President Bush Notifies Congress of His Intent to Sign CAFTA
In December 2003, the U.S. concluded negotiations with El Salvador, Guatemala, Honduras, and Nicaragua on a comprehensive U.S.-Central America Free Trade Agreement (CAFTA). In January 2004, the U.S. concluded its CAFTA negotiations with Costa Rica.
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(The Office of U.S. Trade Representative (USTR) has previously stated that the U.S. began CAFTA negotiations with the Dominican Republic in January 2004 which are aimed at bringing that country fully into CAFTA by March 2004.)
On February 20, 2004, President Bush notified Congress of his intent to sign an FTA with Costa Rica, El Salvador, Honduras, Guatemala, and Nicaragua (the "CAFTA Countries"). (Under the provisions of the Trade Act of 2002's Bipartisan Trade Promotion Authority Act of 2002, the President is required to notify Congress at least 90 days in advance of signing the CAFTA.)
After CAFTA is Signed, Next Step is Enactment of Implementing Legislation
Once the CAFTA is signed, the next step would be for the President to formally submit to Congress the draft CAFTA, the implementing legislation for CAFTA, and a statement of administrative action.
Congress would have 90 legislative days to consider the implementing legislation. According to Congressional sources, the CAFTA implementing legislation could not be amended and would be subject to a straight "up or down" vote by the House and Senate.
If the CAFTA implementing legislation is passed by the House and Senate, it could then be signed into law by the President, who would subsequently issue a proclamation implementing the CAFTA.
One Source Opines CAFTA Could Possibly be Implemented as Early as January 1, 2005
One U.S. government source has opined that if the Bush Administration can complete the above steps in 2004, it is possible that CAFTA could be implemented as early as January 1, 2005.
However, it is not yet known whether the possible future addition of the Dominican Republic to CAFTA, the 2004 Congressional schedule, and other factors could affect the timeframe for implementing CAFTA.
(See ITT's Online Archives or 02/04/04 news, 04020405, for BP summary on the availability of the draft CAFTA text.
See ITT's Online Archives or 12/18/03 news, 03121805, for BP summary of the conclusion of negotiations with El Salvador, Guatemala, Honduras, and Nicaragua.
See ITT's Online Archives or 01/28/04 news, 04012810, for BP summary of the conclusion of negotiations with Costa Rica.)
Presidential notification (FR Pub 02/24/04) available at
http://a257.g.akamaitech.net/7/257/2422/14mar20010800/edocket.access.gpo.gov/2004/pdf/04-4229.pdf.
Presidential letter to Congress (dated 02/20/04) available at
http://www.whitehouse.gov/news/releases/2004/02/20040220-10.html.