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Week Ending Friday, August 24, 1990

Statement by Press Secretary Fitzwater on the Treatment of Foreign Nationals in Iraq and Kuwait August 18, 1990

On several occasions since the Iraqi invasion and subsequent occupation of Kuwait, the President has stated publicly his interest in the well-being of American citizens and all foreign nationals in both Iraq and Kuwait. The President thus views yesterday's statement by the Speaker of Iraq's National Assembly [Sadi Mahdi], that Iraq will "play host to the citizens of these aggressive nations as long as Iraq remains threatened with an aggressive war," to be totally unacceptable. He is deeply troubled by the indication that Iraqi authorities intend to relocate these individuals within Iraq against their will. The President is also deeply concerned about today's announcement by the Government of Iraq that foreign nationals may not have access to adequate quantities of food.

The use of innocent civilians as pawns to promote what Iraq sees to be its self-interest is contrary to international law and, indeed, to all accepted norms of international conduct. We urge that Iraq immediately reconsider its refusal to allow any foreign national desiring to leave to do so without delay or condition. We would also hope that Iraq would take note of yesterday's statement by the U.N. Security Council President expressing the Council's concern and anxiety over the situation of foreign nationals in Iraq and Kuwait and calling upon the Secretary-General [Javier Perez de Cuellar de la Guerra] to take all appropriate steps. The United States intends to consult with other governments with citizens being held in Iraq and Kuwait to determine what additional measures ought to be taken.

Statement on Signing the Oil Pollution Act of 1990

August 18, 1990

I am today signing into law H.R. 1465, the "Oil Pollution Act of 1990." In May 1989 the Administration sent its comprehensive oil pollution liability and compensation legislation to the Congress in the wake of the worst marine environmental disaster this Nation has ever experienced. During this disaster 11 million gallons of oil spilled into the waters of Prince William Sound, Alaska. Since then, California, the Gulf of Mexico, the Mid-Atlantic, and New England have suffered serious oil spills.

In most respects, the Oil Pollution Act of 1990 is a responsible piece of legislation. Most important, the prevention, response, liability, and compensation components fit together into a compatible and workable system that strengthens the protection of our environment.

The Act addresses the wide-ranging problems associated with preventing, responding to, and paying for oil spills. It does so by creating a comprehensive regime for dealing with vessel and facility-caused oil pollution. It provides for greater environmental safeguards in oil transportation by: setting new standards for vessel construction, crew licensing, and manning; providing for contingency planning; enhancing Federal response capability; broadening enforcement authority; increasing penalties; and authorizing multi-agency research and development. A one billion dollar trust fund will be available to cover cleanup costs and damages not compensated by the spiller, whose financial responsibility requirements are significantly increased.

Although I am approving this legislation, I deeply regret the Act's inclusion of an unrelated provision that would place a moratorium on exploration for oil and natural

gas off the coast of North Carolina. This area, located over 38 miles offshore, is the largest potential natural gas field east of the Mississippi and could be used to offset our dependence on foreign energy sources. Much work has been done to address my environmental concerns related to exploration in this area-and it should be noted that exploration for gas this far offshore carries little environmental risk. It is shortsighted to restrict exploration for this relatively clean energy source, especially in light of our recent efforts to accommodate national and State concerns regarding the environmental effects of energy exploration and development. Such a moratorium is illadvised in view of recent events in the Persian Gulf, where I have found it necessary to deploy American soldiers 7,000 miles from home to protect our vital national interests. The moratorium contained in H.R. 1465 is highly objectionable, and my Administration will seek to repeal it.

In addition, H.R. 1465 does not implement the 1984 Protocols to the 1969 Civil Liability Convention and the 1971 Fund Convention. These oil spill treaties, if ratified, would provide our Nation with swift and assured compensation for foreign tanker oil spills and access to up to $260 million per spill from an international fund. Our failure to ratify the Protocols may weaken long-standing U.S. leadership in the development of international maritime standards.

Ultimately, the threat of oil pollution is a global challenge, and the solutions we devise must be broad enough to address the needs of all nations. Therefore, I urge the Senate to give immediate consideration to the international Protocols and give its advice and consent to ratification of these treaties.

