DATE=8/6/98
TYPE=CORRESPONDENT REPORT
NUMBER=2-236601
TITLE=CONGRESS/ STATE SANCTIONS (L)
BYLINE=PAULA WOLFSON
DATELINE=CONGRESS
CONTENT=
VOICED AT:
INTRO: AS THE U-S HOUSE OF REPRESENTATIVES MOVES TOWARDS ITS
LONG, AUGUST RECESS, MEMBERS STAYED IN SESSION LATE INTO
WEDNESDAY NIGHT, TRYING TO FINISH WORK ON IMPORTANT SPENDING
BILLS. PROGRESS SLOWED WHEN THEY WERE CONFRONTED WITH A STICKY
TRADE ISSUE -- THE ABILITY OF INDIVIDUAL U-S STATES TO IMPOSE
SANCTIONS ON OTHER COUNTRIES. V-O-A'S PAULA WOLFSON HAS THE
STORY FROM CAPITAL HILL.
TEXT: THROUGHOUT AMERICA'S HISTORY THERE HAVE BEEN OCCASIONAL
POWER STRUGGLES BETWEEN THE FEDERAL GOVERNMENT AND THE STATES.
ONE OF HE CURRENT TROUBLE SPOTS DEALS WITH TRADE. A FEW STATES
HAVE IMPOSED SANCTIONS ON FOREIGN GOVERNMENTS. FOR EXAMPLE,
MASSACHUSETTS PENALIZES FIRMS BIDING FOR STATE CONTRACTS IF THEY
DO BUSINESS WITH BURMA -- A FACT THAT HAS CREATED TROUBLE WITH
THE WORLD TRADE ORGANIZATION. OHIO DEMOCRAT DENNIS KUCINICH
URGED THE HOUSE OF REPRESENTATIVES TO DENY FUNDS FOR ANY FEDERAL
LEGAL CHALLENGE TO A STATE OF LOCAL LAW INCONSISTENT WITH
INTERNATIONAL AGREEMENTS.
//KUCINICH ACTUALITY//
ACCORDING TO THE GATT (GENERAL AGREEMENT ON TARIFFS AND
TRADE) AND NAFTA (NORTH AMERICAN FREE TRADE ASSOCIATION)
IMPLEMENTING LEGISLATION, THE ADMINISTRATION CAN SUE TO
PREEMPT THE LAW AND ENFORCE THE W-T-O DECREE.
//END ACTUALITY//
MR. KUCINICH STRESSED A NUMBER OF STATE AND LOCAL GOVERNMENTS
ARE CONSIDERING SANCTIONS LAWS, INCLUDING NEW YORK CITY AND
CALIFORNIA. HE SAID IN SOME AREAS FEAR OF LEGAL ACTION HAS HAD A
CHILLING EFFECT.
//OPTIONAL KUCINICH ACTUALITY//
EARLIER THIS YEAR THE STATE OF MARYLAND CONSIDERED
PASSING A SELECTIVE PURCHASE LAW TO PROMOTE HUMAN RIGHTS
AND TO CORRECT ENVIRONMENTAL ABUSES IN NIGERIA. THE
FEDERAL GOVERNMENT SHOWED UP IN ANNAPOLIS TO WARN
LAWMAKERS THAT THE MARYLAND LAW WOULD BE GATT-ILLEGAL.
THE THREAT OF A FEDERAL LAWSUIT BACKED UP THE STATE
DEPARTMENT'S OFFICIAL WARNING. IN THE FACE OF SUCH
PRESSURE MARYLAND BACKED DOWN.
//END OPTIONAL ACTUALITY//
THE EFFORT BY THE OHIO CONGRESSMAN TO PREVENT THE FEDERAL
GOVERNMENT FROM CHALLENGING STATES SANCTIONS LAWS BROUGHT THE
CONGRESS INTO AN ALREADY-COMPLEX CONTROVERSY. ILLINOIS
REPUBLICAN PHIL CRANE -- THE CHAIRMAN OF HOUSE SUBCOMMITTEE ON
TRADE -- ARGUED THE MEASURE PROPOSED BY CONGRESSMAN KUCINICH
WOULD HARM U-S RELATIONS WITH KEY TRADING PARTNERS.
//CRANE ACTUALITY//
THIS IS A FLAWED AMENDMENT PUT FORWARD BY THOSE WHO
DESIRE TO BUILD WALLS OF PROTECTION AROUND THE UNITED
STATES WHILE SACRIFICING THE BENEFITS OF A FUNCTIONING
INTERNATIONAL TRADING SYSTEM FOR OUR WORKERS AND THEIR
BUSINESSES.
//END ACTUALITY//
MR. CRANE SAID THE U-S GOVERNMENT HAS NEVER SUED TO OVERTURN A
LOCAL SANCTIONS LAW AND PROBABLY NEVER WILL. OTHER ARGUED IT IS
THE RESPONSIBILITY OF THE FEDERAL GOVERNMENT TO CONDUCT FOREIGN
POLICY.
THE DEBATE WAS HEATED, BUT THE EFFORT TO DENY MONEY FOR FEDERAL
CHALLENGES TO LOCAL SANCTIONS LAWS FELL SHORT IN THE HOUSE. TWO
HUNDRED LAWMAKERS VOTED TO DENY THE FUNDS AND 228 VOTED TO KEEP
THEM IN THE BUDGET FOR THE DEPARTMENTS OF COMMERCE, STATE AND
JUSTICE. THE SENATE HAS ALREADY COMPLETED WORK ON ITS VERSION OF
THE BILL WITHOUT ANY CONSIDERATION OF THE CONTROVERSY SURROUNDING
STATE AND LOCAL SANCTIONS. CONGRESS IS NOT LIKELY TO REVISIT THE
ISSUE THIS YEAR. (SIGNED)
NEB / PW / CB-T / WD
06-Aug-98 4:12 AM EDT (0812 UTC)
NNNN
Source: Voice of America
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