```

[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3012 Introduced in House (IH)]

111th CONGRESS
  1st Session
                                H. R. 3012

 To require a review of existing trade agreements and renegotiation of 
existing trade agreements based on the review, to set terms for future 
trade agreements, to express the sense of the Congress that the role of 
 Congress in trade policymaking should be strengthened, and for other 
                               purposes.

_______________________________________________________________________

                    IN THE HOUSE OF REPRESENTATIVES

                             June 24, 2009

Mr. Michaud (for himself, Mr. Abercrombie, Mr. Altmire, Mr. Arcuri, Mr. 
      Baca, Ms. Baldwin, Mr. Boccieri, Mr. Boswell, Mr. Brady of 
   Pennsylvania, Mr. Braley of Iowa, Mr. Capuano, Mr. Carnahan, Mr. 
Carney, Mr. Carson of Indiana, Mr. Chandler, Mr. Childers, Mr. Cleaver, 
 Mr. Cohen, Mr. Conyers, Mr. Costello, Mr. Cummings, Mrs. Dahlkemper, 
  Mr. DeFazio, Mr. Delahunt, Ms. DeLauro, Mr. Dingell, Mr. Doyle, Ms. 
Edwards of Maryland, Mr. Ellison, Mr. Filner, Ms. Fudge, Mr. Gordon of 
Tennessee, Mr. Grayson, Mr. Al Green of Texas, Mr. Gene Green of Texas, 
   Mr. Grijalva, Mr. Gutierrez, Mr. Hall of New York, Mr. Hare, Mr. 
Hastings of Florida, Mr. Hinchey, Ms. Hirono, Mr. Holden, Mr. Holt, Mr. 
Jackson of Illinois, Ms. Jackson-Lee of Texas, Mr. Johnson of Georgia, 
   Mr. Jones, Mr. Kagen, Mr. Kanjorski, Ms. Kaptur, Mr. Kildee, Ms. 
  Kilpatrick of Michigan, Ms. Kilroy, Mr. Kissell, Mr. Kucinich, Mr. 
Langevin, Ms. Lee of California, Mr. Lipinski, Mr. Loebsack, Mr. Lynch, 
Mr. Massa, Ms. McCollum, Mr. McGovern, Mr. McIntyre, Mr. Mollohan, Ms. 
Moore of Wisconsin, Mr. Patrick J. Murphy of Pennsylvania, Mr. Murtha, 
Mr. Nadler of New York, Mrs. Napolitano, Ms. Norton, Mr. Oberstar, Mr. 
   Pallone, Mr. Payne, Mr. Perriello, Mr. Peters, Mr. Peterson, Ms. 
Pingree of Maine, Mr. Rahall, Mr. Ross, Mr. Rothman of New Jersey, Ms. 
  Roybal-Allard, Mr. Ryan of Ohio, Mr. Sarbanes, Ms. Schakowsky, Mr. 
   Schauer, Mr. Scott of Virginia, Ms. Shea-Porter, Mr. Sherman, Mr. 
Shuler, Ms. Slaughter, Mr. Smith of New Jersey, Mr. Stupak, Ms. Sutton, 
Mr. Tierney, Mr. Tonko, Mr. Visclosky, Mr. Walz, Ms. Wasserman Schultz, 
Ms. Waters, Mr. Welch, Mr. Wilson of Ohio, Ms. Woolsey, Mr. Wu, and Mr. 
   Spratt) introduced the following bill; which was referred to the 
Committee on Ways and Means, and in addition to the Committee on 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 require a review of existing trade agreements and renegotiation of 
existing trade agreements based on the review, to set terms for future 
trade agreements, to express the sense of the Congress that the role of 
 Congress in trade policymaking should be strengthened, 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 ``Trade Reform, Accountability, 
Development, and Employment Act of 2009'' or the ``TRADE Act of 2009''.

SEC. 2. DEFINITIONS.

    In this Act:
            (1) Core labor standards.--The term ``core labor 
        standards'' means the core labor rights as stated in the 
        Conventions of the International Labour Organization relating 
        to--
                    (A) freedom of association and the effective 
                recognition of the right to collective bargaining;
                    (B) elimination of all forms of forced or 
                compulsory labor;
                    (C) effective abolition of child labor; and
                    (D) elimination of discrimination with respect to 
                employment and occupation.
            (2) Fundamental human rights.--The term ``fundamental human 
        rights'' means the rights enumerated in the United Nations 
        Universal Declaration of Human Rights.
            (3) Major u.s. trade partners.--The term ``major U.S. trade 
        partners'' means Belgium, Brazil, the People's Republic of 
        China, France, Germany, Hong Kong, India, Ireland, Italy, 
        Japan, the Republic of South Korea, Malaysia, the Netherlands, 
        Taiwan, and the United Kingdom.
            (4) Multilateral environmental agreement.--The term 
        ``multilateral environmental agreement'' means any 
        international agreement or provision thereof to which the 
        United States is a party and which is intended to protect, or 
        has the effect of protecting, the environment or human health.
            (5) State.--The term ``State'' means each of the several 
        States, the District of Columbia, and any commonwealth, 
        territory, or possession of the United States.
