Kirk, Heitkamp Introduce Bipartisan Export-Import Bank Reform and Reauthorization

Press Release

U.S. Senators Mark Kirk (R-Ill.), Heidi Heitkamp (D-N.D.), Lindsey Graham (R-S.C.), Joe Manchin (D-W.V.), Roy Blunt (R-Mo.), Joe Donnelly (D-Ind.), Kelly Ayotte (R-N.H.) and Mark Warner (D-Va.) today introduced S. 819, the Export-Import Bank Reform and Reauthorization Act of 2015, which will reauthorize the Bank's charter until September 30, 2019, increase small business lending, support American jobs and minimize risk to taxpayers by enchancing bank oversight. Currently, the Bank's authorization is set to expire June 30th, 2015.

246 Illinois small businesses rely on the Export-Import Bank, and more than 200,000 American jobs are supported through the Bank.

"This bill contains over a dozen reforms which have brought together a bipartisan coalition of senators who agree that American businesses, large and small, cannot unilaterally disarm against our global competitors," Senator Kirk said.

"If we in Congress are committed to supporting small businesses, we must reauthorize this agency that supports close to 6,000 small businesses around this country, including many in North Dakota -- period," said Senator Heitkamp. "For years, we have unnecessarily jumped from deadline to deadline, using the Export-Import Bank as a political bargaining chip instead of rewarding its proven track record of supporting hundreds of thousands of jobs across this country with a default rate that's almost negligible at less than one fifth of a percent. North Dakota businesses produce some of the best products in the world, and the Bank helps them sell more of their products abroad, grow jobs, and expand their businesses -- that's good for everyone. Small businesses in North Dakota and across this country who work hard are counting on Congress to work together to get this done, and it's past time for us to do our part."

"The Export-Import Bank is a truly important federal credit agency that helps our business community grow and prosper overseas," Senator Manchin said. "It supports more than 205,000 American jobs and generated $37.4 billion in U.S. export sales last year by providing loans, guarantees, and insurance services to help U.S. companies sell their products overseas. And about 89 percent of the Export-Import Bank's 3,842 deals in the past fiscal year benefited small businesses, which are the true beneficiaries for this important agency. The bipartisan bill that was brokered would also allow coal technologies to be exported abroad, which would ensure countries around the world producing coal to generate energy as cleanly as possible. But if Congress fails to reauthorize the Ex-Im Bank by the end of June, it will significantly impact American jobs, exports and small businesses nationwide."

"I strongly support reauthorization of the Export-Import Bank," said Senator Lindsey Graham. "For Congress to risk allowing the Ex-Im Bank to close is a matter of ideology trumping common sense. Closing the Bank right now would amount to unilateral disarmament by the United States and would hang American workers out to dry. It's decisions like these that make Americans extremely frustrated with Washington -- when we refuse to stand up for workers and their jobs. All the while our competitor nations would benefit. China's export credit agencies financed more last year than the United States, Germany, Canada, and the United Kingdom combined. I refuse to unilaterally surrender American jobs and competitiveness by abolishing an agency which actually makes money for the American taxpayer. Reauthorization of the Ex-Im Bank is one of the most important things we can do for job creation and American business this year."

"The Export-Import Bank benefits small businesses in Indiana and across the country, creating jobs and opportunity. We strengthen our economy when we expand export opportunities, allowing for more Hoosier and American companies to sell their products both at home and overseas. I am proud to support bipartisan legislation to reauthorize the Ex-Im Bank as an important part of continued economic growth," Senator Donnelly said.

"Missouri job creators and thousands of workers in our state benefit from Export-Import Bank loans. I'm glad to co-sponsor this bipartisan bill, which will help Missouri workers stay competitive in a global economy," said Senator Blunt.

"The Export-Import Bank helps small and medium sized businesses in New Hampshire compete in the global marketplace and create jobs, while returning billions of dollars to the Treasury for deficit reduction. This bipartisan legislation reauthorizes Ex-Im for four years and includes important reforms to increase transparency and accountability at the bank," said Senator Ayotte.

"The Export-Import Bank helps businesses across Virginia export hundreds of millions of dollars of goods each year. It supports more than 200,000 American jobs at no cost to taxpayers and helps our companies stay competitive in the global economy," said Senator Warner. "As someone who has been in business longer than I've been in politics, I know a good deal when I see one. This just makes smart business sense. I'm proud to be joining this sensible, bipartisan bill to reauthorize and reform the Ex-Im Bank."

Established in 1934, the Export-Import Bank is an export credit agency through the federal government, which guarantees loans and credit to businesses otherwise unable to operate through private lenders. Nearly 90 percent of Ex-Im's transactions each year directly benefit small businesses, and nationwide the bank supports more than 205,000 American jobs. The top Illinois companies supported by Ex-Im are The Boeing Company, CNH Industrial America and Caterpillar.

The Export-Import Bank supports 244 Illinois businesses, like Boeing, and operates with no cost to the taxpayer. In 2013 the bank returned more than $1 billion to the U.S. Treasury.

The bill:

Reduces risk to taxpayers by requiring higher loan loss reserves
Puts greater focus on small businesses by increasing the required lending to small businesses from 20% to 25%
Increases Oversight of Bank Practices:
The bill creates a Chief Risk Officer and a Risk Management Committee to oversee the Bank's operations, requires the Inspector General to audit the Bank's risk management procedures regularly, and creates a non-political Chief Ethics Officer to oversee ethics practices of Bank employees.