Export-Import Bank Reform and Reauthorization Act of 2015
TITLE I--TAXPAYER PROTECTION PROVISIONS AND INCREASED ACCOUNTABILITY
(Sec. 101) This bill amends the Export-Import Bank Act of 1945 to set at $135 billion, for each of FY2015-FY2019, the authorized aggregate amount of loans, guarantees, and insurance the Export-Import Bank may have outstanding at any time.
If the rate at which borrowing entities are in default on a payment obligation (default rate) is 2% or more for a quarter, the Bank may not exceed the amount of loans, guarantees, and insurance outstanding on the last day of that quarter until the default rate becomes less than 2%.
(Sec. 102) The Bank shall build to and hold in reserve, to protect against future losses, at least 5% of its aggregate amount of disbursed and outstanding loans, guarantees, and insurance.
(Sec. 103) This bill amends the Export-Import Bank Reauthorization Act of 2012 (EIBRA) to require the Government Accountability Office's quadrennial review of the adequacy of the design and effectiveness of the Bank's fraud controls to include review of the Bank's compliance with these controls.
(Sec. 104) An Office of Ethics is established within the Bank to recommend administrative actions to establish or enforce standards of official conduct.
(Sec. 105) A Chief Risk Officer of the Bank is established to oversee all issues relating to risk within the Bank.
(Sec. 106) A Risk Management Committee is also established to:
(Sec. 107) The Bank's Inspector General shall conduct an audit or evaluation of the Bank's portfolio risk management procedures, including its implementation of the duties assigned to the Chief Risk Officer.
(Sec. 108) The Bank may establish a pilot program under which it may enter into contracts and other arrangements to share risks associated with its provision of guarantees, insurance, or credit, or participation in the extension of credit.
The aggregate amount of liability the Bank may transfer through risk-sharing under a contract or other arrangement may not exceed $1 billion, nor a total of $10 billion during a fiscal year.
TITLE II--PROMOTION OF SMALL BUSINESS EXPORTS
(Sec. 201) This bill directs the Bank to:
TITLE III--MODERNIZATION OF OPERATIONS
(Sec. 301) This bill requires the Bank to implement policies to accept electronic payments and transaction documents.
(Sec. 302) The Bank's authority to use a portion of its surplus to update its information technology systems shall extend through FY2019.
TITLE IV--GENERAL PROVISIONS
(Sec. 401) The bill reauthorizes through FY2019 the Bank, the Sub-Saharan Africa Advisory Committee, and authority for dual use exports (of nonlethal defense articles or services primarily for civilian use).
(Sec. 402) The principal amounts of medium-term financing by the Bank shall be limited to $25 million.
The bill increases from a minimum of $10 million to a minimum of $25 million the amounts of:
If the long-term support for projects subject to environmental effects consideration is less than $25 million, the minimum threshold shall be the one established pursuant to international agreements, including the Common Approaches for Officially Supported Export Credits and Environmental and Social Due Diligence, as adopted by the Organisation for Economic Co-operation and Development Council on June 28, 2012, and the risk-management framework ("Equator Principles") adopted by financial institutions for determining, assessing, and managing environmental and social risk in projects.
TITLE V--OTHER MATTERS
(Sec. 501) This bill prohibits the Bank from:
These prohibitions apply only to applications for Bank financing for projects concerning the exploration, development, production, or export of energy sources and the generation or transmission of electrical power, or combined heat and power, regardless of the energy source involved.
(Sec. 502) The EIBRA is amended to require the President instead of the Department of the Treasury to initiate and pursue negotiations to end export credit financing.
The President shall propose to Congress a strategy to pursue with other major exporting countries, including Organisation for Economic Co-operation and Development (OECD) members and non-OECD members, to eliminate over a 10-year period subsidized export-financing programs, tied aid, export credits, and all other forms of government-supported export subsidies.
(Sec. 503) The Bank shall study the extent to which products it offers are available and used by companies that export information and communications technology services and related goods.
[Congressional Bills 114th Congress]
[From the U.S. Government Publishing Office]
[H.R. 597 Introduced in House (IH)]
114th CONGRESS
1st Session
H. R. 597
To reauthorize the Export-Import Bank of the United States, and for
other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
January 28, 2015
Mr. Fincher (for himself, Mr. Wilson of South Carolina, Mr. Aderholt,
Mr. Hunter, Mr. Stivers, Mr. Collins of New York, Mr. Rodney Davis of
Illinois, Mr. Dold, Mr. Cole, Mr. Hultgren, Mr. Lucas, Mr. Pitts, Mr.
Reed, Mrs. Wagner, Mr. Bost, Mr. Harper, Mr. King of New York, Mr.
Newhouse, Mr. Tiberi, Mr. Gibbs, Mr. Crenshaw, Mr. Long, Mr. Rogers of
Alabama, Mr. Amodei, Mrs. Walorski, Mr. Graves of Missouri, Mr.
Boustany, Mr. Joyce, Mr. Rice of South Carolina, Mr. Mica, Mr. Bucshon,
Mr. Meehan, Mr. Costello of Pennsylvania, Mr. Thompson of Pennsylvania,
Mr. Turner, Mr. Gibson, Mr. Hanna, Mr. Kelly of Pennsylvania, Mr.
