S. 3938

One Hundred Ninth Congress

of the

United States of America

AT THE SECOND SESSION

Begun and held at the City of Washington on Tuesday,

the third day of January, two thousand and six

An Act

To reauthorize the Export-Import Bank of the United States.

Be it enacted by the Senate and House of Representatives of

the United States of America in Congress assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

(a) SHORT TITLE.—This Act may be cited as the ‘‘Export-Import

Bank Reauthorization Act of 2006’’.

(b) TABLE OF CONTENTS.—

Sec. 1. Short title; table of contents.

Sec. 2. Extension of authority.

Sec. 3. Sub-Saharan Africa Advisory Committee.

Sec. 4. Extension of authority to provide financing for the export of nonlethal defense articles or services the primary end use of which will be for civilian purposes. Sec. 5. Designation of sensitive commercial sectors and products.

Sec. 6. Increasing exports by small business.

Sec. 7. Anti-circumvention.

Sec. 8. Transparency.

Sec. 9. Aggregate loan, guarantee, and insurance authority.

Sec. 10. Tied aid credit program.

Sec. 11. Prohibition on assistance to develop or promote certain railway connections

and railway-related connections. Sec. 12. Process for notifying applicants of application status; implementation of

Ex-Im Online.

Sec. 13. Competitiveness initiatives.

Sec. 14. Office of financing for socially and economically disadvantaged small business concerns and small business concerns owned by women. Sec. 15. Governance.

Sec. 16. Sense of Congress regarding multi-buyer insurance and capital guarantee

programs. Sec. 17. Sense of Congress regarding office of renewable energy promotion.

Sec. 18. Environmental matters.

Sec. 19. Government Accountability Office study of bank performance standards for

assistance to small businesses, especially those owned by social and economically disadvantaged individuals and those owned by women. Sec. 20. Reports.

Sec. 21. Study of how Export-Import Bank could assist United States exporters to

meet import needs of new or impoverished democracies; report.

SEC. 2. EXTENSION OF AUTHORITY.

Section 7 of the Export-Import Bank Act of 1945 (12 U.S.C.

635f) is amended by striking ‘‘2006’’ and inserting ‘‘2011’’.

SEC. 3. SUB-SAHARAN AFRICA ADVISORY COMMITTEE.

(a) EXTENSION OF AUTHORITY.—Section 2(b)(9)(B)(iii) of the

Export-Import Bank Act of 1945 (12 U.S.C. 635(b)(9)(B)(iii)) is

amended by striking ‘‘2006’’ and inserting ‘‘2011’’.

(b) IMPROVED LIAISON WITH AFRICAN REGIONAL FINANCIAL

INSTITUTIONS.— (1) MASTER GUARANTEE AGREEMENTS.—Within 1 year after

the date of the enactment of this Act, the Export-Import Bank
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of the United States shall seek to ensure that there is in

effect a contract between each approved lender in Africa and

the Bank, which sets forth the Bank’s guarantee undertakings

and related obligations between the Bank and each lender.

(2) REPORT ON WORKING RELATIONSHIPS WITH THE AFRICAN

DEVELOPMENT BANK, THE AFRICAN EXPORT-IMPORT BANK, AND

OTHER INSTITUTIONS.—Section 2(b)(9) of such Act (12 U.S.C.

635(b)(9)) is amended by adding at the end the following:

‘‘(C) The Bank shall include in the annual report to the Congress submitted under section 8(a) a separate section that contains

a report on the efforts of the Bank to— ‘‘(i) improve its working relationships with the African

Development Bank, the African Export-Import Bank, and other

institutions in the region that are relevant to the purposes

of subparagraph (A) of this paragraph; and ‘‘(ii) coordinate closely with the United States Foreign

Service and Foreign Commercial Service, and with the overall

strategy of the United States Government for economic engagement with Africa pursuant to the African Growth and Opportunity Act.’’. (c) INCREASING THE NUMBER OF QUALIFIED AFRICAN ENTITIES.— Section 2(b)(9) of such Act (12 U.S.C. 635(b)(9)), as amended by

subsection (b), is amended by adding at the end the following: ‘‘(D) Consistent with the requirement that the Bank obtain

a reasonable assurance of repayment in connection with each transaction the Bank supports, the Bank shall, in consultation with

the entities described in subparagraph (C), seek to qualify a greater

number of appropriate African entities for participation in programs

of the Bank.’’.

SEC. 4. EXTENSION OF AUTHORITY TO PROVIDE FINANCING FOR THE

EXPORT OF NONLETHAL DEFENSE ARTICLES OR SERVICES THE PRIMARY END USE OF WHICH WILL BE FOR

CIVILIAN PURPOSES.

Section 1(c) of Public Law 103–428 (12 U.S.C. 635 note; 108

Stat. 4376) is amended by striking ‘‘2001’’ and inserting ‘‘2011’’.

SEC. 5. DESIGNATION OF SENSITIVE COMMERCIAL SECTORS AND

PRODUCTS.

Section 2(e) of the Export-Import Bank Act of 1945 (12 U.S.C.

