The repeal provision was included in a large budget reconciliation bill, entitled the Deficit Reduction Act of 2005. The House approved the legislation very early Monday morning by a vote of 212-206. The Senate approved the legislation this morning by a vote of 51-50, with Vice President Cheney breaking a tie-vote in his constitutional capacity as president of the Senate.

Because the Senate voted on a slightly modified version of the legislation than that approved by the House two days before, it will have to go back to the House for a second vote (both houses of Congress must approve identical bills before it can become law). The House of Representatives may come back into session tomorrow in order to take this action, or it may wait until after the New Year. In any case, it is considered highly unlikely that the House will do anything in that final step to affect the Byrd Amendment repeal. Assuming that the House approves the version of the Act that has now been approved by the Senate, it will then go to the President, who is expected to sign it into law.

Under the leadership of Bob Bauer, AFI has been at the forefront of the repeal effort for several years. AFI has been working in close coordination with other like-minded associations, and with key Congressional officials, to get this job done. The Association’s involvement in this effort intensified over the past few weeks, including personal “political action” visits by Bob and Howard Schreiber to several Congressional offices on December 8. Many Members sent letters to Representatives and Senators in support of repeal, and many, many phone calls were made over the weekend to keep the pressure on. The general prognosis just a few short weeks ago was that the repeal movement could not survive in the face of strong political pressures to keep the Byrd Amendment in place. The naysayers were, in the end, proved wrong.

Our victory, while sweet and well-deserved, was not 100 percent complete. In order to gain the necessary votes to pass the provision, a two-year delay on repeal was approved (a reminder of why politics is often called “the art of the possible”). Under this compromise, antidumping or countervailing duties collected on entries made before October 1, 2007, will remain subject to disbursement under the Byrd Amendment. However, the most nefarious effect of the Byrd Amendment is eliminated outright; that is, the financial incentive to file an unfair trade petition.

Even with the compromise, the outcome must be considered a MAJOR victory for fair and open trade, and for this Association. Through its efforts on this issue, AFI has gained even greater visibility in our nation’s capital, and has honed its growing reputation as a “player” in national policymaking. This Association – including its member-companies, its staff and its officers – are highly commended for prescience on this issue, their dedication to this battle, and their perseverance in the face of what seemed at one time to be overwhelming odds.

The repeal of the Byrd Amendment can be expected to anger many powerful supporters of that law. Therefore, continuing vigilance is necessary to ensure that no successful efforts are mounted to “repeal the repeal.” In the meantime, all Members are invited to savor this win during the Holiday season!

We will, of course, keep Members advised of developments.