HR 5724 IHCommentsClose CommentsPermalink

To implement the United States-Colombia Trade Promotion Agreement.CommentsClose CommentsPermalink

April 8, 2008

Mr. HOYER (for himself and Mr. BOEHNER) (both by request): introduced the following bill; which was referred to the Committee on Ways and MeansCommentsClose CommentsPermalink

To implement the United States-Colombia Trade Promotion Agreement.CommentsClose CommentsPermalink

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,CommentsClose CommentsPermalink

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

(a) Short Title- This Act may be cited as the `United States-Colombia Trade Promotion Agreement Implementation Act'.CommentsClose CommentsPermalink





(b) Table of Contents- The table of contents for this Act is as follows:CommentsClose CommentsPermalink





Sec. 1. Short title; table of contents.CommentsClose CommentsPermalink





Sec. 2. Purposes.CommentsClose CommentsPermalink





Sec. 3. Definitions.CommentsClose CommentsPermalink

TITLE I--APPROVAL OF, AND GENERAL PROVISIONS RELATING TO, THE AGREEMENT

Sec. 101. Approval and entry into force of the Agreement.CommentsClose CommentsPermalink





Sec. 102. Relationship of the Agreement to United States and State law.CommentsClose CommentsPermalink





Sec. 103. Implementing actions in anticipation of entry into force and initial regulations.CommentsClose CommentsPermalink





Sec. 104. Consultation and layover provisions for, and effective date of, proclaimed actions.CommentsClose CommentsPermalink





Sec. 105. Administration of dispute settlement proceedings.CommentsClose CommentsPermalink





Sec. 106. Arbitration of claims.CommentsClose CommentsPermalink





Sec. 107. Effective dates; effect of termination.CommentsClose CommentsPermalink

TITLE II--CUSTOMS PROVISIONS

Sec. 201. Tariff modifications.CommentsClose CommentsPermalink





Sec. 202. Additional duties on certain agricultural goods.CommentsClose CommentsPermalink





Sec. 203. Rules of origin.CommentsClose CommentsPermalink





Sec. 204. Customs user fees.CommentsClose CommentsPermalink





Sec. 205. Disclosure of incorrect information; false certifications of origin; denial of preferential tariff treatment.CommentsClose CommentsPermalink





Sec. 206. Reliquidation of entries.CommentsClose CommentsPermalink





Sec. 207. Recordkeeping requirements.CommentsClose CommentsPermalink





Sec. 208. Enforcement relating to trade in textile or apparel goods.CommentsClose CommentsPermalink





Sec. 209. Regulations.CommentsClose CommentsPermalink

TITLE III--RELIEF FROM IMPORTS

Sec. 301. Definitions.CommentsClose CommentsPermalink

Subtitle A--Relief From Imports Benefiting From the Agreement

Sec. 311. Commencing of action for relief.CommentsClose CommentsPermalink





Sec. 312. Commission action on petition.CommentsClose CommentsPermalink





Sec. 313. Provision of relief.CommentsClose CommentsPermalink





Sec. 314. Termination of relief authority.CommentsClose CommentsPermalink





Sec. 315. Compensation authority.CommentsClose CommentsPermalink





Sec. 316. Confidential business information.CommentsClose CommentsPermalink

Subtitle B--Textile and Apparel Safeguard Measures

Sec. 321. Commencement of action for relief.CommentsClose CommentsPermalink





Sec. 322. Determination and provision of relief.CommentsClose CommentsPermalink





Sec. 323. Period of relief.CommentsClose CommentsPermalink





Sec. 324. Articles exempt from relief.CommentsClose CommentsPermalink





Sec. 325. Rate after termination of import relief.CommentsClose CommentsPermalink





Sec. 326. Termination of relief authority.CommentsClose CommentsPermalink





Sec. 327. Compensation authority.CommentsClose CommentsPermalink





Sec. 328. Confidential business information.CommentsClose CommentsPermalink

Subtitle C--Cases Under Title II of the Trade Act of 1974

Sec. 331. Findings and action on goods of Colombia.CommentsClose CommentsPermalink

TITLE IV--PROCUREMENT

Sec. 401. Eligible products.CommentsClose CommentsPermalink

TITLE V--OFFSETS

Sec. 501. Customs user fees.CommentsClose CommentsPermalink





Sec. 502. Time for payment of corporate estimated taxes.CommentsClose CommentsPermalink

SEC. 2. PURPOSES.