            (6) Trade agreements.--
                    (A) In general.--Except as provided in section 4, 
                the term ``trade agreement'' means--
                            (i) the North American Free Trade 
                        Agreement;
                            (ii) the Dominican Republic-Central 
                        America-United States Free Trade Agreement; and
                            (iii) the Agreement Between the United 
                        States of America and the Hashemite Kingdom of 
                        Jordan on the Establishment of a Free Trade 
                        Area.
                    (B) Uruguay round agreements.--Except as provided 
                in section 4, the term ``trade agreement'' means--
                            (i) the General Agreement on Tariffs and 
                        Trade (GATT 1994) annexed to the WTO Agreement;
                            (ii) the WTO Agreement described in section 
                        2(9) of the Uruguay Round Agreements Act (19 
                        U.S.C. 3501(9));
                            (iii) any other agreement described in 
                        section 101(d) of the Uruguay Round Agreements 
                        Act (19 U.S.C. 3511(d)); and
                            (iv) any multilateral agreement entered 
                        into by the United States under the auspices of 
                        the World Trade Organization, including any 
                        agreement relating to information technology, 
                        telecommunications, or financial services.

SEC. 3. REVIEW AND REPORT ON EXISTING TRADE AGREEMENTS.

    (a) Review and Report.--
            (1) In general.--Not later than 270 days after the date of 
        the enactment of this Act, and every 2 years thereafter, the 
        Comptroller General of the United States shall--
                    (A) conduct a review of all trade agreements in 
                force at the time of the review for the purpose of 
                evaluating the economic, environmental, national 
                security, health, safety, and other effects of the 
                trade agreements; and
                    (B) submit to the Congressional Trade Agreement 
                Review Committee established under section 6 a report 
                that includes the information described under 
                subsections (b) and (c) and the recommendations 
                required under subsection (d).
            (2) Cooperation of agencies.--The Secretary of State, the 
        Secretary of Agriculture, the Secretary of Commerce, the 
        Secretary of Labor, the Secretary of the Treasury, and the 
        heads of other Federal departments and agencies shall cooperate 
        with the Comptroller General for purposes of facilitating 
        preparation of the report.
            (3) Inflation-controlled dollars.--Data expressed in terms 
        of United States dollars should be in inflation adjusted terms 
        unless otherwise indicated.
    (b) Information With Respect to Trade Agreements.--The report 
required by subsection (a) shall, with respect to each trade agreement, 
to the extent practicable, include the following information covering 
the period between the date on which the trade agreement entered into 
force with respect to the United States and the date on which the 
Comptroller General completes the review:
            (1) An analysis of indicators of the economic impact of 
        each trade agreement, including the following:
                    (A) The employment effects of the trade agreement 
                on job gains and losses in the United States delineated 
                by industry, year, and State, taking note of specific 
                firm, industry, or regional cases of substantial trade 
                agreement-related employment losses or gains, including 
                a list of the top ten industries that experienced 
                employment gains and losses in the United States. In 
                addition to utilizing existing government data, the 
                Comptroller General shall develop and utilize a labor 
                requirements model derived from detailed input-output 
                tables to estimate the number of jobs supported or 
                displaced by shifts in the level and rate of change of 
                United States net exports and investment flows.
                    (B) The effects of the trade agreement on changes 
                in relative and absolute wage levels, income 
                distribution by decile, and hours worked by sector and 
                State, on a year-to-year basis, in the United States. 
                In addition to utilizing existing government data, the 
                Comptroller General shall develop and utilize factor 
                content analyses, product price regressions, computable 
                general equilibrium models, and other applicable 
                methods to isolate the impact of the trade agreement 
                (and its associated investment flows) on changes in 
                relative and absolute wages and income distribution by 
                education, skill level, and trade-sensitivity of 
                various sectors, controlling for appropriate indicators 
                such as region, race, and gender.
                    (C) The dollar value of domestic exports of the 
                United States and imports for consumption into the 
                United States delineated, to the extent such 
                information is available, by--
                            (i) Standard International Trade 
                        Classification (SITC)-5,
                            (ii) Standard Industrial Classification 
                        (SIC)-4,
                            (iii) North American Industry 
                        Classification (NAIC)-6,
                            (iv) the 10-digit classification number 
                        under the Harmonized Tariff Schedule of the 
                        United States,
                            (v) year, and
                            (vi) trade-partner country,
                including listing those goods for which there has been 
                a change in 10 percent or more in bilateral trade 
                flows.
                    (D) The share of global production, productive 
                capacity, investment, exports and employment, and other 
                indicators of the competitive position (such as 
                productivity gains and patents registered) of 
                industries in the United States significantly affected 
                by the trade agreement, taking note of major production 
                and employment offshoring trends and changes in 
                sourcing patterns before and after entry into force of 
                the trade agreement with respect to the United States.
            (2) An analysis of the effect on agriculture and food-
        related outcomes, including the following:
                    (A)(i) The trend, on a year-by-year basis, of 
                prices and production volumes in the United States, and 
                exports from and imports into the United States, of 
                agricultural commodities, food products, and 
                ingredients thereof, that are imported in significant 
                volume into the United States from a country that is a 
                party to the trade agreement.
