[Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[H.J. Res. 63 Enrolled Bill (ENR)]
H.J.Res.63
One Hundred Eighth Congress
of the
United States of America
AT THE FIRST SESSION
Begun and held at the City of Washington on Tuesday,
the seventh day of January, two thousand and three
Joint Resolution
To approve the Compact of Free Association, as amended, between the
Government of the United States of America and the Government of the
Federated States of Micronesia, and the Compact of Free Association, as
amended, between the Government of the United States of America and the
Government of the Republic of the Marshall Islands, and to appropriate
funds to carry out the amended Compacts.
Whereas the United States (in accordance with the Trusteeship Agreement
for the Trust Territory of the Pacific Islands, the United Nations
Charter, and the objectives of the international trusteeship system
of the United Nations) fulfilled its obligations to promote the
development of the people of the Trust Territory toward self-
government or independence as appropriate to the particular
circumstances of the Trust Territory and its peoples and the freely
expressed wishes of the peoples concerned;
Whereas the United States, the Federated States of Micronesia, and the
Republic of the Marshall Islands entered into the Compact of Free
Association set forth in title II of Public Law 99-239, January 14,
1986, 99 Stat. 1770, to create and maintain a close and mutually
beneficial relationship;
Whereas the United States, in accordance with section 231 of the
Compact of Free Association entered into negotiations with the
Governments of the Federated States of Micronesia and the Republic of
the Marshall Islands to provide continued United States assistance
and to reaffirm its commitment to this close and beneficial
relationship; and
Whereas these negotiations, in accordance with section 431 of the
Compact, resulted in the ``Compact of Free Association, as amended
between the Government of the United States of America and the
Government of the Federated States of Micronesia'', and the ``Compact
of Free Association, as amended between the Government of the United
States of America and the Government of the Republic of the Marshall
Islands'', which, together with their related agreements, were signed
by the Government of the United States and the Governments of the
Federated States of Micronesia and the Republic of the Marshall
Islands on May 14, and April 30, 2003, respectively: Now, therefore,
be it
Resolved by the Senate and House of Representatives of the United
States of America in Congress assembled,
SECTION 1. SHORT TITLE AND TABLE OF CONTENTS.
(a) Short Title.--This joint resolution, together with the table of
contents in subsection (b) of this section, may be cited as the
``Compact of Free Association Amendments Act of 2003''.
(b) Table of Contents.--The table of contents for this joint
resolution is as follows:
Sec. 1. Short title and table of contents.
TITLE I--APPROVAL OF U.S.-FSM COMPACT AND U.S.-RMI COMPACT;
INTERPRETATION OF, AND U.S. POLICIES REGARDING, U.S.-FSM COMPACT AND
U.S.-RMI COMPACT; SUPPLEMENTAL PROVISIONS
Sec. 101. Approval of U.S.-FSM Compact of Free Association and the U.S.-
RMI Compact of Free Association; references to subsidiary
agreements or separate agreements.
(a) Federated States of Micronesia.
(b) Republic of the Marshall Islands.
(c) References to the Compact, the U.S.-FSM Compact and the U.S.-RMI
Compact; References to Subsidiary Agreements or Separate
Agreements.
(d) Amendment, Change, or Termination in the U.S.-FSM Compact, the
U.S.-RMI Compact and Certain Agreements.
(e) Subsidiary Agreements Deemed Bilateral.
(f) Entry Into Force of Future Amendments to Subsidiary Agreements.
Sec. 102. Agreements With Federated States of Micronesia.
(a) Law Enforcement Assistance.
(b) Agreement on Audits.
Sec. 103. Agreements With and Other Provisions Related to the Republic
of the Marshall Islands.
(a) Law Enforcement Assistance.
(b) EJIT.
(c) Section 177 Agreement.
(d) Nuclear Test Effects.
(e) Espousal Provisions.
(f) DOE Radiological Health Care Program; USDA Agricultural and Food
Programs.
(g) Rongelap.
(h) Four Atoll Health Care Program.
(i) Enjebi Community Trust Fund.
(j) Bikini Atoll Cleanup.
(k) Agreement on Audits.
(l) Kwajalein.
Sec. 104. Interpretation of and United States Policy Regarding U.S.-FSM
Compact and U.S.-RMI Compact.
(a) Human Rights.
(b) Immigration and Passport Security.
(c) Nonalienation of Lands.
(d) Nuclear Waste Disposal.
(e) Impact of the U.S.-FSM Compact and the U.S.-RMI Compact on the
State of Hawaii, Guam, the Commonwealth of the Northern
Mariana Islands and American Samoa; Related Authorization and
Continuing Appropriation.
(f) Foreign Loans.
(g) Sense of Congress Concerning Funding of Public Infrastructure.
(h) Reports and Reviews.
(i) Construction of Section 141(f).
(j) Inflation Adjustment.
(k) Participation by Secondary Schools in the Armed Services
Vocational Aptitude Battery (ASVAB) Student Testing Program.
Sec. 105. Supplemental Provisions.
(a) Domestic Program Requirements.
(b) Relations With the Federated States of Micronesia and the
Republic of the Marshall Islands.
(c) Continuing Trust Territory Authorization.
(d) Survivability.
(e) Noncompliance Sanctions; Actions Incompatible With United States
Authority.
(f) Continuing Programs and Laws.
(g) College of Micronesia.
(h) Trust Territory Debts to U.S. Federal Agencies.
(i) Judicial Training.
(j) Technical Assistance.
(k) Prior Service Benefits Program.
(l) Indefinite Land Use Payments.
(m) Communicable Disease Control Program.
(n) User Fees.
(o) Treatment of Judgments of Courts of the Federated States of
Micronesia, the Republic of the Marshall Islands, and the
Republic of Palau.
(p) Establishment of Trust Funds; Expedition of Process.
Sec. 106. Construction Contract Assistance.
(a) Assistance to U.S. Firms.
(b) Authorization of Appropriations.
Sec. 107. Prohibition.
Sec. 108. Compensatory Adjustments.
(a) Additional Programs and Services.
(b) Further Amounts.
Sec. 109. Authorization and Continuing Appropriation.
Sec. 110. Payment of Citizens of the Federated States of Micronesia, the
Republic of the Marshall Islands, and the Republic of Palau
Employed by the Government of the United States in the
Continental United States.
TITLE II--COMPACTS OF FREE ASSOCIATION WITH THE FEDERATED STATES OF
MICRONESIA AND THE REPUBLIC OF THE MARSHALL ISLANDS
Sec. 201. Compacts of Free Association, as Amended Between the
Government of the United States of America and the Government
of the Federated States of Micronesia and Between the
Government of the United States of America and the Government
of the Republic of the Marshall Islands.
(a) Compact of Free Association, as Amended, Between the Government
of the United States of America and the Government of the
Federated States of Micronesia.
Title One--Governmental Relations
Article I--Self-Government.
Article II--Foreign Affairs.
Article III--Communications.
Article IV--Immigration.
Article V--Representation.
Article VI--Environmental Protection.
Article VII--General Legal Provisions.
Title Two--Economic Relations
Article I--Grant Assistance.
Article II--Services and Program Assistance.
Article III--Administrative Provisions.
Article IV--Trade.
Article V--Finance and Taxation.
Title Three--Security and Defense Relations
Article I--Authority and Responsibility.
Article II--Defense Facilities and Operating Rights.
Article III--Defense Treaties and International Security Agreements.
Article IV--Service in Armed Forces of the United States.
Article V--General Provisions.
Title Four--General Provisions
Article I--Approval and Effective Date.
Article II--Conference and Dispute Resolution.
Article III--Amendment.
Article IV--Termination.
Article V--Survivability.
Article VI--Definition of Terms.
Article VII--Concluding Provisions.
(b) Compact of Free Association, as Amended, Between the Government
of the United States of America and the Government of the
Republic of the Marshall Islands.
Title One--Governmental Relations
Article I--Self-Government.
Article II--Foreign Affairs.
Article III--Communications.
Article IV--Immigration.
Article V--Representation.
Article VI--Environmental Protection.
Article VII--General Legal Provisions.
Title Two--Economic Relations
Article I--Grant Assistance.
Article II--Services and Program Assistance.
Article III--Administrative Provisions.
Article IV--Trade.
Article V--Finance and Taxation.
Title Three--Security and Defense Relations
rticle I--Authority and Responsibility.
Article II--Defense Facilities and Operating Rights.
Article III--Defense Treaties and International Security Agreements.
Article IV--Service in Armed Forces of the United States.
Article V--General Provisions.
Title Four--General Provisions
Article I--Approval and Effective Date.
Article II--Conference and Dispute Resolution.
Article III--Amendment.
Article IV--Termination.
Article V--Survivability.
Article VI--Definition of Terms.
Article VII--Concluding Provisions.
TITLE I--APPROVAL OF U.S.-FSM COMPACT AND U.S.-RMI COMPACT;
INTERPRETATION OF, AND U.S. POLICIES REGARDING, U.S.-FSM COMPACT AND
U.S.-RMI COMPACT; SUPPLEMENTAL PROVISIONS
SEC. 101. APPROVAL OF U.S.-FSM COMPACT OF FREE ASSOCIATION AND THE
U.S.-RMI COMPACT OF FREE ASSOCIATION; REFERENCES TO
SUBSIDIARY AGREEMENTS OR SEPARATE AGREEMENTS.
(a) Federated States of Micronesia.--The Compact of Free
Association, as amended with respect to the Federated States of
Micronesia and signed by the United States and the Government of the
Federated States of Micronesia and set forth in Title II (section
201(a)) of this joint resolution, is hereby approved, and Congress
hereby consents to the subsidiary agreements and amended subsidiary
agreements listed in section 462 of the U.S.-FSM Compact. Subject to
the provisions of this joint resolution, the President is authorized to
agree, in accordance with section 411 of the U.S.-FSM Compact, to an
effective date for and thereafter to implement such U.S.-FSM Compact.
(b) Republic of the Marshall Islands.--The Compact of Free
Association, as amended with respect to the Republic of the Marshall
Islands and signed by the United States and the Government of the
Republic of the Marshall Islands and set forth in Title II (section
201(b)) of this joint resolution, is hereby approved, and Congress
hereby consents to the subsidiary agreements and amended subsidiary
agreements listed in section 462 of the U.S.-RMI Compact. Subject to
the provisions of this joint resolution, the President is authorized to
agree, in accordance with section 411 of the U.S.-RMI Compact, to an
effective date for and thereafter to implement such U.S.-RMI Compact.
(c) References to the Compact, the U.S.-FSM Compact, and the U.S.-
RMI Compact; References to Subsidiary Agreements or Separate
Agreements.--
(1) Any reference in this joint resolution (except references
in Title II) to ``the Compact'' shall be treated as a reference to
the Compact of Free Association set forth in title II of Public Law
99-239, January 14, 1986, 99 Stat. 1770. Any reference in this
joint resolution to the ``U.S.-FSM Compact'' shall be treated as a
reference to the Compact of Free Association, as amended between
the Government of the United States of America and the Government
of the Federated States of Micronesia and set forth in Title II
(section 201(a)) of this joint resolution. Any reference in this
joint resolution to the ``U.S.-RMI Compact'' shall be treated as a
reference to the Compact of Free Association, as amended between
the Government of the United States of America and the Government
of the Republic of the Marshall Islands and set forth in Title II
(section 201(b)) of this joint resolution.
(2) Any reference to the term ``subsidiary agreements'' or
``separate agreements'' in this joint resolution shall be treated
as a reference to agreements listed in section 462 of the U.S.-FSM
Compact and the U.S.-RMI Compact, and any other agreements that the
United States may from time to time enter into with either the
Government of the Federated States of Micronesia or the Government
of the Republic of the Marshall Islands, or with both such
governments in accordance with the provisions of the U.S.-FSM
Compact and the U.S.-RMI Compact.
(d) Amendment, Change, or Termination in the U.S.-FSM Compact and
U.S.-RMI Compact and Certain Agreements.--
(1) Any amendment, change, or termination by mutual agreement
or by unilateral action of the Government of the United States of
all or any part of the U.S.-FSM Compact or U.S.-RMI Compact shall
not enter into force until after Congress has incorporated it in an
Act of Congress.
(2) The provisions of paragraph (1) shall apply--
(A) to all actions of the Government of the United States
under the U.S.-FSM Compact or U.S.-RMI Compact including, but
not limited to, actions taken pursuant to sections 431, 441, or
442;
(B) to any amendment, change, or termination in the
Agreement Between the Government of the United States and the
Government of the Federated States of Micronesia Regarding
Friendship, Cooperation and Mutual Security Concluded Pursuant
to Sections 321 and 323 of the Compact of Free Association
referred to in section 462(a)(2) of the U.S.-FSM Compact and
the Agreement Between the Government of the United States and
the Government of the Marshall Islands Regarding Mutual
Security Concluded Pursuant to Sections 321 and 323 of the
Compact of Free Association referred to in section 462(a)(5) of
the U.S.-RMI Compact;
(C) to any amendment, change, or termination of the
agreements concluded pursuant to Compact section 177, and
section 215(a) of the U.S.-FSM Compact and section 216(a) of
the U.S.-RMI Compact, the terms of which are incorporated by
reference into the U.S.-FSM Compact and the U.S.-RMI Compact;
and
(D) to the following subsidiary agreements, or portions
thereof:
(i) Articles III, IV, and X of the agreement referred
to in section 462(b)(6) of the U.S.-RMI Compact.
(ii) Article III and IV of the agreement referred to in
section 462(b)(6) of the U.S.-FSM Compact.
(iii) Articles VI, XV, and XVII of the agreement
referred to in section 462(b)(7) of the U.S.-FSM Compact
and U.S.-RMI Compact.
(e) Subsidiary Agreements Deemed Bilateral.--For purposes of
implementation of the U.S.-FSM Compact and the U.S.-RMI Compact and
this joint resolution, the Agreement Concluded Pursuant to Section 234
of the Compact of Free Association and referred to in section 462(a)(1)
of the U.S.-FSM Compact and section 462(a)(4) of the U.S.-RMI Compact
shall be deemed to be a bilateral agreement between the United States
and each other party to such subsidiary agreement. The consent or
concurrence of any other party shall not be required for the
effectiveness of any actions taken by the United States in conjunction
with either the Federated States of Micronesia or the Republic of the
Marshall Islands which are intended to affect the implementation,
modification, suspension, or termination of such subsidiary agreement
(or any provision thereof) as regards the mutual responsibilities of
the United States and the party in conjunction with whom the actions
are taken.
(f) Entry Into Force of Future Amendments to Subsidiary
Agreements.--No agreement between the United States and the government
of either the Federated States of Micronesia or the Republic of the
Marshall Islands which would amend, change, or terminate any subsidiary
agreement or portion thereof, other than those set forth in subsection
(d) of this section shall enter into force until 90 days after the
President has transmitted such agreement to the President of the Senate
and the Speaker of the House of Representatives together with an
explanation of the agreement and the reasons therefor. In the case of
the agreement referred to in section 462(b)(3) of the U.S.-FSM Compact
and the U.S.-RMI Compact, such transmittal shall include a specific
statement by the Secretary of Labor as to the necessity of such
amendment, change, or termination, and the impact thereof.
SEC. 102. AGREEMENTS WITH FEDERATED STATES OF MICRONESIA.
(a) Law Enforcement Assistance.--Pursuant to sections 222 and 224
of the U.S.-FSM Compact, the United States shall provide non-
reimbursable technical and training assistance as appropriate,
including training and equipment for postal inspection of illicit drugs
and other contraband, to enable the Government of the Federated States
of Micronesia to develop and adequately enforce laws of the Federated
States of Micronesia and to cooperate with the United States in the
enforcement of criminal laws of the United States. Funds appropriated
pursuant to section 105(j) of this title may be used to reimburse State
or local agencies providing such assistance.
(b) Agreement on Audits.--The Comptroller General (and his duly
authorized representatives) shall have the authorities necessary to
carry out his responsibilities under section 232 of the U.S.-FSM
Compact and the agreement referred to in section 462(b)(4) of the U.S.-
FSM Compact, including the following authorities:
(1) General authority of the comptroller general to audit.--
(A) The Comptroller General of the United States (and his
duly authorized representatives) shall have the authority to
audit--
(i) all grants, program assistance, and other
assistance provided to the Government of the Federated
States of Micronesia under Articles I and II of Title Two
of the U.S.-FSM Compact; and
(ii) any other assistance provided by the Government of
the United States to the Government of the Federated States
of Micronesia.
Such authority shall include authority for the Comptroller
General to conduct or cause to be conducted any of the audits
provided for in section 232 of the U.S.-FSM Compact. The
authority provided in this paragraph shall continue for at
least three years after the last such grant has been made or
assistance has been provided.
(B) The Comptroller General (and his duly authorized
representatives) shall also have authority to review any audit
conducted by or on behalf of the Government of the United
States. In this connection, the Comptroller General shall have
access to such personnel and to such records, documents,
working papers, automated data and files, and other information
relevant to such review.
(2) Comptroller general access to records.--
(A) In carrying out paragraph (1), the Comptroller General
(and his duly authorized representatives) shall have such
access to the personnel and (without cost) to records,
documents, working papers, automated data and files, and other
information relevant to such audits. The Comptroller General
may duplicate any such records, documents, working papers,
automated data and files, or other information relevant to such
audits.
(B) Such records, documents, working papers, automated data
and files, and other information regarding each such grant or
other assistance shall be maintained for at least five years
after the date such grant or assistance was provided and in a
manner that permits such grants, assistance, and payments to be
accounted for distinct from any other funds of the Government
of the Federated States of Micronesia.
(3) Status of comptroller general representatives.--The
Comptroller General and his duly authorized representatives shall
be immune from civil and criminal process relating to words spoken
or written and all acts performed by them in their official
capacity and falling within their functions, except insofar as such
immunity may be expressly waived by the Government of the United
States. The Comptroller General and his duly authorized
representatives shall not be liable to arrest or detention pending
trial, except in the case of a grave crime and pursuant to a
decision by a competent judicial authority, and such persons shall
enjoy immunity from seizure of personal property, immigration
restrictions, and laws relating to alien registration,
fingerprinting, and the registration of foreign agents. Such
persons shall enjoy the same taxation exemptions as are set forth
in Article 34 of the Vienna Convention on Diplomatic Relations. The
privileges, exemptions and immunities accorded under this paragraph
are not for the personal benefit of the individuals concerned but
are to safeguard the independent exercise of their official
functions. Without prejudice to those privileges, exemptions and
immunities, it is the duty of all such persons to respect the laws
and regulations of the Government of the Federated States of
Micronesia.
(4) Audits defined.--As used in this subsection, the term
``audits'' includes financial, program, and management audits,
including determining--
(A) whether the Government of the Federated States of
Micronesia has met the requirements set forth in the U.S.-FSM
Compact, or any related agreement entered into under the U.S.-
FSM Compact, regarding the purposes for which such grants and
other assistance are to be used; and
(B) the propriety of the financial transactions of the
Government of the Federated States of Micronesia pursuant to
such grants or assistance.
(5) Cooperation by federated states of micronesia.--The
Government of the Federated States of Micronesia will cooperate
fully with the Comptroller General of the United States in the
conduct of such audits as the Comptroller General determines
necessary to enable the Comptroller General to fully discharge his
responsibilities under this joint resolution.
SEC. 103. AGREEMENTS WITH AND OTHER PROVISIONS RELATED TO THE REPUBLIC
OF THE MARSHALL ISLANDS.
(a) Law Enforcement Assistance.--Pursuant to sections 222 and 224
of the U.S.-RMI Compact, the United States shall provide non-
reimbursable technical and training assistance as appropriate,
including training and equipment for postal inspection of illicit drugs
and other contraband, to enable the Government of the Marshall Islands
to develop and adequately enforce laws of the Marshall Islands and to
cooperate with the United States in the enforcement of criminal laws of
the United States. Funds appropriated pursuant to section 105(j) of
this title may be used to reimburse State or local agencies providing
such assistance.
(b) Ejit.--
(1) In the joint resolution of January 14, 1986 (Public Law 99-
239) Congress provided that the President of the United States
shall negotiate with the Government of the Marshall Islands an
agreement whereby, without prejudice as to any claims which have
been or may be asserted by any party as to rightful title and
ownership of any lands on Ejit, the Government of the Marshall
Islands shall assure that lands on Ejit used as of January 1, 1985,
by the people of Bikini, will continue to be available without
charge for their use, until such time as Bikini is restored and
inhabitable and the continued use of Ejit is no longer necessary,
unless a Marshall Islands court of competent jurisdiction finally
determines that there are legal impediments to continued use of
Ejit by the people of Bikini.
(2) In the joint resolution of January 14, 1986 (Public Law 99-
239) Congress provided that if the impediments described in
paragraph (1) do arise, the United States will cooperate with the
Government of the Marshall Islands in assisting any person
adversely affected by such judicial determination to remain on
Ejit, or in locating suitable and acceptable alternative lands for
such person's use.
(3) In the joint resolution of January 14, 1986 (Public Law 99-
239) Congress provided that paragraph (1) shall not be applied in a
manner which would prevent the Government of the Marshall Islands
from acting in accordance with its constitutional processes to
resolve title and ownership claims with respect to such lands or
from taking substitute or additional measures to meet the needs of
the people of Bikini with their democratically expressed consent
and approval.
(c) Section 177 Agreement.--
(1) In the joint resolution of January 14, 1986 (Public Law 99-
239) Congress provided that in furtherance of the purposes of
Article I of the Subsidiary Agreement for Implementation of Section
177 of the Compact, the payment of the amount specified therein
shall be made by the United States under Article I of the Agreement
between the Government of the United States and the Government of
the Marshall Islands for the Implementation of section 177 of the
Compact (hereafter in this subsection referred to as the ``Section
177 Agreement'') only after the Government of the Marshall Islands
has notified the President of the United States as to which
investment management firm has been selected by such Government to
act as Fund Manager under Article I of the Section 177 Agreement.
(2) In the joint resolution of January 14, 1986 (Public Law 99-
239) Congress provided that in the event that the President
determines that an investment management firm selected by the
Government of the Marshall Islands does not meet the requirements
specified in Article I of the Section 177 Agreement, the United
States shall invoke the conference and dispute resolution
procedures of Article II of Title Four of the Compact. Pending the
resolution of such a dispute and until a qualified Fund Manager has
been designated, the Government of the Marshall Islands shall place
the funds paid by the United States pursuant to Article I of the
Section 177 Agreement into an interest-bearing escrow account. Upon
designation of a qualified Fund Manager, all funds in the escrow
account shall be transferred to the control of such Fund Manager
for management pursuant to the Section 177 Agreement.
(3) In the joint resolution of January 14, 1986 (Public Law 99-
239) Congress provided that if the Government of the Marshall
Islands determines that some other investment firm should act as
Fund Manager in place of the firm first (or subsequently) selected
by such Government, the Government of the Marshall Islands shall so
notify the President of the United States, identifying the firm
selected by such Government to become Fund Manager, and the
President shall proceed to evaluate the qualifications of such
identified firm.
(4) In the joint resolution of January 14, 1986 (Public Law 99-
239) Congress provided that at the end of 15 years after the
effective date of the Compact, the firm then acting as Fund Manager
shall transfer to the Government of the Marshall Islands, or to
such account as such Government shall so notify the Fund Manager,
all remaining funds and assets being managed by the Fund Manager
under the Section 177 Agreement.
(d) Nuclear Test Effects.--In the joint resolution of January 14,
1986 (Public Law 99-239) Congress provided that in approving the
Compact, the Congress understands and intends that the peoples of
Bikini, Enewetak, Rongelap, and Utrik, who were affected by the United
States nuclear weapons testing program in the Marshall Islands, will
receive the amounts of $75,000,000 (Bikini); $48,750,000 (Enewetak);
$37,500,000 (Rongelap); and $22,500,000 (Utrik), respectively, which
amounts shall be paid out of proceeds from the fund established under
Article I, section 1 of the subsidiary agreement for the implementation
of section 177 of the Compact. The amounts specified in this subsection
shall be in addition to any amounts which may be awarded to claimants
pursuant to Article IV of the subsidiary agreement for the
implementation of Section 177 of the Compact.
(e) Espousal Provisions.--
(1) In the joint resolution of January 14, 1986 (Public Law 99-
239) Congress provided that it is the intention of the Congress of
the United States that the provisions of section 177 of the Compact
of Free Association and the Agreement between the Government of the
United States and the Government of the Marshall Islands for the
Implementation of Section 177 of the Compact (hereafter in this
subsection referred to as the ``Section 177 Agreement'') constitute
a full and final settlement of all claims described in Articles X
and XI of the Section 177 Agreement, and that any such claims be
terminated and barred except insofar as provided for in the Section
177 Agreement.
(2) In the joint resolution of January 14, 1986 (Public Law 99-
239) Congress provided that in furtherance of the intention of
Congress as stated in paragraph (1) of this subsection, the Section
177 Agreement is hereby ratified and approved. It is the explicit
understanding and intent of Congress that the jurisdictional
limitations set forth in Article XII of such Agreement are enacted
solely and exclusively to accomplish the objective of Article X of
such Agreement and only as a clarification of the effect of Article
X, and are not to be construed or implemented separately from
Article X.
(f) DOE Radiological Health Care Program; USDA Agricultural and
Food Programs.--
(1) Marshall islands program.--Notwithstanding any other
provision of law, upon the request of the Government of the
Republic of the Marshall Islands, the President (either through an
appropriate department or agency of the United States or by
contract with a United States firm) shall continue to provide
special medical care and logistical support thereto for the
remaining members of the population of Rongelap and Utrik who were
exposed to radiation resulting from the 1954 United States thermo-
nuclear ``Bravo'' test, pursuant to Public Laws 95-134 and 96-205.
(2) Agricultural and food programs.--
(A) In general.--In the joint resolution of January 14,
1986 (Public Law 99-239) Congress provided that notwithstanding
any other provision of law, upon the request of the Government
of the Marshall Islands, for the first fifteen years after the
effective date of the Compact, the President (either through an
appropriate department or agency of the United States or by
contract with a United States firm or by a grant to the
Government of the Republic of the Marshall Islands which may
further contract only with a United States firm or a Republic
of the Marshall Islands firm, the owners, officers and majority
of the employees of which are citizens of the United States or
the Republic of the Marshall Islands) shall provide technical
and other assistance--
(i) without reimbursement, to continue the planting and
agricultural maintenance program on Enewetak, as provided
in subparagraph (C); and
(ii) without reimbursement, to continue the food
programs of the Bikini and Enewetak people described in
section 1(d) of Article II of the Subsidiary Agreement for
the Implementation of Section 177 of the Compact and for
continued waterborne transportation of agricultural
products to Enewetak including operations and maintenance
of the vessel used for such purposes.
(B) Population changes.--The President shall ensure the
assistance provided under these programs reflects the changes
in the population since the inception of such programs.
(C) Planting and agricultural maintenance program.--
(i) In general.--The planting and agricultural
maintenance program on Enewetak shall be funded at a level
of not less than $1,300,000 per year, as adjusted for
inflation under section 218 of the U.S.-RMI Compact.
(ii) Authorization and continuing appropriation.--There
is hereby authorized and appropriated to the Secretary of
the Interior, out of any funds in the Treasury not
otherwise appropriated, to remain available until expended,
for each fiscal year from 2004 through 2023, $1,300,000, as
adjusted for inflation under section 218 of the U.S.-RMI
Compact, for grants to carry out the planting and
agricultural maintenance program.
(3) Payments.--In the joint resolution of January 14, 1986
(Public Law 99-239) Congress provided that payments under this
subsection shall be provided to such extent or in such amounts as
are necessary for services and other assistance provided pursuant
to this subsection. It is the sense of Congress that after the
periods of time specified in paragraphs (1) and (2) of this
subsection, consideration will be given to such additional funding
for these programs as may be necessary.
(g) Rongelap.--
(1) In the joint resolution of January 14, 1986 (Public Law 99-
239) Congress provided that because Rongelap was directly affected
by fallout from a 1954 United States thermonuclear test and because
the Rongelap people remain unconvinced that it is safe to continue
to live on Rongelap Island, it is the intent of Congress to take
such steps (if any) as may be necessary to overcome the effects of
such fallout on the habitability of Rongelap Island, and to restore
Rongelap Island, if necessary, so that it can be safely inhabited.
Accordingly, it is the expectation of the Congress that the
Government of the Marshall Islands shall use such portion of the
funds specified in Article II, section 1(e) of the subsidiary
agreement for the implementation of section 177 of the Compact as
are necessary for the purpose of contracting with a qualified
scientist or group of scientists to review the data collected by
the Department of Energy relating to radiation levels and other
conditions on Rongelap Island resulting from the thermonuclear
test. It is the expectation of the Congress that the Government of
the Marshall Islands, after consultation with the people of
Rongelap, shall select the party to review such data, and shall
contract for such review and for submission of a report to the
President of the United States and the Congress as to the results
thereof.
(2) In the joint resolution of January 14, 1986 (Public Law 99-
239) Congress provided that the purpose of the review referred to
in paragraph (1) of this subsection shall be to establish whether
the data cited in support of the conclusions as to the habitability
of Rongelap Island, as set forth in the Department of Energy report
entitled: ``The Meaning of Radiation for Those Atolls in the
Northern Part of the Marshall Islands That Were Surveyed in 1978'',
dated November 1982, are adequate and whether such conclusions are
fully supported by the data. If the party reviewing the data
concludes that such conclusions as to habitability are fully
supported by adequate data, the report to the President of the
United States and the Congress shall so state. If the party
reviewing the data concludes that the data are inadequate to
support such conclusions as to habitability or that such
conclusions as to habitability are not fully supported by the data,
the Government of the Marshall Islands shall contract with an
appropriate scientist or group of scientists to undertake a
complete survey of radiation and other effects of the nuclear
testing program relating to the habitability of Rongelap Island.
Such sums as are necessary for such survey and report concerning
the results thereof and as to steps needed to restore the
habitability of Rongelap Island are authorized to be made available
to the Government of the Marshall Islands.
(3) In the joint resolution of January 14, 1986 (Public Law 99-
239) Congress provided that it is the intent of Congress that such
steps (if any) as are necessary to restore the habitability of
Rongelap Island and return the Rongelap people to their homeland
will be taken by the United States in consultation with the
Government of the Marshall Islands and, in accordance with its
authority under the Constitution of the Marshall Islands, the
Rongelap local government council.
(4) There are hereby authorized and appropriated to the
Secretary of the Interior, out of any funds in the Treasury not
otherwise appropriated, to remain available until expended, for
fiscal year 2005, $1,780,000; for fiscal year 2006, $1,760,000; and
for fiscal year 2007, $1,760,000, as the final contributions of the
United States to the Rongelap Resettlement Trust Fund as
established pursuant to Public Law 102-154 (105 Stat. 1009), for
the purposes of establishing a food importation program as a part
of the overall resettlement program of Rongelap Island.
(h) Four Atoll Health Care Program.--
(1) In the joint resolution of January 14, 1986 (Public Law 99-
239) Congress provided that services provided by the United States
Public Health Service or any other United States agency pursuant to
section 1(a) of Article II of the Agreement for the Implementation
of Section 177 of the Compact (hereafter in this subsection
referred to as the ``Section 177 Agreement'') shall be only for
services to the people of the Atolls of Bikini, Enewetak, Rongelap,
and Utrik who were affected by the consequences of the United
States nuclear testing program, pursuant to the program described
in Public Law 95-134 (91 Stat. 1159) and Public Law 96-205 (94
Stat. 84) and their descendants (and any other persons identified
as having been so affected if such identification occurs in the
manner described in such public laws). Nothing in this subsection
shall be construed as prejudicial to the views or policies of the
Government of the Marshall Islands as to the persons affected by
the consequences of the United States nuclear testing program.
(2) In the joint resolution of January 14, 1986 (Public Law 99-
239) Congress provided that at the end of the first year after the
effective date of the Compact and at the end of each year
thereafter, the providing agency or agencies shall return to the
Government of the Marshall Islands any unexpended funds to be
returned to the Fund Manager (as described in Article I of the
Section 177 Agreement) to be covered into the Fund to be available
for future use.
(3) In the joint resolution of January 14, 1986 (Public Law 99-
239) Congress provided that the Fund Manager shall retain the funds
returned by the Government of the Marshall Islands pursuant to
paragraph (2) of this subsection, shall invest and manage such
funds, and at the end of 15 years after the effective date of the
Compact, shall make from the total amount so retained and the
proceeds thereof annual disbursements sufficient to continue to
make payments for the provision of health services as specified in
paragraph (1) of this subsection to such extent as may be provided
in contracts between the Government of the Marshall Islands and
appropriate United States providers of such health services.
(i) Enjebi Community Trust Fund.--In the joint resolution of
January 14, 1986 (Public Law 99-239) Congress provided that
notwithstanding any other provision of law, the Secretary of the
Treasury shall establish on the books of the Treasury of the United
States a fund having the status specified in Article V of the
subsidiary agreement for the implementation of Section 177 of the
Compact, to be known as the ``Enjebi Community Trust Fund'' (hereafter
in this subsection referred to as the ``Fund''), and shall credit to
the Fund the amount of $7,500,000. Such amount, which shall be ex
gratia, shall be in addition to and not charged against any other funds
provided for in the Compact and its subsidiary agreements, this joint
resolution, or any other Act. Upon receipt by the President of the
United States of the agreement described in this subsection, the
Secretary of the Treasury, upon request of the Government of the
Marshall Islands, shall transfer the Fund to the Government of the
Marshall Islands, provided that the Government of the Marshall Islands
agrees as follows:
(1) Enjebi trust agreement.--In the joint resolution of January
14, 1986 (Public Law 99-239) Congress provided that the Government
of the Marshall Islands and the Enewetak Local Government Council,
in consultation with the people of Enjebi, shall provide for the
creation of the Enjebi Community Trust Fund and the employment of
the manager of the Enewetak Fund established pursuant to the
Section 177 Agreement as trustee and manager of the Enjebi
Community Trust Fund, or, should the manager of the Enewetak Fund
not be acceptable to the people of Enjebi, another United States
investment manager with substantial experience in the
administration of trusts and with funds under management in excess
of $250,000,000.
