Wire Line
February 2001  VOL. 11, NO. 1 
INSIDE Washington

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by Janet Kopenhaver, AWPA Director of Government Affairs

TRADE

� Fast Track Negotiating Authority

The incoming US Trade Representative (USTR) Bob Zoellick has already stated that obtaining fast track negotiating authority for the president is one of his highest priorities. This might prove to be a challenging task since Senate Majority Leader Trent Lott (R-MS) has already announced that a vote in the Senate might have to wait until this summer or early fall.

In the House, formidable stumbling blocks could also impede passage. The Democrats are insisting on the inclusion of strict labor and environmental standards in trade agreements.

President Bush has repeatedly said that creation of a Western Hemisphere free trade area is his number one trade priority. In April, he will be attending a trade summit in Quebec involving heads of state from North and South America. Without some movement on the fast track route, these leaders might not be as willing to begin further negotiations on the Free Trade Area of the Americas (FTAA). Brazil, the largest Latin American economy, is already dragging its feet on the negotiations citing the lack of fast-track authority for the president.

ENVIRONMENTAL/REGULATORY

� Bush Regulatory Review Directive

The new Bush Administration, on its first day in office, announced a temporary hold on regulations proposed or finalized in the last days of the Clinton Administration. Specifically, the White House Chief of Staff Andrew Card informed the heads and acting heads of executive branch departments and agencies that no proposed or final regulations are to be sent to the Federal Register for publication unless and until a department or agency head appointed by President Bush reviews and approves the regulatory action.

Regulations that had been sent to the Federal Register, but not yet published were to be withdrawn for review. Finally, regulations already published, but not yet in effect were to have their effective date postponed for 60 days.

� Lowering of Lead TRI Reporting Threshold

In a surprise move, the EPA Administrator signed the final Lead TRI rule on January 8, 2001 drastically lowering the reporting threshold for lead and lead compounds.

The only change from the proposed rule was that the reporting level was bumped to 100 lbs. from the original 10 lbs. Even at this higher level, wire manufacturers will be seriously affected by this rule, primarily because the elimination of the de minimis exemption and the use of Alternative Thresholds/Form A's.

The first reports under the new rule are due on or before July 1, 2002 for the 2001 calendar year. Because this rule does not go into effect until February 16, 2001, it falls under President's Bush's Regulatory Review plan. Therefore, there is a 60-day stay on its effective date.

The Lead Industries Coalition is fighting this rule on two fronts. First they are filing a formal complaint against EPA in the DC Court arguing that sound science was not used in the rule's development. They have also drafted a letter to EPA Administrator Whitman requesting that she delay the effective date of this rule until the Science Advisory Board (SAB) has completed its review of the science arguments. AWPA has signed this letter. It is agreed by most involved that the SAB will conclude that the rule did not use sound science and it should be reversed.

In a related move, the Government Accounting Office issued a report on the impact of the TRI lead rule on small businesses. The report suggests that more than 1,000 small businesses would likely be significantly affected by the rule, contrary to EPA's certification that none would be impacted.

OTHER

� A Free Trader at Commerce

President Bush announced the nomination of Faryar Shirzad to be Assistant Secretary of Commerce for Import Administration. Most recently he served as the International Trade Counsel for the Senate Finance Committee. AWPA staffers worked with Faryar when we fought the steel quota bill last year.

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