I

104TH CONGRESS

1ST SESSION H. R. 2755

To establish a Corporate and Farm Independence Commission, and for other

purposes.

IN THE HOUSE OF REPRESENTATIVES

DECEMBER 11, 1995

Mr. FOGLIETTA (for himself, Mr. SCHUMER, Mr. MCDERMOTT, Mr. OWENS,

and Mr. DELLUMS) introduced the following bill; which was referred to

the Committee on Ways and Means, and in addition to the Committees

on Agriculture, Transportation and Infrastructure, Resources, and Rules,

for a period to be subsequently determined by the Speaker, in each case

for consideration of such provisions as fall within the jurisdiction of the

committee concerned

A BILL

To establish a Corporate and Farm Independence

Commission, and for other purposes.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. SHORT TITLE.

4 This title may be cited as the ‘‘Corporate and Farm

5 Independence Act’’.
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1 SEC. 2. CORPORATE AND FARM INDEPENDENCE COMMIS2 SION.

3 (a) ESTABLISHMENT.—There is established an inde4 pendent commission to be known as the ‘‘Corporate and

5 Farm Independence Commission’’ to study reductions in

6 corporate and farm subsidies to reduce the Federal budget

7 deficit.

8 (b) DUTIES.—The Commission shall carry out the

9 duties specified for it in this Act.

10 (c) APPOINTMENT.—(1) The Commission shall be

11 composed of eight members appointed by the President.

12 (2) The President shall appoint the members of the

13 Commission not later than 6 months after the date of the

14 enactment of this Act.

15 (3) In selecting individuals for appointments to the

16 Commission, the President shall consult with—

17 (A) the Speaker of the House of Representa18 tives concerning the appointment of two members;

19 (B) the majority leader of the Senate concern20 ing the appointment of two members;

21 (C) the minority leader of the House of Rep22 resentatives concerning the appointment of one

23 member; and

24 (D) the minority leader of the Senate concern25 ing the appointment of one member.
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1 (4) At the time the President appoints members to

2 the Commission, the President shall designate one such

3 individual who shall serve as Chairman of the Commission.

4 (d) TERMS.—Each member of the Commission shall

5 be appointed to serve for the life of the Commission.

6 (e) MEETINGS.—Each meeting of the Commission,

7 other than meetings in which classified information is to

8 be discussed, shall be open to the public.

9 (f) VACANCIES.—A vacancy in the Commission shall

10 be filled in the same manner as the original appointment.

11 (g) PAY AND TRAVEL EXPENSES.—(1)(A) Each

12 member of the Commission, other than the Chairman,

13 shall be paid at a rate equal to the daily equivalent of

14 the minimum annual rate of basic pay payable for level

15 IV of the Executive Schedule under section 5315 of title

16 5, United States Code, for each day (including travel time)

17 during which the member is engaged in the actual per18 formance of duties vested in the Commission.

19 (B) The Chairman shall be paid for each day referred

20 to in subparagraph (A) at a rate equal to the daily equiva21 lent of the minimum annual rate of basic pay payable for

22 level III of the Executive Schedule under section 5314 of

23 title 5, United States Code.

24 (2) Members of the Commission shall receive travel

25 expenses, including per diem in lieu of subsistence, in ac-
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1 cordance with sections 5702 and 5703 of title 5, United

2 States Code.

3 (3) PROHIBITION OF COMPENSATION OF FEDERAL

4 EMPLOYEES.—Members of the Commission who are full5 time officers or employees of the United States, or Mem6 bers of Congress, may not receive additional pay, allow7 ances, or benefits by reason of their service on the Com8 mission.

9 (h) DIRECTOR OF STAFF.—(1) The Commission shall

10 appoint a Director.

11 (2) The Director shall be paid at the rate of basic

12 pay payable for level IV of the Executive Schedule under

13 section 5315 of title 5, United States Code.

14 (i) STAFF.—(1) Subject to paragraphs (2) and (3),

15 the Director, with the approval of the Commission, may

16 appoint and fix the pay of additional personnel.

17 (2) The Director may make such appointments with18 out regard to the provisions of title 5, United States Code,

19 governing appointments in the competitive service, and

20 any personnel so appointed may be paid without regard

21 to the provisions of chapter 51 and subchapter III of chap22 ter 53 of that title (relating to classification and General

23 Schedule pay rates), except that an individual so ap24 pointed may not receive pay in excess of the annual rate
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1 of basic pay payable for level IV of the Executive Schedule

2 under section 5315 of title 5, United States Code.