(2) Monitor conditions.--In the joint resolution of January 14,
1986 (Public Law 99-239) Congress provided that upon the request of
the Government of the Marshall Islands, the United States shall
monitor the radiation and other conditions on Enjebi and within one
year of receiving such a request shall report to the Government of
the Marshall Islands when the people of Enjebi may resettle Enjebi
under circumstances where the radioactive contamination at Enjebi,
including contamination derived from consumption of locally grown
food products, can be reduced or otherwise controlled to meet whole
body Federal radiation protection standards for the general
population, including mean annual dose and mean 30-year cumulative
dose standards.
(3) Resettlement of enjebi.--In the joint resolution of January
14, 1986 (Public Law 99-239) Congress provided that in the event
that the United States determines that the people of Enjebi can
within 25 years of January 14, 1986, resettle Enjebi under the
conditions set forth in paragraph (2) of this subsection, then upon
such determination there shall be available to the people of Enjebi
from the Fund such amounts as are necessary for the people of
Enjebi to do the following, in accordance with a plan developed by
the Enewetak Local Government Council and the people of Enjebi, and
concurred with by the Government of the Marshall Islands to assure
consistency with the government's overall economic development
plan:
(A) Establish a community on Enjebi Island for the use of
the people of Enjebi.
(B) Replant Enjebi with appropriate food-bearing and other
vegetation.
(4) Resettlement of other location.--In the joint resolution of
January 14, 1986 (Public Law 99-239) Congress provided that in the
event that the United States determines that within 25 years of
January 14, 1986, the people of Enjebi cannot resettle Enjebi
without exceeding the radiation standards set forth in paragraph
(2) of this subsection, then the fund manager shall be directed by
the trust instrument to distribute the Fund to the people of Enjebi
for their resettlement at some other location in accordance with a
plan, developed by the Enewetak Local Government Council and the
people of Enjebi and concurred with by the Government of the
Marshall Islands, to assure consistency with the government's
overall economic development plan.
(5) Interest from fund.--In the joint resolution of January 14,
1986 (Public Law 99-239) Congress provided that prior to and during
the distribution of the corpus of the Fund pursuant to paragraphs
(3) and (4) of this subsection, the people of Enjebi may, if they
so request, receive the interest earned by the Fund on no less
frequent a basis than quarterly.
(6) Disclaimer of liability.--In the joint resolution of
January 14, 1986 (Public Law 99-239) Congress provided that neither
under the laws of the Marshall Islands nor under the laws of the
United States, shall the Government of the United States be liable
for any loss or damage to person or property in respect to the
resettlement of Enjebi by the people of Enjebi, pursuant to the
provision of this subsection or otherwise.
(j) Bikini Atoll Cleanup.--
(1) Declaration of policy.--In the joint resolution of January
14, 1986 (Public Law 99-239), the Congress determined and declared
that it is the policy of the United States, to be supported by the
full faith and credit of the United States, that because the United
States, through its nuclear testing and other activities, rendered
Bikini Atoll unsafe for habitation by the people of Bikini, the
United States will fulfill its responsibility for restoring Bikini
Atoll to habitability, as set forth in paragraph (2) and (3) of
this subsection.
(2) Cleanup funds.--The joint resolution of January 14, 1986
(Public Law 99-239) authorized to be appropriated such sums as
necessary to implement the settlement agreement of March 15, 1985,
in The People of Bikini, et al. against United States of America,
et al., Civ. No. 84-0425 (D. Ha.).
(3) Conditions of funding.--In the joint resolution of January
14, 1986 (Public Law 99-239) the Congress provided that the funds
referred to in paragraph (2) were to be made available pursuant to
Article VI, Section 1 of the Compact Section 177 Agreement upon
completion of the events set forth in the settlement agreement
referred to in paragraph (2) of this subsection.
(k) Agreement on Audits.--The Comptroller General (and his duly
authorized representatives) shall have the authorities necessary to
carry out his responsibilities under section 232 of the U.S.-RMI
Compact and the agreement referred to in section 462(b)(4) of the U.S.-
RMI Compact, including the following authorities:
(1) General authority of the comptroller general to audit.--
(A) The Comptroller General of the United States (and his
duly authorized representatives) shall have the authority to
audit--
(i) all grants, program assistance, and other
assistance provided to the Government of the Republic of
the Marshall Islands under Articles I and II of Title Two
of the U.S.-RMI Compact; and
(ii) any other assistance provided by the Government of
the United States to the Government of the Republic of the
Marshall Islands.
Such authority shall include authority for the Comptroller
General to conduct or cause to be conducted any of the audits
provided for in section 232 of the U.S.-RMI Compact. The
authority provided in this paragraph shall continue for at
least three years after the last such grant has been made or
assistance has been provided.
(B) The Comptroller General (and his duly authorized
representatives) shall also have authority to review any audit
conducted by or on behalf of the Government of the United
States. In this connection, the Comptroller General shall have
access to such personnel and to such records, documents,
working papers, automated data and files, and other information
relevant to such review.
(2) Comptroller general access to records.--
(A) In carrying out paragraph (1), the Comptroller General
(and his duly authorized representatives) shall have such
access to the personnel and (without cost) to records,
documents, working papers, automated data and files, and other
information relevant to such audits. The Comptroller General
may duplicate any such records, documents, working papers,
automated data and files, or other information relevant to such
audits.
(B) Such records, documents, working papers, automated data
and files, and other information regarding each such grant or
other assistance shall be maintained for at least five years
after the date such grant or assistance was provided and in a
manner that permits such grants, assistance and payments to be
accounted for distinct from any other funds of the Government
of the Republic of the Marshall Islands.
(3) Status of comptroller general representatives.--The
Comptroller General and his duly authorized representatives shall
be immune from civil and criminal process relating to words spoken
or written and all acts performed by them in their official
capacity and falling within their functions, except insofar as such
immunity may be expressly waived by the Government of the United
States. The Comptroller General and his duly authorized
representatives shall not be liable to arrest or detention pending
trial, except in the case of a grave crime and pursuant to a
decision by a competent judicial authority, and such persons shall
enjoy immunity from seizure of personal property, immigration
restrictions, and laws relating to alien registration,
fingerprinting, and the registration of foreign agents. Such
persons shall enjoy the same taxation exemptions as are set forth
in Article 34 of the Vienna Convention on Diplomatic Relations. The
privileges, exemptions and immunities accorded under this paragraph
are not for the personal benefit of the individuals concerned but
are to safeguard the independent exercise of their official
functions. Without prejudice to those privileges, exemptions and
immunities, it is the duty of all such persons to respect the laws
and regulations of the Government of the Republic of the Marshall
Islands.
(4) Audits defined.--As used in this subsection, the term
``audits'' includes financial, program, and management audits,
including determining--
(A) whether the Government of the Republic of the Marshall
Islands has met the requirements set forth in the U.S.-RMI
Compact, or any related agreement entered into under the U.S.-
RMI Compact, regarding the purposes for which such grants and
other assistance are to be used; and
(B) the propriety of the financial transactions of the
Government of the Republic of the Marshall Islands pursuant to
such grants or assistance.
(5) Cooperation by the republic of the marshall islands.--The
Government of the Republic of the Marshall Islands will cooperate
fully with the Comptroller General of the United States in the
conduct of such audits as the Comptroller General determines
necessary to enable the Comptroller General to fully discharge his
responsibilities under this joint resolution.
(l) Kwajalein.--
(1) Statement of policy.--It is the policy of the United States
that payment of funds by the Government of the Marshall Islands to
the landowners of Kwajalein Atoll in accordance with the land use
agreement dated October 19, 1982, or as amended or superseded, and
any related allocation agreements, is required in order to ensure
that the Government of the United States will be able to fulfill
its obligation and responsibilities under Title Three of the U.S.-
RMI Compact and the subsidiary agreements concluded pursuant to the
U.S.-RMI Compact.
(2) Failure to pay.--
(A) In general.--If the Government of the Marshall Islands
fails to make payments in accordance with paragraph (1), the
Government of the United States shall initiate procedures under
section 313 of the U.S.-RMI Compact and consult with the
Government of the Marshall Islands with respect to the basis
for the nonpayment of funds.
(B) Resolution.--The United States shall expeditiously
resolve the matter of any nonpayment of funds required under
paragraph (1) pursuant to section 313 of the U.S.-RMI Compact
and the authority and responsibility of the Government of the
United States for security and defense matters in or relating
to the Marshall Islands. This paragraph shall be enforced, as
may be necessary, in accordance with section 105(e).
(3) Disposition of increased payments pending new land use
agreement.--Until such time as the Government of the Marshall
Islands and the landowners of Kwajalein Atoll have concluded an
agreement amending or superseding the land use agreement reflecting
the terms of and consistent with the Military Use Operating Rights
Agreement dated October 19, 1982, any amounts paid by the United
States to the Government of the Marshall Islands in excess of the
amounts required to be paid pursuant to the land use agreement
dated October 19, 1982, shall be paid into, and held in, an
interest bearing escrow account in a United States financial
institution by the Government of the Republic of the Marshall
Islands. At such time, the funds and interest held in escrow shall
be paid to the landowners of Kwajalein in accordance with the new
land use agreement. If no such agreement is concluded by the date
which is five years after the date of enactment of this resolution,
then such funds and interest shall, unless otherwise mutually
agreed between the Government of the United States of America and
the Government of the Republic of the Marshall Islands, be returned
to the U.S. Treasury.
(4) Notifications and report.--
(A) The Government of the Republic of the Marshall Islands
shall notify the Government of the United States of America
when an agreement amending or superseding the land use
agreement dated October 19, 1982, is concluded.
(B) If no agreement amending or superseding the land use
agreement dated October 19, 1982 is concluded by the date five
years after the date of enactment of this resolution, then the
President shall report to Congress on the intentions of the
United States with respect to the use of Kwajalein Atoll after
2016, on any plans to relocate activities carried out on
Kwajalein Atoll, and on the disposition of the funds and
interest held in escrow under paragraph (3).
(5) Assistance.--The President is authorized to make loans and
grants to the Government of the Marshall Islands to address the
special needs of the community at Ebeye, Kwajalein Atoll, and other
Marshallese communities within the Kwajalein Atoll, pursuant to
development plans adopted in accordance with applicable laws of the
Marshall Islands. The loans and grants shall be subject to such
other terms and conditions as the President, in the discretion of
the President, may determine are appropriate.
SEC. 104. INTERPRETATION OF AND UNITED STATES POLICY REGARDING U.S.-FSM
COMPACT AND U.S.-RMI COMPACT.
(a) Human Rights.--In approving the U.S.-FSM Compact and the U.S.-
RMI Compact, Congress notes the conclusion in the Statement of Intent
of the Report of The Future Political Status Commission of the Congress
of Micronesia in July, 1969, that ``our recommendation of a free
associated state is indissolubly linked to our desire for such a
democratic, representative, constitutional government'' and notes that
such desire and intention are reaffirmed and embodied in the
Constitutions of the Federated States of Micronesia and the Republic of
the Marshall Islands. Congress also notes and specifically endorses the
preamble to the U.S.-FSM Compact and the U.S.-RMI Compact, which
affirms that the governments of the parties to the U.S.-FSM Compact and
the U.S.-RMI Compact are founded upon respect for human rights and
fundamental freedoms for all. The Secretary of State shall include in
the annual reports on the status of internationally recognized human
rights in foreign countries, which are submitted to Congress pursuant
to sections 116 and 502B of the Foreign Assistance Act of 1961, ``22
U.S.C. 2151n, 2304'' a full and complete report regarding the status of
internationally recognized human rights in the Federated States of
Micronesia and the Republic of the Marshall Islands.
(b) Immigration and Passport Security.--
(1) Naturalized citizens.--The rights of a bona fide
naturalized citizen of the Federated States of Micronesia or the
Republic of the Marshall Islands to enter the United States, to
lawfully engage therein in occupations, and to establish residence
therein as a nonimmigrant, to the extent such rights are provided
under section 141 of the U.S.-FSM Compact and U.S.-RMI Compact,
shall not be deemed to extend to any such naturalized citizen with
respect to whom circumstances associated with the acquisition of
the status of a naturalized citizen are such as to allow a
reasonable inference, on the part of appropriate officials of the
United States and subject to United States procedural requirements,
that such naturalized status was acquired primarily in order to
obtain such rights.
(2) Passports.--It is the sense of Congress that up to $250,000
of the grant assistance provided to the Federated States of
Micronesia pursuant to section 211(a)(4) of the U.S.-FSM Compact,
and up to $250,000 of the grant assistance provided to the Republic
of the Marshall Islands pursuant to section 211(a)(4) of the U.S.-
RMI Compact (or a greater amount of the section 211(a)(4) grant, if
mutually agreed between the Government of the United States and the
government of the Federated States of Micronesia or the government
of the Republic of the Marshall Islands), be used for the purpose
of increasing the machine-readability and security of passports
issued by such jurisdictions. It is further the sense of Congress
that such funds be obligated by September 30, 2004 and in the
amount and manner specified by the Secretary of State in
consultation with the Secretary of Homeland Security and,
respectively, with the government of the Federated States of
Micronesia and the government of the Republic of the Marshall
Islands. The United States Government is authorized to require that
passports used for the purpose of seeking admission under section
141 of the U.S.-FSM Compact and the U.S.-RMI Compact contain the
security enhancements funded by such assistance.
(3) Information-sharing.--It is the sense of Congress that the
governments of the Federated States of Micronesia and the Republic
of the Marshall Islands develop, prior to October 1, 2004, the
capability to provide reliable and timely information as may
reasonably be required by the Government of the United States in
enforcing criminal and security-related grounds of inadmissibility
and deportability under the Immigration and Nationality Act, as
amended, and shall provide such information to the Government of
the United States.
(4) Transition; construction of sections 141(a)(3) and
141(a)(4) of the u.s.-fsm compact and u.s.-rmi compact.--The words
``the effective date of this Compact, as amended'' in sections
141(a)(3) and 141(a)(4) of the U.S.-FSM Compact and the U.S.-RMI
Compact shall be construed to read, ``on the day prior to the
enactment by the United States Congress of the Compact of Free
Association Amendments Act of 2003.''.
(c) Nonalienation of Lands.--Congress endorses and encourages the
maintenance of the policies of the Government of the Federated States
of Micronesia and the Government of the Republic of the Marshall
Islands to regulate, in accordance with their Constitutions and laws,
the alienation of permanent interests in real property so as to
restrict the acquisition of such interests to persons of Federated
States of Micronesia citizenship and the Republic of the Marshall
Islands citizenship, respectively.
(d) Nuclear Waste Disposal.--In approving the U.S.-FSM Compact and
the U.S.-RMI Compact, Congress understands that the Government of the
Federated States of Micronesia and the Government of the Republic of
the Marshall Islands will not permit any other government or any
nongovernmental party to conduct, in the Republic of the Marshall
Islands or in the Federated States of Micronesia, any of the activities
specified in subsection (a) of section 314 of the U.S.-FSM Compact and
the U.S.-RMI Compact.
(e) Impact of the U.S.-FSM Compact and the U.S.-RMI Compact on the
State of Hawaii, Guam, the Commonwealth of the Northern Mariana Islands
and American Samoa; Related Authorization and Continuing
Appropriation.--
(1) Statement of congressional intent.--In reauthorizing the
U.S.-FSM Compact and the U.S.-RMI Compact, it is not the intent of
Congress to cause any adverse consequences for an affected
jurisdiction.
(2) Definitions.--For the purposes of this title--
(A) the term ``affected jurisdiction'' means American
Samoa, Guam, the Commonwealth of the Northern Mariana Islands,
or the State of Hawaii; and
(B) the term ``qualified nonimmigrant'' means a person, or
their children under the age of 18, admitted or resident
pursuant to section 141 of the U.S.-RMI or U.S.-FSM Compact, or
section 141 of the Palau Compact who, as of a date referenced
in the most recently published enumeration is a resident of an
affected jurisdiction. As used in this subsection, the term
``resident'' shall be a person who has a ``residence,'' as that
term is defined in section 101(a)(33) of the Immigration and
Nationality Act, as amended.
(3) Authorization and continuing appropriation.--There is
hereby authorized and appropriated to the Secretary of the
Interior, out of any funds in the Treasury not otherwise
appropriated, to remain available until expended, for each fiscal
year from 2004 through 2023, $30,000,000 for grants to affected
jurisdictions to aid in defraying costs incurred by affected
jurisdictions as a result of increased demands placed on health,
educational, social, or public safety services or infrastructure
related to such services due to the residence in affected
jurisdictions of qualified nonimmigrants from the Republic of the
Marshall Islands, the Federated States of Micronesia, or the
Republic of Palau. The grants shall be--
(A) awarded and administered by the Department of the
Interior, Office of Insular Affairs, or any successor thereto,
in accordance with regulations, policies and procedures
applicable to grants so awarded and administered; and
(B) used only for health, educational, social, or public
safety services, or infrastructure related to such services,
specifically affected by qualified nonimmigrants.
(4) Enumeration.--The Secretary of the Interior shall conduct
periodic enumerations of qualified nonimmigrants in each affected
jurisdiction. The enumerations--
(A) shall be conducted at such intervals as the Secretary
of the Interior shall determine, but no less frequently than
every five years, beginning in fiscal year 2003;
(B) shall be supervised by the United States Bureau of the
Census or such other organization as the Secretary of the
Interior may select; and
(C) after fiscal year 2003, shall be funded by the
Secretary of the Interior by deducting such sums as are
necessary, but not to exceed $300,000 as adjusted for inflation
pursuant to section 217 of the U.S.-FSM Compact with fiscal
year 2003 as the base year, per enumeration, from funds
appropriated pursuant to the authorization contained in
paragraph (3) of this subsection.
(5) Allocation.--The Secretary of the Interior shall allocate
to the government of each affected jurisdiction, on the basis of
the results of the most recent enumeration, grants in an aggregate
amount equal to the total amount of funds appropriated under
paragraph (3) of this subsection, as reduced by any deductions
authorized by subparagraph (C) of paragraph (4) of this subsection,
multiplied by a ratio derived by dividing the number of qualified
nonimmigrants in such affected jurisdiction by the total number of
qualified nonimmigrants in all affected jurisdictions.
(6) Authorization for health care reimbursement.--There are
hereby authorized to be appropriated to the Secretary of the
Interior such sums as may be necessary to reimburse health care
institutions in the affected jurisdictions for costs resulting from
the migration of citizens of the Republic of the Marshall Islands,
the Federated States of Micronesia and the Republic of Palau to the
affected jurisdictions as a result of the implementation of the
Compact of Free Association, approved by Public Law 99-239, or the
approval of the U.S.-FSM Compact and the U.S.-RMI Compact by this
resolution.
(7) Use of dod medical facilities and national health service
corps.--
(A) DOD medical facilities.--The Secretary of Defense shall
make available, on a space available and reimbursable basis,
the medical facilities of the Department of Defense for use by
citizens of the Federated States of Micronesia and the Republic
of the Marshall Islands who are properly referred to the
facilities by government authorities responsible for provision
of medical services in the Federated States of Micronesia, the
Republic of the Marshall Islands, the Republic of Palau and the
affected jurisdictions.
(B) National health service corps.--The Secretary of Health
and Human Services shall continue to make the services of the
National Health Service Corps available to the residents of the
Federated States of Micronesia and the Republic of the Marshall
Islands to the same extent and for so long as such services are
authorized to be provided to persons residing in any other
areas within or outside the United States.
(C) Authorization of appropriations.--There are authorized
to be appropriated to carry out this paragraph such sums as are
necessary for each fiscal year.
(8) Reporting requirement.--Not later than one year after the
date of enactment of this joint resolution, and at one year
intervals thereafter, the Governors of Guam, the State of Hawaii,
the Commonwealth of the Northern Mariana Islands, and American
Samoa may provide to the Secretary of the Interior by February 1 of
each year their comments with respect to the impacts of the
Compacts on their respective jurisdiction. The Secretary of the
Interior, upon receipt of any such comments, shall report to the
Congress not later than May 1 of each year to include the
following:
(A) The Governor's comments on the impacts of the Compacts
as well as the Administration's analysis of such impact.
(B) The Administration views on any recommendations for
corrective action to eliminate those consequences as proposed
by such Governors.
(C) With regard to immigration, statistics concerning the
number of persons availing themselves of the rights described
in section 141(a) of the Compact during the year covered by
each report.
(D) With regard to trade, an analysis of the impact on the
economy of American Samoa resulting from imports of canned tuna
into the United States from the Federated States of Micronesia,
and the Republic of the Marshall Islands.
(9) Reconciliation of unreimbursed impact expenses.--
(A) In general.--Notwithstanding any other provision of
law, the President, to address previously accrued and
unreimbursed impact expenses, may at the request of the
Governor of Guam or the Governor of the Commonwealth of the
Northern Mariana Islands, reduce, release, or waive all or part
of any amounts owed by the Government of Guam or the Government
of the Commonwealth of the Northern Mariana Islands (or either
government's autonomous agencies or instrumentalities),
respectively, to any department, agency, independent agency,
office, or instrumentality of the United States.
(B) Terms and conditions.--
(i) Substantiation of impact costs.--Not later than 120
days after the date of the enactment of this resolution,
the Governor of Guam and the Governor of the Commonwealth
of the Northern Mariana Islands shall each submit to the
Secretary of the Interior a report, prepared in
consultation with an independent accounting firm,
substantiating unreimbursed impact expenses claimed for the
period from January 14, 1986, through September 30, 2003.
Upon request of the Secretary of the Interior, the Governor
of Guam and the Governor of the Commonwealth of the
Northern Mariana Islands shall submit to the Secretary of
the Interior copies of all documents upon which the report
submitted by that Governor under this clause was based.
(ii) Congressional notification.--The President shall
notify Congress of his intent to exercise the authority
granted in subparagraph (A).
(iii) Congressional review and comment.--Any reduction,
release, or waiver under this Act shall not take effect
until 60 days after the President notifies Congress of his
intent to approve a request of the Governor of Guam or the
Governor of the Commonwealth of the Northern Mariana
Islands. In exercising his authority under this section and
in determining whether to give final approval to a request,
the President shall take into consideration comments he may
receive after Congressional review.
(iv) Expiration.--The authority granted in subparagraph
(A) shall expire on February 28, 2005.
(10) Authorization of appropriations for grants.--There are
hereby authorized to the Secretary of the Interior for each of
fiscal years 2004 through 2023 such sums as may be necessary for
grants to the governments of Guam, the State of Hawaii, the
Commonwealth of the Northern Mariana Islands, and American Samoa,
as a result of increased demands placed on educational, social, or
public safety services or infrastructure related to service due to
the presence in Guam, Hawaii, the Commonwealth of the Northern
Mariana Islands, and American Samoa of qualified nonimmigrants from
the Federated States of Micronesia, the Republic of the Marshall
Islands, and the Republic of Palau.
(f) Foreign Loans.--Congress hereby reaffirms the United States
position that the United States Government is not responsible for
foreign loans or debt obtained by the Governments of the Federated
States of Micronesia and the Republic of the Marshall Islands.
(g) Sense of Congress Concerning Funding of Public
Infrastructure.--It is the sense of Congress that not less than 30
percent of the United States annual grant assistance provided under
section 211 of the Compact of Free Association, as amended, between the
Government of the United States of America and the Government of the
Federated States of Micronesia, and not less than 30 percent of the
total amount of section 211 funds allocated to each of the States of
the Federated States of Micronesia, shall be invested in infrastructure
improvements and maintenance in accordance with section 211(a)(6). It
is further the sense of Congress that not less than 30 percent of the
United States annual grant assistance provided under section 211 of the
Compact of Free Association, as amended, between the Government of the
United States of America and the Government of the Republic of the
Marshall Islands, shall be invested in infrastructure improvements and
maintenance in accordance with section 211(d).
(h) Reports and Reviews.--
(1) Report by the president.--Not later than the end of the
first full calendar year following enactment of this resolution,
and not later than December 31 of each year thereafter, the
President shall report to Congress regarding the Federated States
of Micronesia and the Republic of the Marshall Islands, including
but not limited to--
(A) general social, political, and economic conditions,
including estimates of economic growth, per capita income, and
migration rates;
(B) the use and effectiveness of United States financial,
program, and technical assistance;
(C) the status of economic policy reforms including but not
limited to progress toward establishing self-sufficient tax
rates;
(D) the status of the efforts to increase investment
including: the rate of infrastructure investment of U.S.
financial assistance under the U.S.-FSM Compact and the U.S.-
RMI Compact; non-U.S. contributions to the trust funds, and the
level of private investment; and
(E) recommendations on ways to increase the effectiveness
of United States assistance and to meet overall economic
performance objectives, including, if appropriate,
recommendations to Congress to adjust the inflation rate or to
adjust the contributions to the Trust Funds based on non-U.S.
contributions.
(2) Review.--During the year of the fifth, tenth, and fifteenth
anniversaries of the date of enactment of this resolution, the
Government of the United States shall review the terms of the
respective Compacts and consider the overall nature and development
of the U.S.-FSM and U.S.-RMI relationships including the topics set
forth in subparagraphs (A) through (E) of paragraph (1). In
conducting the reviews, the Government of the United States shall
consider the operating requirements of the Government of the
Federated States of Micronesia and the Government of the Republic
of the Marshall Islands and their progress in meeting the
development objectives set forth in their respective development
plans. The President shall include in the annual reports to
Congress for the years following the reviews the comments of the
Government of the Federated States of Micronesia and the Government
of the Republic of the Marshall Islands on the topics described in
this paragraph, the President's response to the comments, the
findings resulting from the reviews, and any recommendations for
actions to respond to such findings.
(3) By the comptroller general.--Not later than the date that
is three years after the date of enactment of this joint
resolution, and every 5 years thereafter, the Comptroller General
of the United States shall submit to Congress a report on the
Federated States of Micronesia and the Republic of the Marshall
Islands including the topics set forth in paragraphs (1) (A)
through (E) above, and on the effectiveness of administrative
oversight by the United States.
(i) Construction of Section 141(f).--Section 141(f)(2) of the
Compact of Free Association, as amended, between the Government of the
United States of America and the Government of the Federated States of
Micronesia and of the Compact of Free Association, as amended, between
the Government of the United States of America and the Government of
the Republic of the Marshall Islands, shall be construed as though,
after ``may by regulations prescribe'', there were included the
following: ``, except that any such regulations that would have a
significant effect on the admission, stay and employment privileges
provided under this section shall not become effective until 90 days
after the date of transmission of the regulations to the Committee on
Energy and Natural Resources and the Committee on the Judiciary of the
Senate and the Committee on Resources, the Committee on International
Relations, and the Committee on the Judiciary of the House of
Representatives''.
(j) Inflation Adjustment.--As of Fiscal Year 2015, if the United
States Gross Domestic Product Implicit Price Deflator average for
Fiscal Years 2009 through 2013 is greater than United States Gross
Domestic Product Implicit Price Deflator average for Fiscal Years 2004
through 2008 (as reported in the Survey of Current Business or
subsequent publication and compiled by the Department of Interior),
then section 217 of the U.S.-FSM Compact, paragraph 5 of Article II of
the U.S.-FSM Fiscal Procedures Agreement, section 218 of the U.S.-RMI
Compact, and paragraph 5 of Article II of the U.S.-RMI Fiscal
Procedures Agreement shall be construed as if ``the full'' appeared in
place of ``two-thirds of the'' each place those words appear. If an
inflation adjustment is made under this subsection, the base year for
calculating the inflation adjustment shall be fiscal year 2014.
(k) Participation by Secondary Schools in the Armed Services
Vocational Aptitude Battery (ASVAB) Student Testing Program.--In
furtherance of the provisions of Title Three, Article IV, Section 341
of the U.S.-FSM and the U.S.-RMI Compacts, the purpose of which is to
establish the privilege to volunteer for service in the U.S. Armed
Forces, it is the sense of Congress that, to facilitate eligibility of
FSM and RMI secondary school students to qualify for such service, the
Department of Defense may extend the Armed Services Vocational Aptitude
Battery (ASVAB) Student Testing Program (STP) and the ASVAB Career
Exploration Program to selected secondary Schools in the FSM and the
RMI to the extent such programs are available to Department of Defense
Dependent Schools located in foreign jurisdictions.
SEC. 105. SUPPLEMENTAL PROVISIONS.
(a) Domestic Program Requirements.--Except as may otherwise be
provided in this joint resolution, all United States Federal programs
and services extended to or operated in the Federated States of
Micronesia or the Republic of the Marshall Islands are and shall remain
subject to all applicable criteria, standards, reporting requirements,
auditing procedures, and other rules and regulations applicable to such
programs when operating in the United States (including its territories
and commonwealths).
(b) Relations With the Federated States of Micronesia and the
Republic of the Marshall Islands.--
(1) Appropriations made pursuant to Article I of Title Two and
subsection (a)(2) of section 221 of article II of Title Two of the
U.S.-FSM Compact and the U.S.-RMI Compact shall be made to the
Secretary of the Interior, who shall have the authority necessary
to fulfill his responsibilities for monitoring and managing the
funds so appropriated consistent with the U.S.-FSM Compact and the
U.S.-RMI Compact, including the agreements referred to in section
462(b)(4) of the U.S.-FSM Compact and U.S.-RMI Compact (relating to
Fiscal Procedures) and the agreements referred to in section
462(b)(5) of the U.S.-FSM Compact and the U.S.-RMI Compact
(regarding the Trust Fund).
(2) Appropriations made pursuant to subsections (a)(1) and
(a)(3) through (6) of section 221 of Article II of Title Two of the
U.S.-FSM Compact and subsection (a)(1) and (a)(3) through (5) of
the U.S.-RMI Compact shall be made directly to the agencies named
in those subsections.
(3) Appropriations for services and programs referred to in
subsection (b) of section 221 of Article II of Title Two of the
U.S.-FSM Compact or U.S.-RMI Compact and appropriations for
services and programs referred to in sections 105(f) and 108(a) of
this joint resolution shall be made to the relevant agencies in
accordance with the terms of the appropriations for such services
and programs.
(4) Federal agencies providing programs and services to the
Federated States of Micronesia and the Republic of the Marshall
Islands shall coordinate with the Secretaries of the Interior and
State regarding provision of such programs and services. The
Secretaries of the Interior and State shall consult with
appropriate officials of the Asian Development Bank and with the
Secretary of the Treasury regarding overall economic conditions in
the Federated States of Micronesia and the Republic of the Marshall
Islands and regarding the activities of other donors of assistance
to the Federated States of Micronesia and the Republic of the
Marshall Islands.
(5) United States Government employees in either the Federated
States of Micronesia or the Republic of the Marshall Islands are
subject to the authority of the United States Chief of Mission,
including as elaborated in section 207 of the Foreign Service Act
and the President's Letter of Instruction to the United States
Chief of Mission and any order or directive of the President in
effect from time to time.
(6) Interagency group on freely associated states' affairs.--
(A) In general.--The President is hereby authorized to
appoint an Interagency Group on Freely Associated States'
Affairs to provide policy guidance and recommendations on
implementation of the U.S.-FSM Compact and the U.S.-RMI Compact
to Federal departments and agencies.
(B) Secretaries.--It is the sense of Congress that the
Secretary of State and the Secretary of the Interior shall be
represented on the Interagency Group.
(7) United states appointees to joint committees.--
(A) Joint economic management committee.--
(i) In general.--The three United States appointees
(United States chair plus two members) to the Joint
Economic Management Committee provided for in section 213
of the U.S.-FSM Compact and Article III of the U.S.-FSM
Fiscal Procedures Agreement referred to in section
462(b)(4) of the U.S.-FSM Compact shall be United States
Government officers or employees.
(ii) Departments.--It is the sense of Congress that 2
of the 3 appointees should be designated from the
Department of State and the Department of the Interior, and
that U.S. officials of the Asian Development Bank shall be
consulted in order to properly coordinate U.S. and Asian
Development Bank financial, program, and technical
assistance.
(iii) Additional scope.--Section 213 of the U.S.-FSM
Compact shall be construed to read as though the phrase,
``the implementation of economic policy reforms to
encourage investment and to achieve self-sufficient tax
rates,'' were inserted after ``with particular focus on
those parts of the plan dealing with the sectors identified
in subsection (a) of section 211''.
(B) Joint economic management and financial accountability
committee.--
(i) In general.--The three United States appointees
(United States chair plus two members) to the Joint
Economic Management and Financial Accountability Committee
provided for in section 214 of the U.S.-RMI Compact and
Article III of the U.S.-RMI Fiscal Procedures Agreement
referred to in section 462(b)(4) of the U.S.-RMI Compact
shall be United States Government officers or employees.
(ii) Departments.--It is the sense of Congress that 2
of the 3 appointees should be designated from the
Department of State and the Department of the Interior, and
that U.S. officials of the Asian Development Bank shall be
consulted in order to properly coordinate U.S. and Asian
Development Bank financial, program, and technical
assistance.
(iii) Additional scope.--Section 214 of the U.S.-RMI
Compact shall be construed to read as though the phrase,
``the implementation of economic policy reforms to
encourage investment and to achieve self-sufficient tax
rates,'' were inserted after ``with particular focus on
those parts of the framework dealing with the sectors and
areas identified in subsection (a) of section 211''.
(8) Oversight and coordination.--It is the sense of Congress
that the Secretary of State and the Secretary of the Interior shall
ensure that there are personnel resources committed in the
appropriate numbers and locations to ensure effective oversight of
United States assistance, and effective coordination of assistance
among United States agencies and with other international donors
such as the Asian Development Bank.
(9) The United States voting members (United States chair plus
two or more members) of the Trust Fund Committee appointed by the
Government of the United States pursuant to Article 7 of the Trust
Fund Agreement implementing section 215 of the U.S.-FSM Compact and
referred to in section 462(b)(5) of the U.S.-FSM Compact and any
alternates designated by the Government of the United States shall
be United States Government officers or employees. The United
States voting members (United States chair plus two or more
members) of the Trust Fund Committee appointed by the Government of
the United States pursuant to Article 7 of the Trust Fund Agreement
implementing section 216 of the U.S.-RMI Compact and referred to in
section 462(b)(5) of the U.S.-RMI Compact and any alternates
designated by the Government of the United States shall be United
States Government officers or employees. It is the sense of
Congress that the appointees should be designated from the
Department of State, the Department of the Interior, and the
Department of the Treasury.
