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Export-Import Bank Reauthorization:
Frequently Asked Questions
Shayerah Ilias Akhtar, Coordinator
Specialist in International Trade and Finance
David H. Carpenter
Legislative Attorney
Mindy R. Levit
Specialist in Public Finance
Julia Taylor
Section Head - ALD Section
November 26December 22, 2014
Congressional Research Service
7-5700
www.crs.gov
R43671
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Summary
The Export-Import Bank of the United States (Ex-Im Bank or the Bank), a wholly owned federal
government corporation, is the official export credit agency (ECA) of the U.S. government. Its
mission is to assist in the financing of U.S. exports of goods and services to support U.S.
employment. The FY2015 continuing resolution (CR; Sec. 147 of P.L. 113-164) extends Ex-Im
Bank’s general statutory charter (Export-Import Bank Act of 1945, as amended, 12 U.S.C. §635
et seq.) through June 30, 2015. Previously, the charter was set to sunset on September 30, 2014
(P.L. 112-122). A sunset in Ex-Im Bank’s authority would mean that the agency’s authority to
enter into new obligations generally would cease and a wind-down of operations would be
required. (This issue is distinct from an “authorization of appropriations” expiring, which would
not, in and of itself, terminate such authority to operate.)
As the new sunset date approaches, Congress is likely to debate whether to renew Ex-Im Bank’s
authority; if so, for how long and under what terms; and if not, other policy alternatives. The issue
of Ex-Im Bank reauthorization raises a number of frequently asked questions regarding Ex-Im
Bank itself and reauthorization policy options. This report addresses many of those questions,
including:
•
What is the Export-Import Bank?
•
What is the reauthorization debate over Ex-Im Bank?
•
What is the Bank’s market and international context?
•
What is its leadership structure?
•
What are its programs, policies, and activities?
•
How does its budget work?
•
How does it manage risk?
•
What are the implications of a sunset in authority for the Bank’s activities?
•
What are historical and current approaches to Ex-Im Bank reauthorization?
For a general overview of Ex-Im Bank, see CRS Report R43581, Export-Import Bank: Overview
and Reauthorization Issues, by Shayerah Ilias Akhtar. See also CRS In Focus IF00021, ExportImport Bank (Ex-Im Bank) Reauthorization (In Focus), by Shayerah Ilias Akhtar, and CRS In
Focus IF00039, Export-Import (Ex-Im) Bank and the Federal Budget (In Focus), by Mindy R.
Levit. The contents of this report draw, in part, from existing CRS products.
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Contents
Congressional Interest and Ex-Im Bank Reauthorization Debate ................................................... 1
What is the Export-Import Bank? .............................................................................................. 1
What is Congress’s role in relation to the Bank?....................................................................... 1
What are the committees of jurisdiction? .................................................................................. 2
What is the policy debate over reauthorization?........................................................................ 2
Market Context ................................................................................................................................ 2
Why is export finance needed?.................................................................................................. 2
What are sources of export financing? ...................................................................................... 3
How do Ex-Im Bank and private sector financing compare? .................................................... 3
International Context ....................................................................................................................... 4
What international disciplines guide ECA activities? ............................................................... 4
What is the global ECA marketplace? ....................................................................................... 4
How do activity volumes of Ex-Im Bank and foreign ECAs compare?.................................... 5
How effective is the OECD Arrangement? ............................................................................... 6
What are recent developments in OECD negotiations on export financing? ............................ 7
Organizational Structure and Management...................................................................................... 8
Where is Ex-Im Bank located? .................................................................................................. 8
What is its leadership structure? ................................................................................................ 8
How many employees does Ex-Im Bank have? ........................................................................ 8
Programs .......................................................................................................................................... 9
What financial products does Ex-Im Bank offer? ..................................................................... 9
How does Ex-Im Bank fit into U.S. export promotion efforts?................................................. 9
Does Ex-Im Bank finance U.S. imports? ................................................................................ 10
How long are repayment terms for Ex-Im Bank financing?.................................................... 10
How does Ex-Im Bank finance its direct loans?...................................................................... 11
What fees does Ex-Im Bank charge, and how are those determined? ..................................... 11
Do Ex-Im Bank’s activities have a U.S. foreign policy focus? ............................................... 11
What is the approval process for Ex-Im Bank transactions? ................................................... 12
Statutory Requirements and Policies ............................................................................................. 12
What are Ex-Im Bank’s general statutory requirements and policies? .................................... 12
In what countries can (or cannot) Ex-Im Bank provide support? ............................................ 13
Does Ex-Im Bank support military exports? ........................................................................... 14
What is Ex-Im Bank’s economic impact policy? .................................................................... 14
What is Ex-Im Bank’s environmental impact policy? ............................................................. 15
How does the FY2014 appropriations act affect Ex-Im Bank financing for coal-fired
power plant projects?............................................................................................................ 16
What is Ex-Im Bank’s small business statutory mandate? ...................................................... 17
What is Ex-Im Bank’s “renewable energy” statutory mandate?.............................................. 17
What is Ex-Im Bank’s sub-Saharan Africa statutory mandate?............................................... 18
What is Ex-Im Bank’s domestic content policy?..................................................................... 18
How do the policies of Ex-Im Bank and foreign ECAs compare? .......................................... 19
Activity .......................................................................................................................................... 19
How much credit and insurance does Ex-Im Bank authorize? ................................................ 19
What amount of U.S. exports and number of U.S. jobs are associated with Ex-Im
Bank activity? ....................................................................................................................... 20
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What is the opportunity cost of Ex-Im Bank activity to U.S. exports and jobs? ..................... 21
How does Ex-Im Bank calculate its estimated jobs support? .................................................. 21
Has Ex-Im Bank met its congressional targets for small business, renewable energy,
and sub-Saharan Africa authorizations? ............................................................................... 22
How can Ex-Im Bank’s support for small business be characterized? .................................... 23
What is Ex-Im Bank’s exposure level?.................................................................................... 24
Risk Management .......................................................................................................................... 25
What risks does Ex-Im Bank face in financing and insuring exports? .................................... 25
How does Ex-Im Bank seek to manage its risks? .................................................................... 26
How does Ex-Im Bank determine the level of funds necessary to cover future
projected claims? .................................................................................................................. 26
How much are in Ex-Im Bank’s loss reserves? ....................................................................... 27
What is Ex-Im Bank’s default rate?......................................................................................... 27
What happens when Ex-Im Bank has to pay a claim?............................................................. 27
What is Ex-Im Bank’s recovery rate? ...................................................................................... 28
What is the debate over Ex-Im Bank’s risk management practices? ....................................... 28
Budget and Appropriations ............................................................................................................ 29
How does Ex-Im Bank fund its activities? .............................................................................. 29
How does Ex-Im Bank’s appropriations process work? .......................................................... 29
How are Ex-Im Bank’s activities accounted for under Federal Credit Reform Act of
1990 (FCRA)? ...................................................................................................................... 30
What is the relationship between Ex-Im Bank activity and the U.S. debt and deficit? ........... 31
What does Ex-Im Bank do with its excess revenues? ............................................................. 31
How would changes in federal credit accounting affect Ex-Im Bank? ................................... 32
Sunset in Authority ........................................................................................................................ 32
What would a sunset in Ex-Im Bank’s authority mean for the agency’s activities? ................ 32
What is an “orderly liquidation” for the purposes of Ex-Im Bank’s Charter? ......................... 34
What would be the economic impact of a sunset in Ex-Im Bank’s authority? ........................ 35
Historical and Current Approaches to Reauthorization ................................................................. 36
Historically, for how long has Congress extended Ex-Im Bank’s authority? .......................... 36
How have previous continuing resolutions addressed an imminent sunset of the
Bank’s authority?.................................................................................................................. 37
What are scenarios for Ex-Im Bank’s authorization status? .................................................... 37
What were the specific provisions in the 2012 reauthorization legislation? ........................... 38
What bills have been introduced in the 113th Congress related to Ex-Im Bank
reauthorization? .................................................................................................................... 39
What is the Administration’s legislative proposal for reauthorization?................................... 39
Figures
Figure 1. Global Government-Backed Export Support, 2013 ......................................................... 5
Figure 2. New Medium- and Long-Term Financing Volumes for Selected ECAs, 2013 ................ 6
Figure 3. General Ex-Im Bank Approval Process .......................................................................... 12
Figure 4. Ex-Im Bank Authorizations for Credit and Insurance Commitments, FY1997FY2014 ....................................................................................................................................... 20
Figure 5. Ex-Im Bank Exposure Levels and Exposure Cap, FY1997-FY2014 ............................. 24
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Figure 6. Ex-Im Bank Exposure Level Composition, FY2014 ..................................................... 25
Figure B-1. Ex-Im Bank Direct Loan Structure............................................................................. 42
Figure B-2. Ex-Im Bank Loan Guarantee Structure ...................................................................... 42
Figure B-3. Ex-Im Bank Exporter Insurance Structure ................................................................. 43
Tables
Table 1. Ex-Im Bank’s Credit and Insurance Authorizations, FY2013-FY2014 ........................... 23
Table C-1.Original Act and Amendments to the Sunset Date of Export-Import Bank
Functions .................................................................................................................................... 45
Table C-2. Provisions Providing for the Continuation of Export-Import Bank Functions ............ 50
Appendixes
Appendix A. Selected CRS Resources .......................................................................................... 41
Appendix B. Examples of Ex-Im Bank Financial Product Structures ........................................... 42
Appendix C. Laws and Final Legislative Action Related to the Sunset Date of Ex-Im
Bank Functions ........................................................................................................................... 44
Contacts
Author Contact Information........................................................................................................... 57
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T
he FY2015 continuing resolution (CR; Sec. 147 of P.L. 113-164) extends Ex-Im Bank’s
general statutory charter (Export-Import Bank Act of 1945, as amended, 12 U.S.C. §635 et
seq.) through June 30, 2015. As Ex-Im Bank’s sunset date nears, Congress is likely to
debate whether to renew Ex-Im Bank’s authority; if so, for how long and under what terms; and if
not, other policy alternatives. The issue of Ex-Im Bank reauthorization raises a number of
questions regarding Ex-Im Bank and reauthorization policy options.
This report addresses frequently asked questions about Ex-Im Bank, grouped in the following
categories: (1) congressional interest and the Ex-Im Bank reauthorization debate; (2) market
context; (3) international context; (4) organizational structure and management; (5) programs; (6)
statutory requirements and policies; (7) risk management; (8) budget and appropriations; (9)
implications of a sunset in authority; and (10) historical and current approaches to
reauthorization. See Appendix A for a summary of selected key CRS resources related to Ex-Im
Bank.
Congressional Interest and Ex-Im Bank
Reauthorization Debate
What is the Export-Import Bank?
Ex-Im Bank, a wholly owned U.S. government corporation,1 is the official export credit agency
(ECA) of the United States. Its mandate is to finance and facilitate U.S. exports of goods and
services and, in doing so, contribute to U.S. employment.2 On a demand-driven basis, it seeks to
finance exports that the private sector is unwilling or unable to undertake alone at terms
commercially viable for exporters; and/or to counter government-backed financing offered by
foreign countries through their ECAs.3 Ex-Im Bank’s main financial products are direct loans,
loan guarantees, working capital finance, and export credit insurance. Its activities are backed by
the full faith and credit of the U.S. government.4 Congress sets statutory requirements for Ex-Im
Bank’s activities. Ex-Im Bank also abides by international disciplines for government-backed
ECA activity under the Organization for Economic Cooperation and Development (OECD)
Arrangement on Officially Supported Export Credits (the “Arrangement”).
What is Congress’s role in relation to the Bank?
Congress has a number of statutory responsibilities with respect to Ex-Im Bank. Congress
provides authority for Ex-Im Bank’s functions through its statutory charter, the Export-Import
Bank Act of 1945, as amended (P.L. 79-173; 12 U.S.C. §635 et seq.), for a period of time that it
chooses. While Congress does not approve individual Ex-Im Bank transactions, it sets general
statutory parameters for the agency’s activities. Congress also provides an annual appropriation
1
12 U.S.C. §635(a)(1). A U.S. government corporation is a government agency established by Congress to provide
market-oriented public services and to produce revenues that meet or approximate expenditures. See CRS Report
RL30365, Federal Government Corporations: An Overview, by Kevin R. Kosar.
2
12 U.S.C. §635(a)(1).
3
Ex-Im Bank’s website is accessible at http://www.exim.gov/.
4
12 U.S.C. §635k.
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for the Bank, and conducts oversight of its activities. In addition, the Senate approves
nominations by the President of the United States to the positions of Ex-Im Bank’s President,
First Vice President, and Board of Directors.5
What are the committees of jurisdiction?
The committees to which legislation that would amend Ex-Im Bank’s statutory charter has been
referred previously are the House Committee on Financial Services and Senate Committee on
Banking, Housing, and Urban Affairs. In general, the Bank has been funded each fiscal year
through provisions in the State, Foreign Operations, and Related Programs Appropriations Act.
What is the policy debate over reauthorization?
Debate over Ex-Im Bank reauthorization is rooted in an underlying debate over the appropriate
role of the U.S. government in export promotion. Congressional and stakeholder views on Ex-Im
Bank vary. Proponents contend that the Bank supports U.S. exports and jobs by addressing
shortfalls in private sector financing and helping U.S. exporters compete against foreign
companies backed by their governments’ ECAs. Critics assert that it crowds out private sector
activity, picks winners and losers through its support, operates as a form of “corporate welfare,”
and poses a risk to taxpayers.
While debate over Ex-Im Bank has been long-standing, Congress has renewed Ex-Im Bank’s
authority many times in its history, including on a bipartisan basis and under both Republican and
Democratic administrations. Ex-Im Bank’s reauthorization has been actively debated in the 113th
Congress, and the FY2015 continuing resolution (CR; Sec. 147 of P.L. 113-164) extends Ex-Im
Bank’s general statutory charter through June 30, 2015. Similar to the 112th Congress, the
reauthorization debate in the 113th Congress has focused on the role of the U.S. government in
supporting exports; the changing export finance landscape, including the growth of ECA activity
by emerging market ECAs; and Ex-Im Bank’s financial soundness and risk management, among
other policy issues.
Market Context
Why is export finance needed?
Export finance, which is used to cover the time between an export order being placed and
payment being made, is a means of facilitating international trade. Some 80%-90% of world trade
relies on trade finance, and the global market for trade finance is estimated to be at around $10
trillion a year.6 Financing can play a role, for instance, when exporters may need to protect
against the higher risk of payment default by an unknown buyer situated in a foreign legal
system; because export orders often require more working capital, relative to sales, than domestic
5
12 U.S.C. §635a(b) and 12 U.S.C. §635a(c).
World Trade Organization (WTO), “Trade Finance: The Challenges of Trade Financing,” http://www.wto.org/
english/thewto_e/coher_e/tr_finance_e.htm.
6
6
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orders and exporters may wait an average of three to five months between shipment and
payment;7 or buyers require funds from a financial institution to purchase goods and services.
What are sources of export financing?
Export finance is available through both the public and private sector, including through:
•
Export credit agencies (ECAs), which are government-backed entities. Most
developed countries and many developing countries have ECAs.
•
Commercial banks and insurance companies, through which private insurers
and lenders finance exports on a commercial basis.
•
Capital markets, which provide financing through bond issuance, on a secured
or unsecured basis.
•
Manufacturer self-financing, through which companies, especially larger ones,
may self-finance certain exports to foreign buyers.
Commercial banks have been estimated to account for 80% of the trade finance market.8 Private
lenders and insurers conduct the majority of short-term export financing, though ECAs may play
a role in supporting certain sectors, such as taking on risks of financing small business exports.
With respect to longer-term financing, the market can play an active role, but in certain cases,
ECA support can help make transactions more commercially attractive by mitigating risks of
financing or by providing an additional source of funding to diversify risks of financing, for
example, for complex, multi-billion dollar sales such as aircraft and infrastructure projects.
How do Ex-Im Bank and private sector financing compare?
It is difficult to compare the rates, terms, and conditions of Ex-Im Bank financing and private
sector financing for exports. The actual terms of an export contract are transaction-specific and
commercial bank loans are private transactions often with business confidential terms. Demand
for Ex-Im Bank financing relative to the private sector can be highly variable. At a macro level, it
may vary depending on market forces and regulatory policies. In recent years, the role of ECAs
may have become more prominent, in part due to tighter credit market conditions associated with
the international financial crisis and the regulatory impact of Basel III9 on commercial banks,
which requires U.S. banks to hold more capital to back trade finance.10 Changes in disciplines for
ECA activity, such as in the OECD Arrangement, also can affect ECA demand. At a micro level, a
commercial bank’s willingness to participate in a transaction may vary depending, for instance,
on available liquidity, perception of risk, international rates of return, and client relationships.
7
Gary Clyde Hufbauer, Meera Fickling, and Woan Foong Wong, Revitalizing the Export-Import Bank, Peterson
Institute for International Economics, May 2011, p. 1, http://www.iie.com/publications/pb/pb11-06.pdf.
8
WTO, Supply of Trade Finance, http://www.wto.org/english/thewto_e/coher_e/whatis_situation_e.htm/.
9
The Basel III international regulatory framework is part of a series of evolving agreements among central banks and
bank supervisory authorities to standardize bank capital requirements, among other measures. See CRS Report R42744,
U.S. Implementation of the Basel Capital Regulatory Framework, by Darryl E. Getter.
10
Ex-Im Bank, Report to the U.S. Congress on Export Credit Competition and the Export-Import Bank of the United
States, For the Period January 1, 2013 through December 31, 2013, June 2014, pp. 12-14, http://www.exim.gov/about/
library/reports/competitivenessreports/upload/Ex-Im-Bank-2013-Competitiveness-Report-to-Congress-Complete.pdf.
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International Context
What international disciplines guide ECA activities?
Ex-Im Bank abides by the Organization for Economic Cooperation and Development (OECD)
Arrangement on Officially Supported Export Credits (“the Arrangement”), a “Gentlemen’s
Agreement” negotiated by OECD members. Initially entering into effect in April 1978, the
Arrangement has been revised periodically.11 Its purpose is to provide a framework for the orderly
use of government-backed export financing, with the goal of encouraging competition among
exporters based on quality and price of goods and services rather than on the most favorable
government-backed financing terms and conditions. Among other things, it establishes limitations
on the terms and conditions on government-backed export financing (e.g., minimum interest
rates, risk fees, and maximum repayment terms); rules governing ECA activity in specific sectors
through “sector understandings” (e.g., civilian aircraft, ships, nuclear power plants, renewable
energy, and railway infrastructure); and reporting requirements.12
What is the global ECA marketplace?
An estimated 60 export credit agencies exist around the world.13 Some ECA activity is regulated
by the OECD Arrangement, but an increasingly larger amount appears to be unregulated. It can
be difficult to verify the full extent of unregulated activity. ECA activity can be grouped into three
categories, as provided by Ex-Im Bank (see Figure 1):
•
Regulated financing that is governed by the OECD Arrangement.