MacArthur, Mr. Shimkus, Mr. Barletta, Mr. Cramer, Mr. Shuster, Mr.
Reichert, Mr. LoBiondo, Mr. Kinzinger of Illinois, Mr. Johnson of Ohio,
Mr. Marino, Mr. Mullin, Ms. Stefanik, Mr. Katko, Mr. Crawford, Mr.
Jolly, Mr. Calvert, Mrs. Comstock, Mr. Schock, Mrs. Hartzler, and Mr.
Valadao) introduced the following bill; which was referred to the
Committee on Financial Services
_______________________________________________________________________
A BILL
To reauthorize the Export-Import Bank of the United States, and for
other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Reform Exports and Expand the
American Economy Act''.
SEC. 2. TABLE OF CONTENTS.
The table of contents of this Act is as follows:
Sec. 1. Short title.
Sec. 2. Table of contents.
TITLE I--IMPROVING TRANSPARENCY OF THE EXPORT-IMPORT BANK OF THE UNITED
STATES
Sec. 101. Making the Office of Ethics statutory.
Sec. 102. Review of fraud controls.
Sec. 103. Review of Bank product pricing and credit standards to avoid
crowding out of private export finance.
Sec. 104. Prohibited countries.
Sec. 105. Independent audit by the Comptroller General.
Sec. 106. Employee certification and financial disclosure.
Sec. 107. Study of financing for information and communications
technology systems.
Sec. 108. Electronic payments and documents.
Sec. 109. Parallel GAAP reporting.
Sec. 110. Making the Bank the lender of last resort for loans,
attempting private financing first.
Sec. 111. Audit committee.
Sec. 112. Report on privatizing the Bank.
Sec. 113. Independent audit of bank portfolio.
TITLE II--IMPROVING THE ACCOUNTABILITY OF THE EXPORT-IMPORT BANK OF THE
UNITED STATES
Sec. 201. Earnings retention.
Sec. 202. Office of the President and term limits.
Sec. 203. Repayment as priority.
Sec. 204. Negotiations to end export credit financing.
Sec. 205. Limitations on outstanding loans, guarantees, and insurance.
Sec. 206. Credit risk.
Sec. 207. Chief Risk Officer.
Sec. 208. Participation and risk-sharing by private sector lenders and
exporters.
Sec. 209. Reauthorization of information technology updating.
TITLE III--JOB GROWTH
Sec. 301. Extension of authority.
Sec. 302. Dual use exports.
Sec. 303. Small business and medium-sized enterprises reports.
Sec. 304. Medium-sized enterprises.
Sec. 305. Extension of suspension of supplemental guidelines for high
carbon intensity projects.
Sec. 306. Updated definition of loan terms.
Sec. 307. Updated loan amounts.
Sec. 308. Updated environmental effects consideration.
Sec. 309. Updated export amounts.
Sec. 310. Inflation adjustment.
TITLE I--IMPROVING TRANSPARENCY OF THE EXPORT-IMPORT BANK OF THE UNITED
STATES
SEC. 101. MAKING THE OFFICE OF ETHICS STATUTORY.
Section 3 of the Export-Import Bank Act of 1945 (12 U.S.C. 635a) is
amended by adding at the end the following:
``(k) Office of Ethics.--
``(1) Establishment.--There is hereby established an Office
of Ethics within the Bank, which shall oversee all ethics
issues within the Bank.
``(2) Head of office.--The head of the Office of Ethics
shall be the Chief Ethics Officer, who shall be appointed by
the Board of Directors of the Bank, within 180 days after the
date of the enactment of this paragraph, from among persons
with a background in law who have experience in the fields of
law and ethics, including the individual serving as a
designated agency ethics official for the Bank pursuant to
Ethics in Government Act of 1978. The Chief Ethics Officer
shall report to the Board.
``(3) Duties.--The Office of Ethics has jurisdiction over
all employees and contractors of, and matters relating to, the
Bank. With respect to employees and contractors of the Bank,
the Office of Ethics may--
``(A) recommend administrative actions to establish
or enforce standards of official conduct;
``(B) investigate alleged violations of the Code of
Official Conduct or of any applicable rules, laws, or
regulations governing the performance of official
duties or the discharge of official responsibilities;
``(C) report to appropriate Federal or State
authorities substantial evidence of a violation of any
law applicable to the performance of official duties
that may have been disclosed in an Office of Ethics
investigation, subject to approval of the report by an
affirmative vote of a majority of the Board of
Directors of the Bank; and
``(D) render advisory opinions regarding the
propriety of any current or proposed conduct of
employee or contractor of the Bank, and issue general
guidance on such matters as necessary.''.
SEC. 102. REVIEW OF FRAUD CONTROLS.
