I 
109TH CONGRESS 
1ST SESSION H. R. 3045 
To implement the Dominican Republic-Central America-United States Free 
Trade Agreement. 
IN THE HOUSE OF REPRESENTATIVES 
JUNE 23, 2005 
Mr. DELAY (for himself and Mr. JEFFERSON) introduced the following bill; 
which was referred to the Committee on Ways and Means 
A BILL 
To implement the Dominican Republic-Central America- 
United States Free Trade Agreement. 
Be it enacted by the Senate and House of Representa-
tives 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 
‘‘Dominican Republic-Central America-United States Free 
Trade Agreement Implementation Act’’. 
(b) TABLE OF CONTENTS.—The table of contents for 
this Act is as follows: 
Sec. 1. Short title; table of contents. 
Sec. 2. Purposes. 
Sec. 3. Definitions.
TITLE I—APPROVAL OF, AND GENERAL PROVISIONS RELATING 
TO, THE AGREEMENT 
Sec. 101. Approval and entry into force of the Agreement. 
Sec. 102. Relationship of the Agreement to United States and State law. 
Sec. 103. Implementing actions in anticipation of entry into force and initial 
regulations. 
Sec. 104. Consultation and layover provisions for, and effective date of, pro-
claimed actions. 
Sec. 105. Administration of dispute settlement proceedings. 
Sec. 106. Arbitration of claims. 
Sec. 107. Effective dates; effect of termination. 
TITLE II—CUSTOMS PROVISIONS 
Sec. 201. Tariff modifications. 
Sec. 202. Additional duties on certain agricultural goods. 
Sec. 203. Rules of origin. 
Sec. 204. Customs user fees. 
Sec. 205. Retroactive application for certain liquidations and reliquidations of 
textile or apparel goods. 
Sec. 206. Disclosure of incorrect information; false certifications of origin; de-
nial of preferential tariff treatment. 
Sec. 207. Reliquidation of entries. 
Sec. 208. Recordkeeping requirements. 
Sec. 209. Enforcement relating to trade in textile or apparel goods. 
Sec. 210. Regulations. 
TITLE III—RELIEF FROM IMPORTS 
Sec. 301. Definitions. 
Subtitle A—Relief From Imports Benefiting From the Agreement 
Sec. 311. Commencing of action for relief. 
Sec. 312. Commission action on petition. 
Sec. 313. Provision of relief. 
Sec. 314. Termination of relief authority. 
Sec. 315. Compensation authority. 
Sec. 316. Confidential business information. 
Subtitle B—Textile and Apparel Safeguard Measures 
Sec. 321. Commencement of action for relief. 
Sec. 322. Determination and provision of relief. 
Sec. 323. Period of relief. 
Sec. 324. Articles exempt from relief. 
Sec. 325. Rate after termination of import relief. 
Sec. 326. Termination of relief authority. 
Sec. 327. Compensation authority. 
Sec. 328. Confidential business information. 
Subtitle C—Cases Under Title II of the Trade Act of 1974 
Sec. 331. Findings and action on goods of CAFTA–DR countries. 
TITLE IV—MISCELLANEOUS
Sec. 401. Eligible products. 
Sec. 402. Modifications to the Caribbean Basin Economic Recovery Act. 
Sec. 403. Periodic reports and meetings on labor obligations and labor capacity- 
building provisions. 
SEC. 2. PURPOSES. 
The purposes of this Act are— 
(1) to approve and implement the Free Trade 
Agreement between the United States, Costa Rica, 
the Dominican Republic, El Salvador, Guatemala, 
Honduras, and Nicaragua entered into under the au-
thority of section 2103(b) of the Bipartisan Trade 
Promotion Authority Act of 2002 (19 U.S.C. 
3803(b)); 
(2) to strengthen and develop economic rela-
tions between the United States, Costa Rica, the 
Dominican Republic, El Salvador, Guatemala, Hon-
duras, and Nicaragua for their mutual benefit; 
(3) to establish free trade between the United 
States, Costa Rica, the Dominican Republic, El Sal-
vador, 
Guatemala, 
Honduras, 
and 
Nicaragua 
through the reduction and elimination of barriers to 
trade in goods and services and to investment; and 
(4) to lay the foundation for further coopera-
tion to expand and enhance the benefits of the 
Agreement. 
