May 2, 1995 CONGRESSIONAL RECORD— SENATE S5945 

Thereupon, at 1:41 p.m., the Senate 

recessed until 2:15 p.m.; whereupon, the 

Senate reassembled when called to 

order by the Presiding Officer (Mr. 

KYL). 

Mrs. HUTCHISON addressed the 

Chair. 

The PRESIDING OFFICER. The Senator from Texas. 

Mrs. HUTCHISON. Mr. President, I 

ask unanimous consent that I be allowed to proceed as if in morning business. 

The PRESIDING OFFICER. Without 

objection, it is so ordered. The Senator 

is recognized. 

f 

T. OSCAR TREVINO, JR., 1995 

TEXAS SMALL BUSINESS PERSON OF THE YEAR 

Mrs. HUTCHISON. Mr. President, I 

want to recognize the leadership of a 

small business person in my State who 

is being honored today by the Small 

Business Administration as the Small 

Business Person of the Year in Texas. 

Mr. Oscar Trevino, Jr. is president of 

J.L. Steel, Inc. He is what America is 

all about, Mr. President. He took a 

company, J.L. Steel, from $400,000 in 

revenues in the first year, in 1989, and 

built that company to over $13 million 

in revenues last year. It is the fifth 

fastest growing Hispanic-owned company in the United States. 

I am really proud of this Texan. He 

has really added to the economic vitality of our community in that he now 

has 140 employees that are working and 

paying taxes and are good citizens of 

our State. I am very pleased to honor 

him today. 

Mr. President, I ask unanimous consent that his biography be printed in 

the RECORD. 

There being no objection, the material was ordered to be printed in the 

RECORD, as follows: 

BIOGRAPHY OF T. OSCAR TREVINO, JR. 

It was 1989, and Oscar Trevino was comfortable with his company care and steady 

paycheck. He and neighbor Jan La Point 

were chatting on the lawn after dinner, while 

the kids played out front. It seems that Jan 

was having trouble expanding her two-yearold company, and Oscar was interested. 

Before he realized it, he had worked out a 

business plan on his computer, and they were 

in business as J.L. Steel. Oscar borrowed 

against his retirement account, his credit 

cards and from family to become 51 percent 

owner of the firm. From $400,000 in revenues 

that first year, J.L. Steel has grown to nearly $13.6 million in revenues last year, making 

it the fifth fastest-growing Hispanic-owned 

company in the United States, with an annual growth rate of 235 percent. 

J.L. Steel installs reinforced steel in highways, bridges and buildings. The firm competes for government and private contracts 

in Texas, Oklahoma and Louisiana, and satisfies its customers with reliable estimates, 

quality workmanship and attention to detail 

in the reams of accompanying paperwork. 

The firm has called on the SBA twice: in 1992 

for a loan guarantee to finance growth and 

again in 1993, when it was certified as an 8(a) 

contractor, allowing it to compete for jobs 

from the federal government. 

Oscar himself started out as a laborer, 

working summers for a major general-contracting firm while he earned a civil engineering degree from Texas A&M. He stayed 

with the firm after he graduated in 1978, advancing to become project manager by 1989. 

He hasn’t forgotten how difficult it can be 

for others, and J.L. Steel has an aggressive 

equal-opportunity policy. 

Oscar supports fledgling companies by 

helping them with marketing, construction 

practices and subcontracting opportunities. 

His tireless advocacy work on behalf of 

minority- and women-owned businesses includes work on various boards and committees, including the Dallas Minority Business 

Enterprise Advisory Committee and the Disadvantaged Business Enterprise Support 

Services program of the Texas Engineering 

Extension Service. He also helped the Association of General Contractors of Texas develop and promote fair and equitable goals, 

and training and apprenticeship programs 

for minorities and women. 

(The remarks of Mrs. HUTCHISON pertaining to the introduction of S. 743 are 

located in today’s RECORD under 

‘‘Statements on Introduced Bills and 

Joint Resolutions.’’) 

Mrs. HUTCHISON. Mr. President, I 

yield the floor and I suggest the absence of a quorum. 

The PRESIDING OFFICER. The 

clerk will call the roll. 

The legislative clerk proceeded to 

call the roll. 

Mr. GORTON. Mr. President, I ask 

unanimous consent that the order for 

the quorum call be rescinded. 

