Senate leaders say vote on PNTR could take place before summer recess

From CNN Capitol Hill Producer Dana Bash

Washington (CNN) - Senate leaders say they are close to an agreement that could pave the way for a vote to grant permanent normalized trade relations to China before Congress adjourns for summer recess.

Many Republicans are advising Senate Majority Leader Trent Lott, R-Mississippi, to hold off on scheduling a vote on the landmark trade agreement, known as PNTR, until September in order to hold on to a divisive issue for Democrats alive until just before the election.

But Senate Minority Leader Tom Daschle, D-South Dakota, who along with the White House and business groups have been urging a vote in July, says he is now confident the vote will take place before the summer recess.

"I think Senator Lott is determined to try to do that before we leave in August. And he has given me, again, his assurances as of yesterday that he will make as sincere an effort as he can to bring up PNTR prior to the time we leave," Daschle told reporters.

The key to scheduling a vote is a compromise on a controversial bill sponsored by Sen. Fred Thompson, R-Tennessee, and Sen. Robert Torricelli, D-New Jersey, that would require the president to punish China for sales of weapons of mass destruction.

Democrats and the White House oppose the non-proliferation measure because they say it singles out China and would send conflicting signals to the communist country. They also feel the legislation as written is too vague on what type of weapons it would cover, and that it ties the hands of any future president.

Following a meeting Wednesday evening of key senators and White House officials, Thompson agreed to try to re-work the legislation to make it more amenable to the administration.

Thompson could have new legislation written as early as Friday morning.

"There is going to be some non-proliferation language that accompanies PNTR. While it won't be an amendment to PNTR, it will make very clear that for all the interest in expanding trade with China, there remains considerable doubt about their proliferation cooperation," said Torricelli.

Lott has made a vote on the China non-proliferation measure key to scheduling a vote on PNTR but has always maintained PNTR will eventually pass the Senate.

"It's not a matter of if, its a matter of when," Lott said.

Thompson had originally threatened to offer his measure as an amendment to PNTR. If PNTR is amended, it would be sent back to the House for another difficult vote.

The White House and business groups have been lobbying Lott to schedule the vote before August recess because they fear the longer they wait, the greater the chances that something "unforeseen could happen" that could jeopardize what is now solid Senate support.