HOUSE COMMITTEE ON TRADE AND ECONOMIC DEVELOPMENT

February 07, 2003 Hearing Room D

1:00 PM Tapes 7 - 8

MEMBERS PRESENT: Rep. Patti Smith, Chair

Rep. Vicki Berger, Vice-Chair

Rep. Mary Gallegos, Vice-Chair

Rep. Mark Hass

Rep. Dave Hunt

Rep. Steve March

Rep. Dennis Richardson

STAFF PRESENT: Kimberly A. Medford, Committee Administrator

Linda K. Gatto, Committee Assistant

MEASURE HEARD: HB 2252 Public Hearing

These minutes are in compliance with Senate and House Rules. Only text enclosed in quotation marks reports a speaker’s exact words. For complete contents, please refer to the tapes.

TAPE/#	Speaker	Comments
TAPE 7, A
004	Chair Smith	Calls the meeting to order at 1:06 p.m. and announces that HB 2298 will be heard on Monday. Opens the public hearing on HB 2252.
HB 2252 PUBLIC HEARING
012	Kimberly A. Medford	Committee Administrator. Provides an overview of HB 2252.
028	Rep. March	Discusses HB 2252-1 amendments, (EXHIBIT A).
039	Allan Abravanel	International Trade Commission, Chairman. Introduces Michael Doyle, Director of the International Division of the Oregon Economic and Community Development Department, (OECDD) (EXHIBIT B)
058	Abravanel	Provides background on the International Trade Commission’s, (ITC) membership. Explains the proposal is increasing the voting members from 9 to 15 and have 3 ex-officio members who may vote and are designated from the Pacific NW International Trade Association, the Port of Portland, and the State Board of Agriculture.
126	Abravanel	Clarifies the definition of international trade includes the export of services; notes that Oregon is a leader in environmental services. Notes another clarification is to include trade advocacy.
136	Rep. Berger	Asks if the definition of international trade relative to export/import implying international.
155	Abravanel	Responds that the focus is on markets overseas.
167	Doyle	Comments that there are trading companies that have conduits that exist domestically.
186	Rep. March	Notes that the Oregon Student Assistance Commission, and the Bureau of Labor and Industries would welcome input on what is needed in education to increase international trade.
191	Rep. Hunt	Asks if there is a specific reason for amending out the Department of Agriculture in line 30, page 2.
225	Doyle	Explains that the international division of OECDD is the staffing agency.
254	John Metschan	Pacific NW International Trade Assoc., (PNITA) President. Introduces Karen Metschan, Executive Director. Submits (EXHIBIT C). Summarizes PNITA’s background and objectives.
304	Rep. Berger	Asks what is the percentage of international traders in Oregon.
309	Metschan	Responds that currently there is a membership of 70 – 75 and notes that the initial membership was born from those who would be immediately affected by the removal of the customs district.
353	Margaret Gribskov	First Unitarian Church, Economic Justice Action Group. Submits prepared testimony (EXHIBIT D).
416	Ray Lewis	Connections Associates, Owner. Submits and reads prepared testimony, (EXHIBIT E).
TAPE 8, A
017	Lewis	Testifies that service areas should be represented by both public and private sectors that influence international trade.
034	Lewis	Testifies on the negative affects of the General Agreement on Tariffs and Trade (GATT).
047	Rep. Berger	Asks if the ITC has the authority to make trade agreements that are binding on the state.
051	Lewis	Responds that the Commission is advisory, all agreements are made on the national level representing national and international entities.
058	Rep. Richardson	Asks for examples.
068	Lewis	Responds that the commission should include members from the public sector, and state, county, and city governments because of the direct affect of trade agreements on communities.
077	Gribskov	Comments that there should be members on the Commission that can communicate the affect of the agreements on state and local sovereigns
092	Rep. Richardson	Comments that the frustration being expressed is directed toward NAFTA and GATT. Asks for examples where the Commission has violated the rights or interests of Oregon communities and if not what will expanding the Commission correct.
101	Gribskov	Responds that it will promote public discussion on trade and imports.
114	Rep. March	Explains that for this reason a senator and a representative as a member of the commission can communicate concerns by resolution to the federal government. Comments positively on including a member of the Port.
128	Lynn Marie Crider	Oregon AFL-CIO. States there is concern about HB 2252, as drafted because the ITC performs as an advisor. Notes that HB 2252-1 addresses this concern.
166	Dalton Hobbs	Administrator of Oregon of Agriculture (ODA) Agricultural Marketing and Development Division. Testifies in support. Explains that some crops produced in Oregon rely entirely on export markets.
189	Keith Leavitt	Port of Portland. Testifies in support. States that trade is complex and Oregon depends on a global economy. Notes that currently there is no venue to discuss these issues.
233	Chair Smith	Closes the public hearing on HB 2252 and the committee stands at ease momentarily.
236	Chair Smith	Reconvenes the public hearing on HB 2252.
240	Rep. Gallegos	Inquires about the expense of increasing work load on support staff to accommodate the increase from 9 to 15 members.
250	Abravanel	Responds that from a staffing perspective there would be no significant change. Explains the Commissioners receive no compensation except perhaps mileage reimbursement on occasion; less than $1000 per biennium.
272	Rep. Hunt	Asks what is the critical nature or non-critical nature of the two changes in Section 3.
283	Abravanel	Responds that he was under the impression that the discussion was about the job training and technical education programs.
305	Rep. March	Notes that was the intention; the amendment was drafted incorrectly. Suggests waiting until next week to move the bill with the corrected amendments.
285	Rep. Hunt	Confirms that Section 3 point #1 is the critical piece.
318	Abravanel	Responds affirmatively.
292	Rep. Gallegos	Asks does ITC have the power to implement a strategy.
325	Abravanel	Responds no, the Commission does not have the authority to adopt rules or plans; it has advisory capacity.
304	Chair Smith	Closes the public hearing on HB 2252 and adjourns the meeting at 1:55 p.m.
(EXHIBIT F) Submitted by Dan Gardner - Bureau of Labor and Industries for the record.

EXHIBIT SUMMARY

A – HB 2252-1 amendments dated 2/6/03, Representative Steve March, 1 p

B – HB 2252, prepared testimony, Allan Abravanel and Mike Doyle, OECDD, 5 pp

C – HB 2252, prepared testimony, John Metschan, 4 pp

D – HB 2252, prepared testimony, Margaret Gribskov, 2 pp

E – HB 2252, prepared testimony, Ray Lewis, 2 pp

F – HB 2252, correspondence, Dan Gardner, 2 pp