(10) The Trust Fund Committee provided for in Article 7 of the
U.S.-FSM Trust Fund Agreement implementing section 215 of the U.S.-
FSM Compact shall be a nonprofit corporation incorporated under the
laws of the District of Columbia. To the extent that any law, rule,
regulation or ordinance of the District of Columbia, or of any
State or political subdivision thereof in which the Trust Fund
Committee is incorporated or doing business, impedes or otherwise
interferes with the performance of the functions of the Trust Fund
Committee pursuant to this joint resolution, such law, rule,
regulation, or ordinance shall be deemed to be preempted by this
joint resolution. The Trust Fund Committee provided for in Article
7 of the U.S.-RMI Trust Fund Agreement implementing section 216 of
the U.S.-RMI Compact shall be a non-profit corporation incorporated
under the laws of the District of Columbia. To the extent that any
law, rule, regulation or ordinance of the District of Columbia, or
of any State or political subdivision thereof in which the Trust
Fund Committee is incorporated or doing business, impedes or
otherwise interferes with the performance of the functions of the
Trust Fund Committee pursuant to this joint resolution, such law,
rule, regulation, or ordinance shall be deemed to be preempted by
this joint resolution.
(c) Continuing Trust Territory Authorization.--The authorization
provided by the Act of June 30, 1954, as amended (68 Stat. 330) shall
remain available after the effective date of the Compact with respect
to the Federated States of Micronesia and the Republic of the Marshall
Islands for the following purposes:
(1) Prior to October 1, 1986, for any purpose authorized by the
Compact or the joint resolution of January 14, 1986 (Public Law 99-
239).
(2) Transition purposes, including but not limited to,
completion of projects and fulfillment of commitments or
obligations; termination of the Trust Territory Government and
termination of the High Court; health and education as a result of
exceptional circumstances; ex gratia contributions for the
populations of Bikini, Enewetak, Rongelap, and Utrik; and technical
assistance and training in financial management, program
administration, and maintenance of infrastructure.
(d) Survivability.--In furtherance of the provisions of Title Four,
Article V, sections 452 and 453 of the U.S.-FSM Compact and the U.S.-
RMI Compact, any provisions of the U.S.-FSM Compact or the U.S.-RMI
Compact which remain effective after the termination of the U.S.-FSM
Compact or U.S.-RMI Compact by the act of any party thereto and which
are affected in any manner by provisions of this title shall remain
subject to such provisions.
(e) Noncompliance Sanctions; Actions Incompatible With United
States Authority.--Congress expresses its understanding that the
Governments of the Federated States of Micronesia and the Republic of
the Marshall Islands will not act in a manner incompatible with the
authority and responsibility of the United States for security and
defense matters in or related to the Federated States of Micronesia or
the Republic of the Marshall Islands pursuant to the U.S.-FSM Compact
or the U.S.-RMI Compact, including the agreements referred to in
sections 462(a)(2) of the U.S.-FSM Compact and 462(a)(5) of the U.S.-
RMI Compact. Congress further expresses its intention that any such act
on the part of either such Government will be viewed by the United
States as a material breach of the U.S.-FSM Compact or U.S.-RMI
Compact. The Government of the United States reserves the right in the
event of such a material breach of the U.S.-FSM Compact by the
Government of the Federated States of Micronesia or the U.S.-RMI
Compact by the Government of the Republic of the Marshall Islands to
take action, including (but not limited to) the suspension in whole or
in part of the obligations of the Government of the United States to
that Government.
(f) Continuing Programs and Laws.--
(1) Federated states of micronesia and republic of the marshall
islands.--In addition to the programs and services set forth in
section 221 of the Compact, and pursuant to section 222 of the
Compact, the programs and services of the following agencies shall
be made available to the Federated States of Micronesia and to the
Republic of the Marshall Islands:
(A) Continuation of the programs and services of the
federal emergency management agency.--Except as provided in
clauses (ii) and (iii), the programs and services of the
Department of Homeland Security, Federal Emergency Management
Agency shall continue to be available to the Federated States
of Micronesia and the Republic of the Marshall Islands to the
same extent as such programs and services were available in
fiscal year 2003.
(i) Paragraph (a)(6) of section 221 of the U.S.-FSM
Compact and paragraph (a)(5) of the U.S.-RMI Compact shall
each be construed as though the paragraph reads as follows:
``the Department of Homeland Security, United States
Federal Emergency Management Agency.''.
(ii) Subsection (d) of section 211 of the U.S.-FSM
Compact and subsection (e) of section 211 of the U.S.-RMI
Compact shall each be construed as though the subsection
reads as follows: ``Not more than $200,000 (as adjusted for
inflation pursuant to section 217 of the U.S.-FSM Compact
and section 218 of the U.S.-RMI Compact) shall be made
available by the Secretary of the Interior to the
Department of Homeland Security, Federal Emergency
Management Agency to facilitate the activities of the
Federal Emergency Management Agency in accordance with and
to the extent provided in the Federal Programs and Services
Agreement.''.
(iii) The Secretary of State, in consultation with the
Department of Homeland Security and the Federal Emergency
Management Agency, shall immediately undertake negotiations
with the Government of the Federated States of Micronesia
and the Government of the Republic of the Marshall Islands
regarding disaster assistance and shall report to the
appropriate committees of Congress no later than June 30,
2004, on the outcome of such negotiations, including
recommendations for changes to law regarding disaster
assistance under the U.S.-FSM Compact and the U.S.-RMI
Compact, and including subsidiary agreements as needed to
implement such changes to law. If an agreement is not
concluded, and legislation enacted which reflects such
agreement, before the date which is five years after the
date of enactment of this Joint Resolution, the following
provisions shall apply:
``Paragraph (a)(6) of section 221 of the U.S.-FSM
Compact and paragraph (a)(5) of section 221 of the U.S.-RMI
Compact shall each be construed and applied as if each
provision reads as follows:
``The U.S. Agency for International Development shall
be responsible for the provision of emergency and disaster
relief assistance in accordance with its statutory
authorities, regulations and policies. The Republic of the
Marshall Islands and the Federated States of Micronesia may
additionally request that the President make an emergency
or major disaster declaration. If the President declares an
emergency or major disaster, the Department of Homeland
Security (DHS), the Federal Emergency Management Agency
(FEMA) and the U.S. Agency for International Development
shall jointly (a) assess the damage caused by the emergency
or disaster and (b) prepare a reconstruction plan including
an estimate of the total amount of Federal resources that
are needed for reconstruction. Pursuant to an interagency
agreement, FEMA shall transfer funds from the Disaster
Relief Fund in the amount of the estimate, together with an
amount to be determined for administrative expenses, to the
U.S. Agency for International Development, which shall
carry out reconstruction activities in the Republic of the
Marshall Islands and the Federated States of Micronesia in
accordance with the reconstruction plan. For purposes of
Disaster Relief Fund appropriations, the funding of the
activities to be carried out pursuant to this paragraph
shall be deemed to be necessary expenses in carrying out
the Robert T. Stafford Disaster Relief and Emergency
Assistance Act (42 U.S.C. 5121 et seq.).
``DHS may provide to the Republic of the Marshall
Islands and the Federated States of Micronesia preparedness
grants to the extent that such assistance is available to
the States of the United States. Funding for this
assistance may be made available from appropriations made
to DHS for preparedness activities.''.
(B) Treatment of additional programs.--
(i) Consultation.--The United States appointees to the
committees established pursuant to section 213 of the U.S.-
FSM Compact and section 214 of the U.S.-RMI Compact shall
consult with the Secretary of Education regarding the
objectives, use, and monitoring of United States financial,
program, and technical assistance made available for
educational purposes.
(ii) Continuing programs.--The Government of the United
States--
(I) shall continue to make available to the
Federated States of Micronesia and the Republic of the
Marshall Islands for fiscal years 2004 through 2023,
the services to individuals eligible for such services
under the Individuals with Disabilities Education Act
(20 U.S.C. 1400 et seq.) to the extent that such
services continue to be available to individuals in the
United States; and
(II) shall continue to make available to eligible
institutions in the Federated States of Micronesia and
the Republic of the Marshall Islands, and to students
enrolled in such institutions, and in institutions in
the United States and its territories, for fiscal years
2004 through 2023, grants under subpart 1 of part A of
title IV of the Higher Education Act of 1965 (20 U.S.C.
1070a et seq.) to the extent that such grants continue
to be available to institutions and students in the
United States.
(iii) Supplemental education grants.--In lieu of
eligibility for appropriations under part A of title I of
the Elementary and Secondary Education Act of 1965 (20
U.S.C. 6311 et seq.), title I of the Workforce Investment
Act of 1998 (29 U.S.C. 2801 et seq.), other than subtitle C
of that Act (29 U.S.C. 2881 et seq.) (Job Corps), title II
of the Workforce Investment Act of 1998 (20 U.S.C. 9201 et
seq.; commonly known as the Adult Education and Family
Literacy Act), title I of the Carl D. Perkins Vocational
and Technical Education Act of 1998 (20 U.S.C. 2321 et
seq.), the Head Start Act (42 U.S.C. 9831 et seq.), and
subpart 3 of part A, and part C, of title IV of the Higher
Education Act of 1965 (20 U.S.C. 1070b et seq., 42 U.S.C.
2751 et seq.), there are authorized to be appropriated to
the Secretary of Education to supplement the education
grants under section 211(a)(1) of the U.S.-FSM Compact and
section 211(a)(1) of the U.S.-RMI Compact, respectively,
the following amounts:
(I) $12,230,000 for the Federated States of
Micronesia for fiscal year 2005 and an equivalent
amount, as adjusted for inflation under section 217 of
the U.S.-FSM Compact, for each of fiscal years 2005
through 2023; and
(II) $6,100,000 for the Republic of the Marshall
Islands for fiscal year 2005 and an equivalent amount,
as adjusted for inflation under section 218 of the
U.S.-RMI Compact, for each of fiscal years 2005 through
2023,
except that citizens of the Federated States of Micronesia
and the Republic of the Marshall Islands who attend an
institution of higher education in the United States or its
territories, the Federated States of Micronesia, or the
Republic of the Marshall Islands on the date of enactment
of this joint resolution may continue to receive assistance
under such subpart 3 of part A or part C, for not more than
4 academic years after such date to enable such citizens to
complete their program of study.
(iv) Fiscal procedures.--Appropriations made pursuant
to clause (iii) shall be used and monitored in accordance
with an agreement between the Secretary of Education, the
Secretary of Labor, the Secretary of Health and Human
Services, and the Secretary of the Interior, and in
accordance with the respective Fiscal Procedures Agreements
referred to in section 462(b)(4) of the U.S.-FSM Compact
and section 462(b)(4) of the U.S.-RMI Compact. The
agreement between the Secretary of Education, the Secretary
of Labor, the Secretary of Health and Human Services, and
the Secretary of the Interior shall provide for the
transfer, not later than 60 days after the appropriations
made pursuant to clause (iii) become available to the
Secretary of Education, the Secretary of Labor, and the
Secretary of Health and Human Services, from the Secretary
of Education, the Secretary of Labor, and the Secretary of
Health and Human Services, to the Secretary of the Interior
for disbursement.
(v) Formula education grants.--For fiscal years 2005
through 2023, except as provided in clause (ii) and the
exception provided under clause (iii), the Governments of
the Federated States of Micronesia and the Republic of the
Marshall Islands shall not receive any grant under any
formula-grant program administered by the Secretary of
Education or the Secretary of Labor, nor any grant provided
through the Head Start Act (42 U.S.C. 9831 et seq.)
administered by the Secretary of Health and Human Services.
(vi) Transition.--For fiscal year 2004, the Governments
of the Federated States of Micronesia and the Republic of
the Marshall Islands shall continue to be eligible for
appropriations and to receive grants under the provisions
of law specified in clauses (ii) and (iii).
(vii) Technical assistance.--The Federated States of
Micronesia and the Republic of the Marshall Islands may
request technical assistance from the Secretary of
Education, the Secretary of Health and Human Services, or
the Secretary of Labor the terms of which, including
reimbursement, shall be negotiated with the participation
of the appropriate cabinet officer for inclusion in the
Federal Programs and Services Agreement.
(viii) Continued eligibility for competitive grants.--
The Governments of the Federated States of Micronesia and
the Republic of the Marshall Islands shall continue to be
eligible for competitive grants administered by the
Secretary of Education, the Secretary of Health and Human
Services, and the Secretary of Labor to the extent that
such grants continue to be available to State and local
governments in the United States.
(ix) Applicability.--The Republic of Palau shall remain
eligible for appropriations and to receive grants under the
provisions of law specified in clauses (ii) and (iii) until
the end of fiscal year 2007, to the extent the Republic of
Palau was so eligible under such provisions in fiscal year
2003.
(C) The Legal Services Corporation.
(D) The Public Health Service.
(E) The Rural Housing Service (formerly, the Farmers Home
Administration) in the Marshall Islands and each of the four
States of the Federated States of Micronesia: Provided, That in
lieu of continuation of the program in the Federated States of
Micronesia, the President may agree to transfer to the
Government of the Federated States of Micronesia without cost,
the portfolio of the Rural Housing Service applicable to the
Federated States of Micronesia and provide such technical
assistance in management of the portfolio as may be requested
by the Federated States of Micronesia.
(2) Tort claims.--The provisions of section 178 of the U.S.-FSM
Compact and the U.S.-RMI Compact regarding settlement and payment
of tort claims shall apply to employees of any Federal agency of
the Government of the United States (and to any other person
employed on behalf of any Federal agency of the Government of the
United States on the basis of a contractual, cooperative, or
similar agreement) which provides any service or carries out any
other function pursuant to or in furtherance of any provisions of
the U.S.-FSM Compact or the U.S.-RMI Compact or this joint
resolution, except for provisions of Title Three of the Compact and
of the subsidiary agreements related to such Title, in such area to
which such Agreement formerly applied.
(3) PCB cleanup.--The programs and services of the
Environmental Protection Agency regarding PCBs shall, to the extent
applicable, as appropriate, and in accordance with applicable law,
be construed to be made available to such islands for the cleanup
of PCBs imported prior to 1987. The Secretary of the Interior and
the Secretary of Defense shall cooperate and assist in any such
cleanup activities.
(g) College of Micronesia.--Until otherwise provided by Act of
Congress, or until termination of the U.S.-FSM Compact and the U.S.-RMI
Compact, the College of Micronesia shall retain its status as a land-
grant institution and its eligibility for all benefits and programs
available to such land-grant institutions.
(h) Trust Territory Debts to U.S. Federal Agencies.--Neither the
Government of the Federated States of Micronesia nor the Government of
the Marshall Islands shall be required to pay to any department,
agency, independent agency, office, or instrumentality of the United
States any amounts owed to such department, agency, independent agency,
office, or instrumentality by the Government of the Trust Territory of
the Pacific Islands as of the effective date of the Compact. There is
authorized to be appropriated such sums as may be necessary to carry
out the purposes of this subsection.
(i) Judicial Training.--
(1) In general.--In addition to amounts provided under section
211(a)(4) of the U.S.-FSM Compact and the U.S.-RMI Compact, the
Secretary of the Interior shall annually provide $300,000 for the
training of judges and officials of the judiciary in the Federated
States of Micronesia and the Republic of the Marshall Islands in
cooperation with the Pacific Islands Committee of the Ninth Circuit
Judicial Council and in accordance with and to the extent provided
in the Federal Programs and Services Agreement and the Fiscal
Procedure Agreement, as appropriate.
(2) Authorization and continuing appropriation.--There is
hereby authorized and appropriated to the Secretary of the
Interior, out of any funds in the Treasury not otherwise
appropriated, to remain available until expended, for each fiscal
year from 2004 through 2023, $300,000, as adjusted for inflation
under section 218 of the U.S.-FSM Compact and the U.S.-RMI Compact,
to carry out the purposes of this section.
(j) Technical Assistance.--Technical assistance may be provided
pursuant to section 224 of the U.S.-FSM Compact or the U.S.-RMI Compact
by Federal agencies and institutions of the Government of the United
States to the extent such assistance may be provided to States,
territories, or units of local government. Such assistance by the
Forest Service, the Natural Resources Conservation Service, the Fish
and Wildlife Service, the National Marine Fisheries Service, the United
States Coast Guard, and the Advisory Council on Historic Preservation,
the Department of the Interior, and other agencies providing assistance
under the National Historic Preservation Act (80 Stat. 915; 16 U.S.C.
470-470t), shall be on a nonreimbursable basis. During the period the
U.S.-FSM Compact and the U.S.-RMI Compact are in effect, the grant
programs under the National Historic Preservation Act shall continue to
apply to the Federated States of Micronesia and the Republic of the
Marshall Islands in the same manner and to the same extent as prior to
the approval of the Compact. Any funds provided pursuant to sections
102(a), 103(a), 103(b), 103(f), 103(g), 103(h), 103(j), 105(c), 105(g),
105(h), 105(i), 105(j), 105(k), 105(l), and 105(m) of this joint
resolution shall be in addition to and not charged against any amounts
to be paid to either the Federated States of Micronesia or the Republic
of the Marshall Islands pursuant to the U.S.-FSM Compact, the U.S.-RMI
Compact, or their related subsidiary agreements.
(k) Prior Service Benefits Program.--Notwithstanding any other
provision of law, persons who on January 1, 1985, were eligible to
receive payment under the Prior Service Benefits Program established
within the Social Security System of the Trust Territory of the Pacific
Islands because of their services performed for the United States Navy
or the Government of the Trust Territory of the Pacific Islands prior
to July 1, 1968, shall continue to receive such payments on and after
the effective date of the Compact.
(l) Indefinite Land Use Payments.--There are authorized to be
appropriated such sums as may be necessary to complete repayment by the
United States of any debts owed for the use of various lands in the
Federated States of Micronesia and the Marshall Islands prior to
January 1, 1985.
(m) Communicable Disease Control Program.--There are authorized to
be appropriated for grants to the Government of the Federated States of
Micronesia, the Government of the Republic of the Marshall Islands, and
the governments of the affected jurisdictions, such sums as may be
necessary for purposes of establishing or continuing programs for the
control and prevention of communicable diseases, including (but not
limited to) cholera, tuberculosis, and Hansen's Disease. The Secretary
of the Interior shall assist the Government of the Federated States of
Micronesia, the Government of the Republic of the Marshall Islands and
the governments of the affected jurisdictions in designing and
implementing such a program.
(n) User Fees.--Any person in the Federated States of Micronesia or
the Republic of the Marshall Islands shall be liable for user fees, if
any, for services provided in the Federated States of Micronesia or the
Republic of the Marshall Islands by the Government of the United States
to the same extent as any person in the United States would be liable
for fees, if any, for such services in the United States.
(o) Treatment of Judgments of Courts of the Federated States of
Micronesia, the Republic of the Marshall Islands, and the Republic of
Palau.--No judgment, whenever issued, of a court of the Federated
States of Micronesia, the Republic of the Marshall Islands, or the
Republic of Palau, against the United States, its departments and
agencies, or officials of the United States or any other individuals
acting on behalf of the United States within the scope of their
official duty, shall be honored by the United States, or be subject to
recognition or enforcement in a court in the United States, unless the
judgment is consistent with the interpretation by the United States of
international agreements relevant to the judgment. In determining the
consistency of a judgment with an international agreement, due regard
shall be given to assurances made by the Executive Branch to Congress
of the United States regarding the proper interpretation of the
international agreement.
(p) Establishment of Trust Funds; Expedition of Process.--
(1) In general.--The Trust Fund Agreement executed pursuant to
the U.S.-FSM Compact and the Trust Fund Agreement executed pursuant
to the U.S.-RMI Compact each provides for the establishment of a
trust fund.
(2) Method of establishment.--The trust fund may be established
by--
(A) creating a new legal entity to constitute the trust
fund; or
(B) assuming control of an existing legal entity including,
without limitation, a trust fund or other legal entity that was
established by or at the direction of the Government of the
United States, the Government of the Federated States of
Micronesia, the Government of the Republic of the Marshall
Islands, or otherwise for the purpose of facilitating or
expediting the establishment of the trust fund pursuant to the
applicable Trust Fund Agreement.
(3) Obligations.--For the purpose of expediting the
commencement of operations of a trust fund under either Trust Fund
Agreement, the trust fund may, but shall not be obligated to,
assume any obligations of an existing legal entity and take
assignment of any contract or other agreement to which the existing
legal entity is party.
(4) Assistance.--Without limiting the authority that the United
States Government may otherwise have under applicable law, the
United States Government may, but shall not be obligated to,
provide financial, technical, or other assistance directly or
indirectly to the Government of the Federated States of Micronesia
or the Government of the Republic of the Marshall Islands for the
purpose of establishing and operating a trust fund or other legal
entity that will solicit bids from, and enter into contracts with,
parties willing to serve in such capacities as trustee, depositary,
money manager, or investment advisor, with the intention that the
contracts will ultimately be assumed by and assigned to a trust
fund established pursuant to a Trust Fund Agreement.
SEC. 106. CONSTRUCTION CONTRACT ASSISTANCE.
(a) Assistance to U.S. Firms.--In order to assist the Governments
of the Federated States of Micronesia and of the Republic of the
Marshall Islands through private sector firms which may be awarded
contracts for construction or major repair of capital infrastructure
within the Federated States of Micronesia or the Republic of the
Marshall Islands, the United States shall consult with the Governments
of the Federated States of Micronesia and the Republic of the Marshall
Islands with respect to any such contracts, and the United States shall
enter into agreements with such firms whereby such firms will,
consistent with applicable requirements of such Governments--
(1) to the maximum extent possible, employ citizens of the
Federated States of Micronesia and the Republic of the Marshall
Islands;
(2) to the extent that necessary skills are not possessed by
citizens of the Federated States of Micronesia and the Republic of
the Marshall Islands, provide on the job training, with particular
emphasis on the development of skills relating to operation of
machinery and routine and preventative maintenance of machinery and
other facilities; and
(3) provide specific training or other assistance in order to
enable the Government to engage in long-term maintenance of
infrastructure.
Assistance by such firms pursuant to this section may not exceed 20
percent of the amount of the contract and shall be made available only
to such firms which meet the definition of United States firm under the
nationality rule for suppliers of services of the Agency for
International Development (hereafter in this section referred to as
``United States firms''). There are authorized to be appropriated such
sums as may be necessary for the purposes of this subsection.
(b) Authorization of Appropriations.--There are authorized to be
appropriated such sums as may be necessary to cover any additional
costs incurred by the Government of the Federated States of Micronesia
or the Republic of the Marshall Islands if such Governments, pursuant
to an agreement entered into with the United States, apply a preference
on the award of contracts to United States firms, provided that the
amount of such preference does not exceed 10 percent of the amount of
the lowest qualified bid from a non-United States firm for such
contract.
SEC. 107. PROHIBITION.
All laws governing conflicts of interest and post-employment of
Federal employees shall apply to the implementation of this Act.
SEC. 108. COMPENSATORY ADJUSTMENTS.
(a) Additional Programs and Services.--In addition to the programs
and services set forth in section 221 of the U.S.-FSM Compact and the
U.S.-RMI Compact, and pursuant to section 222 of the U.S.-FSM Compact
and the U.S.-RMI Compact, the services and programs of the following
United States agencies shall be made available to the Federated States
of Micronesia and the Republic of the Marshall Islands: the Small
Business Administration, Economic Development Administration, the Rural
Utilities Services (formerly Rural Electrification Administration); the
programs and services of the Department of Labor under subtitle C of
title I of the Workforce Investment Act of 1998 (29 U.S.C. 2881 et
seq.; relating to Job Corps); and the programs and services of the
Department of Commerce relating to tourism and to marine resource
development.
(b) Further Amounts.--
(1) The joint resolution of January 14, 1986 (Public Law 99-
239) provided that the governments of the Federated States of
Micronesia and the Marshall Islands may submit to Congress reports
concerning the overall financial and economic impacts on such areas
resulting from the effect of title IV of that joint resolution upon
Title Two of the Compact. There were authorized to be appropriated
for fiscal years beginning after September 30, 1990, such amounts
as necessary, but not to exceed $40,000,000 for the Federated
States of Micronesia and $20,000,000 for the Marshall Islands, as
provided in appropriation acts, to further compensate the
governments of such islands (in addition to the compensation
provided in subsections (a) and (b) of section 111 of the joint
resolution of January 14, 1986 (Public Law 99-239)) for adverse
impacts, if any, on the finances and economies of such areas
resulting from the effect of title IV of that joint resolution upon
Title Two of the Compact. The joint resolution of January 14, 1986
(Public Law 99-239) further provided that at the end of the initial
fifteen-year term of the Compact, should any portion of the total
amount of funds authorized in section 111 of that resolution not
have been appropriated, such amount not yet appropriated may be
appropriated, without regard to divisions between amounts
authorized in section 111 for the Federated States of Micronesia
and for the Marshall Islands, based on either or both such
government's showing of such adverse impact, if any, as provided in
that subsection.
(2) The governments of the Federated States of Micronesia and
the Republic of the Marshall Islands may each submit no more than
one report or request for further compensation under section 111 of
the joint resolution of January 14, 1986 (Public Law 99-239) and
any such report or request must be submitted by September 30, 2009.
Only adverse economic effects occurring during the initial 15-year
term of the Compact may be considered for compensation under
section 111 of the joint resolution of January 14, 1986 (Public Law
99-239).
SEC. 109. AUTHORIZATION AND CONTINUING APPROPRIATION.
(a) There are authorized and appropriated to the Department of the
Interior, out of any funds in the Treasury not otherwise appropriated,
to remain available until expended, such sums as are necessary to carry
out the purposes of sections 105(f)(1) and 105(i) of this Act, sections
211, 212(b), 215, and 217 of the U.S.-FSM Compact, and sections 211,
212, 213(b), 216, and 218 of the U.S.-RMI Compact, in this and
subsequent years.
(b) There are authorized to be appropriated to the Departments,
agencies, and instrumentalities named in paragraphs (1) and (3) through
(6) of section 221(a) of the U.S.-FSM Compact and paragraphs (1) and
(3) through (5) of section 221(a) of the U.S.-RMI Compact, such sums as
are necessary to carry out the purposes of sections 221(a) of the U.S.-
FSM Compact and the U.S.-RMI Compact, to remain available until
expended.
SEC. 110. PAYMENT OF CITIZENS OF THE FEDERATED STATES OF MICRONESIA,
THE REPUBLIC OF THE MARSHALL ISLANDS, AND THE REPUBLIC OF
PALAU EMPLOYED BY THE GOVERNMENT OF THE UNITED STATES IN
THE CONTINENTAL UNITED STATES.
Section 605 of Public Law 107-67 (the Treasury and General
Government Appropriations Act, 2002) is amended by striking ``or the
Republic of the Philippines,'' in the last sentence and inserting the
following: ``the Republic of the Philippines, the Federated States of
Micronesia, the Republic of the Marshall Islands, or the Republic of
Palau,''.
TITLE II--COMPACTS OF FREE ASSOCIATION WITH THE FEDERATED STATES OF
MICRONESIA AND THE REPUBLIC OF THE MARSHALL ISLANDS
SEC. 201. COMPACTS OF FREE ASSOCIATION, AS AMENDED BETWEEN THE
GOVERNMENT OF THE UNITED STATES OF AMERICA AND THE
GOVERNMENT OF THE FEDERATED STATES OF MICRONESIA AND
BETWEEN THE GOVERNMENT OF THE UNITED STATES OF AMERICA
AND THE GOVERNMENT OF THE REPUBLIC OF THE MARSHALL
ISLANDS.
(a) Compact of Free Association, as Amended, Between the Government
of the United States of America and the Government of the Federated
States of Micronesia.--The Compact of Free Association, as amended,
between the Government of the United States of America and the
Government of the Federated States of Micronesia is as follows:
PREAMBLE
THE GOVERNMENT OF THE UNITED STATES OF AMERICA AND THE GOVERNMENT OF
THE FEDERATED STATES OF MICRONESIA
Affirming that their Governments and their relationship as
Governments are founded upon respect for human rights and fundamental
freedoms for all, and that the people of the Federated States of
Micronesia have the right to enjoy self-government; and
Affirming the common interests of the United States of America and
the Federated States of Micronesia in creating and maintaining their
close and mutually beneficial relationship through the free and
voluntary association of their respective Governments; and
Affirming the interest of the Government of the United States in
promoting the economic advancement and budgetary self-reliance of the
Federated States of Micronesia; and
Recognizing that their relationship until the entry into force on
November 3, 1986 of the Compact was based upon the International
Trusteeship System of the United Nations Charter, and in particular
Article 76 of the Charter; and that pursuant to Article 76 of the
Charter, the people of the Federated States of Micronesia have
progressively developed their institutions of self-government, and that
in the exercise of their sovereign right to self-determination they,
through their freely-expressed wishes, have adopted a Constitution
appropriate to their particular circumstances; and
Recognizing that the Compact reflected their common desire to
terminate the Trusteeship and establish a government-to-government
relationship which was in accordance with the new political status
based on the freely expressed wishes of the people of the Federated
States of Micronesia and appropriate to their particular circumstances;
and
Recognizing that the people of the Federated States of Micronesia
have and retain their sovereignty and their sovereign right to self-
determination and the inherent right to adopt and amend their own
Constitution and form of government and that the approval of the entry
of the Government of the Federated States of Micronesia into the
Compact by the people of the Federated States of Micronesia constituted
an exercise of their sovereign right to self-determination; and
Recognizing the common desire of the people of the United States
and the people of the Federated States of Micronesia to maintain their
close government-to-government relationship, the United States and the
Federated States of Micronesia:
NOW, THEREFORE, MUTUALLY AGREE to continue and strengthen their
relationship of free association by amending the Compact, which
continues to provide a full measure of self-government for the people
of the Federated States of Micronesia; and
FURTHER AGREE that the relationship of free association derives
from and is as set forth in this Compact, as amended, by the
Governments of the United States and the Federated States of
Micronesia; and that, during such relationship of free association, the
respective rights and responsibilities of the Government of the United
States and the Government of the Federated States of Micronesia in
regard to this relationship of free association derive from and are as
set forth in this Compact, as amended.
TITLE ONE
GOVERNMENTAL RELATIONS
Article I
Self-Government
Section 111
The people of the Federated States of Micronesia, acting through
the Government established under their Constitution, are self-
governing.
Article II
Foreign Affairs
Section 121
(a) The Government of the Federated States of Micronesia has the
capacity to conduct foreign affairs and shall do so in its own name and
right, except as otherwise provided in this Compact, as amended.
(b) The foreign affairs capacity of the Government of the Federated
States of Micronesia includes:
(1) the conduct of foreign affairs relating to law of the sea
and marine resources matters, including the harvesting,
conservation, exploration or exploitation of living and non-living
resources from the sea, seabed or subsoil to the full extent
recognized under international law;
(2) the conduct of its commercial, diplomatic, consular,
economic, trade, banking, postal, civil aviation, communications,
and cultural relations, including negotiations for the receipt of
developmental loans and grants and the conclusion of arrangements
with other governments and international and intergovernmental
organizations, including any matters specially benefiting its
individual citizens.
(c) The Government of the United States recognizes that the
Government of the Federated States of Micronesia has the capacity to
enter into, in its own name and right, treaties and other international
agreements with governments and regional and international
organizations.
(d) In the conduct of its foreign affairs, the Government of the
Federated States of Micronesia confirms that it shall act in accordance
with principles of international law and shall settle its international
disputes by peaceful means.
Section 122
The Government of the United States shall support applications by
the Government of the Federated States of Micronesia for membership or
other participation in regional or international organizations as may
be mutually agreed.
Section 123
(a) In recognition of the authority and responsibility of the
Government of the United States under Title Three, the Government of
the Federated States of Micronesia shall consult, in the conduct of its
foreign affairs, with the Government of the United States.
(b) In recognition of the foreign affairs capacity of the
Government of the Federated States of Micronesia, the Government of the
United States, in the conduct of its foreign affairs, shall consult
with the Government of the Federated States of Micronesia on matters
that the Government of the United States regards as relating to or
affecting the Government of the Federated States of Micronesia.
Section 124
The Government of the United States may assist or act on behalf of
the Government of the Federated States of Micronesia in the area of
foreign affairs as may be requested and mutually agreed from time to
time. The Government of the United States shall not be responsible to
third parties for the actions of the Government of the Federated States
of Micronesia undertaken with the assistance or through the agency of
the Government of the United States pursuant to this section unless
expressly agreed.
Section 125
The Government of the United States shall not be responsible for
nor obligated by any actions taken by the Government of the Federated
States of Micronesia in the area of foreign affairs, except as may from
time to time be expressly agreed.
Section 126
At the request of the Government of the Federated States of
Micronesia and subject to the consent of the receiving state, the
Government of the United States shall extend consular assistance on the
same basis as for citizens of the United States to citizens of the
Federated States of Micronesia for travel outside the Federated States
of Micronesia, the United States and its territories and possessions.
Section 127
Except as otherwise provided in this Compact, as amended, or its
related agreements, all obligations, responsibilities, rights and
benefits of the Government of the United States as Administering
Authority which resulted from the application pursuant to the
Trusteeship Agreement of any treaty or other international agreement to
the Trust Territory of the Pacific Islands on November 2, 1986, are, as
of that date, no longer assumed and enjoyed by the Government of the
United States.
Article III
Communications
Section 131
(a) The Government of the Federated States of Micronesia has full
authority and responsibility to regulate its domestic and foreign
communications, and the Government of the United States shall provide
communications assistance as mutually agreed.
(b) On May 24, 1993, the Government of the Federated States of
Micronesia elected to undertake all functions previously performed by
the Government of the United States with respect to domestic and
foreign communications, except for those functions set forth in a
separate agreement entered into pursuant to this section of the
Compact, as amended.
Section 132
The Government of the Federated States of Micronesia shall permit
the Government of the United States to operate telecommunications
services in the Federated States of Micronesia to the extent necessary
to fulfill the obligations of the Government of the United States under
this Compact, as amended, in accordance with the terms of separate
agreements entered into pursuant to this section of the Compact, as
amended.