3 (3) Upon request of the Director, the head of any

4 Federal department or agency may detail any of the per5 sonnel of that department or agency to the Commission

6 to assist the Commission in carrying out its duties under

7 this Act.

8 (4) The Comptroller General of the United States

9 shall provide assistance, including the detailing of employ10 ees, to the Commission in accordance with an agreement

11 entered into between the Comptroller General and the

12 Commission.

13 (j) OTHER AUTHORITY.—(1) The Commission may

14 procure by contract, to the extent funds are available, the

15 temporary or intermittent services of experts or consult16 ants pursuant to section 3109 of title 5, United States

17 Code.

18 (2) The Commission may lease space and acquire per19 sonal property to the extent funds are available. To the

20 extent practicable, the Commission shall use suitable real

21 property available under the most recent inventory of real

22 property assets published by the Resolution Trust Cor23 poration under section 21A(b)(11)(F) of the Federal

24 Home Loan Bank Act (12 U.S.C. 1441a(b)(11)(F)).
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1 (k) FUNDING.—There are authorized to be appro2 priated to the Commission such funds as are necessary

3 to carry out its duties under this Act. Such funds shall

4 remain available until expended.

5 (l) TERMINATION.—The Commission shall terminate

6 not later than September 30, 2003.

7 SEC. 3. PROCEDURE FOR MAKING RECOMMENDATIONS

8 FOR CORPORATE AND FARM SUBSIDY RE9 DUCTIONS.

10 (a) SELECTION CRITERIA.—(1) Not later than 8

11 months after the date of the enactment of this Act, the

12 Chairman shall publish in the Federal Register and trans13 mit to the Congress a preliminary draft of the criteria

14 which the Chairman proposes should be used in making

15 recommendations for reductions in corporate or farm sub16 sidies under this Act. Before the publication required by

17 this paragraph, the Chairman shall provide an opportunity

18 for public comment on the proposed criteria for a period

19 of at least 30 days and shall hold a public hearing on the

20 proposed criteria. The Chairman shall provide the public

21 with appropriate notice of such opportunity to comment

22 and of such hearing.

23 (2) In developing the criteria, the Chairman shall

24 consider—
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1 (A) the income categories of individuals affected

2 by any reduction in corporate or farm subsidies,

3 (B) the number of individuals affected by any

4 such reduction,

5 (C) the impact of any such reduction on various

6 geographic regions,

7 (D) the number, type, and size of businesses af8 fected by any such reduction, and

9 (E) the impact of any such reduction on job

10 loss.

11 (3) Not later than 10 months after the date of the

12 enactment of this Act, the Chairman shall publish in the

13 Federal Register and transmit to the Congress the final

14 criteria to be used in making recommendations for reduc15 tions in corporate and farm subsidies under this Act.

16 (4) The Chairman shall make available to the Com17 mission and to the Comptroller General of the United

18 States all information used by the Chairman in formulat19 ing the criteria.

20 (b) REVIEW AND RECOMMENDATIONS BY THE COM21 MISSION.—

22 (1) Once during the term of every Congress, for

23 the life of the Commission, the Commission shall

24 identify and review corporate and farm subsidies and

25 shall publish in the Federal Register and transmit to
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1 the President and the Congress a report containing

2 a list of corporate and farm subsidy reductions that

3 the Commission recommends on the basis of—

4 (A) the final criteria referred to in sub5 section (a), and

6 (B) a weighing of the cost of each subsidy

7 recommended to be reduced or eliminated

8 against the value of the subsidy in creating

9 jobs.

10 (2) The Commission shall submit the first re11 port required by paragraph (1) not later than 7

12 months after the date of the publication required by

13 subsection (a)(3).

14 (3) In each report required by paragraph (1),

15 the Commission shall recommend corporate and

16 farm subsidy reductions sufficient to raise the ap17 propriate amount of revenue in each of the first 2

18 fiscal years beginning in calendar years beginning

19 after the date of the transmission of such report

20 under paragraph (1), as determined under the fol21 lowing table:

If the calendar year is: The appropriate amount is:

The 1st beginning after the 1st report .................................$3,000,000

The 2d beginning after the 1st report ..................................$3,000,000

The 1st beginning after the 2d report ..................................$5,000,000

The 2d beginning after the 2d report ...................................$5,000,000

The 1st beginning after the 3d report ..................................$7,000,000

The 2d beginning after the 3d report ................................... $12,000,000

The 1st beginning after the 4th report ................................ $15,000,000.
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1 (4) Before the transmission of any report under

2 paragraph (1), the Commission shall conduct public

3 hearings on the recommendations contained in such

4 report.

