To amend the Clayton Act by strengthening and facilitating the carrying out of antitrust and procompetitive policies by agencies of the Federal Government, and for other purposes.

IN THE SENATE OF THE UNITED STATES

FEBRUARY 7 (legislative day, JANUARY 15), 1979

Mr. KENNEDY (for himself, Mr. HATCH, Mr. RIEGLE, Mr. DOMENICI, Mr. DANFORTH, Mr. LEVIN, and Mr. MAGNUSON) introduced the following bill; which was read twice and referred to the Committee on the Judiciary

A BILL

To amend the Clayton Act by strengthening and facilitating the carrying out of antitrust and procompetitive policies by agencies of the Federal Government, and for other purposes.

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Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 3 That this Act may be cited as the "Competition Improve

4 ments Act of 1979."

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DECLARATION OF POLICY

SEC. 2. (a) FINDINGS.-The Congress finds and de

3 clares that

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(1) this Nation is founded upon and committed to

a private enterprise system and a free market econo

my, in the belief that competition protects consumers, promotes efficiency, and spurs innovation;

(2) economic regulation by Federal agencies has at times created unnecessary losses for consumers, fostered inefficiency, and stifled innovation;

(3) Federal agencies have taken actions which are more anticompetitive than necessary to achieve statutory goals;

(4) adherence to a definitive and formal antitrust standard by Federal agencies will reduce losses to consumers, improve efficiency, and remove impediments to innovation.

(b) POLICY.-It is the purpose of this Act to reaffirm 19 that the fundamental national economic policy of the United

20 States is free and open competition by

(1) minimizing anticompetitive behavior in regulat

ed industries;

(2) establishing procedures that strengthen and facilitate the application of antitrust and procompetitive policies by Federal agencies; and

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(3) enabling Federal agencies better to restore,

maintain, and protect open and vigorous competition in

the marketplace.

ANTITRUST STANDARD FOR FEDERAL AGENCIES

5 SEC. 3. (a) Notwithstanding any other provision of law, 6 no Federal agency shall take any action, the effect of which 7 may be substantially to lessen competition, to tend to create 8 a monopoly, or to create or maintain a situation involving a 9 significant burden on competition, unless it finds that—

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(1) such action is necessary to accomplish an overriding statutory purpose of the agency;

(2) the anticompetitive effects of such action are 13 clearly outweighed by significant and reasonably cer

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tain benefits to the general public; and

(3) the objectives of the action and the overriding statutory purpose cannot be accomplished in substan

tial part by alternative means having lesser anticompetitive effects.

(b) The findings, if required by section 3(a), shall be in20 cluded in any opinion accompanying an agency order and 21 shall be included in the statement of basis and purpose incor22 porated in any rule or regulation.

23 (c) The Attorney General and the Federal Trade Com

24 mission may render advice to the agency regarding the find25 ings required by section 3(a).

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ADDITIONAL ANTITRUST REQUIREMENTS FOR CERTAIN

INDEPENDENT AGENCIES

SEC. 4. (a) Each independent regulatory agency as de

4 fined in section 8(c) of this Act, after consultation with the 5 Attorney General and within one hundred and twenty days 6 after enactment of this Act, shall establish procedures by 7 which the Attorney General will be notified of important 8 pending agency action subject to section 3(a).

9 (b) In any administrative or judicial proceeding subject 10 to section 3(a) and involving independent regulatory agen11 cies, as defined in section 8(c), the Attorney General and the 12 Federal Trade Commission may each appear as a party of 13 right.

14 (c) Each independent regulatory agency as defined in 15 section 8(c) must convene a hearing or other appropriate pro16 ceeding if, in the opinion of the Attorney General, the re17 quirements of section 3(a) have not been met and a hearing 18 has not already been held pursuant to section 553 or 556 of 19 title 5, United States Code.

20 (d) The Attorney General and the Federal Trade Com21 mission may utilize any and all powers conferred upon them 22 by any other provision of law, including the antitrust laws 23 and the Antitrust Civil Process Act (15 U.S.C. 1311), in 24 carrying out their responsibilities under this Act.