Marcy Kaptur

Ms. KAPTUR

Ms. KAPTUR. Mr. Speaker, last month, the jobs and fair trade caucus presented its monthly Golden Eagle Award to the employee owners of United Airlines, our Nation's leading airline, and our Corporate Vulture Award to Hershey foods, a company that continues to outsource its Hershey Kiss production to Mexico and downsize its American work force. The two companies, United Airlines and Hershey foods, exemplify the best and worst of corporate practices in America today. As you will recall, the Golden Eagle Award rewards fine U.S. companies that represent the best that is in us as a nation, companies which treat their workers with dignity while making decent profits, strengthen their communities, charge a reasonable price for products, and remain and prosper in the United States. When all of these practices are undertaken by one company, that company deserves our praise and to be recognized as a Golden Eagle Co. The Corporate Vulture Award, like the scavenger it represents, is given to a company in need of vast improvement, a company which exploits our marketplace yet downsizes its work force in America. These firms outsource most production to foreign countries, and use sweatshop labor abroad but then import these transhipped products back to the United States while keeping prices high here at home and maintaining all of the benefits of being called an American company. Corporate vultures deserve our disdain. Today, the jobs and fair trade caucus is proud to present this month's Golden Eagle Award to Natural Cotton Colors, a small manufacturer of naturally colored cottons located in Wickenburg, AZ. Sally Fox, the founder of Natural Cotton Colors and inventor of environmentally safe colored cotton suitable for organic farming, is quite an American. As Sally herself has stated, the success of her company is a real Jack and the Beanstalk Story. In 1982, Sally came across brown cotton seeds in a bag and thought that she could grow and sell the brown cotton to hobbyists who hand spin yarn. A small American business was thus born. Since those humble beginnings, Natural Cotton Colors now sells environmentally safe colored cotton around the world. The company's sales over the past few years have averaged around $5 million. What makes Natural Cotton Colors unique is its commitment to the environment. Sally developed her own trademark, Fox Fibre, for the purpose of promoting environmentally sustainable production of cotton-- while remaining profitable. In order for a textile manufacturer to be licensed to use the Fox Fibre trademark, the manufacturer must agree to abide by numerous environmental standards. Manufacturers using Fox Fibre are not allowed to use dye, bleach, or formaldehyde finish in their production. With so many multinational corporations and countries engaged in a race to lower environmental standards around the world, Natural Cotton Colors is to be strongly commended for one small company's efforts to promote a safer and cleaner environment for our children. The story of Sally Fox and Natural Cotton Colors is truly an American story. By resisting the temptation to outsource production, Sally Fox and her company provide good jobs for American workers and farmers. When Sally receives an order for her product, Natural Cotton Colors consistently contracts out to American farmers scattered around the Midwest. Although she is able to cut costs dramatically by contracting out the company's work to cheap labor in Mexico and China, Sally Fox has remained strong in her commitment to America. Natural Cotton Colors is only one of thousands of small businesses in America that do so much to strengthen our communities and our lives. American small businesses provided virtually all of the net new jobs created over the past 10 years. Small businesses account for 50 percent of total sales in the United States. Many small businesses never are recognized for their achievements and their commitment to America. Today, we present the Golden Eagle Award, which includes this certificate and an American flag flown over the U.S. Capitol, to Natural Cotton Colors and Sally Fox for their commitment to the environment, and their commitment to America. Natural Cotton Colors is a small company with a big vision which we as a nation can benefit from. In marked contrast to Natural Cotton color's efforts and commitment to remain in the United States, this month's Corporate Vulture Award is presented to the Green Giant division of Pillsbury and its parent company, Grand Metropolitan PLC. Green Giant/Pillsbury is one of many U.S. corporations that have packed their bags and set up shop in the sweatshops and killing fields of the developing world, leaving a wake of wrecked families and communities here at home in America. In Green Giant's case, the company has shipped their contracts for fresh produce and their frozen food facilities south of the border to Mexico. A close look at virtually any supermarket's frozen food shelves will reveal packages with tiny, obscured, and ambiguous Green Giant labels indicating the food was grown or processed in Mexico or other foreign countries. Green Giant even has the audacity of naming one of their brands ``American Mixtures''--a product that contains mostly vegetables grown in and imported from Mexico but packaged in America. More than 60 percent of Green Giant's broccoli and cauliflower is actually grown in Mexico. As much as Green Giant/Pillsbury and Grand Metropolitan have tried to hide the facts, the truth is that these companies have actively downsized their American work force and sent their production abroad. Watsonville, CA, was once referred to as the frozen food capital of the world. In the mid-1980's, the frozen food packaging industry, including Green Giant, employed 3,500 workers at its peak. Today, there are less than 1,500 workers in Watsonville employed in frozen food packaging. Where did the jobs go? In 1993, Green Giant stated during the NAFTA debate that, and I quote, ``Not a single job in Watsonville is going to Mexico.'' Alas, production in Green Giant's Watsonville plant, where American workers once earned from $7.15 to $11.50 an hour with benefits, has since been moved to Irapuato, Mexico, where workers earn 50 cents an hour without benefits. Not surprisingly, Irapuato, Mexico is the city that many now consider to be the new capital of the frozen food industry. What do American workers and consumers receive in return? Certainly not lower prices. At my local grocery store in Toledo, OH, a 16 ounce bag of Green Giant cut leaf spinach costs $1.66 and Green Giant cream spinach costs $1.69. The price is the same whether the spinach was grown and processed in the United States or Mexico. There is no price differential for imported goods. What is different though is the profit that Green Giant and Grand Metropolitan are making off moving their production to Mexico. Grand Metropolitan, which again owns Green Giant, enjoyed record sales in 50 countries last year totaling $12.6 billion. In 1993, the year that Green Giant was not going to move any American jobs to Mexico, the CEO of Grand Metropolitan, Sir Allen Sheppard, earned over $1.25 million in salary alone. Lost U.S. jobs, downward pressure on U.S. wages, high prices, and huge profits are the characteristics of a corporate vulture. And today we recognize that there are no better examples of being a corporate vulture than Green Giant and Grand Metropolitan. What a shame.

