SPEAKERS CONTENTS INSERTS
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2006
CALLING ON THE GOVERNMENT OF GERMANY TO TAKE IMMEDIATE ACTION TO COMBAT SEX TRAFFICKING IN CONNECTION WITH THE 2006 FIFA WORLD CUP; ASSISTANCE FOR SMALL AND MEDIUM ENTERPRISES IN SUB-SAHARAN AFRICAN COUNTRIES ACT OF 2005; GLOBAL ONLINE FREEDOM ACT OF 2006; CENTRAL ASIA DEMOCRACY AND HUMAN RIGHTS PROMOTION ACT OF 2006
MARKUP
BEFORE THE
SUBCOMMITTEE ON AFRICA, GLOBAL HUMAN RIGHTS AND INTERNATIONAL OPERATIONS
OF THE
COMMITTEE ON
INTERNATIONAL RELATIONS
HOUSE OF REPRESENTATIVES
ONE HUNDRED NINTH CONGRESS
SECOND SESSION
ON
H. Res. 860, H.R. 4319, H.R. 4780 and H.R. 5382
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JUNE 22, 2006
Serial No. 109–173
Printed for the use of the Committee on International Relations
Available via the World Wide Web: http://www.house.gov/international—relations
COMMITTEE ON INTERNATIONAL RELATIONS
HENRY J. HYDE, Illinois, Chairman
JAMES A. LEACH, Iowa
CHRISTOPHER H. SMITH, New Jersey,
Vice Chairman
DAN BURTON, Indiana
ELTON GALLEGLY, California
ILEANA ROS-LEHTINEN, Florida
DANA ROHRABACHER, California
EDWARD R. ROYCE, California
PETER T. KING, New York
STEVE CHABOT, Ohio
THOMAS G. TANCREDO, Colorado
RON PAUL, Texas
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DARRELL ISSA, California
JEFF FLAKE, Arizona
JO ANN DAVIS, Virginia
MARK GREEN, Wisconsin
JERRY WELLER, Illinois
MIKE PENCE, Indiana
THADDEUS G. McCOTTER, Michigan
KATHERINE HARRIS, Florida
JOE WILSON, South Carolina
JOHN BOOZMAN, Arkansas
J. GRESHAM BARRETT, South Carolina
CONNIE MACK, Florida
JEFF FORTENBERRY, Nebraska
MICHAEL McCAUL, Texas
TED POE, Texas
TOM LANTOS, California
HOWARD L. BERMAN, California
GARY L. ACKERMAN, New York
ENI F.H. FALEOMAVAEGA, American Samoa
DONALD M. PAYNE, New Jersey
SHERROD BROWN, Ohio
BRAD SHERMAN, California
ROBERT WEXLER, Florida
ELIOT L. ENGEL, New York
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WILLIAM D. DELAHUNT, Massachusetts
GREGORY W. MEEKS, New York
BARBARA LEE, California
JOSEPH CROWLEY, New York
EARL BLUMENAUER, Oregon
SHELLEY BERKLEY, Nevada
GRACE F. NAPOLITANO, California
ADAM B. SCHIFF, California
DIANE E. WATSON, California
ADAM SMITH, Washington
BETTY McCOLLUM, Minnesota
BEN CHANDLER, Kentucky
DENNIS A. CARDOZA, California
RUSS CARNAHAN, Missouri
THOMAS E. MOONEY, SR., Staff Director/General Counsel
ROBERT R. KING, Democratic Staff Director
Subcommittee on Africa, Global Human Rights and International Operations
CHRISTOPHER H. SMITH, New Jersey, Chairman
THOMAS G. TANCREDO, Colorado
JEFF FLAKE, Arizona
MARK GREEN, Wisconsin
JOHN BOOZMAN, Arkansas
JEFF FORTENBERRY, Nebraska
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EDWARD R. ROYCE, California,
Vice Chairman
DONALD M. PAYNE, New Jersey
GREGORY W. MEEKS, New York
BARBARA LEE, California
DIANE E. WATSON, California
BETTY McCOLLUM, Minnesota
EARL BLUMENAUER, Oregon
MARY M. NOONAN, Subcommittee Staff Director
GREG SIMPKINS, Subcommittee Professional Staff Member
NOELLE LUSANE, Democratic Professional Staff Member
SHERI A. RICKERT, Subcommittee Professional Staff Member and Counsel
LINDSEY M. PLUMLEY, Staff Associate
C O N T E N T S
MARKUP OF
H. Res. 860, Calling on the Government of Germany to take immediate action to combat sex trafficking in connection with the 2006 FIFA World Cup, and for other purposes
Amendments to H. Res. 860 offered by the Honorable Christopher H. Smith, a Representative in Congress from the State of New Jersey and Chairman, Subcommittee on Africa, Global Human Rights and International Operations
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H.R. 4319, To provide assistance for small and medium enterprises in sub-Saharan African countries, and for other purposes
H.R. 4780, To promote freedom of expression on the Internet, to protect United States businesses from coercion to participate in repression by authoritarian foreign governments, and for other purposes
Amendment in the Nature of a Substitute to H.R. 4780 offered by the Honorable Christopher H. Smith
Amendment to the Amendment in the Nature of a Substitute to H.R. 4780 offered by the Honorable Earl Blumenauer, a Representative in Congress from the State of Oregon
H.R. 5382, To promote the development of democratic institutions and full respect for human rights in the countries of Central Asia
Amendment in the Nature of a Substitute to H.R. 5382 offered by the Honorable Christopher H. Smith
LETTERS, STATEMENTS, ETC., SUBMITTED FOR THE RECORD
The Honorable Christopher H. Smith:
Prepared statement on H. Res. 860
Prepared statement on H.R. 4319
CALLING ON THE GOVERNMENT OF GERMANY TO TAKE IMMEDIATE ACTION TO COMBAT SEX TRAFFICKING IN CONNECTION WITH THE 2006 FIFA WORLD CUP; ASSISTANCE FOR SMALL AND MEDIUM ENTERPRISES IN SUB-SAHARAN AFRICAN COUNTRIES ACT OF 2005; GLOBAL ONLINE FREEDOM ACT OF 2006; CENTRAL ASIA DEMOCRACY AND HUMAN RIGHTS PROMOTION ACT OF 2006
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THURSDAY, JUNE 22, 2006
House of Representatives,
Subcommittee on Africa, Global Human Rights
and International Operations,
Committee on International Relations,
Washington, DC.
