I
106TH CONGRESS
1ST SESSION
H. R. 730
To provide certain requirements for labeling textile fiber products and for
duty-free and quota-free treatment of products of, and to implement
minimum wage and immigration requirements in, the Northern Mariana
Islands, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
FEBRUARY 11, 1999
Mr. GEORGE MILLER of California (for himself, Mr. SPRATT, Mr. RAHALL,
Mr. VENTO, Mr. DEFAZIO, Mr. ABERCROMBIE, Mr. PALLONE, Mrs.
CHRISTIAN-CHRISTENSEN, Mr. KIND, Mr. INSLEE, Mr. UDALL of Colo-
rado, Mr. CROWLEY, Mr. BARRETT of Wisconsin, Ms. KAPTUR, Ms.
DELAURO, Mr. HINCHEY, Mr. FRANK of Massachusetts, Mr. STARK, Mr.
MCDERMOTT, Mr. MCGOVERN, Mr. KUCINICH, Mr. OLVER, Mr. SAND-
ERS, Mr. BROWN of Ohio, Mr. ACKERMAN, Mrs. MALONEY of New York,
Mr. RUSH, Mr. WAXMAN, Mr. DELAHUNT, Mr. TIERNEY, Ms. PELOSI,
Mr. MATSUI, Mr. CLAY, Mr. GREEN of Texas, Mr. KLECZKA, Mr. DIN-
GELL, Mr. BRADY of Pennsylvania, Mr. LEWIS of Georgia, Mr. HASTINGS
of Florida, Ms. SLAUGHTER, Mr. LANTOS, Mr. EVANS, Ms. WOOLSEY,
Mrs. MINK of Hawaii, Mr. TRAFICANT, Mr. GEJDENSON, Mrs. CLAYTON,
Ms. LEE, and Ms. MILLENDER-MCDONALD) introduced the following bill;
which was referred to the Committee on Resources, and in addition to
the Committee on Ways and Means, for a period to be subsequently de-
termined by the Speaker, in each case for consideration of such provisions
as fall within the jurisdiction of the committee concerned
A BILL
To provide certain requirements for labeling textile fiber
products and for duty-free and quota-free treatment of
products of, and to implement minimum wage and immi-
gration requirements in, the Northern Mariana Islands,
and for other purposes.
United States citizens work for the local govern-
ment;
(7) the recruitment of this large, low-cost for-
eign workforce has led to a consistent unemployment
rate of 14.2 percent among United States citizens in
the Northern Mariana Islands compared to 5.6 per-
cent in the United States as a whole;
(8) 35 percent of locally born United States
citizens live below the poverty rate, despite this high
poverty rate every 2.6 local households employ at
least 1 foreign contracted live-in maid;
(9) over $1,000,000,000 worth of garments
made by alien contract workers using mostly foreign-
made fabric entered the United States in 1998,
quota- and duty-free, at a cost to the United States
treasury of $200,000,000;
(10) on February 4, 1999, the Senate of the
Commonwealth of the Northern Mariana Islands
passed legislation to allow up to an additional 2,400
contract workers to be brought into the Northern
Mariana Islands;
(11) article V of section 503 of the Covenant
which established a Commonwealth of the Northern
Mariana Islands provided the Commonwealth of the
Northern Mariana Islands with a temporary exemp-
tion from the minimum wage provisions of the Fair
Labor Standards Act of 1938 in order to assist the
growth of the Islands’ economy;
(12) the economy of the Northern Mariana Is-
lands has grown significantly and, in 1998, the gar-
ment industry alone sent over $1,000,000,000 worth
of garments to the United States mainland; yet the
current minimum wage in the Northern Mariana Is-
lands is as low as $3.05 per hour;
(13) the legislature of the Commonwealth of the
Northern Mariana Islands reversed a law that would
have provided for small, incremental increases in the
minimum wage in the Northern Mariana Islands
until that wage reached the federally mandated
wage;
(14) all workers on United States soil should be
paid a living wage;
(15) garments made in the Northern Mariana
Islands may carry a ‘‘Made in USA’’ label, deceiving
consumers as to the conditions under which the gar-
ments have been made and competing directly with
garments made on the United States mainland by
workers paid a living wage, working in a safe envi-
ronment;
(16) ‘‘sweatshop’’ conditions exist in the North-
ern Mariana Islands, where employers—
(A) provide unsafe and unhealthy working
and living environments;
(B) use bonded and indentured foreign la-
borers;
(C) do not pay wages required under the
Fair Labor Standards Act; and
(D) refuse to recognize the legal rights of
workers to form labor unions without fear of re-
taliation;
(17) the Government of the Commonwealth of
the Northern Mariana Islands has repeatedly re-
fused to raise the wage and living standards for
workers, or to aggressively prosecute labor and
human rights abuses; and
(18) United States Customs agents and Cus-
toms agents of the Commonwealth of the Northern
Mariana Islands are not permitted under current
law to open and inspect cargo containers entering
the Northern Mariana Islands without the owner of
the container present.
