Title: Aid for Trade Act of 2019
Policy area: International Affairs

Summary:
Aid for Trade Act of 2019
This bill establishes a body to coordinate the use of U.S. foreign aid to build trade capacity in recipient countries and contains other related provisions.
The President shall establish an interagency task force to improve effectiveness of trade-capacity-building assistance programs. The task force shall have members from relevant executive branch agencies including the Department of State, the Department of Commerce, and the U.S. Trade and Development Agency.
The task force shall (1) review executive branch agency expenditures on trade-capacity-building assistance, and (2) make recommendations to the President as to the appropriate allocations of such funds.
The State Department shall (1) have primary responsibility for overseeing and carrying out such assistance programs, (2) prioritize assistance to certain countries such as those that have consistently supported policies that promote the development of private enterprise, and (3) ensure that the programs are not duplicative.
The bill also establishes that one goal of each mission to a foreign country shall be to (1) identify local barriers to international trade and investment, (2) advise the State Department on trade-capacity-building assistance, and (3) coordinate and supervise trade-capacity-building assistance programs.
The Government Accountability Office shall periodically review the impact of the trade-capacity-assistance programs.

[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2067 Introduced in House (IH)]

<DOC>






116th CONGRESS
  1st Session
                                H. R. 2067

   To improve the coordination of programs to provide trade capacity 
              building assistance, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             April 3, 2019

  Mr. Guest introduced the following bill; which was referred to the 
                      Committee on Foreign Affairs

_______________________________________________________________________

                                 A BILL


 
   To improve the coordination of programs to provide trade capacity 
              building assistance, 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 ``Aid for Trade Act of 2019''.

SEC. 2. FINDINGS.

    Congress makes the following findings:
            (1) Productive international trading relationships are 
        vital to the economic growth and national security of the 
        United States.
            (2) According to the United States Agency for International 
        Development, 11 of America's top 15 trading partners were once 
        recipients of United States foreign assistance, and some of the 
        fastest growing markets are former recipients of United States 
        foreign assistance.
            (3) Stable trading relationships promote security and 
        prosperity, and leadership by the United States in 
        international trade fosters the expansion of open markets and 
        can help level the playing field for United States businesses, 
        workers, and consumers in the global marketplace.
            (4) Programs to provide trade capacity building assistance 
        strengthen good governance, advance rule of law, combat 
        corruption, promote human rights, reduce poverty, and spur 
        economic opportunity.
            (5) Private-sector-led trade and investment are fundamental 
        components of inclusive growth and development. Programs to 
        provide trade capacity building assistance help developing 
        countries to reduce and eliminate nontariff trade barriers that 
        inhibit the ability of such countries to implement trade 
        agreements, participate in the global economy, create jobs and 
        economic opportunity, and reduce poverty.
            (6) Reducing trade transaction costs through trade capacity 
        improvements and trade facilitation reforms will assist United 
        States exporters and small and medium-size enterprises reach 
        new customers in developing countries. Reducing these costs 
        through trade facilitation reforms will assist developing 
        country businesses to trade and invest with each other and take 
        advantage of global supply and value chains.
            (7) According to the United States Trade Representative, 
        ``the United States is one of the largest single-country 
        providers of trade-related assistance'' (also called trade 
        capacity building assistance or ``Aid for Trade'').
            (8) At the 9th Ministerial of the World Trade Organization 
        in Bali, Indonesia, in December 2013, the 159 members of the 
        World Trade Organization (WTO) concluded the Trade Facilitation 
        Agreement (TFA), the first global WTO trade agreement in 20 
        years. WTO members amended the WTO agreements to include the 
        TFA on November 27, 2014, and opened it for acceptance by WTO 
        members. The TFA entered into force on February 22, 2017, after 
        ratification by two-thirds of the WTO membership.
            (9) The TFA includes measures and obligations designed to 
        streamline customs procedures, increase customs transparency, 
        and speed the flow of goods across borders.
            (10) According to the Organization for Economic Cooperation 
        and Development (OECD), full implementation of the TFA could 
        reduce trade costs by as much as an estimated 16.5 percent of 
        low income countries, 17 percent for lower-middle income 
        countries, 14.6 percent for upper-middle income countries, and 
        11.8 percent for OECD countries.
            (11) The OECD has noted that trade barriers created by 
        ineffective policies and burdensome rules and procedures can 
        incentivize corrupt business practices, and therefore all 
        relevant stakeholders have an interest in supporting efforts to 
        streamline trade regulation and reduce non-tariff barriers.
            (12) The TFA requires developing countries to identify 
        impediments to trade facilitation and commits developed 
        countries to assist developing countries' efforts to come into 
        compliance with the obligations of the TFA.
            (13) The United States is the largest provider of trade 
        capacity building assistance in the world, according to the 
        United States Agency for International Development. In 2017, 
        the United States Government obligated nearly $1,100,000,000 in 
        trade capacity building efforts in over 130 countries, which 
        were implemented by more than a dozen United States Government 
        departments and agencies.
            (14) There is no single coordinating agency for trade 
        capacity building activities in the United States Government. 
        Each agency has its own processes for ensuring proper and 
        effective programming of its appropriated funds.
            (15) A clear, whole-of-government strategy is needed to 
        leverage and coordinate limited trade capacity funds to 
        implement the TFA, advance productive international trading 
        relationships for United States businesses, workers, consumers, 
        foreign trading partners, and promote inclusive economic growth 
        and opportunity in developing countries.