The Subcommittee met, pursuant to notice, at 2:12 p.m. in room 2172, Rayburn House Office Building, Hon. Christopher H. Smith (Chairman of the Subcommittee) presiding.
Mr. SMITH OF NEW JERSEY. Pursuant to notice, I call up the resolution H. Res. 860, calling on the Government of Germany to take immediate action to combat sex trafficking in connection with the 2006 FIFA World Cup for purposes of markup, and move its recommendation to the Full Committee.
[H. Res. 860 follows:]
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Mr. SMITH OF NEW JERSEY. Without objection, the resolution will be considered as read and open for amendment at any point.
And I would advise my colleagues, I do have an amendment which I would ask the Clerk to report.
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Ms. PLUMLEY. Amendment to House Resolution 860 offered by Mr. Smith of New Jersey.
[The information referred to follows:]
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Mr. SMITH OF NEW JERSEY. Without objection, the amendment will be considered as read. And I would like to recognize myself to make a few opening comments and yield to my colleagues for any comments they might have either on the amendment or on the resolution itself.
I would ask unanimous consent that my full statement be a part of the record. Without objection, so ordered.
One of the tragedies of modern day slavery is that so much of the demand for trafficking comes from countries that espouse commitment to human rights. As the world watches the 2006 FIFA World Cup, a showcase of world-class athleticism and teamwork, Germany, despite its professed commitment to fight the abuse and exploitation of women and girls through trafficking, by certain policies it is facilitating and even encouraging, it aids the very crime it professes to abhor.
In December 2001, the German Government legalized prostitution, which is not only inherently harmful and dehumanizing, but also fuels trafficking because it provides a facade behind which traffickers for sexual exploitation operate. The essential legalization of prostitution also places a greater burden on law enforcement as officials try to distinguish ''legal pimps'' from human traffickers.
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In Germany, there are about 400,000 women in prostitution, 75 percent of whom are foreigners. A 2001 report by the Germany Federal Criminal Investigation Office reported that of the 414 women and girls in prostitution that were surveyed, 45 percent were forced into prostitution through violence, torture, rape or intimidation.
Further research conducted by Melissa Farley at Prostitution Research and Education found that 71 percent of women surveyed were physically assaulted while engaged in prostitution and a staggering 89 percent wanted to escape prostitution. Rather than preventing the abuse of women, any kind of legalization of prostitution appears to condone an act that almost half of the time will result in the physical abuse of women.
Regrettably, according to the 2003 U.N. report, Germany is the top destination country for trafficking in women and children for prostitution, with most victims trafficked from the former Soviet republics and Central and Eastern Europe. The German Government should be outraged by this and immediately take a look at their policies which makes Germany such an inviting country for traffickers.
Let me just say, finally, a couple of points. This legislation has 30 cosponsors. It calls on fans, players, and all citizens to boycott the brothels and calls on the Government of Germany to take immediate action to halt state sponsorship of commercial sexual exploitation that leads to sex trafficking of women in connection with the World Cup games.
[The prepared statement of Mr. Smith follows:]
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PREPARED STATEMENT OF THE HONORABLE CHRISTOPHER H. SMITH, A REPRESENTATIVE IN CONGRESS FROM THE STATE OF NEW JERSEY AND CHAIRMAN, SUBCOMMITTEE ON AFRICA, GLOBAL HUMAN RIGHTS AND INTERNATIONAL OPERATIONS
H. RES. 860
One of the tragedies of modern day slavery is that so much of the demand for trafficking comes from countries that espouse commitment to human rights. As the world watches the 2006 FIFA World Cup, a showcase of world-class athleticism and teamwork, Germany, despite its professed commitment to fight the abuse and exploitation of women and girls through trafficking, by certain policies is facilitating or encouraging the very crime it professes to abhor.
In December 2001 the German government legalized prostitution, which is not only inherently harmful and dehumanizing, but it also fuels trafficking because it provides a facAE9ade behind which traffickers for sexual exploitation operate. Legalization of prostitution also places a greater burden on law enforcement as officials try to distinguish legal pimps from human traffickers.
According to the U.S. State Department, where prostitution is legalized or tolerated, there is a greater demand for human trafficking victims and nearly always an increase in the number of women and children trafficked into commercial sexual slavery. Major sporting events and conventions attract large numbers of people and also have been proven to result in an increase in the demand for commercial sexual services. Pimps and traffickers jump to respond to the demand by trafficking women and girls for prostitution to events, such as the World Cup.
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In Germany there are more than 400,000 women in prostitution, 75% of whom are foreigners. A 2001 report by the German Federal Criminal Investigation Office reported that of the 414 women and girls in prostitution that were surveyed, 45% were forced into prostitution through violence, torture, rape, or intimidation.
Further research conducted by Melissa Farley at Prostitution Research and Education found that 71% of women surveyed were physically assaulted while engaged in prostitution and a staggering 89% wanted to escape prostitution. Rather than preventing the abuse of women, the legalization of prostitution appears to condone an act that almost half the time will result in the physical abuse of a woman.
Regrettably, according to a 2003 UN report, Germany is the top destination country for trafficking in women and children for prostitution, with most victims trafficked from the former Soviet republics and Central and Eastern Europe. The German government should be outraged by this and immediately begin to look at their policies which make Germany such an inviting country for traffickers.
In 1993, there were 517 cases of illegal sex slave trade; in 2003, the number of identified victims was 1,235. Although specific statistics aren't available, a recent UN report estimates the number of forced laborers in Germany to be anywhere from 2,000—20,000. Most of these are women from Eastern Europe who were forced into prostitution.
