H.R. 4863 — what changed

“(i) Office of minority and women inclusion

“(1) Establishment—The Agency shall establish an Office of Minority and Women Inclusion which shall be responsible for carrying out this subsection and all matters relating to diversity in management, employment, and business activities in accordance with such standards and requirements as the Director of the Office shall establish.

“(2) Transfer of responsibilities—The Agency shall ensure that, to the extent that the responsibilities described in paragraph (1) (or comparable responsibilities) were, as of the date of the enactment of this subsection, performed by another office of the Agency, the responsibilities shall be transferred to the Office.

“(3) Duties with respect to civil rights laws—The responsibilities described in paragraph (1) shall not include enforcement of statutes, regulations, or executive orders pertaining to civil rights, except that the Director of the Office shall coordinate with the President of the Agency, or the designee of the President of the Agency, regarding the design and implementation of any remedies resulting from violations of the statutes, regulations, or executive orders.

changed “(4) DirectorTraining—The Agency shall make available to its employees appropriate inclusion and diversity training, not less frequently than every 2 years, to ensure employees have an understanding of the specific challenges facing minority- and women-owned businesses.

added “(5) Director

“(A) In general—The Director of the Office shall be appointed by, and shall report directly to, the President of the Agency. The position of Director of the Office shall be a career reserved position in the Senior Executive Service, as that position is defined in section 3132 of title 5, United States Code, or an equivalent designation.

“(B) Duties—The Director shall—

added “(i) develop standards for equal employment opportunity and diversity in race, ethnicity, gender, sexual orientation, and gender identity of the workforce and senior management of the Agency;

removed “(i) develop standards for equal employment opportunity and the racial, ethnic, and gender diversity of the workforce and senior management of the Agency;

“(ii) develop standards for increased participation of minority-owned and women-owned businesses in the programs and contracts of the Agency, including standards for coordinating technical assistance to the businesses; and

“(iii) enhance the outreach activities of the Agency with respect to, and increase the total amount of loans, guarantees, and insurance provided by the Agency to support exports by socially and economically disadvantaged small business concerns (as defined in section 8(a)(4) of the Small Business Act) and small business concerns owned by women.

“(C) Other duties—The Director shall advise the President of the Agency on the impact of the policies of the Agency on minority-owned and women-owned businesses.

removed “(5) Inclusion in all levels of business activities

changed “(A) Contracts—The Director of the Office shall develop and implement standards and procedures to ensure, to the maximum extent possible, the inclusion and utilization of minorities (as defined in section 1204(c) of the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (12 U.S.C. 1811 note)) and women, and minority- and women-owned businesses (as such terms are defined in section 21A(r)(4) of the Federal Home Loan Bank Act (12 U.S.C. 1441a(r)(4)) in all business and activities of the Agency at all levels, including “(6) Inclusion in procurement, insurance, and all types of contracts. The processes established by the Agency for review and evaluation for contract proposals and to hire service providers shall include a component that gives consideration to the diversity levels of the applicant.business activities

added “(A) Contracts—The Director of the Office shall develop and implement standards and procedures to ensure, to the maximum extent possible, the inclusion and utilization of minorities (as defined in section 1204(c) of the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (12 U.S.C. 1811 note), which definition is deemed, for purposes of this subparagraph, to include American Indians, Native Hawaiians (as defined in section 103 of the Native American Languages Act (25 U.S.C. 2902)), and Alaska Natives (defined as a member of any Indian tribe (as defined in section 4 of the Indian Self-Determination and Education Assistance Act (25 U.S.C. 5304)) that is based in the State of Alaska)) and women, and minority- and women-owned businesses (as such terms are defined in section 21A(r)(4) of the Federal Home Loan Bank Act (12 U.S.C. 1441a(r)(4)) in all business and activities of the Agency at all levels, including in procurement, insurance, and all types of contracts. The processes established by the Agency for review and evaluation for contract proposals and to hire service providers shall include a component that gives consideration to the diversity of the applicant.