SEC. 3. DEFINITIONS.

    In this Act:
            (1) Appropriate congressional committees.--The term 
        ``appropriate congressional committees'' means--
                    (A) the Committee on Foreign Affairs, the Committee 
                on Ways and Means, and the Committee on Appropriations 
                of the House of Representatives; and
                    (B) the Committee on Foreign Relations, the 
                Committee on Finance, and the Committee on 
                Appropriations of the Senate.
            (2) Private sector.--The term ``private sector'' means for-
        profit United States businesses and not-for-profit entities.
            (3) Trade capacity building assistance.--The term ``trade 
        capacity building assistance'' means United States bilateral, 
        regional, or multilateral assistance, the primary purpose of 
        which is to support the following activities for developing 
        countries:
                    (A) Technical assistance to assist in acceding, 
                implementing, and adhering to international trade 
                agreements, including trade policy development, trade 
                negotiations assistance, administrative management of 
                trade obligations, regulatory reform related to trade 
                agreements, and trade-related education.
                    (B) Technical assistance to improve governance and 
                transparency with respect to imports, exports, and 
                international investment, including improvement of the 
                investment climate and investor protections.
                    (C) Technical assistance to enable micro-, small-, 
                and medium-size enterprises to trade and access markets 
                more efficiently.
                    (D) Technical assistance to establish and implement 
                internationally recognized standards.
                    (E) Assistance to reduce nontariff barriers to 
                trade at national borders, including technical 
                assistance to reform and modernize customs operations 
                and procedures and to expedite the movement, release, 
                and clearance of goods, including goods in transit.
                    (F) Assistance that will contribute directly and 
                substantially to facilitating trade flows.
            (4) Relevant executive branch agencies.--The term 
        ``relevant executive branch agencies'' means any Federal 
        department or agency that the President determines to be 
        substantially involved in programs to provide trade capacity 
        building assistance.

SEC. 4. STATEMENT OF POLICY.

    It is the policy of the United States to--
            (1) set strategic priorities for the efficient use of 
        programs to provide trade capacity building assistance;
            (2) build self-sustaining institutional capacity in 
        developing countries for expanding international trade to 
        accelerate inclusive, broad-based economic growth, poverty 
        reduction, and development, consistent with international 
        obligations and commitments; and
            (3) further the national interests of the United States 
        by--
                    (A) expanding prosperity through the elimination of 
                barriers to trade and investment in developing 
                countries;
                    (B) assisting developing country trading partners 
                to identify and reduce barriers to the movement of 
                goods in international commerce and to investment;
                    (C) assisting developing country trading partners 
                in undertaking reforms that will encourage economic 
                growth and development; and
                    (D) supporting businesses in developing countries 
                to engage in reform efforts to increase trade and 
                investment, and integrate into global supply chains.

SEC. 5. COORDINATION AND SUPERVISION OF PROGRAMS TO PROVIDE TRADE 
              CAPACITY BUILDING ASSISTANCE.