The link between legalization of prostitution and trafficking was recognized in the U.S. State Department's 1999 Country Report on Human Rights Practices, released by the Bureau of Democracy, Human Rights and Labor. In the country report on Australia, it was noted that in the State of Victoria which legalized prostitution in the 1980s, ''Trafficking in East Asian women for the sex trade is a growing problem'' in Australia. ''. . . lax laws—including legalized prostitution in parts of the country—make [anti-trafficking] enforcement difficult at the working level.'' In order for the German government to successfully combat trafficking in persons it must reverse the legalization of prostitution.
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The European Union has also expressed concern that the legalization of prostitution in Germany provides an atmosphere for World Cup fans to legally rape women in brothels or in mobile unites designed for quick and discrete entrances and exists for the rapists. Europeans and Americans are not the only ones watching in horror as Germany potentially plays host to human traffickers. Vivi Akakpo, the West African coordinator for the All Africa Conference of Churches said, ''It is now public knowledge that organized syndicates have plans to bring in young women, particularly from Eastern Europe and from other poor countries, to Germany in time for the World Soccer Cup 2006.''
While I welcome the recent ratification by the German government of the UN Protocol to Prevent, Suppress, and Punish Trafficking in Persons, Especially Women and Children, as my amendment states, such actions are only a necessary first step in combating trafficking in persons in Germany. This resolution encourages the German government to implement the protocol as soon as possible.
This legislation, which has 30 cosponsors, also calls for fans, players, and all citizens to boycott the Brothels and calls on the government of Germany to take immediate action to halt state sponsorship of commercial sexual exploitation that leads to sex trafficking of women in connection with the World Cup games.
The many athletes and coaches of teams that will play in the World Cup can be a voice for the voiceless and should denounce Germany's complicity in sex trafficking. Sponsors of the World Cup should also join in the efforts to end the sexual exploitation of women and girls and prevent trafficking in human beings.
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All those who support the dignity of women should demand strong and immediate actions by the German government to reverse its facilitation of sex trafficking. I ask my colleagues to give favorable consideration to H. Res. 860, which is a very timely and necessary statement to our colleagues in Germany that it is their responsibility to fully comply with the spirit of anti-trafficking efforts and reverse its pro-commercial sex laws.
Mr. SMITH OF NEW JERSEY. Let me also point out to my colleagues, as they all know, we held a series of hearings, the first hearing devoted exclusively to the situation in Germany, followed by a general trafficking hearing at which we heard from two Russian women who had been trafficked into Germany previously who told us exactly the kind of degradation they suffered.
This resolution puts us, we believe, on the side of saying we ought to be all about protecting women from this kind of degrading treatment, whether it be a seemingly legal establishment or that thin line of demarcation that separates truly trafficked women.
The amendment I am offering does recognize some of the efforts of the German Government. Well, they just recently, within days, ratified the United Nations Convention Against Transnational Organized Crime and the U.N. Protocol to Prevent, Suppress, and Punish Trafficking in Persons, especially women and children. And then we urge the Government of Germany to fully implement that.
So in the midst of all of this they have done something that at least looks good. The key will be in its implementation.
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We also, in this amendment, since the German Government expressed some concern that we used the word ''legalized,'' we strike the world ''legalized'' and put in what they claim is what has happened, and that is—and the language reads as such:
''Officially declared that prostitution is no longer to be seen as immoral and amended its legal code to legalize the maintaining of a brothel to permit 'pimping,' except when it involves exploiting a prostitute by impairing her personal or economic independence, and to elevate prostitution to the status of a legitimate profession.''
Obviously, I don't agree that that is a good thing, but they wanted a clarification as to ''legalization'' versus what it is that they have done.
I would now turn to my friend and colleague, Mr. Payne, for any opening comments he might have.
Mr. PAYNE. Thank you very much.
Let me commend you for being vigilant on this whole question of trafficking and protecting victims, and as it particularly pertains to the World Cup that is actually being held today.
Actually, the World Cup is the largest sporting event in the world, and I do believe that countries should not allow sexual exploitation to be a large part of this sporting event, which is healthy, which is competitive, which is team-building in national pride.
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And so I certainly support this legislation and urge its adoption.
Mr. SMITH OF NEW JERSEY. Are there any other Members who would like to be heard?
Ms. WATSON. Yes.
Mr. SMITH OF NEW JERSEY. Ambassador Watson.
Ms. WATSON. Thank you so much, Mr. Chairman, for bringing this issue and this resolution to us again.
This is specific to a specific activity that is taking place now, but before this probably completes the process, the games will be over. However, is there a possibility to put into this message—because it sends a message—that we would like to see the governments look at this whole industry and possibly set up a program.
let me just tell you where I am coming from. When we were getting ready to have the Olympics in Los Angeles in 1986, I put in a piece of legislation that would require rape counseling centers in every police precinct. I got a call from my mayor saying that in one of the Russian newspapers, Izvestia, they said that the rape rate is so high that one of the local representatives is asking for a counseling center. So it struck a note that far away.
And so referring to the pimping and the prostitution industry, I am wondering if we could strike a note with them to say that we would like Germany, in particular, to review its policies and so on.
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Now I don't know if it is there; I haven't read it all the way through. I just raise that issue because I think that this whole industry needs to be reviewed in these countries if they are going to host a world game.
Mr. SMITH OF NEW JERSEY. Will the gentlewoman yield?
Ms. WATSON. Yes, I do yield.
Mr. SMITH OF NEW JERSEY. We do have in the resolved clause an emphasis on demand, trying to reduce demand. We also talk about one of the groups, the Final Whistle-Stop Forced Prostitution Campaign, and the work they are doing to try to mitigate this abuse.
But certainly any additional language that you think might be helpful as we go to Full Committee; or if you have it ready now, we would certainly—if it strengthens the resolution, let's do it, because we do want to send a very consistent message on prevention—protection for the women and prosecution of those who exploit.