The purposes of this Act are--CommentsClose CommentsPermalink





(1) to approve and implement the free trade agreement between the United States and Colombia entered into under the authority of section 2103(b) of the Bipartisan Trade Promotion Authority Act of 2002 (19 U.S.C. 3803(b));CommentsClose CommentsPermalink





(2) to strengthen and develop economic relations between the United States and Colombia for their mutual benefit;CommentsClose CommentsPermalink





(3) to establish free trade between the United States and Colombia through the reduction and elimination of barriers to trade in goods and services and to investment; andCommentsClose CommentsPermalink





(4) to lay the foundation for further cooperation to expand and enhance the benefits of the Agreement.CommentsClose CommentsPermalink

SEC. 3. DEFINITIONS.

In this Act:CommentsClose CommentsPermalink





(1) AGREEMENT- The term `Agreement' means the United States-Colombia Trade Promotion Agreement approved by Congress under section 101(a)(1).CommentsClose CommentsPermalink





(2) COMMISSION- The term `Commission' means the United States International Trade Commission.CommentsClose CommentsPermalink





(3) HTS- The term `HTS' means the Harmonized Tariff Schedule of the United States.CommentsClose CommentsPermalink





(4) 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-C of the Agreement.CommentsClose CommentsPermalink

TITLE I--APPROVAL OF, AND GENERAL PROVISIONS RELATING 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), Congress approves--CommentsClose CommentsPermalink





(1) the United States-Colombia Trade Promotion Agreement entered into on November 22, 2006, with the Government of Colombia, as amended on June 28, 2007, by the United States and Colombia, and submitted to Congress on April 8, 2008; andCommentsClose CommentsPermalink





(2) the statement of administrative action proposed to implement the Agreement that was submitted to Congress on April 8, 2008.CommentsClose CommentsPermalink





(b) Conditions for Entry Into Force of the Agreement- At such time as the President determines that Colombia has taken measures necessary to comply with those provisions of the Agreement that are to take effect on the date on which the Agreement enters into force, the President is authorized to exchange notes with the Government of Colombia providing for the entry into force, on or after January 1, 2009, of the Agreement with respect to the United States.CommentsClose CommentsPermalink

SEC. 102. RELATIONSHIP OF THE AGREEMENT TO UNITED STATES AND STATE LAW.

(a) Relationship of Agreement to United States Law-CommentsClose CommentsPermalink





(1) UNITED STATES LAW TO PREVAIL IN CONFLICT- No provision of the Agreement, nor the application of any such provision to any person or circumstance, which is inconsistent with any law of the United States shall have effect.CommentsClose CommentsPermalink





(2) CONSTRUCTION- Nothing in this Act shall be construed--CommentsClose CommentsPermalink





(A) to amend or modify any law of the United States; orCommentsClose CommentsPermalink





(B) to limit any authority conferred under any law of the United States,CommentsClose CommentsPermalink





unless specifically provided for in this Act.CommentsClose CommentsPermalink





(b) Relationship of Agreement to State Law-CommentsClose CommentsPermalink





(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.CommentsClose CommentsPermalink





(2) DEFINITION OF STATE LAW- For purposes of this subsection, the term `State law' includes--CommentsClose CommentsPermalink





(A) any law of a political subdivision of a State; andCommentsClose CommentsPermalink





(B) any State law regulating or taxing the business of insurance.CommentsClose CommentsPermalink





(c) Effect of Agreement With Respect to Private Remedies- No person other than the United States--CommentsClose CommentsPermalink





(1) shall have any cause of action or defense under the Agreement or by virtue of congressional approval thereof; orCommentsClose CommentsPermalink





(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 inaction is inconsistent with the Agreement.CommentsClose CommentsPermalink

SEC. 103. IMPLEMENTING ACTIONS IN ANTICIPATION OF ENTRY INTO FORCE AND INITIAL REGULATIONS.