5 (5) The Commission shall include, with each list

6 of recommendations published and transmitted

7 under paragraph (1)—

8 (A) a summary of the selection process

9 that resulted in the recommendations,

10 (B) with respect to each subsidy which the

11 Commission recommends to be reduced or

12 eliminated, an analysis of the costs (including

13 costs resulting from job loss) and savings that

14 would result from such elimination or reduction,

15 and

16 (C) legislative language which if enacted

17 would have the effect of carrying out all of the

18 corporate and farm subsidy reductions which

19 are recommended by the Commission on such

20 list.

21 (6) The Commission may include, with such

22 list, recommendations for alternative methods for

23 funding some or all of the corporate and farm sub24 sidies contained on such list. The recommended al-
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1 ternative methods for funding may include, but need

2 not be limited to, the imposition of user fees.

3 (7) After transmitting a report under para4 graph (1), the Commission shall make available to

5 the Congress and the Comptroller General of the

6 United States all information used by the Commis7 sion in making the recommendations contained in

8 such report.

9 (c) ASSISTANCE FROM COMPTROLLER GENERAL.—

10 The Comptroller General of the United States shall—

11 (1) assist the Commission, to the extent re12 quested by the Commission, in the Commission’s re13 view and analysis of the criteria transmitted by the

14 Chairman under subsection (a); and

15 (2) not later than 45 days after each trans16 mission required by subsection (b)(1), transmit to

17 the Congress, to the President, and to the Commis18 sion a report containing a detailed analysis of the

19 Commission’s recommendations and selection proc20 ess.

21 (d) REVIEW BY THE PRESIDENT.—(1) Not later than

22 90 days after each transmission under subsection (c)(2),

23 the President shall transmit to the Commission and to the

24 Congress either a notice of the President’s approval of all

25 of the recommendations contained in the Commission’s re-
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1 port or a notice of the President’s disapproval or partial

2 approval of such recommendations.

3 (2) If the President approves all of the recommenda4 tions of the Commission, the President shall transmit to

5 the Congress a copy of such recommendations, a certifi6 cation of such approval, and a copy of the legislative lan7 guage submitted by the Commission under subsection

8 (b)(5).

9 (3) If the President disapproves the recommendations

10 of the Commission, in whole or in part, the President shall

11 transmit to the Commission and the Congress the reasons

12 for such disapproval. The Commission shall then transmit

13 to the President, not later than 30 days after the trans14 mission of such reasons, a revised list of recommendations

15 for corporate and farm subsidy reductions and revised leg16 islative language which if enacted would have the effect

17 of carrying out all corporate and farm subsidy reductions

18 which are recommended by the Commission on such re19 vised list.

20 (4) Not later than 30 days after the Commission

21 transmits a revised list of recommendations and revised

22 language under paragraph (3), the President shall trans23 mit to the Congress—

24 (A) a copy of such revised list of recommenda25 tions and such revised language,
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1 (B) a report containing the President’s ap2 proval, partial approval, or disapproval of the rec3 ommendations on the revised list, and

4 (C) if the President approves all of the rec5 ommendations on the revised list, a certification of

6 such approval.

7 SEC. 4. INTRODUCTION OF DRAFT LEGISLATION FOR COR8 PORATE AND FARM SUBSIDY REDUCTION.

9 The legislative language transmitted to the Congress

10 under section 3(d) shall be introduced as a bill by the ma11 jority leader of the House of Representatives and the ma12 jority leader of the Senate.

13 SEC. 5. JOINT COMMITTEE ON CORPORATE AND FARM SUB14 SIDY REDUCTION.

15 (a) ESTABLISHMENT.—There is established a Joint

16 Committee on Corporate and Farm Subsidy Reduction.

17 (b) MEMBERSHIP.—

18 (1) The Joint Committee shall consist of 22

19 members as follows:

20 (A) 11 members of the House of Rep21 resentatives, to be appointed by the majority

22 leader of the House of Representatives, 6 from

23 the majority and 5 from the minority party,

24 and
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1 (B) 11 members of the Senate, to be ap2 pointed by the majority leader of the Senate, 6

3 from the majority and 5 from the minority

4 party.

5 (2) In making appointments under paragraph

6 (1), the majority leader of the House of Representa7 tives and the majority leader of the Senate shall give

8 due consideration to providing appropriate represen9 tation on the Joint Committee to committees of the

10 House and Senate, respectively, which have jurisdic11 tion over matters relating to corporate and farm

12 subsidies.