“(B) Applicability—This paragraph shall apply to all contracts for services of any kind, including all contracts for all business and activities of the Agency, at all levels.

“(C) Outreach—The Agency shall establish a minority outreach program to ensure the inclusion (to the maximum extent practicable) of contracts entered into with the enterprises of minorities and women and businesses owned by minorities and women, including financial institutions, investment banking firms, underwriters, accountants, brokers, and providers of legal services.

added “(7) Diversity in agency workforce—The Agency shall take affirmative steps to seek diversity in its workforce at all levels of the Agency consistent with the demographic diversity of the United States, in a manner consistent with applicable law, including—

removed “(6) Diversity in agency workforce—The Agency shall take affirmative steps to seek diversity in its workforce at all levels of the Agency consistent with the demographic diversity of the United States, in a manner consistent with applicable law, including—

“(A) to the extent the Agency engages in recruitment efforts to fill vacancies—

added “(i) recruiting at historically Black colleges and universities, Hispanic-serving institutions, Asian American- and Native American Pacific Islander-serving institutions, Tribal colleges and universities, women’s colleges, community colleges, and colleges that typically serve majority minority populations; and

removed “(i) recruiting at historically Black colleges and universities, Hispanic-serving institutions, Tribal colleges and universities, women’s colleges, and colleges that typically serve majority minority populations; and

“(ii) recruiting at job fairs in urban communities, and placing employment advertisements in print and digital media oriented toward women and people of color;

added “(B) partnering with organizations that are focused on developing opportunities for minorities and women to place talented young minorities and women in industry internships (including paid internships), summer employment, and full-time positions; and

removed “(B) partnering with organizations that are focused on developing opportunities for minorities and women to place talented young minorities and women in industry internships, summer employment, and full-time positions; and

“(C) by use of any other mass media communications that the Director of the Office determines necessary.”

“(l) Office of Minority and Women Inclusion

“(1) In general—The Agency shall include in its annual report to the Congress under subsection (a) a report from the Office of Minority and Women Inclusion regarding the actions taken by the Agency and the Office pursuant to section 3(i), which shall include—

“(A) a statement of the total amounts paid by the Agency to contractors since the most recent report under this subsection;

“(B) the percentage of the amounts described in subparagraph (A) that were paid to contractors as described in section 3(i)(5)(A);

“(C) the successes achieved and challenges faced by the Agency in operating minority and women outreach programs;

“(D) a description of the progress made by the Agency in supporting exports by minority-owned small business concerns and the progress made by the Agency in supporting small business concerns owned by women, including estimates of the amounts made available to finance exports directly by both categories of small business concerns, a comparison of these amounts with the amounts made available to all small business concerns, and a comparison of such amounts with the amounts so made available during the 2 preceding years;

“(E) the challenges the Agency may face in hiring qualified minority and women employees and contracting with qualified minority-owned and women-owned businesses; and

“(F) any other information, findings, conclusions, and recommendations for legislative or Agency action, as the Director of the Office deems appropriate.

“(2) Definitions—In this subsection:

“(A) Minority-owned small business concern—The term “minority-owned small business concern” has the meaning given the term “socially and economically disadvantaged small business concern” under section 8(a)(4) of the Small Business Act.

“(B) Small business concern—The term “small business concern” has the meaning given that term under section 3(a) of the Small Business Act.”

added “(D) One member appointed to the Advisory Committee shall be representative of 4-year institutions of higher education.

added “(E) One member appointed to the Advisory Committee shall be representative of community colleges.”

“(n) Office of territorial exporting

“(1) In general—The President of the Agency shall establish an Office of Territorial Exporting, the functions of which shall be to—

“(A) promote the export of goods and services from the territories;

“(B) conduct outreach, education, and disseminate information concerning export opportunities and the availability of Agency support for such activities; and

“(C) increase the total amount of loans, guarantees, and insurance provided by the Agency benefitting the territories.