Ms. WATSON. If I can respond, let me just say that I would like to take this and when it comes to the Floor, I would like to offer an amendment to the last section, subsection 8, lines 3 to 4, because we are in this resolution urging ''Germany and all countries to ratify or accede to,'' and it goes on. So I would like to, within this language, to have some specificity. You know, we ought to stand for discouraging this kind of thing.
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So I would like to add some language, and I will bring it up at that time. Thank you, Mr. Chairman.
Mr. SMITH OF NEW JERSEY. Would any other Members like to be heard?
If not, the question occurs on the amendment.
All those in favor, signify by saying aye.
Opposed, no.
In the opinion of the Chair, the ayes have it and the agreement is agreed to.
The question now occurs on the motion to report the resolution H. Res. 860, as amended.
All those in favor, signify by saying aye.
Opposed, no.
The ayes have it and the amendment is agreed to. The staff is directed to make any technical and conforming amendments.
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Without objection, the resolution will be reported favorably to the Full Committee in the form of a single amendment in the nature of a substitute, incorporating the amendment adopted here today. Without objection, the staff is directed to make any technical and conforming amendments.
Pursuant to notice, I now call up the bill H.R. 4319, the Assistance for Small and Medium Enterprises in sub-Saharan African Countries Act of 2005 for purposes of markup and move its consideration recommendation to the Full Committee.
[H.R. 4319 follows:]
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Mr. SMITH OF NEW JERSEY. Without objection, the bill will be considered as read and open for amendment at any point.
The clerk will report the bill.
Ms. PLUMLEY. H.R. 4319, to provide assistance for small and medium enterprises in sub-Saharan African countries and for other purposes.
Mr. SMITH OF NEW JERSEY. Without objection, it is considered as read and open for amendment. And I recognize myself for a brief moment to explain the bill.
Two weeks ago this Committee held a hearing on removing obstacles to small and medium enterprises in Africa. That hearing was a prelude to our consideration of H.R. 4319, the Assistance For Small and Medium Enterprises in sub-Saharan African Countries Act.
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I would like to thank Mr. Lantos, the Ranking Member of our Full Committee, for his cooperative efforts in working with me and other Members of the Committee to craft this legislation—it is his bill—to meet a need that our hearing confirmed.
While the African Growth and Opportunity Act, or AGOA, was intended to build business linkages between African and American entrepreneurs, too often these linkages have involved the oil trade rather than small and medium enterprises. As we all know, it is small businesses that create jobs, and the lack of small and medium enterprises' participation in AGOA limits the benefits we had hoped such businesses would realize.
In the hearing, we heard witnesses tell us that too many obstacles interfered with the ability of small and medium enterprises to take advantage of the opportunities offered by AGOA. One of the main problems is the lack of attention to United States-African agricultural trade; 70 percent of Africans are engaged in agriculture, and if our trade preliminaries have any hope of reducing poverty, we must help small and medium businesses in the agricultural sector.
H.R. 4319 does just that. To that end, H.R. 4319 empowers the FDA to provide technical assistance to African farmers to ensure that their exports meet American requirements and calls on the Department of Agriculture to help improve market access for United States agricultural products in African countries.
H.R. 4319 does not neglect small and medium enterprises outside of the agricultural sector. It calls on the Small Business Administration to convey basic information on selling goods in foreign markets.
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A very important aspect of this legislation is that H.R. 4319 protects the rights of workers to encourage productive labor-management relations so that increased United States-Africa trade is not plagued by workers laboring in unsafe conditions.
Provisions of this bill have long been championed by Members of the Committee, including Mr. Payne and Mr. Royce, but were stripped out from the last AGOA bill. We believe that the reinsertion of these provisions in the legislation will enable our trade preference programs to be more effective in broadening the benefits to small and medium enterprises.
I yield to Mr. Payne for his comments.
[The prepared statement of Mr. Smith follows:]
PREPARED STATEMENT OF THE HONORABLE CHRISTOPHER H. SMITH, A REPRESENTATIVE IN CONGRESS FROM THE STATE OF NEW JERSEY AND CHAIRMAN, SUBCOMMITTEE ON AFRICA, GLOBAL HUMAN RIGHTS AND INTERNATIONAL OPERATIONS
H.R. 4319
Two weeks ago, this Subcommittee held a hearing on removing obstacles to small and medium enterprises in Africa. That hearing was a prelude to our consideration of H.R. 4319—the Assistance for Small and Medium Enterprises in Sub-Saharan African Countries Act.
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I'd like to thank Mr. Lantos, the ranking member of our Committee, for his cooperative efforts in working with me to craft this legislation to meet a need that our hearing confirmed. While the African Growth and Opportunity Act, or AGOA, was intended to build business linkages between African and American entrepreneurs, too often these linkages have involved the oil trade rather than small and medium enterprises. As we all know, it is small business that creates jobs, and the lack of small and medium enterprise participation in AGOA limits the benefits we had hoped such businesses would realize.
In the hearing, we heard witnesses tell us that too many obstacles interfered with the ability of small and medium enterprises to take advantage of the opportunities offered by AGOA. One of the main problems is the lack of attention to U.S.-African agriculture trade. Seventy percent of Africans are engaged in agriculture, and if our trade programs have any hope of reducing poverty, we must help small and medium business in the agriculture sector. H.R. 4319 does that.
To that end, H.R. 4319 also empowers the Food and Drug Administration to provide technical assistance to African farmers to ensure that their exports meet American requirements and calls on the Department of Agriculture to help improve market access for U.S. agricultural products in Africa countries.
However, H.R. 4319 does not neglect small and medium enterprises outside the agriculture sector. It calls on the Small Business Administration to convey basic information on selling goods in foreign markets.
A very important aspect of this legislation is that H.R. 4319 protects the rights of workers and encourages productive labor-management relations so that increased U.S.-Africa trade is not plagued by workers laboring in unsafe conditions.