                    (ii) For purposes of this subparagraph--
                            (I) the term ``significant volume'' means, 
                        with respect to agricultural commodities, food 
                        products, or ingredients, 10 percent or more of 
                        domestic consumption of such agricultural 
                        commodities, food products, or ingredients; and
                            (II) imports of such agricultural 
                        commodities, food products, and ingredients 
                        shall be measured according to the 4-digit 
                        classification of the commodities, products, 
                        and ingredients under the Harmonized Tariff 
                        Schedule of the United States.
                    (B) An analysis of the effects, if any, on the cost 
                of agricultural programs in the United States.
                    (C) The number of farms operating in the United 
                States, detailed by farm typology and sales level, and 
                the number of acres under production by crop, for 
                agricultural commodities that are exported from the 
                United States to a country that is a party to the trade 
                agreement, on a year-by-year basis.
                    (D) An analysis of the effects, if any, on market 
                concentration, prices, and fair competition in the 
                markets for agricultural commodities and food products 
                that are subject to significant volumes of trade 
                between the United States and each other country that 
                is a party to the trade agreement.
            (3)(A) An analysis of the progress in implementing 
        commitments under the trade agreement, and the record of 
        compliance with the terms of the trade agreement, by--
                    (i) each country that is a party to the trade 
                agreement, in the case of a trade agreement describe in 
                section 2(6)(A); and
                    (ii) by each of the major U.S. trade partners, in 
                the case of a trade agreement described in section 
                2(6)(B).
            (B) A description of any outstanding disputes between the 
        United States and any other country that is a party to the 
        trade agreement, including a description of laws, regulations, 
        or policies of the United States or any State that such other 
        country has challenged, or threatened to challenge, under the 
        trade agreement.
            (4) An analysis of the ability of the United States to 
        ensure that each other country that is a party to the trade 
        agreement complies with United States laws and regulations, 
        including--
                    (A) complying with the customs laws of the United 
                States;
                    (B) making timely payment of duties owed on goods 
                imported into the United States, including, in such 
                analysis, the amount of duties paid by such other 
                country;
                    (C) meeting safety and inspection requirements with 
                respect to food and other products imported into the 
                United States from such other country;
                    (D) complying with prohibitions on the 
                transshipment of goods that are ultimately imported 
                into the United States; and
                    (E) enforcing the trade agreement, including 
                preventing dumping, subsidies, and circumvention.
            (5) An analysis of any privatization of public sector 
        services in the United States or in any other country that is a 
        party to the trade agreement, if the service involved is 
        covered by the investment, financial services, or services 
        provisions of the trade agreement, including any effect such 
        privatization has on the access of consumers to essential 
        services, such as health care, electricity, gas, water, 
        telephone service, or other utilities.
            (6) An assessment of the impact of the intellectual 
        property provisions of the trade agreement on the retail price 
        of pharmaceuticals in any country that is a party to the trade 
        agreement and the effect, if any, that changes in the price of 
        pharmaceuticals have had on access by consumers to medicines.
            (7) An analysis of the impact of government procurement 
        rules in the trade agreement on the procurement of goods or 
        services by United States Federal or State government agencies, 
        including annual information on the value of goods and services 
        procured, delineated by Federal or State government and agency, 
        by good or service procured, and by the country from which the 
        good or service originated.
            (8) An assessment of the impact of significant currency 
        movements, currency misalignment, or currency manipulation on 
        the bilateral trade balance between the United States and each 
        other country that is a party to the trade agreement and each 
        of the major U.S. trade partners.
    (c) Information on Countries That Are Parties to Trade 
Agreements.--With respect to each country with which the United States 
has a trade agreement in effect, the report required under subsection 
(a) shall include information regarding whether that country--
            (1) has a democratic form of government;
            (2) respects core labor rights, as defined by the Committee 
        of Experts on the Application of Conventions and 
        Recommendations and the Conference Committee on the Application 
        of Standards of the International Labour Organization;
            (3) respects fundamental human rights, as determined by the 
        Secretary of State in the annual country reports on human 
        rights of the Department of State;
            (4) is designated as a country of particular concern with 
        respect to religious freedom under section 402(b)(1) of the 
        International Religious Freedom Act of 1998 (22 U.S.C. 
        6442(b)(1));
            (5) is on a list described in subparagraph (B) or (C) of 
        section 110(b)(1) of the Trafficking Victims Protection Act of 
        2000 (22 U.S.C. 7107(b)(1)) (commonly known as tier 2 or tier 3 
        of the Trafficking in Persons List of the Department of State);
            (6) has taken effective measures to combat and prevent 
        public and private corruption, including measures with respect 
        to tax evasion and money laundering, and has ratified the 
        Convention on Combating Bribery of Foreign Public Officials in 
        International Business Transactions of the Organization for 
        Economic Cooperation and Development;
            (7) complies with the multilateral environmental agreements 
        to which the country is a party;
            (8) has in force adequate labor and environmental laws and 
        regulations, has devoted sufficient resources to implementing 
        those laws and regulations, and has an adequate record of 
        enforcement of those laws and regulations;
            (9) adequately protects intellectual property rights;
            (10) provides for governmental transparency, due process of 
        law, and respect for international agreements; and
            (11) poses potential concerns to the national security of 
        the United States, including an assessment of the transfer of 
        technology, production, and services from one country to 
        another.