    (a) In General.--Notwithstanding any other provision of law, the 
Secretary of State, in consultation with the Administrator of the 
United States Agency for International Development and the United 
States Trade Representative, shall--
            (1) have primary responsibility for overseeing and carrying 
        out programs to provide trade capacity building assistance;
            (2) give priority to programs to provide such assistance 
        for any developing country that--
                    (A) has demonstrated progress in, and a commitment 
                to, implementing the commitments under the World Trade 
                Organization's Trade Facilitation Agreement, including 
                the establishment and maintenance of a national 
                committee on trade facilitation and other relevant 
                trade obligations and commitments, taking into accounts 
                the country's capacity building assistance needs;
                    (B) has demonstrated consistent support for 
                economic policies that promote the development of 
                private enterprise;
                    (C) has expressed an interest in entering into a 
                free trade agreement with the United States;
                    (D) is designated by the President--
                            (i) as an eligible sub-Saharan African 
                        country under the African Growth and 
                        Opportunity Act (19 U.S.C. 3703); or
                            (ii) as a beneficiary developing country 
                        under section 502 or 506A of the Trade Act of 
                        1974 (19 U.S.C. 2462 or 2466a); or
                    (E) has the potential to benefit the private sector 
                and United States economy if such assistance is 
                provided to the developing country; and
            (3) ensure that programs to provide trade capacity building 
        assistance by relevant executive branch agencies are coordinate 
        and not duplicated.
    (b) Interagency Task Force on Trade Capacity Building.--
            (1) Establishment.--Not later than 60 days after the date 
        of enactment of this Act, the President shall establish an 
        interagency task force to improve the effectiveness and 
        efficiency of programs to provide trade capacity building 
        assistance.
            (2) Chairperson; vice chairperson.--The Secretary of State, 
        or the Secretary's designee, shall serve as chairperson of the 
        interagency task force. The Administrator of the United States 
        Agency for International Development, or the Administrator's 
        designee, and the United States Trade Representative, or the 
        Trade Representative's designee, and shall serve as vice 
        chairpersons of the interagency task force.
            (3) Membership.--The President shall appoint to the 
        interagency task force senior officials of--
                    (A) the Department of Commerce;
                    (B) the Department of Agriculture;
                    (C) the Department of the Treasury;
                    (D) the Department of Homeland Security, including 
                at least one such senior official of U.S. Customs and 
                Border Protection;
                    (E) the Millennium Challenge Corporation;
                    (F) the United States Trade and Development Agency; 
                and
                    (G) other relevant executive branch agencies.
            (4) Budget review and recommendation authority.--The 
        interagency task force, in coordination with the Director of 
        the Office of Management and Budget, shall--
                    (A) review the expenditures of each of relevant 
                executive branch agency with respect to programs to 
                provide trade capacity building assistance; and
                    (B) report and make recommendations to the 
                President on appropriate budget allocations to each 
                such relevant executive branch agency with respect to 
                programs to provide trade capacity building assistance.
            (5) Joint strategic plan.--The interagency task force, in 
        consultation with relevant chiefs of mission and 
        representatives of the private sector, shall develop a biennial 
        joint strategic plan for programs to provide trade capacity 
        building assistance that establishes detailed and clear 
        objectives, common metrics, and specific goals for the 
        efficient delivery of such assistance, including--
                    (A) improving the effectiveness and efficiency of 
                such assistance by improving coordination among--
                            (i) relevant executive branch agencies, 
                        including diplomatic missions of the United 
                        States; and
                            (ii) international trade capacity building 
                        and technical assistance donors, including 
                        efforts to promote the best use of resources 
                        and avoid duplication, to share best practices, 
                        and to pursue regional solutions and common 
                        approaches, as appropriate;
                    (B) improving consultation with the private sector 
                to incorporate its operational expertise and experience 
                with respect to the full range of trade barriers in 
                developing countries and setting priorities and target 
                particular barriers for reform;
                    (C) identifying and addressing structural 
                weaknesses, systemic flaws, or other impediments to the 
                effectiveness of such assistance across the relevant 
                executive branch agencies with actionable 
                recommendations to address such weaknesses, flaws, or 
                other impediments;
                    (D) setting priorities for such assistance to focus 
                resources on developing countries in which such 
                assistance can deliver the best value in identifying 
                and eliminating barriers to trade and investment in 
                such developing countries, including by fostering 
                adherence to international trade obligations;
                    (E) developing appropriate performance measures and 
                establishing yearly targets to monitor and assess 
                progress toward such targets, including measures to 
                terminate unsuccessful programs; and
                    (F) providing estimates of the resources necessary 
                to fulfill the priorities identified by the interagency 
                committee.
            (6) Report.--Not later than one year after the date of the 
        enactment of this Act, and biennially thereafter until the 
        termination of the interagency task force under subsection (d), 
        the task force shall submit to the President and the 
        appropriate congressional committees a report that contains--
                    (A) the joint strategic plan required under 
                paragraph (5); and
                    (B) as appropriate, recommendations for changes to 
                programs to provide trade capacity building assistance, 
                including with respect to priorities for funding of 
                such assistance.
    (c) Consistency With Other Trade Obligations.--The interagency task 
force shall ensure that the joint strategic plan required under 
subsection (b)(5) is consistent with the international trade 
obligations of the United States.
    (d) Termination.--The President may terminate the interagency task 
force shall after the submission of the second report required under 
subsection (b)(6).