Ms. KAPTUR

Ms. KAPTUR. I object, Mr. Speaker.

Ms. KAPTUR

Ms. KAPTUR. Mr. Speaker, the House voted down two campaign finance proposals today, neither of which solves the fundamental problem: the excessive influence of wealthy interests on our political process crowding out and even alienating average citizens from their own democracy. It is increasingly true that the real two-party system in our country consists not of Republicans and Democrats, but the party of donors and the party of voters. I voted in favor of the Farr substitute today because voluntary spending limits are better than no limits at all, and I completely disagree with Speaker Gingrich, who says that he would emphasize far more money in the political process. That is absolutely ludicrous. In fact the New York Times in a recent story says money is not speech, it is raw power, and that is why the only answer to this problem, because of the Supreme Court decisions, is passage of H.J. Res. 114 to allow Congress and the States to set mandatory limits on campaign expenditures. The choice is clear: More money in the process or less.

Ms. KAPTUR

Ms. KAPTUR. Mr. Speaker, yesterday on Rollcall 325, granting most- favored-nation status to Romania I was incorrectly recorded as voting ``yes.'' I request that the record reflect my opposition to this bill and that I intended to vote ``no.''

Ms. KAPTUR

Ms. KAPTUR. Mr. Chairman, I just wanted to take a few seconds to say that if the Chair were to sustain the gentleman's point of order, it would mean that in that act, the Chair sanctions illegal goods coming into the United States with revenue being collected on those goods against the intent of our law. It would also mean that the U.S. Customs Service is breaking the law. Finally, it would mean that the question for the Member making the point of order is, what illegal goods are coming in and how much revenue is being collected? It is aimed at enforcing current law, which is well-defined in terms of prison labor, child labor, and slave labor. It is merely meant to send a very strong signal to the customs agency that it is time to enforce the laws on the books and the two memoranda of understanding and statements of cooperation with China.