“Traditional” ECA activity that is compliant with the OECD Arrangement
historically has accounted for the majority of government-backed export
financing. However, in 2013, according to Ex-Im Bank data, it constituted 34%
of total government-backed support.14
•
Unregulated financing provided by OECD members that falls outside of the
scope of the OECD Arrangement. One form of unregulated financing is
“market windows,” which are government-owned entities or programs that offer
export credits on market terms. Market windows generally do not operate on
purely commercial terms, as they tend to receive benefits from their government
status that commercial lenders cannot access. ECAs in Canada, Germany, and
Italy, among others, operate market windows. Ex-Im Bank does not have a
market window. Another form of unregulated financing is untied lending support,
11
See Organization for Economic Cooperation and Development (OECD), “The Arrangement on Export Credits,”
http://www.oecd.org/tad/xcred/arrangement.htm; and CRS Report RS21128, The Organization for Economic
Cooperation and Development, by James K. Jackson.
12
The current participants to the OECD Arrangement are Australia, Canada, the European Union, Japan, New Zealand,
Norway, South Korea, Switzerland, and the United States. Brazil is a full participant to the Sector Understanding on
Export Credits for Civil Aircraft.
13
Ex-Im Bank, Export-Import Bank of the United States Annual Report 20132014, p. 8, 12,
http://www.exim.gov/about/library/
reports/annualreports/2013/2014/upload/Ex-Im-ANNUAL-RPRT-12_19_FINAL.pdf.
14
Ex-Im Bank, Report to the U.S. Congress on Export Credit Competition and the Export-Import Bank of the United
States, For the Period January 1, 2013 through December 31, 2013, June 2014, pp. 20-21.
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which is credit support extended by a government entity to a recipient for the
purpose of providing credit for strategic interests of the donor country. Because
the untied loan is not tied to exports, it is not subject to the OECD export credit
guidelines. Unregulated financing by OECD members reportedly accounted for
22% of government-backed support in 2013.15
•
Unregulated financing provided by non-OECD members, whose
governments are not parties to the OECD Arrangement. Emerging markets,
such as China, Brazil, India, and Russia, which are not members of the OECD,
are increasingly active providers of government-backed export financing.16 Such
financing may not comply with the OECD Arrangement, for example, by
including below-market terms, with which it is difficult for ECAs of OECD
members to compete. The non-OECD portion of total government-backed export
financing in 2013 reportedly was 44%.17
Figure 1. Global Government-Backed Export Support, 2013
Billions of U.S. Dollars
Source: Ex-Im Bank, Report to the U.S. Congress on Export Credit Competition and the Export-Import Bank of the
United States, For the Period January 1, 2013 through December 31, 2013, June 2014, pp. 20-21.
How do activity volumes of Ex-Im Bank and foreign ECAs
compare?
ECA comparisons are available from Ex-Im Bank in the area of government-backed medium- and
long-term financing (see Figure 2). In 2013, according to Ex-Im Bank, the 34 members of the
OECD (as a whole) provided $97.9 billion in such financing, down about 22% from 2012.18 Of
this amount, U.S. support, through Ex-Im Bank, totaled $14.5 billion in 2013. In contrast, the
15
Ibid.
These emerging markets, while not members of the OECD, may have observer status during some OECD meetings.
The OECD has offered them “enhanced engagement” with a view towards possible accession. Brazil, furthermore, is a
member of the OECD Aircraft Sector Understanding.
17
Ex-Im Bank, Report to the U.S. Congress on Export Credit Competition and the Export-Import Bank of the United
States, For the Period January 1, 2013 through December 31, 2013, June 2014, pp. 20-21.
18
ECA volumes for OECD countries reported by Ex-Im Bank reflect activity that is regulated by the OECD
Arrangement.
16
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combined new medium- and long-term support provided by China, Brazil, India, and Russia was
$55.4 billion, up a little over 10% from 2012.19 Notably, China alone accounted for at least $45
billion of such financing in 2013.20
Figure 2. New Medium- and Long-Term Financing Volumes for Selected ECAs, 2013
Billions of U.S. Dollars
Source: Ex-Im Bank, Report to the U.S. Congress on Export Credit Competition and the Export-Import Bank of the
United States, For the Period January 1, 2013 through December 31, 2013, June 2014.
Notes: Data subject to analytic assumptions and limited by availability of information.
How effective is the OECD Arrangement?
Stakeholders have debated whether the OECD Arrangement is effective in “leveling the playing
field” for exporters in the current trading environment. By some estimates, the OECD
Arrangement reportedly has saved U.S. taxpayers about $800 million annually.21 According to the
Office of the U.S. Trade Representative, the minimum interest rate rules set by the OECD
Arrangement limit subsidized export financing and reduce competition based on below-cost
interest rates and long repayment terms by ECAs, and the minimum exposure fees for country
risks also reduce costs.22 The further leveling of the playing field created by the OECD tied aid
disciplines is estimated by USTR to have boosted U.S. exports by $1 billion a year.23
At the same time, there are questions about the effectiveness of the OECD Arrangement,
particularly in light of ECA activity by non-OECD members, who are not obligated to comply
19
ECA volumes for non-OECD countries reported by Ex-Im Bank reflect what activity would be regulated by the
OECD Arrangement.
20
Ibid., pp. 17-18.
21
Office of the U.S. Trade Representative, The Organization for Economic Cooperation and Development (OECD),
http://www.ustr.gov/trade-agreements/wto-multilateral-affairs/oecd.
22
Ibid.
23
Ibid.
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with the OECD limitations on the terms and conditions of export credit activity. To the extent that
the ECAs of non-OECD countries provide financing for non-U.S. exporters on terms that are
more advantageous than those allowed within the OECD Arrangement, U.S. exporters may find it
difficult to compete with such export credit programs, including with Ex-Im Bank. Concerns
about the effectiveness of the OECD Arrangement are further heightened due to financing by
OECD members that is outside the Arrangement’s scope. See earlier question in this section,
“What is the global ECA marketplace?”.
What are recent developments in OECD negotiations on export
financing?
The United States historically has led efforts to impose international disciplines on governmentbacked export credit activity. The 2012 Ex-Im Bank reauthorization act directed the Secretary of
the Treasury (who leads U.S. international export credit negotiations) to negotiate to reduce and
eliminate government-backed ECA financing.24
The 2012 reauthorization act also included a focus on negotiations related to aircraft finance, an
area that historically has constituted a major part of Ex-Im Bank’s portfolio.25 Specifically,
Congress required the Secretary of the Treasury to negotiate with all countries that finance air
carrier aircraft through funds from a state-sponsored entity to reduce and eliminate aircraft export
credit financing for all aircraft covered by the 2007 OECD Aircraft Sector Understanding.26
While exports play an important role in the U.S. economy, the economies of other countries are
far more reliant on exports, constituting a larger share of their respective gross domestic product.
Moreover, other OECD countries presumably would be reluctant to terminate their export credit
programs while countries outside of the OECD, such as China, Brazil, and India, continue their
financing programs.
Separately, in 2012, the United States and China announced that they would establish an
International Working Group on Export Credits (IWG) to develop a new set of international
guidelines for official export credit support.27 To date, the IWG has met six times. Past
discussions have included a focus on developing guidelines for the ships and medical equipment
sectors, and future discussions may include a focus on developing horizontal, broadly-applicable
guidelines.28
24
12 U.S.C. §635a-5(a)(1).
12 U.S.C. §635a-5(a)(2).
26
The Aircraft Sector Understanding (ASU) is an agreement among the United States, the European Union, Canada,
Brazil, and other countries that sets terms and conditions for government-backed export financing for aircraft. It has
been updated a number of times, most recently in 2011, with the goal of leveling the playing field among ECAsupported aircraft financing. Government Accountability Office (GAO), Export-Import Bank: Information on Export
Credit Agency Financing Support for Wide-Body Jets, GAO-14-642R, July 8, 2014, http://www.gao.gov/products/
GAO-14-642R.
27
The White House, “White House Fact Sheet on U.S.-China Economic Relations,” press release, November 12, 2014,
http://www.whitehouse.gov/the-press-office/2014/11/12/fact-sheet-us-china-economic-relations/.
28
Ibid; and Treasury Report to the Committee on Banking, Housing, and Urban Affairs of the Senate and the
Committee on Financial Services of the House of Representatives on Export Credit Negotiations, December 2013.
25
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Organizational Structure and Management
Where is Ex-Im Bank located?
Ex-Im Bank is headquartered in Washington, DC.29 It also maintains regional export finance
centers in 12 U.S. cities, which conduct outreach and provide assistance focused exclusively on
U.S. small businesses.30
What is its leadership structure?
Ex-Im Bank is led by a Board of Directors, which consists of the President of the Bank (who is
also the chairman of the Board), First Vice President (who is also the Vice Chairman), and three
additional directors. The Board authorizes the Bank’s transactions either directly or through
delegated authority.31 All Board members are appointed by the President of the United States with
the advice and consent of the Senate.32 Under Ex-Im Bank’s charter, not more than three members
of the five-person Board can be of any one political party.
Ex-Im Bank also has an Advisory Committee, which is required by its charter to consist of 17
members appointed by the Board of Directors on the recommendation of the President of the
Bank. Under its charter, the Advisory Committee’s members are required to be “broadly
representative of environment, production, commerce, finance, agriculture, labor, services, State
government, and the textile industry,” subject to certain limits.33
In addition, Ex-Im Bank has a Sub-Saharan Africa Advisory Committee, which is directed to
promote the expansion of the Bank’s financial commitments in that region.34 The Sub-Saharan
Africa Advisory Committee’s authority is subject to renewal in Ex-Im Bank’s charter.
How many employees does Ex-Im Bank have?
In FY2013, Ex-Im Bank had 399 full-time equivalents (FTEs) for its operations and 19 FTEs for
its Office of Inspector General (OIG).35 In FY2014, Ex-Im had an estimated 445 FTEs for its
operations and 30 FTEs for its OIG.36
29
Ex-Im Bank, “Ex-Im Bank Headquarters,” http://www.exim.gov/about/contact/ex-im-bank-headquarters.cfm.
Ex-Im Bank, “Regional Export Finance Centers,” http://www.exim.gov/about/contact/regional-export-financecenters.cfm; and Export-Import Bank of the United States Annual Report 2013, p. 14 and p. 85.
31
For example, Ex-Im Bank has delegated authority for underwriting many short-term transactions directly to Ex-Im
Bank-approved private sector lenders.
32
12 U.S.C. §635a(c). Ex-Im Bank, “Board of Directors,” http://www.exim.gov/about/whoweare/leadership/
boardofdirectors/.
33
12 U.S.C. §635a(d). Ex-Im Bank, “Advisory Committee,” http://www.exim.gov/about/whoweare/leadership/advisorycommittee
advisory-committee.cfm.
34
12 U.S.C. §635(b)(9)(B). Ex-Im Bank, “Sub-Saharan Africa Advisory Committee,” http://www.exim.gov/about/
whoweare/leadership/sub-saharan-africa-advisory-committee.cfm.
35
OMB, Budget of the United States Government, Fiscal Year 2015, Appendix.
36
Ibid.
30
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Programs
What financial products does Ex-Im Bank offer?
Ex-Im Bank groups its financial products into the following four main categories:
•
direct loans with fixed interest rates made by Ex-Im Bank to foreign buyers of
U.S. goods and services;
•
medium- and long-term loan guarantees of loans made by lenders (usually
commercial banks) to foreign buyers of U.S. goods and services, with Ex-Im
Bank promising to repay the lender, if the buyer defaults, the outstanding
principal and accrued interest on the loan;
•
working capital finance, through loans and guarantees by Ex-Im Bank, to
facilitate finance for businesses, primarily small businesses, who have exporting
potential but need working capital funds (e.g., to buy raw materials or supplies)
to produce or market their goods and services for export; and
•
export credit insurance by Ex-Im Bank to exporters and lenders to protect
against losses of non-repayment for commercial and political reasons.
Ex-Im Bank also provides specialized finance products, such as project and structured finance,
which usually take the form of direct loans or loan guarantees. For examples of structures of
selected Ex-Im Bank financial products, see Appendix B.
How does Ex-Im Bank fit into U.S. export promotion efforts?
Ex-Im Bank is one of several federal government agencies involved in promoting U.S. exports of
goods and services.37 It focuses on financing U.S. exports of manufactured goods and services for
companies of all sizes. Other U.S. government agencies also offer financing for exports, among
other activities, including the U.S. Department of Agriculture (USDA), which finances U.S.
agricultural exports, and the Small Business Administration (SBA), which provides export
promotion-focused loan programs for small businesses.38 While Ex-Im Bank focuses on
supporting exports in support of U.S. commercial interests, the Overseas Private Investment
Corporation (OPIC) uses similar tools, but to support U.S. investment in developing and
emerging economies to support U.S. foreign policy objectives.39
The existence of a range of federal government agencies that focus on export promotion has
prompted debate about whether any overlap in services provided by federal government agencies
constitutes duplication or the use of the same or similar tools to meet different goals.
37
See CRS Report R41495, U.S. Government Agencies Involved in Export Promotion: Overview and Issues for
Congress, coordinated by Shayerah Ilias Akhtar.
38
See CRS Report R43155, Small Business Administration Trade and Export Promotion Programs, by Sean Lowry.
39
See CRS Report 98-567, The Overseas Private Investment Corporation: Background and Legislative Issues, by
Shayerah Ilias Akhtar.
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Does Ex-Im Bank finance U.S. imports?
Ex-Im Bank’s name includes the word “import” and its formal statutory mission provides for
facilitating both exports and imports.40 However, according to Ex-Im Bank, it does not provide
support for imports.41 Historically speaking, Ex-Im Bank’s role in financing imports appears to
have been negligible.42
How long are repayment terms for Ex-Im Bank financing?
Ex-Im Bank direct loans and loan guarantees can be:
•
short-term (up to one year);
•
medium-term (more than one year and up to seven years, and less than $10
million); and
•
long-term (more than seven years, and more than $10 million).43
Long-term financing includes structured finance transactions (repayment terms of 10 years, but
some up to 12 years); project finance transactions (repayment terms up to 14 years); and
renewable energy transactions (repayment terms up to 18 years).44
Ex-Im Bank insurance can be:
•
short-term (generally up to 180 days, but can be up to 360 days in exceptional
circumstances); and
•
medium-term (generally up to five years, but can be up to seven years in
exceptional circumstances, and more than $10 million).45
40
12 U.S.C. §635(a).
Ex-Im Bank, “FAQ,” http://www.exim.gov/smallbusiness/smallbuscust/FAQ.cfm.
42
See the following excerpt from Jordan Jay Hillman, The Export-Import Bank at Work, Westport: Quorum Books,
1982, pp. 31-32:
The era [1945 - 1953] cannot be brought to its conclusion without mention of imports—in name
and formal statutory status constituting one-half of [Ex-Im Bank’s] mission. Moreover, if tradeoriented exports were ever to be supported, this was the time. It was, after all, an era when a
dominant goal of foreign lending programs was to increase the dollar earning capacity of recipient
countries. Nevertheless, even in this period when imports were seen as a positive factor in reducing
an excessive U.S. trade surplus, [Ex-Im Bank’s] role in financing import trade, as such, was
negligible. In general, the Bank considered commercial bank credits adequate for transactions at
risk levels that the Bank itself was otherwise likely to undertake. Import trade, of course, involved
the financing of U.S. domestic buyers. They presented neither the credit information nor security
enforcement problems associated at the time with overseas credit. It thus remained the view of the
Bank that efforts to aid and facilitate foreign sales in the United States were best directed to
increasing the productive capabilities of foreign countries. Import trade transactions financed by
[Ex-Im Bank] were, and were to remain, negligible.
43
GAO, Export-Import Bank: Additional Analysis and Information Could Better Inform Congress on Exposure, Risk,
and Resources, GAO-13-620, May 2013, p. 5, http://www.gao.gov/assets/660/654925.pdf.
44
Ibid.
45
Ex-Im Bank, “Export Credit Insurance,” http://www.exim.gov/products/exportcreditinsurance/.
41
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How does Ex-Im Bank finance its direct loans?
The main source of Ex-Im Bank’s current outstanding debt is borrowings from the U.S. Treasury.
Borrowings from the U.S. Treasury are used to finance medium-term and long-term loans, and
carry a fixed interest rate. U.S. Treasury borrowings are repaid primarily with the repayments of
medium-term and long-term loans. For further discussion, see “How does Ex-Im Bank fund its
activities?” in the Budget and Appropriations section.
What fees does Ex-Im Bank charge, and how are those determined?
Ex-Im Bank’s fees for medium- and long-term financing (which account for the bulk of its
exposure) generally are guided by the OECD Arrangement. They include the following:
•
Ex-Im Bank’s direct loans carry fixed interest rates. They generally are made at
terms that are the most attractive allowed under the OECD Arrangement, which
specifies a minimum interest charge of 1 percentage point above the U.S.
Treasury rate for a security of comparable length. The interest rate charged by
Ex-Im Bank for direct loans is the interest fixed at the Commercial Interest
Reference Rates (CIRR).46 In contrast, its loan guarantees usually carry a floating
interest rate that is negotiated between the lender (e.g., the commercial bank) and
borrower, or set by the lender.
•
Risk premia, also known as “exposure fees,” are intended to cover the risk of
nonpayment for a transaction. Ex-Im Bank charges risk premia for sovereign and
non-sovereign buyers in accordance with rules under the OECD Arrangement. In
doing so, Ex-Im Bank seeks to ensure that the premia collected meet the U.S.
government’s minimum budgetary requirements. Thus, in certain cases (e.g.,
medium-term transactions), Ex-Im Bank charges fees higher than the minimum
fees allowed under the OECD premia system.47
•
Ex-Im Bank charges commitment fees, which do not appear to be guided by the
OECD Arrangement.48
The OECD Arrangement does not cover fee structures for short-term financing products. The
Bank uses a combination of factors to determine the pricing structure for these products.
Do Ex-Im Bank’s activities have a U.S. foreign policy focus?
Ex-Im Bank’s activities focus on supporting U.S. commercial interests. However, Ex-Im Bank
activities also may support Administration goals and policy initiatives. For example, under the
46
A CIRR is the official lending rates of ECAs. It is a market-related fixed rate calculated monthly using a
government’s borrowing cost plus a basis points spread (bps) that depends on the tenor of the transaction. A CIRR is
set for each currency based on the borrowing cost of the government of the government that uses that currency, i.e., it is
based on government bonds issued in the country’s domestic market for its currency. For the U.S. dollar, the CIRR is
based on the U.S. Treasury bond rate.
47
Ex-Im Bank, Report to the U.S. Congress on Export Credit Competition and the Export-Import Bank of the United
States, For the Period January 1, 2013 through December 31, 2013, June 2014, p. 35.
48
GAO, Export-Import Bank: Recent Growth Underscores Need for Continued Improvements in Risk Management,
GAO-13-303, March 2013, p. 27, http://www.gao.gov/assets/660/653373.pdf.
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Obama Administration, Ex-Im Bank has been involved in efforts to boost U.S. exports worldwide
under the National Export Initiative, as well as regional policy initiatives focused on sub-Saharan
Africa and the Asia-Pacific region.
What is the approval process for Ex-Im Bank transactions?