635(e)) is amended by adding at the end the following new paragraph: ‘‘(5) DESIGNATION OF SENSITIVE COMMERCIAL SECTORS AND

PRODUCTS.—Not later than 120 days after the date of the enactment of this Act, the Bank shall submit a list to the Committee

on Banking, Housing, and Urban Affairs of the Senate and

the Committee on Financial Services of the House of Representatives, which designates sensitive commercial sectors and products with respect to which the provision of financing support

by the Bank is deemed unlikely by the President of the Bank

due to the significant potential for a determination that such

financing support would result in an adverse economic impact

on the United States. The President of the Bank shall review

on an annual basis thereafter the list of sensitive commercial

sectors and products and the Bank shall submit an updated

list to the Committee on Banking, Housing, and Urban Affairs

of the Senate and the Committee on Financial Services of

the House of Representatives of such sectors and products.’’.
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SEC. 6. INCREASING EXPORTS BY SMALL BUSINESS.

(a) IN GENERAL.—Section 3 of the Export-Import Bank Act

of 1945 (12 U.S.C. 635a) is amended by adding at the end the

following: ‘‘(f) SMALL BUSINESS DIVISION.— ‘‘(1) ESTABLISHMENT.—There is established a Small Business Division (in this subsection referred to as the ‘Division’)

within the Bank in order to— ‘‘(A) carry out the provisions of subparagraphs (E) and

(I) of section 2(b)(1) relating to outreach, feedback, product

improvement, and transaction advocacy for small business

concerns (as defined in section 3(a) of the Small Business

Act);‘‘(B) advise and seek feedback from small business

concerns on the opportunities and benefits for small business concerns in the financing products offered by the

Bank, with particular emphasis on conducting outreach,

enhancing the tailoring of products to small business needs

and increasing loans to small business concerns; ‘‘(C) maintain liaison with the Small Business Administration and other departments and agencies in matters

affecting small business concerns; and

‘‘(D) provide oversight of the development, implementation, and operation of technology improvements to

strengthen small business outreach, including the technology improvement required by section 2(b)(1)(E)(x).

‘‘(2) MANAGEMENT.—The President of the Bank shall

appoint an officer, who shall rank not lower than senior vice

president and whose sole executive function shall be to manage

the Division. The officer shall—

‘‘(A) have substantial recent experience in financing

exports by small business concerns; and

‘‘(B) advise the Board, particularly the director

appointed under section 3(c)(8)(B) to represent the interests

of small business, on matters of interest to, and concern

for, small business.

‘‘(g) SMALL BUSINESS SPECIALISTS.—

‘‘(1) DEDICATED PERSONNEL.—The President of the Bank

shall ensure that each operating division within the Bank has

staff that specializes in processing transactions that primarily

benefit small business concerns (as defined in section 3(a) of

the Small Business Act).

‘‘(2) RESPONSIBILITIES.—The small business specialists shall

be involved in all aspects of processing applications for loans,

guarantees, and insurance to support exports by small business

concerns, including the approval or disapproval, or staff recommendations of approval or disapproval, as applicable, of such

applications. In carrying out these responsibilities, the small

business specialists shall consider the unique business requirements of small businesses and shall develop exporter performance criteria tailored to small business exporters.

‘‘(3) APPROVAL AUTHORITY.—In an effort to maximize the

speed and efficiency with which the Bank processes transactions

primarily benefitting small business concerns, the small business specialists shall be authorized to approve applications

for working capital loans and guarantees, and insurance in

accordance with policies and procedures established by the
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Board. It is the sense of Congress that the policies and procedures should not prohibit, where appropriate, small business

specialists from approving applications for working capital loans

and guarantees, and for insurance, in support of exports which

have a value of less than $10,000,000.

‘‘(4) IDENTIFICATION.—The Bank shall prominently identify

the small business specialists on its website and in promotional

material.

‘‘(5) EMPLOYEE EVALUATIONS.—The evaluation of staff designated by the President of the Bank under paragraph (1),

including annual reviews of performance of duties related to

transactions in support of exports by small business concerns,

and any resulting recommendations for salary adjustments,

promotions, and other personnel actions, shall address the criteria established pursuant to subsection (h)(2)(B)(iii) and shall

be conducted by the manager of the relevant operating division

following consultation with the officer appointed to manage

the Small Business Division pursuant to subsection (f)(2).

‘‘(6) STAFF RECOMMENDATIONS.—Staff recommendations of

denial or withdrawal for medium-term applications, exporter

held multi-buyer policies, single buyer policies, and working

capital applications processed by the Bank shall be transmitted

to the officer appointed to manage the Small Business Division

pursuant to subsection (f)(2) not later than 2 business days

before a final decision.

‘‘(7) RULE OF INTERPRETATION.—Nothing in this Act shall

be construed to prevent the delegation to the Division of any

authority necessary to carry out subparagraphs (E) and (I)

of section 2(b)(1).

‘‘(h) SMALL BUSINESS COMMITTEE.—

‘‘(1) ESTABLISHMENT.—There is established a management

committee to be known as the ‘Small Business Committee’.

‘‘(2) PURPOSE AND DUTIES.—

‘‘(A) PURPOSE.—The purpose of the Small Business

Committee shall be to coordinate the Bank’s initiatives

and policies with respect to small business concerns (as

defined in section 3(a) of the Small Business Act), including

the timely processing and underwriting of transactions

involving direct exports by small business concerns, and

the development and coordination of efforts to implement

new or enhanced Bank products and services pertaining

to small business concerns.

‘‘(B) DUTIES.—The duties of the Small Business Committee shall be determined by the President of the Bank

and shall include the following:

‘‘(i) Assisting in the development of the Bank’s

small business strategic plans, including the Bank’s

plans for carrying out section 2(b)(1)(E) (v) and (x),

and measuring and reporting in writing to the President of the Bank, at least once a year, on the Bank’s

progress in achieving the goals set forth in the plans.