Section 17(b) of the Export-Import Bank Reauthorization Act of 2012
(12 U.S.C. 635a-6(b)) is amended to read as follows:
``(b) Review of Fraud Controls.--Not less frequently than every 4
years, the Comptroller General of the United States shall--
``(1) review the adequacy of the design and effectiveness
of the controls used by the Export-Import Bank of the United
States to prevent, detect, and investigate fraudulent
applications for loans and guarantees and the compliance by the
Bank with the controls, including by auditing a sample of Bank
transactions, and
``(2) submit to the Committees on Financial Services and
Appropriations of the House of Representatives and the
Committees on Banking, Housing, and Urban Affairs and
Appropriations of the Senate a written report regarding the
findings of the review and providing such recommendations with
respect to the controls as the Comptroller General deems
appropriate.''.
SEC. 103. REVIEW OF BANK PRODUCT PRICING AND CREDIT STANDARDS TO AVOID
CROWDING OUT OF PRIVATE EXPORT FINANCE.
Section 8 of the Export-Import Bank Act of 1945 (12 U.S.C. 635g) is
amended by adding at the end the following:
``(k) Reports on Private Export Financing and Bank Pricing and
Credit Standards.--
``(1) Private export financing.--The Board of Governors of
the Federal Reserve System shall issue a semiannual report to
the Congress on the terms and conditions (including interest
rates, maturities, and credit standards) that apply in the
provision of export finance by private financial institutions.
``(2) Bank pricing and credit standards.--The Bank shall
issue an annual report to the Congress on the steps taken by
the Bank to adjust the pricing of products offered, and the
credit standards used, by the Bank to avoid crowding out
private export finance.''.
SEC. 104. PROHIBITED COUNTRIES.
Section 8 of the Export-Import Bank Act of 1945 (12 U.S.C. 635g),
as amended by section 103 of this Act, is amended by adding at the end
the following:
``(l) Recommendations Regarding Prohibited Countries.--The Board of
Directors of the Bank, in consultation with Congress, the President,
and the Secretary of State, shall develop recommendations annually
regarding the countries with whom and in which the Bank should not be
doing business, and the Bank shall include the recommendations in its
annual report to the Congress under subsection (a).''.
SEC. 105. INDEPENDENT AUDIT BY THE COMPTROLLER GENERAL.
Section 3(c) of the Export-Import Bank Act of 1945 (12 U.S.C.
635a(c)) is amended by redesignating paragraph (10) as paragraph (11)
and inserting after paragraph (9) the following:
``(10) Independent Audit by the Comptroller General.--
``(A) Annual audit.--The Comptroller General of the United
States shall, before the end of the 1-year period beginning on
the date of the enactment of this paragraph and each year
thereafter, carry out an audit of the Bank's loan, guarantee,
insurance, and credit programs.
``(B) Report.--At the completion of each audit required
under subparagraph (A), the Comptroller General shall issue a
report to the Bank and the Congress containing--
``(i) all findings and determinations made in
carrying out the audit; and
``(ii) any recommendations that the Comptroller
General may have--
``(I) to assist the Bank in fulfilling the
accounting and reporting responsibilities of
the Bank;
``(II) to ensure that the Bank has adequate
administrative and financial controls; and
``(III) with respect to procedures for the
internal audit functions of, and the use of
independent accountants by the Bank.''.
SEC. 106. EMPLOYEE CERTIFICATION AND FINANCIAL DISCLOSURE.
Section 3(e) of the Export-Import Bank Act of 1945 (12 U.S.C.
635a(e)) is amended by adding at the end the following:
``(3) Ethics.--
``(A) Code of ethics.--
``(i) In general.--The Chief Ethics Officer
shall draft a Code of Ethics that sets out
strict and definite standards of official
conduct for all Bank directors, officers, and
employees, which Code shall include a policy
that prohibits conflicts of interest, as
described in paragraph (1) of this subsection,
and other policies, prohibitions, and
restrictions that the Chief Ethics Officer
deems appropriate.
``(ii) Considerations.--In drafting the
Code of Ethics, the Chief Ethics Officer shall
consider the Principles of Ethical Conduct for
Government Officers and Employee set forth in
Executive Order 12731 (Oct. 17, 1990).
``(iii) Consistency with ethics in
government act of 1978.--The Chief Ethics
Officer shall ensure that the Code of Ethics is
consistent with the Ethics in Government Act of
1978 and the regulations promulgated under such
Act.
``(iv) Effectiveness; amendment.--The Code
of Ethics (and an amendment to the Code) shall
take effect on approval by the Board. The Code
of Ethics may be amended only on the
recommendation of the Chief Ethics Officer.
``(v) Annual employee certifications.--The
Board, in consultation with the Chief Ethics
Officer, shall implement a policy that requires
all Bank directors, officers, and employees to
certify annually that they have read,
understand, and complied with and will continue
to comply with the Code of Ethics. The annual
certifications shall contain a statement that
notifies the signatory that section 1001 of
title 18, United States Code, applies to the
certification.
``(B) Financial disclosure.--
``(i) In general.--Within 180 days after
the date of the enactment of this paragraph,
the Board, in consultation with the Chief
Ethics Officer, shall prepare a financial
disclosure form for Covered Individuals, which
form shall--
``(I) require information about
assets, income, debts, and any other
financial information that the Board
deems appropriate for ensuring that a
Covered Individual is in compliance
with the Code of Ethics established
under subparagraph (A); and
``(II) be no less extensive than
financial reports required to be filed
under title I of the Ethics in
Government Act of 1978 and the
regulations promulgated under such Act.