Ex-Im Bank processing of transactions is a multi-step process (see Figure 3). Applications can be
submitted by U.S. exporters, foreign buyers, or commercial lenders depending on the situation
and transaction. The approval time for an application can vary, depending on the nature of the
transaction. Ex-Im Bank, based on statutory requirements, considers applications across multiple
criteria. Transactions require the approval of the Board of Directors directly or through delegated
authority.49 Ex-Im Bank monitors the performance of all medium-term direct loans, loan
guarantees, and insurance transactions and all long-term direct loans and loan guarantees above
$1 million to help contain risk. Monitoring can vary for short-term transactions.50
Figure 3. General Ex-Im Bank Approval Process
Source: CRS, based on Ex-Im Bank information.
Notes: This diagram is a highly simplified representation of the Ex-Im Bank approval for a proposed transaction.
Specifics can vary by product type and transaction.
Statutory Requirements and Policies
What are Ex-Im Bank’s general statutory requirements and
policies?
Under its charter, Ex-Im Bank’s financing must have a reasonable assurance of repayment;
supplement, and not compete with, private capital; and be provided at terms competitive with
foreign ECAs.51 The Bank considers a proposed transaction’s potential U.S. economic impact52
49
Ex-Im Bank, Export-Import Bank of the United States Annual Report 2013, “FY2013 2014, Management’s Discussion and
Analysis,” p. 7 Analysis of Results of
Operations and Financial Condition, p. 53. As an example of delegated authority, Ex-Im Bank delegates the authority
for underwriting most of
short-term transactions directly to Ex-Im Bank-approved private sector lenders. See GAO,
Export-Import Bank: Recent
Growth Underscores Need for Continued Improvements in Risk Management, GAO-13-30313303, March 2013, pp. 7-8,
http://www.gao.gov/products/GAO-13-303.
50
GAO, Export-Import Bank: Recent Growth Underscores Need for Continued Improvements in Risk Management,
GAO-13-303, March 2013, p. 40; and CRS meeting with Ex-Im Bank, April 7, 2014.
51
12 U.S.C. §635(b)(1)(B).
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and potential environmental impact,53 among other policy issues. Based on its mandate to support
U.S. employment, Ex-Im Bank currently requires a certain amount of U.S. content (85% for
medium- and long-term transactions) for an export contract to receive full financing from the
Bank.54 In addition, it requires products to be shipped on U.S. flag vessels, with certain
exceptions.55
Congress further requires Ex-Im Bank to support certain types of exports. For example, the Bank
must make available not less than 20% of its total authority to finance small business exports,56
and not less than 10% to finance “renewable energy” exports.57 It also must promote financing to
sub-Saharan Africa, but does not have a quantitative target.58 While the Bank seeks to support
these export goals, it is demand-driven and its activity depends on alignment with commercial
opportunities.
Ex-Im Bank must submit proposed transactions of $100 million or more or transactions related to
nuclear power and heavy water production facilities through a congressional notification process.
This process requires a 25-legislative or 35-calendar day congressional review period (whichever
is shorter) before the Board of Directors can take final action on a transaction.59
Ex-Im Bank also is subject to various reporting requirements, including related to its operations,
small business support, default rate monitoring, categorization of loans and long-term guarantee
transactions by their stated purpose, and the competitiveness of its rates, terms, and conditions
vis-à-vis foreign ECAs.60 The charter also includes other statutory requirements.
In what countries can (or cannot) Ex-Im Bank provide support?
The Bank is open to support buyers of U.S. exports in almost 200 countries around the world.61
The Bank generally is prohibited from extending credit and insurance to certain countries,
including but not limited to those that are in armed conflict with the United States, those subject
to U.S. sanctions, those with balance of payment problems, or those for which a presidential
determination has been issued.62
(...continued)
52
12 U.S.C. §635a-2; 12 U.S.C. §635(b)(1)(B); 12 U.S.C. §635(e)(1); 12 U.S.C. §635(e)(2); and 12 U.S.C. §635(e)(3).
53
12 U.S.C. §635i-5.
54
Ex-Im Bank’s content policy is based on its core jobs mandate, found in 12 U.S.C. §635(a)(1).
55
Public Resolution 17 of the 73rd Congress; P.L. 109-304.
56
12 U.S.C. §635(b)(1)(E)(v).
57
12 U.S.C. §635(b)(1)(K) and appropriations language.
58
12 U.S.C. §635(b)(9)(A).
59
12 U.S.C. §635(b)(3).
60
12 U.S.C. §635g and 12 U.S.C. §635g-1.
61
Ex-Im Bank, Export-Import Bank of the United States Annual Report 2013, p. 20.
62
For more information, see Ex-Im Bank, “Country Limitation Schedule,” http://www.exim.gov/tools/
countrylimitationschedule/.
62
Ibid.
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Does Ex-Im Bank support military exports?
Ex-Im Bank is prohibited from financing defense articles and defense services with certain
limited exceptions, such as a national interest determination by the President.63
What is Ex-Im Bank’s economic impact policy?
Ex-Im Bank’s economic impact analysis provisions were first incorporated in its charter in 1968,
and have been modified nine times since then.64 Ex-Im Bank is required to have “regulations and
procedures to insure that full consideration is given to the extent that any loan or guarantee is
likely to have an adverse effect” on U.S. industries and U.S. employment.65 These regulations and
procedures are in support of the congressional policy that, “in authorizing any loan or guarantee
the Board of Directors shall take into account any serious adverse effect of such loan or
guarantee.”66 Furthermore, the Bank is prohibited from extending any loan or guarantee that
would establish or expand the production of any commodity for export by any other country if
“the commodity is likely to be in surplus on world markets at the time the resulting commodity
will first be sold” or “the resulting production capacity is expected to compete with [U.S.]
production of the same, similar, or competing commodity” and will cause “substantial injury” to
U.S. producers of a “same, similar, or competing commodity.”67 The same prohibition applies to
loans or guarantees subject to U.S. trade remedy measures, such as countervailing duties or antidumping orders.68 However, these prohibitions do not apply if the Board of Directors determines
that the proposed transaction’s “short- and long-term benefits to [U.S.] industry and
employment... are likely to outweigh the short- and long-term injury to [U.S.] producers and
employment... of the same, similar, or competing commodities.”69
Stakeholders hold different views on Ex-Im Bank’s economic impact policy. Supporters of the
policy argue that it meets the Bank’s statutory requirements while balancing the range of
stakeholder interests. Additionally, some users argue that the policy may contribute to longer
processing times of applications and create uncertainty about the availability of Ex-Im Bank
financing.70 Import-sensitive industries periodically have raised concerns about the economic
impact of Ex-Im Bank’s activities, which have led to certain changes in its charter. For instance,
the 2002 reauthorization act (P.L. 107-189) added the prohibition for Bank support related to
countervailing duties and anti-dumping orders (see above).
63
12 U.S.C. §635(b)(6).
Ex-Im Bank, Report to the U.S. Congress on Export Credit Competition and the Export-Import Bank of the United
States, For the Period January 1, 2013 through December 31, 2013, June 2014, p. 88.
65
12 U.S.C. 635a-2.
66
12 U.S.C. 635(b)(1)(B).
67
12 U.S.C. 635(e)(1). The Bank defines risk of substantial injury as the extension of a loan or guarantee that will
enable a foreign buyer to establish or expand foreign production by an amount that is equal to or greater than 1% of
U.S. production. See also, Ex-Im Bank, Economic Impact Procedures and Methodological Guidelines, April 2013,
http://www.exim.gov/generalbankpolicies/economicimpact/.
68
12 U.S.C. 635(e)(2).
69
12 U.S.C. 635(e)(3).
70
Ibid., June 2014, pp. 90-91.
64
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Certain U.S. airline industry groups argue that Ex-Im Bank’s financing for U.S. aircraft exports to
foreign airlines adversely affects U.S. airlines and their employees, and that the Bank’s economic
impact analysis procedures are inconsistent with its charter, among other concerns.71 The Bank’s
support for foreign airlines’ purchases of wide-body aircraft has especially been a focal point.72
According to Ex-Im Bank, its economic impact analysis adequately takes into account U.S.
economic effects of transactions. Following its 2012 reauthorization and based on the above
concerns, Ex-Im Bank stated that it revised its economic impact review of aircraft transactions to
“assure a more cautious review” of them and that, since then, no aircraft transaction has been
found likely to cause a significant adverse economic impact on U.S. airlines or U.S.
employment.73 Aspects of this policy debate are subject to ongoing litigation.
What is Ex-Im Bank’s environmental impact policy?
In 1992, Congress amended Ex-Im Bank’s charter to mandate the establishment of environmental
procedures taking into account the environmental impacts associated with Ex-Im Bank-supported
projects (P.L. 102-429). Since then, Ex-Im Bank’s environmental policy has evolved. Presently,
Ex-Im Bank’s charter authorizes the Bank to grant or withhold financing support after taking into
account the potential beneficial and adverse environmental effects of goods and services for
which Ex-Im Bank direct lending and guarantee support is requested. The Bank must conduct an
environmental review of all long-term transactions for which support of $10 million or more is
requested from the Bank.74
Ex-Im Bank seeks to take environmental considerations into account through the following
measures.
•
Reducing the carbon dioxide emissions associated with Ex-Im Bank-supported
projects75 through the promotion of renewable energy exports;
•
Environmental and Social Due Diligence Procedures and Guidelines, which
provide a framework to screen, classify, and review transactions based on the
likely environmental impact of the underlying project; and
•
a Carbon Policy and Supplemental Guidelines for High-Carbon Projects, which
includes a focus on transparency and reporting of carbon dioxide emissions and
efforts.
71
Veronique de Rugy and Andrea Castillo, The US Export-Import Bank: A Review of the Debate over Reauthorization,
Mercatus Center at George Mason University, July 16, 2014, pp. 12-14, http://mercatus.org/sites/default/files/deRugyEx-ImReview.pdf. U.S. Congress, House Committee on Financial Services, Testimony of Richard H. Anderson, Chief
Executive Officer of Delta Air Lines, Hearing entitled “Assessing Reauthorization at the Export-Import Bank:
Corporate Necessity or Corporate Welfare?”, 113th Cong., 2nd sess., June 26, 2014, p. 5,
http://financialservices.house.gov/uploadedfiles/hhrg-113-ba00-wstate-randerson-20140625.pdf.
72
For a general background, see GAO, Export-Import Bank: Information on Export Credit Agency Financing Support
for Wide-Body Jets, GAO-14-642R, July 8, 2014, http://www.gao.gov/products/GAO-14-642R.
73
Ex-Im Bank, Report to the U.S. Congress on Export Credit Competition and the Export-Import Bank of the United
States, For the Period January 1, 2013 through December 31, 2013, June 2014, p. 41.
74
12 U.S.C. §635i-5.
75
Ex-Im Bank, Report to the U.S. Congress on Export Credit Competition and the Export-Import Bank of the United
States, For the Period January 1, 2013 through December 31, 2013, June 2014, pp. 54 and 146-147.
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Supporters of Ex-Im Bank’s environmental policy argue that the Bank must balance U.S.
exporting interests with environmental policy considerations, per its mandate. However, some
U.S. exporters are concerned that Ex-Im Bank’s environmental impact policies may be overly
burdensome and detract from its core mission to support U.S. exports and jobs. Recent
developments in Ex-Im Bank’s environmental policies related to high-carbon projects, including
support for exports for coal-fired power plants, have been subject to congressional action (see
next question).
How does the FY2014 appropriations act affect Ex-Im Bank
financing for coal-fired power plant projects?
Following the announcement of President Obama’s Climate Action Plan in June 2013,76 Ex-Im
Bank’s Board of Directors approved revisions to the Bank’s Supplemental Guidelines for HighCarbon Projects in December 2013. As revised, the Supplemental Guidelines state that “the Bank
will not provide support for exports of high carbon intensity plants, except for high carbon
intensity plants that (a) are located in the world’s poorest countries, utilize the most efficient coal
technology available and where no other economically feasible alternative exists; or (b) deploy
carbon capture and sequestration, in each case, in accordance with the requirements set forth in
these Supplemental Guidelines.”
Section 7081(4)(C) of the FY2014 appropriations act (P.L. 113-76) prohibited the use of Ex-Im
Bank funds, until September 30, 2014, and under certain conditions, for the enforcement of any
rule, regulation, policy, or guideline implemented pursuant to the Supplemental Guidelines.
Section 146 of the FY2015 CR (P.L. 113-164) extends that prohibition until December 11, 2014.
The prohibition varies based on countries’ classification under the World Bank (see text box).
World Bank Country Classifications
International Development Association (IDA)-eligible countries, as classified by the World Bank, are those countries
whose Gross National Income (GNI) per capita is below a certain threshold, established at $1,205 for FY2014.77
Some countries are eligible only for IDA support, and are referred to as “IDA-only” countries. Others, such as India,
Pakistan, and Vietnam, are eligible for IDA support based on their GNI per capita income, but also are creditworthy
for borrowing through the International Bank for Reconstruction and Development (IBRD); they are referred to as
“IDA-blend” countries. Currently, there are 59 countries classified by the World Bank as “IDA-only,” and 18
countries classified as “IDA-blend,” the latter of which can borrow from both facilities.
According to Ex-Im Bank, the impact of the appropriations language on the enforcement of rules
under its Supplemental Guidelines is as follows:
•
For IDA-only countries, the requirement is suspended until December 11, 2014,
for the transaction to involve the use of best appropriate technology available and
76
The White House, “FACT SHEET: President Obama’s Climate Action Plan,” press release, June 25, 2013,
http://www.whitehouse.gov/the-press-office/2013/06/25/fact-sheet-president-obama-s-climate-action-plan; and CRS
Report R43120, President Obama’s Climate Action Plan, coordinated by Jane A. Leggett. The plan called for the
United States to “[lead] global sector public financing towards cleaner energy by calling for the end of U.S.
government support for public financing of new coal-fired powers plants overseas, except for the most efficient coal
technology available in the world’s poorest countries, or facilities deploying carbon capture and sequestration
technologies.”
77
The World Banks’s FY2014 is July 1, 2013, to June 30, 2014.
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the requirement for alternatives analysis demonstrating no economically feasible
alternative exists.
•
For IDA-blend countries, the requirement is suspended until December 11,
2014, for the transaction to include carbon capture and sequestration to reduce its
carbon intensity to 500 grams of carbon dioxide/kilowatt hours or less.
•
For all other countries, the requirement remains for the transaction to include
carbon capture and sequestration to reduce its carbon intensity to 500 grams of
carbon dioxide/kilowatt hours or less.
•
For all countries (IDA-only, IDA-blend, other), all other Ex-Im Bank
environmental reviews, guidelines, and requirements remain in place.
From an environmental perspective, some stakeholders may be critical of the appropriations
language. Others may argue that it provides greater flexibility for Ex-Im Bank to meet its export
and jobs mandate more effectively.
What is Ex-Im Bank’s small business statutory mandate?
While Ex-Im Bank provides financing to companies of all sizes, its charter contains specific
mandates related to U.S. small business exports. The Export-Import Bank Reauthorization Act of
2002 (P.L. 107-189) requires the Bank to make available not less than 20% of its aggregate loan,
guarantees, and insurance authority to directly finance exports by small businesses, which
previously was set at 10%. It also added reporting requirements related to small business. The
Export-Import Bank Reauthorization Act of 2006 (P.L. 109-438) established a Small Business
Division within the Bank, as well as an office in the new division that focuses on socially and
economically disadvantaged small businesses and women-owned small businesses. In addition,
the 2006 act directed the Bank to have small business specialists throughout the agency and
established a Small Business Committee within its management structure.
What is Ex-Im Bank’s “renewable energy” statutory mandate?
The Export-Import Bank Reauthorization Act of 2002 (P.L. 107-189) directed the Bank to
“promote the export of goods and services related to renewable energy resources” and included
reporting requirements. Since FY2008, appropriations language has further specified that the ExIm Bank should make available not less than 10% of its aggregate credit and insurance authority
for the financing of “renewable energy” exports. The specific terms used for the 10% target have
varied; FY2014 appropriations language referred to “renewable energy technologies or energy
efficiency technologies” for the target. Congressional directives on Ex-Im Bank support for
“renewable energy” exports also date further back. For instance, the FY1990 foreign operations
appropriations act (P.L. 101-167) directed Ex-Im Bank to seek to provide not less than 5% of the
financing it utilizes for supporting energy sector exports for renewable energy projects.78
78
GAO, Export-Import Bank: Reaching New Targets for Environmentally Beneficial Exports Presents Major
Challenges for the Bank, GAO-10,682, July 2010, http://www.gao.gov/assets/310/307160.pdf.
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What is Ex-Im Bank’s sub-Saharan Africa statutory mandate?
The Export-Import Bank Reauthorization Act of 1997 (P.L. 105-121) amended Ex-Im Bank’s
charter to include mandates related to sub-Saharan Africa. It required its Board of Directors to
take “prompt measures, consistent with the credit standards otherwise required by law, to promote
the expansion of the Bank’s financial commitments in sub-Saharan Africa” under the Bank’s loan,
guarantee, and insurance programs.79
Among other things, the 1997 reauthorization act also is the basis for the Bank’s Sub-Saharan
Africa Advisory Committee. The act required the Board of Directors to establish an advisory
committee to advise it on the development and implementation of policies and programs to
support this expansion of the Bank’s commitments in the region.80 The act included a termination
date for the advisory committee of four years after the enactment of the act. Subsequent
reauthorization acts have extended the Sub-Saharan Africa Advisory Committee’s termination
date, most recently to September 30, 2014 (P.L. 112-122).81
What is Ex-Im Bank’s domestic content policy?
“Content” is the amount of domestic and foreign costs from labor, materials, overhead, and other
inputs associated with the production of an export. Ex-Im Bank bases its content policy on its
statutory mandate to support U.S. jobs. Under its content policy, for all medium- and long-term
transactions, Ex-Im Bank limits its support to the lesser of (1) 85% of the value of all goods and
services contained within a U.S. supply contract; or (2) 100% of the U.S. content of an export
contract. In effect, the Bank requires a minimum of 85% U.S. content and a maximum of 15%
foreign content for an export contract to receive the fullest extent of financing available by the
Bank. If the foreign content exceeds 15%, the Bank’s support would be reduced proportionally.82
For short-term export contracts, the minimum U.S. content requirement for full Ex-Im Bank
financing is generally 50%.83
Stakeholder views on Ex-Im Bank’s content policy vary. Given the proliferation of global supply
chains and foreign ECA policies, many U.S. businesses continue to call for additional flexibility
in Ex-Im Bank’s content requirements. For example, industry proposals have included
recommendations that Ex-Im Bank lower its domestic content requirement or expand the
definition of domestic content to include, for instance, research and development or other
elements that support high-value additions to the U.S. economy. However, labor groups tend to be
concerned about the impact that lowering national content requirements may have on
79
12 U.S.C. §635(b)(9)(A).
12 U.S.C. §635(b)(9)(B)(i).
81
12 U.S.C. §635(b)(9)(B)(iii). Although the explicit Sub-Saharan Africa Advisory Committee authority has expired,
Ex-Im Bank likely would be permitted to continue similar authority pursuant to 5 U.S.C. Appendix—Federal Advisory
Committee Act; 86 Stat. 770, as amended. See CRS Report R40520, Federal Advisory Committees: An Overview, by
Wendy Ginsberg.