‘‘(ii) Evaluating and reporting in writing to the

President of the Bank, at least once a year, with respect

to—

‘‘(I) the performance of each operating division

of the Bank in serving small business concerns;
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‘‘(II) the impact of processing and underwriting

standards on transactions involving direct exports

by small business concerns; and

‘‘(III) the adequacy of the staffing and

resources of the Small Business Division.

‘‘(iii) Establishing criteria for evaluating the

performance of staff designated by the President of

the Bank under subsection (g)(1).

‘‘(iv) Coordinating the provision of services with

other United States Government departments and

agencies to small business concerns.

‘‘(3) COMPOSITION.—

‘‘(A) CHAIRPERSON.—The Chairperson of the Small

Business Committee shall be the officer appointed to manage the Small Business Division pursuant to subsection

(f)(2). The Chairperson shall have the authority to call

meetings of the Small Business Committee, set the agenda

for Committee meetings, and request policy recommendations from the Committee’s members.

‘‘(B) OTHER MEMBERS.—Except as otherwise provided

in this subsection, the President of the Bank shall determine the composition of the Small Business Committee,

and shall appoint or remove the members of the Small

Business Committee. In making such appointments, the

President of the Bank shall ensure that the Small Business

Committee is comprised of—

‘‘(i) the senior managing officers responsible for

underwriting and processing transactions; and

‘‘(ii) other officers and employees of the Bank with

responsibility for outreach to small business concerns

and underwriting and processing transactions that

involve small business concerns.

‘‘(4) REPORTING.—The Chairperson shall provide to the

President of the Bank minutes of each meeting of the Small

Business Committee, including any recommendations by the

Committee or its individual members.’’.

(b) ENHANCE DELEGATED LOAN AUTHORITY FOR MEDIUM TERM

TRANSACTIONS.—

(1) IN GENERAL.—The Export-Import Bank of the United

States shall seek to expand the exercise of authority under

section 2(b)(1)(E)(vii) of the Export-Import Bank Act of 1945

(12 U.S.C. 635(b)(1)(E)(vii)) with respect to medium term transactions for small business concerns.

(2) CONFORMING AMENDMENT.—Section 2(b)(1)(E)(vii)(III) of

the Export-Import Bank Act of 1945 (12 U.S.C.

635(b)(1)(E)(vii)(III)) is amended by inserting ‘‘or other

financing institutions or entities’’ after ‘‘consortia’’.

(3) DEADLINE.—Not later than 180 days after the date

of the enactment of this Act, the Export-Import Bank of the

United States shall make available lines of credit and guarantees to carry out section 2(b)(1)(E)(vii) of the Export-Import

Bank Act of 1945 pursuant to policies and procedures established by the Board of Directors of the Export-Import Bank

of the United States.
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SEC. 7. ANTI-CIRCUMVENTION.

Section 2(e) of the Export-Import Bank Act of 1945 (12 U.S.C.

635(e)), as amended by section 5 of this Act, is amended—

(1) by inserting after paragraph (1), the following flush

paragraph:

‘‘In making the determination under subparagraph (B), the

Bank shall determine whether the facility that would benefit

from the extension of a credit or guarantee is reasonably likely

to produce a commodity in addition to, or other than, the

commodity specified in the application and whether the production of the additional commodity may cause substantial injury

to United States producers of the same, or a similar or competing, commodity.’’;

(2) in paragraph (2), by adding at the end the following:

‘‘(E) ANTI-CIRCUMVENTION.—The Bank shall not provide a loan or guarantee if the Bank determines that

providing the loan or guarantee will facilitate circumvention of an order or determination referred to in subparagraph (A).’’; and

(3) by adding at the end the following:

‘‘(6) FINANCIAL THRESHOLD DETERMINATIONS.—For purposes

of determining whether a proposed transaction exceeds a financial threshold under this subsection or under the procedures

or rules of the Bank, the Bank shall aggregate the dollar

amount of the proposed transaction and the dollar amounts

of all loans and guarantees, approved by the Bank in the

preceding 24-month period, that involved the same foreign

entity and substantially the same product to be produced.’’.

SEC. 8. TRANSPARENCY.

(a) IN GENERAL.—Section 2(e) of the Export-Import Bank Act

of 1945 (12 U.S.C. 635(e)), as amended by sections 5 and 7 of

this Act, is amended by adding at the end the following:

‘‘(7) PROCEDURES TO REDUCE ADVERSE EFFECTS OF LOANS

AND GUARANTEES ON INDUSTRIES AND EMPLOYMENT IN UNITED

STATES.—

‘‘(A) CONSIDERATION OF ECONOMIC EFFECTS OF PROPOSED TRANSACTIONS.—If, in making a determination under

this paragraph with respect to a loan or guarantee, the

Bank conducts a detailed economic impact analysis or

similar study, the analysis or study, as the case may be,

shall include consideration of—

‘‘(i) the factors set forth in subparagraphs (A) and

(B) of paragraph (1); and

‘‘(ii) the views of the public and interested parties.

