G/SCM/Q2/USA/67  
 
28 July 2016  
(16-4030)  Page: 1/4  
Committee on Subsidies and  
Countervailing Measures  Original: English  
 
 SUBSIDIES 
QUESTIONS FROM CANADA REGARDIN G THE NEW AND FULL NOTIFICATION 
OF THE UNITED STATES1 
The following communication, dated 27 July 2016, is being circulated at the request of the 
Delegation of Canada. 
 
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FEDERAL PROGRAMS 
 Question 1 
 
According to the Catalog of Federal Domestic Assi stance, there are about 2,360 Federal assistance 
programs in the form of grants, loan, loan guarantees, etc. Some programs provide social support, 
but several other programs appear to meet the no tification requirements under the Article 25 of 
the Agreement on Subsidies and Countervailing Measures. Could the United States address why it has not notified such programs, including for example, the Biorefinery Assistance Program, Fishermen's Contingency Fund, and the Beginning Farmer and Rancher Development Program? 
 
Question 2  
1.1.1 The Dairy Export Incentive Program (DEIP)  
 Could the United States clarify whether the repe aled programs have been replaced with any 
alternative programs under the 2014 Act during the reporting period? 
 Question 3  
1.2 Agricultural Domestic Support Programs  
 Could the United States provide examples of 'oth er policy instruments' (6 – Trade Effects) that 
impede the determination of trade effects? 
 Question 4 
 
Disaster Assistance and Risk Management  Assistance for Agricultural Producers 
(j) Disaster payments  
Could the United States clarify how many counties received a disaster payment? 
 Question 5 
 
Other Programs (m) Grazing Livestock on Federal Land 
 
Could the United States provide more information on the allocation of public range land to the 16 Western states? 
                                               
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  Question 6 
 5.1 Capital Gains Treatment of Certain Timber Income  
Could the United States provide more information on who are the actual users of this program and 
how it works?   
Question 7 
 5.2 Expensing of Multi-peri od Timber Growing Costs 
 
Could the United States provide more information about who are the beneficiaries of this program? 
Do they belong to any trade group?  
Question 8 
 10.1 Empowerment Zones 
 
How are the "distressed areas" under this progra m determined? Is there a benchmark – spatial or 
temporal – to which the status of a distressed area is compared?  
Question 9 
 10.2 New Markets Tax Credit 
 
Could the United States provide more informatio n about the Community Development Entities that 
are the recipients of this tax credit?  
 
Question 10  Programs not reported 
 
Could the United States explain how the Export Credit Guarantee Program (GSM-102) program is 
consistent with the United States' obligations under Article 3 of the SCM Agreement?  
 
SUB-FEDERAL PROGRAMS  
Question 11 
 Programs not reported  
Canada appreciates the United States' efforts to notify states subsidies. Could the United States 
address why it has not notified programs for the state of Kansas, including for example, StartUp Kansas and Kansas High Performance Incentive Program? 
 
Question 12  
Arkansas - Quick Action Closing Fund  
 Could the United States identify the sectors or industries that benefitted from this fund and identify the job and investment guidelines that mu st be met by a recipient for eligibility? Could the 
United States provide the value and number of th e grants provided by this fund in the 2013 and 
2014 fiscal years?   
Question 13 
 Delaware - Delaware Strategic Fund  
 
Could the United States identify the sectors or in dustries that benefitted from this fund? Could the 
United States provide the value and number of th e grants provided by this fund in the 2013 and 
2014 fiscal years?  
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  Question 14 
 Florida - Quick Action Closing Fund   
Could the United States identify the sectors or industries that benefitted from this fund and 
identify the requirements a recipient must meet fo r eligibility? Could the United States provide the 
value and number of the grants provided by  this fund in the 2013 and 2014 fiscal years? 
 
Question 15  Illinois - Large Business Development Program  
 
Could the United States identify the sectors or industries that benefitted from this program and identify the requirements a recipient must meet fo r eligibility? Could the United States provide the 
value and number of the grants provided by this program in the 2013 and 2014 fiscal years?  
 Question 16 
 
Michigan - Border County Incentives   Could the United States identify the sectors or industries that received assistance from this 
program? Could the United States provide the value and number of tax abatements provided by 
this program in the 2013 and 2014 fiscal years?  
Question 17 
 Ohio - Other programs not reported 
 
Could the United States explain why the Ohio Job Creation Tax Credit is not among the programs by the state of Ohio included in this notification ? Could the United States identify the sectors or 
industries that benefitted from this program? Could the United States provide the value and 
number of the grants provided by this program in the 2013 and 2014 fiscal years? 
 Question 18 
 
Puerto Rico - Puerto Rico Trade and Export Company  
Based on information on the Puerto Rico Trade and Export Company website, the program offers a 
number of specialized services that facilitate the expansion of local companies to international markets. Could the United States clarify whethe r there is any export performance or import 
substitution requirements associated with this fund? Can the United States explain how these 
requirements are consistent with Articles 3.1(a) and (b) of the Agreement on Subsidies and 
Countervailing Measures?  
Question 19 
 Texas - Texas Enterprise Fund  
 
Could the United States identify the sectors or industries that benefitted from this fund and identify the requirements a recipient must meet fo r eligibility? Could the United States provide the 
value and number of the grants provided by  this fund in the 2013 and 2014 fiscal years? 
 
Question 20  
Utah - Industrial Assistance Fund  
 Could the United States identify the sectors or in dustries that benefitted from this fund? Could the 
United States provide the value and number of th e grants provided by this fund in the 2013 and 
2014 fiscal years?  G/SCM/Q2/USA/67 
 
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  Question 21 
 Virginia - Commonwealth's Development Opportunity Fund   
Could the United States identify the sectors or in dustries that benefitted from this fund? Could the 
United States provide the value and number of th e grants provided by this fund in the 2013 and 
2014 fiscal years?  
 
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