82
Ex-Im Bank, Report to the U.S. Congress on Export Credit Competition and the Export-Import Bank of the United
States, For the Period January 1, 2013 through December 31, 2013, June 2014, p. 92; and Ex-Im Bank, “Medium- and
long-term content policy,” http://www.exim.gov/generalbankpolicies/content/medium-and-long-term-contentpolicy.cfm.
83
Ex-Im Bank, “Short-term content policy,” http://www.exim.gov/generalbankpolicies/content/short-term-contentpolicy.cfm.
80
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employment in the home country. From their point of view, reducing these requirements may
result in an outsourcing of labor to other countries. Others counter that the current requirements
may induce firms to use other ECAs for alternative sources of financing, which may cause them
to shift production overseas.
How do the policies of Ex-Im Bank and foreign ECAs compare?
Ex-Im Bank and other ECAs vary in terms of their mandates, organizational structure, policies,
and focus areas, which can complicate efforts to make comparisons across ECAs. Among
stakeholders, one view is that Ex-Im Bank’s policies—such as in its economic and environmental
impact, domestic content requirement, and U.S. flag shipping requirements—tend to be more
stringent than those of foreign ECAs. From a business perspective, some argue that such policies
can make Ex-Im Bank less competitive than foreign ECAs in supporting exporters. Another view
is that Ex-Im Bank, through its policies, must balance a range of stakeholder interests, including
those of businesses that benefit directly from Ex-Im Bank, other businesses that may be affected
by Ex-Im Bank support, labor concerns, and environmental concerns.
As required by Congress, Ex-Im Bank annually assesses how its policies, practices, and programs
compare with those of major foreign ECAs in its Annual Competitiveness Report to Congress. To
access the current year’s report, as well as earlier years’ reports, see http://www.exim.gov/about/
library/reports/competitivenessreports/.
Activity
How much credit and insurance does Ex-Im Bank authorize?
In the context of Ex-Im Bank’s activities, its authorizations are the new commitments for credit
and insurance that the agency approves each year.84 Ex-Im Bank authorized 3,746 transactions in
the amount of $20.5 billion in FY2014, down from 3,842 transactions in the amount of $27.3
billion in FY2013 (see Figure 4). Following several years of record highs in authorizations since
the 2008 financial crisis, Ex-Im Bank’s authorizations have declined over the past couple of years
with improvements in the lending environment. 85
84
This usage of authorization is distinct from its usage in the budget process context, where it refers to the amount
authorized to be appropriated.
85
Ex-Im Bank, Export-Import Bank of the United States Annual Report 2014, “Fiscal Year 2014 Authorizations
Summary,” http://www.exim.gov/about/library/reports/annualreports/2014/Annual-Report-FY2014.cfm.Management’s Discussion and Analysis of Results of
Operations and Financial Condition, p. 50.
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Figure 4. Ex-Im Bank Authorizations for Credit and Insurance Commitments,
FY1997-FY2014
Billions of U.S. Dollars
Source: CRS, from Ex-Im Bank annual reports.
Ex-Im Bank provides annual reports that discuss its program activity levels and focus areas, as
well as its financial performance. The current year’s reports, as well as earlier years’ reports going
back to FY1997, are accessible at http://www.exim.gov/about/library/reports/annualreports/. The
“Financial Report” section of the annual report includes a summary of Ex-Im Bank’s overall
authorizations by financial product type; its overall authorizations by market; and its long-term
loans and guarantee authorizations by market.
What amount of U.S. exports and number of U.S. jobs are
associated with Ex-Im Bank activity?
Ex-Im Bank estimates the amount of U.S. exports and number of U.S. jobs supported by its
activity. For FY2014, Ex-Im Bank estimates that its authorizations of $20.5 billion were in
support of $27.5 billion of U.S. exports and 164,000 U.S. jobs.86 The Bank also maintains data
through an interactive map of the United States with its estimated export and jobs impact at the
state and congressional district levels. It is accessible at http://www.exim.gov/customcf/
congressionalmap/us_map.cfm.
It is important to note that various factors affect U.S. export and employment levels. As such,
while the role of Ex-Im Bank support at the individual firm level may be apparent, it may be
86
Ex-Im Bank,
86
Export-Import Bank of the United States FinancialAnnual Report 2014, “Management’s Discussion and
Analysis of Results of
Operations and Financial Condition,” p. 2,
http://www.exim.gov/about/library/reports/annualreports/2014/Annual-Report-FY2014.cfm. p. 50.
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difficult to determine the precise impact of the presence or absence of Ex-Im Bank financing on
the U.S. economy in the long run.
What is the opportunity cost of Ex-Im Bank activity to U.S. exports
and jobs?
A limitation in demonstrating export and employment relationships is in trying to determine the
opportunity cost of Ex-Im Bank financing. Ex-Im Bank’s credit and insurance programs, in
supporting exports and employment, draw from the capital and labor resources within the
economy that would be available for other uses, such as alternative exports and employment.87
Challenges arise in determining what impact the presence of Ex-Im Bank has on the allocation of
resources in the market, as well as whether, in the absence of Ex-Im Bank, the sales of exports
and resulting employment attributed to Ex-Im Bank would have occurred. For example, if Ex-Im
Bank financing was not available, would firms have used services and financing from the private
sector, perhaps at a higher cost, to export? Or would the private sector costs be too prohibitive
due to market failures, such as imperfect information, and discourage U.S. firms from exporting?
In that case, economic theory would predict that fewer jobs would be created in the export
industry, but more jobs would be created elsewhere in the economy, for no net loss in total
employment in the long run.
How does Ex-Im Bank calculate its estimated jobs support?
Ex-Im Bank uses an “input-output” approach based on data from the Bureau of Labor Statistics
(BLS) to estimate the number of U.S. jobs it supports through its export financing.88 BLS
develops a domestic employment requirements table (ERT) to calculate the number of direct and
indirect production-related jobs associated with $1 million of final demand for nearly 200
industries.89 Ex-Im Bank’s methodology is to: (1) determine and apply the specific industry code
to each transaction that it finances: (2) determine the value of all exports it supports for each
industry; (3) multiply the export value by the jobs ratio from the ERT needed to support $1
million in exports in each industry; and (4) add together the estimate of jobs supported across all
industries to get a total number of jobs supported.90 Under this methodology, Ex-Im Bank’s
FY2014 authorizations support 6,190 jobs per $1 billion of U.S. exports. This represents a
87
Theoretically, the value of any opportunity cost would rise the closer the economy gets to full employment.
An estimate of “jobs supported” by Ex-Im Bank financing of U.S. exports may be distinct from an estimate of “jobs
created” by such financing.
89
Bureau of Labor Statistics (BLS), Employment Outlook: 2012-2022, Layout and Description for 195-Order
Employment Requirements Tables: Historical 1993 through 2012,
http://www.bls.gov/emp/ep_data_emp_requirements.htm; and Ex-Im Bank, Export-Import Bank of the United States
Financial Report 2014, “Management’s Discussion and Analysis of Results of Operations and Financial Condition,” p.
13 Annual Report
2014, p. 10. The Employment Requirements Table (ERTE7RT) is based on the 2007 North American Industry
Classification System
(NAICS).
90
GAO, Export-Import Bank: More Detailed Information about Its Jobs Calculation Methodology Could Improve
Transparency, GAO-13-466, May 23, 2013, pp. 7-10, http://www.gao.gov/products/gao-13-446 (hereinafter GAO-13466, May 23, 2013). The Trade Promotion Coordinating Committee (TPCC) designated this input-output approach
based on BLS data to estimate jobs supported as standard for U.S. government agencies. The TPCC is an interagency
committee whose objective is to coordinate and set priorities for federal agencies involved in export promotion and to
propose a unified export promotion budget to the President.
88
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weighted average based on each industry’s relative jobs per $1 billion average at time of
calculation.91
Although the input-output approach is based on a commonly used methodology, it has certain
limitations and is sensitive to certain assumptions. Some of the limitations are specific to the
ERT. For instance, the ERT does not distinguish between jobs that were “newly created” and
“maintained;” because of this lack of detailed information and limitations, Ex-Im Bank reports
that jobs are “associated with” or “supported by its financing.” The ERT also treats full-time,
part-time, and seasonal jobs equally in its count of jobs. It further assumes average industry
relationships, though, in actuality, firms differ within an industry. In addition, it excludes any
“multiplier effects” of spending from income generated by jobs supported by Ex-Im Bank. Other
limitations are specific to Ex-Im Bank’s process for determining industry and export value.92
Alternative methodologies may address some limitations but have other drawbacks.93 As part of a
May 2013 study on Ex-Im Bank’s jobs calculation methodology, the Government Accountability
Office (GAO) recommended that Ex-Im Bank improve the transparency of its methodology in
terms of its limitations and assumptions.94 According to GAO, Ex-Im Bank included greater detail
on its job calculation methodology in its FY2013 annual report.95
Has Ex-Im Bank met its congressional targets for small business,
renewable energy, and sub-Saharan Africa authorizations?
Given the demand-driven nature of Ex-Im Bank activities, the congressional mandates to support
U.S. exports by small business, U.S. exports of renewable energy goods and services, and U.S.
exports to sub-Saharan Africa can be viewed as statutory “targets.” (For a discussion of the
evolution of these mandates, see “Statutory Requirements and Policies” section.)
Ex-Im Bank has met its 20% small business target from Congress in some years, but has fallen
short in other years, based on authorization amount (see Table 1). At the same time, small
business transactions supported by the Bank constitute the majority of Ex-Im Bank’s transactions
by number. The Bank’s support for environmentally beneficial exports, while increasing, has been
consistently well below the 10% target, possibly due, in part, to limitations in the U.S. supply of
renewable energy exports.96 Ex-Im Bank’s support for sub-Saharan Africa also reflects an overall
uptick in activity, compared to previous years. While the Bank seeks to support these export
goals, its actual activity depends on alignment with commercial interests, as it is demand-driven.
91
Ex-Im Bank, Export-Import Bank of the United States Financial Report 2014, “Management’s Discussion and
Analysis of Results of Operations and Financial Condition,” p. 13.
92
Annual Report 2014, p. 10.
GAO-13-466, May 23, 2013, pp. 10-13.
93
Ibid., pp. 15-17.
94
Ibid., p. 13.
95
Ibid., “Recommendations.”
96
GAO, Export-Import Bank: Reaching New Targets for Environmentally Beneficial Exports Presents Major
Challenges for Bank, GAO-10-682, July 14, 2010, http://www.gao.gov/products/GAO-10-682.
92
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Table 1. Ex-Im Bank’s Credit and Insurance Authorizations, FY2013-FY2014
Program
Total Authorizations
Loans
Loan Guarantees
Insurance
Number of Authorizations
Amount Authorized ($ millions)
FY2013
FY2014
FY2013
FY2014
3,842
3,746
$27,347.6
$20,467.9
71
69
$6,893.8
$1,947.8
674
540
$14,911.8
$13,314.0
3,097
3,137
$5,542.0
$5,206.1
Authorizations for Specific Types of Exports (Congressional Mandate)
Exports by Small Business
(20% target for amount)
3,413
3,347
$5,223.0
$5,050.2
Percent of Total
88.8%
89.3%
19.1%
24.7%
32
32
$257.0
$186.8
0.83%
0.85%
0.94%
0.91%
188
192
$604.0
$2,055.1
4.9%
5.1%
2.2%
10.0%
Renewable Energy Exports
(10% target for amount)
Percent of Total
Exports to Sub-Saharan Africa
(increased focus, no % target)
Percent of Total
Source: Ex-Im Bank annual reports data adapted by CRS.
How can Ex-Im Bank’s support for small business be characterized?
Ex-Im Bank’s 20% statutory target for small business support focuses on direct support. Some
stakeholders say that this approach leads to an impression that Ex-Im Bank supports fewer small
businesses than it actually does.97 For example, a 2011 study of the supply chains of five large
companies (Bechtel, Boeing, Case New Holland, General Electric, and Siemens Power
Corporation) that are “exporters of record” for Ex-Im Bank, identified over 33,000 small- and
medium-sized enterprises (SMEs) that serve as primary suppliers of parts and services
incorporated into these large companies’ exports; according to the study, these SMEs also benefit
from Ex-Im Bank financing.98 Other SMEs also operate at sub-levels of the supply chain, serving
as “suppliers to the suppliers.” For FY2014, Ex-Im Bank estimates that it authorized $0.7 billion
in indirect small business support, compared to $0.8 billion in FY2013.99
Other stakeholders assert that focusing on Ex-Im Bank’s indirect support for small businesses is
not the original intention of Ex-Im Bank’s mandate. They express concern that allowing indirect
support for small business to count toward the 20% small business target may adversely affect
97
For example, see U.S. Chamber of Commerce Coalition Letter to Members of the United States Congress on Ex-Im
Bank, February 13, 2012, https://www.uschamber.com/letter/coalition-letter.
98
Coalition for Employment Through Exports (CEE), Supplier Study of 2011. CEE is a non-profit advocacy
organization whose Board of Directors and members include Bechtel, Case New Holland, General Electric, and
Siemens Financial Services. See http://usaexport.org/.
99
Ex-Im Bank, Export-Import Bank of the United States FinancialAnnual Report 2014, “Management’s Discussion and
Analysis of Results of
Operations and Financial Condition,” p. 16.58.
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U.S. small business exporters by making it easier for Ex-Im Bank to reach the 20% goal and,
thus, reducing incentives to seek small business customers.100
What is Ex-Im Bank’s exposure level?
Ex-Im Bank’s exposure level is the aggregate amount of loans, guarantees, and insurance that ExIm Bank has outstanding at any one time (“overall portfolio”). Statutory limits on its exposure
level are established in Ex-Im Bank’s charter.101 In FY2014, Ex-Im Bank reported that its
exposure declined to $112.0 billion—below the $140 billion statutory cap for that year. This
represents a decrease following recent years of record highs in Ex-Im Bank’s exposure level (see
Figure 5). Prior years’ growing levels of exposure were associated largely with increased demand
for Ex-Im Bank’s services during the financial crisis as commercial lending declined, as well as
possibly greater demand in emerging markets for U.S. exports; increased usage of the Bank by
key customers, such as those in the satellite sector; and greater Ex-Im Bank outreach.102
Figure 5. Ex-Im Bank Exposure Levels and Exposure Cap, FY1997-FY2014
Billions of U.S. Dollars
Source: CRS analysis of data from Ex-Im Bank annual reports.
100
Letter from Todd McCracken, President and CEO of Small Business Exporters Association (SBEA), to The
Honorable Tim Johnson, Chairman of Senate Banking Committee; The Honorable Michael Crapo, Ranking Member of
Senate Banking Committee; The Honorable Jeb Hensarling, Chairman of House Financial Services Committee; and
The Honorable Maxine Waters, Ranking Member of House Financial Services Committee, May (assumed) 2014,
http://www.nsba.biz/wp-content/uploads/2014/05/SBEA_NSBA_Letter_Admin_SME_Ex-Im_Reauth-Proposal.pdf.
101
12 U.S.C. §635e(F)(ii).
102
GAO, Export-Import Bank: Recent Growth Underscores Need for Continued Improvements in Risk Management,
GAO-13-303, March 2013, pp. 14-20, http://www.gao.gov/products/GAO-13-303 (hereinafter GAO-13-303, March
2013).
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Ex-Im Bank’s portfolio is distributed across its financial products, as well as geographical regions
and economic sectors (see Figure 6).
Figure 6. Ex-Im Bank Exposure Level Composition, FY2014
Billions of U.S. Dollars
Source: CRS, based on data from Ex-Im Bank annual reports.
Risk Management
What risks does Ex-Im Bank face in financing and insuring
exports?
Ex-Im Bank faces a number of risks in financing and insuring U.S. exports, including:
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repayment risk, which is the risk that a borrower will not pay according to the
original agreement and the Bank may eventually have to write-off some or all of
the obligation because of credit or political reasons;
•
concentration risk, which is the risk stemming from the composition of the
credit portfolio (e.g., concentration of portfolio by geographic region, industry,
and obligor), as opposed to the risks related to specific obligors;
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foreign currency risk, which is the risk stemming from an appreciation or
depreciation in the value of a foreign currency in relation to the U.S. dollar in ExIm Bank transactions denominated in that foreign currency;
•
operational risk, which is the risk of material losses resulting from human error,
system deficiencies, and control weaknesses; and
•
interest rate risk, which stems from the fact that Ex-Im Bank makes fixed-rate
loan commitments prior to borrowing to fund loans and there is a risk that it will
have to borrow funds at an interest rate greater than the rate charged on the
credit.103
How does Ex-Im Bank seek to manage its risks?
The basis for Ex-Im Bank’s risk management function is in the Bank’s charter, which requires
that all transactions supported by the Bank have a reasonable assurance of repayment104 and that
the Bank maintains reasonable provisions for losses.105 The Bank has a system in place to
mitigate risks through credit underwriting and due diligence of potential transactions, as well as
monitoring risks of current transactions. If a transaction has credit weaknesses, the Bank will try
to restructure it to help prevent defaults and increase the likelihood of higher recoveries if the
transaction does default. Ex-Im Bank also has a claims and recovery process for transactions in
default.106
How does Ex-Im Bank determine the level of funds necessary to
cover future projected claims?
Because loan repayment prospects may change over time due to economic or other factors, Ex-Im
Bank’s credit losses on the outstanding balance of transactions are re-estimated annually. This reestimate indicates the appropriate level of funds necessary to cover projected future claims. On an
annual basis, the difference between the Bank’s financing accounts and the amount needed to
cover future estimated claims is reconciled through one of two processes. First, if the balance in
Ex-Im Bank’s financing accounts is greater than the re-estimates of credit losses, the surplus
funds are transferred to a Treasury General Fund receipt account. It is not available to cover
future estimated claims. Second, if the balance in the financing accounts is less than the reestimated level of credit losses, a mandatory appropriation is made available in order for the Bank
to issue commitments for new loans and guarantees in excess of those receipts.107 These transfers
and appropriations, when they occur, do not affect the calculation of the budget deficit.108
103
Ex-Im Bank annual reports; and GAO-13-303, March 2013, p. 8.
12 U.S.C. §635(b)(1)(B).
105
12 U.S.C. §635(a)(1).
106
GAO-13-303, March 2013, p. 42.
107
Export-Import Bank of the United States Annual Report 2013, p. 51.
108
Financing accounts are non-budget accounts associated with federal credit programs. Therefore, all transactions
(i.e., cash flows) associated with these accounts are not reflected in total outlays, receipts, or the budget surplus/deficit.
104
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How much are in Ex-Im Bank’s loss reserves?
Ex-Im Bank maintains reserves to protect against potential future losses from its activities. Ex-Im
Bank maintains reserves to protect against potential future losses from its activities. According to
Ex-Im Bank data, its reserves for loan losses totaled $5.0 billion in FY2014, which represented
4.5% of its total exposure.109
What is Ex-Im Bank’s default rate?
