FOR IMMEDIATE RELEASE APRIL 20, 1998

Juliette Beck 415-255-7296

San Francisco--On Monday, April 20, 1998 the San Francisco Board of Supervisors voted unanimously on a resolution to oppose a far-reaching new economic pact, the Multilateral Agreement on Investment (MAI).

An increasing number of public officials and citizens' groups oppose the MAI because it will limit lawmakers' ability to design economic development policies that favor local, small, or minority owned businesses, while granting foreign investors new powers to challenge domestic laws and sue for damages in international tribunals.

A recent San Francisco Chronicle article stated, "If it (the MAI) became law in the United States, the treaty would bind local, state and federal governments to treat foreign investors the same as domestic companies. That means foreigners could challenge a whole host of San Francisco laws," (Page A22, Friday, April 10, 1998).

For example, a new S.F. ordinance requiring uniforms used by city employees to be purchased from local garment manufacturers would be illegal under the MAI.

"The MAI would effectively outlaw policies that protect local businesses, workers, human rights, the environment, and regulate foreign corporations operating in our communities. Under the MAI, local governments' ability to ensure corporate accountability is severely handcuffed," said Supervisor Tom Ammiano. The vote signifies a growing resistance to global economic policies that grant more rights to multinational corporations without enforceable social and environmental standards and respect for local autonomy.

Juliette Beck, coordinator of the California Fair Trade Campaign, helped galvanize support for the anti-MAI resolution as part of a nationwide, grassroots effort to inform the public and decision makers about the undemocratic nature of the proposed treaty. "The MAI-- an agreement written by and for multinational corporations- is clearly at odds with local economic development policies. Cities and counties everywhere, like San Francisco, should become 'MAI-free zones,'" she said.

The U.S. and 28 industrialized countries are currently negotiating the MAI at the Organization for Economic Cooperation and Development (OECD) in Paris, France. The deadline for completing the MAI has been set for April 27 and 28, the date of the OECD's annual meeting, but with growing political opposition, the outcome of the April meeting is uncertain.

More information on the MAI can be found at the following web sites:
www.citizen.org; www.rtk.net/preamble
www.westgov.org/wga/publicat/maiweb.htm