Article IV
Immigration
Section 141
(a) In furtherance of the special and unique relationship that
exists between the United States and the Federated States of
Micronesia, under the Compact, as amended, any person in the following
categories may be admitted to, lawfully engage in occupations, and
establish residence as a nonimmigrant in the United States and its
territories and possessions (the ``United States'') without regard to
paragraph (5) or (7)(B)(i)(II) of section 212(a) of the Immigration and
Nationality Act, as amended, 8 U.S.C. 1182(a)(5) or (7)(B)(i)(II):
(1) a person who, on November 2, 1986, was a citizen of the
Trust Territory of the Pacific Islands, as defined in Title 53 of
the Trust Territory Code in force on January 1, 1979, and has
become and remains a citizen of the Federated States of Micronesia;
(2) a person who acquires the citizenship of the Federated
States of Micronesia at birth, on or after the effective date of
the Constitution of the Federated States of Micronesia;
(3) an immediate relative of a person referred to in paragraphs
(1) or (2) of this section, provided that such immediate relative
is a naturalized citizen of the Federated States of Micronesia who
has been an actual resident there for not less than five years
after attaining such naturalization and who holds a certificate of
actual residence, and further provided, that, in the case of a
spouse, such spouse has been married to the person referred to in
paragraph (1) or (2) of this section for at least five years, and
further provided, that the Government of the United States is
satisfied that such naturalized citizen meets the requirement of
subsection (b) of section 104 of Public Law 99-239 as it was in
effect on the day prior to the effective date of this Compact, as
amended;
(4) a naturalized citizen of the Federated States of Micronesia
who was an actual resident there for not less than five years after
attaining such naturalization and who satisfied these requirements
as of April 30, 2003, who continues to be an actual resident and
holds a certificate of actual residence, and whose name is included
in a list furnished by the Government of the Federated States of
Micronesia to the Government of the United States no later than the
effective date of the Compact, as amended, in form and content
acceptable to the Government of the United States, provided, that
the Government of the United States is satisfied that such
naturalized citizen meets the requirement of subsection (b) of
section 104 of Public Law 99-239 as it was in effect on the day
prior to the effective date of this Compact, as amended; or
(5) an immediate relative of a citizen of the Federated States
of Micronesia, regardless of the immediate relative's country of
citizenship or period of residence in the Federated States of
Micronesia, if the citizen of the Federated States of Micronesia is
serving on active duty in any branch of the United States Armed
Forces, or in the active reserves.
(b) Notwithstanding subsection (a) of this section, a person who is
coming to the United States pursuant to an adoption outside the United
States, or for the purpose of adoption in the United States, is
ineligible for admission under the Compact and the Compact, as amended.
This subsection shall apply to any person who is or was an applicant
for admission to the United States on or after March 1, 2003, including
any applicant for admission in removal proceedings (including appellate
proceedings) on or after March 1, 2003, regardless of the date such
proceedings were commenced. This subsection shall have no effect on the
ability of the Government of the United States or any United States
State or local government to commence or otherwise take any action
against any person or entity who has violated any law relating to the
adoption of any person.
(c) Notwithstanding subsection (a) of this section, no person who
has been or is granted citizenship in the Federated States of
Micronesia, or has been or is issued a Federated States of Micronesia
passport pursuant to any investment, passport sale, or similar program
has been or shall be eligible for admission to the United States under
the Compact or the Compact, as amended.
(d) A person admitted to the United States under the Compact, or
the Compact, as amended, shall be considered to have the permission of
the Government of the United States to accept employment in the United
States. An unexpired Federated States of Micronesia passport with
unexpired documentation issued by the Government of the United States
evidencing admission under the Compact or the Compact, as amended,
shall be considered to be documentation establishing identity and
employment authorization under section 274A(b)(1)(B) of the Immigration
and Nationality Act, as amended, 8 U.S.C. 1324a(b)(1)(B). The
Government of the United States will take reasonable and appropriate
steps to implement and publicize this provision, and the Government of
the Federated States of Micronesia will also take reasonable and
appropriate steps to publicize this provision.
(e) For purposes of the Compact and the Compact, as amended:
(1) the term ``residence'' with respect to a person means the
person's principal, actual dwelling place in fact, without regard
to intent, as provided in section 101(a)(33) of the Immigration and
Nationality Act, as amended, 8 U.S.C. 1101(a)(33), and variations
of the term ``residence,'' including ``resident'' and ``reside,''
shall be similarly construed;
(2) the term ``actual residence'' means physical presence in
the Federated States of Micronesia during eighty-five percent of
the five-year period of residency required by section 141(a)(3) and
(4);
(3) the term ``certificate of actual residence'' means a
certificate issued to a naturalized citizen by the Government of
the Federated States of Micronesia stating that the citizen has
complied with the actual residence requirement of section 141(a)(3)
or (4);
(4) the term ``nonimmigrant'' means an alien who is not an
``immigrant'' as defined in section 101(a)(15) of such Act, 8
U.S.C. 1101(a)(15); and
(5) the term ``immediate relative'' means a spouse, or
unmarried son or unmarried daughter less than 21 years of age.
(f) The Immigration and Nationality Act, as amended, shall apply to
any person admitted or seeking admission to the United States (other
than a United States possession or territory where such Act does not
apply) under the Compact or the Compact, as amended, and nothing in the
Compact or the Compact, as amended, shall be construed to limit,
preclude, or modify the applicability of, with respect to such person:
(1) any ground of inadmissibility or deportability under such
Act (except sections 212(a)(5) and 212(a)(7)(B)(i)(II) of such Act,
as provided in subsection (a) of this section), and any defense
thereto, provided that, section 237(a)(5) of such Act shall be
construed and applied as if it reads as follows: ``any alien who
has been admitted under the Compact, or the Compact, as amended,
who cannot show that he or she has sufficient means of support in
the United States, is deportable'';
(2) the authority of the Government of the United States under
section 214(a)(1) of such Act to provide that admission as a
nonimmigrant shall be for such time and under such conditions as
the Government of the United States may by regulations prescribe;
(3) except for the treatment of certain documentation for
purposes of section 274A(b)(1)(B) of such Act as provided by
subsection (d) of this section of the Compact, as amended, any
requirement under section 274A, including but not limited to
section 274A(b)(1)(E);
(4) section 643 of the Illegal Immigration Reform and Immigrant
Responsibility Act of 1996, Public Law 104-208, and actions taken
pursuant to section 643; and
(5) the authority of the Government of the United States
otherwise to administer and enforce the Immigration and Nationality
Act, as amended, or other United States law.
(g) Any authority possessed by the Government of the United States
under this section of the Compact or the Compact, as amended, may also
be exercised by the Government of a territory or possession of the
United States where the Immigration and Nationality Act, as amended,
does not apply, to the extent such exercise of authority is lawful
under a statute or regulation of such territory or possession that is
authorized by the laws of the United States.
(h) Subsection (a) of this section does not confer on a citizen of
the Federated States of Micronesia the right to establish the residence
necessary for naturalization under the Immigration and Nationality Act,
as amended, or to petition for benefits for alien relatives under that
Act. Subsection (a) of this section, however, shall not prevent a
citizen of the Federated States of Micronesia from otherwise acquiring
such rights or lawful permanent resident alien status in the United
States.
Section 142
(a) Any citizen or national of the United States may be admitted,
to lawfully engage in occupations, and reside in the Federated States
of Micronesia, subject to the rights of the Government of the Federated
States of Micronesia to deny entry to or deport any such citizen or
national as an undesirable alien. Any determination of inadmissibility
or deportability shall be based on reasonable statutory grounds and
shall be subject to appropriate administrative and judicial review
within the Federated States of Micronesia. If a citizen or national of
the United States is a spouse of a citizen of the Federated States of
Micronesia, the Government of the Federated States of Micronesia shall
allow the United States citizen spouse to establish residence. Should
the Federated States of Micronesia citizen spouse predecease the United
States citizen spouse during the marriage, the Government of the
Federated States of Micronesia shall allow the United States citizen
spouse to continue to reside in the Federated States of Micronesia.
(b) In enacting any laws or imposing any requirements with respect
to citizens and nationals of the United States entering the Federated
States of Micronesia under subsection (a) of this section, including
any grounds of inadmissibility or deportability, the Government of the
Federated States of Micronesia shall accord to such citizens and
nationals of the United States treatment no less favorable than that
accorded to citizens of other countries.
(c) Consistent with subsection (a) of this section, with respect to
citizens and nationals of the United States seeking to engage in
employment or invest in the Federated States of Micronesia, the
Government of the Federated States of Micronesia shall adopt
immigration-related procedures no less favorable than those adopted by
the Government of the United States with respect to citizens of the
Federated States of Micronesia seeking employment in the United States.
Section 143
Any person who relinquishes, or otherwise loses, his United States
nationality or citizenship, or his Federated States of Micronesia
citizenship, shall be ineligible to receive the privileges set forth in
sections 141 and 142. Any such person may apply for admission to the
United States or the Federated States of Micronesia, as the case may
be, in accordance with any other applicable laws of the United States
or the Federated States of Micronesia relating to immigration of aliens
from other countries. The laws of the Federated States of Micronesia or
the United States, as the case may be, shall dictate the terms and
conditions of any such person's stay.
Article V
Representation
Section 151
Relations between the Government of the United States and the
Government of the Federated States of Micronesia shall be conducted in
accordance with the Vienna Convention on Diplomatic Relations. In
addition to diplomatic missions and representation, the Governments may
establish and maintain other offices and designate other
representatives on terms and in locations as may be mutually agreed.
Section 152
(a) Any citizen or national of the United States who, without
authority of the United States, acts as the agent of the Government of
the Federated States of Micronesia with regard to matters specified in
the provisions of the Foreign Agents Registration Act of 1938, as
amended (22 U.S.C. 611 et seq.), that apply with respect to an agent of
a foreign principal shall be subject to the requirements of such Act.
Failure to comply with such requirements shall subject such citizen or
national to the same penalties and provisions of law as apply in the
case of the failure of such an agent of a foreign principal to comply
with such requirements. For purposes of the Foreign Agents Registration
Act of 1938, the Federated States of Micronesia shall be considered to
be a foreign country.
(b) Subsection (a) of this section shall not apply to a citizen or
national of the United States employed by the Government of the
Federated States of Micronesia with respect to whom the Government of
the Federated States of Micronesia from time to time certifies to the
Government of the United States that such citizen or national is an
employee of the Federated States of Micronesia whose principal duties
are other than those matters specified in the Foreign Agents
Registration Act of 1938, as amended, that apply with respect to an
agent of a foreign principal. The agency or officer of the United
States receiving such certifications shall cause them to be filed with
the Attorney General, who shall maintain a publicly available list of
the persons so certified.
Article VI
Environmental Protection
Section 161
The Governments of the United States and the Federated States of
Micronesia declare that it is their policy to promote efforts to
prevent or eliminate damage to the environment and biosphere and to
enrich understanding of the natural resources of the Federated States
of Micronesia. In order to carry out this policy, the Government of the
United States and the Government of the Federated States of Micronesia
agree to the following mutual and reciprocal undertakings.
(a) The Government of the United States:
(1) shall continue to apply the environmental controls in
effect on November 2, 1986 to those of its continuing activities
subject to section 161(a)(2), unless and until those controls are
modified under sections 161(a)(3) and 161(a)(4);
(2) shall apply the National Environmental Policy Act of 1969,
83 Stat. 852, 42 U.S.C. 4321 et seq., to its activities under the
Compact, as amended, and its related agreements as if the Federated
States of Micronesia were the United States;
(3) shall comply also, in the conduct of any activity requiring
the preparation of an Environmental Impact Statement under section
161(a)(2), with standards substantively similar to those required
by the following laws of the United States, taking into account the
particular environment of the Federated States of Micronesia: the
Endangered Species Act of 1973, as amended, 87 Stat. 884, 16 U.S.C.
1531 et seq.; the Clean Air Act, as amended, 77 Stat. 392, 42
U.S.C. Supp. 7401 et seq.; the Clean Water Act (Federal Water
Pollution Control Act), as amended, 86 Stat. 896, 33 U.S.C. 1251 et
seq.; Title I of the Marine Protection, Research and Sanctuaries
Act of 1972 (the Ocean Dumping Act), 33 U.S.C. 1411 et seq.; the
Toxic Substances Control Act, as amended, 15 U.S.C. 2601 et seq.;
the Solid Waste Disposal Act, as amended, 42 U.S.C. 6901 et seq.;
and such other environmental protection laws of the United States
and of the Federated States of Micronesia, as may be mutually
agreed from time to time with the Government of the Federated
States of Micronesia; and
(4) shall develop, prior to conducting any activity requiring
the preparation of an Environmental Impact Statement under section
161(a)(2), written standards and procedures, as agreed with the
Government of the Federated States of Micronesia, to implement the
substantive provisions of the laws made applicable to U.S.
Government activities in the Federated States of Micronesia,
pursuant to section 161(a)(3).
(b) The Government of the Federated States of Micronesia shall
continue to develop and implement standards and procedures to protect
its environment. As a reciprocal obligation to the undertakings of the
Government of the United States under this Article, the Federated
States of Micronesia, taking into account its particular environment,
shall continue to develop and implement standards for environmental
protection substantively similar to those required of the Government of
the United States by section 161(a)(3) prior to its conducting
activities in the Federated States of Micronesia, substantively
equivalent to activities conducted there by the Government of the
United States and, as a further reciprocal obligation, shall enforce
those standards.
(c) Section 161(a), including any standard or procedure applicable
thereunder, and section 161(b) may be modified or superseded in whole
or in part by agreement of the Government of the United States and the
Government of the Federated States of Micronesia.
(d) In the event that an Environmental Impact Statement is no
longer required under the laws of the United States for major Federal
actions significantly affecting the quality of the human environment,
the regulatory regime established under sections 161(a)(3) and
161(a)(4) shall continue to apply to such activities of the Government
of the United States until amended by mutual agreement.
(e) The President of the United States may exempt any of the
activities of the Government of the United States under this Compact,
as amended, and its related agreements from any environmental standard
or procedure which may be applicable under sections 161(a)(3) and
161(a)(4) if the President determines it to be in the paramount
interest of the Government of the United States to do so, consistent
with Title Three of this Compact, as amended, and the obligations of
the Government of the United States under international law. Prior to
any decision pursuant to this subsection, the views of the Government
of the Federated States of Micronesia shall be sought and considered to
the extent practicable. If the President grants such an exemption, to
the extent practicable, a report with his reasons for granting such
exemption shall be given promptly to the Government of the Federated
States of Micronesia.
(f) The laws of the United States referred to in section 161(a)(3)
shall apply to the activities of the Government of the United States
under this Compact, as amended, and its related agreements only to the
extent provided for in this section.
Section 162
The Government of the Federated States of Micronesia may bring an
action for judicial review of any administrative agency action or any
activity of the Government of the United States pursuant to section
161(a) for enforcement of the obligations of the Government of the
United States arising thereunder. The United States District Court for
the District of Hawaii and the United States District Court for the
District of Columbia shall have jurisdiction over such action or
activity, and over actions brought under section 172(b) which relate to
the activities of the Government of the United States and its officers
and employees, governed by section 161, provided that:
(a) Such actions may only be civil actions for any appropriate
civil relief other than punitive damages against the Government of
the United States or, where required by law, its officers in their
official capacity; no criminal actions may arise under this
section.
(b) Actions brought pursuant to this section may be initiated
only by the Government of the Federated States of Micronesia.
(c) Administrative agency actions arising under section 161
shall be reviewed pursuant to the standard of judicial review set
forth in 5 U.S.C. 706.
(d) The United States District Court for the District of Hawaii
and the United States District Court for the District of Columbia
shall have jurisdiction to issue all necessary processes, and the
Government of the United States agrees to submit itself to the
jurisdiction of the court; decisions of the United States District
Court shall be reviewable in the United States Court of Appeals for
the Ninth Circuit or the United States Court of Appeals for the
District of Columbia, respectively, or in the United States Supreme
Court as provided by the laws of the United States.
(e) The judicial remedy provided for in this section shall be
the exclusive remedy for the judicial review or enforcement of the
obligations of the Government of the United States under this
Article and actions brought under section 172(b) which relate to
the activities of the Government of the United States and its
officers and employees governed by section 161.
(f) In actions pursuant to this section, the Government of the
Federated States of Micronesia shall be treated as if it were a
United States citizen.
Section 163
(a) For the purpose of gathering data necessary to study the
environmental effects of activities of the Government of the United
States subject to the requirements of this Article, the Government of
the Federated States of Micronesia shall be granted access to
facilities operated by the Government of the United States in the
Federated States of Micronesia, to the extent necessary for this
purpose, except to the extent such access would unreasonably interfere
with the exercise of the authority and responsibility of the Government
of the United States under Title Three.
(b) The Government of the United States, in turn, shall be granted
access to the Federated States of Micronesia for the purpose of
gathering data necessary to discharge its obligations under this
Article, except to the extent such access would unreasonably interfere
with the exercise of the authority and responsibility of the Government
of the Federated States of Micronesia under Title One, and to the
extent necessary for this purpose shall be granted access to documents
and other information to the same extent similar access is provided the
Government of the Federated States of Micronesia under the Freedom of
Information Act, 5 U.S.C. 552.
(c) The Government of the Federated States of Micronesia shall not
impede efforts by the Government of the United States to comply with
applicable standards and procedures.
Article VII
General Legal Provisions
Section 171
Except as provided in this Compact, as amended, or its related
agreements, the application of the laws of the United States to the
Trust Territory of the Pacific Islands by virtue of the Trusteeship
Agreement ceased with respect to the Federated States of Micronesia on
November 3, 1986, the date the Compact went into effect.
Section 172
(a) Every citizen of the Federated States of Micronesia who is not
a resident of the United States shall enjoy the rights and remedies
under the laws of the United States enjoyed by any non-resident alien.
(b) The Government of the Federated States of Micronesia and every
citizen of the Federated States of Micronesia shall be considered to be
a ``person'' within the meaning of the Freedom of Information Act, 5
U.S.C. 552, and of the judicial review provisions of the Administrative
Procedure Act, 5 U.S.C. 701-706, except that only the Government of the
Federated States of Micronesia may seek judicial review under the
Administrative Procedure Act or judicial enforcement under the Freedom
of Information Act when such judicial review or enforcement relates to
the activities of the Government of the United States governed by
sections 161 and 162.
Section 173
The Governments of the United States and the Federated States of
Micronesia agree to adopt and enforce such measures, consistent with
this Compact, as amended, and its related agreements, as may be
necessary to protect the personnel, property, installations, services,
programs and official archives and documents maintained by the
Government of the United States in the Federated States of Micronesia
pursuant to this Compact, as amended, and its related agreements and by
the Government of the Federated States of Micronesia in the United
States pursuant to this Compact, as amended, and its related
agreements.
Section 174
Except as otherwise provided in this Compact, as amended, and its
related agreements:
(a) The Government of the Federated States of Micronesia, and
its agencies and officials, shall be immune from the jurisdiction
of the court of the United States, and the Government of the United
States, and its agencies and officials, shall be immune from the
jurisdiction of the courts of the Federated States of Micronesia.
(b) The Government of the United States accepts responsibility
for and shall pay:
(1) any unpaid money judgment rendered by the High Court of
the Trust Territory of the Pacific Islands against the
Government of the United States with regard to any cause of
action arising as a result of acts or omissions of the
Government of the Trust Territory of the Pacific Islands or the
Government of the United States prior to November 3, 1986;
(2) any claim settled by the claimant and the Government of
the Trust Territory of the Pacific Islands but not paid as of
the November 3, 1986; and
(3) settlement of any administrative claim or of any action
before a court of the Trust Territory of the Pacific Islands or
the Government of the United States, arising as a result of
acts or omissions of the Government of the Trust Territory of
the Pacific Islands or the Government of the United States.
(c) Any claim not referred to in section 174(b) and arising
from an act or omission of the Government of the Trust Territory of
the Pacific Islands or the Government of the United States prior to
the effective date of the Compact shall be adjudicated in the same
manner as a claim adjudicated according to section 174(d). In any
claim against the Government of the Trust Territory of the Pacific
Islands, the Government of the United States shall stand in the
place of the Government of the Trust Territory of the Pacific
Islands. A judgment on any claim referred to in section 174(b) or
this subsection, not otherwise satisfied by the Government of the
United States, may be presented for certification to the United
States Court of Appeals for the Federal Circuit, or its successor
courts, which shall have jurisdiction therefore, notwithstanding
the provisions of 28 U.S.C. 1502, and which court's decisions shall
be reviewable as provided by the laws of the United States. The
United States Court of Appeals for the Federal Circuit shall
certify such judgment, and order payment thereof, unless it finds,
after a hearing, that such judgment is manifestly erroneous as to
law or fact, or manifestly excessive. In either of such cases the
United States Court of Appeals for the Federal Circuit shall have
jurisdiction to modify such judgment.
(d) The Government of the Federated States of Micronesia shall
not be immune from the jurisdiction of the courts of the United
States, and the Government of the United States shall not be immune
from the jurisdiction of the courts of the Federated States of
Micronesia in any civil case in which an exception to foreign state
immunity is set forth in the Foreign Sovereign Immunities Act (28
U.S.C. 1602 et seq.) or its successor statutes.
Section 175
(a) A separate agreement, which shall come into effect
simultaneously with this Compact, as amended, and shall have the force
of law, shall govern mutual assistance and cooperation in law
enforcement matters, including the pursuit, capture, imprisonment and
extradition of fugitives from justice and the transfer of prisoners, as
well as other law enforcement matters. In the United States, the laws
of the United States governing international extradition, including 18
U.S.C. 3184, 3186 and 3188-95, shall be applicable to the extradition
of fugitives under the separate agreement, and the laws of the United
States governing the transfer of prisoners, including 18 U.S.C. 4100-
15, shall be applicable to the transfer of prisoners under the separate
agreement; and
(b) A separate agreement, which shall come into effect
simultaneously with this Compact, as amended, and shall have the force
of law, shall govern requirements relating to labor recruitment
practices, including registration, reporting, suspension or revocation
of authorization to recruit persons for employment in the United
States, and enforcement for violations of such requirements.
Section 176
The Government of the Federated States of Micronesia confirms that
final judgments in civil cases rendered by any court of the Trust
Territory of the Pacific Islands shall continue in full force and
effect, subject to the constitutional power of the courts of the
Federated States of Micronesia to grant relief from judgments in
appropriate cases.
Section 177
Section 177 of the Compact entered into force with respect to the
Federated States of Micronesia on November 3, 1986 as follows:
``(a) The Government of the United States accepts the
responsibility for compensation owing to citizens of the Marshall
Islands, or the Federated States of Micronesia, or Palau for loss
or damage to property and person of the citizens of the Marshall
Islands, or the Federated States of Micronesia, resulting from the
nuclear testing program which the Government of the United States
conducted in the Northern Marshall Islands between June 30, 1946,
and August 18, 1958.
``(b) The Government of the United States and the Government of
the Marshall Islands shall set forth in a separate agreement
provisions for the just and adequate settlement of all such claims
which have arisen in regard to the Marshall Islands and its
citizens and which have not as yet been compensated or which in the
future may arise, for the continued administration by the
Government of the United States of direct radiation related medical
surveillance and treatment programs and radiological monitoring
activities and for such additional programs and activities as may
be mutually agreed, and for the assumption by the Government of the
Marshall Islands of responsibility for enforcement of limitations
on the utilization of affected areas developed in cooperation with
the Government of the United States and for the assistance by the
Government of the United States in the exercise of such
responsibility as may be mutually agreed. This separate agreement
shall come into effect simultaneously with this Compact and shall
remain in effect in accordance with its own terms.
``(c) The Government of the United States shall provide to the
Government of the Marshall Islands, on a grant basis, the amount of
$150 million to be paid and distributed in accordance with the
separate agreement referred to in this Section, and shall provide
the services and programs set forth in this separate agreement, the
language of which is incorporated into this Compact.''.
The Compact, as amended, makes no changes to, and has no effect
upon, Section 177 of the Compact, nor does the Compact, as amended,
change or affect the separate agreement referred to in Section 177 of
the Compact including Articles IX and X of that separate agreement, and
measures taken by the parties thereunder.
Section 178
(a) The Federal agencies of the Government of the United States
that provide the services and related programs in the Federated States
of Micronesia pursuant to Title Two are authorized to settle and pay
tort claims arising in the Federated States of Micronesia from the
activities of such agencies or from the acts or omissions of the
employees of such agencies. Except as provided in section 178(b), the
provisions of 28 U.S.C. 2672 and 31 U.S.C. 1304 shall apply exclusively
to such administrative settlements and payments.
(b) Claims under section 178(a) that cannot be settled under
section 178(a) shall be disposed of exclusively in accordance with
Article II of Title Four. Arbitration awards rendered pursuant to this
subsection shall be paid out of funds under 31 U.S.C. 1304.
(c) The Government of the United States and the Government of the
Federated States of Micronesia shall, in the separate agreement
referred to in section 231, provide for:
(1) the administrative settlement of claims referred to in
section 178(a), including designation of local agents in each State
of the Federated States of Micronesia; such agents to be empowered
to accept, investigate and settle such claims, in a timely manner,
as provided in such separate agreements; and
(2) arbitration, referred to in section 178(b), in a timely
manner, at a site convenient to the claimant, in the event a claim
is not otherwise settled pursuant to section 178(a).
(d) The provisions of section 174(d) shall not apply to claims
covered by this section.
(e) Except as otherwise explicitly provided by law of the United
States, neither the Government of the United States, its
instrumentalities, nor any person acting on behalf of the Government of
the United States, shall be named a party in any action based on, or
arising out of, the activity or activities of a recipient of any grant
or other assistance provided by the Government of the United States (or
the activity or activities of the recipient's agency or any other
person or entity acting on behalf of the recipient).
Section 179
(a) The courts of the Federated States of Micronesia shall not
exercise criminal jurisdiction over the Government of the United
States, or its instrumentalities.
(b) The courts of the Federated States of Micronesia shall not
exercise criminal jurisdiction over any person if the Government of the
United States provides notification to the Government of the Federated
States of Micronesia that such person was acting on behalf of the
Government of the United States, for actions taken in furtherance of
section 221 or 224 of this amended Compact, or any other provision of
law authorizing financial, program, or service assistance to the
Federated States of Micronesia.
TITLE TWO
ECONOMIC RELATIONS
Article I
Grant Assistance
Section 211 - Sector Grants
(a) In order to assist the Government of the Federated States of
Micronesia in its efforts to promote the economic advancement,
budgetary self-reliance, and economic self-sufficiency of its people,
and in recognition of the special relationship that exists between the
Federated States of Micronesia and the United States, the Government of
the United States shall provide assistance on a sector grant basis for
a period of twenty years in the amounts set forth in section 216,
commencing on the effective date of this Compact, as amended. Such
grants shall be used for assistance in the sectors of education, health
care, private sector development, the environment, public sector
capacity building, and public infrastructure, or for other sectors as
mutually agreed, with priorities in the education and health care
sectors. For each year such sector grant assistance is made available,
the proposed division of this amount among these sectors shall be
certified to the Government of the United States by the Government of
the Federated States of Micronesia and shall be subject to the
concurrence of the Government of the United States. In such case, the
Government of the United States shall disburse the agreed upon amounts
and monitor the use of such sector grants in accordance with the
provisions of this Article and the Agreement Concerning Procedures for
the Implementation of United States Economic Assistance Provided in the
Compact, as Amended, of Free Association Between the Government of the
United States of America and the Government of the Federated States of
Micronesia (``Fiscal Procedures Agreement'') which shall come into
effect simultaneously with this Compact, as amended. The provision of
any United States assistance under the Compact, as amended, the Fiscal
Procedures Agreement, the Trust Fund Agreement, or any other subsidiary
agreement to the Compact, as amended, shall constitute ``a particular
distribution . . . required by the terms or special nature of the
assistance'' for purposes of Article XII, section 1(b) of the
Constitution of the Federated States of Micronesia.
(1) Education.--United States grant assistance shall be made
available in accordance with the plan described in subsection (c)
of this section to support and improve the educational system of
the Federated States of Micronesia and develop the human,
financial, and material resources necessary for the Government of
the Federated States of Micronesia to perform these services.
Emphasis should be placed on advancing a quality basic education
system.
(2) Health.--United States grant assistance shall be made
available in accordance with the plan described in subsection (c)
of this section to support and improve the delivery of preventive,
curative and environmental care and develop the human, financial,
and material resources necessary for the Government of the
Federated States of Micronesia to perform these services.
(3) Private sector development.--United States grant assistance
shall be made available in accordance with the plan described in
subsection (c) of this section to support the efforts of the
Government of the Federated States of Micronesia to attract foreign
investment and increase indigenous business activity by vitalizing
the commercial environment, ensuring fair and equitable application
of the law, promoting adherence to core labor standards, and
maintaining progress toward privatization of state-owned and
partially state-owned enterprises, and engaging in other reforms.
(4) Capacity building in the public sector.--United States
grant assistance shall be made available in accordance with the
plan described in subsection (c) of this section to support the
efforts of the Government of the Federated States of Micronesia to
build effective, accountable and transparent national, state, and
local government and other public sector institutions and systems.
(5) Environment.--United States grant assistance shall be made
available in accordance with the plan described in subsection (c)
of this section to increase environmental protection; conserve and
achieve sustainable use of natural resources; and engage in
environmental infrastructure planning, design construction and
operation.
(6) Public infrastructure.--
(i) U.S. annual grant assistance shall be made available in
accordance with a list of specific projects included in the
plan described in subsection (c) of this section to assist the
Government of the Federated States of Micronesia in its efforts
to provide adequate public infrastructure.
(ii) Infrastructure and maintenance Fund.--Five percent of
the annual public infrastructure grant made available under
paragraph (i) of this subsection shall be set aside, with an
equal contribution from the Government of the Federated States
of Micronesia, as a contribution to an Infrastructure
Maintenance Fund (IMF). Administration of the Infrastructure
Maintenance Fund shall be governed by the Fiscal Procedures
Agreement.
(b) Humanitarian Assistance.--Federated States of Micronesia
Program. In recognition of the special development needs of the
Federated States of Micronesia, the Government of the United States
shall make available to the Government of the Federated States of
Micronesia, on its request and to be deducted from the grant amount
made available under subsection (a) of this section, a Humanitarian
Assistance - Federated States of Micronesia (``HAFSM'') Program with
emphasis on health, education, and infrastructure (including
transportation), projects. The terms and conditions of the HAFSM shall
be set forth in the Agreement Regarding the Military Use and Operating
Rights of the Government of the United States in the Government of the
Federated States of Micronesia Concluded Pursuant to Sections 321 and
323 of the Compact of Free Association, as Amended which shall come
into effect simultaneously with the amendments to this Compact.
(c) Development Plan.--The Government of the Federated States of
Micronesia shall prepare and maintain an official overall development
plan. The plan shall be strategic in nature, shall be continuously
reviewed and updated through the annual budget process, and shall make
projections on a multi-year rolling basis. Each of the sectors named in
subsection (a) of this section, or other sectors as mutually agreed,
shall be accorded specific treatment in the plan. Insofar as grants
funds are involved, the plan shall be subject to the concurrence of the
Government of the United States.
(d) Disaster Assistance Emergency Fund.--An amount of two hundred
thousand dollars ($200,000) shall be provided annually, with an equal
contribution from the Government of the Federated States of Micronesia,
as a contribution to a ``Disaster Assistance Emergency Fund (DAEF).''
Any funds from the DAEF may be used only for assistance and
rehabilitation resulting from disasters and emergencies. The funds will
be accessed upon declaration by the Government of the Federated States
of Micronesia, with the concurrence of the United States Chief of
Mission to the Federated States of Micronesia. The Administration of
the DAEF shall be governed by the Fiscal Procedures Agreement.
Section 212 - Accountability
(a) Regulations and policies normally applicable to United States
financial assistance to its state and local governments, as reflected
in the Fiscal Procedures Agreement, shall apply to each sector grant
described in section 211, and to grants administered under section 221
below, except as modified in the separate agreements referred to in
section 231 of this Compact, as amended, or by United States law. The
Government of the United States, after annual consultations with the
Federated States of Micronesia, may attach reasonable terms and
conditions, including annual performance indicators that are necessary
to ensure effective use of United States assistance and reasonable
progress toward achieving program objectives. The Government of the
United States may seek appropriate remedies for noncompliance with the
terms and conditions attached to the assistance, or for failure to
comply with section 234, including withholding assistance.
(b) The Government of the United States shall, for each fiscal year
of the twenty years during which assistance is to be provided on a
sector grant basis under section 211, grant the Government of the
Federated States of Micronesia an amount equal to the lesser of (i) one
half of the reasonable, properly documented cost incurred during each
fiscal year to conduct the annual audit required under Article VIII (2)
of the Fiscal Procedures Agreement or (ii) $500,000. Such amount will
not be adjusted for inflation under section 217 or otherwise.
Section 213 - Joint Economic Management Committee
The Governments of the United States and the Federated States of
Micronesia shall establish a Joint Economic Management Committee,
composed of a U.S. chair, two other members from the Government of the
United States and two members from the Government of the Federated
States of Micronesia. The Joint Economic Management Committee shall
meet at least once each year to review the audits and reports required
under this Title, evaluate the progress made by the Federated States of
Micronesia in meeting the objectives identified in its plan described
in subsection (c) of section 211, with particular focus on those parts
of the plan dealing with the sectors identified in subsection (a) of
section 211, identify problems encountered, and recommend ways to
increase the effectiveness of U.S. assistance made available under this
Title. The establishment and operations of the Joint Economic
Management Committee shall be governed by the Fiscal Procedures
Agreement.
Section 214 - Annual Report
The Government of the Federated States of Micronesia shall report
annually to the President of the United States on the use of United
States sector grant assistance and other assistance and progress in
meeting mutually agreed program and economic goals. The Joint Economic
Management Committee shall review and comment on the report and make
appropriate recommendations based thereon.
Section 215 - Trust Fund
(a) The United States shall contribute annually for twenty years
from the effective date of this Compact, as amended, in the amounts set
forth in section 216 into a Trust Fund established in accordance with
the Agreement Between the Government of the United States of America
and the Government of the Federated States of Micronesia Implementing
Section 215 and Section 216 of the Compact, as Amended, Regarding a
Trust Fund (``Trust Fund Agreement''). Upon termination of the annual
financial assistance under section 211, the proceeds of the fund shall
thereafter be used for the purposes described in section 211 or as
otherwise mutually agreed.
(b) The United States contribution into the Trust Fund described in
subsection(a) of this section is conditioned on the Government of the
Federated States of Micronesia contributing to the Trust Fund at least
$30 million, prior to September 30, 2004. Any funds received by the
Federated States of Micronesia under section 111 (d) of Public Law 99-
239 (January 14, 1986), or successor provisions, would be contributed
to the Trust Fund as a Federated States of Micronesia contribution.
