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H.R. 5160 (111th): Haiti Economic Lift Program Act of 2010


The text of the bill below is as of Aug 25, 2010 (Passed Congress).


I

One Hundred Eleventh Congress of the United States of America

At the Second Session

H. R. 5160

AN ACT

To extend the Caribbean Basin Economic Recovery Act, to provide customs support services to Haiti, and for other purposes.

1.

Short title

This Act may be cited as the Haiti Economic Lift Program Act of 2010.

2.

Findings

Congress finds the following:

(1)

On January 12, 2010, Haiti was hit by a 7.0 magnitude earthquake, the worst earthquake to affect Haiti in recorded history. Aftershocks from the earthquake, measuring up to 6.0 on the Richter scale, continued for days afterwards.

(2)

The earthquake has devastated Haiti’s infrastructure, including homes, offices, factories, roads, ports, communications, and other facilities. The loss of life attributable to the earthquake was massive.

(3)

Even before the earthquake, Haiti was the poorest country in the Western Hemisphere, ranking 149 out of 182 countries according to the United Nation’s Human Development Index.

(4)

In recent years, however, the Government and people of Haiti had taken important steps forward to promote economic growth and development, including making strides towards establishing a competitive apparel sector.

(5)

United States trade preference programs, including the Caribbean Basin Economic Recovery Act (as amended by the United States-Caribbean Basin Trade Partnership Act, the Haitian Hemispheric Opportunity through Partnership Encouragement Act of 2006, and the Haitian Hemispheric Opportunity through Partnership Encouragement Act of 2008), which extend duty-free tariff treatment to certain apparel produced in Haiti, have made an important contribution to Haiti’s economic development efforts.

(6)

However, the Haitian apparel sector has been hard hit by the January 12, 2010, earthquake. A number of apparel factories based in and around Port-au-Prince have been heavily damaged, including the collapse of one major apparel factory that had employed nearly 4,000 workers.

(7)

The Port-au-Prince seaport that had served the apparel trade has been badly damaged. And extensive damage to roads has made it difficult to transport apparel to the Dominican Republic for shipment from ports in that country.

(8)

According to estimates by the Department of Commerce, imports of apparel articles from Haiti to the United States in 2010 have decreased by 43 percent as compared to the same period in 2009.

(9)

The earthquake has increased significantly the costs and uncertainty of doing business in Haiti. A strong and unequivocal commitment from the United States is needed to help Haiti offset these costs and preserve the gains made under United States trade preference programs, and to encourage buyers and investors to stand with Haiti through this crisis.

3.

Extension of Caribbean Basin Economic Recovery Act

The Caribbean Basin Economic Recovery Act (19 U.S.C. 2701 et seq.) is amended—

(1)

in section 213(b)—

(A)

in paragraph (2)(A)—

(i)

in clause (iii)—

(I)

in subclause (II)(cc), by striking September 30, 2010 and inserting September 30, 2020; and

(II)

in subclause (IV)(dd), by striking September 30, 2010 and inserting September 30, 2020; and

(ii)

in clause (iv)(II), by striking 8 and inserting 18; and

(B)

in paragraph (5)(D)(i), by striking September 30, 2010 and inserting September 30, 2020; and

(2)

in section 213A(h), by striking September 30, 2018 and inserting September 30, 2020.

4.

Apparel and other articles subject to certain assembly rules

(a)

Certain other apparel articles

Section 213A(b)(3) of the Caribbean Basin Economic Recovery Act (19 U.S.C. 2703a(b)(3)) is amended by adding at the end the following:

(F)

Certain other apparel articles

(i)

In general

Any of the apparel articles described in clause (ii) that is wholly assembled, or knit-to-shape, in Haiti from any combination of fabrics, fabric components, components knit-to-shape, or yarns and is imported directly from Haiti or the Dominican Republic shall enter the United States free of duty, without regard to the source of the fabric, fabric components, components knit-to-shape, or yarns from which the article is made.