I am concerned about another consequence of the failure to ratify the Protocols. We must work to ensure that, in response to the provisions of this Act, a situation is not created in which larger oil shippers seeking to avoid risk are replaced by smaller companies with limited assets and a reduced ability to pay for the cleanup of oil spills. We will need to monitor developments in order to protect against such undesirable consequences.

The oil industry faces many new requirements as a result of this legislation. These requirements include substantially increased financial responsibility; preparation of contingency plans; and the replacement of fleets with safer oil tankers. A balance has been sought to give the industry the flexibility to meet the requirements of the Act without incurring excessive costs.

Finally, I note that section 3004 of the bill could be construed to infringe on my constitutional authority over the conduct of diplomacy by requiring me to take certain actions with respect to international organizations. I shall construe this section consistently with the Constitution and therefore shall regard it as advisory.

In signing this landmark Act, I pledge the support of the Administration for the Oil Pollution Act of 1990, notwithstanding the concerns that I have addressed. This represents a continuation of my Administration's efforts to work with the Congress and other nations to protect the Earth's environment.

The White House,

August 18, 1990.

George Bush

Note: H.R. 1465, approved August 18, was assigned Public Law No. 101-380.

Statement on Signing the Customs and
Trade Act of 1990
August 20, 1990

I am pleased to sign into law H.R. 1594, the "Customs and Trade Act of 1990." This legislation is the culmination of many long hours of work. It was worth the effort, for the Act accomplishes a number of important goals shared by both my Administration and the Congress:

-The extension and enhancement of the Caribbean Basin Initiative, which will continue to promote economic growth and democracy in that region; -The amendment of Jackson-Vanik procedures, which will facilitate cooperation between the Executive and the

Congress to encourage reform in the Soviet Union and assist the emerging democracies of Eastern Europe; and -A new structure for U.S. customs user fees, which demonstrates our unfaltering commitment to the General Agreement on Tariffs and Trade (GATT). Furthermore, the spirit of bipartisan cooperation that this Act represents bodes well for the coming months. We head into the fall facing the challenging tasks of completing the vital Uruguay Round of global trade talks by December and then drafting implementing legislation in 1991.

The results of this Round of negotiations, held under the auspices of the GATT, can be the engine that drives the United States and world economies into the 21st century. The agreement we reach will be the ultimate competitiveness initiative. It will open new markets for American business, help reduce prices and increase choices for consumers, and secure rigorous rules of fair play in international trade.

The Customs and Trade Act of 1990, therefore, is part of the cooperative process that ultimately will result in growth, jobs, and prosperity, not only for America, but also for the world.

Let me give special mention to three vital provisions of the legislation I am signing today.

First, this legislation makes permanent and enhances the Caribbean Basin Initiative, or CBI.

Since its inception in 1983, CBI has promoted stability, security, and the movement to democracy and free markets that we now celebrate not only in this hemisphere but around the world. This legislation will foster continued economic growth and opportunity in the region.

By enacting this bill we assure investors in the Caribbean and Central America that their investments will continue to earn returns on duty-free exports indefinitely. It further extends the range of products that receive preferential duty treatment under CBI.

Because of the success of the CBI example, I announced on July 23 that I would seek legislation for limited-duration CBIlike trade preferences for the Andean coun

tries of Bolivia, Colombia, Ecuador, and Peru. This measure would assist these countries in eliminating the production of illegal drugs and promoting competitive activity in world markets. I hope that my proposal will be given rapid, favorable consideration once it is presented to the Congress.

America's security and prosperity depend in large measure on continued progress toward democracy and economic development in the Caribbean Basin.

Second, the Act will help the United States support the emerging democracies of Eastern Europe and encourage change within the Soviet Union.

It does so by amending Jackson-Vanik procedures for approval of the historic trade agreements the United States has signed with the Soviet Union and Czechoslovakia. These agreements provide for improved access to each country's markets; facilitate business by easing restrictions on commercial activities; and offer strong intellectual property protections.