SEC. 3. DEFINITIONS. 
In this Act:
(1) 
AGREEMENT.—The 
term 
‘‘Agreement’’ 
means the Dominican Republic-Central America- 
United States Free Trade Agreement approved by 
the Congress under section 101(a)(1). 
(2) CAFTA–DR COUNTRY.—Except as pro-
vided in section 203, the term ‘‘CAFTA–DR coun-
try’’ means— 
(A) Costa Rica, for such time as the 
Agreement is in force between the United 
States and Costa Rica; 
(B) the Dominican Republic, for such time 
as the Agreement is in force between the 
United States and the Dominican Republic; 
(C) El Salvador, for such time as the 
Agreement is in force between the United 
States and El Salvador; 
(D) Guatemala, for such time as the 
Agreement is in force between the United 
States and Guatemala; 
(E) Honduras, for such time as the Agree-
ment is in force between the United States and 
Honduras; and 
(F) Nicaragua, for such time as the Agree-
ment is in force between the United States and 
Nicaragua.
(3) COMMISSION.—The term ‘‘Commission’’ 
means the United States International Trade Com-
mission. 
(4) HTS.—The term ‘‘HTS’’ means the Har-
monized Tariff Schedule of the United States. 
(5) TEXTILE
OR
APPAREL
GOOD.—The term 
‘‘textile or apparel good’’ means a good listed in the 
Annex to the Agreement on Textiles and Clothing 
referred to in section 101(d)(4) of the Uruguay 
Round Agreements Act (19 U.S.C. 3511(d)(4)), 
other than a good listed in Annex 3.29 of the Agree-
ment. 
TITLE 
I—APPROVAL 
OF, 
AND 
GENERAL 
PROVISIONS 
RE-
LATING TO, THE AGREEMENT 
SEC. 101. APPROVAL AND ENTRY INTO FORCE OF THE 
AGREEMENT. 
(a) APPROVAL OF AGREEMENT AND STATEMENT OF 
ADMINISTRATIVE ACTION.—Pursuant to section 2105 of 
the Bipartisan Trade Promotion Authority Act of 2002 
(19 U.S.C. 3805) and section 151 of the Trade Act of 
1974 (19 U.S.C. 2191), the Congress approves— 
(1) the Dominican Republic-Central America- 
United States Free Trade Agreement entered into 
on August 5, 2004, with the Governments of Costa
Rica, the Dominican Republic, El Salvador, Guate-
mala, Honduras, and Nicaragua, and submitted to 
the Congress on June 23, 2005; and 
(2) the statement of administrative action pro-
posed to implement the Agreement that was sub-
mitted to the Congress on June 23, 2005. 
(b) CONDITIONS FOR ENTRY INTO FORCE OF THE 
AGREEMENT.—At such time as the President determines 
that countries listed in subsection (a)(1) have taken meas-
ures necessary to comply with the provisions of the Agree-
ment that are to take effect on the date on which the 
Agreement enters into force, the President is authorized 
to provide for the Agreement to enter into force with re-
spect to those countries that provide for the Agreement 
to enter into force for them. 
SEC. 102. RELATIONSHIP OF THE AGREEMENT TO UNITED 
STATES AND STATE LAW. 
(a) RELATIONSHIP
OF AGREEMENT
TO UNITED 
STATES LAW.— 
(1) UNITED STATES LAW TO PREVAIL IN CON-
FLICT.—No provision of the Agreement, nor the ap-
plication of any such provision to any person or cir-
cumstance, which is inconsistent with any law of the 
United States shall have effect.
(2) CONSTRUCTION.—Nothing in this Act shall 
be construed— 
(A) to amend or modify any law of the 
United States, or 
(B) to limit any authority conferred under 
any law of the United States, 
unless specifically provided for in this Act. 
(b) RELATIONSHIP
OF
AGREEMENT
TO
STATE 
LAW.— 
(1) LEGAL CHALLENGE.—No State law, or the 
application thereof, may be declared invalid as to 
any person or circumstance on the ground that the 
provision or application is inconsistent with the 
Agreement, except in an action brought by the 
United States for the purpose of declaring such law 
or application invalid. 