(ii)

Articles described

Apparel articles described in this clause are apparel articles in the following category numbers that fall within the following statistical reporting numbers of the HTS (as in effect on the day before the date of the enactment of this subparagraph):

Category NumberHTS Statistical Reporting Number
3346101.90.9010
6112.11.0010
6103.22.0010
6113.00.9015
3356104.22.0010
6104.29.2010
6112.11.0020
3366104.49.9010
3386103.22.0050
6105.90.8010
6112.11.0030
3396104.22.0060
6104.29.2049
6106.90.2510
6106.90.3010
6110.20.1031
6110.20.1033
6112.11.0040
3426104.22.0030
6104.29.2022
6104.52.0010
6104.52.0020
6104.59.8010
3506107.91.0040
6107.91.0090
3516107.21.0010
6107.21.0020
6107.91.0030
6108.31.0010
6108.31.0020
433 6103.23.0007
6103.29.0520
6103.31.0000
6103.33.1000
6103.39.8020
4346101.30.1500
6101.90.0500
6101.90.9020
6103.23.0005
6103.29.0510
4356102.30.1000
6102.90.9010
6104.23.0010
6104.29.0510
6104.29.2012
6104.33.1000
6104.39.2020
4386103.23.0025
6103.29.0550
6104.23.0020
6104.29.0560
6104.29.2051
6105.90.1000
6105.90.8020
6106.20.1020
6106.90.1010
6106.90.1020
6106.90.2520
6106.90.3020
6110.11.0070
6110.12.2070
6110.12.2080
6110.19.0070
6110.19.0080
6110.30.1550
6110.30.1560
633 6103.23.0037
6103.29.1015
6103.33.2000
6103.39.1000
6103.39.8030
6346101.30.1000
6101.90.9030
6103.23.0036
6103.29.1010
6112.12.0010
6112.19.1010
6112.20.1010
6112.20.1030
6113.00.9025
6356102.30.0500
6102.90.9015
6104.23.0026
6104.29.1010
6104.29.2014
6104.39.2030
6112.12.0020
6112.19.1020
6112.20.1020
6112.20.1040
6113.00.9030
6366104.49.9030
6104.44.2020
6386103.23.0075
6103.29.1050
6105.90.8030
6110.30.1050
6110.30.2051
6110.30.2053
6112.12.0030
6112.19.1030
6396104.23.0036
6104.29.1050
6104.29.2055
6106.90.2530
6106.90.3030
6110.30.1060
6110.30.2061
6110.30.2063
6112.12.0040
6112.19.1040
6516107.22.0010
6107.22.0015
6107.22.0025
6107.99.1030
6108.32.0015
(iii)

Category defined

In this subparagraph, the term category has the meaning given that term in paragraph (2A)(E) of this subsection.

.

(b)

Made-Up textile articles

Section 213A(b)(3) of the Caribbean Basin Economic Recovery Act (19 U.S.C. 2703a(b)(3)), as amended by subsection (a), is further amended by adding at the end the following:

(G)

Made-up textile articles

(i)

In general

Any of the made-up textile articles described in clauses (ii) and (iii) that is wholly assembled, or knit-to-shape, in Haiti from any combination of fabrics, fabric components, components knit-to-shape, or yarns and is imported directly from Haiti or the Dominican Republic shall enter the United States free of duty, without regard to the source of the fabric, fabric components, components knit-to-shape, or yarns from which the article is made.