    (d) Recommendations.--The report required under subsection (a) 
shall include recommendations of the Comptroller General for addressing 
issues with respect to a trade agreement that are identified under 
subsections (b) and (c). The recommendations shall include suggestions 
for renegotiating the trade agreement based on the requirements 
described in section 4(b) and for negotiations with respect to new 
trade agreements.
    (e) Citations.--The Comptroller General shall include in the report 
required under subsection (a) citations to the sources of data used in 
preparing the report and a description of the methodologies employed in 
preparing the report.
    (f) Trend Analysis.--The report required under subsection (a) shall 
include a trend analysis of relative and absolute wage levels on a 
year-to-year basis in--
            (1) each country with which the United States has a trade 
        agreement described in section 2(6)(A);
            (2) each major U.S. trade partner;
            (3) each country with which the United States has 
        considered establishing a free trade agreement, including South 
        Africa, Vietnam, Malaysia, and Thailand; and
            (4) Cambodia.
    (g) Public Comment.--In preparing the report required under 
subsection (a), the Comptroller General shall--
            (1) hold hearings that are open to the public; and
            (2) provide an opportunity for members of the public to 
        testify and submit written comments.
    (h) Public Availability.--The information in each report required 
under subsection (a) shall be made available to the public not later 
than 14 days after the Comptroller General completes the report.

SEC. 4. INCLUSION OF CERTAIN PROVISIONS IN TRADE AGREEMENTS.

    (a) In General.--
            (1) Requirements for expedited consideration of 
        implementing legislation.--Notwithstanding section 151 of the 
        Trade Act of 1974 (19 U.S.C. 2191) or any other provision of 
        law, any bill implementing a trade agreement between the United 
        States and another country that is introduced in the Congress 
        after the date of the enactment of this Act shall not be 
        subject to expedited consideration or special procedures 
        regarding amendment or debate unless the trade agreement meets 
        the requirements of subsection (b).
            (2) Trade agreement defined.--For purposes of this section, 
        the term ``trade agreement'' means any trade agreement entered 
        into between the United States and one or more countries.
    (b) Requirements.--The requirements referred to in subsection (a) 
regarding a trade agreement between the United States and another 
country are the following:
            (1) Labor standards.--The labor provisions shall--
                    (A) be included in the core text of the trade 
                agreement;
                    (B) require each country that is party to the trade 
                agreement--
                            (i) to adopt and maintain as part of its 
                        domestic law and regulations (including in any 
                        designated zone in that country) the core labor 
                        standards; and
                            (ii) to effectively enforce laws related to 
                        core labor standards and acceptable conditions 
                        of work with respect to minimum wages, hours of 
                        work, and occupational safety and health;
                    (C) prohibit a country that is a party to the trade 
                agreement from waiving or otherwise derogating from its 
                laws and regulations relating to the core labor 
                standards and acceptable conditions of work with 
                respect to minimum wages, hours of work, and 
                occupational safety and health;
                    (D) provide that failures to meet the labor 
                standards required by the trade agreement shall be 
                subject to effective dispute resolution and enforcement 
                mechanisms and penalties that are included in the core 
                text of the trade agreement and that are at least as 
                effective as the mechanisms and penalties that apply to 
                the commercial provisions of the trade agreement;
                    (E) strengthen the capacity of each country that is 
                a party to the trade agreement to promote and enforce 
                core labor standards;
                    (F) provide for the establishment of a commission 
                comprised of individuals with international and 
                comparative labor rights expertise, including 
                representatives of independent labor unions of 
                countries that are parties to the trade agreement, 
                representatives of exporting businesses of countries 
                that are parties to the trade agreement, and 
                independent academic researchers, to receive, 
                investigate, review, and participate in the 
                adjudication of any complaint filed under the labor 
                provisions of the trade agreement, and vest the 
                commission with the authority to establish objective 
                indicators to determine compliance with the obligations 
                set forth in subparagraphs (B), (C), and (D); and
                    (G) require each country that is a party to the 
                trade agreement to cooperate fully with investigations 
                by the commission required under subparagraph (F).
            (2) Human rights standards.--The human rights provisions 
        shall--
                    (A) be included in the core text of the trade 
                agreement;
                    (B) require each country that is a party to the 
                trade agreement to recognize the United Nations 
                Universal Declaration of Human Rights as a common 
                standard of achievement for all peoples and all 
                nations;
                    (C) prohibit each country that is a party to the 
                trade agreement from waiving or otherwise derogating 
                from its laws and regulations relating to fundamental 
                human rights;
                    (D) provide that failures to meet the fundamental 
                human rights required by the trade agreement shall be 
                subject to effective dispute resolution and enforcement 
                mechanisms and penalties that are included in the core 
                text of the trade agreement and that are at least as 
                effective as the mechanisms and penalties that apply to 
                the commercial provisions of the trade agreement;
                    (E) strengthen the capacity of each country that is 
                a party to the trade agreement to promote and enforce 
                fundamental human rights;
                    (F) provide for the establishment of a commission 
                composed of representatives specializing in 
                international and comparative human rights, including 
                representatives of independent human rights 
                organizations of countries who are parties to the trade 
                agreement and academic researchers, to receive, 
                investigate, review, and participate in the 
                adjudication of any complaint filed under the human 
                rights provisions of the trade agreement, and vest the 
                commission with the authority to establish objective 
                indicators to determine compliance with the obligations 
                set forth in subparagraphs (B), (C), and (D); and
                    (G) require any other country that is a party to 
                the trade agreement to cooperate fully with 
                investigations by the commission required under 
                subparagraph (F).