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Provisions of this bill have long been championed by members of the Subcommittee, such as Mr. Royce and Mr. Payne, but were stripped from the last AGOA bill. We believe the reinsertion of these provisions in legislation will enable all our trade preference programs to be more effective in broadening the benefits to small and medium enterprises.
I ask my colleagues to give favorable consideration to H.R. 4319, which is a very timely and useful effort to make U.S.-Africa trade as effective as it was intended to be.
Mr. PAYNE. Thank you, Mr. Chairman. And I strongly support 4319. As we know, perhaps 80 percent of population in Africa lives in rural areas, and it would just seem that it is a natural thing for people who live in rural areas to be able to use that area for agriculture.
We do know there are some problems here in our country, in Europe and in Japan where a tremendous amount of agricultural subsidies are given to the farmers in the Western Europe, United States and Japanese countries. We will be unable to impact that here immediately, but I think that we should do everything that we can to assist the African farmer.
Unfortunately, about 25 years ago, USAID got out of the business of assisting in farming, and until Administrator Natsios returned, there was no emphasis on agriculture at all, and he did start a move for USAID to focus on agriculture.
If you keep people—if there are opportunities in the agricultural regions, it will prevent people from rushing to the cities where the cities are overcrowded. It creates slums; people are looking for employment, and it just exacerbates an already bad situation. And so if there is a way to keep people in the rural areas in agricultural sectors, I think that that helps the countries in general.
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Mr. Natsios has left USAID, but I hope the new administrator will pick up on the whole question of agriculture. But I think that this bill will certainly go a long way in assisting small and medium-size enterprises, and so I urge support of the legislation.
Mr. SMITH OF NEW JERSEY. Thank you.
Are there any amendments to the bill? Would anyone else like to be heard?
Ms. WATSON. Mr. Chairman, I do have a concern that was brought to me by representatives of the Ethiopian Government, and it had to do with IP, intellectual property.
But more so than that, they are the producer of a very fine coffee bean upon which some newly established coffee houses have made their fortunes; and the trade arrangements are such that there is a disincentive for the country of Ethiopia to grow the coffee bean, because they only get, like, 1 percent of the take, and it costs them so much to farm.
So I might also look to see if we can put protections in here for the intellectual property. They are trying to grab their brand name from them, so there are some trade considerations that I would like to see. I will then look at bill and prepare an amendment along those lines.
Mr. SMITH OF NEW JERSEY. Thank you.
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The question occurs on the motion to report the bill H.R. 4319, Assistance For Small and Medium Enterprises in sub-Saharan African Countries Act of 2005, favorably.
All those in favor, signify by saying aye.
Opposed, no.
The motion is approved and the bill is reported favorably. The staff is directed to make any technical and conforming amendments.
We now move to our next piece of legislation. Pursuant to notice, I call up the bill H.R. 4780, the Global Online Freedom Act of 2006, for purposes of markup, and move its favorable recommendation to the Full Committee. Without objection, the bill will be considered as read and open for amendment at any point.
[H.R. 4780 follows:]
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Mr. SMITH OF NEW JERSEY. The Clerk will report the amendment.
Ms. PLUMLEY. Amendment in the nature of a substitute to H.R. 4780, offered by Mr. Smith of New Jersey.
[The information referred to follows:]
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Mr. SMITH OF NEW JERSEY. Without objection, the amendment is considered as read. And any amendments offered thereto would be to that text, I would point out to my colleagues.
You have in front of you a summary of H.R. 4780, but I will highlight some of the key provisions.
And again, this legislation, which we have been working on for several months, grew out of an ongoing concern about not just China, but—especially China, but other Internet-restricting countries. And as my colleagues will recall, we held a considerable hearing in this Committee room several months ago; I think it was about a 7 1/2-hour hearing.
We heard from the Administration, we heard from human rights organizations, including Reporters Without Borders; and we also heard from four of the Internet giants who provided us testimony and, frankly, were held to account, I think, for some of the actions that they are taking in Internet-restricting countries.
This legislation is comprehensive. It establishes the promotion of free access to information through the Internet and recognizes it as a fundamental component of U.S. policy. It requires the President to submit to Congress an annual report designating as an Internet-restricting country any nation whose government authorities systematically and substantially restrict Internet freedom.
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It creates an Office of Global Internet Freedom in the State Department, not unlike what we did with trafficking, or in the area of religious freedom, as well as in the anti-Semitism area, that would develop and implement a global strategy to combat state-sponsored Internet jamming by repressive foreign governments and to work with Internet companies and the private and nonprofit sectors to develop a voluntary code of minimum corporate standards related to Internet freedom.
The legislation would prohibit U.S. companies from disclosing to foreign officials of Internet-restricting countries information personally identifying a particular user, except for legitimate law enforcement purposes as determined by the U.S. Department of Justice.
With regards to filtering and censorship disclosure, it requires U.S. Internet service providers to disclose to the Office of Global Internet Freedom the terms and parameters that are used to filter or alter search engine results and the uniform resource locators, or URLs, of all data and content that they have removed or blocked in order to comply with the censorship policies of an Internet-restricting country.
Very importantly, we also provide that there be no censoring of U.S. Government sites, which is routine whether it be the religious freedom report or the report on trafficking or country reports on human rights practices. Notoriously, in places like China, that is excised out of what is available to their Internet users, so we would block that. It establishes a civil and criminal penalty regime similar to the Foreign Corrupt Practices Act for violations of these standards.
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And that basically outlines the bill which we can go into in further detail if you would like. Would anyone else—Mr. Payne would you like to be heard?
Mr. PAYNE. I will just be very brief.
We did have a very long hearing. It is something that has a lot of concern, and I do believe that we need to move in an affirmative way to try to ensure that the Internet is free. I understand there may be some amendments, and if so, I would like to wait to hear what those amendments are.
Mr. SMITH OF NEW JERSEY. Okay. And let me just say, I am very grateful, Mr. Payne, for your cosponsorship and that of many Members of our Subcommittee and Full Committee.