(2) DEFINITION OF STATE LAW.—For purposes 
of this subsection, the term ‘‘State law’’ includes— 
(A) any law of a political subdivision of a 
State; and 
(B) any State law regulating or taxing the 
business of insurance. 
(c) EFFECT OF AGREEMENT WITH RESPECT TO PRI-
VATE REMEDIES.—No person other than the United 
States—
(1) shall have any cause of action or defense 
under the Agreement or by virtue of congressional 
approval thereof; or 
(2) may challenge, in any action brought under 
any provision of law, any action or inaction by any 
department, agency, or other instrumentality of the 
United States, any State, or any political subdivision 
of a State, on the ground that such action or inac-
tion is inconsistent with the Agreement. 
SEC. 103. IMPLEMENTING ACTIONS IN ANTICIPATION OF 
ENTRY INTO FORCE AND INITIAL REGULA-
TIONS. 
(a) IMPLEMENTING ACTIONS.— 
(1) PROCLAMATION
AUTHORITY.—After the 
date of the enactment of this Act— 
(A) the President may proclaim such ac-
tions, and 
(B) other appropriate officers of the 
United States Government may issue such reg-
ulations, 
as may be necessary to ensure that any provision of 
this Act, or amendment made by this Act, that takes 
effect on the date the Agreement enters into force 
is appropriately implemented on such date, but no 
such proclamation or regulation may have an effec-
tive date earlier than the date the Agreement enters 
into force. 
(2) EFFECTIVE DATE OF CERTAIN PROCLAIMED 
ACTIONS.—Any action proclaimed by the President 
under the authority of this Act that is not subject 
to the consultation and layover provisions under sec-
tion 104 may not take effect before the 15th day 
after the date on which the text of the proclamation 
is published in the Federal Register. 
(3) WAIVER OF 15-DAY RESTRICTION.—The 15- 
day restriction contained in paragraph (2) on the 
taking effect of proclaimed actions is waived to the 
extent that the application of such restriction would 
prevent the taking effect on the date the Agreement 
enters into force of any action proclaimed under this 
section. 
(b) INITIAL REGULATIONS.—Initial regulations nec-
essary or appropriate to carry out the actions required by 
or authorized under this Act or proposed in the statement 
of 
administrative 
action 
submitted 
under 
section 
101(a)(2) to implement the Agreement shall, to the max-
imum extent feasible, be issued within 1 year after the 
date on which the Agreement enters into force. In the case 
of any implementing action that takes effect on a date 
after the date on which the Agreement enters into force,
initial regulations to carry out that action shall, to the 
maximum extent feasible, be issued within 1 year after 
such effective date. 
SEC. 104. CONSULTATION AND LAYOVER PROVISIONS FOR, 
AND EFFECTIVE DATE OF, PROCLAIMED AC-
TIONS. 
If a provision of this Act provides that the implemen-
tation of an action by the President by proclamation is 
subject to the consultation and layover requirements of 
this section, such action may be proclaimed only if— 
(1) the President has obtained advice regarding 
the proposed action from— 
(A) the appropriate advisory committees 
established under section 135 of the Trade Act 
of 1974 (19 U.S.C. 2155); and 
(B) the Commission; 
(2) the President has submitted to the Com-
mittee on Finance of the Senate and the Committee 
on Ways and Means of the House of Representatives 
a report that sets forth— 
(A) the action proposed to be proclaimed 
and the reasons therefor; and 
(B) the advice obtained under paragraph 
(1);
(3) a period of 60 calendar days, beginning on 
the first day on which the requirements set forth in 
paragraphs (1) and (2) have been met has expired; 
and 
(4) the President has consulted with such Com-
mittees regarding the proposed action during the pe-
riod referred to in paragraph (3). 
SEC. 105. ADMINISTRATION OF DISPUTE SETTLEMENT PRO-
CEEDINGS. 
(a) ESTABLISHMENT OR DESIGNATION OF OFFICE.— 
The President is authorized to establish or designate with-
in the Department of Commerce an office that shall be 
responsible for providing administrative assistance to pan-
els established under chapter 20 of the Agreement. The 
office may not be considered to be an agency for purposes 
of section 552 of title 5, United States Code. 