Ms. KAPTUR. I listened carefully to the gentleman's argument, Mr. Chairman, on the point of order. I must point out that the section that the gentleman refers to, I think, rule XXI, clause 5(b), this particular amendment that we are offering, which is not the one that was listed in the Congressional Digest this morning, is a different amendment. The reason that this does not violate that rule is simply because there is ostensibly no tariff revenue collected on these Chinese goods made under these conditions because the U.S. Customs Department should be complying with the law. In other words, these goods should not be coming over our shores, and, therefore, revenues should not be being collected on them. So this particular amendment is revenue-neutral, unlike, perhaps, another amendment that was being contemplated which might have been proper to raise a point of order against yesterday. This is a different amendment. Therefore, it does not have any revenue impact. It does not violate any jurisdiction of any other committee in this Chamber. It merely asks the Customs Service to enforce the laws that we have placed on them, but it does not have any revenue impact.

Ms. KAPTUR. I do, Mr. Chairman.

Ms. KAPTUR. Mr. Chairman, I offer an amendment.

Ms. KAPTUR. Mr. Chairman, our amendment simply states that no funds made available to the United States Customs Service may be used to allow the importation of Chinese goods into the United States that were made with the use of prison, slave or child labor. Now, under a previous memorandum of understanding signed in August 1992 between the United States and the People's Republic of China along with the statement of cooperation signed then 2 years later in 1994, the United States Customs Department is already directed to monitor and ban the importation of such goods, but we know that there is convincing evidence that the United States Customs Service has not been doing so and not following the law. Now, this amendment is very important because it reiterates the commitment of this Congress not to allow the importation into this marketplace of goods made with child, prison, or slave labor. We know that in China 5 to 50 million children are currently working under slave labor conditions in horrendous sweatshops. We also know that 80 to 90 percent of convicts in China are placed in forced labor conditions in Laogai prison camps in the name of reeducation through labor, and there are plenty of publications available that describe what happens. In fact, some of our Members on both sides of the aisle have gone into these camps, even returning here at home with those gum shoes and other products that are sold into this marketplace which should not even be allowed over our borders. We know the latest Amnesty International report on China redocuments the fact that the government treats its own people with contempt, and in regard to prison labor we know that the Chinese Government and prison authorities have knowingly, knowingly sought to evade China's commitment to the two agreements we as a Nation signed with them. In fact, in our own State Department's 1995 country report on human rights practices it is stated, and I quote directly: Repeated delays in arranging prison labor site visits called into question Chinese intentions regarding China's commitments. Now, under our laws the United States Customs Department is already directed to monitor and enforce the prohibition of Chinese goods made under those specific conditions. There may be some questions with the reservation that was asked for, but I hope will be suspended when this is complete, that any impact on funds directed to the U.S. Customs Department and subsequent revenue collection activities would only be impacted under this amendment if there is evidence that Chinese goods made under these conditions are still being allowed into our marketplace. At present there is ostensibly no tariff revenue collected on Chinese goods made under these conditions because ostensibly the United States Customs Department should be complying with United States law. Now, let me add there are other points here, other egregious examples of where our United States-China trade relationship is off on the wrong foot and really fails to protect our national interests, and these are so compelling and so indisputable and so vital to address I wish there were a way to do it under this measure. But we are narrowly focusing our attention on just those goods made under those three conditions that we do not want into this country. But let me mention that we have a growing trade deficit with China, this year over $40 billion a year, lost jobs in this marketplace, lost revenues to our treasury and lost business to our exporters and manufacturers partly due to the lack of reciprocity between this market and the Chinese market where, under China MFN, we give China a 2- percent tariff advantage in our marketplace. They only have to pay 2 percent for their goods come in here. Yet they charge us 40-percent tariff rates on a whole range of products which I will be submitting to the record as evidence here. And also the dual exchange rate system that they operate that truly disadvantages our exporters and acts as a $15 billion tax in the form of tariffs due to this exchange rate differential on our manufacturers exporting into that market. And I will be submitting that evidence for the record of this very lopsided trading relationship that effectively discriminates severely against U.S. interests. But in terms of this amendment there can be no question that through China's use of prison, slave, and child labor they should not be able to make goods that then find their way into this marketplace, and it is the obligation of the United States Customs Service to enforce the laws of this country. Mr. Chairman, I submit the following information for the Record:

Ms. KAPTUR. Yes, Mr. Chairman.