Would anyone else like to be heard?
If not, the amendment in the nature of a substitute is open for amendment.
Mr. Blumenauer, do you have an amendment?
Mr. BLUMENAUER. Yes, Mr. Chairman. First of all, as I understand it, you have changed the requirement for export controls that would be implemented within 90 days to a 180-day feasibility study by the Department of Commerce.
Mr. SMITH OF NEW JERSEY. The gentleman is correct.
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Mr. BLUMENAUER. Let me say I appreciate movement in that direction. One of the things that our Full Committee needs to spend some time on is a seriously broken export control system. I think the evidence is that it is counterproductive for American, not just American business, but I think we can demonstrate that it ends up boomeranging in terms of our own defense interests, because it drives people away from America and to develop their own capacity and to deal with people who are not necessarily friendly to the United States.
So I would like to express my appreciation for making the change on that.
I did not realize that until I sat down that you had changed the text, it wasn't in the version that we had. So because I was prepared to offer an amendment to strike Title III, and I would like to think it through—but let me share my reservation with you, if I may, to have yet another study that the Department of Commerce does.
These people are extraordinarily strained right now. Their capacity to turn around, to deal with legitimate concerns of our constituents, businesses that are dealing with the myriad requirements of export controls right now gives me pause, because I think, frankly, that that is something that has been undercut in terms of the ability of the Department of Commerce to respond.
I think any of you who talk to high-tech interests in your districts would find that they have some problems. And I suspect, although I haven't yet had this conversation specifically with the Department of Commerce, there is a question about their ability to comply.
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But let me say, I really appreciate its being a feasibility study so that we have a better approach. I won't do anything at this point; I would like to think about it. But I do think that it is wise for us to go into this very carefully.
Mr. Chairman, I do however, have an amendment that I would offer up, with your permission.
Mr. SMITH OF NEW JERSEY. The Clerk will report the Blumenauer amendment.
Ms. PLUMLEY. Amendment to the amendment in the nature of a substitute to H.R. 4780 offered by Mr. Blumenauer of Oregon.
[The information referred to follows:]
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Mr. SMITH OF NEW JERSEY. I ask unanimous consent the amendment be considered as read and the gentleman is recognized for 5 minutes.
Mr. BLUMENAUER. Thank you. Thank you, Mr. Chairman. This amendment deals with section 201, and I appreciate the focus that the Chair has had. The fact that we as a Committee have had an opportunity to be exposed to a wide variety of opinions and you move forward with dispatch. I commend you for that. I appreciate it is the way that it has been handled.
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But I do want to express reservations about section 201, which, as you mentioned in your summary, would prohibit the United States technology companies from locating personally identifiable information in an Internet-restricting country. These companies, in their efforts to adopt industry standards to protect users, are discussing various approaches to reducing the risk of personally identifiable information being accessed and potentially abused by the authorities. And I think you, Mr. Chairman, and the Members of this Committee are a part of that, that has moved the industry to be more reflective and thoughtful, spurring them along.
But I wonder if, at this point, it is appropriate to have such a categorical prohibition that is contained in 201, in part because it would be a huge competitive disadvantage for most Internet service providers. It, frankly, in addition, may well mean that U.S. companies would be prohibited from doing business in a number of countries who require that personally identifiable information be available within the jurisdiction where the services are provided for law enforcement purposes, just as American law enforcement often gets warrants for personal information from Internet service providers.
I also understand—and I am going here beyond my technological capacity, but some of the certified smart people who work with me and those in the industry and those with interest groups lead us to believe that the prohibition of locating servers or storage facilities with personal identifiable information in Internet-restricting countries would, in effect, be a prohibition on locating all servers or storage facilities in such countries because of the way the Internet operates.
By keeping the United States Internet companies out of these Internet countries, we would actually increase the ability of these countries, and I think we ought to consider this very carefully. We would increase the ability of these countries to actually control the Internet as it would limit the spread of the Internet and keep American companies that I think, in part, as I said, because of what this Subcommittee has started, to sort of think of ways that they can accomplish the objectives that we have offered up to them.
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It would thus limit the spread of the Internet and keep the companies who are grappling with these difficult issues—we have their attention, we are working with them, and, frankly, it would be to the benefit of companies around the world who are less concerned with human rights.
Now, I believe we need a tough strategy to deal with the issue of Internet freedom. But I would prefer that that be through bilateral and multilateral challenges that treat it more as a diplomatic issue and a barrier to trade.
Placing heavy restrictions on United States companies may be the simplest approach to take, and I know, after hearing some of the stories, it would make me feel better; but I am not certain that we would be doing what we should to deal with this very troubling issue and advance the cause of Internet freedom and, at the same time, potentially set back American competitiveness.
I respect the deep concerns that the Committee Members have expressed. I appreciate, Mr. Chairman, that you have been moving this forward; but I with all due respect, I suggest that section 201 may well have unintended consequences.
The final point I would make—and I appreciate your referencing Reporters Without Borders' report, because we have had them in and they provide some great information. But I would urge my colleagues, before we are finally adopting something here, to take a hard look at the list of countries that this includes. It is not just China; it is not just a few that are mentioned in the findings portion of this legislation. There are referenced in their 2006 report—by my count, there are a couple dozen countries, including some issues that relate to the European Union that—I think we are getting a little further along here than we recognize, and it could foreclose a pretty broad sweep of American activity around the world for negligible results.
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I appreciate the courtesy and the time in offering this amendment, and I would respectfully request that my fellow Members of the Subcommittee considering approving it.
Thank you.
Mr. SMITH OF NEW JERSEY. Thank you.
I do rise in opposition to the gentleman's amendment, and I do so with respect. And I appreciate his comments a moment ago, but let me make a couple of points.
The operative language that would be struck is very simple and it reads as such:
''A prohibition of locating personally identifiable information in Internet-restricting countries. A United States business may not locate within a designated Internet-restricting country any electronic communication that contains any personally identifiable information.''