(ii)

Articles described

Made-up textile articles described in this clause are articles in the following category numbers that fall within the following statistical reporting numbers of the HTS (as in effect on the day before the date of the enactment of this subparagraph):

Category NumberHTS Statistical Reporting Number
3636302.60.0020
6302.91.0015
6302.91.0035
6307.90.8940
3696304.91.0020
6304.92.0000
6302.60.0010
6302.60.0030
6302.91.0005
6302.91.0050
6307.90.8910
6307.90.8945
5701.90.2020
5702.39.2010
5702.50.5600
5702.99.0500
5702.99.1500
5705.00.2020
5807.10.0510
5807.90.0510
6307.90.3010
6301.30.0010
6305.20.0000
6307.10.1020
6307.10.1090
6406.10.7700
9404.90.1000
9404.90.9505
6301.30.0020
6302.91.0045
4655701.10.9000
5702.50.2000
5702.50.4000
5702.91.3000
5702.91.4000
5703.10.2000
5703.10.8000
5704.10.0010
5705.00.2005
5705.00.2015
5702.31.1000
5702.31.2000
4696304.19.3040
6304.91.0050
6304.99.1500
6304.99.6010
5601.29.0020
6302.39.0010
6406.10.9020
6655701.90.1030
5701.90.2030
5702.32.1000
5702.32.2000
5702.42.2090
5702.50.5200
5702.92.1000
5702.92.9000
5703.20.1000
5703.30.2000
5703.30.8030
5703.30.8080
5704.10.0090
5705.00.2030
5703.20.2010
5703.20.2090
6666304.11.2000
6304.91.0040
6304.93.0000
6304.99.6020
6301.40.0010
6301.40.0020
6301.90.0010
6695601.10.2000
5601.22.0090
5807.10.0520
5807.90.0520
6307.90.3020
6305.32.0010
6305.32.0020
6305.32.0050
6305.32.0060
6305.39.0000
6406.10.9040
6308.00.0020
8996304.11.3000
6304.19.3060
6304.91.0070
6304.99.3500
6304.99.6040
5601.29.0090
6301.90.0030
6305.90.0000
6406.10.9060
9005601.29.0010
5701.90.2010
6301.90.0020
(iii)

Other articles described

Made-up textile articles described in this clause are articles that fall within statistical reporting number 6406.10.9090 of the HTS (as in effect on the day before the date of the enactment of this subparagraph).

(iv)

Category defined

In this subparagraph, the term category has the meaning given that term in paragraph (2A)(E) of this subsection.

.

5.

Modification of tariff preference levels; verification with respect to transshipment for certain apparel articles

Section 213A(b) of the Caribbean Basin Economic Recovery Act (19 U.S.C. 2703a(b)) is amended—

(1)

in paragraph (2)—

(A)

in subparagraph (A)(ii)—

(i)

by striking The preferential treatment and inserting Except as provided in paragraph (2A), the preferential treatment; and

(ii)

by striking 9 and inserting 11; and

(B)

in subparagraph (B)(iii)—

(i)

by striking The preferential treatment and inserting Except as provided in paragraph (2A), the preferential treatment; and

(ii)

by striking 9 and inserting 11; and

(2)

by inserting after paragraph (2) the following:

(2A)

Special rule for certain woven articles and certain knit articles entered during fiscal year 2010 and succeeding 1-year periods

(A)

In general

Except as provided in subparagraphs (B) and (C) and subject to subparagraph (D), if 52,000,000 square meter equivalents of apparel articles described in paragraph (2)(A)(i) or (2)(B)(i) enter the United States during the 1-year period beginning October 1, 2009, or any of the succeeding 1-year periods, the President shall extend the preferential treatment described in paragraph (2)(A)(i) or (2)(B)(i) (as the case may be) to not more than 200,000,000 square meter equivalents of apparel articles described in paragraph (2)(A)(i) or (2)(B)(i) (as the case may be) during that 1-year period, and shall publish notice of the extension in the Federal Register.

(B)

Exception for certain woven articles

(i)

In general

In the case of apparel articles described in clause (ii), subparagraph (A) shall be applied by substituting 70,000,000 for 200,000,000.