Ms. KAPTUR

Ms. KAPTUR. Mr. Speaker, today I rise to honor 150 years of development and growth. Over a century and a half ago the St. James Lutheran Church, the oldest Lutheran congregation in Fulton County, OH, was founded. Strong in heritage and faith, the church has served as a pillar in that community and continues to foster ideals and philosophy consistent with moral prosperity. Their story began in 1837 when a group of family members known as the Leininger family, including at least four brothers and two sisters, came to the United States from France. Their journey across the Atlantic Ocean via sailboat led them to New Orleans, up the Mississippi, and eventually to German Township, what we know today as Fulton County, OH, settled on the western side of Ohio's Ninth District. Nine years after settlement, the Leiningers were approached by Pastor John Adam Detzer who headed the effort in the northwest Ohio territory to settle German Lutherans. They received Pastor Detzer with great excitement and asked him to be their pastor. Despite an already full congregation throughout the territory, he agreed and began to preach, listen, and spread the good word. It was from that humble beginning that St. James evolved. The St. James congregation has survived and grown into a cornerstone of the Fulton County community. I know my colleagues join me today in recognizing the congregation of St. James Lutheran Church on the occasion of 150 years of dedication, devotion, and commitment to the spiritual and communal needs of the people of northwest Ohio.

Ms. KAPTUR

Ms. KAPTUR. Mr. Speaker, a vote not to disapprove China's favored trade status is a vote to rubber stamp a political relationship devoid of Democratic principles, an economic relationship whose benefits will be siphoned off by the powerful few at the expense of the many, and a military relationship that monetizes the growing trade deficit dollars into new Chinese weaponry. That vote will give China a 2-percent tariff rate in our market while they maintain a 30- to 40-percent tariff rate against our goods, which is the reason for this vast and growing trade deficit we have experienced over the last decade and a half. There are hundreds of thousands and millions of jobs affected in this country. Just take a look at Nike closing down all U.S. production. The gentlewoman from California, Congresswoman Pelosi, talked about Boeing and how it had moved its production out of Wichita into China. A vote not to disapprove will signify a triumph of commercialism over balanced foreign policy and a triumph of fascism over liberty. Our terms of engagement with China, which gives them the right to send a third of their goods into our market, should be conditioned on greater freedom. Move toward freedom, not oppression.

Ms. KAPTUR. Mr. Speaker, pursuant to rule XXX, I object to the Member's use of the exhibit.

Ms. KAPTUR. Mr. Speaker, I object to the vote on the ground that a quorum is not present and make the point of order that a quorum is not present.

Ms. KAPTUR

Ms. KAPTUR. Mr. Speaker, what a travesty. Last Tuesday in the dead of night, with Members of this House given no voice and no notice, the House Rules Committee, at the behest of Speaker Gingrich, ramrodded a rule to restrict debate on the critical issue of United States-China trade relations. Then last night, after 1 a.m., the restrictive rule was voice-voted by a deal struck by the proponents to muzzle debate today. Members were not recorded on that key rule vote. Now today the brief debate on whether Congress will actually grant Most Favored Nation trade status to China for the first time in a straight up or down vote in this Chamber will occur and the debate itself while most Members are at Bill Emerson's funeral today. What an outrage. Commerce with a fascist state will not yield liberty. Our 250- million-person market cannot sustain these gaping trade deficits growing every year with a nation of 1 billion 250 million people. Just the $40 billion trade deficit this year means another 800,000 lost jobs in America.

