Winds of change are blowing hard through the marble halls of Congress.
The new Republican majority in Washington won't be able to flex its muscles until the 104th Congress convenes in January, but it already is seeking some leverage.
The immediate issue is the treaty to expand the General Agreement on Tariffs and Trade into a new World Trade Organization. The pact would reduce tariffs of the 123 member nations by an average of more than 30%.
Congress is due to return to Washington Nov. 29 for a lame duck session only to consider GATT.
A DELAY
Some Republicans complain the treaty requires the U.S. to surrender too much of its sovereign authority to set tariffs.
Last week, Sen. Jesse Helms (RN.C.), due to become foreign relations committee chairman, urged the Clinton administration to delay a vote until next year.
Doing so could well unravel the whole treaty, which is due to take effect Jan. 1. Congress would essentially start from scratch next year, opening the door to any number of changes.
Vice President Albert Gore warned postponing action on GATT until 1995 would impose "the death sentence on the biggest tax cut in the history of the world."
Two key Republicans, Sen. Robert Dole (R-Kan.) and Rep. Newt Gingrich (R-Ga.), who are due to lead the Republican majority in the next Congress, have said the present Congress should proceed with the treaty.
Dole, however, said Congress should consider ways to "fix" the treaty on GATT rather than delay action on it.
President Clinton said last week he realizes some congressmen want assurance "that we're not giving up the ability to run our affairs. So we're working on it. And I think we'll resolve it."
REPUBLICAN PLATFORM
Gingrich plans to press early in the next Congress for passage of the House Republicans' campaign platform, the 10 point "Contract with America."
A key plank calls for passage of a constitutional amendment requiring a balanced federal budget. Gingrich said Congress will vote on that issue Jan. 19. Similar amendments narrowly failed to pass when the Democrats controlled both houses.
Other planks call for reducing the capital gains tax 50%, requiring risk assessments and cost-benefit analyses for new federal rules, and reforming product liability laws.
Legislation that Democrats had pushed, such as toughening the Occupational Safety and Health Act and banning striker replacement, are dead.
Republicans hope to use their control of the budget process to keep the Clinton administration from proceeding with regulations to restrict work place smoking and to set repetitive motion injury standards.
They also may be able to moderate some environmental rules required by existing laws.
Copyright 1994 Oil & Gas Journal. All Rights Reserved.
Issue date: 11/21/94