(b) AUTHORIZATION
OF APPROPRIATIONS.—There 
are authorized to be appropriated for each fiscal year after 
fiscal year 2005 to the Department of Commerce such 
sums as may be necessary for the establishment and oper-
ations of the office established or designated under sub-
section (a) and for the payment of the United States share 
of the expenses of panels established under chapter 20 of 
the Agreement.
SEC. 106. ARBITRATION OF CLAIMS. 
The United States is authorized to resolve any claim 
against 
the 
United 
States 
covered 
by 
article 
10.16.1(a)(i)(C) or article 10.16.1(b)(i)(C) of the Agree-
ment, pursuant to the Investor-State Dispute Settlement 
procedures set forth in section B of chapter 10 of the 
Agreement. 
SEC. 107. EFFECTIVE DATES; EFFECT OF TERMINATION. 
(a) EFFECTIVE DATES.—Except as provided in sub-
section (b), the provisions of this Act and the amendments 
made by this Act take effect on the date the Agreement 
enters into force. 
(b) EXCEPTIONS.—Sections 1 through 3 and this 
title take effect on the date of the enactment of this Act. 
(c) TERMINATION OF CAFTA–DR STATUS.—During 
any period in which a country ceases to be a CAFTA– 
DR country, the provisions of this Act (other than this 
subsection) and the amendments made by this Act shall 
cease to have effect with respect to that country. 
(d) TERMINATION
OF
THE AGREEMENT.—On the 
date on which the Agreement ceases to be in force with 
respect to the United States, the provisions of this Act 
(other than this subsection) and the amendments made 
by this Act shall cease to have effect.
TITLE II—CUSTOMS PROVISIONS 
SEC. 201. TARIFF MODIFICATIONS. 
(a) TARIFF MODIFICATIONS PROVIDED FOR IN THE 
AGREEMENT.— 
(1) PROCLAMATION
AUTHORITY.—The Presi-
dent may proclaim— 
(A) such modifications or continuation of 
any duty, 
(B) such continuation of duty-free or ex-
cise treatment, or 
(C) such additional duties, 
as the President determines to be necessary or ap-
propriate to carry out or apply articles 3.3, 3.5, 3.6, 
3.21, 3.26, 3.27, and 3.28, and Annexes 3.3, 3.27, 
and 3.28 of the Agreement. 
(2) EFFECT ON GSP STATUS.—Notwithstanding 
section 502(a)(1) of the Trade Act of 1974 (19 
U.S.C. 2462(a)(1)), the President shall terminate 
the designation of each CAFTA–DR country as a 
beneficiary developing country for purposes of title V 
of the Trade Act of 1974 on the date the Agreement 
enters into force with respect to that country. 
(3) EFFECT ON CBERA STATUS.— 
(A) IN
GENERAL.—Notwithstanding sec-
tion 212(a) of the Caribbean Basin Economic
Recovery Act (19 U.S.C. 2702(a)), the Presi-
dent shall terminate the designation of each 
CAFTA–DR country as a beneficiary country 
for purposes of that Act on the date the Agree-
ment enters into force with respect to that 
country. 
(B) EXCEPTION.—Notwithstanding sub-
paragraph (A), each such country shall be con-
sidered a beneficiary country under section 
212(a) of the Caribbean Basin Economic Re-
covery Act, for purposes of— 
(i) sections 771(7)(G)(ii)(III) and 
771(7)(H) of the Tariff Act of 1930 (19 
U.S.C. 
1677(7)(G)(ii)(III) 
and 
1677(7)(H)); 
(ii) the duty-free treatment provided 
under paragraph 12 of Appendix I of the 
General Notes to the Schedule of the 
United States to Annex 3.3 of the Agree-
ment; and 
(iii) section 274(h)(6)(B) of the Inter-
nal Revenue Code of 1986. 