Ms. KAPTUR

Ms. KAPTUR. Mr. Chairman, I thank the gentleman for yielding me this time and rise in very strong support of the committee bill and oppose the Kolbe amendment, which was defeated in the full committee. The language in the bill is fair, it is reasonable, and without question it is in our national interest. The issue here really is why should we not as lawmakers ensure that the bidding process in this Government procurement activity is conducted in a fair manner at fair value offers. That is all it says. It is somewhat curious, although it is not curious to those who have watched Japan over the years, that for a system that should cost somewhere between maybe $80 million and $100 million, the bid comes in at $35 million. Kind of interesting the way Japan behaves on the international market. Mr. Chairman, if we go and read a recent book by the President's chief economic advisor, Laura Tyson, and I do not think she knew we would be debating this, but in her book, ``Who's Bashing Whom,'' she gives us a window on what Japan really does and how they compete, and I quote directly. She says: At the root of the ability of Japanese firms to compete aggressively on price, even when it means selling products below cost and running losses, are the unique structural features of the Japanese economy. The companies competing with--U.S. firms like--Cray and Motorola have deep pockets and long time horizons. They can afford to cross-subsidize losses in one market with profits from another. They continue to benefit from a variety of promotional policies and from lax enforcement of regulations or restrictive business practices. They also continue to benefit from the insulated nature of the Japanese market, fostered by these and other structural impediments. In short, the pricing behavior of Japanese companies is a natural outgrowth of Japan's business and government environment. We know it is a protected environment. There is not a person in this institution that would call Japan a free trader. I know that the gentleman from Arizona [Mr. Kolbe] is a complete free trader. I am a fair trader. There is no way anybody could call Japan a free trader. Now, if we look at this particular market, and I can still remember Norm Mineta when he served here laboring over those agreements with Japan trying to get 5-percent access in the market, 10-percent access, maybe 12 percent, and then Japan would violate those agreements. There is not any question Japan has a habit well recognized of underbidding in almost every market. Look at what they did to us on the airport, the new airport out there, Osaka. We could not get U.S. firms to be able to bid into that construction. So it is not just in supercomputers. It is in construction. It certainly is in the automotive industry. The results are painfully clear to the American people if they are not painfully clear to every Member of Congress here. That is we have maintained a $50 billion to $60 billion trade deficit now, annually, annually, in this decade growing every year regardless of what the exchange rate is. I remember one of my dear friends, the gentleman from Florida, Sam Gibbons, said to me: Well, if only the exchange rate, U.S. dollar to the yen, would go down from 240 to maybe 250 yen to the dollar. Why, we could just crack the Japanese market. You know what? It never happened. And then the yen went down to 90, and the trade deficit kept going up. It does not matter whether Japan has got pneumonia or whether she is the most strident economy on the face of the earth in any given year. The trade deficit just keeps going on. I would just have to say, let us wake up. Let us wake up. Let this Congress not be bound up in legalisms and procedures that we knot ourselves up into. Let us look at the bottom line, and let us do everything we can in order to ensure that the bidding practices in this situation are completely fair. In many ways, supercomputers translate into national security. Let us not be naive. Support the committee bill. Oppose the Kolbe amendment, and stand up, for a change, for fair bidding practices.