Ex-Im Bank calculates its default rate as a “total amount of required payments that are overdue
(claims paid on guarantees and insurance transactions plus loans past due) divided by a total
amount of financing involved (disbursements).”110 The 2012 reauthorization act required Ex-Im
Bank to monitor its default rate, report it on a quarterly basis to Congress, and to develop a plan
to reduce the default rate if it exceeded 2% (sometimes called “the 2% rule”).111 As reported by
Ex-Im Bank on a quarterly basis, its default rate was 0.175% as of September 30, 2014.112
According to Ex-Im Bank, its historical default rate has been less than 1% since its inception.113
However, there is some debate about how the default rate should be interpreted. According to a
GAO study, the ultimate impact of Ex-Im Bank’s recent business on default rates is not yet
known as it contains a large volume of transactions that have not reached their peak default
periods.114 GAO also has stated that trends in Ex-Im Bank’s default rate should be viewed with
caution because of limitations in the agency’s analysis of its financial performance.115
What happens when Ex-Im Bank has to pay a claim?
Ex-Im Bank pays a claim when a loan that it has guaranteed or an insurance policy that it has
issued defaults. In the case of a loan guarantee, Ex-Im Bank will take the loan over from the bank
and pay the lending bank the full amount of the principal of the loan that it guaranteed, plus any
accrued interest. In addition, when Ex-Im Bank pays a claim for a loan guarantee that is
denominated in a foreign currency, it seeks to manage its foreign currency risk by purchasing the
foreign currency to pay the claim to the lender and then attempts recovery on the U.S. dollar
equivalent, which represents the obligor’s debt obligation—shifting the foreign currency risk to
the obligor after the claim has been paid.116 After Ex-Im Bank takes possession of a loan in
default, it engages in recovery efforts to minimize its losses (see next question).
109
Ex-Im Bank, Export-Import Bank of the United States FinancialAnnual Report 2014, "Management's Discussion and
Analysis of Results of
Operations and Financial Condition," p. 2964.
110
Ibid., p. 48.
111
12 U.S.C. §635g(g).
112
Ex-Im Bank, Default Rate Report as of September 2014, p. 3. The default rate provided by Ex-Im Bank is different
from the default rate calculated by the Office of Management and Budget (OMB) to calculate the credit subsidy for
budgetary purposes. The default rate calculated by OMB is a lifetime default rate, and is typically higher than the one
that is reported quarterly.
113
Ibid., p. 11.
114
GAO-13-303, March 2013, p. 31.
115
GAO, Export-Import Bank: Recent Growth Underscores Need for Continued Improvements in Risk Management,
GAO-13-703T, June 13, 2013, p. 6.
116
GAO-13-303, March 2013, pp. 41-42; and CRS meeting with Ex-Im Bank, April 7, 2014.
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What is Ex-Im Bank’s recovery rate?
Ex-Im Bank reports that, since 1992, it has been able to recover 50 cents on the dollar on average
for transactions in default. Backed by the U.S. government, Ex-Im Bank can take legal action
against obligors for transactions in default.117 According to Ex-Im Bank, more than 80% of its
entire portfolio is backed by some type of collateral (e.g., aircraft) or sovereign guarantee.118
What is the debate over Ex-Im Bank’s risk management practices?
Congressional interest in Ex-Im Bank’s financial soundness and risk management has been longstanding. It has been motivated, in part, by interest in the impact of Ex-Im Bank’s activity on U.S.
taxpayers, given that the Bank’s activities are backed by the full faith and credit of the U.S.
government.119 In recent years, Ex-Im Bank’s growing exposure levels have heightened
congressional scrutiny in its financial soundness and risk management practices.
Pursuant to the 2012 reauthorization act, GAO published reports in March 2013 and May 2013
that reviewed Ex-Im Bank’s risk management and reporting practices.120 GAO found that Ex-Im
Bank is moving toward a more comprehensive risk management framework and has made certain
improvements over time, including enhancing credit loss modeling with qualitative factors. At the
same time, GAO considered further improvement to Ex-Im Bank’s risk management practices
necessary and provided recommendations to Ex-Im Bank to addressing remaining weaknesses.
Ex-Im Bank reported accepting all of GAO’s recommendations. To date, according to GAO, ExIm Bank has addressed recommendations in the areas of collecting data for estimating losses of
transactions; managing financial risks through stress testing and monitoring default rates of subportfolios; and forecasting exposure levels. Ex-Im Bank has begun addressing other GAO
recommendations regarding its workload and associated operational risks.121
The Bank also notes other changes it has made in recent years, including appointing a Chief Risk
Officer in 2013 to ensure prudential risk management, as well as establishing an Enterprise Risk
Committee, modernizing its credit monitoring, creating a Special Assets unit to address emerging
credit issues, expanding pro-active monitoring efforts, and improving underwriting criteria.122
Supporters of Ex-Im Bank contend that it has adequate systems and staffing in place to manage
its risk, and poses low risk to U.S. taxpayers. They argue that the Bank has a strong mandate to
manage risk under its charter and has a strong record of risk management, noting the low default
rate and high recovery rate reported by Ex-Im Bank.123 Critics hold that there are weaknesses in
117
Ex-Im Bank, FY2013
Export-Import Bank of the United States Annual Report 2013, p. 5; and Export-Import Bank of the United States
Annual Report 2014, p. 51.
118
Export-Import Bank of the United States Annual Report 2014, p. 53, p. 5.
Ibid., p. 48.
119
12 U.S.C. §635k.
120
GAO-13-303, March 2013; and GAO, Export-Import Bank: Additional Analysis and Information Could Better
Inform Congress on Exposure, Risk, and Resources, GAO-13-620, May 2013.
121
Ibid; and GAO, Export-Import Bank: Status of GAO Recommendations on Risk Management Exposure Forecasting,
and Workload Issues, GAO-14-708T, June 25, 2014, http://www.gao.gov/products/GAO-14-708T.
122
U.S. Congress, Senate Committee on Banking, Housing, and Urban Affairs, Oversight and Reauthorization of the
Export-Import Bank of the United States, Written Testimony of Fred P. Hochberg - President and Chairman of Ex-Im
Bank, 113th Cong., 2nd sess., January 28, 2014.
123
For example, see NAM, Facts on the Export-Import (Ex-Im) Bank, http://www.nam.org/~/media/
5AF9A722407E46D6A1264820B2208860.ashx.
118(continued...)
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the Bank’s risk governance, pointing to certain findings in studies by GAO and the Bank’s Office
of Inspector General. They question the methodology used to calculate Ex-Im Bank’s expected
losses and contributions to the Treasury, and express concern that the Bank’s exposure growth
and concentrations, such as in aircraft, pose a risk to U.S. taxpayers and the federal budget.124
Other stakeholders caution that the Bank may be becoming too risk-averse. A focal point has been
Ex-Im Bank’s medium-term program, whose default rate is higher than that of Ex-Im Bank’s
overall portfolio. Ex-Im Bank has introduced heightened credit standards, including higher
collateral requirements, for this program.125 These tighter standards have been associated with a
decrease in Ex-Im Bank medium-term lending in recent years,126 and have raised concerns about
the appropriate balance in Ex-Im Bank’s risk management with its overall mandate to support
U.S. exports.
Budget and Appropriations
How does Ex-Im Bank fund its activities?
Ex-Im Bank’s program revenues include the fees and premia charged for services, interest
generated from loans, and repayment of loan principals. For a given year, the Bank’s program
revenues that are in excess of the forecasted loss on those transactions (credit losses) are retained
as offsetting collections. These offsetting collections are used to fund new obligations in the year,
during the
year, which include administrative costs, claim payments, loan disbursements, and prudent
reserves to
cover future losses. Ex-Im Bank borrows from the Treasury to finance medium- and
long-term
loans.
According to Ex-Im Bank, there is no limit on the total amount of offsetting collections that the
Bank can have. However, there are limits on how much and for how long the Bank can keep the
offsetting collections. Through the annual appropriations process, Ex-Im Bank receives authority
to spend its offsetting collections.
See “How does Ex-Im Bank determine the level of funds necessary to cover future projected
claims?” in the Risk Management section.
How does Ex-Im Bank’s appropriations process work?
As a federal credit program, the activities of the Bank are subject to federal credit accounting
rules and the calculation of a credit subsidy. The Ex-Im Bank’s credit subsidy was negative in
FY2013 FY2014
and is estimated to be negative in FY2014 and FY2015. Therefore, no appropriation is
required to cover the cost of the subsidy for budgetary purposes. However, if the credit subsidy
calculation resulted in a positive subsidy rate or if the methodology for calculating subsidies for
124
required to cover the
(...continued)
5AF9A722407E46D6A1264820B2208860.ashx.
124
For example, see Diane Katz, U.S. Export-Import Bank: Corporate Welfare on the Backs of Taxpayers,” The
Heritage Foundation, April 11, 2014, http://www.heritage.org/research/reports/2014/04/us-exportimport-bankcorporate-welfare-on-the-backs-of-taxpayers.
125
GAO, Export-Import Bank: Additional Analysis and Information Could Better Inform Congress on Exposure, Risk,
and Resources, GAO-13-620, May 2013, p. 22.
126
Based on data from Ex-Im Bank annual reports.
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cost of the subsidy for budgetary purposes. However, if the credit subsidy calculation resulted in a
positive subsidy rate or if the methodology for calculating subsidies for federal credit programs
federal credit programs should change (i.e., to fair-value accounting) resulting in a positive
subsidy rate, then an
appropriation from Congress would be required to cover the credit subsidy
amount for the fiscal year in which a
positive subsidy was calculated.127
Separately, Congress provides an appropriationan appropriation is provided for the activities of the Ex-Im Bank’s Office of
Inspector Inspector
General (OIG) and sets an upper limit on its administrative expenses as part of the
Department of
State, Foreign Operations, and Related Programs appropriations act. These
expenses are not
included in the credit subsidy calculation, unlike the majority of the Bank’s
activities, but are
recorded on a cash basis. Because Ex-Im Bank collects revenues from its
customers, classified in
the federal budget as offsetting collections, it is able to reimburse the
Treasury for the costs of
those expenses resulting in a net appropriation of zero (administrative
expenses $90 million in FY2013; Inspector General $4 million in FY2013). For FY2014,
Congress set . For FY2014, appropriations legislation set
an upper limit of $115.5 million for the Bank’s administrative expenses, provided
$5.1 million for
its OIG, and allowed carryover funds of up to $10 million to remain available
until September 30, 2017. In general, the FY2015 CR (P.L. 113-164) provides funding for federal
agencies, including Ex-Im Bank, for projects and activities through December 11, 2014 at the rate
they were funded in the FY2014 Consolidated Appropriations Act, minus an across-the-board
reduction of less than 1%.
2017. For FY2015, appropriations legislation set an upper limit of $106.3 million for the Bank’s
administrative expenses, provided $5.8 million for its OIG, and allowed carryover funds of up to
$10 million to remain available until September 30, 2018.128
How are Ex-Im Bank’s activities accounted for under Federal Credit
Reform Act of 1990 (FCRA)?
Beginning with FY1992, the Federal Credit Reform Act (FCRA, P.L. 101-508) required that the
reported budgetary cost of a credit program equal the estimated subsidy costs at the time the
credit is provided. FCRA defines the subsidy cost as “the estimated long-term cost to the
government of a direct loan or a loan guarantee, calculated on a net present value basis, excluding
administrative costs.” Before FY1992, the budgetary cost of a new loan or new loan guarantee
was reported as its net cash flow for that fiscal year. The change to FCRA places the cost of
federal credit programs on a budgetary basis that more closely matches other federal outlays.
The FCRA methodology described above resulted in an estimated budgetary impact for Ex-Im
Bank’s credit activities of FY2013 of -$1 billion, or reduction in the budget deficit of $1 billion. A
negative subsidy indicates that the discounted present value of cash inflows exceeds the
discounted value of cash outflows over the life of the loans, resulting in a reduction in the budget
deficit for the fiscal year in which the subsidy estimate is made. This negative credit subsidy is
calculated based on the negative credit subsidy rate multiplied by the total dollar value of loans
and loan guarantees in that year. The estimated subsidy is -$570 million for FY2014 and -$1.4
billion for FY2015.128129 Subsidy rates from federal credit programs are subject to re-estimates in
future years, resulting in new subsidy estimates that may be higher or lower compared to the
original estimate. For example, in FY2012, the original subsidy rate for Ex-Im Bank’s direct
127
During the 1990s and early 2000s, Ex-Im Bank’s credit subsidy was positive in most years. If positive subsidies
persisted over the long term, Ex-Im Bank could opt to charge higher fees or premia or restructure its products to
eliminate these positive subsidies.
128
Although P.L. 113-235 provides language for Ex-Im Bank funding through the end of FY2015, Ex-Im Bank’s
general statutory charter is extended through June 30, 2015.
129
These subsidy estimates were taken from the President’s Budget documents prepared by the Office of Management
and Budget (OMB). The Congressional Budget Office (CBO) utilizesuses different models and assumptions when making
credit estimates for purposes of the appropriations process and CBO’s baseline estimates.
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loans was -9.30%. Currently, it has been re-estimated at -7.85%. The original credit subsidy rate
for loan guarantees in the same year was -1.66%, and it is currently re-estimated at -0.02%.
What is the relationship between Ex-Im Bank activity and the U.S.
debt and deficit?
Beginning with FY1992, the FCRA required that the reported budgetary cost of a credit program
equal the estimated subsidy costs at the time the credit is provided. This methodology resulted in
an estimated budgetary impact of Ex-Im Bank’s activities of -$1 billion in FY2013 and an
estimated -$570 million for FY2014.129130 In other words, Ex-Im Bank’s activities in FY2013 were
estimated to reduce the budget deficit by $1 billion in FY2013, and are estimated to reduce the
budget deficit by $570 million in FY2014.
The budgetary impact (the credit subsidy) of the Ex-Im Bank’s activities is different from its
impact on the federal debt. When the Bank issues a new direct loan or has to pay an obligation on
a loan guarantee, it borrows money from the U.S. Treasury, which is raised by the Treasury by
selling Treasury securities to the extent that the Bank does not have enough incoming revenue to
cover the obligation. That borrowing from the Treasury increases the size of the U.S. federal debt
in the amount borrowed on a dollar-for-dollar basis. Therefore, while the loan or loan guarantee
remains outstanding, the activities of the Bank increase the size of the U.S. debt. As these
obligations are repaid, the amount of debt outstanding to the U.S. Treasury declines, thereby
decreasing the size of the Ex-Im Bank’s contribution to the federal debt. The size of the credit
subsidy calculated for budgetary purposes should reflect the size of the long-term cost (or debt
burden) on the U.S. Treasury, though the estimates are inherently inexact. Outstanding borrowing
owed to the U.S. Treasury totaled $18.121.4 billion at the end of FY2013.FY2014.131 (Any repayments to the
Treasury for outstanding debt do not directly affect Ex-Im Bank’s credit subsidy for budgetary
purposes.)
What does Ex-Im Bank do with its excess revenues?
Ex-Im Bank collects revenues from customers, from fees and premia and loan principal and
interest payments in the form of offsetting collections. Offsetting collections are defined as funds
collected by government agencies from other government agencies or from the public in
businesslike or market-oriented transactions that are credited to an expenditure account.
Offsetting collections in FY2013 were nearly $1.3 billionFY2014 were $800 million after setting funds aside for credit loss
reserves. Ex-Im Bank states that nearly $1.1 billion of that amount was in excess of operating
costs and loan loss reserves.130reported providing $674.7 million to the Treasury in FY2014 after covering
operating expenses. That amount is calculated on a cash basis and based on the $1.3
billion in $800 million in
offsetting collections less $90105 million in administrative expenses and $108, $10 million that
was retained
in Ex-Im Bank’s accounts to be available for obligation as allowed under law.
The amount of excess revenue calculated on a cash basis, discussed above, is different than the
amount calculated on a budgetary basis. For budgetary purposes, the credit subsidy calculation
129 and $10.5 million
for ongoing headquarter renovations. 132
130
These subsidy estimates were taken from the President’s Budget documents prepared by OMB. CBO utilizes
different uses different
models and assumptions when making credit estimates for purposes of the appropriations process and CBO’s
baseline baseline
estimates.
130131
Export-Import Bank of the United States Annual Report 2013, p. 5.2014, Notes to the Financial Statement, p. 90.
132
Ibid., p. 82.
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The amount of excess revenue calculated on a cash basis, discussed above, is different than the
amount calculated on a budgetary basis. For budgetary purposes, the credit subsidy calculation
incorporates the expected costs as well as profits (i.e., excess cash). When a credit account
generates a negative subsidy rate, as is the case with the Ex-Im Bank, a negative credit subsidy is
recorded in the federal budget in the form of offsetting receipts and can be used to offset other
costs incurred by the Bank. The negative credit subsidy indicates that over the lifetime of the
obligations outstanding, Ex-Im Bank is projected to generate more in offsetting collections than
what was initially borrowed to provide the direct loan in present value terms. For FY2013FY2014, the
amount of the negative subsidy or budgetary impact was -$1 billion.131570 million.133
How would changes in federal credit accounting affect Ex-Im
Bank?
There have been some proposals introduced and considered in the past few Congresses to change
the methodology for scoring federal credit programs from an FCRA approach, based on Treasury
interest rates, to a fair value approach, based on market rates (i.e., higher interest rates to account
for market risk). In the 113th Congress, the Budget and Transparency Act of 2014 (H.R. 1872),
which passed the House but has not been acted on in the Senate, would make such a change. CBO
estimated that if this accounting change were to be made for federal credit programs, the 10-year
cost of the Ex-Im Bank (FY2015-FY2024) would increase from -$14 billion to +$2 billion.132134
This would mean that Ex-Im Bank’s budgetary impact would shift from reducing the deficit to
increasing it over the 10-year period. In this scenario, Congressfunds would have to appropriate funds
to be appropriated to
cover the projected positive subsidy for the fiscal year that it was calculated.
Sunset in Authority
What would a sunset in Ex-Im Bank’s authority mean for the
agency’s activities?133135
A provision of Ex-Im Bank’s charter, 12 U.S.C. Section 635f, currently permits the Bank to
exercise its full functions through the close of business134business136 on June 30, 2015. Where such a
statutory termination date is prescribed, the general rule is that the agency subject to the
termination of its functions cannot continue to exercise its functions after that date absent express
statutory authority to do so.135137 Through statutory provisions in its charter, Ex-Im Bank is
expressly authorized to engage in some, but not all, of its general operations even after the
termination date goes into effect.
131
133
In some years, the credit subsidy was positive.
CBO, Fair-Value Estimates of the Costs of Selected Federal Credit Programs for 2015 to 2024, May 2014,
http://www.cbo.gov/sites/default/files/cbofiles/attachments/45383-FairValue.pdf.
133135
This portion of the report was written by David H. Carpenter, Legislative Attorney.
134136
For simplicity purposes, this report will treat “close of business” as 11:59:59 p.m. on the statutory termination date.
135137
Civil Rights Commission, B-246541, 71 Comp. Gen. 378, 380 (1992) (“... [O]nce a termination or sunset provision
becomes effective, the agency ceases to exist and no new obligations may be incurred after the termination date ...