(a) Implementing Actions-CommentsClose CommentsPermalink





(1) PROCLAMATION AUTHORITY- After the date of the enactment of this Act--CommentsClose CommentsPermalink





(A) the President may proclaim such actions, andCommentsClose CommentsPermalink





(B) other appropriate officers of the United States Government may issue such regulations,CommentsClose CommentsPermalink





as may be necessary to ensure that any provision of this Act, or amendment made by this Act, that takes effect on the date on which the Agreement enters into force is appropriately implemented on such date, but no such proclamation or regulation may have an effective date earlier than the date on which the Agreement enters into force.CommentsClose CommentsPermalink





(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 section 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.CommentsClose CommentsPermalink





(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.CommentsClose CommentsPermalink





(b) Initial Regulations- Initial regulations necessary 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 maximum 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.CommentsClose CommentsPermalink

SEC. 104. CONSULTATION AND LAYOVER PROVISIONS FOR, AND EFFECTIVE DATE OF, PROCLAIMED ACTIONS.

If a provision of this Act provides that the implementation 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--CommentsClose CommentsPermalink





(1) the President has obtained advice regarding the proposed action from--CommentsClose CommentsPermalink





(A) the appropriate advisory committees established under section 135 of the Trade Act of 1974 (19 U.S.C. 2155); andCommentsClose CommentsPermalink





(B) the Commission;CommentsClose CommentsPermalink





(2) the President has submitted to the Committee on Finance of the Senate and the Committee on Ways and Means of the House of Representatives a report that sets forth--CommentsClose CommentsPermalink





(A) the action proposed to be proclaimed and the reasons therefor; andCommentsClose CommentsPermalink





(B) the advice obtained under paragraph (1);CommentsClose CommentsPermalink





(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; andCommentsClose CommentsPermalink





(4) the President has consulted with the committees referred to in paragraph (2) regarding the proposed action during the period referred to in paragraph (3).CommentsClose CommentsPermalink

SEC. 105. ADMINISTRATION OF DISPUTE SETTLEMENT PROCEEDINGS.

(a) Establishment or Designation of Office- The President is authorized to establish or designate within the Department of Commerce an office that shall be responsible for providing administrative assistance to panels established under chapter 21 of the Agreement. The office shall not be considered to be an agency for purposes of section 552 of title 5, United States Code.CommentsClose CommentsPermalink





(b) Authorization of Appropriations- There are authorized to be appropriated for each fiscal year after fiscal year 2008 to the Department of Commerce such sums as may be necessary for the establishment and operations of the office established or designated under subsection (a) and for the payment of the United States share of the expenses of panels established under chapter 21 of the Agreement.CommentsClose CommentsPermalink

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 Agreement, pursuant to the Investor-State Dispute Settlement procedures set forth in section B of chapter 10 of the Agreement.CommentsClose CommentsPermalink

SEC. 107. EFFECTIVE DATES; EFFECT OF TERMINATION.

(a) Effective Dates- Except as provided in subsection (b), this Act and the amendments made by this Act take effect on the date on which the Agreement enters into force.CommentsClose CommentsPermalink





(b) Exceptions- Sections 1 through 3 and this title take effect on the date of the enactment of this Act.CommentsClose CommentsPermalink





(c) Termination of the Agreement- On the date on which the Agreement terminates, this Act (other than this subsection) and the amendments made by this Act shall cease to have effect.CommentsClose CommentsPermalink

TITLE II--CUSTOMS PROVISIONS

SEC. 201. TARIFF MODIFICATIONS.

