Johanns Votes to Reauthorize Ex-Im Bank, Welcomes Amendment Process

WASHINGTON – Sen. Mike Johanns (R-Neb.) today voted for legislation, H.R.2072, reauthorizing the Export-Import (Ex-Im) Bank. The legislation passed the Senate by a vote of 78-20 and will be sent to the President for his signature. The House approved the reauthorization last week by a vote of 330-93.

“This was an important, bipartisan vote supporting jobs across the country and in Nebraska,” Johanns said. “Reauthorizing the Ex-Im Bank helps level the playing field for our nation’s exporters and American workers.
“Senator Reid did the right thing by allowing amendments. I hope this will once again become the rule instead of an increasingly rare exception.”
An earlier attempt to reauthorize the bank failed in March because Senate Majority Leader Harry Reid (D-Nev.) blocked amendments. Johanns signed a letter urging Reid to allow amendments following that vote and reiterated the need for an amendment process again last week.
Importance of the Export-Import Bank:
Many foreign governments provide heavy assistance to their nation’s exporters, which manipulates foreign markets and creates and unfair disadvantage for American exporters. The Ex-Im Bank was founded in 1934 to address this disparity through the use of business loans.  The bank operates without government funding through fees and interest collected.
Close to 90 percent of the Ex-Im Bank’s transactions last year went to small businesses or their partners abroad needing assistance to purchase American-made products. The bank also supported nearly $10 million in Nebraska exports last month alone.
The bank has a borrowing cap of $100 billion, which it will reach in the next few weeks. The legislation that passed the House and Senate gradually increases that limit to $140 billion and extends the bank’s charter – which expires at the end of the month – for 3 years. Safeguards were included in the bill forcing the bank to justify all of its loans and requiring businesses to certify they will not do business with Iran.
The bank has a default rate of less than two percent and no taxpayer funds are spent by the bank. Over the past five years, the bank contributed nearly $2 billion to Treasury.