Payment of obligations incurred prior to the termination date is usually made by a successor agency or by another
agency pursuant to an Economy Act, 31 U.S.C. Sec. 1535, agreement entered into prior to the termination date.”).
132134
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Pursuant to Section 635f, Congress has expressly authorized Ex-Im Bank to perform certain
functions before the statutory termination date that would create obligations that are binding after
the termination date.136138 Specifically, Section 635f permits the Bank to:
1. take on loans or similar obligations prior to its termination date that mature
subsequent to the termination date;
2. assume prior to the termination date liability as an insurer, guarantor, etc. of
obligations that mature subsequent to the termination date; and
3. issue prior to the termination date debt (in the form of “notes, debentures, bonds,
or other obligations which mature subsequent to the [termination] date”)
generally to be purchased by the U.S. Treasury.137139
These provisions permit the Bank to perform its customary functions prior to the termination date
without structuring every loan, guarantee, or other financial or contractual instrument to address
the possibility that the Bank will terminate. Because of these three provisions, Ex-Im Bank likely
will have debts, assets, and contractual duties that were entered into prior to the termination date
that would be valid and enforceable by and against the United States, if not the Bank itself, after
the termination date.138140
Other provisions of Section 635f expressly authorize the Bank to continue to perform certain
functions after its termination. Specifically, Section 635f permits the Bank to issue debt after the
termination date (in the form of “notes, debentures, bonds, and other obligations”) generally for
purchase by the Treasury. More significantly, Ex-Im Bank also may “continu[e] as a corporate
agency of the United States” and exercise any of its functions “for purposes of an orderly
liquidation,” including (but apparently not limited to) administering its assets and collecting any
obligations it holds.139
136141
138
12 U.S.C. §635f, which is entitled “Termination date of Bank’s functions; exceptions; liquidation,” currently states,
in its entirety:
Export-Import Bank of the United States shall continue to exercise its functions in connection with
and in furtherance of its objects and purposes until the close of business on June 30, 2015, but the
provisions of this section shall not be construed as preventing the bank from acquiring obligations
prior to such date which mature subsequent to such date or from assuming prior to such date
liability as guarantor, endorser, or acceptor of obligations which mature subsequent to such date or
from issuing, either prior or subsequent to such date, for purchase by the Secretary of the Treasury
or any other purchasers, its notes, debentures, bonds, or other obligations which mature subsequent
to such date or from continuing as a corporate agency of the United States and exercising any of its
functions subsequent to such date for purposes of orderly liquidation, including the administration
of its assets and the collection of any obligations held by the bank.
137139
This language, which seems to be modeled after 12 U.S.C. §635d, appears to authorize the Ex-Im Bank to issue
debt, generally to the U.S. Treasury.
138140
See, e.g., Civil Rights Commission, B-246541, 71 Comp. Gen. 378, 380 (1992). The Bank’s insurance and
guarantees are explicitly backed by the full faith and credit of the United States. 12 U.S.C. §635k. (“All guarantees and
insurance issued by the Bank shall be considered contingent obligations backed by the full faith and credit of the
government of the United States of America.”).
139141
12 U.S.C. §635f.
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What is an “orderly liquidation” for the purposes of Ex-Im Bank’s
Charter?140142
Section 635f of the Bank’s charter offers little guidance as to what an “orderly liquidation” entails
in this context. For example, it does not address how long the Bank might continue to engage in
the specified permissible functions after its termination—a potentially significant omission given
that some of the Bank’s obligations have repayment periods of more than seven years.141143 “Orderly
liquidation” is not a term of art with a discrete meaning under federal law. There does not appear
to be any case law interpreting this term as it applies specifically to Section 635f. Furthermore,
CRS is unaware of any formal Ex-Im Bank issued regulations, guidance, etc. interpreting this
provision or otherwise explaining how the Bank would administer its affairs for an “orderly
liquidation.”
One of the standard principles of statutory interpretation is that, in the absence of a statutory
definition, courts may “construe a statutory term in accordance with its ordinary or natural
meaning.”142144 The everyday meanings of the terms orderly and liquidation, however, would
suggest that the Bank could undertake activities that it considers to be implicated in the
methodical settlement of its affairs.143145 This likely would include the authority to, for the purposes
of orderly liquidation, continue to accept payments on, and otherwise administer loans,
guarantees, and other obligations and liabilities entered into prior to the termination date that had
not fully matured by the termination date.144146
Notably, because the acquisition of obligations and the assumption of liabilities are not among the
functions that the Bank is expressly authorized to perform after the termination date, it would
appear that the Bank could not enter into new loans or offer new loan guarantees after this date,
except insofar as any new obligations145obligations147 or liabilities might be implicated in the “orderly
liquidation” of its functions.146148 However, given the dearth of statutory, administrative, and judicial
guidance on the meaning of “orderly liquidation” pursuant to Section 635f, the Bank would
appear to have considerable discretion in structuring its “orderly liquidation” in the absence of
140142
This portion of the report was written by David H. Carpenter, Legislative Attorney.
See Export-Import Bank of the United States Annual Report 2013, at 12, Rev. Apr. 2014, available at
http://www.exim.gov/about/library/reports/annualreports/2013/annual-report-2013.pdf.
142144
FDIC v. Meyer, 510 U.S. 471, 476 (1994). Dictionary definitions are commonly used in determining the ordinary or
natural meaning. See, e.g., Asgrow Seed Co. v. Winterboer, 513 U.S. 179, 187 (1995) (relying on the dictionary
definition of “marketing” in construing the Plant Variety Protection Act); Commissioner v. Soliman, 506 U.S. 168, 174
(1993) (similar, as to the definition of “principal” used to modify a taxpayer’s place of business for purposes of an
income tax deduction).
143145
See, e.g., Merriam-Webster Dictionary, available at http://www.merriam-webster.com/dictionary/orderly (defining
orderly); Merriam-Webster Dictionary, available at http://www.merriam-webster.com/dictionary/liquidation (defining
liquidation).
144146
As previously mentioned, it is unclear how long the Bank could administer its obligations and liabilities while still
complying with the “orderly liquidation” requirement of 12 U.S.C. §635f. For example, it is unclear whether or to what
extent the Bank would be required to treat a loan that matures two days after the statutory termination date differently
from one that matures seven years after such date.
145147
As discussed in the previous question, the Bank also would continue to be authorized to issue “notes, bonds,
debentures, or other obligations.”
146148
For example, a contract is generally recognized as an obligation, and the Bank could potentially enter into a contract
with another government agency under the authority of the Economy Act (31 U.S.C. §1535) that would provide for that
agency to pay obligations that the Bank had incurred prior to the termination date.
141143
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any relevant statutory changes to Section 635f (subject to the Bank generating sufficient revenue
and receiving adequate appropriations to fund the liquidation).147149
What would be the economic impact of a sunset in Ex-Im Bank’s
authority?
Beyond the specific impact of a sunset on Ex-Im Bank’s day-to-day functions, there is broader
debate about its implications for the U.S. economy in the long term, with stakeholders’ positions
based on their views of the validity of Ex-Im Bank’s rationales (i.e., to fill in gaps in private
sector financing and offset competition from foreign ECAs). From one perspective, the absence
of Ex-Im Bank financing could adversely affect particular U.S. firms or their employees that use
Ex-Im Bank support in cases where they face difficulty accessing financing from the private
sector at competitive terms.148150 From another perspective, it could boost the provision of export
financing by the private sector. Under this view, then, there are doubts over whether the absence
of Ex-Im Bank support would affect the overall level of exports and employment in the United
States.149151 Given the various factors that affect U.S. export and employment levels, it may be
difficult to determine the precise impact of the presence or absence of Ex-Im Bank financing on
the U.S. economy in the long run.
In terms of competitiveness, supporters of the Bank argue that, without Ex-Im Bank financing, it
may be difficult for certain U.S. companies to compete for export contracts on a “level playing
field” with foreign competitors that receive support from their government-backed ECAs or may
lead to U.S. sourcing in overseas markets. They argue that a lapse in Ex-Im Bank’s authority
would amount to “unilateral disarmament,” given continued operations by other countries of their
ECA programs—for many of whom exports constitute a larger part of the national economy and
ECAs are a core part of their national export strategies.150152 Critics argue that allowing the Bank’s
authority to lapse would provide the United States with an opportunity to lead by example in
efforts to eliminate government-backed ECA programs internationally, and enable the United
States to focus on what they view as more effective ways to boost U.S. exports, such as through
U.S. tax reform or the negotiation and enforcement of international trade agreements.151
147153
149
For an understanding of how the Ex-Im Bank is funded, see the “Ex-Im Bank Budget” section of this report.
For example, see discussion in U.S. Congress, Senate Committee on Banking, Housing, and Urban Affairs,
Continuing Oversight of the Recent Activities of the Export-Import Bank and the Critical Need to Reauthorize the
Bank’s Charter, 112th Cong., 2nd sess., April 17, 2012, S. Hrg. 112-585.
149151
For example, see Heritage Action for America publications, such as Zack Slingsby, Export-Import Bank
Authorization, Heritage Action for America, April 10, 2014, http://heritageaction.com/2014/04/export-import-bankreauthorization/.
150152
U.S. Chamber of Commerce, The Export-Import Bank of the United States: Its Impact on U.S. Competitiveness,
Exports, and Jobs, October 2013, https://www.uschamber.com/file/8234/download.
151153
For instance, see Sallie James, Ending the Export-Import Bank, CATO Institute, October 2012,
http://www.downsizinggovernment.org/export-import-bank.
148150
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Historical and Current Approaches to
Reauthorization
Historically, for how long has Congress extended Ex-Im Bank’s
authority?152154
The primary method of continuing the Bank’s authority has been through the enactment of
provisions that extend the sunset date in 12 U.S.C. 635f, most typically in authorizing laws. These
laws are listed in Appendix C of this report, in Table C-1. Such extensions of the Bank’s
authority during the first two decades of its existence tended to be for between about five and
seven years. Since that time, the length of these extensions has varied, from periods of days or
weeks, to about six years. The most recent such extension, in 2012, was for a period of about two
years and four months (P.L. 112-122).
Provisions in other laws, most typically appropriations acts, have also been used to provide for
the continuation of Bank functions during periods when the sunset date had lapsed and not yet
been extended. These laws and their relevant provisions are listed in Appendix C of this report,
in Table C-2. While such provisions have varied in form, they have generally indicated
congressional intent that the Bank’s operations should continue during a specified time period.
For example, the Foreign Operations, Export Financing, and Related Programs Appropriations
Act, 2002, which was enacted on January 10, 2002, carried the following provision:
SEC. 588. [ ... ] Provided, That notwithstanding the dates specified in section 7 of the
Export-Import Bank Act of 1945 (12 U.S.C. 635f) and section 1(c) of P.L. 103-428, the
Export-Import Bank of the United States shall continue to exercise its functions in
connection with and in furtherance of its objects and purposes through March 31, 2002.
The most recent extension of Ex-Im Bank authority, which allows the Bank to exercise its
functions through June 30, 2015, was enacted as a provision in an appropriations act (P.L. 113164).
Shorter extensions in the past arguably have given Congress the opportunity to weigh in on ExIm Bank operations on a more frequent basis through the lawmaking process. On the other hand,
Ex-Im Bank and certain stakeholders have asserted that longer-term extensions can enhance the
Bank’s long-term planning ability and provide more assurance to clients of the Bank’s viability.153
152155
154
This response was prepared by Jessica Tollestrup, Analyst on Congress and the Legislative Process,
jtollestrup@crs.loc.gov, 7-0941.
153155
For example, see Ex-Im Bank, “The Facts About Ex-Im Bank,” June 24, 2014, http://www.exim.gov/
newsandevents/the-facts-about-ex-im-bank.cfm; and Vicki Needham, “Business Demands Vote on Ex-Im Bank,” The
Hill, June 23, 2014, http://thehill.com/policy/finance/210278-chamber-demands-up-or-down-vote-on-export-importbank.
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How have previous continuing resolutions addressed an imminent
sunset of the Bank’s authority?154156
Continuing resolutions (CRs) are appropriations laws that provide temporary or full year
appropriations in the absence of regular appropriations being enacted.155157 After the first CR is
enacted for a fiscal year, usually by the beginning of the fiscal year, one or more additional CRs
may be enacted until the annual appropriations process has concluded.
Over the past several decades, CRs have often been used to temporarily extend authorizing
provisions that are scheduled to expire at the beginning of a fiscal year, or to provide authority to
continue functions notwithstanding applicable sunset provisions. In the case of Ex-Im Bank, such
provisions have been enacted on a number of occasions to authorize the Bank to continue its
functions, either during the duration of the CR or some other specified period (see Appendix C
of this report, Table C-2). This occurred, for example, at the beginning of FY2012, when the
Bank’s authority sunsetted and an extension of that sunset date was not enacted until May 30,
2012 (P.L. 112-122). Provisions in the first CR for the fiscal year (P.L. 112-33) provided authority
for the Bank to continue its functions through the duration of the CR:
Sec. 137. The Export-Import Bank Act of 1945 (12 U.S.C. 635 et seq.) shall be applied by
substituting the date specified in section 106(3) of this Act for “September 30, 2011” in
section 7 of such Act.
Further extensions of this authority were enacted in subsequent CRs for FY2012.156158
Most recently, the FY2015 CR (P.L. 113-164), which was enacted on September 19, 2014,
extended Ex-Im Bank’s authority through the following provision:
Sec. 147. The Export-Import Bank Act of 1945 (12 U.S.C. 635 et seq.) shall be applied
through June 30, 2015, by substituting such date for ``September 30, 2014'' in section 7 of
such Act.
What are scenarios for Ex-Im Bank’s authorization status?
Congress could take a range of approaches related to Ex-Im Bank’s authorization status. At one
end of the spectrum is the option of a “clean renewal” of Ex-Im Bank’s charter, with an extension
of its termination date. At the other end of the spectrum is the option of a sunset in Ex-Im Bank’s
authority, such as by taking no legislative action (since sunset provisions are contained in Ex-Im
154156
This response was prepared by Jessica Tollestrup, Analyst on Congress and the Legislative Process,
jtollestrup@crs.loc.gov, 7-0941.
155157
For general information on CRs, see CRS Report R42647, Continuing Resolutions: Overview of Components and
Recent Practices, by Jessica Tollestrup.
156158
The final extension of the authority to operate prior to the enactment of P.L. 112-122 was provided in the
Consolidated Appropriations Act of 2012 (P.L. 112-74), Division I, Title VI, through the following provision:
Provided further, That notwithstanding the dates specified in section 7 of the Export-Import Bank
Act of 1945 (12 U.S.C. 6350 and section 1(c) of P.L. 103-428), the Export-Import Bank of the
United States shall continue to exercise its functions in connection with and in furtherance of its
objects and purposes through May 31, 2012.
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Bank’s charter in 12 U.S.C. §635f ), or passing legislation with specific parameters for a winddown in Ex-Im Bank’s functions. (See earlier discussion in “Sunset in Authority” section.)
In between are options including a renewal of Ex-Im Bank’s charter with limited changes (such as
revising its exposure cap) or renewal with more substantive reforms (such as to its authorities,
policies, and risk management practices). Reforms may be motivated by a range of reasons,
including enhancing Ex-Im Bank’s ability to fill in gaps in private sector financing and offset
competition from foreign ECAs; limiting its size and scope and exposure to U.S. taxpayers; and
furthering efforts to eliminate all ECA activity internationally.
Other options also exist, such as reorganization of Ex-Im Bank’s functions. To this end, various
proposals have been considered over time, including President Obama’s proposal in 2012 to
reorganize the business- and trade-related functions of Ex-Im Bank and five other agencies into
an umbrella “department of trade.”157159 Such proposals prompt debates about whether
reorganization would reduce costs and duplication and improve the effectiveness of trade policy
programs, or undermine the effectiveness of federal agencies, given their differing missions, and
result in the creation of a larger, more costly bureaucracy.158160
For further discussion, see CRS Report R43581, Export-Import Bank: Overview and
Reauthorization Issues, by Shayerah Ilias Akhtar.
What were the specific provisions in the 2012 reauthorization
legislation?
The Export-Import Bank Reauthorization Act of 2012 (P.L. 112-122) extended Ex-Im Bank’s
authority to the close of business on September 30, 2014. The reauthorization legislation also
included, among other things, provisions to:
•
increase the Bank’s lending authority to $120 billion in FY2012, $130 billion in
FY2013, and $140 billion in FY2014—with the increase in lending authority for
FY2013 and FY2014 contingent on the Bank maintaining a “default rate” of less
than 2% and on submitting various reports;
•
require the Bank to monitor and report to Congress on the “default rate” of its
financing, and, in the event that the rate exceeds 2%, to submit a report to
Congress on a plan to reduce it to less than 2%;
•
develop guidelines for its economic impact analysis, and review its domestic
content policy; require the Bank to develop a Business Plan estimating
appropriate exposure limits for 2012, 2013, and 2014, as well as an analysis of
the potential for increased or decreased risk of loss to the Bank as a result of the
estimated exposure limit;
•
require the GAO to report on the Bank’s risk management practices and jobs
calculation methodology; and
157159
The White House, “Government Reorganization Fact Sheet,” press release, January 13, 2012,
http://www.whitehouse.gov/the-press-office/2012/01/13/government-reorganization-fact-sheet.
158160
See CRS Report R42555, Trade Reorganization: Overview and Issues for Congress, by Shayerah Ilias Akhtar.
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•
require the Secretary of the Treasury to conduct international negotiations to
reduce and eliminate official export credits.
What bills have been introduced in the 113th Congress related to ExIm Bank reauthorization?
In the 113th Congress, the FY2015 CR was passed including an extension of Ex-Im Bank’s
authority through June 30, 2015 (Sec. 147 of P.L. 113-164). Other legislation has been
introduced, for example, to: provide a largely “clean reauthorization” of Ex-Im Bank (H.R.
4950); reauthorize Ex-Im Bank with reforms (S. 2709); and terminate its authority (H.R. 2263
and S. 1102). In addition, discussion drafts of bills have been offered to extend the Bank’s
authority and reform its risk management practices, among other provisions.159161
What is the Administration’s legislative proposal for
reauthorization?
In April 2014, the Obama Administration submitted a legislative proposal to Congress requesting
a five-year renewal of Ex-Im Bank’s authority (to FY2019) and an increase in its exposure cap
incrementally to $160 billion by FY2018.160162 In addition to certain amendments characterized as
“technical corrections,” other provisions include the following:
Small business support: The Administration’s legislative proposal includes an amendment to 12
U.S.C. Section 635(b)(1)(E)(v) that would change how Ex-Im Bank reports its support for small
business jobs, with respect to its 20% small business target. Currently, Ex-Im Bank only includes
direct support to small business exporters as counting toward its 20% statutory goal of small
business support. The legislative support would also allow U.S. goods and services supplied by
small businesses (i.e., indirect support) to count towards the statutory goal.