Section 201, which that is, protects those United States Internet companies that are doing right in China and are not locating personally identifiable information in China. And that would include Microsoft; that would include Google. It would not include Yahoo.
You know, you recall we had the Yahoo representative here testifying. There was a difference among our panelists. Google made it very clear that GMail and the information that would identify individuals is not accessible by the Chinese dictatorship. They can't just ask for it and get it the way they do with Yahoo.
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I pointed out, as did other Members during that markup, or that hearing, I should say, that Shi Tao, an individual that got 10 years in Chinese prison simply for sending an e-mail—which obviously was in Yahoo because they locate that information inside the country of China, or the ability to access it. He got 10 years simply for telling other journalists, other individuals, via an e-mail about the restrictions that the government was putting on the commemoration of Tiananmen Square.
In other words, they did a lockdown during the early days in June so that no one talks about the Tiananmen Square massacre. For that, he got 10 years.
That would not have happened with GMail or one of the other Internet companies. So we are saying that there are some companies that are doing it right, and we are trying to make it clear that we want to encourage that, while profoundly discouraging, through the use of law, companies like Yahoo.
So I think if this were to be knocked out, obviously we would have another argument at Full Committee. But it would really gut what I think is one of the essences of this legislation, and that is to prevent the secret police of China, or Belarus, or other Internet-restricting countries, from being able to find out who it is that is on the Internet, go to the door of that person, arrest them and put them into prison. That is the everyday, on-the-ground reality that we are trying to preclude with insertion of section 201, which in all due respect, the gentleman would strike.
So I hope Members would join me in resisting this amendment. I am sure it is well-intentioned, but I think it is misguided.
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Would anyone else like to be heard on the amendment?
Ms. MCCOLLUM. Mr. Chairman, I would like to yield my time to Mr. Blumenauer.
Mr. SMITH OF NEW JERSEY. Sure.
Mr. BLUMENAUER. I will not take my additional time and I don't want to pose undue problems, but there are just two things that I would offer for the Committee's consideration, because I do think there is a very real question about how broad this sweep is. And I would hope that nobody would move forward with section 201 unless you are confident about how narrow that is going to be confined.
Second, to consider even if my earlier concern is one that you are comfortable with, the incentive that this provides to drive these companies offshore to have parts in wholly owned subsidiaries in these countries or to abandon markets.
The final point is just—to consider that it goes beyond just the situation with China. I mentioned the Reporters Without Borders' annual report where, included in this, are examples in Egypt, Saudi Arabia, Singapore, South Korea, where there have been abuses of the Internet, things that we would think inappropriate and, in some cases, unconscionable to politically interfere.
The sweep of what is going on in other countries is quite broad, and it goes far beyond what we heard from China. Looking through Tunisia, Thailand, Nepal, the Maldives, as I mentioned, South Korea, Malaysia, Burma, Egypt, Bahrain, these are ones that I have been able to identify where there are—in fact, according to your own source here, Reporters Without Borders—where there has been interference, political repression and attempts at control; and that these tend to be growing with time.
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So obviously the intent of this legislation, I think, is honorable. I think it is important for us to work to try and protect.
I want to encourage that—we have heard from all four of our companies, but I do hope that people will look hard at section 201 for the reasons that I have mentioned. And I appreciate my colleague for yielding to me, and I will be quiet at this point. Thank you.
Mr. SMITH OF NEW JERSEY. Thank you. The gentlewoman yields back. Anyone else.
Mr. GREEN. Thank you, Mr. Chairman. I certainly appreciate the sincerity of the gentleman's comments and I think these are issues that we should obviously look at as we go to Full Committee, and should have a more thorough debate and discussion. I am sure that we will. And I look forward to help moving this legislation along in that process and give the gentleman the opportunity to help discuss those further.
Mr. SMITH OF NEW JERSEY. Thank you very much, Mr. Green.
The question occurs on the amendment.
All of those in favor, say aye.
Those opposed, no.
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In the opinion of the Chair, the noes have it.
Mr. BLUMENAUER. May I have a division on that?
Mr. SMITH OF NEW JERSEY. The gentleman calls for a division.
All of those in favor of the amendment will raise their hands.
All of those opposed to it.
In the opinion of the Chair, the noes have it.
Any further amendments to the pending legislation? If not the question occurs on the amendment in the nature of a substitute.
All of those in favor, say aye.
All of those opposed, say no.
The ayes have it and the amendment in the nature of a substitute is agreed to.
The question occurs on the motion to report the bill favorably.
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All of those in favor, say aye.
Those opposed, no.
The ayes have it and the bill will be reported favorably.
Without objection, the staff is directed to make any technical and conforming amendments.
Pursuant to notice, I call up the final bill on today's agenda, H.R. 5382, the Central Asia Democracy and Human Rights Promotion Act of 2006 for purposes of markup and move its favorable recommendation to the Full Committee.
Without objection, the bill will be considered as read and open for amendment at any point.
[H.R. 5382 follows:]
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Mr. SMITH OF NEW JERSEY. I do have an amendment in the nature of a substitute. Without objection, it will be considered as read.
[The information referred to follows:]
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Mr. SMITH OF NEW JERSEY. I would like to recognize myself for just a moment or two to explain the legislation that is before us. Since 9/11, the strategic nature of the troubled region of Central Asia for the United States has become apparent, as the five countries, Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan and Uzbekistan are strategically positioned at the crossroads of Europe and Asia.
Sadly, in the 15 years since independence, respect for human rights and democratization is alarmingly poor, and it has worsened.
As Chairman of this Subcommittee and as Co-Chairman of the Commission on Security and Cooperation in Europe, I appreciate the wide spectrum of conditions in Central Asia, which is why I introduced this bill, to help encourage these countries to vigorously pursue greater respect of fundamental freedoms.
Our interest is not just on the governments of the five ''stans,'' but also on U.S. foreign policy. Considering the increase of U.S. involvement in the region, I have been troubled by the apparent lack of a coherent, uniform policy to encourage these governments to respect human rights and democratization.
