To: Interested Parties
From: Heritage Action for America
Date: May 18, 2015
Subject: Path to Ex-Im Reauthorization Rapidly Closing
Because the House appears poised to allow the Export-Import Bank to expire on June 30th without taking any action, proponents of reauthorizing the bank are staking their hopes on the Senate jamming the House. That path seems to be increasingly difficult to walk. While it is conventional wisdom to believe the Senate can “jam the House” the reality is that doing so is extremely difficult. There are two general scenarios in which Senate action could spur House action, but those situations are unlikely to materialize into significant threats.
Read the entire memo.
This week lawmakers introduced H.R. 597 to reauthorize the Export-Import Bank of the United States. Rep. Stephen Fincher (R-TN) 75% authored the bill and 57 other lawmakers have signed on as co-sponsors in support. The Export-Import bank aims to facilitate trade between the U.S. and other nations. In actuality it uses tax payer dollars to provide loans for big business like Solyndra and Boeing.
The Export-Import bank adds fuel to the fire of the crony capitalist nature of Washington DC and must be reformed.
Here’s the conservative response;
“Americans didn’t give Republicans a historic majority to hand out favors to K Street lobbyists and well-connected special interests. If they want to honor their mandate, they’ll allow Ex-Im to expire and advance policies that creates opportunity for everyone.”
Read the full bill online.
These 57 lawmakers added their names as co-sponsor to the legislation:
Over the summer, conservatives ignited a national movement against the Export-Import Bank. This poster child for cronyism is now battling for its survival. But just as Americans across the country rose up to demand an end to Ex-Im, Congress, at the behest of the White House, is preparing to extend its expiring charter.
Use Twitter and Facebook to spread the word.
The debate over the future of the Export-Import Bank can be difficult to follow, in part because proponents of the Bank are often in conflict with one another. Here are the latest examples:
Does Export-Import Bank provide cheap loans?
Tony Fratto, Hamilton Place Strategies: All of you that have been writing that Ex-Im makes cheap loans — they actually make expensive loans. (AEI Debate, July 24, 2014)
Former Sen. Judd Gregg (R-NH): By allowing American companies, mostly very large ones, to finance the products they want to sell to a foreign company or government at a reduced rate, the Ex-Im Bank in fact represents an American commercial threat to foreign companies. (The Hill, July 28, 2014)
Does the Export-Import Bank create job?
A recurring theme among Export-Import Bank supporters is that, at its heart, it’s all about small business.
One Tallahassee small business owner was completely candid about his negative experience with the Export-Import Bank, the Tallahassee Democrat reports. Ron Conroy of Verdicorp is more than happy to see the bank’s authorization expire on Sept. 30.
Tallahassee-based Verdicorp, which makes heating and air conditioning systems, used the program once — to insure sales to a foreign buyer in case the purchaser defaulted. That didn’t happen.
Verdicorp owner Ron Conroy says he has no plans to use the bank again because he said bank officials are more interested in helping larger companies.
“If you send them aircraft, they’re very good. (But) anything less than $10 million, they don’t want to (deal with) you. They say they do but they don’t,” he said. “For the country, it’s worth having. But for smaller companies, it’s useless.”