“(2) Staff—The President of the Agency shall hire such staff as may be necessary to perform the functions of the Office, including—

changed “(A) at least 1 one staffer responsible for liaising with Puerto Rico and the United States Virgin Islands; and

changed “(B) at least 1 one staffer responsible for liaising with the United States territories of Guam, the Commonwealth of the Northern Mariana Islands, and American Samoa.

“(3) Definition of territory—In this Act, the term territory means the Commonwealth of Puerto Rico, the United States Virgin Islands, Guam, the Commonwealth of the Northern Mariana Islands, and American Samoa.”

“(m) Report on activities in the territories—The Agency shall include in its annual report to Congress under subsection (a) a report on the steps taken by the Agency in the period covered by the report to increase—

“(1) awareness of the Agency and its services in the territories; and

changed “(2) the provision of Agency support to export businesses in the territories.”territories.

added “(n) Report on consultations with potentially impacted communities—The Agency shall include in its annual report to Congress under subsection (a) of this section a report on the steps taken by the Agency to consult with affected communities, including affected workers, pursuant to section 11(a)(2).”

“(B)

“(i) If there is an insufficient number of directors to constitute a quorum under subparagraph (A) for 90 consecutive days during the term of a President of the United States, a temporary Board, consisting of the following members, shall act in the stead of the Board of Directors:

changed “(I) The United States Trade Representative,Representative.

changed “(II) The Secretary of the Treasury,Treasury.

changed “(III) The Secretary of Commerce, andCommerce.

“(IV) The members of the Board of Directors.

“(ii) If, at a meeting of the temporary Board—

“(I) a member referred to in clause (i)(IV) is present, the meeting shall be chaired by such a member, consistent with Agency bylaws; or

“(II) no such member is present, the meeting shall be chaired by the United States Trade Representative.

“(iii) A member described in subclause (I), (II), or (III) of clause (i) may delegate the authority of the member to vote on whether to authorize a transaction, whose value does not exceed $100,000,000, to—

“(I) if the member is the United States Trade Representative, the Deputy United States Trade Representative; or

“(II) if the member is referred to in such subclause (II) or (III), the Deputy Secretary of the department referred to in the subclause.

changed “(iv) If the temporary Board consists of members of only 1 one political party, the President of the United States shall, to the extent practicable, appoint to the temporary Board a qualified member of a different political party who occupies a position requiring nomination by the President, by and with the consent of the Senate.

“(v) The temporary board may not change or amend Agency policies, procedures, bylaws, or guidelines.

“(vi) The temporary Board shall expire at the end of the term of the President of the United States in office at the time the temporary Board was constituted or upon restoration of a quorum of the Board of Directors as defined in subparagraph (A).

“(vii) With respect to a transaction that equals or exceeds $100,000,000, the Chairperson of the temporary Board shall ensure that the Agency complies with section 2(b)(3).”

“(E)

“(i)

“(I) It is further the policy of the United States to encourage the participation of small business (including women-owned businesses, minority-owned businesses, veteran-owned businesses, businesses owned by persons with disabilities, and businesses in rural areas) and start-up businesses in international commerce, and to educate such businesses about how to export goods using the United States Export Finance Agency.”

added “(n) Report on activities in economically disadvantaged regions

added “(1) In general—The Agency shall include in its annual report to Congress under subsection (a) a report on the steps taken by the Agency in the period covered by the report to increase—

added “(A) awareness of the Agency and its services in economically disadvantaged regions; and

added “(B) the provision of Agency support to export businesses in economically disadvantaged regions.

added “(2) Definition—In paragraph (1), the term “economically disadvantaged region” means a county or equivalent division of local government of a State in which, according to the most recently available data from the Bureau of the Census, 20 percent or more of the residents have an annual income that is at or below the poverty level.”

“(xi) After consultation with the Committee on Financial Services of the House of Representatives and the Committee on Banking, Housing, and Urban Affairs of the Senate, the Agency shall implement the outreach plan referred to in section 9(b)(1) of the United States Export Finance Agency Act of 2019.”

added “(n) Report on activities supporting Indian tribes—The Agency shall include in its annual report to Congress under subsection (a) a report on the steps taken by the Agency in the period covered by the report to increase—

added “(1) awareness of the Agency and its services available to Indian tribes; and

added “(2) the provision of Agency support to tribal export businesses.”