(c) The terms regarding the investment and management of funds and
use of the income of the Trust Fund shall be set forth in the separate
Trust Fund Agreement described in subsection (a) of this section. Funds
derived from United States investment shall not be subject to Federal
or state taxes in the United States or the Federated States of
Micronesia. The Trust Fund Agreement shall also provide for annual
reports to the Government of the United States and to the Government of
the Federated States of Micronesia. The Trust Fund Agreement shall
provide for appropriate distributions of trust fund proceeds to the
Federated States of Micronesia and for appropriate remedies for the
failure of the Federated States of Micronesia to use income of the
Trust Fund for the annual grant purposes set forth in section 211.
These remedies may include the return to the United States of the
present market value of its contributions to the Trust Fund and the
present market value of any undistributed income on the contributions
of the United States. If this Compact, as amended, is terminated, the
provisions of sections 451 through 453 of this Compact, as amended,
shall govern treatment of any U.S. contributions to the Trust Fund or
accrued interest thereon.
Section 216 - Sector Grant Funding and Trust Fund Contributions
The funds described in sections 211, 212(b) and 215 shall be made
available as follows:
[In millions of dollars]
----------------------------------------------------------------------------------------------------------------
Audit Grant
Fiscal year Annual Grants Section 212(b) Trust Fund Total
Section 211 (amount up to) Section 215
----------------------------------------------------------------------------------------------------------------
2004................................................ 76.2 .5 16 92.7
2005................................................ 76.2 .5 16 92.7
2006................................................ 76.2 .5 16 92.7
2007................................................ 75.4 .5 16.8 92.7
2008................................................ 74.6 .5 17.6 92.7
2009................................................ 73.8 .5 18.4 92.7
2010................................................ 73 .5 19.2 92.7
2011................................................ 72.2 .5 20 92.7
2012................................................ 71.4 .5 20.8 92.7
2013................................................ 70.6 .5 21.6 92.7
2014................................................ 69.8 .5 22.4 92.7
2015................................................ 69 .5 23.2 92.7
2016................................................ 68.2 .5 24 92.7
2017................................................ 67.4 .5 24.8 92.7
2018................................................ 66.6 .5 25.6 92.7
2019................................................ 65.8 .5 26.4 92.7
2020................................................ 65 .5 27.2 92.7
2021................................................ 64.2 .5 28 92.7
2022................................................ 63.4 .5 28.8 92.7
2023................................................ 62.6 .5 29.6 92.7
----------------------------------------------------------------------------------------------------------------
Section 217 - Inflation Adjustment
Except for the amounts provided for audits under section 212(b),
the amounts stated in this Title shall be adjusted for each United
States Fiscal Year by the percent that equals two-thirds of the percent
change in the United States Gross Domestic Product Implicit Price
Deflator, or 5 percent, whichever is less in any one year, using the
beginning of Fiscal Year 2004 as a base.
Section 218 - Carry-Over of Unused Funds
If in any year the funds made available by the Government of the
United States for that year pursuant to this Article are not completely
obligated by the Government of the Federated States of Micronesia, the
unobligated balances shall remain available in addition to the funds to
be provided in subsequent years.
Article II
Services and Program Assistance
Section 221
(a) Services.--The Government of the United States shall make
available to the Federated States of Micronesia, in accordance with and
to the extent provided in the Federal Programs and Services Agreement
referred to in section 231, the services and related programs of:
(1) the United States Weather Service;
(2) the United States Postal Service;
(3) the United States Federal Aviation Administration;
(4) the United States Department of Transportation;
(5) the Federal Deposit Insurance Corporation (for the benefit
only of the Bank of the Federated States of Micronesia); and
(6) the Department of Homeland Security, and the United States
Agency for International Development, Office of Foreign Disaster
Assistance.
Upon the effective date of this Compact, as amended, the United States
Departments and Agencies named or having responsibility to provide
these services and related programs shall have the authority to
implement the relevant provisions of the Federal Programs and Services
Agreement referred to in section 231.
(b) Programs.--
(1) With the exception of the services and programs covered by
subsection (a) of this section, and unless the Congress of the
United States provides otherwise, the Government of the United
States shall make available to the Federated States of Micronesia
the services and programs that were available to the Federated
States of Micronesia on the effective date of this Compact, as
amended, to the extent that such services and programs continue to
be available to State and local governments of the United States.
As set forth in the Fiscal Procedures Agreement, funds provided
under subsection (a) of section 211 will be considered to be local
revenues of the Government of the Federated States of Micronesia
when used as the local share required to obtain Federal programs
and services.
(2) Unless provided otherwise by U.S. law, the services and
programs described in paragraph (1) of this subsection shall be
extended in accordance with the terms of the Federal Programs and
Services Agreement referred to in section 231.
(c) The Government of the United States shall have and exercise
such authority as is necessary to carry out its responsibilities under
this Title and the separate agreements referred to in amended section
231, including the authority to monitor and administer all service and
program assistance provided by the United States to the Federated
States of Micronesia. The Federal Programs and Services Agreement
referred to in amended section 231 shall also set forth the extent to
which services and programs shall be provided to the Federated States
of Micronesia.
(d) Except as provided elsewhere in this Compact, as amended, under
any separate agreement entered into under this Compact, as amended, or
otherwise under U.S. law, all Federal domestic programs extended to or
operating in the Federated States of Micronesia shall be subject to all
applicable criteria, standards, reporting requirements, auditing
procedures, and other rules and regulations applicable to such programs
and services when operating in the United States.
(e) The Government of the United States shall make available to the
Federated States of Micronesia alternate energy development projects,
studies, and conservation measures to the extent provided for the
Freely Associated States in the laws of the United States.
Section 222
The Government of the United States and the Government of the
Federated States of Micronesia may agree from time to time to extend to
the Federated States of Micronesia additional United States grant
assistance, services and programs, as provided under the laws of the
United States. Unless inconsistent with such laws, or otherwise
specifically precluded by the Government of the United States at the
time such additional grant assistance, services, or programs are
extended, the Federal Programs and Services Agreement referred to
section 231 shall apply to any such assistance, services or programs.
Section 223
The Government of the Federated States of Micronesia shall make
available to the Government of the United States at no cost such land
as may be necessary for the operations of the services and programs
provided pursuant to this Article, and such facilities as are provided
by the Government of the Federated States of Micronesia at no cost to
the Government of the United States as of the effective date of this
Compact, as amended, or as may be mutually agreed thereafter.
Section 224
The Government of the Federated States of Micronesia may request,
from time to time, technical assistance from the Federal agencies and
institutions of the Government of the United States, which are
authorized to grant such technical assistance in accordance with its
laws. If technical assistance is granted pursuant to such a request,
the Government of the United States shall provide the technical
assistance in a manner which gives priority consideration to the
Federated States of Micronesia over other recipients not a part of the
United States, its territories or possessions, and equivalent
consideration to the Federated States of Micronesia with respect to
other states in Free Association with the United States. Such
assistance shall be made available on a reimbursable or non-
reimbursable basis to the extent provided by United States law.
Article III
Administrative Provisions
Section 231
The specific nature, extent and contractual arrangements of the
services and programs provided for in section 221 of this Compact, as
amended, as well as the legal status of agencies of the Government of
the United States, their civilian employees and contractors, and the
dependents of such personnel while present in the Federated States of
Micronesia, and other arrangements in connection with the assistance,
services, or programs furnished by the Government of the United States,
are set forth in a Federal Programs and Services Agreement which shall
come into effect simultaneously with this Compact, as amended.
Section 232
The Government of the United States, in consultation with the
Government of the Federated States of Micronesia, shall determine and
implement procedures for the periodic audit of all grants and other
assistance made under Article I of this Title and of all funds expended
for the services and programs provided under Article II of this Title.
Further, in accordance with the Fiscal Procedures Agreement described
in subsection (a) of section 211, the Comptroller General of the United
States shall have such powers and authorities as described in sections
102 (c) and 110 (c) of Public Law 99-239, 99 Stat. 1777-78, and 99
Stat. 1799 (January 14, 1986).
Section 233
Approval of this Compact, as amended, by the Government of the
United States, in accordance with its constitutional processes, shall
constitute a pledge by the United States that the sums and amounts
specified as sector grants in section 211 of this Compact, as amended,
shall be appropriated and paid to the Federated States of Micronesia
for such period as those provisions of this Compact, as amended, remain
in force, subject to the terms and conditions of this Title and related
subsidiary agreements.
Section 234
The Government of the Federated States of Micronesia pledges to
cooperate with, permit, and assist if reasonably requested, designated
and authorized representatives of the Government of the United States
charged with investigating whether Compact funds, or any other
assistance authorized under this Compact, as amended, have, or are
being, used for purposes other than those set forth in this Compact, as
amended, or its subsidiary agreements. In carrying out this
investigative authority, such United States Government representatives
may request that the Government of the Federated States of Micronesia
subpoena documents and records and compel testimony in accordance with
the laws and Constitution of the Federated States of Micronesia. Such
assistance by the Government of the Federated States of Micronesia to
the Government of the United States shall not be unreasonably withheld.
The obligation of the Government of the Federated States of Micronesia
to fulfill its pledge herein is a condition to its receiving payment of
such funds or other assistance authorized under this Compact, as
amended. The Government of the United States shall pay any reasonable
costs for extraordinary services executed by the Government of the
Federated States of Micronesia in carrying out the provisions of this
section.
Article IV
Trade
Section 241
The Federated States of Micronesia is not included in the customs
territory of the United States.
Section 242
The President shall proclaim the following tariff treatment for
articles imported from the Federated States of Micronesia which shall
apply during the period of effectiveness of this title:
(a) Unless otherwise excluded, articles imported from the
Federated States of Micronesia, subject to the limitations imposed
under section 503(b) of title V of the Trade Act of 1974 (19 U.S.C.
2463(b)), shall be exempt from duty.
(b) Only tuna in airtight containers provided for in heading
1604.14.22 of the Harmonized Tariff Schedule of the United States
that is imported from the Federated States of Micronesia and the
Republic of the Marshall Islands during any calendar year not to
exceed 10 percent of apparent United States consumption of tuna in
airtight containers during the immediately preceding calendar year,
as reported by the National Marine Fisheries Service, shall be
exempt from duty; but the quantity of tuna given duty-free
treatment under this paragraph for any calendar year shall be
counted against the aggregated quantity of tuna in airtight
containers that is dutiable under rate column numbered 1 of such
heading 1604.14.22 for that calendar year.
(c) The duty-free treatment provided under subsection (a) shall
not apply to--
(1) watches, clocks, and timing apparatus provided for in
Chapter 91, excluding heading 9113, of the Harmonized Tariff
Schedule of the United States;
(2) buttons (whether finished or not finished) provided for
in items 9606.21.40 and 9606.29.20 of such Schedule;
(3) textile and apparel articles which are subject to
textile agreements; and
(4) footwear, handbags, luggage, flat goods, work gloves,
and leather wearing apparel which were not eligible articles
for purposes of title V of the Trade Act of 1974 (19 U.S.C.
2461, et seq.) on April 1, 1984.
(d) If the cost or value of materials produced in the customs
territory of the United States is included with respect to an
eligible article which is a product of the Federated States of
Micronesia, an amount not to exceed 15 percent of the appraised
value of the article at the time it is entered that is attributable
to such United States cost or value may be applied for duty
assessment purposes toward determining the percentage referred to
in section 503(a)(2) of title V of the Trade Act of 1974.
Section 243
Articles imported from the Federated States of Micronesia which are
not exempt from duty under subsections (a), (b), (c), and (d) of
section 242 shall be subject to the rates of duty set forth in column
numbered 1-general of the Harmonized Tariff Schedule of the United
States (HTSUS).
Section 244
(a) All products of the United States imported into the Federated
States of Micronesia shall receive treatment no less favorable than
that accorded like products of any foreign country with respect to
customs duties or charges of a similar nature and with respect to laws
and regulations relating to importation, exportation, taxation, sale,
distribution, storage or use.
(b) The provisions of subsection (a) shall not apply to advantages
accorded by the Federated States of Micronesia by virtue of their full
membership in the Pacific Island Countries Trade Agreement (PICTA),
done on August 18, 2001, to those governments listed in Article 26 of
PICTA, as of the date the Compact, as amended, is signed.
(c) Prior to entering into consultations on, or concluding, a free
trade agreement with governments not listed in Article 26 of PICTA, the
Federated States of Micronesia shall consult with the United States
regarding whether or how subsection (a) of section 244 shall be
applied.
Article V
Finance and Taxation
Section 251
The currency of the United States is the official circulating legal
tender of the Federated States of Micronesia. Should the Government of
the Federated States of Micronesia act to institute another currency,
the terms of an appropriate currency transitional period shall be as
agreed with the Government of the United States.
Section 252
The Government of the Federated States of Micronesia may, with
respect to United States persons, tax income derived from sources
within its respective jurisdiction, property situated therein,
including transfers of such property by gift or at death, and products
consumed therein, in such manner as the Government of the Federated
States of Micronesia deems appropriate. The determination of the source
of any income, or the situs of any property, shall for purposes of this
Compact be made according to the United States Internal Revenue Code.
Section 253
A citizen of the Federated States of Micronesia, domiciled therein,
shall be exempt from estate, gift, and generation-skipping transfer
taxes imposed by the Government of the United States, provided that
such citizen of the Federated States of Micronesia is neither a citizen
nor a resident of the United States.
Section 254
(a) In determining any income tax imposed by the Government of the
Federated States of Micronesia, the Government of the Federated States
of Micronesia shall have authority to impose tax upon income derived by
a resident of the Federated States of Micronesia from sources without
the Federated States of Micronesia, in the same manner and to the same
extent as the Government of the Federated States of Micronesia imposes
tax upon income derived from within its own jurisdiction. If the
Government of the Federated States of Micronesia exercises such
authority as provided in this subsection, any individual resident of
the Federated States of Micronesia who is subject to tax by the
Government of the United States on income which is also taxed by the
Government of the Federated States of Micronesia shall be relieved of
liability to the Government of the United States for the tax which, but
for this subsection, would otherwise be imposed by the Government of
the United States on such income. However, the relief from liability to
the United States Government referred to in the preceding sentence
means only relief in the form of the foreign tax credit (or deduction
in lieu thereof) available with respect to the income taxes of a
possession of the United States, and relief in the form of the
exclusion under section 911 of the Internal Revenue Code of 1986. For
purposes of this section, the term ``resident of the Federated States
of Micronesia'' shall be deemed to include any person who was
physically present in the Federated States of Micronesia for a period
of 183 or more days during any taxable year.
(b) If the Government of the Federated States of Micronesia
subjects income to taxation substantially similar to that imposed by
the Trust Territory Code in effect on January 1, 1980, such Government
shall be deemed to have exercised the authority described in section
254(a).
Section 255
For purposes of section 274(h)(3)(A) of the United States Internal
Revenue Code of 1986, the term ``North American Area'' shall include
the Federated States of Micronesia.
TITLE THREE
SECURITY AND DEFENSE RELATIONS
Article I
Authority and Responsibility
Section 311
(a) The Government of the United States has full authority and
responsibility for security and defense matters in or relating to the
Federated States of Micronesia.
(b) This authority and responsibility includes:
(1) the obligation to defend the Federated States of Micronesia
and its people from attack or threats thereof as the United States
and its citizens are defended;
(2) the option to foreclose access to or use of the Federated
States of Micronesia by military personnel or for the military
purposes of any third country; and
(3) the option to establish and use military areas and
facilities in the Federated States of Micronesia, subject to the
terms of the separate agreements referred to in sections 321 and
323.
(c) The Government of the United States confirms that it shall act
in accordance with the principles of international law and the Charter
of the United Nations in the exercise of this authority and
responsibility.
Section 312
Subject to the terms of any agreements negotiated in accordance
with sections 321 and 323, the Government of the United States may
conduct within the lands, waters and airspace of the Federated States
of Micronesia the activities and operations necessary for the exercise
of its authority and responsibility under this Title.
Section 313
(a) The Government of the Federated States of Micronesia shall
refrain from actions that the Government of the United States
determines, after appropriate consultation with that Government, to be
incompatible with its authority and responsibility for security and
defense matters in or relating to the Federated States of Micronesia.
(b) The consultations referred to in this section shall be
conducted expeditiously at senior levels of the two Governments, and
the subsequent determination by the Government of the United States
referred to in this section shall be made only at senior interagency
levels of the Government of the United States.
(c) The Government of the Federated States of Micronesia shall be
afforded, on an expeditious basis, an opportunity to raise its concerns
with the United States Secretary of State personally and the United
States Secretary of Defense personally regarding any determination made
in accordance with this section.
Section 314
(a) Unless otherwise agreed, the Government of the United States
shall not, in the Federated States of Micronesia:
(1) test by detonation or dispose of any nuclear weapon, nor
test, dispose of, or discharge any toxic chemical or biological
weapon; or
(2) test, dispose of, or discharge any other radioactive, toxic
chemical or biological materials in an amount or manner which would
be hazardous to public health or safety.
(b) Unless otherwise agreed, other than for transit or overflight
purposes or during time of a national emergency declared by the
President of the United States, a state of war declared by the Congress
of the United States or as necessary to defend against an actual or
impending armed attack on the United States, the Federated States of
Micronesia or the Republic of the Marshall Islands, the Government of
the United States shall not store in the Federated States of Micronesia
or the Republic of the Marshall Islands any toxic chemical weapon, nor
any radioactive materials nor any toxic chemical materials intended for
weapons use.
(c) Radioactive, toxic chemical, or biological materials not
intended for weapons use shall not be affected by section 314(b).
(d) No material or substance referred to in this section shall be
stored in the Federated States of Micronesia except in an amount and
manner which would not be hazardous to public health or safety. In
determining what shall be an amount or manner which would be hazardous
to public health or safety under this section, the Government of the
United States shall comply with any applicable mutual agreement,
international guidelines accepted by the Government of the United
States, and the laws of the United States and their implementing
regulations.
(e) Any exercise of the exemption authority set forth in section
161(e) shall have no effect on the obligations of the Government of the
United States under this section or on the application of this
subsection.
(f) The provisions of this section shall apply in the areas in
which the Government of the Federated States of Micronesia exercises
jurisdiction over the living resources of the seabed, subsoil or water
column adjacent to its coasts.
Section 315
The Government of the United States may invite members of the armed
forces of other countries to use military areas and facilities in the
Federated States of Micronesia, in conjunction with and under the
control of United States Armed Forces. Use by units of the armed forces
of other countries of such military areas and facilities, other than
for transit and overflight purposes, shall be subject to consultation
with and, in the case of major units, approval of the Government of the
Federated States of Micronesia.
Section 316
The authority and responsibility of the Government of the United
States under this Title may not be transferred or otherwise assigned.
Article II
Defense Facilities and Operating Rights
Section 321
(a) Specific arrangements for the establishment and use by the
Government of the United States of military areas and facilities in the
Federated States of Micronesia are set forth in separate agreements,
which shall remain in effect in accordance with the terms of such
agreements.
(b) If, in the exercise of its authority and responsibility under
this Title, the Government of the United States requires the use of
areas within the Federated States of Micronesia in addition to those
for which specific arrangements are concluded pursuant to section
321(a), it may request the Government of the Federated States of
Micronesia to satisfy those requirements through leases or other
arrangements. The Government of the Federated States of Micronesia
shall sympathetically consider any such request and shall establish
suitable procedures to discuss it with and provide a prompt response to
the Government of the United States.
(c) The Government of the United States recognizes and respects the
scarcity and special importance of land in the Federated States of
Micronesia. In making any requests pursuant to section 321(b), the
Government of the United States shall follow the policy of requesting
the minimum area necessary to accomplish the required security and
defense purpose, of requesting only the minimum interest in real
property necessary to support such purpose, and of requesting first to
satisfy its requirement through public real property, where available,
rather than through private real property.
Section 322
The Government of the United States shall provide and maintain
fixed and floating aids to navigation in the Federated States of
Micronesia at least to the extent necessary for the exercise of its
authority and responsibility under this Title.
Section 323
The military operating rights of the Government of the United
States and the legal status and contractual arrangements of the United
States Armed Forces, their members, and associated civilians, while
present in the Federated States of Micronesia are set forth in separate
agreements, which shall remain in effect in accordance with the terms
of such agreements.
Article III
Defense Treaties and International Security Agreements
Section 331
Subject to the terms of this Compact, as amended, and its related
agreements, the Government of the United States, exclusively, has
assumed and enjoys, as to the Federated States of Micronesia, all
obligations, responsibilities, rights and benefits of:
(a) Any defense treaty or other international security agreement
applied by the Government of the United States as Administering
Authority of the Trust Territory of the Pacific Islands as of November
2, 1986.
(b) Any defense treaty or other international security agreement to
which the Government of the United States is or may become a party
which it determines to be applicable in the Federated States of
Micronesia. Such a determination by the Government of the United States
shall be preceded by appropriate consultation with the Government of
the Federated States of Micronesia.
Article IV
Service in Armed Forces of the United States
Section 341
Any person entitled to the privileges set forth in Section 141
(with the exception of any person described in section 141(a)(5) who is
not a citizen of the Federated States of Micronesia) shall be eligible
to volunteer for service in the Armed Forces of the United States, but
shall not be subject to involuntary induction into military service of
the United States as long as such person has resided in the United
States for a period of less than one year, provided that no time shall
count towards this one year while a person admitted to the United
States under the Compact, or the Compact, as amended, is engaged in
full-time study in the United States. Any person described in section
141(a)(5) who is not a citizen of the Federated States of Micronesia
shall be subject to United States laws relating to selective service.
Section 342
The Government of the United States shall have enrolled, at any one
time, at least one qualified student from the Federated States of
Micronesia, as may be nominated by the Government of the Federated
States of Micronesia, in each of:
(a) The United States Coast Guard Academy pursuant to 14 U.S.C.
195.
(b) The United States Merchant Marine Academy pursuant to 46 U.S.C.
1295(b)(6), provided that the provisions of 46 U.S.C. 1295b(b)(6)(C)
shall not apply to the enrollment of students pursuant to section
342(b) of this Compact, as amended.
Article V
General Provisions
Section 351
(a) The Government of the United States and the Government of the
Federated States of Micronesia shall continue to maintain a Joint
Committee empowered to consider disputes arising under the
implementation of this Title and its related agreements.
(b) The membership of the Joint Committee shall comprise selected
senior officials of the two Governments. The senior United States
military commander in the Pacific area shall be the senior United
States member of the Joint Committee. For the meetings of the Joint
Committee, each of the two Governments may designate additional or
alternate representatives as appropriate for the subject matter under
consideration.
(c) Unless otherwise mutually agreed, the Joint Committee shall
meet annually at a time and place to be designated, after appropriate
consultation, by the Government of the United States. The Joint
Committee also shall meet promptly upon request of either of its
members. The Joint Committee shall follow such procedures, including
the establishment of functional subcommittees, as the members may from
time to time agree. Upon notification by the Government of the United
States, the Joint Committee of the United States and the Federated
States of Micronesia shall meet promptly in a combined session with the
Joint Committee established and maintained by the Government of the
United States and the Republic of the Marshall Islands to consider
matters within the jurisdiction of the two Joint Committees.
(d) Unresolved issues in the Joint Committee shall be referred to
the Governments for resolution, and the Government of the Federated
States of Micronesia shall be afforded, on an expeditious basis, an
opportunity to raise its concerns with the United States Secretary of
Defense personally regarding any unresolved issue which threatens its
continued association with the Government of the United States.
Section 352
In the exercise of its authority and responsibility under Title
Three, the Government of the United States shall accord due respect to
the authority and responsibility of the Government of the Federated
States of Micronesia under Titles One, Two and Four and to the
responsibility of the Government of the Federated States of Micronesia
to assure the well-being of its people.
Section 353
(a) The Government of the United States shall not include the
Government of the Federated States of Micronesia as a named party to a
formal declaration of war, without that Government's consent.
(b) Absent such consent, this Compact, as amended, is without
prejudice, on the ground of belligerence or the existence of a state of
war, to any claims for damages which are advanced by the citizens,
nationals or Government of the Federated States of Micronesia, which
arise out of armed conflict subsequent to November 3, 1986, and which
are:
(1) petitions to the Government of the United States for
redress; or
(2) claims in any manner against the government, citizens,
nationals or entities of any third country.
(c) Petitions under section 353(b)(1) shall be treated as if they
were made by citizens of the United States.
Section 354
(a) The Government of the United States and the Government of the
Federated States of Micronesia are jointly committed to continue their
security and defense relations, as set forth in this Title.
Accordingly, it is the intention of the two countries that the
provisions of this Title shall remain binding as long as this Compact,
as amended, remains in effect, and thereafter as mutually agreed,
unless earlier terminated by mutual agreement pursuant to section 441,
or amended pursuant to Article III of Title Four. If at any time the
Government of the United States, or the Government of the Federated
States of Micronesia, acting unilaterally, terminates this Title, such
unilateral termination shall be considered to be termination of the
entire Compact, in which case the provisions of section 442 and 452 (in
the case of termination by the Government of the United States) or
sections 443 and 453 (in the case of termination by the Government of
the Federated States of Micronesia), with the exception of paragraph
(3) of subsection (a) of section 452 or paragraph (3) of subsection (a)
of section 453, as the case may be, shall apply.
(b) The Government of the United States recognizes, in view of the
special relationship between the Government of the United States and
the Government of the Federated States of Micronesia, and in view of
the existence of the separate agreement regarding mutual security
concluded with the Government of the Federated States of Micronesia
pursuant to sections 321 and 323, that, even if this Title should
terminate, any attack on the Federated States of Micronesia during the
period in which such separate agreement is in effect, would constitute
a threat to the peace and security of the entire region and a danger to
the United States. In the event of such an attack, the Government of
the United States would take action to meet the danger to the United
States and to the Federated States of Micronesia in accordance with its
constitutional processes.
(c) As reflected in Article 21(1)(b) of the Trust Fund Agreement,
the Government of the United States and the Government of the Federated
States of Micronesia further recognize, in view of the special
relationship between their countries, that even if this Title should
terminate, the Government of the Federated States of Micronesia shall
refrain from actions which the Government of the United States
determines, after appropriate consultation with that Government, to be
incompatible with its authority and responsibility for security and
defense matters in or relating to the Federated States of Micronesia or
the Republic of the Marshall Islands.
TITLE FOUR
GENERAL PROVISIONS
Article I
Approval and Effective Date
Section 411
Pursuant to section 432 of the Compact and subject to subsection
(e) of section 461 of the Compact, as amended, the Compact, as amended,
shall come into effect upon mutual agreement between the Government of
the United States and the Government of the Federated States of
Micronesia subsequent to completion of the following:
(a) Approval by the Government of the Federated States of
Micronesia in accordance with its constitutional processes.
(b) Approval by the Government of the United States in
accordance with its constitutional processes.
Article II
Conference and Dispute Resolution
Section 421
The Government of the United States shall confer promptly at the
request of the Government of the Federated States of Micronesia and
that Government shall confer promptly at the request of the Government
of the United States on matters relating to the provisions of this
Compact, as amended, or of its related agreements.
Section 422
In the event the Government of the United States or the Government
of the Federated States of Micronesia, after conferring pursuant to
section 421, determines that there is a dispute and gives written
notice thereof, the two Governments shall make a good faith effort to
resolve the dispute between themselves.
Section 423
If a dispute between the Government of the United States and the
Government of the Federated States of Micronesia cannot be resolved
within 90 days of written notification in the manner provided in
section 422, either party to the dispute may refer it to arbitration in
accordance with section 424.
Section 424
Should a dispute be referred to arbitration as provided for in
section 423, an Arbitration Board shall be established for the purpose
of hearing the dispute and rendering a decision which shall be binding
upon the two parties to the dispute unless the two parties mutually
agree that the decision shall be advisory. Arbitration shall occur
according to the following terms:
(a) An Arbitration Board shall consist of a Chairman and two
other members, each of whom shall be a citizen of a party to the
dispute. Each of the two Governments which is a party to the
dispute shall appoint one member to the Arbitration Board. If
either party to the dispute does not fulfill the appointment
requirements of this section within 30 days of referral of the
dispute to arbitration pursuant to section 423, its member on the
Arbitration Board shall be selected from its own standing list by
the other party to the dispute. Each Government shall maintain a
standing list of 10 candidates. The parties to the dispute shall
jointly appoint a Chairman within 15 days after selection of the
other members of the Arbitration Board. Failing agreement on a
Chairman, the Chairman shall be chosen by lot from the standing
lists of the parties to the dispute within 5 days after such
failure.
(b) Unless otherwise provided in this Compact, as amended, or
its related agreements, the Arbitration Board shall have
jurisdiction to hear and render its final determination on all
disputes arising exclusively under Articles I, II, III, IV and V of
Title One, Title Two, Title Four, and their related agreements.
(c) Each member of the Arbitration Board shall have one vote.
Each decision of the Arbitration Board shall be reached by majority
vote.
(d) In determining any legal issue, the Arbitration Board may
have reference to international law and, in such reference, shall
apply as guidelines the provisions set forth in Article 38 of the
Statute of the International Court of Justice.
(e) The Arbitration Board shall adopt such rules for its
proceedings as it may deem appropriate and necessary, but such
rules shall not contravene the provisions of this Compact, as
amended. Unless the parties provide otherwise by mutual agreement,
the Arbitration Board shall endeavor to render its decision within
30 days after the conclusion of arguments. The Arbitration Board
shall make findings of fact and conclusions of law and its members
may issue dissenting or individual opinions. Except as may be
otherwise decided by the Arbitration Board, one-half of all costs
of the arbitration shall be borne by the Government of the United
States and the remainder shall be borne by the Government of the
Federated States of Micronesia.
Article III
Amendment
Section 431
The provisions of this Compact, as amended, may be further amended
by mutual agreement of the Government of the United States and the
Government of the Federated States of Micronesia, in accordance with
their respective constitutional processes.
Article IV
Termination
Section 441
This Compact, as amended, may be terminated by mutual agreement of
the Government of the Federated States of Micronesia and the Government
of the United States, in accordance with their respective
constitutional processes. Such mutual termination of this Compact, as
amended, shall be without prejudice to the continued application of
section 451 of this Compact, as amended, and the provisions of the
Compact, as amended, set forth therein.
Section 442
Subject to section 452, this Compact, as amended, may be terminated
by the Government of the United States in accordance with its
constitutional processes. Such termination shall be effective on the
date specified in the notice of termination by the Government of the
United States but not earlier than six months following delivery of
such notice. The time specified in the notice of termination may be
extended. Such termination of this Compact, as amended, shall be
without prejudice to the continued application of section 452 of this
Compact, as amended, and the provisions of the Compact, as amended, set
forth therein.
Section 443
This Compact, as amended, shall be terminated by the Government of
the Federated States of Micronesia, pursuant to its constitutional
processes, subject to section 453 if the people represented by that
Government vote in a plebiscite to terminate the Compact, as amended,
or by another process permitted by the FSM constitution and mutually
agreed between the Governments of the United States and the Federated
States of Micronesia. The Government of the Federated States of
Micronesia shall notify the Government of the United States of its
intention to call such a plebiscite, or to pursue another mutually
agreed and constitutional process, which plebiscite or process shall
take place not earlier than three months after delivery of such notice.
The plebiscite or other process shall be administered by the Government
of the Federated States of Micronesia in accordance with its
constitutional and legislative processes. If a majority of the valid
ballots cast in the plebiscite or other process favors termination, the
Government of the Federated States of Micronesia shall, upon
certification of the results of the plebiscite or other process, give
notice of termination to the Government of the United States, such
termination to be effective on the date specified in such notice but
not earlier than three months following the date of delivery of such
notice. The time specified in the notice of termination may be
extended.
Article V
Survivability
Section 451
(a) Should termination occur pursuant to section 441, economic and
other assistance by the Government of the United States shall continue
only if and as mutually agreed by the Governments of the United States
and the Federated States of Micronesia, and in accordance with the
parties' respective constitutional processes.
(b) In view of the special relationship of the United States and
the Federated States of Micronesia, as reflected in subsections (b) and
(c) of section 354 of this Compact, as amended, and the separate
agreement entered into consistent with those subsections, if
termination occurs pursuant to section 441 prior to the twentieth
anniversary of the effective date of this Compact, as amended, the
United States shall continue to make contributions to the Trust Fund
described in section 215 of this Compact, as amended.
(c) In view of the special relationship of the United States and
the Federated States of Micronesia described in subsection (b) of this
section, if termination occurs pursuant to section 441 following the
twentieth anniversary of the effective date of this Compact, as
amended, the Federated States of Micronesia shall be entitled to
receive proceeds from the Trust Fund described in section 215 of this
Compact, as amended, in the manner described in those provisions and
the Trust Fund Agreement governing the distribution of such proceeds.
Section 452
(a) Should termination occur pursuant to section 442 prior to the
twentieth anniversary of the effective date of this Compact, as
amended, the following provisions of this Compact, as amended, shall
remain in full force and effect until the twentieth anniversary of the
effective date of this Compact, as amended, and thereafter as mutually
agreed:
(1) Article VI and sections 172, 173, 176 and 177 of Title One;
(2) Sections 232 and 234 of Title Two;
(3) Title Three; and
(4) Articles II, III, V and VI of Title Four.
(b) Should termination occur pursuant to section 442 before the
twentieth anniversary of the effective date of the Compact, as amended:
(1) Except as provided in paragraph (2) of this subsection and
subsection (c) of this section, economic and other assistance by
the United States shall continue only if and as mutually agreed by
the Governments of the United States and the Federated States of
Micronesia.
(2) In view of the special relationship of the United States
and the Federated States of Micronesia, as reflected in subsections
(b) and (c) of section 354 of this Compact, as amended, and the
separate agreement regarding mutual security, and the Trust Fund
Agreement, the United States shall continue to make contributions
to the Trust Fund described in section 215 of this Compact, as
amended, in the manner described in the Trust Fund Agreement.
(c) In view of the special relationship of the United States and
the Federated States of Micronesia, as reflected in subsections 354(b)
and (c) of this Compact, as amended, and the separate agreement
regarding mutual security, and the Trust Fund Agreement, if termination
occurs pursuant to section 442 following the twentieth anniversary of
the effective date of this Compact, as amended, the Federated States of
Micronesia shall continue to be eligible to receive proceeds from the
Trust Fund described in section 215 of this Compact, as amended, in the
manner described in those provisions and the Trust Fund Agreement.