The PRESIDING OFFICER. Without 

objection, it is so ordered. 

f 

COMMONSENSE PRODUCT LIABILITY AND LEGAL REFORM ACT 

The Senate continued with the consideration of the bill. 

Mr. GORTON. Mr. President, having 

completed work on all of the amendments relating to medical malpractice, 

the floor of the Senate is now open for 

other amendments to the product liability legislation. I understand that 

serious amendments are to be proposed 

extending the punitive damages provisions of this bill to all litigation and 

extending the rules related to joint liability to all litigation. At the same 

time, there are a number of other 

amendments, both those which would 

broaden the legislation and those 

which would narrow it, which is appropriate and is relative to be discussed in 

connection with this bill. 

I do hope at this point, after more 

than a week of debate, that proponents 

and opponents to these amendments 

will be willing to consider adequate, 

but relatively brief, time agreements, 

so that we can move the legislation 

forward. As Members come to the floor 

to present their amendments, I intend 

to make that suggestion to them, and 

we can have first-rate debate and votes 

and perhaps fewer quorum calls than 

we have had for some time. 

Mr. DOLE addressed the Chair. 

The PRESIDING OFFICER. The majority leader is recognized. 

Mr. DOLE. Mr. President, what is the 

pending business? 

The PRESIDING OFFICER. It is 

amendment No. 596 to H.R. 956. 

AMENDMENT NO. 617

(Purpose: To provide for certain limitations 

on punitive damages, and for other purposes) 

Mr. DOLE. Mr. President, I send an 

amendment to the desk and ask for its 

immediate consideration. 

The PRESIDING OFFICER. The 

clerk will report. 

The legislative clerk read as follows: 

The Senator from Kansas [Mr. DOLE], for 

himself, Mr. EXON, Mr. HATCH, Mr. MCCONNELL, Mr. ABRAHAM, Mr. KYL, Mr. THOMAS, 

Mrs. HUTCHISON, and Mr. GRAMM, proposes an 

amendment numbered 617. 

Mr. DOLE. Mr. President, I ask unanimous consent that reading of the 

amendment be dispensed with. 

The PRESIDING OFFICER. Without 

objection, it is so ordered. 

The amendment is as follows: 

On page 19, strike line 12 through line 5 on 

page 21, and insert the following: 

SEC. 107. PUNITIVE DAMAGES IN CIVIL ACTIONS. 

(a) FINDINGS.—The Congress finds that—

(1) punitive damages are imposed pursuant 

to vague, subjective, and often retrospective 

standards of liability, and these standards 

vary from State to State; 

(2) the magnitude and unpredictability of 

punitive damage awards in civil actions have 

increased dramatically over the last 40 

years, unreasonably inflating the cost of settling litigation, and discouraging socially 

useful and productive activity; 

(3) excessive, arbitrary, and unpredictable 

punitive damage awards impair and burden 

commerce, imposing unreasonable and unjustified costs on consumers, taxpayers, governmental entities, large and small businesses, volunteer organizations, and nonprofit entities; 

(4) products and services originating in a 

State with reasonable punitive damage provisions are still subject to excessive punitive 

damage awards because claimants have an 

economic incentive to bring suit in States in 

which punitive damage awards are arbitrary 

and inadequately controlled; 

(5) because of the national scope of the 

problems created by excessive, arbitrary, and 

unpredictable punitive damage awards, it is 

not possible for the several States to enact 

laws that fully and effectively respond to the 

national economic and constitutional problems created by punitive damages; and 

(6) the Supreme Court of the United States 

has recognized that punitive damages can 

produce grossly excessive, wholly unreasonable, and often arbitrary punishment, and 

therefore raise serious constitutional due 

process concerns. 

(b) GENERAL RULE.—Notwithstanding any 

other provision of this Act, in any civil action whose subject matter affects commerce 

brought in any Federal or State court on any 

theory, punitive damages may, to the extent 

permitted by applicable State law, be awarded against a defendant only if the claimant 

establishes by clear and convincing evidence 

that the harm that is the subject of the action was the result of conduct by the defendant that was either—

(1) specifically intended to cause harm; or 

(2) carried out with conscious, flagrant disregard to the rights or safety of others. 

(c) PROPORTIONAL AWARDS.—The amount of 

punitive damages that may be awarded to a 

claimant in any civil action subject to this 

section shall not exceed 2 times the sum of—

mmaher on MIKETEMP with SOCIAL SECURITY NUMBERS