13 (3) The appointments referred to in paragraph

14 (1) shall be made not later than 30 days after the

15 first transmission of recommendations under section

16 3(b)(1).

17 (b) VACANCIES.—Vacancies in the membership of the

18 Joint Committee shall not affect the power of the remain19 ing members to execute the functions of the Joint Com20 mittee and shall be filled in the same manner as in the

21 case of the original appointment.

22 (c) CHAIRPERSON AND VICE CHAIRPERSON.—The

23 Joint Committee shall elect a chairperson and vice chair24 person from among its members at the beginning of each

25 Congress in which the Joint Committee exists. The vice
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1 chairperson shall be chosen from among the members of

2 that House of Congress other than the House of Congress

3 of which the chairperson is a member. The vice chair4 person shall act in the place and stead of the chairperson

5 in the absence of the chairperson.

6 (d) STAFF.—The Joint Committee is authorized to

7 appoint and fix the compensation of such professional and

8 clerical staff and such experts as it deems appropriate.

9 (e) LEGISLATIVE JURISDICTION AND POWERS.—

10 (1) Bills introduced under section 4 and other

11 bills and resolutions which if enacted would accom12 plish the government-wide reduction or elimination

13 of corporate and farm subsidies shall be referred to

14 the Joint Committee. The members of the Joint

15 Committee who are Members of the Senate shall

16 from time to time report to the Senate, and the

17 members of the Joint Committee who are Members

18 of the House of Representatives shall from time to

19 time report to the House of Representatives, by bill

20 or otherwise, their recommendations with respect to

21 matters within the jurisdiction of their respective

22 Houses which are referred to the Joint Committee.

23 (2) The Joint Committee, or any duly author24 ized subcommittee thereof, is authorized to sit and

25 act at such places and times and to hold such hear-
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1 ings as it deems appropriate. The Joint Committee,

2 or any duly authorized subcommittee thereof, is au3 thorized to require by subpoena (to be issued under

4 the signature of the chairperson or vice chairperson)

5 or otherwise the attendance of such witnesses and

6 the production of such books, papers, and docu7 ments, to administer such oaths and affirmations, to

8 take such testimony, to procure such printing and

9 binding, and to make such expenditures as it deems

10 advisable.

11 (f) EXPENSES.—Notwithstanding any law, rule, or

12 other authority, there shall be paid out of the applicable

13 accounts of the House of Representatives such sums as

may be necessary for 1 14 ⁄2 of the expenses of the Joint Com15 mittee. Such payments shall be made on vouchers signed

16 by the House of Representatives chairperson or vice chair17 person of the Joint Committee and approved in the man18 ner directed by the Committee on House Oversight of the

19 House of Representatives. Amounts made available under

20 this paragraph shall be expended in accordance with regu21 lations prescribed by the Committee on House Oversight

22 of the House of Representatives.
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1 SEC. 6. CONGRESSIONAL CONSIDERATION OF COMMISSION

2 REPORT.

3 (a) DISCHARGE OF CORPORATE AND FARM SUBSIDY

4 REDUCTION LEGISLATION.—If the Joint Committee has

5 not reported a bill introduced under section 4 by the end

6 of the 20-day period beginning on the date of such intro7 duction, the Joint Committee shall be, at the end of such

8 period, discharged from further consideration of such bill,

9 and such bill shall be placed on the appropriate calendar

10 of the House involved.

11 (b) CONSIDERATION.—(1) On or after the third day

12 after the date on which the Joint Committee has reported,

13 or has been discharged (under subsection (a)) from fur14 ther consideration of, a bill introduced under section 4,

15 it is in order (even though a previous motion to the same

16 effect has been disagreed to) for any Member of the re17 spective House to move to proceed to the consideration

18 of such bill (but only on the day after the calendar day

19 on which such Member announces to the House concerned

20 the Member’s intention to do so). All points of order

21 against the bill (and against consideration of the bill) are

22 waived. The motion is highly privileged in the House of

23 Representatives and is privileged in the Senate and is not

24 debatable. The motion is not subject to amendment, or

25 to a motion to postpone, or to a motion to proceed to the

26 consideration of other business. A motion to reconsider the
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1 vote by which the motion is agreed to or disagreed to shall

2 not be in order. If a motion to proceed to the consideration

3 of the bill is agreed to, the respective House shall imme4 diately proceed to consideration of the bill without inter5 vening motion, order, or other business, and the bill shall

6 remain the unfinished business of the respective House

7 until disposed of.