SEC. 3. AMENDMENTS.
The Joint Resolution entitled ‘‘Joint Resolution to
approve the ‘Covenant To Establish a Commonwealth of
the Northern Mariana Islands in Political Union with the
United States of America’, and for other purposes’’ ap-
proved March 24, 1976 (48 U.S.C. 1801 et seq.), is
amended—
(1) by adding at the end the following new sec-
tions:
‘‘SEC. 7. LABELING OF TEXTILE FIBER PRODUCTS.
‘‘(a) IN GENERAL.—No textile fiber product shall
have a stamp, tag, label, or other means of identification
or substitute therefor on or affixed to the product stating
‘Made in USA’ or otherwise stating or implying that the
product was made or assembled in the United States
unless—
‘‘(1) each individual providing direct labor in
production of such textile fiber product was paid a
wage equal to or greater than the wage set by sec-
tion 8;
‘‘(2) the product was produced or manufactured
in compliance with all Federal laws relating to labor
rights and working conditions, including, but not
limited to, the National Labor Relations Act, the
Occupational Safety and Health Act of 1970, and
the Fair Labor Standards Act of 1938;
‘‘(3) the factory or other business concern pro-
ducing or manufacturing the product, as certified by
the Secretary of Labor, has full-time employees in
nonmanagerial positions who are citizens or nation-
als of the United States, aliens lawfully admitted
into the United States for permanent residence, citi-
zens of Palau, the Republic of the Marshall Islands,
or the Federated States of Micronesia, aliens admit-
ted into the United States as refugees under section
207 of the Immigration and Nationality Act (8
U.S.C. 1157), or aliens granted asylum in the
United States under section 208 of that Act (8
U.S.C. 1158), in the following percentages: 25 per-
cent within 6 months after the date of the enact-
ment of this section, 50 percent within 1 year after
such date of enactment, and 75 percent within 18
months after such date of enactment; and
‘‘(4) the factory or other business concern pro-
ducing or manufacturing the product does not em-
ploy individuals under conditions of indentured ser-
vitude.
‘‘(b) RESULT OF NONCOMPLIANCE.—A textile fiber
product which is stamped, tagged, labeled, or otherwise
identified in violation of subsection (a) shall be deemed
to be misbranded for purposes of the Textile Fiber Prod-
ucts Identification Act (15 U.S.C. 70 et seq.).
‘‘(c) DEFINITION.—For purposes of this section, the
term ‘direct labor’ includes any work provided to prepare,
assemble, process, package, or transport a textile fiber
product, but does not include supervisory, management,
security, or administrative work.
‘‘SEC. 8. MINIMUM WAGE.