(b) OTHER TARIFF MODIFICATIONS.—Subject to the 
consultation and layover provisions of section 104, the 
President may proclaim—
(1) such modifications or continuation of any 
duty, 
(2) such modifications as the United States 
may agree to with a CAFTA–DR country regarding 
the staging of any duty treatment set forth in Annex 
3.3 of the Agreement, 
(3) such continuation of duty-free or excise 
treatment, or 
(4) such additional duties, 
as the President determines to be necessary or appropriate 
to maintain the general level of reciprocal and mutually 
advantageous concessions provided for by the Agreement. 
(c) CONVERSION TO AD VALOREM RATES.—For pur-
poses of subsections (a) and (b), with respect to any good 
for which the base rate in the Schedule of the United 
States to Annex 3.3 of the Agreement is a specific or com-
pound rate of duty, the President may substitute for the 
base rate an ad valorem rate that the President deter-
mines to be equivalent to the base rate. 
SEC. 202. ADDITIONAL DUTIES ON CERTAIN AGRICUL-
TURAL GOODS. 
(a) GENERAL PROVISIONS.— 
(1) APPLICABILITY OF SUBSECTION.—This sub-
section applies to additional duties assessed under 
subsection (b).
(2) APPLICABLE NTR (MFN) RATE OF DUTY.— 
For purposes of subsection (b), the term ‘‘applicable 
NTR (MFN) rate of duty’’ means, with respect to 
a safeguard good, a rate of duty that is the lesser 
of— 
(A) the column 1 general rate of duty that 
would, at the time the additional duty is im-
posed under subsection (b), apply to a good 
classifiable in the same 8-digit subheading of 
the HTS as the safeguard good; or 
(B) the column 1 general rate of duty that 
would, on the day before the date on which the 
Agreement enters into force, apply to a good 
classifiable in the same 8-digit subheading of 
the HTS as the safeguard good. 
(3) SCHEDULE RATE OF DUTY.—For purposes 
of subsection (b), the term ‘‘schedule rate of duty’’ 
means, with respect to a safeguard good, the rate of 
duty for that good that is set out in the Schedule 
of the United States to Annex 3.3 of the Agreement. 
(4) SAFEGUARD
GOOD.—In this section, the 
term ‘‘safeguard good’’ means a good— 
(A) that is included in the Schedule of the 
United States to Annex 3.15 of the Agreement;
(B) that qualifies as an originating good 
under section 203, except that operations per-
formed in or material obtained from the United 
States shall be considered as if the operations 
were performed in, and the material was ob-
tained from, a country that is not a party to 
the Agreement; and 
(C) for which a claim for preferential tariff 
treatment under the Agreement has been made. 
(5) EXCEPTIONS.—No additional duty shall be 
assessed on a good under subsection (b) if, at the 
time of entry, the good is subject to import relief 
under— 
(A) subtitle A of title III of this Act; or 
(B) chapter 1 of title II of the Trade Act 
of 1974 (19 U.S.C. 2251 et seq.). 
(6) TERMINATION.—The assessment of an ad-
ditional duty on a good under subsection (b) shall 
cease to apply to that good on the date on which 
duty-free treatment must be provided to that good 
under the Schedule of the United States to Annex 
3.3 of the Agreement. 
(7) NOTICE.—Not later than 60 days after the 
Secretary of the Treasury first assesses an addi-
tional duty in a calendar year on a good under sub-
section (b), the Secretary shall notify the country 
whose good is subject to the additional duty in writ-
ing of such action and shall provide to that country 
data supporting the assessment of the additional 
duty. 
(b) ADDITIONAL DUTIES ON SAFEGUARD GOODS.— 
(1) IN GENERAL.—In addition to any duty pro-
claimed under subsection (a) or (b) of section 201, 
and subject to subsection (a), the Secretary of the 
Treasury shall assess a duty, in the amount deter-
mined under paragraph (2), on a safeguard good of 
a CAFTA–DR country imported into the United 
States in a calendar year if the Secretary determines 
that, prior to such importation, the total volume of 
that safeguard good of such country that is imported 
into the United States in that calendar year exceeds 
130 percent of the volume that is set out for that 
safeguard good in the corresponding year in the 
table for that country contained in Appendix I of the 
General Notes to the Schedule of the United States 
to Annex 3.3 of the Agreement. For purposes of this 
subsection, year 1 in that table corresponds to the 
calendar year in which the Agreement enters into 
force.