[Ip-health] Ex-Dallas Mayor Kirk to be USTR; Labor worried about nomination

[Sarah Rimmington]

1. Bloomberg: Ex Dallas Mayor Kirk Said to Be Obama's Trade Pick

2. The Hill: Labor worried about Mayor Kirk nomination

1. http://www.bloomberg.com/apps/news?pid=3D20601103&sid=3DaV1huzewQ4gY&ref=
er=3Dus
Ex-Dallas Mayor Kirk Said to Be Obama=92s Trade Pick (Update1)
By Mark Drajem

Dec. 18 (Bloomberg) -- Former Dallas Mayor Ron Kirk is President-elect
Barack Obama=92s choice to be U.S. Trade Representative, according to
lobbyists who have discussed the matter with transition officials.

Kirk, an early supporter and fundraiser for Obama, was a proponent of
the North American Free Trade Agreement and China=92s entry into the World
Trade Organization while he was mayor of Dallas. His appointment is
likely to be announced tomorrow, the people said. He will need to be
approved by the Senate.

Kirk, an attorney with the Dallas office of Vinson & Elkins, has little
experience in the recent political debates over trade, and little
stature in Washington or capitals around the world. He declined to
comment when reached at his Dallas office today.

As the top U.S. trade official, Kirk would lead an office of 230 people
that is responsible for negotiating global and individual trade
agreements, pressing other nations to rescind barriers to exports and
investment and litigating cases at the World Trade Organization in Geneva.

The job has gotten tougher as the American public and many members of
Congress have soured on foreign trade, with some blaming it for stagnant
wages and lost jobs.

In an unprecedented move, Democrats in Congress this year refused to
approve trade agreements that President George W. Bush negotiated with
South Korea, Colombia and Panama. They also have ramped up criticisms of
China, which is set to run up a record trade surplus with the U.S. this
year.

Hard Line

During the election campaign, Obama criticized Nafta and pledged to
renegotiate it. He also said he would take a hard line against what he
labeled as China=92s unfair trade and currency practices.

The choice is similar to Bill Clinton=92s decision to tap his campaign
chairman, Mickey Kantor, a lawyer without experience negotiating trade
agreements, for that post in 1992. Kantor spent much of his first years
in office pressing Japan to cut its trade surplus with the U.S. and also
reworking and persuading Congress to approve Nafta.

=93You can learn the subject but you can=92t learn the politics,=94 Kantor
said in an interview today. =93As U.S. trade representative you have about
14 constituencies to deal with, starting with the Congress. Someone with
a political background is the perfect kind of appointee.=94

First Black Mayor of Dallas

After working with Treasury Secretary Lloyd Bentsen and the Texas
government, Kirk was elected the first black mayor of Dallas in 1995 and
vowed to make the city the =93capital of Nafta,=94 according to news storie=
s
at that time.

As mayor he led a number of trade missions to Mexico to help Dallas
companies expand commercial ties. He stumped for a free- trade agreement
with Chile and signed a petition pushing Congress to approve legislation
to clear the way for China=92s entry into the WTO in 2000.

=93Global trade has been very good for our local economies,=94 he said at a
forum in Washington in 2000 held to prod Congress on China, according to
a transcript. The event was sponsored by the pro-business, pro-trade
Democratic Leadership Council. =93We=92ve seen expansion of our economies
due to increased trade,=94 he said.

Kirk resigned as mayor to run for Senate in 2002, but lost to Republican
John Cornyn.

Filibuster

During the primary campaign for that seat, Kirk said he was opposed to
so-called fast-track authority, which limits the ability of lawmakers to
amend or filibuster free-trade agreements. Since losing the Senate race,
he=92s been a lawyer and lobbyist in Texas, representing Southwest
Airlines Co., the Dallas Area Rapid Transit Authority and the Texas
Association of Realtors.

Obama had initially chosen California Democrat Xavier Becerra, who
worked with labor unions to try to kill the Central American Free Trade
Agreement, to be the next trade ambassador. Becerra, after weeks of
mulling the offer, turned it down.

In an interview with La Opinion, a Spanish-language newspaper in his
hometown of Los Angeles, Becerra said he didn=92t want the job because
trade was not a priority for Obama.

=93My concern is how much weight this position would have had, and I
reached the conclusion that it would not be a top priority, or even
second or third priority,=94 Becerra told the newspaper=92s editorial board=
.

While neither Kirk nor Becerra has a broad international stature such as
former USTR Robert Zoellick, Bush=92s first appointee to the job, they
share one key advantage.

=93Members of Congress, whose support he will need on a raft of trade
issues facing the new administration, are comfortable working with a
USTR who has held elected office,=94 said Cal Cohen, head of the Emergency
Committee for American Trade, which represents large U.S. exporters.
=93They see him as a fellow politician, as one of their own, which will be
a tremendous advantage.=94

To contact the reporter on this story: Mark Drajem in Washington at
mdrajem@bloomberg.net
Last Updated: December 18, 2008 15:53 EST

2. The Hill: Labor worried about Mayor Kirk nomination
By Sam Youngman
Posted: 12/18/08 03:55 PM [ET]
http://thehill.com/leading-the-news/kirk-to-be-trade-rep-2008-12-18.html

President-elect Obama's plan to nominate former Dallas Mayor Ron Kirk to
be his U.S. trade representative is a worry for organized labor.

The news comes shortly after it was learned that Obama plans to nominate
Rep. Hilda Solis (D-Calif.) to be his secretary of labor, a decision
immediately hailed by unions.

A senior Democratic official confirmed the nominations. They could come
as soon as Friday.

Kirk is a worry for labor because he does not have a record of
criticizing trade deals, according to Thea Lee, a lobbyist for the AFL-CIO.

"We want someone who will take trade in a different direction," said
Lee. "He doesn't have much of a record. That's a concern."

Kirk, a former Senate candidate, has spoken out in favor of the North
American Free Trade Agreement (NAFTA) and permanent normal trade
relations with China. Labor unions believe NAFTA and the China trade
legislation have cost the U.S. thousands of jobs.

In contrast, business appears optimistic about Kirk. Bill Lane, a
lobbyist for Caterpillar, said Kirk gets the value of trade because he
is a border-state mayor.

"As a Texas mayor, he clearly understands the importance of trade," Lane
said.

Thursday's announcements amounted to a mixed bag for labor, which was
thrilled by the Solis nomination but is worried about Kirk.

It also could be seen as a shift in fortune since Obama had been poised
to nominate Rep. Xavier Becerra (D-Calif.) as his trade representative.
Becerra voted against a controversial trade agreement with Central
American countries and has said he regretted his vote for the North
American Free Trade Agreement.

Becerra pulled out of the running for the trade post this week, telling
La Opinion that he decided to stay in Congress because trade was not
going to be a high priority for Obama.

Business and labor sources said that by effectively replacing Becerra
with Kirk, Obama replaced what was seen as a known commodity with an
unknown.

Kirk could have a full plate if he wins confirmation.

The Bush administration has negotiated trade deals with Colombia, Panama
and South Korea, but the Democratic Congress has raised objections to
all three. Obama will inherit the three deals when he takes office.

Kirk would also be faced with a global round of World Trade Organization
talks launched two months after the Sept. 11, 2001 attacks. Those
negotiations have sputtered, but could take on a new urgency as the
world economy weakens.

Ian Swanson contributed to this article.

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--
Sarah Rimmington
Attorney
Essential Action, Access to Medicines Project
Washington, DC
Tel: (202) 387-8030
Cell: (202) 422-2687
www.essentialaction.org/access/