If any commercial airline or cruise ship line fails to 
pay as ordered by the Secretary or the Secretary's designee, 
the Attorney General may, upon request of the Secretary, bring 
a civil action in any appropriate United States district court 
for the recovery of the amount ordered to be paid.
  [(c) Before requesting the Attorney General to bring a civil 
action, the Secretary may compromise, modify, or remit, with or 
without conditions, any civil penalty which is subject to 
imposition or which has been imposed under subsection (a).
  [(d) For the purpose of conducting any hearing under 
subsection (a), the Secretary or the Secretary's designee may 
issue subpoenas for the attendance and testimony of witnesses 
and the production of relevant papers, books, and documents, 
and may administer oaths. Witnesses summoned shall be paid the 
same fees and mileage that are paid to witnesses in the courts 
of the United States. In case of contempt or refusal to obey a 
subpoena served upon any person pursuant to this subsection, 
the United States district court for any district in which such 
person is found, resides, or transacts business, upon 
application by the United States and after notice to such 
person, shall have jurisdiction to issue an order requiring 
such person to appear and give testimony before the Secretary 
or the Secretary's designee or to appear and produce papers, 
books, and documents before the Secretary or the Secretary's 
designee, or both, and any failure to obey such order of the 
court may be punished by such court as a contempt thereof.]
  Sec. 301. (a) In order to ensure that the United States' 
national interest in tourism is fully considered in Federal 
decision making, there is established a coordinating council to 
be known as the Tourism Policy Council (hereafter in this Act 
referred to as the ``Council'').
  (b) The Council shall consist of the following individuals:
          (1) The Secretary of Commerce, who shall serve as the 
        Chairman of the Council.
          (2) The Under Secretary of Commerce for International 
        Trade.
          (3) The Director of the Office of Management and 
        Budget.
          (4) The Secretary of State.
          (5) The Secretary of Interior.
          (6) The Secretary of Labor.
          (7) The Secretary of Transportation.
          (8) The Commission of the United States Customs 
        Service.
          (9) The Commissioner of the Immigration and 
        Naturalization Service.
          (10) Representatives of other Federal agencies which 
        have affected interests at each meeting as deemed 
        appropriate and invited by the Chairman.
  (c) The Chairman is encouraged to consult with, and, to the 
extent the Chairman determines is appropriate, invite the 
direct participation in Council meetings of, the liaisons to 
the Council appointed under section 3(g) of the United States 
National Tourism Organization Act of 1996.
  (d) Members of the Council shall serve without additional 
compensation.
  (e) The Council shall conduct its first meeting not later 
than 90 days after the date of the enactment of the United 
States National Tourism Organization Act of 1996. Thereafter 
the Council shall meet not less than 2 times each year.
  (f)(1) The Council shall coordinate national policies and 
programs relating to international travel and tourism, 
recreation, and national heritage resources, which involve 
Federal agencies;
  (2) The Council may request directly from any Federal 
department or agency such personnel, information, services, or 
facilities as deemed necessary by the Chairman and to the 
extent permitted by law and within the limits of available 
funds.
  (3) Federal departments and agencies may, in their 
discretion, detail to temporary duty with the Council such 
personnel as the Chairman may request for carrying out the 
functions of the Council. Each such detail of personnel shall 
be without loss of seniority, pay, or other employee status.
  (g) Where necessary to prevent the public disclosure of non-
public information which may be presented by a Council member, 
the Council may hold, at the discretion of the Chairman, a 
closed meeting which may exclude any individual who is not an 
officer or employee of the United States.
  (h) The Council shall submit an annual report for the 
preceding fiscal year to the President for transmittal to the 
Congress on or before December 31 of each year. The report 
shall include--
          (1) a comprehensive and detailed report of the 
        activities and accomplishments of the Council;
          (2) the results of Council efforts to coordinate the 
        policies and programs of member's agencies that have a 
        significant effect on international travel and tourism, 
        recreation, and national heritage resources, including 
        progress towards resolving interagency conflicts and 
        development of cooperative program activity;
          (3) an analysis of problems referred to the Council 
        by State and local governments, the tourism industry, 
        the United States National Tourism Organization, the 
        Secretary of Commerce, along with a detailed summary of 
        any action taken or anticipated to resolve such 
        problems; and
          (4) any recommendation as deemed appropriate by the 
        Council.
           DISSENTING VIEWS OF THE HONORABLE JOHN D. DINGELL

    I oppose H.R. 2579, as reported, because it is unnecessary 
legislation, because it promises more than it delivers, and 
because it is a cynical approach to addressing legitimate 
issues involving the U.S. travel and tourism industry.
    No one disputes the importance of travel and tourism to our 
economy. The industry generates billions of dollars in revenues 
and employs tens of thousands of Americans. In my home State of 
Michigan, tourism plays an important role in the State's 
economy. In fact, Governor Engler's Tourism Director asked me 
to support full funding for the U.S. Travel and Tourism 
Administration (USTTA), stating that ``[e]limination of this 
agency or reduction in its already meager budget would 
seriously reduce our ability to contribute effectively to 
lowering the U.S. trade deficit through tourism.'' (December 
19, 1994 letter from Arthur E. Ellis, Director, Michigan Travel 
Bureau).