Section 453
(a) Should termination occur pursuant to section 443 prior to the
twentieth anniversary of the effective date of this Compact, as
amended, the following provisions of this Compact, as amended, shall
remain in full force and effect until the twentieth anniversary of the
effective date of this Compact, as amended, and thereafter as mutually
agreed:
(1) Article VI and sections 172, 173, 176 and 177 of Title One;
(2) Sections 232 and 234 of Title Two;
(3) Title Three; and
(4) Articles II, III, V and VI of Title Four.
(b) Upon receipt of notice of termination pursuant to section 443,
the Government of the United States and the Government of the Federated
States of Micronesia shall promptly consult with regard to their future
relationship. Except as provided in subsection (c) and (d) of this
section, these consultations shall determine the level of economic and
other assistance, if any, which the Government of the United States
shall provide to the Government of the Federated States of Micronesia
for the period ending on the twentieth anniversary of the effective
date of this Compact, as amended, and for any period thereafter, if
mutually agreed.
(c) In view of the special relationship of the United States and
the Federated States of Micronesia, as reflected in subsections 354(b)
and (c) of this Compact, as amended, and the separate agreement
regarding mutual security, and the Trust Fund Agreement, if termination
occurs pursuant to section 443 prior to the twentieth anniversary of
the effective date of this Compact, as amended, the United States shall
continue to make contributions to the Trust Fund described in section
215 of this Compact, as amended, in the manner described in the Trust
Fund Agreement.
(d) In view of the special relationship of the United States and
the Federated States of Micronesia, as reflected in subsections 354(b)
and (c) of this Compact, as amended, and the separate agreement
regarding mutual security, and the Trust Fund Agreement, if termination
occurs pursuant to section 443 following the twentieth anniversary of
the effective date of this Compact, as amended, the Federated States of
Micronesia shall continue to be eligible to receive proceeds from the
Trust Fund described in section 215 of this Compact, as amended, in the
manner described in those provisions and the Trust Fund Agreement.
Section 454
Notwithstanding any other provision of this Compact, as amended:
(a) The Government of the United States reaffirms its
continuing interest in promoting the economic advancement and
budgetary self-reliance of the people of the Federated States of
Micronesia.
(b) The separate agreements referred to in Article II of Title
Three shall remain in effect in accordance with their terms.
Article VI
Definition of Terms
Section 461
For the purpose of this Compact, as amended, only, and without
prejudice to the views of the Government of the United States or the
Government of the Federated States of Micronesia as to the nature and
extent of the jurisdiction of either of them under international law,
the following terms shall have the following meanings:
(a) ``Trust Territory of the Pacific Islands'' means the area
established in the Trusteeship Agreement consisting of the former
administrative districts of Kosrae, Yap, Ponape, the Marshall
Islands and Truk as described in Title One, Trust Territory Code,
section 1, in force on January 1, 1979. This term does not include
the area of Palau or the Northern Mariana Islands.
(b) ``Trusteeship Agreement'' means the agreement setting forth
the terms of trusteeship for the Trust Territory of the Pacific
Islands, approved by the Security Council of the United Nations
April 2, 1947, and by the United States July 18, 1947, entered into
force July 18, 1947, 61 Stat. 3301, T.I.A.S. 1665, 8 U.N.T.S. 189.
(c) ``The Federated States of Micronesia'' and ``the Republic
of the Marshall Islands'' are used in a geographic sense and
include the land and water areas to the outer limits of the
territorial sea and the air space above such areas as now or
hereafter recognized by the Government of the United States.
(d) ``Compact'' means the Compact of Free Association Between
the United States and the Federated States of Micronesia and the
Marshall Islands, that was approved by the United States Congress
in section 201 of Public Law 99-239 (Jan. 14, 1986) and went into
effect with respect to the Federated States of Micronesia on
November 3, 1986.
(e) ``Compact, as amended'' means the Compact of Free
Association Between the United States and the Federated States of
Micronesia, as amended. The effective date of the Compact, as
amended, shall be on a date to be determined by the President of
the United States, and agreed to by the Government of the Federated
States of Micronesia, following formal approval of the Compact, as
amended, in accordance with section 411 of this Compact, as
amended.
(f) ``Government of the Federated States of Micronesia'' means
the Government established and organized by the Constitution of the
Federated States of Micronesia including all the political
subdivisions and entities comprising that Government.
(g) ``Government of the Republic of the Marshall Islands''
means the Government established and organized by the Constitution
of the Republic of the Marshall Islands including all the political
subdivisions and entities comprising that Government.
(h) The following terms shall be defined consistent with the
1998 Edition of the Radio Regulations of the International
Telecommunications Union as follows:
(1) ``Radiocommunication'' means telecommunication by means
of radio waves.
(2) ``Station'' means one or more transmitters or receivers
or a combination of transmitters and receivers, including the
accessory equipment, necessary at one location for carrying on
a radiocommunication service, or the radio astronomy service.
(3) ``Broadcasting Service'' means a radiocommunication
service in which the transmissions are intended for direct
reception by the general public. This service may include sound
transmissions, television transmissions or other types of
transmission.
(4) ``Broadcasting Station'' means a station in the
broadcasting service.
(5) ``Assignment (of a radio frequency or radio frequency
channel)'' means an authorization given by an administration
for a radio station to use a radio frequency or radio frequency
channel under specified conditions.
(6) ``Telecommunication'' means any transmission, emission
or reception of signs, signals, writings, images and sounds or
intelligence of any nature by wire, radio, optical or other
electromagnetic systems.
(i) ``Military Areas and Facilities'' means those areas and
facilities in the Federated States of Micronesia reserved or
acquired by the Government of the Federated States of Micronesia
for use by the Government of the United States, as set forth in the
separate agreements referred to in section 321.
(j) ``Tariff Schedules of the United States'' means the Tariff
Schedules of the United States as amended from time to time and as
promulgated pursuant to United States law and includes the Tariff
Schedules of the United States Annotated (TSUSA), as amended.
(k) ``Vienna Convention on Diplomatic Relations'' means the
Vienna Convention on Diplomatic Relations, done April 18, 1961, 23
U.S.T. 3227, T.I.A.S. 7502, 500 U.N.T.S. 95.
Section 462
(a) The Government of the United States and the Government of the
Federated States of Micronesia previously have concluded agreements
pursuant to the Compact, which shall remain in effect and shall survive
in accordance with their terms, as follows:
(1) Agreement Concluded Pursuant to Section 234 of the Compact;
(2) Agreement Between the Government of the United States and
the Government of the Federated States of Micronesia Regarding
Friendship, Cooperation and Mutual Security Concluded Pursuant to
Sections 321 and 323 of the Compact of Free Association; and
(3) Agreement Between the Government of the United States of
America and the Federated States of Micronesia Regarding Aspects of
the Marine Sovereignty and Jurisdiction of the Federated States of
Micronesia.
(b) The Government of the United States and the Government of the
Federated States of Micronesia shall conclude prior to the date of
submission of this Compact, as amended, to the legislatures of the two
countries, the following related agreements which shall come into
effect on the effective date of this Compact, as amended, and shall
survive in accordance with their terms, as follows:
(1) Federal Programs and Services Agreement Between the
Government of the United States of America and the Government of
the Federated States of Micronesia Concluded Pursuant to Article
III of Title One, Article II of Title Two (including Section 222),
and Section 231 of the Compact of Free Association, as amended
which includes:
(i) Postal Services and Related Programs;
(ii) Weather Services and Related Programs;
(iii) Civil Aviation Safety Service and Related Programs;
(iv) Civil Aviation Economic Services and Related Programs;
(v) United States Disaster Preparedness and Response
Services and Related Programs;
(vi) Federal Deposit Insurance Corporation Services and
Related Programs; and
(vii) Telecommunications Services and Related Programs.
(2) Agreement Between the Government of the United States of
America and the Government of the Federated States of Micronesia on
Extradition, Mutual Assistance in Law Enforcement Matters and Penal
Sanctions Concluded Pursuant to Section 175(a) of the Compact of
Free Association, as amended;
(3) Agreement Between the Government of the United States of
America and the Government of the Federated States of Micronesia on
Labor Recruitment Concluded Pursuant to Section 175(b) of the
Compact of Free Association, as amended;
(4) Agreement Concerning Procedures for the Implementation of
United States Economic Assistance Provided in the Compact of Free
Association, as Amended, of Free Association Between the Government
of the United States of America and Government of the Federated
States of Micronesia;
(5) Agreement Between the Government of the United States of
America and the Government of the Federated States of Micronesia
Implementing Section 215 and Section 216 of the Compact, as
Amended, Regarding a Trust Fund;
(6) Agreement Regarding the Military Use and Operating Rights
of the Government of the United States in the Federated States of
Micronesia Concluded Pursuant to Sections 211(b), 321 and 323 of
the Compact of Free Association, as Amended; and the
(7) Status of Forces Agreement Between the Government of the
United States of America and the Government of the Federated States
of Micronesia Concluded Pursuant to Section 323 of the Compact of
Free Association, as Amended.
Section 463
(a) Except as set forth in subsection (b) of this section, any
reference in this Compact, as amended, to a provision of the United
States Code or the Statutes at Large of the United States constitutes
the incorporation of the language of such provision into this Compact,
as amended, as such provision was in force on the effective date of
this Compact, as amended.
(b) Any reference in Articles IV and Article VI of Title One and
Sections 174, 175, 178 and 342 to a provision of the United States Code
or the Statutes at Large of the United States or to the Privacy Act,
the Freedom of Information Act, the Administrative Procedure Act or the
Immigration and Nationality Act constitutes the incorporation of the
language of such provision into this Compact, as amended, as such
provision was in force on the effective date of this Compact, as
amended, or as it may be amended thereafter on a non-discriminatory
basis according to the constitutional processes of the United States.
Article VII
Concluding Provisions
Section 471
Both the Government of the United States and the Government of the
Federated States of Micronesia shall take all necessary steps, of a
general or particular character, to ensure, no later than the entry
into force date of this Compact, as amended, the conformity of its
laws, regulations and administrative procedures with the provisions of
this Compact, as amended, or in the case of subsection (d) of section
141, as soon as reasonably possible thereafter.
Section 472
This Compact, as amended, may be accepted, by signature or
otherwise, by the Government of the United States and the Government of
the Federated States of Micronesia.
IN WITNESS WHEREOF, the undersigned, duly authorized, have signed
this Compact of Free Association, as amended, which shall enter into
force upon the exchange of diplomatic notes by which the Government of
the United States of America and the Government of the Federated States
of Micronesia inform each other about the fulfillment of their
respective requirements for entry into force.
DONE at Pohnpei, Federated States of Micronesia, in duplicate, this
fourteenth (14) day of May, 2003, each text being equally authentic.
Signed (May 14, 2003)
Signed (May 14, 2003)
For the Government of the
For the Government of the
United States of America:
Federated States of Micronesia:
Ambassador Larry M. Dinger
His Excellency Jesse B. Marehalau
U.S. Ambassador to the
Ambassador Extraordinary and
Federated States of Micronesia
Plenipotentiary
(b) Compact of Free Association, as Amended, Between the Government
of the United States of America and the Government of the Republic of
the Marshall Islands.--The Compact of Free Association, as amended,
between the Government of the United States of America and the
Government of the Republic of the Marshall Islands is as follows:
PREAMBLE
THE GOVERNMENT OF THE UNITED STATES OF AMERICA AND THE GOVERNMENT OF
THE REPUBLIC OF THE MARSHALL ISLANDS
Affirming that their Governments and their relationship as
Governments are founded upon respect for human rights and fundamental
freedoms for all, and that the people of the Republic of the Marshall
Islands have the right to enjoy self-government; and
Affirming the common interests of the United States of America and
the Republic of the Marshall Islands in creating and maintaining their
close and mutually beneficial relationship through the free and
voluntary association of their respective Governments; and
Affirming the interest of the Government of the United States in
promoting the economic advancement and budgetary self-reliance of the
Republic of the Marshall Islands; and
Recognizing that their relationship until the entry into force on
October 21, 1986 of the Compact was based upon the International
Trusteeship System of the United Nations Charter, and in particular
Article 76 of the Charter; and that pursuant to Article 76 of the
Charter, the people of the Republic of the Marshall Islands have
progressively developed their institutions of self-government, and that
in the exercise of their sovereign right to self-determination they,
through their freely-expressed wishes, have adopted a Constitution
appropriate to their particular circumstances; and
Recognizing that the Compact reflected their common desire to
terminate the Trusteeship and establish a government-to-government
relationship which was in accordance with the new political status
based on the freely expressed wishes of the people of the Republic of
the Marshall Islands and appropriate to their particular circumstances;
and
Recognizing that the people of the Republic of the Marshall Islands
have and retain their sovereignty and their sovereign right to self-
determination and the inherent right to adopt and amend their own
Constitution and form of government and that the approval of the entry
of the Government of the Republic of the Marshall Islands into the
Compact by the people of the Republic of the Marshall Islands
constituted an exercise of their sovereign right to self-determination;
and
Recognizing the common desire of the people of the United States
and the people of the Republic of the Marshall Islands to maintain
their close government-to-government relationship, the United States
and the Republic of the Marshall Islands:
NOW, THEREFORE, MUTUALLY AGREE to continue and strengthen their
relationship of free association by amending the Compact, which
continues to provide a full measure of self-government for the people
of the Republic of the Marshall Islands; and
FURTHER AGREE that the relationship of free association derives
from and is as set forth in this Compact, as amended, by the
Governments of the United States and the Republic of the Marshall
Islands; and that, during such relationship of free association, the
respective rights and responsibilities of the Government of the United
States and the Government of the Republic of the Marshall Islands in
regard to this relationship of free association derive from and are as
set forth in this Compact, as amended.
TITLE ONE
GOVERNMENTAL RELATIONS
Article I
Self-Government
Section 111
The people of the Republic of the Marshall Islands, acting through
the Government established under their Constitution, are self-
governing.
Article II
Foreign Affairs
Section 121
(a) The Government of the Republic of the Marshall Islands has the
capacity to conduct foreign affairs and shall do so in its own name and
right, except as otherwise provided in this Compact, as amended.
(b) The foreign affairs capacity of the Government of the Republic
of the Marshall Islands includes:
(1) the conduct of foreign affairs relating to law of the sea
and marine resources matters, including the harvesting,
conservation, exploration or exploitation of living and non-living
resources from the sea, seabed or subsoil to the full extent
recognized under international law;
(2) the conduct of its commercial, diplomatic, consular,
economic, trade, banking, postal, civil aviation, communications,
and cultural relations, including negotiations for the receipt of
developmental loans and grants and the conclusion of arrangements
with other governments and international and intergovernmental
organizations, including any matters specially benefiting its
individual citizens.
(c) The Government of the United States recognizes that the
Government of the Republic of the Marshall Islands has the capacity to
enter into, in its own name and right, treaties and other international
agreements with governments and regional and international
organizations.
(d) In the conduct of its foreign affairs, the Government of the
Republic of the Marshall Islands confirms that it shall act in
accordance with principles of international law and shall settle its
international disputes by peaceful means.
Section 122
The Government of the United States shall support applications by
the Government of the Republic of the Marshall Islands for membership
or other participation in regional or international organizations as
may be mutually agreed.
Section 123
(a) In recognition of the authority and responsibility of the
Government of the United States under Title Three, the Government of
the Republic of the Marshall Islands shall consult, in the conduct of
its foreign affairs, with the Government of the United States.
(b) In recognition of the foreign affairs capacity of the
Government of the Republic of the Marshall Islands, the Government of
the United States, in the conduct of its foreign affairs, shall consult
with the Government of the Republic of the Marshall Islands on matters
that the Government of the United States regards as relating to or
affecting the Government of the Republic of the Marshall Islands.
Section 124
The Government of the United States may assist or act on behalf of
the Government of the Republic of the Marshall Islands in the area of
foreign affairs as may be requested and mutually agreed from time to
time. The Government of the United States shall not be responsible to
third parties for the actions of the Government of the Republic of the
Marshall Islands undertaken with the assistance or through the agency
of the Government of the United States pursuant to this section unless
expressly agreed.
Section 125
The Government of the United States shall not be responsible for
nor obligated by any actions taken by the Government of the Republic of
the Marshall Islands in the area of foreign affairs, except as may from
time to time be expressly agreed.
Section 126
At the request of the Government of the Republic of the Marshall
Islands and subject to the consent of the receiving state, the
Government of the United States shall extend consular assistance on the
same basis as for citizens of the United States to citizens of the
Republic of the Marshall Islands for travel outside the Republic of the
Marshall Islands, the United States and its territories and
possessions.
Section 127
Except as otherwise provided in this Compact, as amended, or its
related agreements, all obligations, responsibilities, rights and
benefits of the Government of the United States as Administering
Authority which resulted from the application pursuant to the
Trusteeship Agreement of any treaty or other international agreement to
the Trust Territory of the Pacific Islands on October 20, 1986, are, as
of that date, no longer assumed and enjoyed by the Government of the
United States.
Article III
Communications
Section 131
(a) The Government of the Republic of the Marshall Islands has full
authority and responsibility to regulate its domestic and foreign
communications, and the Government of the United States shall provide
communications assistance as mutually agreed.
(b) The Government of the Republic of the Marshall Islands has
elected to undertake all functions previously performed by the
Government of the United States with respect to domestic and foreign
communications, except for those functions set forth in a separate
agreement entered into pursuant to this section of the Compact, as
amended.
Section 132
The Government of the Republic of the Marshall Islands shall permit
the Government of the United States to operate telecommunications
services in the Republic of the Marshall Islands to the extent
necessary to fulfill the obligations of the Government of the United
States under this Compact, as amended, in accordance with the terms of
separate agreements entered into pursuant to this section of the
Compact, as amended.
Article IV
Immigration
Section 141
(a) In furtherance of the special and unique relationship that
exists between the United States and the Republic of the Marshall
Islands, under the Compact, as amended, any person in the following
categories may be admitted to lawfully engage in occupations, and
establish residence as a nonimmigrant in the United States and its
territories and possessions (the ``United States'') without regard to
paragraphs (5) or (7)(B)(i)(II) of section 212(a) of the Immigration
and Nationality Act, as amended, 8 U.S.C. 1182(a)(5) or (7)(B)(i)(II):
(1) a person who, on October 21, 1986, was a citizen of the
Trust Territory of the Pacific Islands, as defined in Title 53 of
the Trust Territory Code in force on January 1, 1979, and has
become and remains a citizen of the Republic of the Marshall
Islands;
(2) a person who acquires the citizenship of the Republic of
the Marshall Islands at birth, on or after the effective date of
the Constitution of the Republic of the Marshall Islands;
(3) an immediate relative of a person referred to in paragraphs
(1) or (2) of this section, provided that such immediate relative
is a naturalized citizen of the Republic of the Marshall Islands
who has been an actual resident there for not less than five years
after attaining such naturalization and who holds a certificate of
actual residence, and further provided, that, in the case of a
spouse, such spouse has been married to the person referred to in
paragraph (1) or (2) of this section for at least five years, and
further provided, that the Government of the United States is
satisfied that such naturalized citizen meets the requirement of
subsection (b) of section 104 of Public Law 99-239 as it was in
effect on the day prior to the effective date of this Compact, as
amended;
(4) a naturalized citizen of the Republic of the Marshall
Islands who was an actual resident there for not less than five
years after attaining such naturalization and who satisfied these
requirements as of April 30, 2003, who continues to be an actual
resident and holds a certificate of actual residence, and whose
name is included in a list furnished by the Government of the
Republic of the Marshall Islands to the Government of the United
States no later than the effective date of the Compact, as amended,
in form and content acceptable to the Government of the United
States, provided, that the Government of the United States is
satisfied that such naturalized citizen meets the requirement of
subsection (b) of section 104 of Public Law 99-239 as it was in
effect on the day prior to the effective date of this Compact, as
amended; or
(5) an immediate relative of a citizen of the Republic of the
Marshall Islands, regardless of the immediate relative's country of
citizenship or period of residence in the Republic of the Marshall
Islands, if the citizen of the Republic of the Marshall Islands is
serving on active duty in any branch of the United States Armed
Forces, or in the active reserves.
(b) Notwithstanding subsection (a) of this section, a person who is
coming to the United States pursuant to an adoption outside the United
States, or for the purpose of adoption in the United States, is
ineligible for admission under the Compact and the Compact, as amended.
This subsection shall apply to any person who is or was an applicant
for admission to the United States on or after March 1, 2003, including
any applicant for admission in removal proceedings (including appellate
proceedings) on or after March 1, 2003, regardless of the date such
proceedings were commenced. This subsection shall have no effect on the
ability of the Government of the United States or any United States
State or local government to commence or otherwise take any action
against any person or entity who has violated any law relating to the
adoption of any person.
(c) Notwithstanding subsection (a) of this section, no person who
has been or is granted citizenship in the Republic of the Marshall
Islands, or has been or is issued a Republic of the Marshall Islands
passport pursuant to any investment, passport sale, or similar program
has been or shall be eligible for admission to the United States under
the Compact or the Compact, as amended.
(d) A person admitted to the United States under the Compact, or
the Compact, as amended, shall be considered to have the permission of
the Government of the United States to accept employment in the United
States. An unexpired Republic of the Marshall Islands passport with
unexpired documentation issued by the Government of the United States
evidencing admission under the Compact or the Compact, as amended,
shall be considered to be documentation establishing identity and
employment authorization under section 274A(b)(1)(B) of the Immigration
and Nationality Act, as amended, 8 U.S.C. 1324a(b)(1)(B). The
Government of the United States will take reasonable and appropriate
steps to implement and publicize this provision, and the Government of
the Republic of the Marshall Islands will also take reasonable and
appropriate steps to publicize this provision.
(e) For purposes of the Compact and the Compact, as amended:
(1) the term ``residence'' with respect to a person means the
person's principal, actual dwelling place in fact, without regard
to intent, as provided in section 101(a)(33) of the Immigration and
Nationality Act, as amended, 8 U.S.C. 1101(a)(33), and variations
of the term ``residence,'' including ``resident'' and ``reside,''
shall be similarly construed;
(2) the term ``actual residence'' means physical presence in
the Republic of the Marshall Islands during eighty-five percent of
the five-year period of residency required by section 141(a)(3) and
(4);
(3) the term ``certificate of actual residence'' means a
certificate issued to a naturalized citizen by the Government of
the Republic of the Marshall Islands stating that the citizen has
complied with the actual residence requirement of section 141(a)(3)
or (4);
(4) the term ``nonimmigrant'' means an alien who is not an
``immigrant'' as defined in section 101(a)(15) of such Act, 8
U.S.C. 1101(a)(15); and
(5) the term ``immediate relative'' means a spouse, or
unmarried son or unmarried daughter less than 21 years of age.
(f) The Immigration and Nationality Act, as amended, shall apply to
any person admitted or seeking admission to the United States (other
than a United States possession or territory where such Act does not
apply) under the Compact or the Compact, as amended, and nothing in the
Compact or the Compact, as amended, shall be construed to limit,
preclude, or modify the applicability of, with respect to such person:
(1) any ground of inadmissibility or deportability under such
Act (except sections 212(a)(5) and 212(a)(7)(B)(i)(II) of such Act,
as provided in subsection (a) of this section), and any defense
thereto, provided that, section 237(a)(5) of such Act shall be
construed and applied as if it reads as follows: ``any alien who
has been admitted under the Compact, or the Compact, as amended,
who cannot show that he or she has sufficient means of support in
the United States, is deportable;''
(2) the authority of the Government of the United States under
section 214(a)(1) of such Act to provide that admission as a
nonimmigrant shall be for such time and under such conditions as
the Government of the United States may by regulations prescribe;
(3) except for the treatment of certain documentation for
purposes of section 274A(b)(1)(B) of such Act as provided by
subsection (d) of this section of the Compact, as amended, any
requirement under section 274A, including but not limited to
section 274A(b)(1)(E);
(4) section 643 of the Illegal Immigration Reform and Immigrant
Responsibility Act of 1996, Public Law 104-208, and actions taken
pursuant to section 643; and
(5) the authority of the Government of the United States
otherwise to administer and enforce the Immigration and Nationality
Act, as amended, or other United States law.
(g) Any authority possessed by the Government of the United States
under this section of the Compact or the Compact, as amended, may also
be exercised by the Government of a territory or possession of the
United States where the Immigration and Nationality Act, as amended,
does not apply, to the extent such exercise of authority is lawful
under a statute or regulation of such territory or possession that is
authorized by the laws of the United States.
(h) Subsection (a) of this section does not confer on a citizen of
the Republic of the Marshall Islands the right to establish the
residence necessary for naturalization under the Immigration and
Nationality Act, as amended, or to petition for benefits for alien
relatives under that Act. Subsection (a) of this section, however,
shall not prevent a citizen of the Republic of the Marshall Islands
from otherwise acquiring such rights or lawful permanent resident alien
status in the United States.
Section 142
(a) Any citizen or national of the United States may be admitted to
lawfully engage in occupations, and reside in the Republic of the
Marshall Islands, subject to the rights of the Government of the
Republic of the Marshall Islands to deny entry to or deport any such
citizen or national as an undesirable alien. Any determination of
inadmissibility or deportability shall be based on reasonable statutory
grounds and shall be subject to appropriate administrative and judicial
review within the Republic of the Marshall Islands. If a citizen or
national of the United States is a spouse of a citizen of the Republic
of the Marshall Islands, the Government of the Republic of the Marshall
Islands shall allow the United States citizen spouse to establish
residence. Should the Republic of the Marshall Islands citizen spouse
predecease the United States citizen spouse during the marriage, the
Government of the Republic of the Marshall Islands shall allow the
United States citizen spouse to continue to reside in the Republic of
the Marshall Islands.
(b) In enacting any laws or imposing any requirements with respect
to citizens and nationals of the United States entering the Republic of
the Marshall Islands under subsection (a) of this section, including
any grounds of inadmissibility or deportability, the Government of the
Republic of the Marshall Islands shall accord to such citizens and
nationals of the United States treatment no less favorable than that
accorded to citizens of other countries.
(c) Consistent with subsection (a) of this section, with respect to
citizens and nationals of the United States seeking to engage in
employment or invest in the Republic of the Marshall Islands, the
Government of the Republic of the Marshall Islands shall adopt
immigration-related procedures no less favorable than those adopted by
the Government of the United States with respect to citizens of the
Republic of the Marshall Islands seeking employment in the United
States.
Section 143
Any person who relinquishes, or otherwise loses, his United States
nationality or citizenship, or his Republic of the Marshall Islands
citizenship, shall be ineligible to receive the privileges set forth in
sections 141 and 142. Any such person may apply for admission to the
United States or the Republic of the Marshall Islands, as the case may
be, in accordance with any other applicable laws of the United States
or the Republic of the Marshall Islands relating to immigration of
aliens from other countries. The laws of the Republic of the Marshall
Islands or the United States, as the case may be, shall dictate the
terms and conditions of any such person's stay.
Article V
Representation
Section 151
Relations between the Government of the United States and the
Government of the Republic of the Marshall Islands shall be conducted
in accordance with the Vienna Convention on Diplomatic Relations. In
addition to diplomatic missions and representation, the Governments may
establish and maintain other offices and designate other
representatives on terms and in locations as may be mutually agreed.
Section 152
(a) Any citizen or national of the United States who, without
authority of the United States, acts as the agent of the Government of
the Republic of the Marshall Islands with regard to matters specified
in the provisions of the Foreign Agents Registration Act of 1938, as
amended (22 U.S.C. 611 et seq.), that apply with respect to an agent of
a foreign principal shall be subject to the requirements of such Act.
Failure to comply with such requirements shall subject such citizen or
national to the same penalties and provisions of law as apply in the
case of the failure of such an agent of a foreign principal to comply
with such requirements. For purposes of the Foreign Agents Registration
Act of 1938, the Republic of the Marshall Islands shall be considered
to be a foreign country.
(b) Subsection (a) of this section shall not apply to a citizen or
national of the United States employed by the Government of the
Republic of the Marshall Islands with respect to whom the Government of
the Republic of the Marshall Islands from time to time certifies to the
Government of the United States that such citizen or national is an
employee of the Republic of the Marshall Islands whose principal duties
are other than those matters specified in the Foreign Agents
Registration Act of 1938, as amended, that apply with respect to an
agent of a foreign principal. The agency or officer of the United
States receiving such certifications shall cause them to be filed with
the Attorney General, who shall maintain a publicly available list of
the persons so certified.
Article VI
Environmental Protection
Section 161
The Governments of the United States and the Republic of the
Marshall Islands declare that it is their policy to promote efforts to
prevent or eliminate damage to the environment and biosphere and to
enrich understanding of the natural resources of the Republic of the
Marshall Islands. In order to carry out this policy, the Government of
the United States and the Government of the Republic of the Marshall
Islands agree to the following mutual and reciprocal undertakings:
(a) The Government of the United States:
(1) shall, for its activities controlled by the U.S. Army
at Kwajalein Atoll and in the Mid-Atoll Corridor and for U.S.
Army Kwajalein Atoll activities in the Republic of the Marshall
Islands, continue to apply the Environmental Standards and
Procedures for United States Army Kwajalein Atoll Activities in
the Republic of the Marshall Islands, unless and until those
Standards or Procedures are modified by mutual agreement of the
Governments of the United States and the Republic of the
Marshall Islands;
(2) shall apply the National Environmental Policy Act of
1969, 83 Stat. 852, 42 U.S.C. 4321 et seq., to its activities
under the Compact, as amended, and its related agreements as if
the Republic of the Marshall Islands were the United States;
(3) in the conduct of any activity not described in section
161(a)(1) requiring the preparation of an Environmental Impact
Statement under section 161(a)(2), shall comply with standards
substantively similar to those required by the following laws
of the United States, taking into account the particular
environment of the Republic of the Marshall Islands; the
Endangered Species Act of 1973, as amended, 16 U.S.C. 1531 et
seq.; the Clean Air Act, as amended, 42 U.S.C. 7401 et seq.;
the Clean Water Act (Federal Water Pollution Control Act), as
amended, 33 U.S.C. 1251 et seq.; Title I of the Marine
Protection, Research and Sanctuaries Act of 1972 (the Ocean
Dumping Act), 33 U.S.C. 1411 et seq.; the Toxic Substances
Control Act, as amended, 15 U.S.C. 2601 et seq.; the Solid
Waste Disposal Act, as amended, 42 U.S.C. 6901 et seq.; and
such other environmental protection laws of the United States
and the Republic of the Marshall Islands as may be agreed from
time to time with the Government of the Republic of the
Marshall Islands;
(4) shall, prior to conducting any activity not described
in section 161(a)(1) requiring the preparation of an
Environmental Impact Statement under section 161(a)(2),
develop, as agreed with the Government of the Republic of the
Marshall Islands, written environmental standards and
procedures to implement the substantive provisions of the laws
made applicable to U.S. Government activities in the Republic
of the Marshall Islands, pursuant to section 161(a)(3).
(b) The Government of the Republic of the Marshall Islands
shall continue to develop and implement standards and procedures to
protect its environment. As a reciprocal obligation to the
undertakings of the Government of the United States under this
Article, the Republic of the Marshall Islands, taking into account
its particular environment, shall continue to develop and implement
standards for environmental protection substantively similar to
those required of the Government of the United States by section
161(a)(3) prior to its conducting activities in the Republic of the
Marshall Islands, substantively equivalent to activities conducted
there by the Government of the United States and, as a further
reciprocal obligation, shall enforce those standards.
(c) Section 161(a), including any standard or procedure
applicable thereunder, and section 161(b) may be modified or
superseded in whole or in part by agreement of the Government of
the United States and the Government of the Republic of the
Marshall Islands.
(d) In the event that an Environmental Impact Statement is no
longer required under the laws of the United States for major
Federal actions significantly affecting the quality of the human
environment, the regulatory regime established under sections
161(a)(3) and 161(a)(4) shall continue to apply to such activities
of the Government of the United States until amended by mutual
agreement.
(e) The President of the United States may exempt any of the
activities of the Government of the United States under this
Compact, as amended, and its related agreements from any
environmental standard or procedure which may be applicable under
sections 161(a)(3) and 161(a)(4) if the President determines it to
be in the paramount interest of the Government of the United States
to do so, consistent with Title Three of this Compact, as amended,
and the obligations of the Government of the United States under
international law. Prior to any decision pursuant to this
subsection, the views of the Government of the Republic of the
Marshall Islands shall be sought and considered to the extent
practicable. If the President grants such an exemption, to the
extent practicable, a report with his reasons for granting such
exemption shall be given promptly to the Government of the Republic
of the Marshall Islands.
(f) The laws of the United States referred to in section
161(a)(3) shall apply to the activities of the Government of the
United States under this Compact, as amended, and its related
agreements only to the extent provided for in this section.
Section 162
The Government of the Republic of the Marshall Islands may bring an
action for judicial review of any administrative agency action or any
activity of the Government of the United States pursuant to section
161(a) for enforcement of the obligations of the Government of the
United States arising thereunder. The United States District Court for
the District of Hawaii and the United States District Court for the
District of Columbia shall have jurisdiction over such action or
activity, and over actions brought under section 172(b) which relate to
the activities of the Government of the United States and its officers
and employees, governed by section 161, provided that:
(a) Such actions may only be civil actions for any appropriate
civil relief other than punitive damages against the Government of
the United States or, where required by law, its officers in their
official capacity; no criminal actions may arise under this
section.
(b) Actions brought pursuant to this section may be initiated
only by the Government of the Republic of the Marshall Islands.
(c) Administrative agency actions arising under section 161
shall be reviewed pursuant to the standard of judicial review set
forth in 5 U.S.C. 706.
(d) The United States District Court for the District of Hawaii
and the United States District Court for the District of Columbia
shall have jurisdiction to issue all necessary processes, and the
Government of the United States agrees to submit itself to the
jurisdiction of the court; decisions of the United States District
Court shall be reviewable in the United States Court of Appeals for
the Ninth Circuit or the United States Court of Appeals for the
District of Columbia, respectively, or in the United States Supreme
Court as provided by the laws of the United States.
(e) The judicial remedy provided for in this section shall be
the exclusive remedy for the judicial review or enforcement of the
obligations of the Government of the United States under this
Article and actions brought under section 172(b), which relate to
the activities of the Government of the United States and its
officers and employees governed by section 161.
(f) In actions pursuant to this section, the Government of the
Republic of the Marshall Islands shall be treated as if it were a
United States citizen.
