58. Memorandum From the Executive Director of the Council on International Economic Policy (Eberle) to the President’s Assistant for Legislative Affairs (Timmons) and the President’s Deputy Assistant for National Security Affairs (Scowcroft)1

Attached is a resolution to the procedural problem in Jackson/Vanik which is acceptable to the Senators involved—provided that it is acceptable to the President. If it is not acceptable to the President this is a non-paper.

If it is acceptable, the Senators would like to resolve this with the President Friday morning2 (Jackson leaves town for the recess at 2 PM). To resolve this it will be necessary to:

1. Sign and exchange the letters

2. Issue a public statement that the principles of agreement on procedures are as outlined herein.

We need to promptly get a Presidential decision on this matter.3

[Page 162]


Principles of Agreement on Proposed Waiver of JacksonVanik Amendment

1. 18-month authority in trade bill to waive JacksonVanik amendment on determination and report to Congress that waiver with respect to any country will substantially promote the objectives of the JacksonVanik amendment (trade bill section 402).

2. After the 18 months, the waiver authority shall be renewable only upon adoption of a concurrent resolution extending the authority for one year. If an extension is desired, a request shall be made by the President no later than 30 days prior to expiration of the 18-month period.

3. In the event that the Congress has not acted by the end of the 18-month period, the President may extend the waiver authority for up to 60 days after the end of the 18-month period.

4. In the event that Congress fails within 60 days after the expiration of the 18-month period to adopt a concurrent resolution on the issue of extending the authority, the authority will nevertheless continue in force unless either House of Congress (within 904 calendar days of the expiration of the 60-day period) passes a simple resolution of disapproval of the continuation of the waiver authority.

5. The waiver may be further extended by executive order at one year intervals upon a Presidential determination and report to Congress that such extension will substantially promote the objectives of the JacksonVanik amendment, provided neither House of Congress (within 905 calendar days of the issuance of the executive order) adopts a resolution of disapproval of the extension.

6. The statutory language to implement this proposal shall permit the concurrent resolution or the simple resolution of disapproval to exclude one or more countries from the extensions of the waiver authority. In addition, the concurrent and simple resolutions provided in the draft shall include procedures designed to expedite a vote by each House of Congress.

7. The statutory language of the proposed amendment will be drafted in concert by the Congressional and Executive Branch staff and [Page 163] an agreed statement of legislative intent reflecting the procedures outlined herein will be formulated and made part of the record.

  1. Source: National Archives, RG 59, Lot File 81D286, Records of the Office of the Counselor, Box 8, Trade Bill, Sept–Dec 1974. No classification marking. According to an attached note, Scowcroft forwarded this copy of the memorandum to Sonnenfeldt on October 17 “per our telephone conversation at 7:15 p.m.” The President’s copy of the attached paper, as revised during his meeting with Jackson, Javits, and Ribicoff on October 18, is in Ford Library, White House Central Files, Subject File, 1974–1977, TA Executive. Ford returned his copy to Scowcroft after the meeting. Ford’s revisions to the paper are noted in the footnotes below.
  2. October 18. See Document 59.
  3. In a memorandum to the President on October 17, Cheney reported: “Per your approval yesterday, Timmons is prepared to set up a meeting for you with Senators Jackson, Javits and Ribicoff on a possible compromise on the Trade Bill. Prior to that meeting, Secretary Kissinger needs to brief you on the substantive compromise proposal. If you approve the proposal, the meeting can be held Friday morning. If you disapprove the proposal there is no need for a meeting at this time. The pressure for a meeting is due in part to Senator Javits’ desire to reach an agreement prior to the election and also to the pressure from Senator Jackson for a quick agreement.” (National Archives, RG 59, Lot File 81D286, Records of the Office of the Counselor, Box 8, Trade Bill, Sept–Dec 1974)
  4. “90” was crossed out here on Ford’s copy of the paper and changed to “45.”
  5. “90” was crossed out here on Ford’s copy of the paper and changed to “60.”