            (3) Environmental and public safety standards.--The 
        environmental provisions shall--
                    (A) be included in the core text of the trade 
                agreement;
                    (B) prohibit each country that is a party to the 
                trade agreement from weakening, eliminating, or failing 
                to enforce domestic environmental or other public 
                health or safety standards to promote trade or attract 
                investment;
                    (C) require each country that is a party to the 
                trade agreement to implement and enforce fully and 
                effectively, including through domestic law, the 
                country's obligations under multilateral environmental 
                agreements and provide for the enforcement of such 
                obligations under the trade agreement;
                    (D) prohibit the trade of goods derived from 
                illegally harvested or extracted natural resources, at 
                any stage of production, including timber and timber 
                products, fish, wildlife, and associated products, 
                mineral resources, and other environmentally sensitive 
                goods;
                    (E) provide that the failure to meet the 
                environmental standards required by the trade agreement 
                be subject to dispute resolution and enforcement 
                mechanisms and penalties that are at least as effective 
                as the mechanisms and penalties that apply to the 
                commercial provisions of the trade agreement; and
                    (F) allow each country that is a party to the trade 
                agreement to adopt and implement environmental, health, 
                and safety standards, recognizing the legitimate right 
                of governments to protect the environment and public 
                health and safety.
            (4) Food and product health and safety standards.--If the 
        trade agreement contains health and safety standards for food 
        and other products, the trade agreement shall--
                    (A) establish that food, feed, food ingredients, 
                and other related food products may be imported into 
                the United States from a country that is a party to the 
                trade agreement only if such products meet or exceed 
                United States standards with respect to food safety, 
                pesticides, inspections, packaging, and labeling;
                    (B) establish that nonfood products may be imported 
                into the United States from a country that is a party 
                to the trade agreement only if such products meet or 
                exceed United States standards with respect to health 
                and safety, inspections, packaging, and labeling;
                    (C) allow each country that is a party to the trade 
                agreement to impose standards designed to protect 
                public health and safety unless it can be clearly 
                demonstrated that such standards do not protect the 
                public health or safety;
                    (D)(i) authorize the Commissioner of Food and Drugs 
                and the Consumer Product Safety Commission to assess 
                the regulatory system of each country that is a party 
                to the trade agreement to determine whether the system 
                provides the same or better protection of health and 
                safety for food and other products as provided under 
                the regulatory system of the United States and 
                authorize other appropriate United States Federal 
                agencies to assess the regulatory system of each 
                country that is party to the trade agreement to 
                determine whether the system provides the same or 
                better quality controls on manufactured goods as 
                provided under the regulatory system of the United 
                States;
                    (ii) if the Commissioner or the Commission 
                determines that the regulatory system of such a country 
                does not provide the same or better protection of 
                health and safety for food and other products as 
                provided under the regulatory system of the United 
                States, or another appropriate agency determines that 
                the regulatory system of such a country does not 
                provide the same or better quality controls on 
                manufactured goods as provided under the regulatory 
                system of the United States, provide that the United 
                States may prohibit the importation into the United 
                States of food and other products from that country; 
                and
                    (iii) provide a process by which producers from 
                countries whose regulatory systems are determined 
                pursuant to clause (ii) by the Commissioner, the 
                Commission, or another appropriate agency not to 
                provide the same or better protection or quality 
                controls as that provided under the regulatory system 
                of the United States may have specific facilities 
                inspected and certified so as to allow products from 
                approved facilities to be imported into the United 
                States; and
                    (E) if harmonization of food or product health or 
                safety standards is necessary to facilitate trade, 
                provide that such harmonization be based on standards 
                that are no less stringent than standards in the United 
                States.
            (5) Services provisions.--If the trade agreement contains 
        provisions related to the provision of services, such 
        provisions shall--
                    (A) preserve the right of United States Federal, 
                State, and local governments to maintain essential 
                public services and to regulate, for the benefit of the 
                public, services provided to consumers in the United 
                States;
                    (B)(i) require each country that is a party to the 
                trade agreement to establish a positive list of each 
                service sector that will be subject to the obligations 
                of the country under the trade agreement; and
                    (ii) apply the trade agreement only to the service 
                sectors that are on the list described in clause (i);
                    (C) establish a general exception to market access 
                obligations that allows each country that is a party to 
                the trade agreement to maintain or establish a ban on 
                services that the country considers harmful to public 
                health or safety, the environment, or public morals, if 
                the ban is applied to domestic and foreign services and 
                service providers alike;
                    (D) require service providers of each country that 
                is a party to the trade agreement that provide services 
                through commercial presence in the United States to 
                consumers in the United States to comply with 
                environmental, land use, safety, privacy, transparency, 
                professional qualification, and consumer access laws 
                and regulations in the United States;
                    (E) require that services provided to consumers in 
                the United States, such as medical and financial 
                services, that are subject to privacy laws and 
                regulations in the United States may only be provided 
                by service providers in other countries that provide 
                privacy protections and protections for confidential 
                information that are equal to or exceed the protections 
                provided by privacy laws and regulations in the United 
                States;
                    (F) not require the privatization of public 
                services in any country that is a party to the trade 
                agreement or the deregulation of a service, including 
                services related to national security, social security, 
                health, public safety, education, water, sanitation, 
                other utilities, ports, or transportation;
                    (G) not subject local governments to the service 
                sector obligations under the trade agreement;
                    (H) not include provisions with respect to 
                immigration or the movement of natural persons; and
                    (I) not limit any nondiscriminatory national, 
                regional, or local government program that establishes 
                reimbursement rates under public health insurance 
                programs, or otherwise controls the costs of 
                pharmaceuticals or medical devices.