``(ii) Financial reporting policy.--The
Board, in consultation with the Chief Ethics
Officer, shall implement a policy that--
``(I) requires each Covered
Individual and the spouse of the
Covered Individual to annually complete
the financial disclosure form and
submit the completed form to the
General Counsel or his or her designee
for review; and
``(II) allows any Covered
Individual who is required to file
financial reports under title I of the
Ethics in Government Act of 1978 or any
other Federal law to file the financial
reports under such title or other law
in lieu of the financial disclosure
form described in this subparagraph,
but the Board may require those who do
so to supplement the financial report
with all information required to be
disclosed under this subparagraph.
``(iii) Covered individual defined.--In
this subparagraph, the term `Covered
Individual' means any Bank director, officer,
employee, or contractor with the ability to
affect any Bank decision relating to financing,
funding, insuring, or otherwise providing
backing to any company or project.
``(iv) Availability of completed financial
disclosure forms.--
``(I) In general.--The Bank shall
make completed financial disclosure
forms available to the Office of
Inspector General for the Bank.
``(II) Prohibitions.--A completed
financial disclosure form shall not be
made available--
``(aa) to another Bank
director, officer, employee,
attorney, or agent, except as
necessary to ensure compliance
of a Covered Individual with
this subparagraph, the Code of
Ethics, or any applicable law;
or
``(bb) to the public.
``(C) Rule of interpretation.--Nothing in this
paragraph shall supersede, modify, change, or otherwise
affect any requirement, procedure, or restriction
applicable to a Bank employee, officer, or director
under the Ethics in Government Act of 1978 that applies
in addition to the requirements, procedures, and
restrictions applicable to a Bank employee, officer, or
director under this paragraph.''.
SEC. 107. STUDY OF FINANCING FOR INFORMATION AND COMMUNICATIONS
TECHNOLOGY SYSTEMS.
(a) Analysis of the Information and Communications Technology
Industry Use of Bank Products.--The Export-Import Bank of the United
States (in this section referred to as the ``Bank'') shall conduct a
study of the extent to which the products offered by the Bank are
available and used by companies that export services and related goods.
In conducting the study, the Bank shall examine the following:
(1) The impediments to the use of Bank products by the
companies.
(2) The number of jobs in the United States that are
supported by the export of goods and services, and the degree
to which access to financing will increase exports.
(3) The reduction in the financing by the Bank of
information and communications technology (in this section
referred to as ``ICT'') services from 2003 through 2013.
(4) The impediments posed by local content requirements to
ICT companies that seek to use a Bank product.
(5) The activities of foreign export credit agencies to
facilitate the export of ICT goods and services.
(6) Specific proposals for how the Bank, using its
authority and products, could provide additional financing for
ICT goods and services, including through risk-sharing with
other export credit agencies and other third parties.
(7) Ways in which the Bank can take into account the full
global ICT goods and services supply chain--in particular, the
ultimate manufacturer or provider of the finished goods or
services that would result from the supply chain--in making
credit and risk determinations and the creditworthiness of the
ultimate purchaser.
(8) Proposals for new products the Bank could offer to
provide the financing, including--
(A) the extent to which the Bank is authorized to
offer new products;
(B) the extent to which the Bank would need
additional authority to offer the new products to meet
the needs of the ICT industry;
(C) specific proposals for changes in law that
would enable the Bank to provide increased financing
for ICT goods and services in compliance with the
credit and risk standards of the Bank;
(D) specific proposals that would enable the Bank
to provide increased outreach to the ICT industry about
the products the Bank offers; and
(E) specific proposals for changes in law that
would enable the Bank to provide the financing to build
ICT infrastructure in compliance with the credit and
risk standards of the Bank so as to allow for market
access opportunities for United States ICT companies to
operate services on the infrastructure being financed
on receipt of funds from the Bank.
(b) Report.--Within 180 days after the date of the enactment of
this Act, the Bank shall submit to the Congress a report that contains
the results of the study required by subsection (a).
SEC. 108. ELECTRONIC PAYMENTS AND DOCUMENTS.
Section 2(b)(1)(E) of the Export-Import Bank Act of 1945 (12 U.S.C.
635(b)(1)(E)) is amended by adding at the end the following:
``(xi) Electronic Documents.--Not later than the end of the 2-year
period beginning on the date of the enactment of this clause, the Bank
shall implement policies to accept electronic documents whenever
possible, including copies of bills of lading, certifications, and
compliance documents.
``(xii) Electronic Payments.--Not later than the end of the 2-year
period beginning on the date of the enactment of this clause, the Bank
shall implement policies to accept electronic payments in all of its
programs.''.
SEC. 109. PARALLEL GAAP REPORTING.
Section 8 of the Export-Import Bank Act of 1945 (12 U.S.C. 635g),
as amended by sections 103 and 104 of this Act, is amended by adding at
the end the following:
``(m) Parallel GAAP Reporting.--With any report issued by the Bank
to the Congress or any committee of the Congress that contains
accounting information that is not prepared using generally accepted
accounting principles, the Bank shall issue a 2nd report providing the
same accounting information prepared using generally accepted
accounting principles.''.