Ex-Im Bank’s authority: The Administration’s legislative proposal would eliminate the
following language in 12 U.S.C. Section 635f related to Ex-Im Bank’s functions allowed in the
event of a sunset of its authority:
[ ... ]or from issuing, either prior or subsequent to such date, for purchase by the Secretary of
the Treasury or any other purchasers, its notes, debentures, bonds, or other obligations which
mature subsequent to such date or from continuing as a corporate agency of the United States
and exercising any of its functions subsequent to such date for purposes of orderly
liquidation, including the administration of its assets and the collection of any obligations
held by the bank.
Default rate: The Administration’s legislative proposal includes an amendment to 12 U.S.C.
Section 635g(g) that revises the calculation of the default rate reported to Congress to a net loss
159161
For example, see Congressman John Campbell, “A Third Option: Reformed Reauthorization of the Export-Import
Bank,” press release, April 2, 2014, http://campbell.house.gov/exim-legislation; and House Committee on Financial
Services, “Miller, Waters Release Legislation to Renew and Reform Export-Import Bank,” press release, October 14,
2014, http://democrats.financialservices.house.gov/press/PRArticle.aspx?NewsID=1742.
160162
The Administration’s legislative proposal, as posted on the website of the House Financial Services Committee, is
accessible at http://financialservices.house.gov/uploadedfiles/2014_exim_reauth_bill_language_final_4-23-14.pdf.
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rate. Under the proposal, the default rate would be calculated by “the net loss rate obtained by
dividing (i) the total amount of the (i) required payments that are overdue less the total amount of
fees received in connection with the (ii) financing involved by (ii) the total amount of financing
involved.”
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Appendix A. Selected CRS Resources
General Resources
CRS Report R43581, Export-Import Bank: Overview and Reauthorization Issues, by Shayerah
Ilias Akhtar.
CRS In Focus IF00021, Export-Import Bank (Ex-Im Bank) Reauthorization (In Focus), by
Shayerah Ilias Akhtar.
CRS Insight IN10097, Export-Import Bank Reauthorization Debate, by Shayerah Ilias Akhtar.
International and Market Context
CRS Report RS21128, The Organization for Economic Cooperation and Development, by James
K. Jackson.
CRS Report R42744, U.S. Implementation of the Basel Capital Regulatory Framework, by Darryl
E. Getter.
Budget and Appropriations
CRS In Focus IF00039, Export-Import (Ex-Im) Bank and the Federal Budget (In Focus), by
Mindy R. Levit.
CRS Report R42632, Budgetary Treatment of Federal Credit (Direct Loans and Loan
Guarantees): Concepts, History, and Issues for Congress, by Mindy R. Levit.
CRS Report R42098, Authorization of Appropriations: Procedural and Legal Issues, by Jessica
Tollestrup and Brian T. Yeh.
Federal Export Promotion Programs
CRS Report R41495, U.S. Government Agencies Involved in Export Promotion: Overview and
Issues for Congress, coordinated by Shayerah Ilias Akhtar.
CRS Report R43155, Small Business Administration Trade and Export Promotion Programs, by
Sean Lowry.
CRS Report 98-567, The Overseas Private Investment Corporation: Background and Legislative
Issues, by Shayerah Ilias Akhtar.
CRS Report R42555, Trade Reorganization: Overview and Issues for Congress, by Shayerah Ilias
Akhtar.
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Appendix B. Examples of Ex-Im Bank Financial
Product Structures
Figure B-1. Ex-Im Bank Direct Loan Structure
Source: CRS, based on Ex-Im Bank information.
Notes: This diagram is a general representation of Ex-Im Bank direct loans. Specifics vary by transaction.
Figure B-2. Ex-Im Bank Loan Guarantee Structure
Source: CRS, based on Ex-Im Bank information.
Notes: This diagram is a general representation of Ex-Im Bank loan guarantees. Specifics vary by transaction.
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Figure B-3. Ex-Im Bank Exporter Insurance Structure
Source: CRS, based on Ex-Im Bank information.
Notes: This diagram is a general representation of Ex-Im Bank exporter insurance. Specifics vary by transaction.
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Appendix C. Laws and Final Legislative Action
Related to the Sunset Date of Ex-Im Bank Functions
The tables below list the public laws that created the Ex-Im Bank and extended its authority.161163
The tables include the specific statutory text as well as the new sunset date set by the amending
act. Table C-1 contains the original law and amendments that were identified through analysis of
the statutory notes to 12 U.S.C. Section 635f. Specifically, they are the laws listed in the
“Amendments” section. In contrast, in some cases, particularly in the modern era, an extension of
the authority of the Export-Import Bank was provided through an appropriations act, such as a
consolidated appropriations bill or a continuing resolution.162164 Table C-2 reflects these provisions.
As such, it contains provisions allowing the Export-Import Bank to continue to exercise its
functions as described in the “Continuation of Bank Functions” section of the statutory notes
accompanying 12 U.S.C. Section 635f, as well as some additional such provisions that were
independently identified by CRS and the Wall Street Journal. While CRS has made every attempt
to be comprehensive, it is possible that some laws that extended the Bank’s authority did not
come up in our search.
The final two columns of both tables contain information on the last action taken by the Senate
and House, respectively, on the legislative vehicle that became law. If the action was taken by roll
call vote, the number of yea and nay votes, as well as the number of Members not voting, is also
presented. (The one instance that a bill was approved through a division vote is also noted.)163165
Additional actions, including roll call votes, might have occurred during other stages of
consideration of these measures, for example, House and Senate votes on earlier versions of these
measures prior to action on resolving differences, such as through a conference report. In
addition, legislative vehicles proposing to extend the authority of Ex-Im Bank that did not
become law are also not listed in the table.
Information on final disposition of the measure in each chamber since the 93rd Congress (19731974) was gathered from the Legislative Information System (LIS). Information for the period
not in LIS was collected from the Congressional Record, and page citations are provided in the
table.
161163
In some instances, the sunset date may have been extended retroactively.
For more information on continuing resolutions, including historical examples, see CRS Report R42647, Continuing
Resolutions: Overview of Components and Recent Practices, by Jessica Tollestrup.
163165
H.R. 3771 (79th Cong.). Division votes are official votes that are counted without a roll call. For information on
forms of voting, see CRS Report 98-228, House Voting Procedures: Forms and Requirements, by Walter J. Oleszek,
and CRS Report 98-227, Voting in the Senate: Forms and Requirements, by Walter J. Oleszek.
162164
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Table C-1.Original Act and Amendments to the Sunset Date of Export-Import Bank
Functions
Law (Bill Number)
Sunset Date
Final Legislative Action
Senate
P.L. 79-173 (H.R. 3771), 59 Stat.
526
Export-Import Bank Act of 1945
Passed on July 20,
1945 (91 Cong.
Rec. 7841)
Passed by division
vote on July 13,
1945; Yeas 102,
Nays 6 (91 Cong.
Rec. 7548)
Passed on April 21,
1947 (93 Cong.
Rec. 3711)
Passed on June 2,
1947 (93 Cong.
Rec. 6214)
Passed on
September 7, 1951
(97 Cong. Rec.
11062)
Passed on
September 25,
1951; Roll #182,
Yeas 259, Nays 69,
Not Voting 102 (97
Cong. Rec. 12077)
Passed on June 5,
1957 (103 Cong.
Rec. 8376)
Passed on April 9,
1957 (103 Cong.
Rec. 5389)
Conference Report
agreed to on
August 15, 1963
(109 Cong. Rec.
15183)
Conference Report
agreed to on
August 19, 1963
(109 Cong. Rec.
15315)
Conference Report
agreed to on
February 21, 1968
(114 Cong. Rec.
3836)
Conference Report
agreed to on
February 27, 1963
(114 Cong. Rec.
4308)
July 31, 1945
P.L. 80-89 (S. 993), §3, 61 Stat.
131
Export-Import Bank
Reincorporation
June 9, 1947
June 30, 1953
SEC. 3. The Export-Import Bank Act
of 1945, as amended, is hereby
amended by striking out section 8
therefrom and substituting in lieu
thereof a new section 8 as follows:
House
“SEC. 8. Export-Import Bank of
Washington shall continue to
exercise its functions in connection
with and in furtherance of its objects
and purposes until the close of
business on June 30, 1953, [ ... ]."
P.L. 82-158 (S. 2006), §1(c), 65
Stat. 367
Export-Import Bank Act of 1945,
Amendment
October 3, 1951
June 30, 1958
That the Export-Import Bank Act of
1945, as amended (59 Stat. 526,
666; 61 Stat. 130), is hereby
amended in the following particulars:
(c) By deleting from section 8 the
date “June 30, 1953" and
substituting in lieu thereof the date
"June 30, 1958".
P.L. 85-55 (H.R. 4136), 71 Stat.
82
Export-Import Bank Act of 1945,
Amendment
June 17, 1957
P.L. 88-101 (H.R. 3872), §2, 77
Stat. 128
Export-Import Bank Act of 1945,
Amendment
August 20, 1963
P.L. 90-267 (S. 1155), §1(f), 82
Stat. 49
Export-Import Bank Act of 1945,
Amendment
March 13, 1968
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June 30, 1963
That section 8 of the Export-Import
Bank Act of 1945, as amended (12
U.S.C. 635f), is amended by striking
out "June 30, 1958" and inserting in
lieu thereof "June 30, 1963".
June 30, 1968
Sec. 2. Section 8 of the ExportImport Bank Act of 1945 is
amended by striking out "June 30,
1963" and inserting in lieu thereof
“June 30, 1968".
June 30, 1973
SECTION 1. The Export-Import
Bank Act of 1945 is amended(f) By changing, in section 8 of that
Act, "June 30, 1968" to read "June
30, 1973".
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Law (Bill Number)
P.L. 92-126 (S. 581), §1(b)(4), 85
Stat. 345
Export Expansion Finance Act of
1971
Sunset Date
June 30, 1974
(b) The Export-Import Bank Act of
1945 (12 U.S.C. 635 and following)
is amended as follows:
August 17, 1971
(4) Section 8 of such Act is amended
by striking out "June 30, 1973" and
inserting in lieu thereof "June 30,
1974", [ ... ]
P.L. 93-331 (S.J.Res. 218), 88
Stat. 289
July 30, 1974
Export-Import Bank Act of 1945,
Amendment
July 4, 1974
P.L. 93-374 (S.J.Res. 229), 88
Stat. 445
Export-Import Bank Act of 1945,
Amendment
August 14, 1974
P.L. 93-425 (S.J.Res. 244), 88
Stat. 1166
Export-Import Bank Act of 1945,
Amendment
September 30, 1974
P.L. 93-450 (S.J.Res. 251), 88
Stat. 1368
Export-Import Bank Act of 1945,
Amendment
October 18, 1974
P.L. 93-646 (H.R. 15977), §9, 88
Stat. 2336
Export-Import Bank Amendments
of 1974
January 4, 1975
P.L. 95-143 (H.R. 6415), §4, 91
Stat. 1211
Export-Import Bank Act of 1945,
Amendment
October 26, 1977
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That section 8 of the Export-Import
Bank Act of 1945 is amended by
striking out "June 30" and inserting
in lieu thereof "July 30".
September 30, 1974
That section 8 of the Export-Import
Bank Act of 1945 is amended by
striking out "July 30" and inserting in
lieu thereof "September 30".
October 15, 1974
That section 8 of the Export-Import
Bank Act of 1945 (12 U.S.C. 635f)
is amended by striking "September
30, 1974" and inserting in lieu
thereof "October 15, 1974".
November 30, 1974
That section 8 of the Export-Import
Bank Act of 1945 is amended by
striking out "October 15, 1974" and
inserting in lieu thereof "November
30, 1974": [ ... ].
June 30, 1978
SEC. 9. Section 8 of the ExportImport Bank Act of 1945 is
amended by striking out "November
30, 1974" and inserting in lieu
thereof "June 30, 1978".
September 30, 1978
SEC. 4. Section 8 of the ExportImport Bank Act of 1945 is
amended by striking out "June 30"
and inserting in lieu thereof
"September 30", [ ... ]."
Final Legislative Action
Senate
House
Conference Report
agreed to on
August 2, 1971
(117 Cong. Rec.
28810)
Conference Report
agreed to on
August 5, 1971;
Roll #246; Yeas
219, Nays 140, Not
Voting 74 (117
Cong. Rec. 29795)
Passed on June 26,
1974
Passed on July 1,
1974; Roll #358;
Yeas 238, Nays
115, Not Voting 80,
Present 1
Agreed to House
amendment on
August 7, 1974
Passed with an
amendment on
August 5, 1974;
Roll #447; Yeas
271, Nays 113, Not
Voting 50
Passed on
September 24,
1974
Passed on
September 25,
1974
Passed on October
10, 1974
Passed on October
15, 1974
Third Conference
Report agreed to
on December 19,
1974; Record Vote
#575; Yeas 71,
Nays 24, Not
Voting 5
Third Conference
Report agreed to
on December 18,
1974; Roll #711;
Yeas 280, Nays 96,
Not Voting 58
Conference Report
agreed to on
September 23,
1977
Conference Report
agreed to on
October 14, 1977;
Roll #654; Yeas
281, Nays 62, Not
Voting 91
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Law (Bill Number)
Sunset Date
Final Legislative Action
Senate
P.L. 95-407 (H.J.Res. 1140), 92
Stat. 882
Export-Import Bank Act of 1945,
Amendment
September 30, 1978
P.L. 95-630 (H.R. 14279), Title
XIX, §1906, 92 Stat. 3725
Financial Institutions Regulatory
and Interest Rate Control Act of
1978; Title XIX - Export-Import
Bank Act Amendments of 1978
December 31, 1978
That section 8 of the Export-Import
Bank Act of 1945 is amended by
striking out "September 30" and
inserting in lieu thereof "December
31".
September 30, 1983
SEC. 1906. Section 8 of the ExportImport Bank Act of 1945 is
amended by striking out "December
31, 1978" and inserting in lieu
thereof "September 30. 1983".
Passed on
September 29,
1978
Passed on
September 28,
1978
Concurred in
House
amendments to
Senate
amendments on
October 14, 1978
Passed on motion
to suspend the
rules and agree to a
resolution
providing that the
House concur in
Senate
amendments with
amendments on
October 14, 1978;
Roll #930; Yeas
341, Nays 32, Not
Voting 48, Present
9
Passed with an
amendment on
September 29,
1983
Agreed to Senate
amendment
September 30,
1983.
Passed on October
28, 1983
Passed on October
31, 1983
Concurred in
House amendment
to a Senate
amendment
reported in
disagreement from
conference with an
amendment
containing the
Export-Import
provision and
other matters on
November 17,
1983; Record Vote
#374; Yeas 67,
Nays 30, Not
Voting 3
Agreed to a
resolution
providing that the
House concur in
the Senate
amendment to the
House amendment
to the Senate
amendment
reported in
disagreement from
the conference on
November 18,
1983; Roll #532;
Yeas 226, Nays 186
November 10, 1978
P.L. 98-109 (H.J.Res. 366), §6, 97
Stat. 746
Export-Import Bank Act of 1945,
Amendment
October 1, 1983
P.L. 98-143 (S.J.Res. 189), 97
Stat. 916
Export-Import Bank Act of 1945,
Amendment
November 1, 1983
P.L. 98-181 (H.R. 3959), Title VI,
§611, 97 Stat. 1254
Supplemental Appropriations Act,
1984; Title VI - Export-Import
Bank Act Amendments of 1983
November 30, 1983
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SEC. 6. Section 8 of the ExportImport Bank Act of 1945 is
amended by striking out "September
30, 1983" and inserting in lieu
thereof "October 31, 1983".
November 18, 1983
That section 8 of the Export-Import
Bank Act of 1945 is amended by
striking out "October 31, 1983" and
inserting in lieu thereof "November
18, 1983".
September 30, 1986
SEC. 611. Section 8 of the ExportImport Bank Act of 1945 (12 U.S.C.
635f) is amended by striking out
"November 18, 1983" and inserting
in lieu thereof "September 30,
1986".
House
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Law (Bill Number)
P.L. 99-472 (H.R. 5548), §14, 100
Stat. 1204
Export-Import Bank Act
Amendments of 1986
October 15, 1986
P.L. 102-429 (H.R. 5739), Title I,
§§102, 121(c)(2), 106 Stat. 2187,
2199
Export Enhancement Act of 1992
October 21, 1992
Sunset Date
September 30, 1992
SEC. 14. EXTENSION OF
CHARTER.
Final Legislative Action
Senate
House
Conference Report
agreed to on
October 7, 1983
Conference Report
agreed to on
October 2, 1983
Conference Report
agreed to on
October 8, 1992
Conference Report
agreed to on
October 6, 1992;
Roll #483; Yeas
332, Nays 44, Not
Voting 56
Passed on
September 30,
1997; Record Vote
#261; Yeas 99,
Nays 0
Passed on
September 29,
1997; Roll #461;
Yeas 355, Nays 57,
Not Voting 21
Conference Report
agreed to on
November 8, 1997
Conference Report
agreed to on
November 9, 1997
Conference Report
agreed to on June
6, 2002
Conference Report
agreed to on June
5, 2002; Roll #210;
Yeas 344, Nays 78,
Not Voting 12
Section 8 of the Export-Import Bank
Act of 1945 (12 U.S.C. 635f) is
amended by striking out "September
30, 1986" and inserting in lieu
thereof "September 30, 1992".
September 30, 1997
SEC. 102. EXTENSION OF
AUTHORITY.
Section 8 of the Export-Import Bank
Act of 1945 (12 U.S.C. 635f) is
amended by striking "1992" and
inserting "1997".
SEC. 121. ELIMINATION OF
OUTDATED PROVISIONS.
(C) REPEAL OF CERTAIN
OUTDATED SECTIONS.-The ExportImport Bank Act of 1945 (12 U.S.C.
635 et seq.) is amended(2) by redesignating sections 6
through 9 as sections 5 through 8,
respectively;
P.L. 105-46 (H.J.Res. 94), §122,
111 Stat. 1158
Continuing Appropriations for
FY1998
September 30, 1997
P.L. 105-121 (S. 1026), §2(a), 111
Stat. 2528
Export-Import Bank
Reauthorization Act of 1997
November 26, 1997
P.L. 107-189 (S. 1372), §3, 116
Stat. 699
Export-Import Bank
Reauthorization Act of 2002
June 14, 2002
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October 23, 1997
SEC. 122. Section 7 of the ExportImport Bank Act of 1945 (12
U.S.C.635f) is amended by striking
"1997" and inserting "October 23,
1997".
September 30, 2001
SEC. 2. EXTENSION OF
AUTHORITY.
(a) IN GENERAL.-Section 7 of the
Export-Import Bank Act of 1945 (12
U.S.C. 635f) is amended by striking
“until" and all that follows through
"but" and inserting "until the close of
business on September 30, 2001,
but".
September 30, 2006
SEC. 3. EXTENSION OF
AUTHORITY.
Section 7 of the Export-Import Bank
Act of 1945 (12 U.S.C. 635f) is
amended by striking "2001" and
inserting "2006".
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Law (Bill Number)
P.L. 109-438 (S. 3938), §2, 120
Stat. 3268
Export-Import Bank
Reauthorization Act of 2006
December 20, 2006
P.L. 112-122 (H.R. 2072), §2, 126
Stat. 350
Export-Import Bank
Reauthorization Act of 2012
May 30, 2012
Sunset Date
September 30, 2011
SEC. 2. EXTENSION OF
AUTHORITY.