SEC. 6. MISSION RESPONSIBILITIES.

    Section 207 of the Foreign Service Act of 1980 (22 U.S.C. 3927) is 
amended by adding at the end the following new subsection:
    ``(d) Trade Capacity Building Assistance.--
            ``(1) In general.--Each chief of mission to a developing 
        country shall, working with the private sector and government 
        of such country, as appropriate--
                    ``(A) identify local country barriers to 
                international trade and investment;
                    ``(B) advise the Secretary of State on the best use 
                of trade capacity building assistance in such country; 
                and
                    ``(C) coordinate and supervise programs to provide 
                trade capacity building assistance by relevant 
                executive branch agencies present in such country 
                (except for assistance under the control of a United 
                States area military commander).
            ``(2) Definitions.--In this subsection, the terms `trade 
        capacity building assistance' and `relevant executive branch 
        agencies' have the meaning given such terms in section 3 of the 
        Aid for Trade Act of 2019.''.

SEC. 7. LIMITATIONS AND CONFORMING MEASURES.

    (a) Rule of Construction.--This Act, and the amendments made by 
this Act, shall be implemented in a manner consistent with the duties 
and responsibilities of the Office of the United States Trade 
Representative as the agency with primary responsibility for 
developing, and for coordinating the implementation of, United States 
international trade policy under section 141 of the Trade Act of 1974 
(19 U.S.C. 2171).
    (b) Exception, Qualification.--Section 660(b) of the Foreign 
Assistance Act of 1961 (22 U.S.C. 2420(b)) is amended--
            (1) in paragraph (4), by striking ``or'' at the end;
            (2) by moving the margin of paragraph (7) two ems to the 
        left;
            (3) in paragraph (7), as so amended, by striking the period 
        at the end and inserting ``; or''; and
            (4) by inserting after paragraph (7), as so amended, the 
        following new paragraph:
            ``(8) with respect to programs to provide trade capacity 
        building assistance (as such term is defined in section 3 of 
        the Aid for Trade Act of 2019), including training and 
        technical assistance, provided to customs and transportation 
        authorities and personnel in developing countries.''.

SEC. 8. REPORT BY THE COMPTROLLER GENERAL OF THE UNITED STATES.

    (a) In General.--Not later than 2 years and 4 years after the date 
of the enactment of this Act, the Comptroller General of the United 
States shall submit to the appropriate committees a report on programs 
to provide trade capacity building assistance.
    (b) Matters To Be Included.--The report required under subsection 
(a) shall include the following:
            (1) A review of the implementation of the joint strategic 
        plan required under section 5(b)(5).
            (2) A description of interagency efforts to improve 
        coordination and effectiveness of programs to provide trade 
        capacity building assistance, including collaboration with the 
        private sector, sharing of best practices, the development of 
        common performance metrics, and efforts to reduce duplication.
            (3) What is known about the impact of trade capacity 
        assistance in supporting developing countries' efforts to 
        implement the World Trade Organization's Trade Facilitation 
        Agreement and advance the policy described in section 4.
            (4) What is known about progress made in working with donor 
        countries to coordinate trade capacity building donor 
        activities to ensure the effectiveness and reduce duplication 
        of trade capacity building assistance activities.
            (5) Recommendations to improve programs to provide trade 
        capacity building assistance.
                                 <all>