SEC. 110. MAKING THE BANK THE LENDER OF LAST RESORT FOR LOANS,
ATTEMPTING PRIVATE FINANCING FIRST.
Section 2 of the Export-Import Bank Act of 1945 (12 U.S.C. 635) is
amended by adding at the end the following:
``(k) Applicants for Bank Assistance Required To Demonstrate
Inability To Obtain Credit Elsewhere.--The Bank shall not guarantee,
insure, or extend credit, or participate in an extension of credit in
connection with a transaction, to a privately owned foreign applicant,
other than a financial institution, unless the applicant demonstrates
to the Bank that--
``(1) the applicant has sought, and has been unable to
obtain, competitive financing for the transaction without any
support from the Overseas Private Investment Corporation or the
Small Business Administration; or
``(2) financing from a foreign export credit agency is
available to the applicant to support comparable foreign goods
and services competing with the United States exports that
would be financed by the Bank through the application.''.
SEC. 111. AUDIT COMMITTEE.
Section 3(c) of the Export-Import Bank Act of 1945 (12 U.S.C.
635a(c)), as amended by section 105 of this Act, is amended by
redesignating paragraph (10) as paragraph (11) and inserting after
paragraph (9) the following:
``(10) Audit Committee.--
``(A) Membership.--
``(i) In general.--In addition to such other duties
as they may be appointed to perform under subparagraph
(5), the directors who are neither Chairman nor Vice
Chairman of the Board shall constitute the Audit
Committee of the Board.
``(ii) Special rule.--If that there is only 1
director who is neither Chairman nor Vice Chairman of
the Board, the Chief Risk Officer of the Bank shall be
a temporary member of the Audit Committee until a 2nd
Bank director who is neither Chairman nor Vice Chairman
of the Board is appointed to the Board.
``(B) Duties.--
``(i) Within 1 year after the date of the enactment
of this paragraph, the Audit Committee shall develop
and implement a program to audit, on a regular and
routine basis, the loan, guarantee, insurance, and
credit programs of the Bank.
``(ii) The Audit Committee shall--
``(I) provide assistance to the Board in
fulfilling the accounting and reporting
responsibilities of the Board;
``(II) evaluate whether the Bank has
adequate administrative and financial controls;
``(III) review the financial statements
prepared by management for distribution to the
Congress and the public; and
``(IV) provide direction over the internal
audit function and the independent accountants
of the Bank.
``(C) Reports.--The Audit Committee shall report to the
Board regularly on its activities but may act independently of
the Chairman and Vice Chairman.
``(D) Procedural rules.--
``(i) Quorum.--2 members shall constitute a quorum
of the Audit Committee.
``(ii) Action only by majority vote.--The Audit
Committee may act only by majority vote.''.
SEC. 112. REPORT ON PRIVATIZING THE BANK.
Within 270 days after the date of the enactment of this Act, the
President, in consultation with the Advisory Committee of the Bank, the
Comptroller of the Currency, and the Governors of the Federal Reserve
Board, shall submit to the Committees on Appropriations and Financial
Services of the House of Representatives and the Committees on
Appropriations and Banking, Housing, and Urban Affairs of the Senate a
report on the programs of the Bank that may be fully or partially
privatized, which report shall--
(1) consider, but not be limited to, the establishment of a
public-private partnership to create a market window, as
allowed under Section 15 of the Export-Import Bank Act of 1945,
to compete against similar foreign-supported market windows to
maximize private-sector participation;
(2) include an evaluation of whether the administration of
the insurance and working-capital programs of the Bank could be
partially or completely privatized; and
(3) include an analysis of the current regulatory
restrictions related to capital-allocation requirements for
pre-export working capital and cross-border lending in amounts
exceeding $25,000,000.
SEC. 113. INDEPENDENT AUDIT OF BANK PORTFOLIO.
(a) Audit.--The Inspector General of the Export-Import Bank of the
United States shall conduct an audit of the portfolio risk management
procedures of the Bank, including a review of the implementation by the
Bank of the duties assigned to the Chief Risk Officer under the Export-
Import Bank Act of 1945.
(b) Report.--Not later than 1 year after the appointment of the
Chief Risk Officer of the Export-Import Bank of the United Sates, the
Inspector General shall submit to the Committee on Financial Services
of the House of Representatives and the Committee on Banking, Housing,
and Urban Affairs of the Senate a written report containing all
findings and determinations made in carrying out subsection (a).
TITLE II--IMPROVING THE ACCOUNTABILITY OF THE EXPORT-IMPORT BANK OF THE
UNITED STATES
SEC. 201. EARNINGS RETENTION.
Section 2(a)(1) of the Export-Import Bank Act of 1945 (12 U.S.C.