            (6) Investment provisions.--If the trade agreement contains 
        provisions related to investment, such provisions shall--
                    (A) preserve the ability of each country that is a 
                party to the trade agreement to regulate foreign 
                investment in a manner consistent with the needs and 
                priorities of the country;
                    (B) allow each country that is a party to the trade 
                agreement to place prudential restrictions on 
                speculative capital to reduce global financial 
                instability and trade volatility;
                    (C) not be subject to an investor-state dispute 
                settlement mechanism under the trade agreement;
                    (D) ensure that foreign investors operating in the 
                United States are not afforded greater rights than 
                those afforded to domestic investors by the 
                Constitution and laws of the United States;
                    (E) provide for government-to-government dispute 
                resolution relating to expropriation only for those 
                disputes relating to a government action that destroys 
                all value of the real property of a foreign investor 
                permanently, but not government actions that do not 
                merely diminish the value of property;
                    (F) define the term ``investment'' to mean not more 
                than a commitment of capital or acquisition of real 
                property and to exclude assumption of risk or 
                expectation of gain or profit;
                    (G) define the term ``investor'' to mean only a 
                person who makes a commitment or acquisition described 
                in subparagraph (F); and
                    (H) define the standard of minimum treatment to 
                provide no greater legal rights than United States 
                citizens possess under the due process clause of 
                section 1 of the 14th amendment to the Constitution of 
                the United States.
            (7) Procurement standards.--If the trade agreement contains 
        government procurement provisions, such provisions shall--
                    (A) require each country that is a party to the 
                trade agreement to establish a positive list of 
                industry sectors, goods, or services that will be 
                subject to the obligations of the country under the 
                trade agreement;
                    (B) with respect to the United States, apply only 
                to State governments that specifically agree to the 
                trade agreement and only to the industry sectors, 
                goods, or services specifically identified by the State 
                government and not apply to local governments; and
                    (C) include only technical specifications for goods 
                or services, supplier qualifications, or other 
                conditions for receiving government contracts that do 
                not undermine--
                            (i) prevailing wage policies;
                            (ii) recycled content policies;
                            (iii) sustainable harvest policies;
                            (iv) renewable energy policies;
                            (v) human rights; or
                            (vi) project labor agreements.
            (8) Intellectual property requirements.--If the trade 
        agreement contains provisions related to the protection of 
        intellectual property rights, such provisions shall--
                    (A) promote adequate and effective protection of 
                intellectual property rights;
                    (B) include only terms relating to patents that do 
                not, overtly or in application, limit the flexibilities 
                and rights established in the Declaration on the TRIPS 
                Agreement and Public Health, adopted by the World Trade 
                Organization at the Fourth Ministerial Conference at 
                Doha, Qatar, on November 14, 2001, including the 
                flexibilities and rights relating to the promotion of 
                access to medicines and the issuance of compulsory 
                licenses on grounds determined by member states;
                    (C) require that any provisions relating to the 
                patenting of traditional knowledge be consistent with 
                the Convention on Biological Diversity, concluded at 
                Rio de Janeiro June 5, 1992; and
                    (D) ensure that the access of the public to 
                essential medicines and to technologies critical to 
                preventing climate change is not obstructed by any 
                provision of the trade agreement relating to the 
                protection of intellectual property rights.
            (9) Agricultural standards.--If the trade agreement 
        contains provisions related to agriculture, such provisions 
        shall--
                    (A) ensure adequate and stable market returns for 
                farmers in each country that is a party to the trade 
                agreement;
                    (B) ensure adequate and affordable supplies of safe 
                food for consumers;
                    (C) protect the right of each country that is a 
                party to the trade agreement to encourage conservation 
                through the use of best practices with respect to the 
                management and production of crops;
                    (D) ensure fair treatment of agricultural workers 
                in each country that is a party to the trade agreement;
                    (E) protect the right of each country that is a 
                party to the trade agreement to prevent dumping of 
                agricultural commodities at below the cost of 
                production through border regulations or other 
                mechanisms and policies;
                    (F) protect the right of each country that is a 
                party to the trade agreement to establish policies with 
                respect to food and agriculture that require farmers to 
                receive fair remuneration for management and labor that 
                occurs on farms and that allow for inventory management 
                and strategic food and renewable energy reserves, while 
                ensuring that such policies do not aid or abet, or 
                otherwise contribute to or allow, the dumping of 
                agricultural commodities onto world markets at below 
                the cost of production;
                    (G) preserve any existing United States law 
                relating to antitrust and anticompetitive business 
                practices from being preempted or rendered ineffective 
                by the trade agreement; and
                    (H) not conflict with agricultural policy 
                established in the laws of the United States.