Ms. KAPTUR

Ms. KAPTUR. Mr. Speaker, I want to thank the gentlemen for yielding time to me. I rise in strong opposition to this rule and certainly in strong opposition to MFN. This rule was concocted late last night in the wee hours, around midnight, when none of the Members were here except but a few of us who overheard that there might be a meeting up there in the third corner, none of the press was around. What we have here is merely another attempt by Speaker Gingrich and Mr. Armey to railroad debate in this House on a measure so vital to the American people as well as to the cause of liberty in China. Under normal circumstances, I guess it would be said, but I am so outraged that it is hard to be sad as we consider this here this evening. In Washington it is now nearly 1 a.m., and most of the membership has gone home. People here are bleary-eyed, and yet this is what we are subjected to. Tomorrow when most of our membership is gone, we will try to attempt to take up the merits of this.What disrespect we show to Bill Emerson, our dear colleague, by the manner in which this is being conducted. I also want to say to my good friend, the gentlewoman from California, Congresswoman Pelosi, and to the gentleman from Virginia, Frank Wolf, this Chamber should treat you better. Everyone of our colleagues who is here and who is a party to this deplorable rule and the manner in which it is being considered, shame on you. Shame on you. Shame on you, Speaker Gingrich, wherever you are. You were out here making noise a few minutes ago, and Mr. Armey, for not showing the courtesy to the Members who have worked so hard to represent the best values that we represent as a country. But do you know what? I have been at this podium before. I have the benefit of 14 years of seniority in this people's House. I remember when they railroaded GATT through here. Boy, do I remember that. I remember standing in this well and saying, American people, remember this one. I remember some of the Members in here snickered. Do you know what? They do. And I remember the NAFTA vote. I remember we almost carried it, and then 63 deals were made. And do you know what? The American people, they remember that, too. And now we have got China MFN. It is merely another battle in a war, but it is out there in the country because the country ultimately learns what happens here no matter how hard we try to muzzle debate. In this legislation, the United States becomes the most unfavored nation, the most unfavored nation. Take a look here. Every single year that we have had most-favored- nation, what a misnomer that is, the United States has amassed growing trade deficits with China. Until this year, we are at a level of over $40 billion, which translates into an additional loss at home of 800,000 jobs in this country. By names of companies you know: Nike, we have got Members here who are going to sell out for tennis shoes. We have got members in this Chamber, why, by golly, they are going to sell out for Wal-Mart, 700 sweatshops over in China that make that junk that they send in over to our shores. Well, Bill Clinton gets a lot of money from Sam Walton's family. I feel sad about that. But I care more about freedom and the way people are treated. We have got some Members here who are going to sell out for Barbie dolls when the vote comes up here tonight and tomorrow. How sad. You have an accounting to do in a higher life for the votes you will cast on this issue. Commercialism, that is what has become the basis of our foreign policy in the post-cold war world in which we are living. In fact, the words of democracy, the hope for democracy, respect for the rule of law, the dignity of working people, the promotion of a sustainable environment, those are all illusions as we stand here in this Chamber this evening. We have no evidence that China has done anything to warrant this favored treatment which will give them a 2 percent tariff level of goods into our market while they maintain a 30 percent to 40 percent tariff against our goods. And they now have the second largest amount of dollars reserves in the world, $70 billion, which they use to buy weapons pointed at us and at their neighbors. So that is what China MFN creates. What a shame. What a shame. Maintaining the status quo by voting for MFN is a disgrace.

Ms. KAPTUR

Ms. KAPTUR. Mr. Speaker, the National Multiple Sclerosis Society, which today is one of the largest nonprofit health agencies in the United States, originated 50 years ago with an idea and a small three- line classified advertisement that appeared in the May 1, 1945 edition of the New York Times. The printed appeal for help was placed by Sylvia Lawry, the founder, whose late brother suffered from MS. In her ad, Miss Lawry asked that anyone who might know of a cure for MS contact her. Thus was born the organization which today serves a membership of 430,000 through 140 chapters and branches. It is the only organization supporting both national and international research into the cause and cure of multiple sclerosis and a full range of services in areas of health, knowledge, and independence. In my district, 2,200 people with MS are served by the Northwest Ohio Chapter alone. The chapter is able to raise funds that directly benefit local programs and allows for educational workshops, equipment loan services, aquatics programs, and so much more! The Nation is very proud of the work of the National Multiple Sclerosis Society and the contributions it has made to biomedical research. Since its founding, the society has invested more than $175 million in scientific grants. As a result, we are much closer today then ever before to understanding what causes multiple sclerosis and how to treat it. Someday soon we may possibly learn to prevent and cure it. Enormous strides have been taking place in the neurosciences recently, giving rise to a real hope that this may happen soon. Sylvia Lawry continues to be active in the affairs of both the national and international MS societies. Her dedication, and the work of the National Multiple Sclerosis Society are an inspiration for all.

Ms. KAPTUR

Ms. KAPTUR. Mr. Chairman, I thank the gentleman, and I thank the ranking member for yielding me time.