(ii)

Apparel articles described

Apparel articles described in this clause are apparel articles described in paragraph (2)(A)(i) that are the following:

(I)

Category 347

Apparel articles in category 347 that fall within the following statistical reporting numbers of the HTS (as in effect on the day before the date of the enactment of this paragraph):

6203.19.10206203.42.40116203.42.4061
 6203.19.90206203.42.40166203.49.8020
 6203.22.30206203.42.40266210.40.9033
 6203.22.30306203.42.40366211.20.1520
 6203.42.40036203.42.40466211.20.3810
 6203.42.40066203.42.40516211.32.0040
(II)

Category 348

Apparel articles in category 348 that fall within the following statistical reporting numbers of the HTS (as in effect on the day before the date of the enactment of this paragraph):

6204.12.00306204.62.40116204.69.9010
 6204.19.8030 6204.62.40216210.50.9060
 6204.22.3040 6204.62.40316211.20.1550
 6204.22.3050 6204.62.40416211.20.6810
 6204.29.4034 6204.62.40516211.42.0030
 6204.62.3000 6204.62.40566217.90.9050
 6204.62.4003 6204.62.4066
 6204.62.40066204.69.6010
(III)

Category 647

Apparel articles in category 647 that fall within the following statistical reporting numbers of the HTS (as in effect on the day before the date of the enactment of this paragraph):

6203.23.00606203.43.40206203.49.8030
 6203.23.0070 6203.43.40306210.40.5031
 6203.29.2030 6203.43.40406210.40.5039
 6203.29.2035 6203.49.15006211.20.1525
 6203.43.2500 6203.49.20156211.20.3820
 6203.43.3510 6203.49.20306211.33.0030
 6203.43.3590 6203.49.2045
 6203.43.40106203.49.2060
(IV)

Category 648

Apparel articles in category 648 that fall within the following statistical reporting numbers of the HTS (as in effect on the day before the date of the enactment of this paragraph):

6204.23.00406204.63.35106204.69.6030
 6204.23.0045 6204.63.35306204.69.9030
 6204.29.20206204.63.35326210.50.5031
 6204.29.2025 6204.63.35406210.50.5039
 6204.29.40386204.69.25106211.20.1555
 6204.63.2000 6204.69.25306211.20.6820
 6204.63.3010 6204.69.25406211.43.0040
 6204.63.3090 6204.69.25606217.90.9060
(C)

Exception for certain knit articles

(i)

In general

In the case of apparel articles described in clause (ii), subparagraph (A) shall be applied by substituting 85,000,000 for 200,000,000.

(ii)

Apparel articles described

Apparel articles described in this clause are apparel articles described in paragraph (2)(B)(i) that fall within the following statistical reporting numbers of the HTS (as in effect on the day before the date of the enactment of this paragraph), other than shirts with plackets and pointed collars:

6105.10.00106109.10.00406110.30.3053
 6109.10.00186109.10.00456110.30.3059
 6109.10.00276110.20.2079
(D)

Verification with respect to transshipment for certain apparel articles

(i)

In general

Not later than April 1, July 1, October 1, and January 1 of each year, the Commissioner responsible for United States Customs and Border Protection shall verify that apparel articles imported into the United States under this paragraph are not being unlawfully transshipped (within the meaning of subsection (f)) into the United States.

(ii)

Report to President

If the Commissioner determines pursuant to clause (i) that apparel articles imported into the United States under this paragraph are being unlawfully transshipped into the United States, the Commissioner shall report that determination to the President.

(iii)

Authority to reduce quantitative limitation

If, in any 1-year period with respect to which the President extends preferential treatment as described in this paragraph, the Commissioner reports to the President pursuant to clause (ii) regarding unlawful transshipments, the President—

(I)

may modify the quantitative limitation under this paragraph as the President considers appropriate to account for such transshipments; and

(II)

if the President modifies the limitation under subclause (I), shall publish notice of the modification in the Federal Register.

(E)

Category defined

In this paragraph, the term category means the number assigned under the U.S. Textile and Apparel Category System of the Office of Textiles and Apparel of the Department of Commerce, as listed in the HTS under the applicable heading or subheading (as in effect on the day before the date of the enactment of this paragraph).