‘‘Section 503(c) of the foregoing Covenant shall be
construed and applied as if it read as follows:
‘‘ ‘(c) The minimum wage provisions of the Fair
Labor Standards Act of 1938 (29 U.S.C. 201 et seq.),
shall apply to the Commonwealth of the Northern Mariana
Islands, except that—
‘‘ ‘(1) through December 31, 1999, the mini-
mum wage applicable to the Commonwealth of the
Northern Mariana Islands shall be $3.55 per hour;
‘‘ ‘(2) on January 1, 2000, and on July 1 and
January 1 of each year thereafter, the minimum
wage applicable to the Commonwealth of the North-
ern Mariana Islands shall be $0.50 per hour more
than the minimum wage that was applicable to the
Commonwealth of the Northern Mariana Islands for
the preceding 6-month period until the minimum
wage applicable to the Commonwealth of the North-
ern Mariana Islands is equal to the minimum wage
rate set forth in section 6(a)(1) of the Fair Labor
Standards Act of 1938; and
‘‘ ‘(3) after the minimum wage applicable to the
Commonwealth of the Northern Mariana Islands is
equal to the minimum wage rate set forth in section
6(a)(1) of the Fair Labor Standards Act of 1938,
pursuant to paragraph (2), the minimum wage ap-
plicable to the Commonwealth of the Northern Mari-
ana Islands shall increase as necessary to remain
equal to the minimum wage rate set forth in section
6(a)(1) of the Fair Labor Standards Act of 1938.’
‘‘SEC. 9. CONDITIONS FOR DUTY-FREE AND QUOTA-FREE
TREATMENT.
‘‘(a) CONDITIONS.—No product of the Northern Mar-
iana Islands may enter the customs territory of the United
States duty-free or not subject to quota as the product
of an insular possession, unless—
‘‘(1) each individual providing direct labor in
production of the product was paid a wage equal to
or greater than the wage set by section 8;
‘‘(2) the product was produced or manufactured
in compliance with all Federal laws relating to labor
rights and working conditions, including, but not
limited to, the National Labor Relations Act, the
‘‘(5) the Commissioner of Customs has certified
that the Commonwealth of the Northern Mariana Is-
lands is taking adequate measures—
‘‘(A) to prevent unlawful transshipment of
goods that is carried out by rerouting, false
declaration concerning country or place of ori-
gin, falsification of documents, evasion of
United States rules of origin, or any other
means; and
‘‘(B) to prevent being used as a transit
point for the shipment of goods in violation of
the Agreement on Textiles and Clothing re-
ferred to in section 101(d)(4) of the Uruguay
Round Agreements Act or any other applicable
trade agreement.
‘‘(b) PENALTIES
AGAINST
EXPORTERS.—If the
President determines, based on sufficient evidence, that
an exporter has willfully falsified information regarding
the country of origin, manufacture, processing, or assem-
bly of a product of the Northern Mariana Islands for
which duty-free or quota-free treatment is claimed, then
the President shall deny to such exporter, and any succes-
sors of such exporter, for a period of 2 years, duty-free
and quota-free treatment for such product.
‘‘(c) DEFINITION.—For purposes of this section, the
term ‘direct labor’ includes any work provided to prepare,
assemble, process, package, or transport a product, but
does not include supervisory, management, security, or ad-
ministrative work.’’; and
(2) by adding after the new sections added by
paragraph (1), the following new section:
‘‘SEC. 10. APPLICABILITY OF IMMIGRATION LAWS.
‘‘Section 506 of the foregoing Covenant shall be con-
strued and applied as if it included at the end the follow-
ing subsection:
‘‘ ‘(e)(1) Subject to paragraphs (2) and (3), the provi-
sions of the Immigration and Nationality Act shall apply
to the Northern Mariana Islands as if the Northern Mari-
ana Islands were a State (as defined in section 101(a)(36)
of such Act), and a part of the United States (as defined
in section 101(a)(38) of such Act). Such Act shall super-
sede and replace all laws, provisions, or programs of the
Commonwealth of the Northern Mariana Islands relating
to the admission and removal of aliens from the Northern
Mariana Islands.
‘‘ ‘(2)(A) Notwithstanding paragraph (1) and subject
to subparagraph (C), if the Secretary of Labor, upon re-
ceipt of a joint recommendation of the Governor and Leg-
islature of the Commonwealth of the Northern Mariana
Islands, finds that exceptional circumstances exist with re-
spect to the inability of employers in the Northern Mari-
ana Islands to obtain sufficient work-authorized labor, the
Attorney General may establish a specific number of em-
ployment-based immigrant visas to be made available dur-
ing the following fiscal year under this paragraph and sec-
tion 203(b) of the Immigration and Nationality Act.