Section 2 of the Export-Import Bank Act of 1945 (12 U.S.C. 635) is amended by adding at the end the following:

“(l) Restriction on financing for certain entities

“(1) In general—Beginning on the date that is 180 days after the date of the enactment of this subsection, the Board of Directors may not approve a transaction that is subject to approval by the Board with respect to the provision by the Agency of any guarantee, insurance, or extension of credit, or the participation by the Agency in any extension of credit for which the end user, obligor, or lender is described in paragraph (2).

“(2) Prohibited end user, obligor, or lender—An end user, obligor, or lender is described in this paragraph if the end user, obligor, or lender is known to the Agency to be:

“(A) The People’s Liberation Army of the People’s Republic of China.

“(B) The Ministry of State Security of the People’s Republic of China.

“(C) Included on the Denied Persons List or the Entity List maintained by the Bureau of Industry and Security of the Department of Commerce.

“(D) Included on the Arms Export Control Act debarred list maintained by the Directorate of Defense Trade Controls of the Department of State.

“(E) Any person who has paid a criminal fine or penalty pursuant to a conviction or resolution or settlement agreement with the Department of Justice for a violation of the Foreign Corrupt Practices Act in the preceding 3 years.

changed “(F) A person who, in the preceding 3 years, appeared on the Annual Intellectual Property Report to Congress by the Intellectual Property Enforcement Coordinator in the Executive Office of the President, if the person was convicted in any courtcourt.

“(3) Definitions—In this subsection:

“(A) Person—The term “person” means an individual or entity.

“(B) Entity—The term “entity” means a partnership, association, trust, joint venture, corporation, group, subgroup, or other organization.”

Section 2 of the Export-Import Bank Act of 1945 (12 U.S.C. 635), as amended by section 11 of this Act, is amended by adding at the end the following:

“(m) Prohibitions on financing for certain persons involved in sanctionable activities

“(1) In general—Beginning on the date that is 180 days after the date of the enactment of this subsection, the Board of Directors of the Agency may not approve any transaction that is subject to approval by the Board with respect to the provision by the Agency of any guarantee, insurance, or extension of credit, or the participation by the Agency in any extension of credit, to a person in connection with the exportation of any good or service unless the person provides the certification described in paragraph (2).

“(2) Certification described—The certification described in this paragraph is a certification by a person who is an end user, obligor, or lender that neither the person nor any other person owned or controlled by the person engages in any activity in contravention of any United States law, regulation, or order applicable to the person concerning—

“(A) trade and economic sanctions, including an embargo;

changed “(B) the freezing or blocking of assets of designated persons; orpersons;

changed “(C) other restrictions on exports, imports, investment, payments, or other transactions targeted at particular persons sanctions relating to serious violations of human rights or countries.free speech, including any sanctions—

added “(i) imposed under the Global Magnitsky Human Rights Accountability Act;

added “(ii) related to the efforts to the Chinese government to limit or punish demonstrations in Hong Kong;

added “(iii) related to the political repression or detention of religious and ethnic minorities in China or Burma; or

added “(iv) related to the gross violation of internationally recognized human rights (as defined in section 502B of the Foreign Assistance Act of 1961) in China;

added “(D) sanctions relating to the illegal trafficking of synthetic opioids, including any sanctions imposed pursuant to the Foreign Narcotics Kingpin Designation Act;

added “(E) sanctions relating to human rights abuses, including engaging in human trafficking, including sex trafficking, and any sanctions imposed under Executive Order No. 13581 (Blocking Property of Transnational Criminal Organizations); or

added “(F) other restrictions on exports, imports, investment, payments, or other transactions targeted at particular persons or countries.