Section 163
(a) For the purpose of gathering data necessary to study the
environmental effects of activities of the Government of the United
States subject to the requirements of this Article, the Government of
the Republic of the Marshall Islands shall be granted access to
facilities operated by the Government of the United States in the
Republic of the Marshall Islands, to the extent necessary for this
purpose, except to the extent such access would unreasonably interfere
with the exercise of the authority and responsibility of the Government
of the United States under Title Three.
(b) The Government of the United States, in turn, shall be granted
access to the Republic of the Marshall Islands for the purpose of
gathering data necessary to discharge its obligations under this
Article, except to the extent such access would unreasonably interfere
with the exercise of the authority and responsibility of the Government
of the Republic of the Marshall Islands under Title One, and to the
extent necessary for this purpose shall be granted access to documents
and other information to the same extent similar access is provided the
Government of the Republic of the Marshall Islands under the Freedom of
Information Act, 5 U.S.C. 552.
(c) The Government of the Republic of the Marshall Islands shall
not impede efforts by the Government of the United States to comply
with applicable standards and procedures.
Article VII
General Legal Provisions
Section 171
Except as provided in this Compact, as amended, or its related
agreements, the application of the laws of the United States to the
Trust Territory of the Pacific Islands by virtue of the Trusteeship
Agreement ceased with respect to the Marshall Islands on October 21,
1986, the date the Compact went into effect.
Section 172
(a) Every citizen of the Republic of the Marshall Islands who is
not a resident of the United States shall enjoy the rights and remedies
under the laws of the United States enjoyed by any non-resident alien.
(b) The Government of the Republic of the Marshall Islands and
every citizen of the Republic of the Marshall Islands shall be
considered to be a ``person'' within the meaning of the Freedom of
Information Act, 5 U.S.C. 552, and of the judicial review provisions of
the Administrative Procedure Act, 5 U.S.C. 701-706, except that only
the Government of the Republic of the Marshall Islands may seek
judicial review under the Administrative Procedure Act or judicial
enforcement under the Freedom of Information Act when such judicial
review or enforcement relates to the activities of the Government of
the United States governed by sections 161 and 162.
Section 173
The Governments of the United States and the Republic of the
Marshall Islands agree to adopt and enforce such measures, consistent
with this Compact, as amended, and its related agreements, as may be
necessary to protect the personnel, property, installations, services,
programs and official archives and documents maintained by the
Government of the United States in the Republic of the Marshall Islands
pursuant to this Compact, as amended, and its related agreements and by
the Government of the Republic of the Marshall Islands in the United
States pursuant to this Compact, Compact, as amended, and its related
agreements.
Section 174
Except as otherwise provided in this Compact, as amended, and its
related agreements:
(a) The Government of the Republic of the Marshall Islands, and
its agencies and officials, shall be immune from the jurisdiction
of the court of the United States, and the Government of the United
States, and its agencies and officials, shall be immune from the
jurisdiction of the courts of the Republic of the Marshall Islands.
(b) The Government of the United States accepts responsibility
for and shall pay:
(1) any unpaid money judgment rendered by the High Court of
the Trust Territory of the Pacific Islands against the
Government of the United States with regard to any cause of
action arising as a result of acts or omissions of the
Government of the Trust Territory of the Pacific Islands or the
Government of the United States prior to October 21, 1986;
(2) any claim settled by the claimant and the Government of
the Trust Territory of the Pacific Islands but not paid as of
October 21, 1986; and
(3) settlement of any administrative claim or of any action
before a court of the Trust Territory of the Pacific Islands or
the Government of the United States, arising as a result of
acts or omissions of the Government of the Trust Territory of
the Pacific Islands or the Government of the United States.
(c) Any claim not referred to in section 174(b) and arising
from an act or omission of the Government of the Trust Territory of
the Pacific Islands or the Government of the United States prior to
the effective date of the Compact shall be adjudicated in the same
manner as a claim adjudicated according to section 174(d). In any
claim against the Government of the Trust Territory of the Pacific
Islands, the Government of the United States shall stand in the
place of the Government of the Trust Territory of the Pacific
Islands. A judgment on any claim referred to in section 174(b) or
this subsection, not otherwise satisfied by the Government of the
United States, may be presented for certification to the United
States Court of Appeals for the Federal Circuit, or its successor
courts, which shall have jurisdiction therefore, notwithstanding
the provisions of 28 U.S.C. 1502, and which court's decisions shall
be reviewable as provided by the laws of the United States. The
United States Court of Appeals for the Federal Circuit shall
certify such judgment, and order payment thereof, unless it finds,
after a hearing, that such judgment is manifestly erroneous as to
law or fact, or manifestly excessive. In either of such cases the
United States Court of Appeals for the Federal Circuit shall have
jurisdiction to modify such judgment.
(d) The Government of the Republic of the Marshall Islands
shall not be immune from the jurisdiction of the courts of the
United States, and the Government of the United States shall not be
immune from the jurisdiction of the courts of the Republic of the
Marshall Islands in any civil case in which an exception to foreign
state immunity is set forth in the Foreign Sovereign Immunities Act
(28 U.S.C. 1602 et seq.) or its successor statutes.
Section 175
(a) A separate agreement, which shall come into effect
simultaneously with this Compact, as amended, and shall have the force
of law, shall govern mutual assistance and cooperation in law
enforcement matters, including the pursuit, capture, imprisonment and
extradition of fugitives from justice and the transfer of prisoners, as
well as other law enforcement matters. In the United States, the laws
of the United States governing international extradition, including 18
U.S.C. 3184, 3186, and 3188-95, shall be applicable to the extradition
of fugitives under the separate agreement, and the laws of the United
States governing the transfer of prisoners, including 18 U.S.C. 4100-
15, shall be applicable to the transfer of prisoners under the separate
agreement; and
(b) A separate agreement, which shall come into effect
simultaneously with this Compact, as amended, and shall have the force
of law, shall govern requirements relating to labor recruitment
practices, including registration, reporting, suspension or revocation
of authorization to recruit persons for employment in the United
States, and enforcement for violations of such requirements.
Section 176
The Government of the Republic of the Marshall Islands confirms
that final judgments in civil cases rendered by any court of the Trust
Territory of the Pacific Islands shall continue in full force and
effect, subject to the constitutional power of the courts of the
Republic of the Marshall Islands to grant relief from judgments in
appropriate cases.
Section 177
Section 177 of the Compact entered into force with respect to the
Marshall Islands on October 21, 1986 as follows:
``(a) The Government of the United States accepts the
responsibility for compensation owing to citizens of the Marshall
Islands, or the Federated States of Micronesia, (or Palau) for loss
or damage to property and person of the citizens of the Marshall
Islands, or the Federated States of Micronesia, resulting from the
nuclear testing program which the Government of the United States
conducted in the Northern Marshall Islands between June 30, 1946,
and August 18, 1958.
``(b) The Government of the United States and the Government of
the Marshall Islands shall set forth in a separate agreement
provisions for the just and adequate settlement of all such claims
which have arisen in regard to the Marshall Islands and its
citizens and which have not as yet been compensated or which in the
future may arise, for the continued administration by the
Government of the United States of direct radiation related medical
surveillance and treatment programs and radiological monitoring
activities and for such additional programs and activities as may
be mutually agreed, and for the assumption by the Government of the
Marshall Islands of responsibility for enforcement of limitations
on the utilization of affected areas developed in cooperation with
the Government of the United States and for the assistance by the
Government of the United States in the exercise of such
responsibility as may be mutually agreed. This separate agreement
shall come into effect simultaneously with this Compact and shall
remain in effect in accordance with its own terms.
``(c) The Government of the United States shall provide to the
Government of the Marshall Islands, on a grant basis, the amount of
$150 million to be paid and distributed in accordance with the
separate agreement referred to in this Section, and shall provide
the services and programs set forth in this separate agreement, the
language of which is incorporated into this Compact.''.
The Compact, as amended, makes no changes to, and has no effect upon,
Section 177 of the Compact, nor does the Compact, as amended, change or
affect the separate agreement referred to in Section 177 of the Compact
including Articles IX and X of that separate agreement, and measures
taken by the parties thereunder.
Section 178
(a) The Federal agencies of the Government of the United States
that provide services and related programs in the Republic of the
Marshall Islands pursuant to Title Two are authorized to settle and pay
tort claims arising in the Republic of the Marshall Islands from the
activities of such agencies or from the acts or omissions of the
employees of such agencies. Except as provided in section 178(b), the
provisions of 28 U.S.C. 2672 and 31 U.S.C. 1304 shall apply exclusively
to such administrative settlements and payments.
(b) Claims under section 178(a) that cannot be settled under
section 178(a) shall be disposed of exclusively in accordance with
Article II of Title Four. Arbitration awards rendered pursuant to this
subsection shall be paid out of funds under 31 U.S.C. 1304.
(c) The Government of the United States and the Government of the
Republic of the Marshall Islands shall, in the separate agreement
referred to in section 231, provide for:
(1) the administrative settlement of claims referred to in
section 178(a), including designation of local agents in each State
of the Republic of the Marshall Islands; such agents to be
empowered to accept, investigate and settle such claims, in a
timely manner, as provided in such separate agreements; and
(2) arbitration, referred to in section 178(b), in a timely
manner, at a site convenient to the claimant, in the event a claim
is not otherwise settled pursuant to section 178(a).
(d) The provisions of section 174(d) shall not apply to claims
covered by this section.
(e) Except as otherwise explicitly provided by law of the United
States, this Compact, as amended, or its related agreements, neither
the Government of the United States, its instrumentalities, nor any
person acting on behalf of the Government of the United States, shall
be named a party in any action based on, or arising out of, the
activity or activities of a recipient of any grant or other assistance
provided by the Government of the United States (or the activity or
activities of the recipient's agency or any other person or entity
acting on behalf of the recipient).
Section 179
(a) The courts of the Republic of the Marshall Islands shall not
exercise criminal jurisdiction over the Government of the United
States, or its instrumentalities.
(b) The courts of the Republic of the Marshall Islands shall not
exercise criminal jurisdiction over any person if the Government of the
United States provides notification to the Government of the Republic
of the Marshall Islands that such person was acting on behalf of the
Government of the United States, for actions taken in furtherance of
section 221 or 224 of this amended Compact, or any other provision of
law authorizing financial, program, or service assistance to the
Republic of the Marshall Islands.
TITLE TWO
ECONOMIC RELATIONS
Article I
Grant Assistance
Section 211 - Annual Grant Assistance
(a) In order to assist the Government of the Republic of the
Marshall Islands in its efforts to promote the economic advancement and
budgetary self-reliance of its people, and in recognition of the
special relationship that exists between the Republic of the Marshall
Islands and the United States, the Government of the United States
shall provide assistance on a grant basis for a period of twenty years
in the amounts set forth in section 217, commencing on the effective
date of this Compact, as amended. Such grants shall be used for
assistance in education, health care, the environment, public sector
capacity building, and private sector development, or for other areas
as mutually agreed, with priorities in the education and health care
sectors. Consistent with the medium-term budget and investment
framework described in subsection (f) of this section, the proposed
division of this amount among the identified areas shall require the
concurrence of both the Government of the United States and the
Government of the Republic of the Marshall Islands, through the Joint
Economic Management and Financial Accountability Committee described in
section 214. The Government of the United States shall disburse the
grant assistance and monitor the use of such grant assistance in
accordance with the provisions of this Article and an Agreement
Concerning Procedures for the Implementation of United States Economic
Assistance Provided in the Compact, as Amended, of Free Association
Between the Government of the United States of America and the
Government of the Republic of the Marshall Islands (``Fiscal Procedures
Agreement'') which shall come into effect simultaneously with this
Compact, as amended.
(1) Education.--United States grant assistance shall be made
available in accordance with the strategic framework described in
subsection (f) of this section to support and improve the
educational system of the Republic of the Marshall Islands and
develop the human, financial, and material resources necessary for
the Republic of the Marshall Islands to perform these services.
Emphasis should be placed on advancing a quality basic education
system.
(2) Health.--United States grant assistance shall be made
available in accordance with the strategic framework described in
subsection (f) of this section to support and improve the delivery
of preventive, curative and environmental care and develop the
human, financial, and material resources necessary for the Republic
of the Marshall Islands to perform these services.
(3) Private sector development.--United States grant assistance
shall be made available in accordance with the strategic framework
described in subsection (f) of this section to support the efforts
of the Republic of the Marshall Islands to attract foreign
investment and increase indigenous business activity by vitalizing
the commercial environment, ensuring fair and equitable application
of the law, promoting adherence to core labor standards,
maintaining progress toward privatization of state-owned and
partially state-owned enterprises, and engaging in other reforms.
(4) Capacity building in the public sector.--United States
grant assistance shall be made available in accordance with the
strategic framework described in subsection (f) of this section to
support the efforts of the Republic of the Marshall Islands to
build effective, accountable and transparent national and local
government and other public sector institutions and systems.
(5) Environment.--United States grant assistance shall be made
available in accordance with the strategic framework described in
subsection (f) of this section to increase environmental
protection; establish and manage conservation areas; engage in
environmental infrastructure planning, design construction and
operation; and to involve the citizens of the Republic of the
Marshall Islands in the process of conserving their country's
natural resources.
(b) Kwajalein Atoll.--
(1) Of the total grant assistance made available under
subsection (a) of this section, the amount specified herein shall
be allocated annually from fiscal year 2004 through fiscal year
2023 (and thereafter in accordance with the Agreement between the
Government of the United States and the Government of the Republic
of the Marshall Islands Regarding Military Use and Operating
Rights) to advance the objectives and specific priorities set forth
in subsections (a) and (d) of this section and the Fiscal
Procedures Agreement, to address the special needs of the community
at Ebeye, Kwajalein Atoll and other Marshallese communities within
Kwajalein Atoll. This United States grant assistance shall be made
available, in accordance with the medium-term budget and investment
framework described in subsection (f) of this section, to support
and improve the infrastructure and delivery of services and develop
the human and material resources necessary for the Republic of the
Marshall Islands to carry out its responsibility to maintain such
infrastructure and deliver such services. The amount of this
assistance shall be $3,100,000, with an inflation adjustment as
provided in section 218, from fiscal year 2004 through fiscal year
2013 and the fiscal year 2013 level of funding, with an inflation
adjustment as provided in section 218, will be increased by $2
million for fiscal year 2014. The fiscal year 2014 level of
funding, with an inflation adjustment as provided in section 218,
will be made available from fiscal year 2015 through fiscal year
2023 (and thereafter as noted above).
(2) The Government of the United States shall also provide to
the Government of the Republic of the Marshall Islands, in
conjunction with section 321(a) of this Compact, as amended, an
annual payment from fiscal year 2004 through fiscal year 2023 (and
thereafter in accordance with the Agreement between the Government
of the United States and the Government of the Republic of the
Marshall Islands Regarding Military Use and Operating Rights) of
$1.9 million. This grant assistance will be subject to the Fiscal
Procedures Agreement and will be adjusted for inflation under
section 218 and used to address the special needs of the community
at Ebeye, Kwajalein Atoll and other Marshallese communities within
Kwajalein Atoll with emphasis on the Kwajalein landowners, as
described in the Fiscal Procedures Agreement.
(3) Of the total grant assistance made available under
subsection (a) of this section, and in conjunction with section
321(a) of the Compact, as amended, $200,000, with an inflation
adjustment as provided in section 218, shall be allocated annually
from fiscal year 2004 through fiscal year 2023 (and thereafter as
provided in the Agreement between the Government of the United
States and the Government of the Republic of the Marshall Islands
Regarding Military Use and Operating Rights) for a grant to support
increased participation of the Government of the Republic of the
Marshall Islands Environmental Protection Authority in the annual
U.S. Army Kwajalein Atoll Environmental Standards Survey and to
promote a greater Government of the Republic of the Marshall
Islands capacity for independent analysis of the Survey's findings
and conclusions.
(c) Humanitarian Assistance--Republic of the Marshall Islands
Program.--In recognition of the special development needs of the
Republic of the Marshall Islands, the Government of the United States
shall make available to the Government of the Republic of the Marshall
Islands, on its request and to be deducted from the grant amount made
available under subsection (a) of this section, a Humanitarian
Assistance--Republic of the Marshall Islands (``HARMI'') Program with
emphasis on health, education, and infrastructure (including
transportation), projects and such other projects as mutually agreed.
The terms and conditions of the HARMI shall be set forth in the
Agreement Regarding the Military Use and Operating Rights of the
Government of the United States in the Republic of the Marshall Islands
Concluded Pursuant to Sections 321 and 323 of the Compact of Free
Association, as Amended, which shall come into effect simultaneously
with the amendments to this Compact.
(d) Public Infrastructure.--
(1) Unless otherwise agreed, not less than 30 percent and not
more than 50 percent of U.S. annual grant assistance provided under
this section shall be made available in accordance with a list of
specific projects included in the infrastructure improvement and
maintenance plan prepared by the Government of the Republic of the
Marshall Islands as part of the strategic framework described in
subsection (f) of this section.
(2) Infrastructure maintenance fund.--Five percent of the
annual public infrastructure grant made available under paragraph
(1) of this subsection shall be set aside, with an equal
contribution from the Government of the Republic of the Marshall
Islands, as a contribution to an Infrastructure Maintenance Fund.
Administration of the Infrastructure Maintenance Fund shall be
governed by the Fiscal Procedures Agreement.
(e) Disaster Assistance Emergency Fund.--Of the total grant
assistance made available under subsection (a) of this section, an
amount of two hundred thousand dollars ($200,000) shall be provided
annually, with an equal contribution from the Government of the
Republic of the Marshall Islands, as a contribution to a Disaster
Assistance Emergency Fund (``DAEF''). Any funds from the DAEF may be
used only for assistance and rehabilitation resulting from disasters
and emergencies. The funds will be accessed upon declaration of a State
of Emergency by the Government of the Republic of the Marshall Islands,
with the concurrence of the United States Chief of Mission to the
Republic of the Marshall Islands. Administration of the DAEF shall be
governed by the Fiscal Procedures Agreement.
(f) Budget and Investment Framework.--The Government of the
Republic of the Marshall Islands shall prepare and maintain an official
medium-term budget and investment framework. The framework shall be
strategic in nature, shall be continuously reviewed and updated through
the annual budget process, and shall make projections on a multi-year
rolling basis. Each of the sectors and areas named in subsections (a),
(b), and (d) of this section, or other sectors and areas as mutually
agreed, shall be accorded specific treatment in the framework. Those
portions of the framework that contemplate the use of United States
grant funds shall require the concurrence of both the Government of the
United States and the Government of the Republic of the Marshall
Islands.
Section 212 - Kwajalein Impact and Use
The Government of the United States shall provide to the Government
of the Republic of the Marshall Islands in conjunction with section
321(a) of the Compact, as amended, and the agreement between the
Government of the United States and the Government of the Republic of
the Marshall Islands regarding military use and operating rights, a
payment in fiscal year 2004 of $15,000,000, with no adjustment for
inflation. In fiscal year 2005 and through fiscal year 2013, the annual
payment will be the fiscal year 2004 amount ($15,000,000) with an
inflation adjustment as provided under section 218. In fiscal year
2014, the annual payment will be $18,000,000 (with no adjustment for
inflation) or the fiscal year 2013 amount with an inflation adjustment
under section 218, whichever is greater. For fiscal year 2015 through
fiscal year 2023 (and thereafter in accordance with the Agreement
between the Government of the United States and the Government of the
Republic of the Marshall Islands Regarding Military Use and Operating
Rights) the annual payment will be the fiscal year 2014 amount, with an
inflation adjustment as provided under section 218.
Section 213 - Accountability
(a) Regulations and policies normally applicable to United States
financial assistance to its state and local governments, as set forth
in the Fiscal Procedures Agreement, shall apply to each grant described
in section 211, and to grants administered under section 221 below,
except as modified in the separate agreements referred to in section
231 of this Compact, as amended, or by U.S. law. As set forth in the
Fiscal Procedures Agreement, reasonable terms and conditions, including
annual performance indicators that are necessary to ensure effective
use of United States assistance and reasonable progress toward
achieving program objectives may be attached. In addition, the United
States may seek appropriate remedies for noncompliance with the terms
and conditions attached to the assistance, or for failure to comply
with section 234, including withholding assistance.
(b) The Government of the United States shall, for each fiscal year
of the twenty years during which assistance is to be provided on a
sector grant basis under section 211 (a), grant the Government of the
Republic of the Marshall Islands an amount equal to the lesser of (i)
one half of the reasonable, properly documented cost incurred during
such fiscal year to conduct the annual audit required under Article
VIII (2) of the Fiscal Procedures Agreement or (ii) $500,000. Such
amount will not be adjusted for inflation under section 218 or
otherwise.
Section 214 - Joint Economic Management and Financial Accountability
Committee
The Governments of the United States and the Republic of the
Marshall Islands shall establish a Joint Economic Management and
Financial Accountability Committee, composed of a U.S. chair, two other
members from the Government of the United States and two members from
the Government of the Republic of the Marshall Islands. The Joint
Economic Management and Financial Accountability Committee shall meet
at least once each year to review the audits and reports required under
this Title and the Fiscal Procedures Agreement, evaluate the progress
made by the Republic of the Marshall Islands in meeting the objectives
identified in its framework described in subsection (f) of section 211,
with particular focus on those parts of the framework dealing with the
sectors and areas identified in subsection (a) of section 211, identify
problems encountered, and recommend ways to increase the effectiveness
of U.S. assistance made available under this Title. The establishment
and operations of the Joint Economic Management and Financial
Accountability Committee shall be governed by the Fiscal Procedures
Agreement.
Section 215 - Annual Report
The Government of the Republic of the Marshall Islands shall report
annually to the President of the United States on the use of United
States sector grant assistance and other assistance and progress in
meeting mutually agreed program and economic goals. The Joint Economic
Management and Financial Accountability Committee shall review and
comment on the report and make appropriate recommendations based
thereon.
Section 216 - Trust Fund
(a) The United States shall contribute annually for twenty years
from the effective date of the Compact, as amended, in the amounts set
forth in section 217 into a trust fund established in accordance with
the Agreement Between the Government of the United States of America
and the Government of the Republic of the Marshall Islands Implementing
Section 216 and Section 217 of the Compact, as Amended, Regarding a
Trust Fund (``Trust Fund Agreement''), which shall come into effect
simultaneously with this Compact, as amended. Upon termination of the
annual grant assistance under section 211 (a), (d) and (e), the
earnings of the fund shall thereafter be used for the purposes
described in section 211 or as otherwise mutually agreed.
(b) The United States contribution into the Trust Fund described in
subsection (a) of this section is conditioned on the Government of the
Republic of the Marshall Islands contributing to the Trust Fund at
least $25,000,000, on the effective date of the Trust Fund Agreement or
on October 1, 2003, whichever is later, $2,500,000 prior to October 1,
2004, and $2,500,000 prior to October 1, 2005. Any funds received by
the Republic of the Marshall Islands under section 111(d) of Public Law
99-239 (January 14, 1986), or successor provisions, would be
contributed to the Trust Fund as a Republic of the Marshall Islands'
contribution.
(c) The terms regarding the investment and management of funds and
use of the income of the Trust Fund shall be governed by the Trust Fund
Agreement. Funds derived from United States investment shall not be
subject to Federal or state taxes in the United States or any taxes in
the Republic of the Marshall Islands. The Trust Fund Agreement shall
also provide for annual reports to the Government of the United States
and to the Government of the Republic of the Marshall Islands. The
Trust Fund Agreement shall provide for appropriate distributions of
trust fund proceeds to the Republic of the Marshall Islands and for
appropriate remedies for the failure of the Republic of the Marshall
Islands to use income of the Trust Fund for the annual grant purposes
set forth in section 211. These remedies may include the return to the
United States of the present market value of its contributions to the
Trust Fund and the present market value of any undistributed income on
the contributions of the United States. If this Compact, as amended, is
terminated, the provisions of sections 451-453 of the Compact, as
amended, and the Trust Fund Agreement shall govern treatment of any
U.S. contributions to the Trust Fund or accrued income thereon.
Section 217 - Annual Grant Funding and Trust Fund Contributions
The funds described in sections 211, 212, 213(b), and 216 shall be
made available as follows:
[In millions of dollars]
----------------------------------------------------------------------------------------------------------------
Trust Fund Kwajalein
Fiscal year Annual Grants Audit Grant Section 216 Impact Section Total
Section 211 Section 213(b) (a&c) 212
----------------------------------------------------------------------------------------------------------------
2004............................... 35.2 .5 7 15.0 57.7
2005............................... 34.7 .5 7.5 15.0 57.7
2006............................... 34.2 .5 8 15.0 57.7
2007............................... 33.7 .5 8.5 15.0 57.7
2008............................... 33.2 .5 9 15.0 57.7
2009............................... 32.7 .5 9.5 15.0 57.7
2010............................... 32.2 .5 10 15.0 57.7
2011............................... 31.7 .5 10.5 15.0 57.7
2012............................... 31.2 .5 11 15.0 57.7
2013............................... 30.7 .5 11.5 15.0 57.7
2014............................... 32.2 .5 12 18.0 62.7
2015............................... 31.7 .5 12.5 18.0 62.7
2016............................... 31.2 .5 13 18.0 62.7
2017............................... 30.7 .5 13.5 18.0 62.7
2018............................... 30.2 .5 14 18.0 62.7
2019............................... 29.7 .5 14.5 18.0 62.7
2020............................... 29.2 .5 15 18.0 62.7
2021............................... 28.7 .5 15.5 18.0 62.7
2022............................... 28.2 .5 16 18.0 62.7
2023............................... 27.7 .5 16.5 18.0 62.7
----------------------------------------------------------------------------------------------------------------
Section 218 - Inflation Adjustment
Except as otherwise provided, the amounts stated in this Title
shall be adjusted for each United States Fiscal Year by the percent
that equals two-thirds of the percent change in the United States Gross
Domestic Product Implicit Price Deflator, or 5 percent, whichever is
less in any one year, using the beginning of Fiscal Year 2004 as a
base.
Section 219 - Carry-Over of Unused Funds
If in any year the funds made available by the Government of the
United States for that year pursuant to this Article are not completely
obligated by the Government of the Republic of the Marshall Islands,
the unobligated balances shall remain available in addition to the
funds to be provided in subsequent years.
Article II
Services and Program Assistance
Section 221
(a) Services.--The Government of the United States shall make
available to the Republic of the Marshall Islands, in accordance with
and to the extent provided in the Federal Programs and Services
Agreement referred to in Section 231, the services and related programs
of:
(1) the United States Weather Service;
(2) the United States Postal Service;
(3) the United States Federal Aviation Administration;
(4) the United States Department of Transportation; and
(5) the Department of Homeland Security, and the United States
Agency for International Development, Office of Foreign Disaster
Assistance.
Upon the effective date of this Compact, as amended, the United States
Departments and Agencies named or having responsibility to provide
these services and related programs shall have the authority to
implement the relevant provisions of the Federal Programs and Services
Agreement referred to in section 231.
(b) Programs.--
(1) Other than the services and programs covered by subsection
(a) of this section, and to the extent authorized by the Congress
of the United States, the Government of the United States shall
make available to the Republic of the Marshall Islands the services
and programs that were available to the Republic of the Marshall
Islands on the effective date of this Compact, as amended, to the
extent that such services and programs continue to be available to
State and local governments of the United States. As set forth in
the Fiscal Procedures Agreement, funds provided under subsection
(a) of section 211 shall be considered to be local revenues of the
Government of the Republic of the Marshall Islands when used as the
local share required to obtain Federal programs and services.
(2) Unless provided otherwise by U.S. law, the services and
programs described in paragraph (1) of this subsection shall be
extended in accordance with the terms of the Federal Programs and
Services Agreement.
(c) The Government of the United States shall have and exercise
such authority as is necessary to carry out its responsibilities under
this Title and the Federal Programs and Services Agreement, including
the authority to monitor and administer all service and program
assistance provided by the United States to the Republic of the
Marshall Islands. The Federal Programs and Services Agreement shall
also set forth the extent to which services and programs shall be
provided to the Republic of the Marshall Islands.
(d) Except as provided elsewhere in this Compact, as amended, under
any separate agreement entered into under this Compact, as amended, or
otherwise under U.S. law, all Federal domestic programs extended to or
operating in the Republic of the Marshall Islands shall be subject to
all applicable criteria, standards, reporting requirements, auditing
procedures, and other rules and regulations applicable to such programs
and services when operating in the United States.
(e) The Government of the United States shall make available to the
Republic of the Marshall Islands alternate energy development projects,
studies, and conservation measures to the extent provided for the
Freely Associated States in the laws of the United States.
Section 222
The Government of the United States and the Government of the
Republic of the Marshall Islands may agree from time to time to extend
to the Republic of the Marshall Islands additional United States grant
assistance, services and programs, as provided under the laws of the
United States. Unless inconsistent with such laws, or otherwise
specifically precluded by the Government of the United States at the
time such additional grant assistance, services, or programs are
extended, the Federal Programs and Services Agreement shall apply to
any such assistance, services or programs.
Section 223
The Government of the Republic of the Marshall Islands shall make
available to the Government of the United States at no cost such land
as may be necessary for the operations of the services and programs
provided pursuant to this Article, and such facilities as are provided
by the Government of the Republic of the Marshall Islands at no cost to
the Government of the United States as of the effective date of this
Compact, as amended, or as may be mutually agreed thereafter.
Section 224
The Government of the Republic of the Marshall Islands may request,
from the time to time, technical assistance from the Federal agencies
and institutions of the Government of the United States, which are
authorized to grant such technical assistance in accordance with its
laws. If technical assistance is granted pursuant to such a request,
the Government of the United States shall provide the technical
assistance in a manner which gives priority consideration to the
Republic of the Marshall Islands over other recipients not a part of
the United States, its territories or possessions, and equivalent
consideration to the Republic of the Marshall Islands with respect to
other states in Free Association with the United States. Such
assistance shall be made available on a reimbursable or non-
reimbursable basis to the extent provided by United States law.
Article III
Administrative Provisions
Section 231
The specific nature, extent and contractual arrangements of the
services and programs provided for in section 221 of this Compact, as
amended, as well as the legal status of agencies of the Government of
the United States, their civilian employees and contractors, and the
dependents of such personnel while present in the Republic of the
Marshall Islands, and other arrangements in connection with the
assistance, services, or programs furnished by the Government of the
United States, are set forth in a Federal Programs and Services
Agreement which shall come into effect simultaneously with this
Compact, as amended.
Section 232
The Government of the United States, in consultation with the
Government of the Republic of the Marshall Islands, shall determine and
implement procedures for the periodic audit of all grants and other
assistance made under Article I of this Title and of all funds expended
for the services and programs provided under Article II of this Title.
Further, in accordance with the Fiscal Procedures Agreement described
in subsection (a) of section 211, the Comptroller General of the United
States shall have such powers and authorities as described in sections
103(m) and 110(c) of Public Law 99-239, 99 Stat. 1777-78, and 99 Stat.
1799 (January 14, 1986).
Section 233
Approval of this Compact, as amended, by the Government of the
United States, in accordance with its constitutional processes, shall
constitute a pledge by the United States that the sums and amounts
specified as grants in section 211 of this Compact, as amended, shall
be appropriated and paid to the Republic of the Marshall Islands for
such period as those provisions of this Compact, as amended, remain in
force, provided that the Republic of the Marshall Islands complies with
the terms and conditions of this Title and related subsidiary
agreements.
Section 234
The Government of the Republic of the Marshall Islands pledges to
cooperate with, permit, and assist if reasonably requested, designated
and authorized representatives of the Government of the United States
charged with investigating whether Compact funds, or any other
assistance authorized under this Compact, as amended, have, or are
being, used for purposes other than those set forth in this Compact, as
amended, or its subsidiary agreements. In carrying out this
investigative authority, such United States Government representatives
may request that the Government of the Republic of the Marshall Islands
subpoena documents and records and compel testimony in accordance with
the laws and Constitution of the Republic of the Marshall Islands. Such
assistance by the Government of the Republic of the Marshall Islands to
the Government of the United States shall not be unreasonably withheld.
The obligation of the Government of the Marshall Islands to fulfill its
pledge herein is a condition to its receiving payment of such funds or
other assistance authorized under this Compact, as amended. The
Government of the United States shall pay any reasonable costs for
extraordinary services executed by the Government of the Marshall
Islands in carrying out the provisions of this section.
Article IV
Trade
Section 241
The Republic of the Marshall Islands is not included in the customs
territory of the United States.
Section 242
The President shall proclaim the following tariff treatment for
articles imported from the Republic of the Marshall Islands which shall
apply during the period of effectiveness of this title:
(a) Unless otherwise excluded, articles imported from the
Republic of the Marshall Islands, subject to the limitations
imposed under section 503(b) of title V of the Trade Act of 1974
(19 U.S.C. 2463(b)), shall be exempt from duty.
(b) Only tuna in airtight containers provided for in heading
1604.14.22 of the Harmonized Tariff Schedule of the United States
that is imported from the Republic of the Marshall Islands and the
Federated States of Micronesia during any calendar year not to
exceed 10 percent of apparent United States consumption of tuna in
airtight containers during the immediately preceding calendar year,
as reported by the National Marine Fisheries Service, shall be
exempt from duty; but the quantity of tuna given duty-free
treatment under this paragraph for any calendar year shall be
counted against the aggregated quantity of tuna in airtight
containers that is dutiable under rate column numbered 1 of such
heading 1604.14.22 for that calendar year.
(c) The duty-free treatment provided under subsection (a) shall
not apply to:
(1) watches, clocks, and timing apparatus provided for in
Chapter 91, excluding heading 9113, of the Harmonized Tariff
Schedule of the United States;
(2) buttons (whether finished or not finished) provided for
in items 9606.21.40 and 9606.29.20 of such Schedule;
(3) textile and apparel articles which are subject to
textile agreements; and
(4) footwear, handbags, luggage, flat goods, work gloves,
and leather wearing apparel which were not eligible articles
for purposes of title V of the Trade Act of 1974 (19 U.S.C.
2461, et seq.) on April 1, 1984.
(d) If the cost or value of materials produced in the customs
territory of the United States is included with respect to an
eligible article which is a product of the Republic of the Marshall
Islands, an amount not to exceed 15 percent of the appraised value
of the article at the time it is entered that is attributable to
such United States cost or value may be applied for duty assessment
purposes toward determining the percentage referred to in section
503(a)(2) of title V of the Trade Act of 1974.