‘‘ ‘(B) Upon notification by the Attorney General that
a number has been established pursuant to subparagraph
(A), the Secretary of State may allocate up to that number
of visas without regard to the numerical limitations set
forth in sections 202 and 203(b)(3)(B) of the Immigration
and Nationality Act. Visa numbers allocated under this
subparagraph shall be allocated first from the number of
visas available under section 203(b)(3) of the Immigration
and Nationality Act, or, if such visa numbers are not avail-
able, from the number of visas available under section
203(b)(5) of such Act.
‘‘ ‘(C) The authority of the Attorney General and the
Secretary of State under subparagraphs (A) and (B) shall
expire at the end of the 4th fiscal year following the first
fiscal year for which the Attorney General establishes a
number pursuant to subparagraph (A).
‘‘ ‘(D) Persons granted employment-based immigrant
visas under this paragraph may be admitted initially at
a port-of-entry in the Northern Mariana Islands, or at a
port-of-entry in Guam, for the purpose of immigrating to
the Northern Mariana Islands, as lawful permanent resi-
dents of the United States.
‘‘ ‘(E) Any immigrant visa issued pursuant to this
paragraph shall be valid only for application for initial ad-
mission to the Northern Mariana Islands. The admission
of any alien pursuant to such an immigrant visa shall be
an admission for lawful permanent residence and employ-
ment only in the Northern Mariana Islands during the
first 3 years after such admission. Such admission shall
not authorize permanent residence or employment in any
other part of the United States during such 3-year period.
An alien admitted for permanent residence pursuant to
this paragraph shall be issued appropriate documentation
identifying the person as having been admitted pursuant
to the terms and conditions of this paragraph, and shall
be required to comply with a system for the registration
and reporting of aliens admitted for permanent residence
under this subsection, to be established by the Attorney
General under chapter 7 of title II of the Immigration and
Nationality Act.
‘‘ ‘(F) Nothing in this paragraph shall preclude an
alien who has obtained lawful permanent resident status
pursuant to this paragraph from applying, if otherwise eli-
gible under this section and under the Immigration and
Nationality Act, for an immigrant visa or admission as
a lawful permanent resident under the Immigration and
Nationality Act.
‘‘ ‘(G) Any alien admitted under this paragraph, who
violates the provisions of this paragraph, or who is found
removable or inadmissible under section 237(a) of the Im-
migration and Nationality Act, or paragraphs (1), (2), (3),
(4)(A), (4)(B), (6), (7), (8), or (9) of section 212(a) of
such Act, shall be removed pursuant to chapter 4 of title
II of such Act.
‘‘ ‘(H) The Attorney General may establish by regula-
tion a procedure by which an alien who has obtained law-
ful permanent resident status pursuant to this paragraph
may apply for a waiver of the limitations on the terms
and conditions of such status. The Attorney General may
grant the application for waiver, in the discretion of the
Attorney General, if: (1) the alien is not in removal pro-
ceedings, (2) the alien has been a person of good moral
character for the preceding 5 years, (3) the alien has not
violated the terms and conditions of the alien’s permanent
resident status, and (4) the alien would suffer exceptional
and extremely unusual hardship were such terms and con-
ditions not waived.
‘‘ ‘(I) The limitations on the terms and conditions of
an alien’s permanent residence set forth in this paragraph
shall expire at the end of 3 years after the alien’s admis-
sion to the Northern Mariana Islands as a permanent resi-
dent and the alien is thereafter fully subject to the provi-
sions of the Immigration and Nationality Act. Following
the expiration of such limitations, the permanent resident
alien may engage in any lawful activity, including employ-
ment, anywhere in the United States.
‘‘ ‘(3)(A) Except as provided in subparagraph (B),
paragraphs (1) and (2) shall take effect after the expira-
tion of the 3-month period beginning on the date of the
enactment of the United States-Commonwealth of the
Northern Marianas Human Dignity Act.
