COMMITTEE REPORT

COMMITTEE MEMBERS PARTICIPATE IN FALL FORUM

The NCSL Fall Forum was held in Savannah, Georgia on December 8 - 10. Committee members discussed small business regulation, the federal Community Reinvestment Act and its effects on economic development, and state finances. The Committee also toured the historic areas of Savannah to learn more about preservation projects and how they can enhance tourism opportunities. A joint session with the Committees on Environment & Natural Resources and Labor & Workforce Development was held to discuss trade and procurement, as well as a Special Briefing on preemption that featured concerns with trade. The Committee will next meet at the Spring Forum, April 13-16, 2005 in Washington, D.C.

WORLD TRADE ORGANIZATION ISSUES DECISION ON COTTON CASE

On September 8, the World Trade Organization released its panel decision on the U.S.-Brazil cotton subsidies case. The panel found that, for marketing years 1999-2002, mandatory price-contingent U.S. farm program payments, marketing loans, and counter-cyclical and market loss assistance cause price suppression, constituting prejudice against Brazil’s interests. However, U.S. payments for production flexibility contracts and crop insurance to cotton producers were not found to cause serious prejudice against Brazil, and U.S.-recognized farm subsidy measures do not artificially increase world market share. The WTO panel report is at www.wto.org/english/news_e/news_e.htm.

DISASTER AID INCLUDES BUSINESS AND DEVELOPMENT ASSISTANCE

The Federal Funds Information for States (FFIS) reported on October 13 that a disaster assistance package was attached to the FY2005 Military Construction appropriations bill. It includes $929 million for Small Business Administration disaster relief loans. There is also $150 million for community development grants in areas affected by natural disasters designated by the President between August 31, 2003 and October 1, 2004. States must provide at least a 10% match for the community grants. President Bush signed the bill on October 13. See http://www.ffis.org/ for more details.

RURAL BROADBAND CONTINUES TO EXPAND

Business is aggressively expanding broadband internet access into rural areas. The FCC reports that 99% of Americans live in a zip code where broadband, of some form, is available. In 93% of the nation’s zip codes, people subscribe to broadband services, and 78% of the nation’s zip codes have more than one provider. About half of the small telephone companies plan to place fiber-optics by the end of 2004. Cost is the most significant barrier to wide deployment of fiber, followed by regulatory uncertainty, long loops, low customer demand, and obtaining cost-effective equipment. The most common types of broadband services are cable and DSL. More information is online at http://www.fcc.gov/.

DOMESTIC VIOLENCE SHELTERS REMAIN CONFIDENTIAL

The U.S. Department of Housing and Urban Development announced on October 15 that domestic violence shelters will not be required to divulge clients’ personal information to receive federal funding. The clarification was a response to concerns about conflicting state and federal requirements regarding privacy issues and the release of personal information about victims who may be in danger. HUD requires specific information about shelters’ clientele which is intended to document homelessness and how programs assist people - domestic violence shelters will use coded information to indicate the number of individuals served without releasing their identities.

COMMITTEE LISTSERVS TO PROMOTE STATE TO STATE COMMUNICATION

NCSL staff has established three listservs for the Committee to provide a forum for state to state information sharing, notice about federal lobbying, and information about upcoming NCSL meetings. The listservs are for economic development issues, international trade issues, and cultural policy issues. Contact Trina Caudle at trina.caudle@ncsl.org or 202-624-8695 to participate.