Consequently, one of the goals of the bill is to bring greater consistency to United States policy, creating a framework to guide our bilateral relations with Central Asia. The President, through his freedom agenda, has laid out bold principles to guide U.S. foreign policy. The act supports this agenda by providing $97 million in assistance for human rights and democracy training, and $10 million for increased Radio Free Europe, Radio Liberty, and Voice of America broadcasting.
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The bill establishes a certification mechanism for the distribution of assistance to each government. The Secretary of State will determine whether each has made ''significant improvements'' in the protection of human rights. This system will have a national security waiver, and is modeled on the current system in foreign ops approps measures for Kazakhstan, but expanded for all five countries.
In addition, considering the forced return of Uzbek refugees from Kyrgyzstan and Kazakhstan, the act will require the Secretary of State to report on whether any government is forcibly returning Uzbeks or other refugees who have fled violence and political persecution.
This is modeled on language regarding Kyrgyzstan in the foreign ops approps bill and, again, expanded to all five countries. Notably the legislation will create a sanctions section for Uzbekistan. First, the bill places into law the limitations already established, and those limitations prevent funding to the Uzbek Government unless the Secretary of State determines the government is making substantial and continuing progress toward respect for human rights, and that the government begin a credible international investigation of Andijan. We all remember the great—the horrible murder and massacre that occurred there.
The act would also mirror European Union sanctions by establishing a visa ban and export ban on munitions. The sanctions sections also establishes an asset freeze for Uzbek officials, their family members, and their associates implicated in the Andijan massacre or involved in other gross violations of human rights.
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Protection of fundamental freedoms for the people of Central Asia will ultimately promote, I believe, and I think we all believe, long-term stability and security in the region. Acquiescence to the status quo challenges the sincerity of our stated objectives as declared in the National Security Strategy for 2006 that the U.S. must defend liberty and justice, because these principles are right and true for all people everywhere.
The bill has been cosponsored by a large number of Members of our Subcommittee, and the Full Committee as well. And at this point, I would yield to Mr. Payne for any comments he might have.
Mr. PAYNE. Thank you, Mr. Chairman. I certainly support the legislation, and I will be brief and urge its adoption.
Mr. SMITH OF NEW JERSEY. Thank you, Mr. Payne. Would any of our Members like to be heard on the legislation, on the amendment in the nature of a substitute?
The question now occurs on the amendment in the nature of a substitute.
All of those in favor, say aye.
Those opposed, say no.
The ayes have it, and the amendment in the nature of a substitute is agreed to. The question occurs on the motion to report the bill, H.R. 5382, favorably, as amended.
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All of those in favor of reporting it favorably, say aye.
Those opposed, say no.
The ayes have it, and the motion is approved. Without objection, the staff is directed to make any technical and conforming amendments.
Ms. LEE. Mr. Chairman, I have a question that I would like to ask and enter into a colloquy with you about a bill that was pulled today, the African Development Foundation Bill, H.R. 5652. We have been working in a bipartisan way to try to get all of the issues and difficulties—and there were not many—resolved in this. And we thought coming to this hearing today that everything had been resolved, only to find that the bill was pulled. And I would like to ask you what the objections are now.
Mr. SMITH OF NEW JERSEY. I thank the gentlewoman. First of all, the bill, we have been looking at it. As you know, we held a hearing at which representatives of the Foundation testified. And they did have a text that they talked to us and others about.
We are still just going through the text very carefully. I know that David Abramowitz had some problems with one of the measures, and you were prepared to offer an amendment.
Ms. LEE. I have an amendment to that.
Mr. SMITH OF NEW JERSEY. I know you do. We just want some additional time to study this text and make sure that all of the i's are dotted and the t's are crossed. So we will be looking at it further. I think it is matter of when and not if.
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Ms. LEE. Well, Mr. Chairman, I thought we had accomplished that by today. So whatever those i's, whichever i's need dotting, we would like to dot. I guess I would ask is it possible to waive that out of the Subcommittee once we do do that and report it to the Full Committee?
Mr. SMITH OF NEW JERSEY. If we can come to a consensus, that would be fine. I want to spend some additional time. As Mr. Payne knows, as I know, every bill we do, we go through rewrites.
Ms. LEE. I understand that. It never would have been scheduled for today.
Mr. SMITH OF NEW JERSEY. We were trying to, in good faith, to move it as quickly as we can. But, again, it was only introduced yesterday.
Ms. LEE. Well, okay, Mr. Chairman. Let's see if we can do this, if possible, and get it done. We are certainly willing to do this amendment that we discussed and any other amendments that may make sense from your side. But we thought we had it resolved.
Mr. SMITH OF NEW JERSEY. Okay.
Mr. PAYNE. Mr. Chairman, I was also expecting it to come up at this time. I would just urge that the reading of the text and all of the concerns, that maybe they could perhaps be concluded maybe by week end, and if there is a possibility, even if we are going to have a Subcommittee meeting, that we have a special markup at that time.
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I certainly feel that as Chairman you need to feel comfortable with the legislation. But if that could be done real quickly, then we would appreciate moving it, since the African Development Foundation has done an outstanding job and there is a dire need for the approval and the request for additional funding. Thank you.
Mr. SMITH OF NEW JERSEY. I think it should be very clear that we had representatives of the African Foundation testify at our hearing. I met with them after the hearing. They had a base text that they wanted us to consider. And I think Ms. Lee, you introduced—you went down to leg counsel, basically put it into that final form.
We just want to look at it carefully. I mean, I was thinking of introducing it myself. So it is not like we are talking—we are talking about something we just need to work further on. I would also say it has not been reauthorized for 25 years, which is 25 years too long. So we will work with you.
Ms. LEE. Thank you very much.
Mr. SMITH OF NEW JERSEY. Is there any other business before the Subcommittee? If not the Subcommittee is adjourned. I thank my colleagues for their participation.
[Whereupon, at 3 o'clock p.m., the Subcommittee was adjourned.]