(a) Tariff Modifications Provided for in the Agreement-CommentsClose CommentsPermalink





(1) PROCLAMATION AUTHORITY- The President may proclaim--CommentsClose CommentsPermalink





(A) such modifications or continuation of any duty,CommentsClose CommentsPermalink





(B) such continuation of duty-free or excise treatment, orCommentsClose CommentsPermalink





(C) such additional duties,CommentsClose CommentsPermalink





as the President determines to be necessary or appropriate to carry out or apply articles 2.3, 2.5, 2.6, 3.3.13, and Annex 2.3 of the Agreement.CommentsClose CommentsPermalink





(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, on the date on which the Agreement enters into force, terminate the designation of Colombia as a beneficiary developing country for purposes of title V of the Trade Act of 1974 (19 U.S.C. 2461 et seq.).CommentsClose CommentsPermalink





(b) Other Tariff Modifications- Subject to the consultation and layover provisions of section 104, the President may proclaim--CommentsClose CommentsPermalink





(1) such modifications or continuation of any duty,CommentsClose CommentsPermalink





(2) such modifications as the United States may agree to with Colombia regarding the staging of any duty treatment set forth in Annex 2.3 of the Agreement,CommentsClose CommentsPermalink





(3) such continuation of duty-free or excise treatment, orCommentsClose CommentsPermalink





(4) such additional duties,CommentsClose CommentsPermalink





as the President determines to be necessary or appropriate to maintain the general level of reciprocal and mutually advantageous concessions with respect to Colombia provided for by the Agreement.CommentsClose CommentsPermalink





(c) Conversion to Ad Valorem Rates- For purposes of subsections (a) and (b), with respect to any good for which the base rate in the Schedule of the United States to Annex 2.3 of the Agreement is a specific or compound rate of duty, the President may substitute for the base rate an ad valorem rate that the President determines to be equivalent to the base rate.CommentsClose CommentsPermalink





(d) Tariff Rate Quotas- In implementing the tariff rate quotas set forth in Appendix I to the Schedule of the United States to Annex 2.3 of the Agreement, the President shall take such action as may be necessary to ensure that imports of agricultural goods do not disrupt the orderly marketing of commodities in the United States.CommentsClose CommentsPermalink

SEC. 202. ADDITIONAL DUTIES ON CERTAIN AGRICULTURAL GOODS.

(a) Definitions- In this section:CommentsClose CommentsPermalink





(1) APPLICABLE NTR (MFN) RATE OF DUTY- The term `applicable NTR (MFN) rate of duty' means, with respect to a safeguard good, a rate of duty equal to the lowest of--CommentsClose CommentsPermalink





(A) the base rate in the Schedule of the United States to Annex 2.3 of the Agreement;CommentsClose CommentsPermalink





(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; orCommentsClose CommentsPermalink





(C) the column 1 general rate of duty that would, at the time the additional duty is imposed under subsection (b), apply to a good classifiable in the same 8-digit subheading of the HTS as the safeguard good.CommentsClose CommentsPermalink





(2) SCHEDULE RATE OF DUTY- The term `schedule rate of duty' means, with respect to a safeguard good, the rate of duty for that good that is set forth in the Schedule of the United States to Annex 2.3 of the Agreement.CommentsClose CommentsPermalink





(3) SAFEGUARD GOOD- The term `safeguard good' means a good--CommentsClose CommentsPermalink





(A) that is included in the Schedule of the United States to Annex 2.18 of the Agreement;CommentsClose CommentsPermalink





(B) that qualifies as an originating good under section 203, except that operations performed in or material obtained from the United States shall be considered as if the operations were performed in, and the material was obtained from, a country that is not a party to the Agreement; andCommentsClose CommentsPermalink





(C) for which a claim for preferential tariff treatment under the Agreement has been made.CommentsClose CommentsPermalink





(b) Additional Duties on Safeguard Goods-CommentsClose CommentsPermalink





(1) IN GENERAL- In addition to any duty proclaimed under subsection (a) or (b) of section 201, the Secretary of the Treasury shall assess a duty, in the amount determined under paragraph (2), on a safeguard good 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 that is imported into the United States in that calendar year exceeds 140 percent of the volume that is provided for that safeguard good in the corresponding year in the applicable table contained in Appendix I of the General Notes to the Schedule of the United States to Annex 2.3 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.CommentsClose CommentsPermalink