635(a)(1)) is amended by striking ``Net earnings of the Bank after
reasonable provision for possible losses shall be used for payment of
dividends on capital stock.'' and inserting ``The Bank shall retain not
less than 30 percent of total net earnings as a provision for possible
losses. Notwithstanding the previous sentence, during any period when
the aggregate of such retained earnings is less than 10 percent of the
applicable amount (as defined under section 6(a)(2)), the Bank shall
retain not less than 80 percent of total net earning as a provision for
possible losses. Net earnings that are not retained as a provision for
possible losses shall be used for payment of dividends on capital
stock.''.
SEC. 202. OFFICE OF THE PRESIDENT AND TERM LIMITS.
Section 3 of the Export-Import Bank Act of 1945 (12 U.S.C. 635a) is
amended--
(1) in subsection (b), by inserting ``who shall be chosen
from among those individuals with at least 15 years of banking
experience,'' before ``and who shall serve as chief
executive''; and
(2) in subsection (c)(8)(A)--
(A) in clause (iii), by striking ``and'' at the
end;
(B) in clause (iv), by striking the period at the
end and inserting ``; and''; and
(C) by adding at the end the following:
``(v) no person may serve as the President of the Bank for
more than 2 terms.''.
SEC. 203. REPAYMENT AS PRIORITY.
Section 2(b)(1) of the Export-Import Bank Act of 1945 (12 U.S.C.
635(b)(1)) is amended--
(1) in subparagraph (B), by striking ``, that loans, so far
as possible consistent with the carrying out of the purposes of
subsection (a) of this section, shall generally be for specific
purposes, and, in the judgment of the Board of Directors, offer
reasonable assurance of repayment''; and
(2) by striking subparagraph (C) and inserting the
following:
``(C) The Bank shall conduct all programs of the
Bank in a manner that, in the judgment of the Board of
Directors, offers reasonable assurance of repayment and
minimizes risk of loss. Loans made by the Bank shall be
for specific purposes.''.
SEC. 204. NEGOTIATIONS TO END EXPORT CREDIT FINANCING.
Section 11 of the Export-Import Bank Reauthorization Act of 2012
(12 U.S.C. 635i-5) is amended--
(1) in subsection (a)--
(A) by striking ``Secretary of the Treasury (in
this section referred to as the `Secretary')'' and
inserting ``President''; and
(B) in paragraph (1), by striking ``goal of
eliminating'' and inserting ``possible goal of
eliminating, before the end of the 10-year period
beginning on the date of the enactment of the Reform
Exports and Expand the American Economy Act,'';
(2) in subsection (b), by striking ``Secretary'' each place
such term appears and inserting ``President''; and
(3) by adding at the end the following:
``(c) Report on Strategy.--Not later than the end of the 180-day
period beginning on the date of the enactment of this subsection, the
President shall submit to the Congress a proposal, together with a
strategy for achieving the proposal, that the United States Government
will pursue with other major exporting countries, including members of
the Organisation for Economic Co-operation and Development (OECD) and
non-members of the OECD, to eliminate over a period of not more than 10
years subsidized export-financing programs, tied aid, export credits,
and all other forms of government-supported export subsidies.
``(d) Negotiations With Non-OECD Countries.--The President shall
initiate and pursue negotiations with countries that are not members of
the Organisation for Economic Co-operation and Development (OECD), to
bring the non-members into a multilateral agreement establishing rules
and limitations on officially supported export credits.
``(e) Annual Reports on Progress of Negotiations.--Not later than
180 days after the date of the enactment of this subsection, and
annually thereafter through calendar year 2019, the Secretary shall
submit to the Committee on Banking, Housing, and Urban Affairs of the
Senate and the Committee on Financial Services of the House of
Representatives a report on the progress of any negotiations described
in subsection (d).''.
SEC. 205. LIMITATIONS ON OUTSTANDING LOANS, GUARANTEES, AND INSURANCE.
Section 6(a)(2) of the Export-Import Bank Act of 1945 (12 U.S.C.
635e(a)(2)) is amended to read as follows:
``(2) Applicable amount.--In paragraph (1), the term
`applicable amount' means $130,000,000,000.''.
SEC. 206. CREDIT RISK.
Section 2(b)(1)(A) of the Export-Import Bank Act of 1945 (12 U.S.C.
635(b)(1)(A)) is amended by inserting after ``(as defined in section
10(h)(3))'' the following: ``, provided that this objective is
accomplished in a manner calculated to minimize financial risk to the
Bank''.
SEC. 207. CHIEF RISK OFFICER.
Section 3 of the Export-Import Bank Act of 1945 (12 U.S.C. 635a),
as amended by section 101 of this Act, is amended by adding at the end
the following:
``(l) Chief Risk Officer.--
``(1) In general.--Subject to the approval of the Board of
Directors of the Bank, the President of the Bank shall appoint
a Chief Risk Officer, from among individuals with experience at
a senior level in financial risk management, who--
``(A) shall rank not lower than senior vice
president;
``(B) shall have as the officer's sole function to
serve as chief risk officer of the Bank;
``(C) shall report directly to the Board; and
``(D) shall be removable only by the Board.
