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Miller Announces Subcommittee Hearing on Legislation to Promote American Jobs Through Exports

Washington, May 20 -

The International Monetary Policy and Trade Subcommittee, chaired by Rep. Gary G. Miller, will hold a hearing on Tuesday, May 24 to review legislation reauthorizing the Export–Import Bank.  The Ex-Im Bank’s charter is set to expire on September 30, 2011. The hearing will take place in room 2128 Rayburn at 2:00 p.m.

Subcommittee Chairman Miller said, “To get our economy back on track and create jobs, we must ensure American companies are competitive with foreign companies that have access to export credit.  Our reauthorization of the Export-Import Bank is focused on domestic job creation. We want to ensure the Bank is well positioned to continue to contribute to the employment of U.S. workers through financing exports of U.S. goods and services. The Ex-Im Bank’s support of U.S. companies is an example of how our government can facilitate job growth without contributing to the national debt. When American companies export, American workers work. During the reauthorization process, we are looking for ways for the Bank to better serve U.S. companies, large and small, so that they can prevail against their foreign competitors and as a result create U.S. jobs.  We are also closely reviewing the Bank’s safety and soundness practices to ensure the Bank does not put the taxpayer at risk.”

Financial Services Committee Chairman Spencer Bachus said, “The Ex-Im Bank is a way of leveling the playing field for American exporters whose foreign competitors  have the advantage of export credit agencies.  It plays a critical role in promoting job creation and economic growth in the United States.”

The Subcommittee will focus on legislation providing for a four-year reauthorization of the Export-Import Bank. In addition to reauthorizing the Ex-Im Bank, the legislation would:

• Allow the Bank to invest in technology in order to improve servicing, underwriting, and accounting of transactions.
• Gradually increase the exposure cap from $100 billion to $160 billion.
• Direct the Ex-Im Bank to establish clear guidelines with respect to the content of goods and services for which the Bank will provide financing.  The Bank must also establish guidelines that will make Bank products available to services firms. 
• Protect taxpayers by requiring the Bank to report to Congress if its default rate exceeds two percent, explain the reasons for a default rate increase and propose a plan that would reduce the default rate below two percent. 

Scheduled to testify at the hearing:

Panel I:

Fred Hochberg, Chairman and President, the Export-Import Bank of the United States

Panel II: 

Donna K. Alexander, Chief Executive Officer, Bankers’ Association for Finance and Trade – International Financial Services Association

John Hardy, President, Coalition for Employment Through Exports

Matthew Slaughter, Associate Dean for the MBA Program; Signals Company Professor of Management; Tuck School of Business, Dartmouth College.