Section 243
Articles imported from the Republic of the Marshall Islands which
are not exempt from duty under subsections (a), (b), (c), and (d) of
section 242 shall be subject to the rates of duty set forth in column
numbered 1-general of the Harmonized Tariff Schedule of the United
States (HTSUS).
Section 244
(a) All products of the United States imported into the Republic of
the Marshall Islands shall receive treatment no less favorable than
that accorded like products of any foreign country with respect to
customs duties or charges of a similar nature and with respect to laws
and regulations relating to importation, exportation, taxation, sale,
distribution, storage or use.
(b) The provisions of subsection (a) shall not apply to advantages
accorded by the Republic of the Marshall Islands by virtue of their
full membership in the Pacific Island Countries Trade Agreement
(PICTA), done on August 18, 2001, to those governments listed in
Article 26 of PICTA, as of the date the Compact, as amended, is signed.
(c) Prior to entering into consultations on, or concluding, a free
trade agreement with governments not listed in Article 26 of PICTA, the
Republic of the Marshall Islands shall consult with the United States
regarding whether or how subsection (a) of section 244 shall be
applied.
Article V
Finance and Taxation
Section 251
The currency of the United States is the official circulating legal
tender of the Republic of the Marshall Islands. Should the Government
of the Republic of the Marshall Islands act to institute another
currency, the terms of an appropriate currency transitional period
shall be as agreed with the Government of the United States.
Section 252
The Government of the Republic of the Marshall Islands may, with
respect to United States persons, tax income derived from sources
within its respective jurisdiction, property situated therein,
including transfers of such property by gift or at death, and products
consumed therein, in such manner as the Government of the Republic of
the Marshall Islands deems appropriate. The determination of the source
of any income, or the situs of any property, shall for purposes of this
Compact, as amended, be made according to the United States Internal
Revenue Code.
Section 253
A citizen of the Republic of the Marshall Islands, domiciled
therein, shall be exempt from estate, gift, and generation-skipping
transfer taxes imposed by the Government of the United States, provided
that such citizen of the Republic of the Marshall Islands is neither a
citizen nor a resident of the United States.
Section 254
(a) In determining any income tax imposed by the Government of the
Republic of the Marshall Islands, the Government of the Republic of the
Marshall Islands shall have authority to impose tax upon income derived
by a resident of the Republic of the Marshall Islands from sources
without the Republic of the Marshall Islands, in the same manner and to
the same extent as the Government of the Republic of the Marshall
Islands imposes tax upon income derived from within its own
jurisdiction. If the Government of the Republic of the Marshall Islands
exercises such authority as provided in this subsection, any individual
resident of the Republic of the Marshall Islands who is subject to tax
by the Government of the United States on income which is also taxed by
the Government of the Republic of the Marshall Islands shall be
relieved of liability to the Government of the United States for the
tax which, but for this subsection, would otherwise be imposed by the
Government of the United States on such income. However, the relief
from liability to the United States Government referred to in the
preceding sentence means only relief in the form of the foreign tax
credit (or deduction in lieu thereof) available with respect to the
income taxes of a possession of the United States, and relief in the
form of the exclusion under section 911 of the Internal Revenue Code of
1986. For purposes of this section, the term ``resident of the Republic
of the Marshall Islands'' shall be deemed to include any person who was
physically present in the Republic of the Marshall Islands for a period
of 183 or more days during any taxable year.
(b) If the Government of the Republic of the Marshall Islands
subjects income to taxation substantially similar to that which was
imposed by the Trust Territory Code in effect on January 1, 1980, such
Government shall be deemed to have exercised the authority described in
section 254(a).
Section 255
For purposes of section 274(h)(3)(A) of the U.S. Internal Revenue
Code of 1986, the term ``North American Area'' shall include the
Republic of the Marshall Islands.
TITLE THREE
SECURITY AND DEFENSE RELATIONS
Article I
Authority and Responsibility
Section 311
(a) The Government of the United States has full authority and
responsibility for security and defense matters in or relating to the
Republic of the Marshall Islands.
(b) This authority and responsibility includes:
(1) the obligation to defend the Republic of the Marshall
Islands and its people from attack or threats thereof as the United
States and its citizens are defended;
(2) the option to foreclose access to or use of the Republic of
the Marshall Islands by military personnel or for the military
purposes of any third country; and
(3) the option to establish and use military areas and
facilities in the Republic of the Marshall Islands, subject to the
terms of the separate agreements referred to in sections 321 and
323.
(c) The Government of the United States confirms that it shall act
in accordance with the principles of international law and the Charter
of the United Nations in the exercise of this authority and
responsibility.
Section 312
Subject to the terms of any agreements negotiated in accordance
with sections 321 and 323, the Government of the United States may
conduct within the lands, waters and airspace of the Republic of the
Marshall Islands the activities and operations necessary for the
exercise of its authority and responsibility under this Title.
Section 313
(a) The Government of the Republic of the Marshall Islands shall
refrain from actions that the Government of the United States
determines, after appropriate consultation with that Government, to be
incompatible with its authority and responsibility for security and
defense matters in or relating to the Republic of the Marshall Islands.
(b) The consultations referred to in this section shall be
conducted expeditiously at senior levels of the two Governments, and
the subsequent determination by the Government of the United States
referred to in this section shall be made only at senior interagency
levels of the Government of the United States.
(c) The Government of the Republic of the Marshall Islands shall be
afforded, on an expeditious basis, an opportunity to raise its concerns
with the United States Secretary of State personally and the United
States Secretary of Defense personally regarding any determination made
in accordance with this section.
Section 314
(a) Unless otherwise agreed, the Government of the United States
shall not, in the Republic of the Marshall Islands:
(1) test by detonation or dispose of any nuclear weapon, nor
test, dispose of, or discharge any toxic chemical or biological
weapon; or
(2) test, dispose of, or discharge any other radioactive, toxic
chemical or biological materials in an amount or manner that would
be hazardous to public health or safety.
(b) Unless otherwise agreed, other than for transit or overflight
purposes or during time of a national emergency declared by the
President of the United States, a state of war declared by the Congress
of the United States or as necessary to defend against an actual or
impending armed attack on the United States, the Republic of the
Marshall Islands or the Federated States of Micronesia, the Government
of the United States shall not store in the Republic of the Marshall
Islands or the Federated States of Micronesia any toxic chemical
weapon, nor any radioactive materials nor any toxic chemical materials
intended for weapons use.
(c) Radioactive, toxic chemical, or biological materials not
intended for weapons use shall not be affected by section 314(b).
(d) No material or substance referred to in this section shall be
stored in the Republic of the Marshall Islands except in an amount and
manner which would not be hazardous to public health or safety. In
determining what shall be an amount or manner which would be hazardous
to public health or safety under this section, the Government of the
United States shall comply with any applicable mutual agreement,
international guidelines accepted by the Government of the United
States, and the laws of the United States and their implementing
regulations.
(e) Any exercise of the exemption authority set forth in section
161(e) shall have no effect on the obligations of the Government of the
United States under this section or on the application of this
subsection.
(f) The provisions of this section shall apply in the areas in
which the Government of the Republic of the Marshall Islands exercises
jurisdiction over the living resources of the seabed, subsoil or water
column adjacent to its coasts.
Section 315
The Government of the United States may invite members of the armed
forces of other countries to use military areas and facilities in the
Republic of the Marshall Islands, in conjunction with and under the
control of United States Armed Forces. Use by units of the armed forces
of other countries of such military areas and facilities, other than
for transit and overflight purposes, shall be subject to consultation
with and, in the case of major units, approval of the Government of the
Republic of the Marshall Islands.
Section 316
The authority and responsibility of the Government of the United
States under this Title may not be transferred or otherwise assigned.
Article II
Defense Facilities and Operating Rights
Section 321
(a) Specific arrangements for the establishment and use by the
Government of the United States of military areas and facilities in the
Republic of the Marshall Islands are set forth in separate agreements,
which shall remain in effect in accordance with the terms of such
agreements.
(b) If, in the exercise of its authority and responsibility under
this Title, the Government of the United States requires the use of
areas within the Republic of the Marshall Islands in addition to those
for which specific arrangements are concluded pursuant to section
321(a), it may request the Government of the Republic of the Marshall
Islands to satisfy those requirements through leases or other
arrangements. The Government of the Republic of the Marshall Islands
shall sympathetically consider any such request and shall establish
suitable procedures to discuss it with and provide a prompt response to
the Government of the United States.
(c) The Government of the United States recognizes and respects the
scarcity and special importance of land in the Republic of the Marshall
Islands. In making any requests pursuant to section 321(b), the
Government of the United States shall follow the policy of requesting
the minimum area necessary to accomplish the required security and
defense purpose, of requesting only the minimum interest in real
property necessary to support such purpose, and of requesting first to
satisfy its requirement through public real property, where available,
rather than through private real property.
Section 322
The Government of the United States shall provide and maintain
fixed and floating aids to navigation in the Republic of the Marshall
Islands at least to the extent necessary for the exercise of its
authority and responsibility under this Title.
Section 323
The military operating rights of the Government of the United
States and the legal status and contractual arrangements of the United
States Armed Forces, their members, and associated civilians, while
present in the Republic of the Marshall Islands are set forth in
separate agreements, which shall remain in effect in accordance with
the terms of such agreements.
Article III
Defense Treaties and International Security Agreements
Section 331
Subject to the terms of this Compact, as amended, and its related
agreements, the Government of the United States, exclusively, has
assumed and enjoys, as to the Republic of the Marshall Islands, all
obligations, responsibilities, rights and benefits of:
(a) Any defense treaty or other international security
agreement applied by the Government of the United States as
Administering Authority of the Trust Territory of the Pacific
Islands as of October 20, 1986.
(b) Any defense treaty or other international security
agreement to which the Government of the United States is or may
become a party which it determines to be applicable in the Republic
of the Marshall Islands. Such a determination by the Government of
the United States shall be preceded by appropriate consultation
with the Government of the Republic of the Marshall Islands.
Article IV
Service in Armed Forces of the United States
Section 341
Any person entitled to the privileges set forth in Section 141
(with the exception of any person described in section 141(a)(5) who is
not a citizen of the Republic of the Marshall Islands) shall be
eligible to volunteer for service in the Armed Forces of the United
States, but shall not be subject to involuntary induction into military
service of the United States as long as such person has resided in the
United States for a period of less than one year, provided that no time
shall count towards this one year while a person admitted to the United
States under the Compact, or the Compact, as amended, is engaged in
full-time study in the United States. Any person described in section
141(a)(5) who is not a citizen of the Republic of the Marshall Islands
shall be subject to United States laws relating to selective service.
Section 342
The Government of the United States shall have enrolled, at any one
time, at least one qualified student from the Republic of the Marshall
Islands, as may be nominated by the Government of the Republic of the
Marshall Islands, in each of:
(a) The United States Coast Guard Academy pursuant to 14 U.S.C.
195.
(b) The United States Merchant Marine Academy pursuant to 46
U.S.C. 1295(b)(6), provided that the provisions of 46 U.S.C.
1295b(b)(6)(C) shall not apply to the enrollment of students
pursuant to section 342(b) of this Compact, as amended.
Article V
General Provisions
Section 351
(a) The Government of the United States and the Government of the
Republic of the Marshall Islands shall continue to maintain a Joint
Committee empowered to consider disputes arising under the
implementation of this Title and its related agreements.
(b) The membership of the Joint Committee shall comprise selected
senior officials of the two Governments. The senior United States
military commander in the Pacific area shall be the senior United
States member of the Joint Committee. For the meetings of the Joint
Committee, each of the two Governments may designate additional or
alternate representatives as appropriate for the subject matter under
consideration.
(c) Unless otherwise mutually agreed, the Joint Committee shall
meet annually at a time and place to be designated, after appropriate
consultation, by the Government of the United States. The Joint
Committee also shall meet promptly upon request of either of its
members. The Joint Committee shall follow such procedures, including
the establishment of functional subcommittees, as the members may from
time to time agree. Upon notification by the Government of the United
States, the Joint Committee of the United States and the Republic of
the Marshall Islands shall meet promptly in a combined session with the
Joint Committee established and maintained by the Government of the
United States and the Government of the Federated States of Micronesia
to consider matters within the jurisdiction of the two Joint
Committees.
(d) Unresolved issues in the Joint Committee shall be referred to
the Governments for resolution, and the Government of the Republic of
the Marshall Islands shall be afforded, on an expeditious basis, an
opportunity to raise its concerns with the United States Secretary of
Defense personally regarding any unresolved issue which threatens its
continued association with the Government of the United States.
Section 352
In the exercise of its authority and responsibility under Title
Three, the Government of the United States shall accord due respect to
the authority and responsibility of the Government of the Republic of
the Marshall Islands under Titles One, Two and Four and to the
responsibility of the Government of the Republic of the Marshall
Islands to assure the well-being of its people.
Section 353
(a) The Government of the United States shall not include the
Government of the Republic of the Marshall Islands as a named party to
a formal declaration of war, without that Government's consent.
(b) Absent such consent, this Compact, as amended, is without
prejudice, on the ground of belligerence or the existence of a state of
war, to any claims for damages which are advanced by the citizens,
nationals or Government of the Republic of the Marshall Islands, which
arise out of armed conflict subsequent to October 21, 1986, and which
are:
(1) petitions to the Government of the United States for
redress; or
(2) claims in any manner against the government, citizens,
nationals or entities of any third country.
(c) Petitions under section 353(b)(1) shall be treated as if they
were made by citizens of the United States.
Section 354
(a) The Government of the United States and the Government of the
Republic of the Marshall Islands are jointly committed to continue
their security and defense relations, as set forth in this Title.
Accordingly, it is the intention of the two countries that the
provisions of this Title shall remain binding as long as this Compact,
as amended, remains in effect, and thereafter as mutually agreed,
unless earlier terminated by mutual agreement pursuant to section 441,
or amended pursuant to Article III of Title Four. If at any time the
Government of the United States, or the Government of the Republic of
the Marshall Islands, acting unilaterally, terminates this Title, such
unilateral termination shall be considered to be termination of the
entire Compact, as amended, in which case the provisions of section 442
and 452 (in the case of termination by the Government of the United
States) or sections 443 and 453 (in the case of termination by the
Government of the Republic of the Marshall Islands), with the exception
of paragraph (3) of subsection (a) of section 452 or paragraph (3) of
subsection (a) of section 453, as the case may be, shall apply.
(b) The Government of the United States recognizes, in view of the
special relationship between the Government of the United States and
the Government of the Republic of the Marshall Islands, and in view of
the existence of the separate agreement regarding mutual security
concluded with the Government of the Republic of the Marshall Islands
pursuant to sections 321 and 323, that, even if this Title should
terminate, any attack on the Republic of the Marshall Islands during
the period in which such separate agreement is in effect, would
constitute a threat to the peace and security of the entire region and
a danger to the United States. In the event of such an attack, the
Government of the United States would take action to meet the danger to
the United States and to the Republic of the Marshall Islands in
accordance with its constitutional processes.
(c) As reflected in Article 21(1)(b) of the Trust Fund Agreement,
the Government of the United States and the Government of the Republic
of the Marshall Islands further recognize, in view of the special
relationship between their countries, that even if this Title should
terminate, the Government of Republic of the Marshall Islands shall
refrain from actions which the Government of the United States
determines, after appropriate consultation with that Government, to be
incompatible with its authority and responsibility for security and
defense matters in or relating to the Republic of the Marshall Islands
or the Federated States of Micronesia.
TITLE FOUR
GENERAL PROVISIONS
Article I
Approval and Effective Date
Section 411
Pursuant to section 432 of the Compact and subject to subsection
(e) of section 461 of the Compact, as amended, the Compact, as amended,
shall come into effect upon mutual agreement between the Government of
the United States and the Government of the Republic of the Marshall
Islands subsequent to completion of the following:
(a) Approval by the Government of the Republic of the Marshall
Islands in accordance with its constitutional processes.
(b) Approval by the Government of the United States in
accordance with its constitutional processes.
Article II
Conference and Dispute Resolution
Section 421
The Government of the United States shall confer promptly at the
request of the Government of the Republic of the Marshall Islands and
that Government shall confer promptly at the request of the Government
of the United States on matters relating to the provisions of this
Compact, as amended, or of its related agreements.
Section 422
In the event the Government of the United States or the Government
of the Republic of the Marshall Islands, after conferring pursuant to
section 421, determines that there is a dispute and gives written
notice thereof, the two Governments shall make a good faith effort to
resolve the dispute between themselves.
Section 423
If a dispute between the Government of the United States and the
Government of the Republic of the Marshall Islands cannot be resolved
within 90 days of written notification in the manner provided in
section 422, either party to the dispute may refer it to arbitration in
accordance with section 424.
Section 424
Should a dispute be referred to arbitration as provided for in
section 423, an Arbitration Board shall be established for the purpose
of hearing the dispute and rendering a decision which shall be binding
upon the two parties to the dispute unless the two parties mutually
agree that the decision shall be advisory. Arbitration shall occur
according to the following terms:
(a) An Arbitration Board shall consist of a Chairman and two
other members, each of whom shall be a citizen of a party to the
dispute. Each of the two Governments that is a party to the dispute
shall appoint one member to the Arbitration Board. If either party
to the dispute does not fulfill the appointment requirements of
this section within 30 days of referral of the dispute to
arbitration pursuant to section 423, its member on the Arbitration
Board shall be selected from its own standing list by the other
party to the dispute. Each Government shall maintain a standing
list of 10 candidates. The parties to the dispute shall jointly
appoint a Chairman within 15 days after selection of the other
members of the Arbitration Board. Failing agreement on a Chairman,
the Chairman shall be chosen by lot from the standing lists of the
parties to the dispute within 5 days after such failure.
(b) Unless otherwise provided in this Compact, as amended, or
its related agreements, the Arbitration Board shall have
jurisdiction to hear and render its final determination on all
disputes arising exclusively under Articles I, II, III, IV and V of
Title One, Title Two, Title Four, and their related agreements.
(c) Each member of the Arbitration Board shall have one vote.
Each decision of the Arbitration Board shall be reached by majority
vote.
(d) In determining any legal issue, the Arbitration Board may
have reference to international law and, in such reference, shall
apply as guidelines the provisions set forth in Article 38 of the
Statute of the International Court of Justice.
(e) The Arbitration Board shall adopt such rules for its
proceedings as it may deem appropriate and necessary, but such
rules shall not contravene the provisions of this Compact, as
amended. Unless the parties provide otherwise by mutual agreement,
the Arbitration Board shall endeavor to render its decision within
30 days after the conclusion of arguments. The Arbitration Board
shall make findings of fact and conclusions of law and its members
may issue dissenting or individual opinions. Except as may be
otherwise decided by the Arbitration Board, one-half of all costs
of the arbitration shall be borne by the Government of the United
States and the remainder shall be borne by the Government of the
Republic of the Marshall Islands.
Article III
Amendment
Section 431
The provisions of this Compact, as amended, may be further amended
by mutual agreement of the Government of the United States and the
Government of the Republic of the Marshall Islands, in accordance with
their respective constitutional processes.
Article IV
Termination
Section 441
This Compact, as amended, may be terminated by mutual agreement of
the Government of the Republic of the Marshall Islands and the
Government of the United States, in accordance with their respective
constitutional processes. Such mutual termination of this Compact, as
amended, shall be without prejudice to the continued application of
section 451 of this Compact, as amended, and the provisions of the
Compact, as amended, set forth therein.
Section 442
Subject to section 452, this Compact, as amended, may be terminated
by the Government of the United States in accordance with its
constitutional processes. Such termination shall be effective on the
date specified in the notice of termination by the Government of the
United States but not earlier than six months following delivery of
such notice. The time specified in the notice of termination may be
extended. Such termination of this Compact, as amended, shall be
without prejudice to the continued application of section 452 of this
Compact, as amended, and the provisions of the Compact, as amended, set
forth therein.
Section 443
This Compact, as amended, shall be terminated by the Government of
the Republic of the Marshall Islands, pursuant to its constitutional
processes, subject to section 453 if the people represented by that
Government vote in a plebiscite to terminate the Compact. The
Government of the Republic of the Marshall Islands shall notify the
Government of the United States of its intention to call such a
plebiscite, which shall take place not earlier than three months after
delivery of such notice. The plebiscite shall be administered by the
Government of the Republic of the Marshall Islands in accordance with
its constitutional and legislative processes, but the Government of the
United States may send its own observers and invite observers from a
mutually agreed party. If a majority of the valid ballots cast in the
plebiscite favors termination, the Government of the Republic of the
Marshall Islands shall, upon certification of the results of the
plebiscite, give notice of termination to the Government of the United
States, such termination to be effective on the date specified in such
notice but not earlier than three months following the date of delivery
of such notice. The time specified in the notice of termination may be
extended.
Article V
Survivability
Section 451
(a) Should termination occur pursuant to section 441, economic and
other assistance by the Government of the United States shall continue
only if and as mutually agreed by the Governments of the United States
and the Republic of the Marshall Islands, and in accordance with the
countries' respective constitutional processes.
(b) In view of the special relationship of the United States and
the Republic of the Marshall Islands, as reflected in subsections (b)
and (c) of section 354 of this Compact, as amended, and the separate
agreement entered into consistent with those subsections, if
termination occurs pursuant to section 441 prior to the twentieth
anniversary of the effective date of this Compact, as amended, the
United States shall continue to make contributions to the Trust Fund
described in section 216 of this Compact, as amended.
(c) In view of the special relationship of the United States and
the Republic of the Marshall Islands described in subsection (b) of
this section, if termination occurs pursuant to section 441 following
the twentieth anniversary of the effective date of this Compact, as
amended, the Republic of the Marshall Islands shall be entitled to
receive proceeds from the Trust Fund described in section 216 of this
Compact, as amended, in the manner described in those provisions and
the Trust Fund Agreement.
Section 452
(a) Should termination occur pursuant to section 442 prior to the
twentieth anniversary of the effective date of this Compact, as
amended, the following provisions of this amended Compact shall remain
in full force and effect until the twentieth anniversary of the
effective date of this Compact, as amended, and thereafter as mutually
agreed:
(1) Article VI and sections 172, 173, 176 and 177 of Title One;
(2) Article One and sections 232 and 234 of Title Two;
(3) Title Three; and
(4) Articles II, III, V and VI of Title Four.
(b) Should termination occur pursuant to section 442 before the
twentieth anniversary of the effective date of this Compact, as
amended:
(1) Except as provided in paragraph (2) of this subsection and
subsection (c) of this section, economic and other assistance by
the United States shall continue only if and as mutually agreed by
the Governments of the United States and the Republic of the
Marshall Islands.
(2) In view of the special relationship of the United States
and the Republic of the Marshall Islands, as reflected in
subsections (b) and (c) of section 354 of this Compact, as amended,
and the separate agreement regarding mutual security, and the Trust
Fund Agreement, the United States shall continue to make
contributions to the Trust Fund described in section 216 of this
Compact, as amended, in the manner described in the Trust Fund
Agreement.
(c) In view of the special relationship of the United States and
the Republic of the Marshall Islands, as reflected in subsections
354(b) and (c) of this Compact, as amended, and the separate agreement
regarding mutual security, and the Trust Fund Agreement, if termination
occurs pursuant to section 442 following the twentieth anniversary of
the effective date of this Compact, as amended, the Republic of the
Marshall Islands shall continue to be eligible to receive proceeds from
the Trust Fund described in section 216 of this Compact, as amended, in
the manner described in those provisions and the Trust Fund Agreement.
Section 453
(a) Should termination occur pursuant to section 443 prior to the
twentieth anniversary of the effective date of this Compact, as
amended, the following provisions of this Compact, as amended, shall
remain in full force and effect until the twentieth anniversary of the
effective date of this Compact, as amended, and thereafter as mutually
agreed:
(1) Article VI and sections 172, 173, 176 and 177 of Title One;
(2) Sections 232 and 234 of Title Two;
(3) Title Three; and
(4) Articles II, III, V and VI of Title Four.
(b) Upon receipt of notice of termination pursuant to section 443,
the Government of the United States and the Government of the Republic
of the Marshall Islands shall promptly consult with regard to their
future relationship. Except as provided in subsections (c) and (d) of
this section, these consultations shall determine the level of economic
and other assistance, if any, which the Government of the United States
shall provide to the Government of the Republic of the Marshall Islands
for the period ending on the twentieth anniversary of the effective
date of this Compact, as amended, and for any period thereafter, if
mutually agreed.
(c) In view of the special relationship of the United States and
the Republic of the Marshall Islands, as reflected in subsections
354(b) and (c) of this Compact, as amended, and the separate agreement
regarding mutual security, and the Trust Fund Agreement, if termination
occurs pursuant to section 443 prior to the twentieth anniversary of
the effective date of this Compact, as amended, the United States shall
continue to make contributions to the Trust Fund described in section
216 of this Compact, as amended.
(d) In view of the special relationship of the United States and
the Republic of the Marshall Islands, as reflected in subsections
354(b) and (c) of this Compact, as amended, and the separate agreement
regarding mutual security, and the Trust Fund Agreement, if termination
occurs pursuant to section 443 following the twentieth anniversary of
the effective date of this Compact, as amended, the Republic of the
Marshall Islands shall continue to be eligible to receive proceeds from
the Trust Fund described in section 216 of this Compact, as amended, in
the manner described in those provisions and the Trust Fund Agreement.
Section 454
Notwithstanding any other provision of this Compact, as amended:
(a) The Government of the United States reaffirms its
continuing interest in promoting the economic advancement and
budgetary self-reliance of the people of the Republic of the
Marshall Islands.
(b) The separate agreements referred to in Article II of Title
Three shall remain in effect in accordance with their terms.
Article VI
Definition of Terms
Section 461
For the purpose of this Compact, as amended, only, and without
prejudice to the views of the Government of the United States or the
Government of the Republic of the Marshall Islands as to the nature and
extent of the jurisdiction of either of them under international law,
the following terms shall have the following meanings:
(a) ``Trust Territory of the Pacific Islands'' means the area
established in the Trusteeship Agreement consisting of the former
administrative districts of Kosrae, Yap, Ponape, the Marshall
Islands and Truk as described in Title One, Trust Territory Code,
section 1, in force on January 1, 1979. This term does not include
the area of Palau or the Northern Mariana Islands.
(b) ``Trusteeship Agreement'' means the agreement setting forth
the terms of trusteeship for the Trust Territory of the Pacific
Islands, approved by the Security Council of the United Nations
April 2, 1947, and by the United States July 18, 1947, entered into
force July 18, 1947, 61 Stat. 3301, T.I.A.S. 1665, 8 U.N.T.S. 189.
(c) ``The Republic of the Marshall Islands'' and ``the
Federated States of Micronesia'' are used in a geographic sense and
include the land and water areas to the outer limits of the
territorial sea and the air space above such areas as now or
hereafter recognized by the Government of the United States.
(d) ``Compact'' means the Compact of Free Association Between
the United States and the Federated States of Micronesia and the
Marshall Islands, that was approved by the United States Congress
in section 201 of Public Law 99-239 (Jan. 14, 1986) and went into
effect with respect to the Republic of the Marshall Islands on
October 21, 1986.
(e) ``Compact, as amended'' means the Compact of Free
Association Between the United States and the Republic of the
Marshall Islands, as amended. The effective date of the Compact, as
amended, shall be on a date to be determined by the President of
the United States, and agreed to by the Government of the Republic
of the Marshall Islands, following formal approval of the Compact,
as amended, in accordance with section 411 of this Compact, as
amended.
(f) ``Government of the Republic of the Marshall Islands''
means the Government established and organized by the Constitution
of the Republic of the Marshall Islands including all the political
subdivisions and entities comprising that Government.
(g) ``Government of the Federated States of Micronesia'' means
the Government established and organized by the Constitution of the
Federated States of Micronesia including all the political
subdivisions and entities comprising that Government.
(h) The following terms shall be defined consistent with the
1978 Edition of the Radio Regulations of the International
Telecommunications as follows:
(1) ``Radiocommunication'' means telecommunication by means
of radio waves.
(2) ``Station'' means one or more transmitters or receivers
or a combination of transmitters and receivers, including the
accessory equipment, necessary at one location for carrying on
a radiocommunication service, or the radio astronomy service.
(3) ``Broadcasting Service'' means a radiocommunication
service in which the transmissions are intended for direct
reception by the general public. This service may include sound
transmissions, television transmissions or other types of
transmission.
(4) ``Broadcasting Station'' means a station in the
broadcasting service.
(5) ``Assignment (of a radio frequency or radio frequency
channel)'' means an authorization given by an administration
for a radio station to use a radio frequency or radio frequency
channel under specified conditions.
(6) ``Telecommunication'' means any transmission, emission
or reception of signs, signals, writings, images and sounds or
intelligence of any nature by wire, radio, optical or other
electromagnetic systems.
(i) ``Military Areas and Facilities'' means those areas and
facilities in the Republic of the Marshall Islands reserved or
acquired by the Government of the Republic of the Marshall Islands
for use by the Government of the United States, as set forth in the
separate agreements referred to in section 321.
(j) ``Tariff Schedules of the United States'' means the Tariff
Schedules of the United States as amended from time to time and as
promulgated pursuant to United States law and includes the Tariff
Schedules of the United States Annotated (TSUSA), as amended.
(k) ``Vienna Convention on Diplomatic Relations'' means the
Vienna Convention on Diplomatic Relations, done April 18, 1961, 23
U.S.T. 3227, T.I.A.S. 7502, 500 U.N.T.S. 95.
Section 462
(a) The Government of the United States and the Government of the
Republic of the Marshall Islands previously have concluded agreements,
which shall remain in effect and shall survive in accordance with their
terms, as follows:
(1) Agreement Between the Government of the United States and
the Government of the Marshall Islands for the Implementation of
Section 177 of the Compact of Free Association;
(2) Agreement Between the Government of the United States and
the Government of the Marshall Islands by Persons Displaced as a
Result of the United States Nuclear Testing Program in the Marshall
Islands;
(3) Agreement Between the Government of the United States and
the Government of the Marshall Islands Regarding the Resettlement
of Enjebi Island;
(4) Agreement Concluded Pursuant to Section 234 of the Compact;
and
(5) Agreement Between the Government of the United States and
the Government of the Marshall Islands Regarding Mutual Security
Concluded Pursuant to Sections 321 and 323 of the Compact of Free
Association.
(b) The Government of the United States and the Government of the
Republic of the Marshall Islands shall conclude prior to the date of
submission of this Compact to the legislatures of the two countries,
the following related agreements which shall come into effect on the
effective date of this Compact, as amended, and shall survive in
accordance with their terms, as follows:
(1) Federal Programs and Services Agreement Between the
Government of the United States of America and the Government of
the Republic of the Marshall Islands Concluded Pursuant to Article
III of Title One, Article II of Title Two (including Section 222),
and Section 231 of the Compact of Free Association, as Amended,
which include:
(i) Postal Services and Related Programs;
(ii) Weather Services and Related Programs;
(iii) Civil Aviation Safety Service and Related Programs;
(iv) Civil Aviation Economic Services and Related Programs;
(v) United States Disaster Preparedness and Response
Services and Related Programs; and
(vi) Telecommunications Services and Related Programs.
(2) Agreement Between the Government of the United States of
America and the Government of the Republic of the Marshall Islands
on Extradition, Mutual Assistance in Law Enforcement Matters and
Penal Sanctions Concluded Pursuant to Section 175 (a) of the
Compact of Free Association, as Amended;
(3) Agreement Between the Government of the United States of
America and the Government of the Republic of the Marshall Islands
on Labor Recruitment Concluded Pursuant to Section 175 (b) of the
Compact of Free Association, as Amended;
(4) Agreement Concerning Procedures for the Implementation of
United States Economic Assistance Provided in the Compact, as
Amended, of Free Association Between the Government of the United
States of America and the Government of the Republic of the
Marshall Islands;
(5) Agreement Between the Government of the United States of
America and the Government of the Republic of the Marshall Islands
Implementing Section 216 and Section 217 of the Compact, as
Amended, Regarding a Trust Fund;
(6) Agreement Regarding the Military Use and Operating Rights
of the Government of the United States in the Republic of the
Marshall Islands Concluded Pursuant to Sections 321 and 323 of the
Compact of Free Association, as Amended; and
(7) Status of Forces Agreement Between the Government of the
United States of America and the Government of the Republic of the
Marshall Islands Concluded Pursuant to Section 323 of the Compact
of Free Association, as Amended.
Section 463
(a) Except as set forth in subsection (b) of this section, any
reference in this Compact, as amended, to a provision of the United
States Code or the Statutes at Large of the United States constitutes
the incorporation of the language of such provision into this Compact,
as amended, as such provision was in force on the effective date of
this Compact, as amended.
(b) Any reference in Article IV and VI of Title One, and Sections
174, 175, 178 and 342 to a provision of the United States Code or the
Statutes at Large of the United States or to the Privacy Act, the
Freedom of Information Act, the Administrative Procedure Act or the
Immigration and Nationality Act constitutes the incorporation of the
language of such provision into this Compact, as amended, as such
provision was in force on the effective date of this Compact, as
amended, or as it may be amended thereafter on a non-discriminatory
basis according to the constitutional processes of the United States.
Article VII
Concluding Provisions
Section 471
Both the Government of the United States and the Government of the
Republic of the Marshall Islands shall take all necessary steps, of a
general or particular character, to ensure, no later than the entry
into force date of this Compact, as amended, the conformity of its
laws, regulations and administrative procedures with the provisions of
this Compact, as amended, or, in the case of subsection (d) of section
141, as soon as reasonably possible thereafter.
Section 472
This Compact, as amended, may be accepted, by signature or
otherwise, by the Government of the United States and the Government of
the Republic of the Marshall Islands.
IN WITNESS WHEREOF, the undersigned, duly authorized, have signed
this Compact of Free Association, as amended, which shall enter into
force upon the exchange of diplomatic notes by which the Government of
the United States of America and the Government of the Republic of the
Marshall Islands inform each other about the fulfillment of their
respective requirements for entry into force.
DONE at Majuro, Republic of the Marshall Islands, in duplicate,
this thirtieth (30) day of April, 2003, each text being equally
authentic.
Signed (April 30, 2003)
Signed (April 30, 2003)
For the Government of the
For the Government of the
United States of America:
Republic of the Marshall Islands:
Ambassador Michael J. Senko
His Excellency Banny deBrum
U.S. Ambassador to the
Ambassador Extraordinary and
Republic of the Marshall Islands
Plenipotentiary
Speaker of the House of Representatives.
Vice President of the United States and
President of the Senate.