‘‘(B) NOTICE AND COMMENT REQUIREMENTS.— ‘‘(i) IN GENERAL.—If, in making a determination

under this subsection with respect to a loan or guarantee, the Bank intends to conduct a detailed economic

impact analysis or similar study, the Bank shall publish in the Federal Register a notice of the intent,

and provide a period of not less than 14 days (which,

on request by any affected party, shall be extended

to a period of not more than 30 days) for the submission

to the Bank of comments on the economic effects of

the provision of the loan or guarantee, including comments on the factors set forth in subparagraphs (A)
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and (B) of paragraph (1). In addition, the Bank shall

seek comments on the economic effects from the

Department of Commerce, the Office of Management

and Budget, the Committee on Banking, Housing, and

Urban Affairs of the Senate, and the Committee on

Financial Services of the House of Representatives.

‘‘(ii) CONTENT OF NOTICE.—The notice shall include

appropriate, nonproprietary information about—

‘‘(I) the country to which the goods involved

in the transaction will be shipped;

‘‘(II) the type of goods being exported;

‘‘(III) the amount of the loan or guarantee

involved;

‘‘(IV) the goods that would be produced as

a result of the provision of the loan or guarantee;

‘‘(V) the amount of increased production that

will result from the transaction;

‘‘(VI) the potential sales market for the

resulting goods; and

‘‘(VII) the value of the transaction.

‘‘(iii) PROCEDURE REGARDING MATERIALLY CHANGED

APPLICATIONS.—

‘‘(I) IN GENERAL.—If a material change is made

to an application for a loan or guarantee from

the Bank after a notice with respect to the intent

described in clause (i) is published under this

subparagraph, the Bank shall publish in the Federal Register a revised notice of the intent, and

shall provide for a comment period, as provided

in clauses (i) and (ii).

‘‘(II) MATERIAL CHANGE DEFINED.—As used in

subclause (I), the term ‘material change’, with

respect to an application, includes—

‘‘(aa) a change of at least 25 percent in

the amount of a loan or guarantee requested

in the application; and

‘‘(bb) a change in the principal product

to be produced as a result of any transaction

that would be facilitated by the provision of

the loan or guarantee.

‘‘(C) REQUIREMENT TO ADDRESS VIEWS OF ADVERSELY

AFFECTED PERSONS.—Before taking final action on an

application for a loan or guarantee to which this section

applies, the staff of the Bank shall provide in writing

to the Board of Directors the views of any person who

submitted comments pursuant to subparagraph (B).

‘‘(D) PUBLICATION OF CONCLUSIONS.—Within 30 days

after a party affected by a final decision of the Board

of Directors with respect to a loan or guarantee makes

a written request therefor, the Bank shall provide to the

affected party a non-confidential summary of the facts

found and conclusions reached in any detailed economic

impact analysis or similar study conducted pursuant to

subparagraph (B) with respect to the loan or guarantee,

that were submitted to the Board of Directors.
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‘‘(E) RULE OF INTERPRETATION.—This paragraph shall

not be construed to make subchapter II of chapter 5 of

title 5, United States Code, applicable to the Bank. ‘‘(F) REGULATIONS.—The Bank shall implement such

regulations and procedures as may be appropriate to carry

out this paragraph.’’. (b) CONFORMING AMENDMENT.—Section 2(e)(2)(C) of such Act

(12 U.S.C. 635(e)(2)(C)) is amended by inserting ‘‘of not less than

14 days (which, on request of any affected party, shall be extended

to a period of not more than 30 days)’’ after ‘‘comment period’’.

SEC. 9. AGGREGATE LOAN, GUARANTEE, AND INSURANCE AUTHORITY.

Subparagraph (E) of 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: ‘‘(E) during fiscal year 2006, and each fiscal year thereafter through fiscal year 2011,’’.

SEC. 10. TIED AID CREDIT PROGRAM.

(a) IN GENERAL.—Section 10(b)(5)(B)(ii) of the Export-Import

Bank Act of 1945 (12 U.S.C. 635i–3(b)(5)(B)(ii)) is amended to

read as follows: ‘‘(ii) PROCESS.—In handling individual applications

involving the use or potential use of the Tied Aid

Credit Fund the following process shall exclusively

apply pursuant to subparagraph (A): ‘‘(I) The Bank shall process an application for

tied aid in accordance with the principles and

standards developed pursuant to subparagraph (A)

and clause (i) of this subparagraph. ‘‘(II) Twenty days prior to the scheduled

meeting of the Board of Directors at which an

application will be considered (unless the Bank

determines that an earlier discussion is appropriate based on the facts of a particular financing),

the Bank shall brief the Secretary on the application and deliver to the Secretary such documents,

information, or data as may reasonably be necessary to permit the Secretary to review the

application to determine if the application complies

with the principles and standards developed pursuant to subparagraph (A) and clause (i) of this

subparagraph. ‘‘(III) The Secretary may request a single

postponement of the consideration by the Board

of Directors of the application for up to 14 days

to allow the Secretary to submit to the Board

of Directors a memorandum objecting to the

application. ‘‘(IV) Case-by-case decisions on whether to

approve the use of the Tied Aid Credit Fund shall

be made by the Board of Directors, except that

the approval of the Board of Directors (or a

commitment letter based on that approval) shall

not become final (except as provided in subclause

(V)), if the Secretary indicates to the President

of the Bank in writing the Secretary’s intention

to appeal the decision of the Board of Directors

to the President of the United States and makes
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the appeal in writing not later than 20 days after

the meeting at which the Board of Directors considered the application. ‘‘(V) The Bank shall not grant final approval

of an application for any tied aid credit (or a

commitment letter based on that approval) if the

President of the United States, after consulting

with the President of the Bank and the Secretary,

determines within 30 days of an appeal by the

Secretary under subclause (IV) that the extension

of the tied aid credit would materially impede

achieving the purposes described in subsection

(a)(6). If no such Presidential determination is

made during the 30-day period, the approval by

the Bank of the application (or related commitment

letter) that was the subject of such appeal shall

become final.’’. (b) CLARIFICATION OF USE OF TIED AID CREDIT FUND TO

MATCH.—Section 10 of the Export-Import Bank Act of 1945 (12

U.S.C. 635i–3) is amended—

(1) in subsection (a), in paragraph (6)—

(A) in the matter preceding subparagraph (A), by

inserting ‘‘, including those that are not a party to the

Arrangement,’’ after ‘‘countries’’;