            (10) Trade remedies and safeguards.--If the trade agreement 
        contains trade remedy provisions, such provisions shall--
                    (A) preserve fully the ability of the United States 
                to enforce its trade laws, including antidumping and 
                countervailing duty laws and safeguard laws, the right 
                to calculate 100 percent of the dumping in all 
                antidumping proceedings, and the right to disburse 
                domestically antidumping and countervailing duties as 
                the United States so determines;
                    (B) not decrease the effectiveness of domestic and 
                international prohibitions on unfair trade, especially 
                prohibitions on dumping and subsidies, and domestic and 
                international safeguard provisions;
                    (C) establish mechanisms to address and remedy 
                market distortions that lead to dumping and 
                subsidization, including overcapacity, cartelization, 
                and market-access barriers, by imposing strong 
                sanctions against subsidies, including applying the 
                countervailing duty law when exporters receive tax 
                rebates for indirect taxes upon export;
                    (D) allow the United States to maintain adequate 
                safeguards for a minimum of two years to ensure that 
                surges of imported goods do not result in economic 
                burdens on workers, firms, or farmers in the United 
                States, including providing that such safeguards go 
                into effect based on certain criteria;
                    (E) establish mechanisms among the parties to the 
                trade agreement to examine the trade consequences of 
                significant currency movements and to scrutinize 
                whether a party's currency is misaligned to promote a 
                competitive advantage in international trade; and
                    (F) if the currency of a country that is party to 
                the trade agreement is deliberately misaligned, 
                establish safeguard remedies that apply for a minimum 
                period of two years to offset substantial and sustained 
                currency movements and also allow, alternatively, for 
                the application of countervailing duties.
            (11) Dispute resolution and enforcement provisions.--If the 
        trade agreement contains provisions related to dispute 
        resolution, such provisions shall--
                    (A) incorporate due process rules and procedures, 
                including ensuring that dispute resolution proceedings 
                are open to the public, that public access to 
                information regarding enforcement, disputes, and 
                ongoing negotiations related to disputes is provided in 
                a timely manner, and that conflict of interest rules 
                apply fully to adjudicators;
                    (B) require that any dispute settlement panel, 
                including an appellate panel, addressing issues 
                involving intellectual property rights or 
                environmental, health, labor, human rights, or other 
                public interest issues include panelists with expertise 
                in such issues;
                    (C) require an expedited process for all dispute 
                settlement panels and processes relating to violations 
                of an agreement's labor, human rights, and 
                environmental obligations, recognizing that 
                environmental and labor rights and the health, safety, 
                and freedom of people and possibly irreversible damage 
                to the physical environment are fundamentally different 
                than property rights and thus require establishment of 
                more expeditious timelines, together with the necessary 
                resources for oversight and enforcement; and
                    (D) require that panels reviewing antidumping and 
                countervailing duty proceedings of a party to the trade 
                agreement apply a standard of review that gives 
                deference to the administrating authority of the party 
                whose measure is under review.
            (12) Technical assistance.--If the trade agreement contains 
        technical assistance provisions, such provisions shall--
                    (A) be designed to raise standards in developing 
                countries by providing assistance that ensures respect 
                for diversity of development paths;
                    (B) be designed to empower civil society and 
                democratic governments to create sustainable, vibrant 
                economies and respect basic rights; and
                    (C) provide that technical assistance shall not 
                substitute for or supplant economic assistance and not 
                promote exportation of goods produced with the 
                exploitation of labor or unsustainable environmental 
                practices.
            (13) Exceptions for national security and other reasons.--
        Each agreement shall--
                    (A) include an essential security exception that 
                permits a country that is a party to the trade 
                agreement to apply measures that the country considers 
                necessary for the maintenance or restoration of 
                international peace or security, or the protection of 
                its own essential security interests, including with 
                respect to infrastructure, services, manufacturing, and 
                other sectors;
                    (B) explicitly state that if a country invokes the 
                essential security exception in a dispute settlement 
                proceeding relating to any matter other than compliance 
                with the agreement's worker rights, environment, human 
                rights, health, or safety provisions, the dispute 
                settlement body hearing the matter shall find that the 
                exception applies;
                    (C) include a provision that gives priority to the 
                implementation of bilateral or multilateral agreements 
                relating to public health, human and labor rights, the 
                environment, or other public interest goals in the 
                event of any inconsistency between the trade agreement 
                and such bilateral or multilateral agreement; and
                    (D) include in its list of general exceptions the 
                following language: ``Notwithstanding any other 
                provision of this agreement, a provision of law that is 
                nondiscriminatory on its face and relates to domestic 
                health, consumer safety, the environment, labor rights, 
                worker health and safety, economic equity, consumer 
                access, the provision of goods or services, or 
                investment, shall not be subject to challenge under the 
                dispute resolution mechanism established under this 
                agreement, unless the primary purpose of the law is to 
                discriminate with respect to market access.''.
            (14) Federalism.--The trade agreement may only require a 
        State government in the United States to comply with 
        procurement, investment, or services provisions contained in 
        the trade agreement if the State government has been consulted 
        in full and has given explicit consent to be bound by such 
        provisions.