‘‘ ‘(B) With respect to an alien who, as of the last
day of the 3-month period beginning on the date of the
enactment of the United States-Commonwealth of the
Northern Marianas Human Dignity Act, is authorized by
the Government of the Northern Mariana Islands (pursu-
ant to the immigration laws of the Commonwealth of the
Northern Mariana Islands) to enter into and remain tem-
porarily in the Northern Mariana Islands in order to per-
form temporary service or labor in the Northern Mariana
Islands (and any relatives of the alien if, authorized to
accompany or follow to join the alien), paragraphs (1) and
(2) shall apply to the alien beginning after the earlier of
the following dates:
‘‘ ‘(i) The date on which such authorization ex-
pires (such authorization not being subject to exten-
sion or renewal by the Government of the Northern
Mariana Islands after the expiration of the 3-month
period beginning on the date of the enactment of the
United States-Commonwealth of the Northern Mari-
anas Human Dignity Act).
‘‘ ‘(ii) The date that is 2 years after the date of
the enactment of the United States-Commonwealth
of the Northern Marianas Human Dignity Act.
‘‘ ‘(4) When deploying personnel to enforce the provi-
sions of this section, the Attorney General shall coordinate
with, and act in conjunction with, State and local law en-
forcement agencies to ensure that such deployment does
not degrade or compromise the law enforcement capabili-
ties and functions currently performed by immigration of-
ficers.’.’’.
SEC. 4. AUTHORITY OF CUSTOMS SERVICE TO BOARD
SHIPS.
Section 467 of the Tariff Act of 1930 (19 U.S.C.
1467) is amended by striking ‘‘or the Virgin Islands,’’
each place it appears and inserting ‘‘, the Virgin Islands,
or the Commonwealth of the Northern Mariana Islands,’’.
SEC. 5. STUDY; REPORT.
(a) STUDY.—A study shall be conducted of the extent
of human rights violations and labor rights violations in
the Northern Mariana Islands, including the use of forced
or indentured labor, and any efforts being taken by the
Government of the United States or the Government of
the Northern Mariana Islands to address or prohibit such
violations.
(b) REPORT.—Not later than 1 year after the date
of the enactment of this Act, the Secretary of the Interior
shall transmit to the Committee on Resources of the
House of Representatives and the Committee on Energy
and Natural Resources of the Senate a report on the re-
sults of the study required by subsection (a).
(c) CONSULTATION.—Appropriate local government
officials, law enforcement agencies, and nongovernmental
organizations active in instituting and protecting human
and labor rights may be consulted when conducting the
study and preparing the report required by this section.
SEC. 6. EFFECT ON OTHER LAW.
The provisions of the amendments made by para-
graph (1) of section 3 shall be in addition to, but shall
not otherwise modify, the requirements of the Textile
Fiber Products Identification Act (15 U.S.C. 70 et seq.).
SEC. 7. EFFECTIVE DATES.
(a) IN GENERAL.—Except as provided in subsection
(b), the amendments made by this Act shall take effect
30 days after the date of the enactment of this Act.
(b) IMMIGRATION.—
(1) IN
GENERAL.—The amendment made by
paragraph (2) of section 3 shall take effect after the
expiration of the 3-month period beginning on the
date of the enactment of this Act.
(2) EXCEPTION.—With respect to an alien who,
as of the last day of the 3-month period beginning
on the date of the enactment of this Act, is author-
ized by the Government of the Northern Mariana Is-
lands (pursuant to the immigration laws of the Com-
monwealth of the Northern Mariana Islands) to
enter into and remain temporarily in the Northern
Mariana Islands in order to perform temporary serv-
ice or labor in the Northern Mariana Islands (and
any relatives of the alien if, authorized to accompany
or follow to join the alien), such amendment shall
apply to the alien beginning after the earlier of the
following dates:
(A) The date on which such authorization
expires (such authorization not being subject to
extension or renewal by the Government of the
Northern Mariana Islands after the expiration
of the 3-month period beginning on the date of
the enactment of this Act).
(B) The date that is 2 years after the date
of the enactment of this Act.
SEC. 8. AUTHORIZATION OF APPROPRIATIONS.
There are authorized to be appropriated such sums
as may be necessary to carry out the provisions of this
Act.
Æ