(B) in subparagraph (B), by adding ‘‘and’’ at the end;

and

(C) by inserting after subparagraph (B) the following:

‘‘(C) promoting compliance with Arrangement rules

among foreign export credit agencies that are not a party

to the Arrangement;’’; and

(2) in subsection (b), in paragraph (5)(B)—

(A) in clause (i)—

(i) in subclause (I), by striking ‘‘and’’ and by

inserting ‘‘, and to seek compliance by those countries

that are not a party to the Arrangement’’ before the

period; and

(ii) in subclause (III), by adding at the end the

following: ‘‘In cases where information about a specific

offer of foreign tied aid (or untied aid used to promote

exports as if it were tied aid) is not available in a

timely manner, or is unavailable because the foreign

export credit agency involved is not subject to the

reporting requirements under the Arrangement, then

the Bank may decide to use the Tied Aid Credit Fund

based on credible evidence of a history of such offers

under similar circumstances or other forms of credible

evidence.’’.

SEC. 11. PROHIBITION ON ASSISTANCE TO DEVELOP OR PROMOTE

CERTAIN RAILWAY CONNECTIONS AND RAILWAYRELATED CONNECTIONS.

Section 2(b) of the Export-Import Act of 1945 (12 U.S.C. 635(b))

is amended by adding at the end the following new paragraph: ‘‘(13) PROHIBITION ON ASSISTANCE TO DEVELOP OR PROMOTE

CERTAIN RAILWAY CONNECTIONS AND RAILWAY-RELATED CONNEC- TIONS.—The Bank shall not guarantee, insure, or extend (or participate in the extension of) credit in connection with the export of
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any good or service relating to the development or promotion of

any railway connection or railway-related connection that does not

traverse or connect with Armenia and does traverse or connect

Baku, Azerbaijan, Tbilisi, Georgia, and Kars, Turkey.’’.

SEC. 12. PROCESS FOR NOTIFYING APPLICANTS OF APPLICATION

STATUS; IMPLEMENTATION OF EX-IM ONLINE.

Section 2 of the Export-Import Bank Act of 1945 (12 U.S.C.

635) is amended by adding at the end the following:

‘‘(g) PROCESS FOR NOTIFYING APPLICANTS OF APPLICATION

STATUS.—The Bank shall establish and adhere to a clearly defined

process for—

‘‘(1) acknowledging receipt of applications;

‘‘(2) informing applicants that their applications are complete or, if incomplete or containing a minor defect, of the

additional material or changes that, if supplied or made, would

make the application eligible for consideration; and

‘‘(3) keeping applicants informed of the status of their

applications, including a clear and timely notification of

approval or disapproval, and, in the case of disapproval, the

reason for disapproval, as appropriate.

‘‘(h) RESPONSE TO APPLICATION FOR FINANCING; IMPLEMENTATION OF ONLINE LOAN REQUEST AND TRACKING PROCESS.—

‘‘(1) RESPONSE TO APPLICATIONS.—Within 5 days after the

Bank receives an application for financing, the Bank shall

notify the applicant that the application has been received,

and shall include in the notice—

‘‘(A) a request for such additional information as may

be necessary to make the application complete;

‘‘(B) the name of a Bank employee who may be contacted with questions relating to the application; and

‘‘(C) a unique identification number which may be used

to review the status of the application at a website established by the Bank.

‘‘(2) WEBSITE.—Not later than September 1, 2007, the Bank

shall exercise the authority granted by subparagraphs (E)(x)

and (J) of subsection (b)(1) to establish, and thereafter to maintain, a website through which—

‘‘(A) Bank products may be applied for; and

‘‘(B) information may be obtained with respect to—

‘‘(i) the status of any such application;

‘‘(ii) the Small Business Division of the Bank; and

‘‘(iii) incentives, preferences, targets, and goals

relating to small business concerns (as defined in section 3(a) of the Small Business Act), including small

business concerns exporting to Africa.’’.

SEC. 13. COMPETITIVENESS INITIATIVES.

(a) EXPANSION OF SCOPE OF ANNUAL COMPETITIVENESS

REPORT.—The Export-Import Bank Act of 1945 (12 U.S.C. 635

et seq.) is amended by inserting after section 8 the following:

‘‘SEC. 8A. ANNUAL COMPETITIVENESS REPORT.

‘‘(a) IN GENERAL.—Not later than June 30 of each year, the

Bank shall submit to the appropriate congressional committees

a report that includes the following:
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‘‘(1) ACTIONS OF BANK IN PROVIDING FINANCING ON A

COMPETITIVE BASIS, AND TO MINIMIZE COMPETITION IN GOVERNMENT-SUPPORTED EXPORT FINANCING.—A description of the

actions of the Bank in complying with the second and third

sentences of section 2(b)(1)(A). In this part of the report, the

Bank shall include a survey of all other major export-financing

facilities available from other governments and governmentrelated agencies through which foreign exporters compete with

United States exporters (including through use of market windows (as defined pursuant to section 10(h)(7))) and, to the

extent such information is available to the Bank, indicate in

specific terms the ways in which the Bank’s rates, terms, and

other conditions compare with those offered from such other

governments directly or indirectly. With respect to the preceding sentence, the Bank shall use all available information

to estimate the annual amount of export financing available

from each such government and government-related agency.