    I was a strong critic of USTTA in the past. My criticism of 
the agency had nothing to do with the importance of promoting 
legitimate U.S. tourism interests. Instead, it derived from the 
fact that the agency could not prove it brought into the U.S. 
more than what it cost American taxpayers to fund it. In 1985, 
I tried to abolish USTTA. That effort was rejected by a fully 
bipartisan majority of the Committee. The vote was 20-22.
    I supported legislation in the 100th Congress to make USTTA 
fully funded by industry user fees, because that addressed my 
biggest concern about the agency--eliminating general taxpayer 
support for USTTA. Though the legislation was enacted (section 
10301, Omnibus Budget Reconciliation Act of 1990, P.L. 100-
508), it was never implemented, because some of the biggest 
beneficiaries of USTTA's programs, like the airline industry, 
alleged the bill violated provisions of an international treaty 
(see, Federal Register, Vol. 57, No. 23, February 4, 1992).
    In the 102d Congress, the Committee on Energy and Commerce 
worked to enact bipartisan legislation to reform USTTA (Tourism 
Policy and Export Promotion Act of 1992, P.L. 102-372). Based 
on the new law, Commerce Secretary Ron Brown and Under 
Secretary Greg Farmer succeeded in making significant reforms 
of the agency. They made USTTA more accountable. They improved 
USTTA's relationships and partnerships with State and local 
governments. They worked closely with industry to reinvent the 
agency's programs. Their commendable efforts were evident in 
last year's White House Conference on Travel and Tourism, when 
government and industry officials came together and set 
objectives for implementing a national tourism plan.
    Ironically, just as USTTA was taking important strides 
toward fulfilling its statutory responsibilities, the 
Republicans passed legislation--as part of one of their many 
continuing resolutions that followed the disastrous partial 
government shutdowns--that zeroed out USTTA's appropriation 
(H.R. 3019, Balanced Budget Down Payment Act, Part II, P.L. 
104-134; see also, H. Rpt. 104-537, 142 Cong. Rec. H4187, April 
30, 1996). This action was consistent with legislation Commerce 
Committee Republicans supported that abolished USTTA, as part 
of a larger effort to ``eliminate'' the Department of Commerce 
(see, H.R. 1756, the Department of Commerce Dismantling Act, as 
reported by the Committee on Commerce; see also, Title XVII, 
H.R. 2491, Budget Reconciliation Act of 1995).
    At the same time Republicans were busy abolishing funding 
for USTTA--and as if to apologize for doing so--H.R. 2579 was 
introduced.
    H.R. 2579 is a bill in search of a reason to exist. The 
main purpose of the bill is to create the United States 
National Tourism Organization, described in this report as a 
``privately-funded, non-profit, non-Federal organization.'' But 
why do we need Federal legislation to create a private 
organization? Either there is a compelling interest justifying 
government involvement in the promotion of U.S. tourism 
interests or there is not. If there is such an interest, then 
the decision to eliminate USTTA funding should be reconsidered. 
If there is not such a compelling interest, we should leave it 
up to industry to decide if it wishes to avail itself of State 
laws governing the formation of ``privately-funded, non-profit, 
non-Federal'' organizations.
    This bill is a fig leaf that tries to cover up what 
Republicans have done to USTTA. My Republican colleagues preach 
every day how we ought to get the Federal government out of the 
way and turn matters over to the States. Yet the fact is that 
adequate laws already exist in the District of Columbia and 
every one of the 50 States governing the establishment of non-
profit corporations (see, e.g., Title 29, District of Columbia 
Code). It doesn't take Federal legislation, like H.R. 2579, to 
create a non-profit corporation to promote American tourism 
interests.
    Supporters of H.R. 2579 refer to the bill as ``ground-
breaking'' legislation that is needed more than ever in view of 
the demise of USTTA (see, e.g., 142 Cong. Rec. E630, April 25, 
1996). Nothing could be further from the truth. The bill does 
nothing that the private sector cannot do on its own. I am 
sure, however, the private sector will be back soon asking us 
to shower money or other special benefits on their new 
Congressionally-blessed corporation, all at the taxpayers' 
expense.
    Indeed, at the January 24, 1996 hearing on H.R. 2579, 
witnesses described the lack of Federal commitment to travel 
and tourism. Judson Green, President of Walt Disney 
Attractions, noted that Australia ``invests'' $20 for each 
international visitor compared to only 28 cents by the United 
States government. Jonathan Tisch, President of Loews Hotels, 
testified that ``[c]urrently, the U.S. ranks 33rd in terms of 
national tourism promotion budgets--even countries such as 
Tunisia and Malaysia spend more.'' Roger Ballou, Chief 
Marketing Officer for Alamo Rent A Car, Inc., emphasized that 
governments of other countries ``devote significant resources 
to their national tourism organization, knowing that the 
investment pays off handsomely.'' This report ignores the calls 
for greater governmental involvement in tourism promotion, as 
clearly reflected in the record before the Committee, and 
instead concludes that the ``precipitous'' decline of the 
American share of worldwide travel receipts (18.9 percent in 
1993 to 17.9 percent in 1995) somehow will be cured by H.R. 
2579. If H.R. 2579 is enacted, I will be watching anxiously to 
see if, when, and how the U.S. National Tourism Organization 
will reverse the decline of U.S. tourism cited in this report 
(if any reliable statistics are available).
    I cannot in good conscience support this bill. It amounts 
to an apology to the travel and tourism industry--what 
politicians refer to as ``cover.'' It is designed to make it 
look like the Congress is doing something worthwhile while 
trying to hide what Republicans have already done.

                                                   John D. Dingell.