Democrats press for five-year renewal of trade program

Several House Democrats are leading the push for a five-year reauthorization of an aid program that helps U.S. workers displaced by trade. 

On Thursday, Democratic Reps. Mike Michaud (Maine), chairman of the House Trade Working Group, Jim McDermott (Wash.), John Lewis (Ga.), Xavier Becerra (Calif.) and Adam Smith (Wash.) sent a letter to President Obama signed by 162 members that calls for the long-term renewal of 2009 Trade Adjustment Assistance (TAA).

“This critical program has helped over 430,000 workers across our country over the past two years,” Michaud said in a statement. 

“I appreciate that the White House has offered its tentative support for this, especially given our high unemployment rate and the strong likelihood that it will send Congress three more trade deals that will cost more U.S. jobs," he said. 

"But as I’ve said before, the best assistance that we can offer to workers dislocated by trade is a new trade model that doesn’t send their jobs overseas in the first place.”

In the letter, lawmakers said the 2009 legislation made "service sector workers eligible for the program, expanded access for manufacturing workers, significantly increased training funding and promoted on-the-job, part-time and longer-term training."

Since changes were made May 2009, more than 185,000 additional workers "who may not have been certified under the  old 2002 TAA for Workers program have become eligible for training opportunities and benefits," the letter said. 

On Monday, the Obama administration said it won't submit three pending trade deals for congressional approval until lawmakers agree to renew TAA, which expired earlier this year after being renewed in 2009. 

Republicans have been reluctant to renew the TAA, especially at the 2009 economic stimulus levels, but the White House said passage of the Colombia, Panama and South Korea is dependent on action on TAA. 

The administration has been calling for agreement on a broader trade agenda once the three trade deals are lined up, which has created some tension between Democrats and Republicans and could further stall the accords. 

On Thursday, Sen. Mike Johanns (R-Neb.) urged the administration to move the trade deals. 

"The administration seems to be moving the goal posts, suggesting continued delay," Johanns said on the Senate floor. "They're trying to hold these agreements up to force us to make spending increases that were contained in the ill-fated economic stimulus."

During a conference call on Monday, U.S. Trade Representative Ron Kirk said the trade assistance program was “critical” to the administration’s agenda. 

“The president has always been unequivocal about the fact that keeping faith with our workers is just as important for us as an administration as opening new markets and enforcing our trade agreements,” Kirk said.

Senate Finance Chairman Max Baucus (D-Mont.), said last week that the three trade deals must move “in tandem” with renewal of TAA.  

At that same hearing, Sen. Orrin Hatch (R-Utah), the committee’s ranking member, said the administration was setting preconditions before submitting the agreements to Congress for a vote.

In a statement Monday, Hatch called TAA “unrelated spending” to the pending trade deals.

House Ways and Means Chairman Rep. Dave Camp (R-Mich.), has expressed support for working on a way to advance the expanded trade agenda including preferences programs, trade adjustment assistance, WTO accessions and ongoing and new trade negotiations.

The aid program has passed with bipartisan support in the past, but many Democrats blamed Republicans for stalling renewal of the expanded TAA program when it expired earlier this year.