In this part of the report, the Bank shall include a survey

of a representative number of United States exporters and

United States commercial lending institutions which provide

export credit on the experience of the exporters and institutions

in meeting financial competition from other countries whose

exporters compete with United States exporters.

‘‘(2) ROLE OF BANK IN IMPLEMENTING STRATEGIC PLAN PREPARED BY THE TRADE PROMOTION COORDINATING COMMITTEE.—

A description of the role of the Bank in implementing the

strategic plan prepared by the Trade Promotion Coordinating

Committee in accordance with section 2312 of the Export

Enhancement Act of 1988.

‘‘(3) TIED AID CREDIT PROGRAM AND FUND.—The report

required by section 10(g).

‘‘(4) PURPOSE OF ALL BANK TRANSACTIONS.—A description

of all Bank transactions which shall be classified according

to their principal purpose, such as to correct a market failure

or to provide matching support.

‘‘(5) EFFORTS OF BANK TO PROMOTE EXPORT OF GOODS AND

SERVICES RELATED TO RENEWABLE ENERGY SOURCES.—A description of the activities of the Bank with respect to financing

renewable energy projects undertaken under section 2(b)(1)(K),

and an analysis comparing the level of credit extended by

the Bank for renewable energy projects with the level of credit

so extended for the preceding fiscal year.

‘‘(6) SIZE OF BANK PROGRAM ACCOUNT.—A separate section

which—

‘‘(A) compares, to the extent practicable, the size of

the Bank program account with the size of the program

accounts of the other major export-financing facilities

referred to in paragraph (1); and

‘‘(B) makes recommendations, if appropriate, with

respect to the relative size of the Bank program account,

based on factors including whether the size differences

are in the best interests of the United States taxpayer.

‘‘(7) CO-FINANCING PROGRAMS OF THE BANK AND OF OTHER

EXPORT CREDIT AGENCIES.—A description of the co-financing

programs of the Bank and of the other major export-financing

facilities referred to in paragraph (1), which includes a list
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of countries with which the United States has in effect a memorandum of understanding relating to export credit agency cofinancing and, if such a memorandum is not in effect with

any country with a major export credit-financing facility, an

explanation of why such a memorandum is not in effect.

‘‘(8) SERVICES SUPPORTED BY THE BANK AND BY OTHER

EXPORT CREDIT AGENCIES.—A separate section which describes

the participation of the Bank in providing funding, guarantees,

or insurance for services, which shall include appropriate

information on the involvement of the other major exportfinancing facilities referred to in paragraph (1) in providing

such support for services, and an explanation of any differences

among the facilities in providing the support.

‘‘(9) EXPORT FINANCE CASES NOT IN COMPLIANCE WITH THE

ARRANGEMENT.—Detailed information on cases reported to the

Bank of export financing that appear not to comply with the

Arrangement (as defined in section 10(h)(3)) or that appear

to exploit loopholes in the Arrangement for the purpose of

obtaining a commercial competitive advantage. The President

of the Bank, in consultation with the Secretary of the Treasury,

may provide to the appropriate congressional committees the

information required by this subsection in a separate and confidential report, instead of providing such information in the

report required by this subsection.

‘‘(10) FOREIGN EXPORT CREDIT AGENCY ACTIVITIES NOT CONSISTENT WITH THE WTO AGREEMENT ON SUBSIDIES AND COUNTERVAILING MEASURES.—A description of the extent to which the

activities of foreign export credit agencies and other entities

sponsored by a foreign government, particularly those that

are not members of the Arrangement (as defined in section

10(h)(3)), appear not to comply with the Arrangement and

appear to be inconsistent with the terms of the Agreement

on Subsidies and Countervailing Measures referred to in section

101(d)(12) of the Uruguay Round Agreements Act (19 U.S.C.

3511(d)(12)), and a description of the actions taken by the

United States Government to address the activities. The President of the Bank, in consultation with the Secretary of the

Treasury, may provide to the appropriate congressional committees, the information required by this subsection in a separate

and confidential report, instead of providing such information

in the report required by this subsection.

‘‘(b) INCLUSION OF ADDITIONAL COMMENTS.—The report

required by subsection (a) shall include such additional comments

as any member of the Board of Directors may submit to the Board

for inclusion in the report.

‘‘(c) APPROPRIATE CONGRESSIONAL COMMITTEES.—The term

‘appropriate congressional committees’ means the Committee on

Financial Services of the House of Representatives and the Committee on Banking, Housing, and Urban Affairs of the Senate.’’.

(b) CONFORMING AMENDMENT.—Section 2(b)(1)(A) of such Act

(12 U.S.C. 635(b)(1)(A)) is amended by striking all that follows

the third sentence.

(c) EXPANSION OF COUNTRIES IN COMPETITION WITH WHICH

THE BANK IS TO PROVIDE EXPORT FINANCING.—Section 2(b)(1)(A)

of such Act (12 U.S.C. 635(b)(1)(A)) is amended in the second

sentence by inserting ‘‘, including countries the governments of
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which are not members of the Arrangement (as defined in section

10(h)(3))’’ before the period.

