Senate Adopts Ex-Im Bank Extension, But Fate Still Uncertain – UPDATE

Senate Adopts Ex-Im Bank Extension, But Fate Still Uncertain – UPDATE

UPDATE, July 28, 2015, 8:10 am EDT:  The Aerospace Industries Association issued a press release praising the Senate action and urging the House to follow suit.

ORIGINAL POST, July 27, 2015, 11:28 pm EDT:  The Senate tonight adopted an amendment to reauthorize the Export-Import Bank as part of a Highway Trust Fund reauthorization bill.  House Republican leaders stated earlier today, however, that they will not bring the Senate bill to the floor for a vote.

The amendment, offered by Senate Majority Leader Mitch McConnell (R-KY) on behalf of Sen. Mark Kirk (R-IL), has been the source of bitter contention with Sen. Ted Cruz (R-TX) and other conservatives who consider the bank to be “corporate welfare.” The bank assists in the financing of U.S. exports, including aerospace products, and advocates insist that without it American exports will suffer and jobs will be lost.  The Aerospace Industries Association and the Satellite Industry Association are among its supporters.

The bank’s authority to operate ended on June 30 when a previous reauthorization attempt failed.  The bank can continue current operations, but cannot take on new projects until and unless it is reauthorized.

The Kirk amendment would extend its authorization for four years.  Yesterday the Senate voted 67-26 to allow the amendment to be offered.   Tonight the vote was 64-29 to adopt it. The Senate has yet to vote on the underlying bill.  Even assuming that it passes, its fate is far from certain.

House Majority Leader Kevin McCarthy (R-CA) vowed today that the House will not take up the Senate bill.  The House and Senate disagree not only on the Ex-Im Bank issue, but on the underlying highway bill that allows disbursement of funds from the Highway Trust Fund for highways, highway safety, and public transportation projects.  The Highway Trust Fund’s authorization expires on Friday, July 31.  The House is scheduled to begin its August recess on Friday, so some type of agreement will have to be made – perhaps a short term extension.  The House already passed a 5 month extension of the highway bill — without an Ex-Im Bank provision — and McCarthy wants the Senate to pass that bill, not the version now before the Senate.

What happens next is anyone’s guess.

 

User Comments



SpacePolicyOnline.com has the right (but not the obligation) to monitor the comments and to remove any materials it deems inappropriate.  We do not post comments that include links to other websites since we have no control over that content nor can we verify the security of such links.