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Lawmakers may call Bush's bluff on ports deal

Legislation in works to keep UAE firm out of U.S. ports

DP World Chairman Sultan Bin Sulayem says he has "no doubt" Congress will approve the takeover.

Key questions about the ports deal

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• Ports deal timeline

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WASHINGTON (CNN) -- In what would be a veto challenge to President Bush, House members have introduced or are planning legislation to stop a United Arab Emirates-controlled firm from taking over operations at some U.S. ports.

Rep. Jerry Lewis of California, chairman of the House Appropriations Committee, said he was working with other GOP leaders to amend the $70 billion Iraq war-spending bill to include language that addresses security concerns raised by the deal. He did not elaborate Tuesday in his statement.

Meanwhile, Rep. Duncan Hunter, R-California, chairman of the House Armed Services Committee, introduced a bill Tuesday that would prohibit foreign ownership of "critical infrastructure," including the six cargo terminals at the center of the controversy.

DP World, a Dubai government-controlled firm, is attempting to acquire Britain-based P&O operations at U.S. terminals as part of a $6.8 billion deal. (Questions about the deal answered)

President Bush has said he would veto any legislation blocking the deal, saying it would send the wrong signal to an Arab ally in the war on terror. It would be Bush's first use of the veto power in his five years as president.

Opponents of the takeover say that DP World should not operate terminals at U.S. ports because the United Arab Emirates has had questionable ties to terrorism.

DP World Chairman Sultan Bin Sulayem expressed confidence Tuesday that the transaction will pass congressional muster and reiterated that security is a primary concern of the company.

Senate Minority Leader Harry Reid, D-Nevada, on Tuesday accused the White House of being "asleep at the switch" when it approved the purchase.

"This is an issue that the American people identify with," he said. "Members of Congress identify with it, both Democrats and Republicans." (Watch how Democrats have blasted the proposal -- 4:32)

About 75 percent of all cargo containers entering the United States go through terminals operated by foreign companies.

In defending his bill to prevent foreign ownership of U.S. infrastructure and expressing his opposition to the ports deal, Hunter has said that the UAE as ignored American pleas that it stop shipping nuclear technology through its ports as recently as 2003.

Hunter added that he didn't think the White House had this information and that the Committee on Foreign Investment in the United States, which officially approved the deal, gave security matters only "a very superficial look."

"The president is a good man," Hunter said. "National security is his strong suit, and I don't think that he had the information about these transfers."

Under intense political pressure, DP World recently agreed to delay any takeover of P&O's American port operations until a 45-day security review can be conducted. (Watch why a DP World exec believes his company can meet American security standards -- 12:10)

Bin Sulayem said he has "no doubt" that the 45-day review will allay congressional concerns. And while Sulayem said he appreciates scrutiny from lawmakers, he also said Congress doesn't thoroughly understand the particulars of the deal, "even though the White House does."

"I think this 45 days that we have volunteered for review is a good chance for all of us," Bin Sulayem said. "I think by the end of this they'll realize there is no fear, no worry about security. Security is a very important thing for us."

Two top Republicans have submitted proposals to the White House in hopes of ending the controversy.

New York Rep. Peter King, the Republican chairman of the House Homeland Security Committee, has floated a proposal under which DP World would subcontract operations at the terminals to U.S. companies. DP World still would get the profits, but would have access to no security information.

Sen. Susan Collins, R-Maine, chairwoman of the Senate Homeland Security and Governmental Affairs Committee, has put forth a similar proposal.

"The ports are our weakest vulnerability, no matter what," King said. "They would especially be if we are not absolutely assured of full security from the company maintaining and operating those ports."

White House spokesman Scott McClellan said administration officials are involved in ongoing discussions with lawmakers and DP World over the deal, "And we will continue to work with members to make sure that they have the information they need and that they have the facts that they need so that they have a greater understanding of this transaction."

With congressional elections approaching in November, Democrats have been using the issue to take swings at the Bush administration and its GOP allies in Congress.

CNN's Deirdre Walsh contributed to this report.