            (15) Taxation.--Each agreement shall provide for border tax 
        equity for United States producers and United States exporters 
        in the assessment and rebate of indirect taxes (such as 
        consumption and sales taxes), including by--
                    (A) prohibiting the imposition of such taxes on 
                United States exports when imported in excess of the 
                level of such taxes applied at the border by the United 
                States to imports from parties to the trade agreement, 
                or
                    (B) prohibiting the rebate of taxes on exports in 
                amounts in excess of any such taxes rebated by the 
                United States on United States exports in excess of any 
                such taxes rebated by the United States,
        or by adopting measures under both subparagraphs (A) and (B).

SEC. 5. RENEGOTIATION OF EXISTING TRADE AGREEMENTS.

    (a) Plan.--The President shall, at the times specified under 
subsection (b), submit to the Congress a plan for renegotiating each 
trade agreement that is in effect on the date of the enactment of this 
Act to bring the trade agreement into compliance with the requirements 
of section 4(b).
    (b) Timing.--The plan under subsection (a) shall be submitted not 
later than 90 days before the earlier of the day on which the 
President--
            (1) initiates negotiations with a foreign country with 
        respect to the trade agreement being renegotiated; or
            (2) submits a bill to Congress to implement the revised 
        trade agreement.

SEC. 6. ESTABLISHMENT OF CONGRESSIONAL TRADE AGREEMENT REVIEW 
              COMMITTEE.

    (a) Establishment.--There is established a Congressional Trade 
Agreement Review Committee (in this section referred to as the 
``Committee'').
    (b) Functions.--
            (1) In general.--The Committee--
                    (A) shall receive the reports of the Comptroller 
                General of the United States submitted to the Committee 
                under section 3(a)(1)(B);
                    (B) shall review the plan for renegotiation of 
                trade agreements submitted by the President under 
                section 5; and
                    (C) may, not later than 60 days after receiving the 
                plan described in subparagraph (B), taking into account 
                the reports of the Comptroller General referred to in 
                subparagraph (A), add items for renegotiation to the 
                plan, reject recommendations in the plan, or otherwise 
                amend the plan.
            (2) Action by vote.--Action by the Committee under 
        paragraph (1)(C) requires a vote of \2/3\ of the Members of the 
        Committee.
    (c) Appointment and Membership.--The Committee shall be composed of 
the chair and ranking members of the following:
            (1) The Committee on Agriculture of the House of 
        Representatives.
            (2) The Committee on Education and Labor of the House of 
        Representatives.
            (3) The Committee on Energy and Commerce of the House of 
        Representatives.
            (4) The Committee on Financial Services of the House of 
        Representatives.
            (5) The Committee on Natural Resources of the House of 
        Representatives.
            (6) The Committee on Ways and Means of the House of 
        Representatives.
            (7) The Committee on Agriculture, Nutrition, and Forestry 
        of the Senate.
            (8) The Committee on Banking, Housing, and Urban Affairs of 
        the Senate.
            (9) The Committee on Commerce, Science, and Transportation 
        of the Senate.
            (10) The Committee on Energy and Natural Resources of the 
        Senate.
            (11) The Committee on Environment and Public Works of the 
        Senate.
            (12) The Committee on Finance of the Senate.
            (13) The Committee on Health, Education, Labor, and 
        Pensions of the Senate.

SEC. 7. SENSE OF CONGRESS ON IMPROVING THE PROCESS FOR UNITED STATES 
              TRADE NEGOTIATIONS.

    It is the sense of the Congress that if Congress considers 
legislation to provide for special procedures for the consideration of 
bills to implement trade agreements, that legislation should include--
            (1) readiness criteria for the President to use in 
        determining whether a country--
                    (A) is able to meet its obligations under a trade 
                agreement;
                    (B) meets the requirements described in section 
                3(c); and
                    (C) is an appropriate country with which to enter 
                into a trade agreement;
            (2) a process by which the Committee on Finance of the 
        Senate and the Committee on Ways and Means of the House of 
        Representatives review the determination of the President 
        described in paragraph (1) to verify that the country meets the 
        criteria;
            (3) requirements for consultation with Congress during 
        trade negotiations that require more frequent consultations 
        than required by the Bipartisan Trade Promotion Authority Act 
        of 2002 (19 U.S.C. 3801 et seq.), including a process for 
        consultation with any committee of Congress with jurisdiction 
        over any area covered by the negotiations;
            (4) binding negotiating objectives and requirements 
        outlining what must and must not be included in a trade 
        agreement, including the requirements described in section 
        4(b);
            (5) a process for review and certification by the Congress 
        to ensure that the negotiating objectives described in 
        paragraph (4) have been met during the negotiations;
            (6) a process--
                    (A) by which a State may give informed consent to 
                be bound by nontariff provisions in a trade agreement 
                that relate to investment, the service sector, and 
                procurement; and
                    (B) that prevents a State from being bound by the 
                provisions described in subparagraph (A) if the State 
                has not consented; and
            (7) a requirement that a trade agreement be approved by a 
        majority vote in both Houses of Congress before the President 
        may sign the trade agreement.
                                 <all>
```