Lawmakers urge GAO review of Treasury's compliance affecting US shrimp industry

Congressman Troy E. Nehls, along with House Committee on Oversight and Accountability Chairman James Comer and Congressman Clay Higgins, has called upon the U.S. Government Accountability Office (GAO) to review the U.S. Treasury Department's adherence to legal mandates aimed at protecting American industries from international economic projects that could pose competition, specifically focusing on the shrimp industry.

This request is linked to Congressman Nehls' bipartisan initiative, the Save Our Shrimpers Act of 2024. The proposed legislation seeks to prevent federal funding from being allocated through International Financial Institutions (IFIs) for activities related to shrimp farming, processing, or exporting shrimp from foreign countries to the United States. Furthermore, it mandates an investigation by the GAO and requires annual reports to Congress on how U.S. Executive Directors at IFIs comply with USC 262(h).

"It has come to our attention that the U.S. Treasury Department may not be in compliance with statutory requirements to oppose projects seeking economic assistance before international monetary institutions that pose direct competition to American industries," stated the lawmakers in their communication. They emphasized that this role is essential "to ensure American tax dollars are not used to undermine American industries in international economic decisions while representing the United States on global financial boards like the International Monetary Fund and the World Bank."

The lawmakers highlighted concerns about past actions since 2006 where "U.S. directors have either supported or abstained from voting at least 17 times on projects involving industries that directly compete with the U.S. shrimp industry—an industry facing severe challenges due to foreign shrimp dumping." These incidents suggest potential non-compliance by the Treasury Department with existing statutes and instances of support for competing foreign industries.

To address these issues, they have requested a thorough examination by the GAO into whether the Treasury Department has fulfilled its obligations under this statute.

Read the letter HERE.