Final Legislative Action
Senate
House
Concurred in
House amendment
on December 6,
2006
Passed with an
amendment on
December 6, 2006
Passed on May 15,
2012; Record Vote
#96; Yeas 78, Nays
20, Not Voting 2
Passed on motion
to suspend the
rules and pass the
bill as amended on
May 9, 2012, Roll
#224; Yeas 330,
Nays 93, Not
Voting 8
Section 7 of the Export-Import Bank
Act of 1945 (12 U.S.C. 635f) is
amended by striking "2006" and
inserting "2011".
September 30, 2014
SEC. 2. EXTENSION OF
AUTHORITY.
Section 7 of the Export-Import Bank
Act of 1945 (12 U.S.C. 635f) is
amended by striking ‘‘2011’’ and
inserting ‘‘2014’’.
Source: Compiled by CRS from 12 U.S.C. §635f, ProQuest Congressional, HeinOnline, and the Legislative
Information System (LIS).
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Export-Import Bank Reauthorization: Frequently Asked Questions
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Table C-2. Provisions Providing for the Continuation of Export-Import Bank
Functions
Law (Bill Number)
P.L. 102-391 (H.R. 5368), Title
IV, 106 Stat. 16551641655166
Foreign Operations, Export
Financing, and Related Programs
Appropriations Act, 1993
Sunset Date
Final Legislative Action
Senate
House
The Export-Import Bank of the
United States is authorized to make
such expenditures within the limits of
funds and borrowing authority
available to such corporation, and in
accordance with law, [ ... ]."
Conference Report
agreed to on
October 5, 1992
Conference Report
agreed to on
October 5, 1992;
Roll #470; Yeas
312, Nays 105, Not
Voting 15
November 7, 1997
Passed on October
23, 1997; Record
Vote #276; Yeas
100, Nays 0
Passed on October
22, 1997
Passed on
November 7, 1997
Passed on
November 7, 1997
Passed on
November 9, 1997
Passed on
November 9, 1997
October 6, 1992
P.L. 105-64 (H.J.Res. 97), 111
Stat. 1343
Further Continuing
Appropriations, FY1998
October 23, 1997
P.L. 105-68 (H.J.Res. 101), 111
Stat. 1453
Further Continuing
Appropriations, FY1998
November 7, 1997
P.L. 105-69 (H.J.Res. 104), 111
Stat. 1454
Further Continuing
Appropriations, FY1998
November 9, 1997
That section 106(3) of P.L. 105-46
is amended by striking “October 23,
1997" and inserting in lieu thereof
"November 7, 1997", and each
provision amended by sections 118,
122, and 123 of such public law
shall be applied as if "November 7,
1997" was substituted for "October
23, 1997".
November 9, 1997
That section 106(3) of P.L. 105-46
is further amended by striking
“November 7, 1997" and inserting
in lieu thereof "November 9, 1997",
and each provision amended by
sections 122 and 123 of such public
law shall be applied as if "November
9, 1997" was substituted for
"October 23, 1997".
November 10, 1997
That section 106(3) of P.L. 105-46
is further amended by striking
“November 9, 1997" and inserting
in lieu thereof "November 10,
1997", and each provision amended
by sections 122 and 123 of such
public law shall be applied as if
"November 10, 1997" was
substituted for "October 23, 1997".
164166
Identified by CRS from information available from Michael R. Crittenden, “Ex-Im Bank Was An Easy Vote in Past
Years,” Wall Street Journal Online, June 27, 2014, at http://blogs.wsj.com/washwire/2014/06/27/ex-im-bank-was-aneasy-vote-in-past-years/.
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Export-Import Bank Reauthorization: Frequently Asked Questions
.
Law (Bill Number)
Sunset Date
Final Legislative Action
Senate
P.L. 105-71 (H.J.Res. 105), 111
Stat. 1456
Further Continuing
Appropriations, FY1998
November 10, 1997
P.L. 105-84 (H.J.Res. 106), 111
Stat. 1628
Further Continuing
Appropriations, FY1998
November 14, 1997
P.L. 107-44 (H.J.Res. 65), §§107,
115, 115 Stat. 255, 256
Continuing Appropriations,
FY2002
September 28, 2001
November 14, 1997
That section 106(3) of P.L. 105-46
is further amended by striking
“November 10, 1997" and inserting
in lieu thereof "November 14,
1997", and each provision amended
by sections 122 and 123 of such
public law shall be applied as if
"November 14, 1997" was
substituted for "October 23, 1997".
November 26, 1997
That section 106(3) of P.L. 105-46
is further amended by striking
“November 14, 1997" and inserting
in lieu thereof "November 26,
1997", and each provision amended
by sections 122 and 123 of such
public law shall be applied as if
"November 26, 1997" was
substituted for "October 23, 1997".
October 16, 2001
SEC. 107. Unless otherwise provided
for in this joint resolution or in the
applicable appropriations Act,
appropriations and funds made
available and authority granted
pursuant to this joint resolution shall
be available until (a) enactment into
law of an appropriation for any
project or activity provided for in this
joint resolution, or (b) the enactment
into law of the applicable
appropriations Act by both Houses
without any provision for such
project or activity, or (c) October 16,
2001, whichever first occurs.
House
Passed on
November10, 1997
Passed on
November 10,
1997
Passed on
November13, 1997
Passed on
November 13,
1997
Passed on
September 25,
2001
Passed on
September 24,
2001; Roll #350;
Yeas 392, Nays 0,
Not Voting 38
SEC. 115. Activities authorized by
section 7 of the Export-Import Bank
Act of 1945 (12 U.S.C. 635f) and
section 1(c) of P.L. 103-428, may
continue through the date specified
in section 107(c) of this joint
resolution.
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Export-Import Bank Reauthorization: Frequently Asked Questions
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Law (Bill Number)
P.L. 107-48 (H.J.Res. 68), 115
Stat. 261
Continuing Appropriations,
FY2002
October 12, 2001
Sunset Date
October 23, 2001
That P.L. 107-44 is amended by
striking “October 16, 2001" in
section 107(c) and inserting in lieu
thereof "October 23, 2001";
Final Legislative Action
Senate
House
Passed on October
12, 2001
Passed on October
11, 2001
Passed on October
17, 2001
Passed on October
17, 2001
Passed on October
25, 2001
Passed on October
25, 2001
Passed on
November 15,
2001
Passed on
November 15,
2001
Passed on
December 5, 2001
Passed on
December 5, 2001
[ ... ] by striking section 115 and
adding the following:
"SEC. 115. Notwithstanding the
dates specified in section 7 of the
Export-Import Bank Act of 1945 (12
U.S.C. 635f) and section 1(c) of P.L.
103-428, the Export-Import Bank of
the United States shall continue to
exercise its functions in connection
with and in furtherance of its objects
and purposes through the date
specified in section 107(c) of this
joint resolution."; and adding the
following new section:
P.L. 107-53 (H.J.Res. 69), 115
Stat. 269
Continuing Appropriations,
FY2002
October 22, 2001
P.L. 107-58 (H.J.Res. 70), 115
Stat. 406
Continuing Appropriations,
FY2002
October 31, 2001
P.L. 107-70 (H.J.Res. 74), 115
Stat. 596
Continuing Appropriations,
FY2002
November 17, 2001
P.L. 107-79 (H.J.Res. 76), 115
Stat. 809
Continuing Appropriations,
FY2002
December 7, 2001
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October 31, 2001
That P.L. 107-44 is further
amended by striking the date
specified in section 107(c) and
inserting in lieu thereof `October
31, 2001’.
November 16, 2001
That P.L. 107-44 is further
amended by striking the date
specified in section 107(c) and
inserting in lieu thereof
`November 16, 2001’.
December 7, 2001
That P.L. 107-44 is further
amended by striking the date
specified in section 107(c) and
inserting in lieu thereof
`December 7, 2001’; and by
striking the date specified in
section 123 and inserting in lieu
thereof `December 1, 2001’.
December 15, 2001
That P.L. 107-44 is further
amended by striking the date
specified in section 107(c) and
inserting in lieu thereof
`December 15, 2001’.
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Export-Import Bank Reauthorization: Frequently Asked Questions
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Law (Bill Number)
Sunset Date
Final Legislative Action
Senate
P.L. 107-83 (H.J.Res. 78), 115
Stat. 960
Continuing Appropriations,
FY2002
December 15, 2001
P.L. 107-97 (H.J.Res. 79), 115
Stat. 960
Continuing Appropriations,
FY2002
December 21, 2001
P.L. 107-115 (H.R. 2506), §588,
115 Stat. 2174
Foreign Operations, Export
Financing, and Related Programs
Appropriations Act, FY2002
January 10, 2002
P.L. 107-156 (S. 2019), §1, 116
Stat. 117
Export-Import Bank Act of 1945,
Extension
March 31, 2002
P.L. 107-168 (S. 2248), §1, 116
Stat. 131
Export-Import Bank Act of 1945,
Extension
May 1, 2002
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December 21, 2001
That P.L. 107-44 is further
amended by striking the date
specified in section 107(c) and
inserting in lieu thereof
‘‘December 21, 2001’’.
January 10, 2002
That P.L. 107-44 is further
amended by striking the date
specified in section 107(c) and
inserting in lieu thereof `January
10, 2002’; and by striking the date
specified in section 123 and
inserting in lieu thereof `January 1,
2002’.
March 31, 2002
SEC. 588. [ ... ] Provided, That
notwithstanding the dates specified
in section 7 of the Export-Import
Bank Act of 1945 (12 U.S.C. 635f)
and section 1(c) of P.L. 103-428, the
Export-Import Bank of the United
States shall continue to exercise its
functions in connection with and in
furtherance of its objects and
purposes through March 31, 2002.
April 30, 2002
SECTION 1. EXTENSION OF
EXPORT-IMPORT BANK
House
Passed on
December 14,
2001
Passed on
December 13, 2001
Passed on
December 20,
2001
Passed on
December 20, 2001
Conference Report
agreed to on
December 20,
2001
Conference Report
agreed to on
December 19,
2001; Roll #505;
Yeas 357, Nays 66,
Not Voting 11
Passed on March
14, 2002
Passed on March
19, 2002
Passed on April 24,
2002
Passed on April 30,
2002; Roll #118;
Yeas 318, Nays 92,
Not Voting 24
Notwithstanding the dates specified
in section 7 of the Export-Import
Bank Act of 1945 (12 U.S.C. 635f)
and section 1(c) of P.L. 103-428, the
Export-Import Bank of the United
States shall continue to exercise its
functions in connection with and in
furtherance of its objects and
purposes through April 30, 2002.
May 31, 2002
SECTION 1. EXTENSION OF
EXPORT-IMPORT BANK.
Notwithstanding the dates specified
in section 7 of the Export-Import
Bank Act of 1945 (12 U.S.C. 635f)
and section 1(c) of P.L. 103-428, the
Export-Import Bank of the United
States shall continue to exercise its
functions in connection with and in
furtherance of its objects and
purposes through May 31, 2002.
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Export-Import Bank Reauthorization: Frequently Asked Questions
.
Law (Bill Number)
Sunset Date
Final Legislative Action
Senate
P.L. 107-186 (H.R. 4782), §1, 116
Stat. 589
Export-Import Bank Act of 1945,
Extension
May 30, 2002
P.L. 109-289 (H.R. 5631), Div. B,
§106, 120 Stat. 1313
Department of Defense
Appropriations Act, 2007
Division B-Continuing
Appropriations Resolution, 2007
September 29, 2006
P.L. 109-369 (H.J.Res. 100), 120
Stat. 2642
Further Continuing
Appropriations, FY2007
November 17, 2006
P.L. 109-383 (H.J.Res. 102), 120
Stat. 2678
Further Continuing
Appropriations, FY2007
December 9, 2006
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June 14, 2002
SECTION 1. EXTENSION OF
EXPORT-IMPORT BANK
House
Passed on May 22,
2002
Passed on May 21,
2002
Conference Report
agreed to on
September 29,
2006; Record Vote
#261; Yeas 100,
Nays 0
Conference Report
agreed to on
September 26,
2006; Roll #486;
Yeas 394, Nays 22,
Not Voting 16
Passed on
November 15,
2006
Passed on
November 15,
2006
Passed on
December 9, 2006
Passed on
December 8, 2006;
Roll #540; Yeas
370, Nays 20, Not
Voting 43
Notwithstanding the dates specified
in section 7 of the Export-Import
Bank Act of 1945 (12 U.S.C. 635f)
and section 1(c) of P.L. 103-428, the
Export-Import Bank of the United
States shall continue to exercise its
functions in connection with and in
furtherance of its objects and
purposes through June 14, 2002.
November 17, 2006
SEC. 106. Unless otherwise provided
for in this division or in the
applicable appropriations Act,
appropriations and funds made
available and authority granted
pursuant to this division shall be
available until whichever of the
following first occurs: (1) the
enactment into law of an
appropriation for any project or
activity provided for in this division;
(2) the enactment into law of the
applicable appropriations Act by
both Houses without any provision
for such project or activity; or (3)
November 17, 2006.
December 8, 2006
That the Continuing Appropriations
Resolution, 2007 (P.L. 109-289,
division B) is amended by striking the
date specified in section 106(3) and
inserting “December 8, 2006".
February 15, 2007
That the Continuing Appropriations
Resolution, 2007 (P.L. 109-289,
division B) is further amended by
striking the date specified in section
106(3) and inserting “February 15,
2007".
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Export-Import Bank Reauthorization: Frequently Asked Questions
.
Law (Bill Number)
P.L. 112-33, (H.R. 2017)
§§106(3), 137, 125 Stat. 364, 368
Continuing Appropriations Act,
2012
September 30, 2011
Sunset Date
October 4, 2011
SEC. 106. Unless otherwise provided
for in this Act or in the applicable
appropriations Act for fiscal year
2012, appropriations and funds
made available and authority
granted pursuant to this Act shall be
available until whichever of the
following first occurs: (1) the
enactment into law of an
appropriation for any project or
activity provided for in this Act; (2)
the enactment into law of the
applicable appropriations Act for
fiscal year 2012 without any
provision for such project or activity;
or (3) October 4, 2011.
Final Legislative Action
Senate
House
Passed with an
amendment and an
amendment to the
Title on September
26, 2011
Passed on a motion
to agree to the
Senate amendments
on September 29,
2011
Concurred in the
House amendment
to the Senate
amendment on
September 26,
2011; Record Vote
#153; Yeas 79,
Nays 12, Not
Voting 9
Agreed to the
Senate amendment
to the House
amendment to the
Senate amendment
on October 4,
2011; Roll #745;
Yeas 352, Nays 66,
Not Voting 15
Conference Report
agreed to on
November 17,
2011; Roll #208;
Yeas 70, Nays 30
Conference Report
agreed to on
November 17,
2011; Roll #857;
Yeas 298, Nays
121, Not Voting 14
Sec. 137. The Export-Import Bank
Act of 1945 (12 U.S.C. 635 et seq.)
shall be applied by substituting the
date specified in section 106(3) of
this Act for “September 30, 2011”
in section 7 of such Act.
P.L. 112-36, (H.R. 2608), §106,
125 Stat. 387
Continuing Appropriations Act,
2012
October 5, 2011
P.L. 112-55 (H.R. 2112), Div. D,
§101, 125 Stat. 710
Consolidated and Further
Continuing Appropriations Act,
2012
Division D—Further Continuing
Appropriations, 2012
November 18, 2011
Sec. 106. Unless otherwise provided
for in this Act or in the applicable
appropriations Act for fiscal year
2012, appropriations and funds
made available and authority
granted pursuant to this Act shall be
available until whichever of the
following first occurs: (1) the
enactment into law of an
appropriation for any project or
activity provided for in this Act; (2)
the enactment into law of the
applicable appropriations Act for
fiscal year 2012 without any
provision for such project or activity;
or (3) November 18, 2011.
December 16, 2011
Sec. 101. The Continuing
Appropriations Act, 2012 (P.L. 11236) is amended by striking the date
specified in section 106(3) and
inserting ``December 16, 2011’’.
November 18, 2011
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Export-Import Bank Reauthorization: Frequently Asked Questions
.
Law (Bill Number)
Sunset Date
Final Legislative Action
Senate
P.L. 112-67 (H.J.Res. 94), 125
Stat. 769
Further Continuing
Appropriations Act, 2012
December 16, 2011
P.L. 112-68 (H.J.Res. 95), 125
Stat. 770
Further Continuing
Appropriations Act, 2012
December 17, 2011
P.L. 112-74 (H.R. 2055), Title VI,
125 Stat. 1191
Consolidated Appropriations Act,
2012
Title VI – Export and Investment
Assistance
December 23, 2011
P.L. 113-164 (H.J.Res. 124),
§147, 128 Stat. 1874
Continuing Appropriations
Resolution, 2015
September 19, 2014
December 17, 2011
Resolved by the Senate and House
of Representatives of the United
States of America in Congress
assembled, That the Continuing
Appropriations Act, 2012 (P.L. 11236) is further amended by striking
the date specified in section 106(3)
and inserting ``December 17,
2011’’.
December 23, 2011
Resolved by the Senate and House
of Representatives of the United
States of America in Congress
assembled, That the Continuing
Appropriations Act, 2012 (P.L. 11236) is further amended by striking
the date specified in section 106(3)
and inserting ``December 23,
2011’’.
May 31, 2012
TITLE VI - EXPORT AND
INVESTMENT ASSISTANCE
Provided further, That
notwithstanding the dates specified
in section 7 of the Export-Import
Bank Act of 1945 (12 U.S.C. 6350
and section 1(c) of P.L. 103-428),
the Export-Import Bank of the
United States shall continue to
exercise its functions in connection
with and in furtherance of its objects
and purposes through May 31,
2012.
June 30, 2015
SEC. 147. The Export-Import Bank
Act of 1945 (12 U.S.C. 635 et seq.)
shall be applied through June 30,
2015, by substituting such date for
‘‘September 30, 2014’’ in section 7
of such Act.
House
Passed on
December 16,
2011
Passed on
December 16, 2011
Passed on
December 17,
2011
Passed on
December 16, 2011
Conference Report
agreed to on
December 17,
2011; Record Vote
#235; Yeas 67,
Nays 32, Not
Voting 1
Conference Report
agreed to on
December 16,
2011; Roll #941,
Yeas 296, Nays 121
Passed on
September 18,
2014
Passed on
September 17,
2014
Source: Compiled by CRS from 12 U.S.C. §635f, ProQuest Congressional, HeinOnline, the Legislative
Information System (LIS), and the Wall Street Journal Online.
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Export-Import Bank Reauthorization: Frequently Asked Questions
.
Author Contact Information
c11173008
Shayerah Ilias Akhtar, Coordinator
Specialist in International Trade and Finance
siliasakhtar@crs.loc.gov, 7-9253
Mindy R. Levit
Specialist in Public Finance
mlevit@crs.loc.gov, 7-7792
David H. Carpenter
Legislative Attorney
dcarpenter@crs.loc.gov, 7-9118
Julia Taylor
Section Head - ALD Section
jtaylor@crs.loc.gov, 7-5609
Congressional Research Service
57