“(3) Certification requirements—The certification described in paragraph (2) shall be made after reasonable due diligence and based on best knowledge and belief.”

changed “(C) Office of financing for renewable energy, energy efficiency and energy storage—The President of the Agency shall establish an office whose functions shall be to promote the export of goods and services to be used in the development, production, and distribution of renewable energy resources, and energy efficiency (including battery electric vehicles, batteries for electric vehicles, and electric vehicle charging infrastructure) and energy storage technologies, and disseminate information concerning export opportunities and the availability of Agency support for such activities, to increase the total amount of loans, guarantees, and insurance provided by the Agency to support exports related to renewable energy, energy efficiency, efficiency (including battery electric vehicles, batteries for electric vehicles, and electric vehicle charging infrastructure), and energy storage.”

changed “(2) Consultations with potentially impacted communities—In any credit or common terms agreements to which the Agency is a party relating to a transaction described in paragraph (1), the Agency shall include a provision to ensure that robust consultations with potentially impacted communities communities, including affected workers, in the country in which the activity will be carried out have been and will continue to be carried out throughout the project cycle.

“(3) Environmental and social due diligence procedures and guidelines review—By the end of 2020 and once at the end of each subsequent 3-year period, the Board of Directors of the Agency shall complete a review of the Environmental and Social Due Diligence Procedures and Guidelines ensuring that the procedures and guidelines incorporate requirements for project consideration that are consistent to limit greenhouse gas emissions and, to the maximum extent possible, to affirm that the Board operates consistently with the multilateral environmental agreements to which the United States is a party that are directly related to transactions in which the Agency is involved.

“(4) The Agency shall operate consistently with Annex VI of the Arrangement on Officially Supported Export Credits, as adopted by the Organisation for Economic Co-operation and Development as of January 2019.

“(5) The Agency shall make publicly available the estimated amounts of CO2 emissions expected to be produced from pending projects that the Agency has designated as Category A and B projects and work with other export credit agencies to encourage them to do the same.

“(A) The Agency shall report CO2 emissions associated with projects that the Agency has designated as Category A and B fossil fuel projects in its annual report by product categories.

“(B) The Agency shall advocate within the OECD and other multilateral fora for the full reporting of CO2 emissions associated with appropriate energy and non-energy projects including manufacturing and agriculture.

“(C) The Agency shall undertake periodic reviews with stakeholders to ensure that the Agency employs the most appropriate methodology of estimating and tracking the CO2 emissions from Category A and B projects the Agency supports.

“(6) The Agency shall develop and maintain measures to provide increased financing support for evolving technologies that reduce CO2 emissions.

“(A) The Agency shall develop and maintain measures to encourage foreign buyers to seek available, commercially viable technology to reduce the CO2 footprint of projects.

“(B) The Agency shall develop and maintain initiatives to finance aspects of project development that reduce or mitigate CO2 emissions, such as effective carbon capture and sequestration technology, while maintaining the competitiveness of United States exporters.

“(C) In coordination with the Department of the Treasury, the Agency shall advocate in international fora for the availability of financing incentives for low to net zero CO2-emitting projects, a common methodology for evaluating and taking into account the social cost of carbon.

“(D) The Agency shall encourage export credit agencies and other relevant lending institutions to adopt similar CO2 policies, including encouraging transparency and the involvement of stakeholders.”

“(c) Inclusion in annual report to Congress—The Agency shall include in its annual report to Congress under section 8 a summary of its activities under subsections (a) and (b). The Board of Directors shall submit to the Congress a report, which shall be made publicly available on the Internet at the time of delivery—

changed “(1) that provides a detailed accounting of the methodology used to make greenhouse gas emissions project determinations; anddeterminations;

“(2) details the steps taken to ensure that the Environmental and Social Due Diligence Procedures and Guidelines of the Agency are consistent with—

“(A) reducing greenhouse gas emissions; and

changed “(B) operating consistently with the multilateral environmental agreements to which the United States is a party that are directly related to transactions in which the Agency is involved.”involved; and

added “(3) details the effects of exports and projects financed by the Agency on the number of jobs created or retained in the energy and related technologies industries of the United States.”