(2) CALCULATION OF ADDITIONAL DUTY- The additional duty on a safeguard good under this subsection shall be--CommentsClose CommentsPermalink





(A) in years 1 through 4, an amount equal to 100 percent of the excess of the applicable NTR (MFN) rate of duty over the schedule rate of duty;CommentsClose CommentsPermalink





(B) in years 5 through 7, an amount equal to 75 percent of the excess of the applicable NTR (MFN) rate of duty over the schedule rate of duty; andCommentsClose CommentsPermalink





(C) in years 8 through 9, an amount equal to 50 percent of the excess of the applicable NTR (MFN) rate of duty over the schedule rate of duty.CommentsClose CommentsPermalink





(3) NOTICE- Not later than 60 days after the Secretary of the Treasury first assesses an additional duty in a calendar year on a good under this subsection, the Secretary shall notify the Government of Colombia in writing of such action and shall provide to that Government data supporting the assessment of the additional duty.CommentsClose CommentsPermalink





(c) 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--CommentsClose CommentsPermalink





(1) subtitle A of title III of this Act; orCommentsClose CommentsPermalink





(2) chapter 1 of title II of the Trade Act of 1974 (19 U.S.C. 2251 et seq.).CommentsClose CommentsPermalink





(d) Termination- The assessment of an additional 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 2.3 of the Agreement.CommentsClose CommentsPermalink

SEC. 203. RULES OF ORIGIN.

(a) Application and Interpretation- In this section:CommentsClose CommentsPermalink





(1) TARIFF CLASSIFICATION- The basis for any tariff classification is the HTS.CommentsClose CommentsPermalink





(2) REFERENCE TO HTS- Whenever in this section there is a reference to a chapter, heading, or subheading, such reference shall be a reference to a chapter, heading, or subheading of the HTS.CommentsClose CommentsPermalink





(3) COST OR VALUE- Any cost or value referred to in this section shall be recorded and maintained in accordance with the generally accepted accounting principles applicable in the territory of the country in which the good is produced (whether Colombia or the United States).CommentsClose CommentsPermalink





(b) Originating Goods- For purposes of this Act and for purposes of implementing the preferential tariff treatment provided for under the Agreement, except as otherwise provided in this section, a good is an originating good if--CommentsClose CommentsPermalink





(1) the good is a good wholly obtained or produced entirely in the territory of Colombia, the United States, or both;CommentsClose CommentsPermalink





(2) the good--CommentsClose CommentsPermalink





(A) is produced entirely in the territory of Colombia, the United States, or both, and--CommentsClose CommentsPermalink





(i) each of the nonoriginating materials used in the production of the good undergoes an applicable change in tariff classification specified in Annex 3-A or Annex 4.1 of the Agreement; orCommentsClose CommentsPermalink





(ii) the good otherwise satisfies any applicable regional value-content or other requirements specified in Annex 3-A or Annex 4.1 of the Agreement; andCommentsClose CommentsPermalink





(B) satisfies all other applicable requirements of this section; orCommentsClose CommentsPermalink





(3) the good is produced entirely in the territory of Colombia, the United States, or both, exclusively from materials described in paragraph (1) or (2).CommentsClose CommentsPermalink





(c) Regional Value-Content-CommentsClose CommentsPermalink





(1) IN GENERAL- For purposes of subsection (b)(2), the regional value-content of a good referred to in Annex 4.1 of the Agreement, except for goods to which paragraph (4) applies, shall be calculated by the importer, exporter, or producer of the good, on the basis of the build-down method described in paragraph (2) or the build-up method described in paragraph (3).CommentsClose CommentsPermalink





(2) BUILD-DOWN METHOD-CommentsClose CommentsPermalink





(A) IN GENERAL- The regional value-content of a good may be calculated on the basis of the following build-down method:CommentsClose CommentsPermalink