September 19, 1974
Page 31962
Mr. MUSKIE. Mr. President, I oppose the amendment introduced by the distinguished Senator from Wisconsin which would require the immediate inclusion of the Export-Import Bank in the unified budget.
The Senate Budget Committee, of which I am chairman, was specifically directed in section 606 of the Budget Impoundment Act we passed this summer to make recommendations on this issue after a thorough study. We intend to do just that but we will be preempted if this amendment is passed. The issue is not uncomplicated and should be acted upon only after we have had an opportunity to clearly focus on the implications of including Exim under existing accounting rules or whether some adaptation of accounting rules should be made.
The Bank is currently excluded from the Budget under a law which the Congress enacted in 1971. That action was taken after thorough hearings and deliberations. At that time it was strongly argued that it was not appropriate to include the Bank in the Budget because it does not. require appropriated funds and the Bank's disbursements result in and are offset by obligations payable to the Bank.
Under present budget accounting procedures, disbursements by Exim bank would be treated the same way as expenditures of appropriated funds and would not be offset by either the promissory notes which Exim bank receives from the borrower or by the receipt of the funds obtained by Exim bank from the sale of its debentures in the private money markets.
Let me point out that excluding Exim bank from the budget does not deprive the Congress of control over the level of the Bank's activities because–
Specified annual authorizations and expense ceilings are acted upon each year by Congress in the Foreign Assistance Act;
Required activity levels for the Bank are part of the Bank's annual budget printed in the Budget of the U.S. Government, and submitted by the President to the Congress; and
Overall limitations on the Bank's activities will, under the legislation now before us, be again subject to full congressional review by the Banking Committees of both Houses 2 years from now when the present loan authorization is expected to be used up.
There thus seems to be little reason to precipitously return the activities of this institution to the budget before the Congressional Budget Committee have had the chance to undertake a full evaluation of the issues which surround this matter.
I urge you to support me in opposing this amendment to the pending bill.