``(2) Duties.--The Chief Risk Officer shall, in
coordination with the Audit Committee of the Board of
Directors, develop, implement, and manage a comprehensive
process for identifying, assessing, monitoring, and reducing
business risks to the Bank's overall portfolio that may
interfere with the ability of the Bank to fulfill its purposes,
but may not exercise any authority over the operations of the
Bank.''.
SEC. 208. PARTICIPATION AND RISK-SHARING BY PRIVATE SECTOR LENDERS AND
EXPORTERS.
Section 2 of the Export-Import Bank Act of 1945 (12 U.S.C. 635), as
amended by section 110 of this Act, is amended by adding at the end the
following:
``(l) Participation and Risk-Sharing by Private Sector Lenders and
Exporters.--
``(1) The Bank shall develop and implement policies (in
coordination and in consultation with private sector
stakeholders) that incentivize transactions in which third
parties share risks of loss with the Bank. In the policies, the
Bank shall--
``(A) allow the retention of risk to be borne
either by a lender or an exporter;
``(B) not require a lender to retain additional
risk beyond the risk retained by an exporter;
``(C) share fees with the risk-sharing party equal
to the risk retained, but not share the interest earned
on a direct loan portion of a transaction; and
``(D) ensure that any administrative burdens for
third parties are calculated to promote participation
by third parties in the risk-sharing programs of the
Bank.
``(2) The policies of the Bank to encourage risk-sharing
shall give additional authority to a third party that retains
risk of loss of greater than 50 percent of a transaction.
``(3) The Bank may guarantee a capital markets purchase of
not more than 50 percent of an export portfolio by a captive
finance company or affiliate to encourage expansion of
equipment exports from the United States.''.
SEC. 209. REAUTHORIZATION OF INFORMATION TECHNOLOGY UPDATING.
Section 3(j) of the Export-Import Act of 1945 (12 U.S.C. 635a(j))
is amended--
(1) in the subsection heading, by striking ``Bank Surplus''
and inserting ``Administrative Funds'';
(2) in paragraph (1), by striking ``Subject to paragraphs
(3) and (4), the Bank may use an amount equal to 1.25 percent
of the surplus of the Bank during fiscal years 2012, 2013, and
2014 to'' and inserting ``Subject to paragraphs (2) and (3),
the Bank may use amounts, including fees, made available to the
Bank for administrative expense for systems infrastructure,
to'';
(3) by striking paragraph (2) and redesignating paragraphs
(3) and (4) as paragraphs (2) and (3), respectively; and
(4) in paragraph (2) (as so redesignated), by striking
``2012, 2013, and 2014'' and inserting ``2015 through 2019''.
TITLE III--JOB GROWTH
SEC. 301. EXTENSION OF AUTHORITY.
Section 7 of the Export-Import Bank Act of 1945 (12 U.S.C. 635f) is
amended by striking ``2014'' and inserting ``2019''.
SEC. 302. DUAL USE EXPORTS.
Section 1(c) of Public Law 103-428 (12 U.S.C. 635 note) is amended
by striking ``2014'' and inserting ``2019''.
SEC. 303. SMALL BUSINESS AND MEDIUM-SIZED ENTERPRISES REPORTS.
(a) In General.--The Export-Import Bank Act of 1945 (12 U.S.C. 635
et seq.) is amended by inserting after section 8A the following:
``SEC. 8B. SMALL BUSINESS CONCERNS AND MEDIUM-SIZED ENTERPRISES
REPORTS.
``(a) Study.--Not later than 180 days after the date of the
enactment of this section, and annually thereafter, the Bank shall--
``(1) carry out a study on the programs, products, and
policies of the Bank that support exports from small business
concerns and medium-sized enterprises in the United States,
including the programs, products, and polices with respect to
the implementation of the export credit insurance program,
delegated lending authority, and direct loans of the Bank; and
``(2) determine the extent to which the policies adequately
meet the needs of small business concerns and medium-sized
enterprises in obtaining Bank financing to support the
maintenance or creation of jobs in the United States through
exports, consistent with the requirement that the Bank obtain a
reasonable assurance of repayment.
``(b) Report.--On the completion of each study required under
subsection (a), the Bank shall issue a report to the Congress
containing--
``(1) all findings and determinations made by the Bank in
carrying out the study;
``(2) an analysis of the extent to which small business
concerns and medium-sized enterprises supply exporters with
goods and services, the content of which is included in exports
supported by a Bank program; and
``(3) recommendations to enhance the support the Bank may
provide small business concerns and medium-sized enterprises.
``(c) Small Business Concern Defined.--In this section, the term
`small business concern' has the meaning given the term under section
3(a) of the Small Business Act.''.
(b) Report on Bank Support for Small- and Medium-Sized Companies
Through Supply Chains.--Section 8 of such Act (12 U.S.C. 635g), as
amended by sections 103, 104, and 109 of this Act, is amended by adding
at the end the following:
``(n) Bank Support for Small- and Medium-Sized Companies Through
Supply Chains.--The Bank shall include in its annual report to the
Congress under subsection (a) an analysis of how, and to what extent,
the Bank provides indirect support to small- and medium-sized companies
through the supply chains of medium-sized and large companies to which
the Bank has provided support.''.
SEC. 304. MEDIUM-SIZED ENTERPRISES.