.

6.

Earned import allowance rule

Section 213A(b)(4)(B)(ii)(I) of the Caribbean Basin Economic Recovery Act (19 U.S.C. 2703a(b)(4)(B)(ii)(I)) is amended by striking three and inserting two.

7.

Extension of value-added rule

Section 213A of the Caribbean Basin Economic Recovery Act (19 U.S.C. 2703a), as amended by this Act, is further amended—

(1)

in subsection (a), by striking paragraph (1) and inserting the following:

(1)

Initial applicable 1-year period

The term initial applicable 1-year period means the 1-year period beginning on December 20, 2006.

; and

(2)

in subsection (b)(1)—

(A)

in subparagraph (A), by striking an applicable 1-year period and inserting the initial applicable 1-year period and any 1-year period thereafter;

(B)

in subparagraph (B)—

(i)

in clause (i)—

(I)

by striking any applicable 1-year period and inserting the initial applicable 1-year period and any 1-year period thereafter; and

(II)

by striking the applicable 1-year period and inserting that 1-year period;

(ii)

in clause (iv)(II)—

(I)

in the subclause heading, by striking applicable;

(II)

by striking In each of the second, third, fourth, and fifth applicable 1-year periods and inserting In any 1-year period after the initial applicable 1-year period; and

(III)

by striking applicable 1-year period each place it appears and inserting 1-year period;

(iii)

in clause (v)(I)—

(I)

in item (aa), by striking , the second applicable 1-year period, and the third applicable 1-year period and inserting and the succeeding 8 1-year periods;

(II)

in item (bb), by striking the fourth applicable 1-year period and inserting the 1-year period beginning on December 20, 2015, and the 1-year period beginning on December 20, 2016; and

(III)

in item (cc), by striking the fifth applicable 1-year period and inserting the 1-year period beginning on December 20, 2017; and

(iv)

in clause (vi)—

(I)

in subclause (II)—

(aa)

by striking any applicable 1-year period and inserting the initial applicable 1-year period or any 1-year period thereafter; and

(bb)

by striking applicable 1-year period each place it appears and inserting 1-year period; and

(II)

in subclause (III)—

(aa)

in item (aa), by striking an applicable 1-year period and inserting the initial applicable 1-year period or any 1-year period thereafter; and

(bb)

by striking applicable 1-year period each place it appears and inserting 1-year period; and

(C)

in subparagraph (C)—

(i)

by striking applicable 1-year periods and inserting 1-year periods;

(ii)

by striking the table and inserting the following:

During:the corresponding percentage is:
the initial applicable 1-year period1 percent.
each of the succeeding 11 1-year periods 1.25 percent.

;

and
(iii)

in the flush text, by striking the last day of the fifth applicable 1-year period and inserting December 19, 2018.

8.

Wire harnesses

Section 213A(c) of the Caribbean Basin Economic Recovery Act (19 U.S.C. 2703A(c)) is amended by striking 5-year period and inserting 10-year period.

9.

Customs support services

(a)

In general

(1)

Rapid response team

The Commissioner responsible for United States Customs and Border Protection (in this section referred to as the Commissioner) shall, in consultation with the United States Coast Guard, the Drug Enforcement Agency, and other Federal agencies, as appropriate, seek to send a rapid response team to Haiti—

(A)

to assess the short-term and long-term technical, capacity-building, and training needs of the authorities of the Government of Haiti responsible for customs services; and

(B)

to provide immediate assistance, as warranted, particularly with respect to—

(i)

reestablishing full capacity for commercial port operations at the seaport at Port-au-Prince;

(ii)

facilitating trade between the United States and Haiti under the Caribbean Basin Economic Recovery Act, as amended by this Act;

(iii)

preventing unlawful transshipment of goods through Haiti to the United States; and

(iv)

otherwise strengthening cooperation between the customs authorities of the United States, Haiti, and the Dominican Republic with respect to trade facilitation and economic development, customs compliance and law enforcement, and efforts to combat unlawful trafficking in narcotic drugs and psychotropic substances.