Ms. KAPTUR. Mr. Chairman, I wish to thank the dean of the Ohio delegation and the ranking member on the subcommittee for yielding me this time. I want to acknowledge his diligence and wise counsel during consideration of the entire measure, and I would also like to commend the distinguished chairman of our committee, the gentleman from California [Mr. Lewis], for being so very easy to work with during the last several weeks on this bill. I ask unanimous consent that my entire set of remarks be placed in the Record. Mr. Chairman, I want to commend this distinguished chairman of our committee, the gentleman from California [Mr. Lewis], for his cordial handling of this very complicated bill. I also want to acknowledge the diligence and wise counsel of the ranking member, the gentleman from Ohio [Mr. Stokes], on this bill. introduction The programs under our committee's jurisdiction provide assistance and benefits that help millions of Americans achieve a better life. Included are programs for medical care and benefits for our Nation's veterans, affordable and decent housing for families and individuals of all incomes and circumstances, a safe and clean environment, and investments in technology and science. In addition, this bill also continues to fund one very big-ticket item, the space station, at the expense of other programs under the committee's jurisdiction, including ones designed to assist the poorest, the neediest, and the most vulnerable among us. For the second year in a row, two programs, which I strongly support and will vigorously work to ensure the task for which they were intended, are carried out by the corresponding agency have not been funded in this bill: the John Heinz Neighborhood Development Program and the Health Professional Scholarship Program. john heinz neighborhood development program The John Heinz Neighborhood Development Program was authorized in the Housing & Community Development Act of 1992. It awarded Federal matching funds to nonprofit community-based organizations involved in neighborhood revitalization and economic development activities. The program spurred local initiatives by hundreds of community-based development organizations in concert with the private sector and empowered local communities to address specific needs of their neighborhoods. Typically, 90 percent of the financing needed by the nonprofit neighborhood organizations is raised within the community itself by creating a partnership between the nonprofit neighborhood organizations and the business community. And most importantly, it built the technical capacity for small nonprofit neighborhood organizations to assist in the revitalization of their community. There are no narrowly delineated directives from the Federal Government about what specific projects qualify for the matching funds. National competition assured that Federal help was based on merit. For every grant received there were four applications submitted. The maximum grant awarded is $75,000. Currently under HUD, there is no one program designed to perform the task of the JHNDP--to assist small nonprofit neighborhood organizations revitalize their own communities. In this age of empowering our communities to make decisions at the local level, this program does exactly that. It devolves responsibility in the hands of those who can make the differences. The JHNDP allows nonprofit neighborhood organizations the flexibility to tell us in Washington what is important to them, not vice versa. health professional scholarship program Last year, I was grateful for the chairman's willingness to work with me to fund the Health Professional Scholarship Program. This program assisted in assuring an adequate supply of trained health care personnel for the VA and the Nation. To date, the program has awarded more than 4,000 scholarships to students in nursing, occupation therapy, physical therapy, respiratory therapy, and nurse anesthesia. It was successful in providing a continuous stream of academically prepared health care professionals for VA employment. Upon graduation, students are required to complete 2 years of service in the VA health system, and the retention rate of scholarship recipients in VA medical centers is greater than 50 percent. The flexibility to provide scholarships for the education of a variety of health professionals made this program particularly useful as changes have occurred in the delivery of health care services. As the program identified shortages in particular categories of health professionals, the numbers and types of scholarship awards have been shifted accordingly. The restoration of this program is vital to the recruitment and retention of scarce health professionals in the VA, and it is necessary to be responsive to the health care needs of veterans who have courageously defended this Nation. The men and women who have served in our Armed Forces deserve nothing less. Unfortunately, once again this vital program has been eliminated. I am hopeful that I can work with the VA to maintain the concept of this vital program. ohio va cemetery I am pleased to note that the bill funds the completion of the design phase of the VA cemetery in Guilford Township, OH, for the over 600,000 veterans and their family members, who are eligible for burial in a national veterans cemetery, who live in northeastern Ohio. Many of these individuals are World War II and Korean war veterans. The closest veterans cemetery is located near Dayton approximately 2 hours south of Cleveland. With this cemetery nearing capacity, many veterans groups believe that with the construction of a new cemetery, that Ohio veterans and their families will better be served by our Nation. drug elimination grants I am pleased this year the subcommittee was able to fully fund the drug elimination grants for public housing. Drug elimination grants, which were pioneered by Jack Kemp while he was HUD Secretary, are provided to public housing agencies and Indian housing authorities to promote safe housing communities by ridding them of drugs and drug- related crime. In my own district, the Toledo, OH, Police Department saw a dramatic decrease in drug activity in areas with public housing as a result of these grants. conclusion I also want to point out the excellent job that some of our smaller independent agencies are doing like Neighborhood Reinvestment Corporation and American Battle Monuments Commission. I would merely say here that there is no question that the jurisdiction of this committee provides assistance and benefits that help millions of Americans achieve a better way of life, whether it is veterans, whether it is affordable housing, whether it is a clean environment; also investments in new technology and science, including space science. I want to thank the chairman also and the ranking member for including the drug elimination grants which we fought so very hard for, making sure that those were incorporated in this year's measure, certainly for the veterans cemetery in Ohio, and I do wish to express concern about the Health Professional Scholarship Program and its importance. I would like to engage the chairman in a colloquy regarding the importance of the activities that had been funded under the John Heinz Neighborhood Development Program. This program, which has not been authorized, spurred local initiatives by hundreds of community-based development organizations in concert with our private sector, as well as provided technical assistance for small nonprofit neighborhood organizations to assist in the revitalization of their community. Though the administration has not requested funds for this program, nor has it requested authorization for this program, nevertheless, in this age of empowering our communities and their people to make decisions at the local level, this program devolved responsibility into the hands of those who can really make a difference. The John Heinz Neighborhood Development Program allowed nonprofit neighborhood organizations the flexibility to tell us in Washington what is important to them, not vice versa, and I know that the chairman agrees with this philosophy and would like to encourage it.