8 (2) Debate on the subsidy reduction bill, and on all

9 debatable motions and appeals in connection therewith,

10 shall be limited to not more than 2 hours, which shall be

11 divided equally between those favoring and those opposing

12 the bill. An amendment to the bill is not in order. A mo13 tion further to limit debate is in order and not debatable.

14 A motion to postpone, or a motion to proceed to the con15 sideration of other business, or a motion to recommit the

16 bill is not in order. A motion to reconsider the vote by

17 which the bill is agreed to or disagreed to is not in order.

18 (3) Immediately following the conclusion of the de19 bate on the subsidy reduction bill and a single quorum

20 call at the conclusion of the debate (if requested in accord21 ance with the rules of the appropriate House), the vote

22 on final passage of the bill shall occur.

23 (4) Appeals from the decisions of the Chair relating

24 to the application of the rules of the Senate or the House

25 of Representatives, as the case may be, to the procedure
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1 relating to the subsidy reduction bill shall be decided with2 out debate.

3 SEC. 7. AUTHORITY OF COMMISSION TO IMPLEMENT REC4 OMMENDATIONS UNLESS CONGRESS ACTS.

5 Notwithstanding any other provision of law, upon the

6 expiration of the 45-day period beginning on the later of

7 the date of the introduction of a bill under section 4 in

8 the House and the date of such introduction in the Senate,

9 the Commission shall have the authority to reduce or

10 eliminate any corporate or farm subsidy identified under

11 section 3(b) to the extent specified in the recommenda12 tions transmitted under section 3(d), unless—

13 (1) a Joint Resolution disapproving of all of

14 such recommendations becomes law before the expi15 ration of such period, or

16 (2) a bill introduced under section 4, a bill

17 which the Joint Committee reports under section

18 6(a), or a bill with respect to which the Joint Com19 mittee has been discharged under such section from

20 further consideration, becomes law before the expira21 tion of such period.

22 SEC. 8. RULES OF THE SENATE AND HOUSE.—

23 Sections 5 and 6 are enacted by the Congress—

24 (1) as an exercise of the rulemaking power of

25 the Senate and House of Representatives, respec-
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1 tively, and as such sections 5 and 6 are deemed a

2 part of the rules of each House, respectively, but ap3 plicable only with respect to the procedure to be fol4 lowed in that House in the case of the subsidy re5 duction bill, and such sections supersede other rules

6 only to the extent that such sections are inconsistent

7 with such rules; and

8 (2) with full recognition of the constitutional

9 right of either House to change the rules (so far as

10 relating to the procedure of that House) at any time,

11 in the same manner, and to the same extent as in

12 the case of any other rule of that House.

13 SEC. 9. DEFINITIONS.

14 For purposes of this Act:

15 (1) The term ‘‘Chairman’’ means the Chairman

16 of the Corporate and Farm Independence Commis17 sion.

18 (2) The term ‘‘Commission’’ means the Cor19 porate and Farm Independence Commission.

20 (3) The terms ‘‘corporate subsidy’’ and ‘‘farm

21 subsidy’’—

22 (A) include spending subsidies (including

23 those for agribusiness and inland waterway op24 erators), tax subsidies, free or below-market25 rate services (including grazing on public
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1 lands), and trade protections, which are pro2 vided by the Federal government to or with re3 spect to any corporation or farm, and

4 (B) do not include any subsidy, service, or

5 protection made or provided directly or indi6 rectly by the Federal government to any Fed7 eral entity, Federal agency, government-spon8 sored enterprise, or Government corporation (as

9 defined in section 9101 of title 31, United

10 States Code).

11 (4) The term ‘‘government-sponsored enter12 prise’’ means the Federal National Mortgage Asso13 ciation, the Federal Home Loan Mortgage Corpora14 tion, the Federal Home Loan Bank System, the

15 Farm Credit Banks, the Banks for Cooperatives, the

16 Federal Agricultural Mortgage Corporation, the Stu17 dent Loan Marketing Association, the College Con18 struction Loan Insurance Association, and any of

19 their affiliated or member institutions.

20 (5) The term ‘‘Joint Committee’’ means the

21 Joint Committee on Corporate and Farm Subsidy

22 Reduction.

23 (6) The term ‘‘subsidy reduction bill’’ means a

24 bill introduced under section 4 which the Joint Com25 mittee has reported or with respect to which the
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1 Joint Committee has been discharged under section

2 6(a) from further consideration.

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