(2)

Report

Not later than 75 days after the date of the enactment of this Act, the Commissioner shall prepare and submit to the Committee on Finance of the Senate and the Committee on Ways and Means of the House of Representatives a nonconfidential report summarizing the results of the assessment required by paragraph (1)(A), including—

(A)

a description of the short-term and long-term technical, capacity-building, and training needs of the authorities of the Government of Haiti responsible for customs services, including a prioritization of immediate infrastructure needs;

(B)

a multi-year plan for supplying technical, capacity-building, and training assistance to those authorities, including specific responsibilities to be undertaken by the support team authorized by subsection (b); and

(C)

a statement of the amount and purpose for which any funds were expended by the rapid response team in Haiti to administer the provisions of this section, including any expenditure of funds authorized to be appropriated pursuant to subsection (c)(1).

(b)

Support team

(1)

In general

The Commissioner shall, in consultation with other Federal agencies, as appropriate, seek to establish a support team in Haiti for the purpose of helping to meet the short-term and long-term technical, capacity-building, and training needs of the authorities of the Government of Haiti responsible for customs services, as described in this section.

(2)

Termination

The support team authorized by paragraph (1) shall terminate on September 30, 2020.

(c)

Authorization of appropriations

(1)

In general

There are authorized to be appropriated to the United States Customs and Border Protection Agency, to remain available until expended—

(A)

$100,000 to help meet the immediate infrastructure needs of the authorities of the Government of Haiti responsible for customs services for the purpose of facilitating trade between the United States and Haiti under the Caribbean Basin Economic Recovery Act, as amended by this Act; and

(B)

$750,000 for each of the fiscal years 2011 through 2020 for the purpose of maintaining the support team authorized by subsection (b).

(2)

Supplement and not supplant

The amounts authorized to be appropriated by paragraph (1) shall supplement and not supplant any other funds authorized to be appropriated to the Department of Homeland Security.

10.

Sense of Congress

(a)

Regional cooperation

It is the sense of Congress that the United States Trade Representative should seek to enter into consultations with representatives of countries with which the United States has a trading relationship for the purpose of encouraging those countries to establish bilateral trade preference programs with respect to textile and apparel articles produced in Haiti.

(b)

Transshipment

It is the sense of Congress that the Commissioner responsible for United States Customs and Border Protection should, in consultation with the United States Trade Representative and the Secretary of Commerce, seek to enter into consultations with representatives of countries with which the United States has a trading relationship for the purpose of preventing the unlawful transshipment of textile and apparel articles from those countries through Haiti.

11.

Customs user fees

Section 13031(j)(3) of the Consolidated Omnibus Reconciliation Act of 1985 (19 U.S.C. 58c(j)(3)) is amended—

(1)

in subparagraph (A), by striking May 14, 2018 and inserting November 10, 2018; and

(2)

in subparagraph (B)(i), by striking June 7, 2018 and inserting August 17, 2018.

12.

Time for payment of corporate estimated taxes

(a)

Shift from 2015 to 2014

The percentage under paragraph (1) of section 202(b) of the Corporate Estimated Tax Shift Act of 2009 in effect on the date of the enactment of this Act is increased by 0.75 percentage points.

(b)

Shift from 2016 to 2015

The percentage under paragraph (2) of section 561 of the Hiring Incentives to Restore Employment Act in effect on the date of the enactment of this Act is increased by 0.75 percentage points.

13.

Budget compliance

The budgetary effects of this Act, for the purpose of complying with the Statutory Pay-As-You-Go Act of 2010, shall be determined by reference to the latest statement titled Budgetary Effects of PAYGO Legislation for this Act, submitted for printing in the Congressional Record by the Chairman of the House Budget Committee, provided that such statement has been submitted prior to the vote on passage.

Speaker of the House of Representatives.

Vice President of the United States and President of the Senate.