Mr. Speaker, I thank my colleagues for understanding that my bill, H.R. 339, as amended by the Senate, was time-critical and for acting swiftly upon this measure on Friday, August 11. H.R. 339, the Northern Mariana Islands Economic…
Mr. Speaker, I thank my colleagues for understanding that my bill, H.R. 339, as amended by the Senate, was time-critical and for acting swiftly upon this measure on Friday, August 11.
H.R. 339, the Northern Mariana Islands Economic Expansion Act, was intended to provide one-time relief to the economic disruption that occurred in my district, when a surge of Chinese construction workers used up one-third of the available Commonwealth-only Transitional Worker permits for fiscal year 2017. This left many of our local businesses, small and large, in the lurch. These businesses have foreign workers on their staff, who know the business and upon whom employers rely, for whom fiscal year 2017 permits became unavailable as a result of the Chinese surge. There is an annual limit on the number of these Commonwealth-only Transitional Worker, or CW-1, permits, which are specific and unique to the Marianas. For fiscal 2017, 12,998 were available. H.R. 339 provides 350 more to help out the businesses caught in this bind.
Had the Senate acted more quickly and had the Senate not decided to reduce the number of additional permits to 350, more local businesses could have been assisted. But the legislative process is collaborative and deliberative; and I respect that.
I can say that there are 306 permits that were scheduled to expire in August and September. So by providing an additional 350 permits, H.R. 339, as amended, matches up against that remaining need.
I also note that the Senate amendment takes the current permit system in a new direction by designating that at least 60 of the additional permits for fiscal 2017 must be used for workers in healthcare and at least 10 for power plant operators. These occupational categories are critical to public health and safety. It well may be that in the future any foreign worker permits, specific to the Marianas, will also have to begin to be prioritized to ensure that the most value is added to the Marianas economy by the permitted workers.
Although H.R. 339 provides one-time relief to an immediate shortage of permits, there is further intent. The bill contains two provisions that will make the problem we are fixing now less likely to recur in future.
First, and most importantly, the bill increases the fee that employers pay, as part of the permit process, that goes to training U.S. workers to fill the jobs currently held by foreign workers in the Marianas. Had the Marianas been less dependent on foreign workers, this year's crisis would have been proportionally less intense. So, we must continue to focus on adding U.S. workers to the economy.
The fee increase is from $150 per annual permit to $200. And the increase is permanent. It does not apply solely to fiscal 2017, as is the case with the extra permits. It is the intention of the legislation that the fee increase apply to petitions filed on or after the date of enactment, not to petitions previously filed.
Since the beginning of the transitional worker program, these fees have provided about $10 million to the Commonwealth of the Northern Mariana Islands government and been distributed to educational institutions. Over the same period of time, about 1,200 U.S. workers have been added to the local labor force. I understand from testimony of the Government Accountability Office to the Senate Energy and Natural Resources Committee in April of this year, that some $3 million of the collected fees remain unused.
Effective and prompt use of the U.S. worker training funds are goals I believe should be part of the consideration for future legislation. I introduced in the 113th Congress, H.R. 2200, a bill that would have required the Commonwealth provide to the Secretary of Homeland Security a plan for the expenditure of these funds with a specific, numerical goal for job placement of U.S. workers. My legislation also required a biennial report by the Comptroller General on whether this goal had been met. That legislation did not make it to the finish line here in Congress; however, along with the allocation of permits for specific, high-value occupations, setting performance goals for the U.S. worker training fund is a policy I believe should be a part of our future considerations.
The second provision intended to prevent a recurrence of the current crisis bars the use of the CW-1 permit for new workers in construction occupations. Existing construction companies with foreign workers, who have been in their employ prior to fiscal year 2016, will be able to continue renewing the CW-1 permits of those specific individual workers. There are between 1,000 and 1,500 such individuals, I understand. Approval for a CW-1 permit for an individual in a construction occupation may not be granted, if the individual was not previously approved for a CW-1 permit before October 1, 2015. And no approvals for initial grant of CW-1 status to individuals in construction occupations, as defined in H.R. 339, may be issued, regardless of whether the employer previously petitioned for an employee in such occupation or whether that petition had been approved. This provision, too, is to be continuously effective beyond fiscal year 2017. To avoid unnecessary economic disruption, implementation of the provision barring use of CW-1 permits for construction occupations is intended to apply to pending petitions and to petitions filed on or after the date of enactment.
This division created by H.R. 339 between legacy and new workers will allow our existing construction companies to continue meeting the demand for housing and other buildings that still remains because of the destruction caused by Typhoon Soudelor in 2015 and, also, results from the overall improvement in the Marianas economy.
Enactment of H.R. 339 does not mean, however, that the Marianas economy will not have access to construction workers to supplement the local labor force. New hires for construction of developments such as the hotels and resorts now on the drawing boards in the Marianas will be--preferably--local, U.S. workers. Alternatively, however, these developments may use visa categories other than
the CW-1 to supply foreign workers. In U.S. Public Law 113-235 Congress provided the Marianas with access to an unlimited number of H-2B visas, which are specifically intended to address any temporary need for workers, such as occurs when a new hotel is built.
In fact, in order to be eligible to apply for the CW-1 permit, applicant businesses must attest that no other visa category is available. In light of the unlimited number of H-2B visas available and because the current problem stems from the use of CW-1 permits for temporary construction workers, I have on numerous occasions requested that U.S. Citizenship and Immigration Services confirm that these attestations are accurate. Enactment of H.R. 339 makes matters simpler: construction occupations are no longer eligible for CW-1 permits with the exception of renewals of permits first issued prior to fiscal 2016.
Mr. Speaker, thank you for the opportunity to provide this statement of legislative intent today to the record on H.R. 339. And thanks, again, to all my colleagues who made it possible to move forward with the Northern Mariana Islands Economic Expansion Act.