Ms. KAPTUR. Mr. Chairman, will the gentleman yield?

Ms. KAPTUR. Mr. Chairman, I thank the chairman and look forward to working with him to find a solution to assist nonprofit entrepreneurial neighborhood organizations and the revitalization of their communities across our country.

Ms. KAPTUR. I yield to the gentleman from California.

Ms. KAPTUR

Ms. KAPTUR. Mr. Speaker, today the House Committee on Ways and Means will vote to renew Chinese most-favored-nation status, which means our country will again grant China the same privileges in our market as we do to democratic states like England. As the committee casts its vote, may I remind my esteemed colleagues of the Golden Rule: Free trade can only occur among free people. By any measure, China is not a nation of free people. Let me read from Amnesty International's report on China, and I quote: ``Torture remains endemic, causing many deaths each year. The death penalty is used extensively and arbitrarily to instill fear. More people are executed every year in China than in all other countries combined.'' The list goes on and on: Forced abortions, repression of ethnic and religious groups, thousands of democracy activists jailed every year. Given China's lack of basic human freedoms, it should come as no surprise that China does not have a free market. China remains one of the most closed markets in the world. Why should we be giving special privileges to the butchers of Beijing?

Ms. KAPTUR

Ms. KAPTUR. Mr. Chairman, I thank the gentleman for yielding me this time and I rise in strong support of the Bateman amendment and want to talk a little bit with the membership about why the agreement without this amendment is so flawed. The agreement essentially will not end foreign subsidy and dumping practices, it will, however, kill the recent rebirth of commercial shipbuilding in our country. It will eliminate thousands of highly skilled jobs in our shipyards and in the thousands of industries throughout 46 States which supply our shipyards. While our Trade Representative was at the negotiating table, it is important to point out that South Korea announced a $750 million bailout of its Daewoo Shipyard, which has been dumping ships on the world's market; Germany granted a $4 billion shipyard modernization subsidy to its shipyards, monies which are still being disbursed. Our negotiators agreed to grandfather these special subsidies, and though our trade negotiator maintains that restructuring is supposed to be tied to closure of facilities and associated worker restraining, that is not how foreign governments see it. In fact, Spain is spending $723 million to modernize all of its existing facilities with no closures planned. Further, the overall agreement fails to discipline the ship dumping practices of Japan and South Korea, and even though China has just begun to target shipbuilding as a means to develop its manufacturing industries, China is not a signatory to this agreement, nor is Poland, nor is Russia. So what did America get out of this deal? Nothing. What did American shipbuilders get out of this deal? Nothing. And what did American workers get out of this deal? Nothing. In fact, our negotiators agreed to immediately gut the modest title XI ship loan program that is included in the Bateman amendment. So without the Bateman amendment we will kiss more U.S. shipyard jobs goodbye. Mr. Chairman, I urge my colleagues to support the Bateman amendment and, without its inclusion, to oppose the bill.