By working together to gain approval for these accords, the way is paved for continued cooperation between the Administration and the Congress on future agreements with other countries subject to the JacksonVanik Amendment.

Third, the Act is another demonstration of our Nation's abiding commitment to the GATT, the international constitution of trade.

A GATT panel in 1988 adopted a finding that the structure of U.S. customs user fees violated GATT rules. This Act authorizes a new fee structure that brings us into compliance with GATT rules.

This demonstration of our dedication to GATT comes at a critical point in the Uruguay Round of global trade talks. The great trading nations of the world can choose either to open their markets sct trade can expand, and thereby create global prosperity; or, they can choose to close their markets, splinter into exclusionary trading blocs, and thereby cause dangerously diminished prosperity for all.

The United States has chosen the first path. With the cooperation and support of the Congress and the private sector, we stand committed to the successful conclu

sion of the negotiations by December and prompt implementation of the results in 1991.

H.R. 1594 also contains a set of provisions that will be helpful both to our environment and our economy. The Act makes permanent the current ban on the export of unprocessed logs taken from Federal lands west of the 100th meridian and would sharply restrict the export of such logs taken from State lands. On June 23, the U.S. Fish and Wildlife Service listed the Northern Spotted Owl as a threatened species under the terms of the Endangered Species Act. There can be no doubt that high levels of export of unprocessed timber have contributed to the decline in habitat that has caused this species to be listed. This legislation will help to address problems related to this listing decision. While I am supporting this provision because it assists in the preservation of critical habitat, I also note that it will ease the economic transition in areas affected by the listing of the spotted owl. Finally, I note that one of the provisions of H.R. 1594 warrants careful construction to avoid constitutional concerns. Under Article II, section 3 of the Constitution, the President has the discretion to determine what legislative proposals he will present to the Congress, as well as the discretion to determine the procedure he will follow in formulating a legislative proposal. Section 223(b) of this Act purports to require the President, in exercising his discretion to prepare legislative proposals on "rules of origin," to take into account a particular report and obtain the advice of various entities, including committees of the Congress. In light of the President's constitutional discretion with regard to preparing and submitting legislative proposals, I will construe this provision to be precatory rather than mandatory. As always, I will endeavor to consult with the Congress about our policy on such matters.

The White House, August 20, 1990.

George Bush

Note: H.R. 1594, approved August 20, was assigned Public Law No. 101-382.

Remarks at the Annual Conference of the Veterans of Foreign Wars in Baltimore, Maryland

August 20, 1990

Thank you so much. Please be seated. And it's a privilege to join you and a deep personal pleasure to renew old ties, greet new friends. My thanks to all of you, but especially to you, Walter Hogan-doing a great job as commander in chief. Following the likes of Larry Rivers isn't easy-we all know that-but Walter's done the VFW proud. I also know we're looking forward to the same kind of strong leadership from James Kimery. And let me offer my thanks again to another old friend, Cooper Holt, a real legend who gave so many years of service to the VFW. Cooper, we welcome you.

Next I want to thank my outstanding Veterans Secretary, fellow VFW member, Ed Derwinski. Ed's got so much going on, but I'm especially happy to see the work he's doing to improve these veterans hospitals. His Department is intent on serving you, much as you have served America.

I'm glad to see the Secretary of the Army with us today, an old friend of mine, a friend of yours, Mike Stone. And let us remember those who could not be with us. Our administration will not forget our POW's and MIA's as well as those brave men and women who gave what Lincoln termed "the last full measure of devotion."

Again, my acknowledgement to Mike Stone and also Baltimore's mayor, who courteously came to greet me, Kurt Schmoke. Glad to see you here, sir. And finally, also let me single out today's honorees, Budd Dudley and our own United Nations Ambassador, Tom Pickering, who is doing an outstanding job up there in the United Nations for the United States of America. Both Budd and Tom are being honored appropriately by you tonight.

Apologies for keeping you waiting. There are some events going on around the world. And I was on the telephone to a good friend of the United States, President Özal of Turkey, and also to another great friend of the United States, Prime Minister Thatcher of the United Kingdom. And I must say I'm proud of the support that we are all getting around the world.

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