(d) SENSE OF CONGRESS REGARDING NEGOTIATION OF THE OECD

ARRANGEMENT.—It is the sense of Congress that in the negotiation

of the Arrangement (as defined in section 10(h)(3) of the ExportImport Bank Act of 1945) the goals of the United States include

the following:

(1) Seeking compliance with the Arrangement among countries with significant export credit programs who are not members of the Arrangement.

(2) Seeking to identify within the World Trade Organization

the extent to which countries that are not a party to the

Arrangement are not in compliance with the terms of the

Agreement on Subsidies and Countervailing Measures referred

to in section 101(d)(12) of the Uruguay Round Agreements

Act (19 U.S.C. 3511(d)(12)) with respect to export finance, and

seeking appropriate action within the World Trade Organization for each country that is not in such compliance.

(3) Implementing new disciplines on the use of untied

aid, market windows, and other forms of export finance that

seek to exploit loopholes in the Arrangement for purposes of

obtaining a commercial competitive advantage.

SEC. 14. OFFICE OF FINANCING FOR SOCIALLY AND ECONOMICALLY

DISADVANTAGED SMALL BUSINESS CONCERNS AND

SMALL BUSINESS CONCERNS OWNED BY WOMEN.

(a) IN GENERAL.—Section 3 of the Export-Import Bank Act

of 1945 (12 U.S.C. 635a), as added by section 6, is amended by

adding at the end the following:

‘‘(i) OFFICE OF FINANCING FOR SOCIALLY AND ECONOMICALLY

DISADVANTAGED SMALL BUSINESS CONCERNS AND SMALL BUSINESS

CONCERNS OWNED BY WOMEN.—

‘‘(1) ESTABLISHMENT.—The President of the Bank shall

establish in the Small Business Division an office whose sole

functions shall be to continue and enhance the outreach activities of the Bank with respect to, and increase the total amount

of loans, guarantees, and insurance provided by the Bank to

support exports by, socially and economically disadvantaged

small business concerns (as defined in section 8(a)(4) of the

Small Business Act) and small business concerns owned by

women.

‘‘(2) MANAGEMENT.—The office shall be managed by a Bank

officer of appropriate rank who shall report to the Bank officer

designated under subsection (f)(2).

‘‘(3) STAFFING.—To the maximum extent practicable, the

President of the Bank shall ensure that qualified minority

and women applicants are considered when filling any position

in the office.’’.

(b) FINANCING DIRECTED TOWARD SMALL BUSINESSES OWNED

BY MINORITIES OR WOMEN.—Section 2(b)(1)(E)(v) of such Act (12

U.S.C. 635(b)(1)(E)(v)) is amended by adding at the end the following: ‘‘From the amount made available under the preceding

sentence, it shall be a goal of the Bank to increase the amount

made available to finance exports directly by small business concerns referred to in section 3(i)(1).’’.
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SEC. 15. GOVERNANCE.

Section 3(c) of the Export-Import Bank Act of 1945 (12 U.S.C.

635a(c)) is amended by adding at the end the following: ‘‘(9) At the request of any 2 members of the Board of Directors,

the Chairman of the Board shall place an item pertaining to the

policies or procedures of the Bank on the agenda for discussion

by the Board. Within 30 days after the date such a request is

made, the Chairman shall hold a meeting of the Board at which

the item shall be discussed.’’.

SEC. 16. SENSE OF CONGRESS REGARDING MULTI-BUYER INSURANCE

AND WORKING CAPITAL GUARANTEE PROGRAMS.

It is the sense of Congress that the Export-Import Bank of

the United States should seek to expand the number and size

of the regional multi-buyer insurance programs and working capital

guarantee programs operated by, through, or in conjunction with

the Bank.

SEC. 17. SENSE OF CONGRESS REGARDING AN OFFICE OF RENEWABLE

ENERGY PROMOTION.

It is the sense of Congress that— (1) the Export-Import Bank of the United States should

establish, within 2 years of the date of the enactment of this

Act, an Office of Renewable Energy Promotion staffed by

individuals with appropriate expertise in renewable energy

technologies to proactively identify new opportunities for renewable energy financing and to carry out section 2(b)(1)(K) of

the Export-Import Bank Act of 1945 (12 U.S.C. 635(b)(1)(K));

(2) in carrying out the purposes of such an Office of Renewable Energy Promotion, the head of such Office should consider

the recommendations of the Renewable Energy Exports

Advisory Committee of the Bank to promote renewable energy

technologies; and

(3) the Bank should include in its annual report a description of the activities carried out by such an Office of Renewable

Energy Promotion, including for each year a description of

the amount of credit extended by the Bank for renewable energy

technologies during that year and a comparison between that

amount and the amount of such credit extended by the Bank

in previous years.

SEC. 18. ENVIRONMENTAL MATTERS.

