SENATE PASSES EXPORT ADMINISTRATION ACT

SENATE PASSES EXPORT ADMINISTRATION ACT    The U.S. Senate voted to ease restrictions on some export items, including high technology products and so-called “dual use” items, as it overwhelmingly passed the Export Administration Act (EAA) last night, 85-14. The bill will go to the House for consideration.
   The Senate version of the EAA (S. 149) last night was a revision of the original act, enacted in 1979, at a time of heightened concern for national security, when Congress wanted to stop the flow of dual-use items (items and technology which could be used for both commercial and military purposes) into the United States.
   Sen. Michael Enzi (R-Wyo.), of the Senate Banking Committee, applauded his peers for their passage of the act. Enzi said that the revised EAA meets the needs of today’s global market.
   “The Senate did our country a good service today,” Enzi said. Enzi added that when the EAA was introduced over 20 years ago, “Jimmy Carter was president, bellbottoms were in style and disco was king. Times have changed and improvement of this outdated legislation is past due.”
      Commerce Secretary Don Evans, in a statement, cheered the Senate passage. “Today, the Senate embraced the realities of the 21st century global economy and passed legislation to establish rules that ensure our national security while allowing American technology companies to continue to lead the world in the global marketplace.”
      The revised EAA will:
      -Require a risk analysis of proposed exports and emphasize “transparency and accountability” to Congress and the exporter.
      -Grant the President “special control” authority for cases involving national security and international terrorism, in addition to international commitments made by the United States.
      -Give the President “enhanced control” to impose controls on any item, including parts, for national security purposes.
      The bill also increases penalties for corporations to $5 million per violation or 10 times the value of the export, whichever is greater. Criminal penalties for individuals would be raised from $250,000 to $1 million, and civil penalties would be increased from $10,000 to $500,000.
      The bill, however, has some critics. The Computer Coalition for Responsible experts, an alliance of computer companies and information technology associations, urged the House to pass a version that is free of restrictions imposed by the House International Relations Committee.
   In a statement, the group said, “Most of the amendments added by the House International Relations Committee create complicated and unnecessary bureaucratic procedures. We urge the House of Representatives to reverse this course and pass a clean EAA bill as reported out of the Senate Banking Committee, and as supported by the Bush administration.”