Section 2(b)(1)(F) of the Export-Import Bank Act of 1945 (12 U.S.C.
635(b)(1)(F)) is amended to read as follows:
``(F) Fair Consideration for Medium-Sized Enterprises.--In addition
to the programs of the Bank to encourage the participation of small
businesses in international commerce, the policies of the Bank shall
give fair consideration to making loans and providing guarantees for
the export of goods and services by medium-sized enterprises.''.
SEC. 305. EXTENSION OF SUSPENSION OF SUPPLEMENTAL GUIDELINES FOR HIGH
CARBON INTENSITY PROJECTS.
Notwithstanding section 7081 of division K of the Consolidated
Appropriations Act, 2014, paragraph (4) of such section shall apply
through September 30, 2019, with respect to the Supplemental Guidelines
for High Carbon Intensity Projects, approved by the Export-Import Bank
of the United States on December 12, 2013.
SEC. 306. UPDATED DEFINITION OF LOAN TERMS.
Section 2(a)(2)(A) of the Export-Import Bank Act of 1945 (12 U.S.C.
635(a)(2)(A)) is amended--
(1) in clause (i), by striking ``and'' at the end; and
(2) by adding at the end the following:
``(iii) with principal amounts of not more than
$25,000,000; and''.
SEC. 307. UPDATED LOAN AMOUNTS.
Section 2(d)(2) of the Export-Import Bank Act of 1945 (12 U.S.C.
635(d)(2)) is amended by striking ``$10,000,000'' and inserting
``$25,000,000''.
SEC. 308. UPDATED ENVIRONMENTAL EFFECTS CONSIDERATION.
Section 11(a)(1)(A) of the Export-Import Bank Act of 1945 (12
U.S.C. 635i-5(a)(1)(A)) is amended by striking ``$10,000,000'' and
inserting ``$25,000,000''.
SEC. 309. UPDATED EXPORT AMOUNTS.
Section 3(g)(3) of the Export-Import Bank Act of 1945 (12 U.S.C.
635a(g)(3)) is amended by striking ``$10,000,000'' and inserting
``$25,000,000''.
SEC. 310. INFLATION ADJUSTMENT.
Section 12 of the Export-Import Bank Act of 1945 (12 U.S.C. 635i-6)
is amended to read as follows:
``SEC. 12. INFLATION ADJUSTMENT.
``Beginning on the date on which the Bureau of Labor Statistics of
the Department of Labor first publishes the Consumer Price Index after
the date that is 1 year after the date of the enactment of this
section, and annually thereafter, the Bank shall adjust all dollar
amounts specified in this Act by the percentage change in the Consumer
Price Index published on that date from the Consumer Price Index
published the previous year.''.
<all>
Introduced in House
Sponsor introductory remarks on measure. (CR E129)
Referred to the House Committee on Financial Services.
ORDER OF PROCEDURE - Mr. Collins (GA) asked unanimous consent that the question of adoption of a motion to recommit on H.R. 597 may be postponed as though under clause 8, rule XX. Agreed to without objection.
Considered under the provisions of H. Res. 450. (consideration: CR H7217-7231)
DEBATE - The House proceeded with one hour of debate on H.R. 597.
The previous question was ordered pursuant to the rule. (consideration: CR H7229)
Ms. Norton moved to recommit to Financial Services. (consideration: CR H7229-7230)
DEBATE - The House proceeded with 10 minutes of debate on the Norton motion to recommit, pending reservation of a point of order. Subsequently, the reservation of a point of order was withdrawn.
The previous question on the motion to recommit was ordered without objection. (consideration: CR H7230)
POSTPONED ROLL CALL VOTE - The Chair put the question on the motion to recommit and by voice vote announced that the noes had prevailed. Mr. Hensarling demanded the yeas and nays and pursuant to a previous order of the House, the Chair postponed further proceedings on the question of adopting the motion to recommit until a time to be announced.
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WITHDRAWAL OF DEMAND FOR YEAS AND NAYS - Mr. Hensarling asked unanimous consent to withdraw his demand for the yeas and nays on the motion to recommit H.R. 597, to the end that the motion to recommit be rejected on the basis of the earlier voice vote. Agreed to without objection.
On motion to recommit Failed by voice vote.
POSTPONED PROCEEDINGS - The Chair put the question on passage of the bill, and by voice vote announced that the noes had prevailed. Ms. Maxine Waters (CA) demanded the yeas and nays, and the Chair postponed further proceedings on passage of the bill until later in the legislative day.
Considered as unfinished business. (consideration: CR H7243-7244)
Passed/agreed to in House: On passage Passed by the Yeas and Nays: 313 - 118 (Roll no. 576).(text: CR H7217-7219)
Roll Call #576 (House)On passage Passed by the Yeas and Nays: 313 - 118 (Roll no. 576). (text: CR H7217-7219)
Roll Call #576 (House)Motion to reconsider laid on the table Agreed to without objection.
Received in the Senate. Read the first time. Placed on Senate Legislative Calendar under Read the First Time.
Read the second time. Placed on Senate Legislative Calendar under General Orders. Calendar No. 282.