(a) ENVIRONMENTAL REPRESENTATIVES ON THE ADVISORY COM- MITTEE.—Section 3(d) of the Export-Import Bank Act of 1945 (12

U.S.C. 635a(d)) is amended— (1) in paragraph (1)— (A) in subparagraph (A), by striking ‘‘15’’ and inserting ‘‘17’’; and

(B) in subparagraph (B), by inserting ‘‘environment,’’ before ‘‘production,’’; and

(2) in paragraph (2), by adding at the end the following:

‘‘(C) Not less than 2 members appointed to the Advisory

Committee shall be representative of the environmental nongovernmental organization community, except that no 2 of the

members shall be from the same environmental organization.’’. (b) PUBLIC DISCLOSURE OF CERTAIN DOCUMENTS.—Section

11(a)(1) of the Export-Import Bank of 1945 (12 U.S.C. 635i–5(a)(1))

is amended by inserting after the first sentence the following:
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‘‘Such procedures shall provide for the public disclosure of environmental assessments and supplemental environmental reports

required to be submitted to the Bank, including remediation or

mitigation plans and procedures, and related monitoring reports.

The preceding sentence shall not be interpreted to require the

public disclosure of any information described in section 1905 of

title 18, United States Code.’’.

SEC. 19. GOVERNMENT ACCOUNTABILITY OFFICE STUDY OF BANK

PERFORMANCE STANDARDS FOR ASSISTANCE TO SMALL

BUSINESSES, ESPECIALLY THOSE OWNED BY SOCIALLY

AND ECONOMICALLY DISADVANTAGED INDIVIDUALS

AND THOSE OWNED BY WOMEN.

(a) PERFORMANCE STANDARDS.—The Bank shall develop a set

of performance standards for determining the extent to which the

Bank has carried out successfully subparagraphs (E) and (I) of

section 2(b)(1) of the Export-Import Bank Act of 1945, and the

functions described in subsections (f)(1), (g)(1), (h)(1), and (i)(1)

of section 3 of such Act.

(b) ASSESSMENT OF STANDARDS.—Within 18 months after the

date of the enactment of this Act, the Comptroller General of

the United States shall transmit to the Committee on Financial

Services of the House of Representatives and the Committee on

Banking, Housing, and Urban Affairs of the Senate— (1) an assessment of the performance standards developed

by the Bank pursuant to subsection (a); and

(2) using the performance standards developed pursuant

to subsection (a), an assessment of the Bank’s efforts to carry

out subparagraphs (E) and (I) of section 2(b)(1) of the ExportImport Bank Act of 1945, and the functions described in subsections (f)(1), (g)(1), (h)(1), and (i)(1) of section 3 of such Act.

SEC. 20. REPORTS.

Section 8 of the Export-Import Bank Act of 1945 (12 U.S.C.

635g) is amended by adding at the end the following: ‘‘(f) ADDITIONAL REPORTS.—Not later than March 31 of each

year, the Bank 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 reports on— ‘‘(1) the extent to which the Bank has been able to use

the authority provided, and has complied with the mandates

contained, in section 2(b)(1)(E), and to the extent the Bank

has been unable to fully use such authority and comply with

such mandates, a report on the reasons for the Bank’s inability

to do so and the steps the Bank is taking to remedy such

inability; ‘‘(2) the extent to which financing has been made available

to small business concerns (described in subsection (e)) to enable

them to participate in exports by major contractors, including

through access to the supply chains of the contractors through

direct or indirect funding; ‘‘(3) the specific measures the Bank will take in the

upcoming year to achieve the small business objectives of the

Bank, including expanded outreach, product improvements, and

related actions;

‘‘(4) the progress made by the Bank in supporting exports

by socially and economically disadvantaged small business concerns (defined in section 8(a)(4) of the Small Business Act)
S. 3938—16

and small business concerns (as defined in section 3(a) of the

Small Business Act) owned by women, including estimates of

the amounts made available to finance exports directly by such

small business concerns, a comparison of these amounts with

the amounts made available to all small business concerns,

and a comparison of such amounts with the amounts so made

available during the 2 preceding years;

‘‘(5) with respect to each type of transaction, the interest

and fees charged by the Bank to exporters (including a description of fees and interest, if any, charged to small business

concerns), buyers, and other applicants in connection with each

financing program of the Bank, and the highest, lowest, and

average fees charged by the Bank for short term insurance

transactions;

‘‘(6) the effects of the fees on the ability of the Bank

to achieve the objectives of the Bank relating to small business;

‘‘(7) the fee structure of the Bank as compared with those

of foreign export credit agencies; and

‘‘(8)(A) the efforts made by the Bank to carry out subparagraphs (E)(x) and (J) of section 2(b)(1) of the Export-Import

Bank Act of 1945, including the total amount expended by

the Bank to do so; and

‘‘(B) if the Bank has been unable to comply with such

subparagraphs—

‘‘(i) an analysis of the reasons therefor; and

‘‘(ii) what the Bank is doing to achieve, and the date

by which the Bank expects to have achieved, such compliance.’’.

SEC. 21. STUDY OF HOW EXPORT-IMPORT BANK COULD ASSIST UNITED

STATES EXPORTERS TO MEET IMPORT NEEDS OF NEW

OR IMPOVERISHED DEMOCRACIES; REPORT.

(a) STUDY.—The Export-Import Bank of the United States shall

conduct a study designed to assess the needs of new or impoverished

democracies, such as Liberia and Haiti, for imports from the United

States, and shall determine what role the Bank can play a role

in helping United States exporters seize the opportunities presented

by the need for such imports.

(b) REPORT TO CONGRESS.—Within 12 months after the date

of the enactment of this Act, the Bank shall submit to the Committee on Financial Services of the House of Representatives and

the Committee on Banking, Housing, and Urban Affairs of the
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Senate, in writing, a final report that contains the results of the

study required by subsection (a).

Speaker of the House of Representatives.

Vice President of the United States and

President of the Senate.