[CTC] Another Fast Track vote today

[Arthur Stamoulis]

Washington Trade Daily
Volume 24, Number 96 Thursday, May 14, 2015
Trade Reports International Group
Another TPA Vote Today
Temporarily stalled Trade Promotion Authority legislation will get a second chance today on the
Senate floor after Democrats agreed to dismantle a procedural roadblock they had placed in the way of
President Obama’s quest for the negotiating power he needs to complete two major trade negotiations
(WTD, 5/13/15).
The announcement of a deal to resurrect TPA came a day after pro-trade Senate Democrats voted
against beginning debate on bill that President Obama says he desperately needs to close out negotiations
on the TransPacific Partnership and the TransAtlantic Trade and Investment Partnership agreement.
Democrats agreed yesterday to allow TPA to come to the floor as part of a deal that guarantees a
vote – also today – on a separate customs measure (HR 644) that beefs up US trade enforcement laws
and cracks down on currency manipulation by trade partners. Holding a separate vote on the customs
bill ensures that the currency manipulation provision – which is staunchly opposed by the White House –
does not become a “poison pill” that kills TPA, Senate Majority Leader Mitch McConnell (R-Ky) said.
The Senate also will vote on legislation renewing the African Growth and Opportunity Act and
Generalized System of Preferences programs (HR 1295). Reauthorization of the Trade Adjustment
Assistance program will be added to the TPA bill.
Senate Finance ranking Democrat Ron Wyden (Ore) told reporters that 14 pro-trade Democrats
are now ready to move forward on TPA. Ten of those Democrats were summoned to a hastily-called
White House meeting with President Obama Tuesday after the failed vote.
Rejection sent the White House and pro-TPA Republicans and Democrats scrambling to come up
with a way to resurrect the bill and giving Democrats the opportunity to vote on the other bills. It was
the customs bill – with its tough new enforcement provisions – that was behind pro-trade Democrats’
decision to buck the White House and block TPA, Sen. Wyden said. The group had made up their minds
not to allow TPA to move forward without assurances from the Republican leadership that there would
be a vote on the customs bill.
The Deal
In the deal struck yesterday afternoon, Sen. Wyden and his colleagues got that guarantee. The
Senate will vote today on the customs and trade preferences bills. Both will require a minimum 60 votes
for passage. The Senate will then take another cloture vote on the motion to proceed to the
House-passed revenue measure (HR 1314) that the Senate is using as its vehicle for TPA. Supporters are
expecting no difficulty this time getting the minimum 60 votes now that pro-trade Democrats are on
board.
The cloture vote on the motion to proceed is scheduled for 2 pm. Once the 60-vote threshold is
met, the normal 30-hour post-cloture debate period will be shortened to eight hours – allowing
consideration of the actual bill to begin around 10 pm. Debate, however, is likely to last through next
week. Leader McConnell – in announcing the agreement on the Senate floor yesterday – reiterated his
commitment to an “open” amendment process. Many amendments are expected.
Opponents of TPA are expected to throw up legislative roadblocks at every available opportunity,
according to a Republican leadership aide.
“While this agreement solves a temporary procedural issue, now is when the real work begins,”
Finance Chairman Orrin Hatch (R-Utah) commented yesterday.
The Senate is scheduled to recess at the end of next week for the Memorial Day break. Sen.
Wyden told reporters it is “absolutely essential” to get TPA passed before then.
The House will wait for Senate passage before taking up the bill, Speaker John Boehner (R-Ohio)
page 2 Washington Trade Daily
told reporters yesterday. The Speaker said he believes there is bipartisan support in both chambers for
giving President Obama TPA. House Republicans are continuing to “grow our vote” for TPA, Majority
Whip Steve Scalise (La) said. “The President needs to work to continue to grow his vote,” he added.
But a House Democrat warned yesterday that the trouble President Obama has experienced in
rounding up Democratic votes in the Senate will be much worse in the House. Democratic opposition to
TPA is growing, Rep. Rosa DeLauro (D-Conn) told reporters. She was joined by three Democrats –
Reps. Joe Courtney (Conn), David Scott (Ga) and Filemon Vela (Texas) – who officially announced
their opposition to TPA.
Customs, AGOA, GSP
The Senate will vote today on customs legislation (HR 644) and on a measure renewing trade
preferences programs – the African Growth and Opportunity Act, the US Generalized System of
Preferences and two Haiti trade programs. (see related report in this issue).
The customs measures includes a provision – strongly opposed by the White House – subjecting
currency manipulation to US trade remedy laws.
The unexpected decision to vote on the two bills today – with very little time for debate – came as
part of an agreement unblocking Trade Promotion Authority legislation. Under that agreement, both
bills will be subject to a minimum 60-vote threshold for passage.
That is not expected to be a problem for the trade preferences bill (S 1009), which renews the
popular African Growth and Opportunity Act program for subSaharan African countries for another 10
years – through September 30, 2025. It also retroactively renews the expired Generalized System of
Preferences program through 2017 and two preferences programs for Haiti through 2025.
Currency
Democrats insisted on a vote on the customs measure (S 1015). That bill was made more
controversial when the Finance Committee added a provision that would make currency manipulation a
countervailable subsidy under US trade remedy laws. The White House opposes that provision, claiming
that it could spark tit-for-tit retaliation. But the proposal has strong bipartisan support.
The customs bill also includes of measures aimed at beefing up US trade enforcement that some
members say are needed to convince a public skeptical about trade agreements generally. “It’s not
credible to say you’re pushing for a new trade agreement if people don’t think you’re going to enforce the
laws that are already on the books,” Finance Committee ranking Democrat Ron Wyden (Ore) told
reporters.
Ohio Republican – and former US Trade Representative – Rob Portman said those who want to
increase trade also have to make sure trade is fair. The bill includes provisions that will make it easier for
US companies to get relief from unfair trade practices, he pointed out.
 
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