[Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[S. 2305 Introduced in Senate (IS)]







108th CONGRESS
  2d Session
                                S. 2305

 To authorize programs that support economic and political development 
 in the Greater Middle East and Central Asia and support for three new 
           multilateral institutions, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             April 8, 2004

  Mr. Hagel (for himself and Mr. Lieberman) introduced the following 
  bill; which was read twice and referred to the Committee on Foreign 
                               Relations

_______________________________________________________________________

                                 A BILL


 
 To authorize programs that support economic and political development 
 in the Greater Middle East and Central Asia and support for three new 
           multilateral institutions, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Greater Middle East and Central Asia 
Development Act of 2004''.

SEC. 2. PURPOSE.

    The purpose of this Act is to authorize assistance for political 
freedom and economic development, particularly through private sector 
development, in the Greater Middle East and Central Asia, including 
contributions to and participation in 3 new entities: a Trust for 
Democracy, a Development Foundation, and a Development Bank.

SEC. 3. FINDINGS.

    Congress makes the following findings:
            (1) The terrorist attacks of September 11, 2001, signaled a 
        turning point in United States foreign policy.
            (2) Al Qaeda and affiliated groups have established a 
        terrorist network with linkages in Afghanistan, Pakistan, 
        throughout the Greater Middle East and Central Asia, and around 
        the world.
            (3) The war on terrorism requires that the United States 
        consider the Greater Middle East and Central Asia as a 
        strategic region with its own political, economic, and security 
        dynamics.
            (4) While rich in cultural, geographic, and language 
        diversity, the Greater Middle East and Central Asia face common 
        impediments to economic development and political freedom.
            (5) Although poverty and economic underdevelopment do not 
        alone cause terrorism, the expansion of economic growth, free 
        trade, and private sector development can contribute to an 
        environment that undercuts radical political tendencies that 
        give rise to terrorism.
            (6) Given the relationship between economic and political 
        development and winning the global war on terror, America's 
        support for freedom in the Greater Middle East and Central Asia 
        must be matched with expanded and new programs of partnership 
        with the people and governments of the region to promote good 
        governance, political freedom, private sector development, and 
        more open economies.
            (7) The United States and other donors should support those 
        citizens of the Greater Middle East and Central Asia who share 
        our desire to undertake reforms that result in more open 
        political and economic systems.
            (8) Turkey, which should be supported in its aspirations 
        for membership in the European Union, plays a pivotal and 
        unique role in efforts to bring economic development and 
        stability to the Greater Middle East and Central Asia.
            (9) The President should seek new mechanisms to work 
        together with European and other nations, as well as with the 
        countries of the Greater Middle East and Central Asia to 
        promote political and economic development in the Greater 
        Middle East and Central Asia.
            (10) Because the dynamics of the Greater Middle East and 
        Central Asia have a serious impact on global security, the 
        North Atlantic Treaty Organization (NATO) should now shift its 
        strategic focus to the region, including expanded roles in 
        Iraq, Afghanistan, and the Mediterranean.

SEC. 4. DEFINITION; SPECIAL RULE.

    (a) Greater Middle East and Central Asia Defined.--In this Act, the 
term ``Greater Middle East and Central Asia'' means the 22 members of 
the Arab League (Algeria, Bahrain, Comoros, Djibouti, Egypt, Iraq, 
Jordan, Kuwait, Lebanon, Libya, Mauritania, Morocco, Oman, the 
Palestinian Authority, Qatar, Saudi Arabia, Somalia, Sudan, Syria, 
Tunisia, United Arab Emirates, and Yemen), Afghanistan, Iran, Israel, 
Kazakhstan, Kyrgyzstan, Pakistan, Tajikistan, Turkey, Turkmenistan, and 
Uzbekistan.
    (b) Special Rule.--A country listed in subsection (a) may not 
receive assistance under this Act if such country is identified as a 
country supporting international terrorism pursuant to section 
6(j)(1)(A) of the Export Administration Act of 1979 (as in effect 
pursuant to the International Emergency Economic Powers Act; 50 U.S.C. 
1701 et seq.), section 40(d) of the Arms Export Control Act (22 U.S.C. 
2780(d)), section 620A of the Foreign Assistance Act of 1961 (22 U.S.C. 
2371), or any other provision of law.

SEC. 5. AUTHORIZATION OF ASSISTANCE.

    Notwithstanding any other provision of law, the President is 
authorized to provide assistance to the Greater Middle East and Central 
Asia for the purpose of promoting economic and political freedoms, free 
trade, and private sector development, including the programs described 
in the following paragraphs:
            (1) United states contribution to and membership in a 
        greater middle east and central asia development bank.--The 
        President is authorized to work with other donors and 
        representatives from the Greater Middle East and Central Asia 
        to establish a Greater Middle East and Central Asia Development 
        Bank to promote private sector development, trade, including 
        intra-regional trade, and investment in the Greater Middle East 
        and Central Asia.
            (2) Creation of a greater middle east and central asia 
        development foundation.--The President is authorized to work 
        with other donors and representatives from the Greater Middle 
        East and Central Asia to establish a multilateral Greater 
Middle East and Central Asia Development Foundation to assist in the 
administration and implementation of assistance programs, including 
public-private programs, pursuant to this Act, with specific emphasis 
on programs at the grass-roots level, to include volunteer-based 
organizations and other nongovernmental organizations that support 
private sector development, entrepreneurship, and development of small- 
and medium-size enterprises and exchanges.
            (3) Creation of trust for democracy.--The President is 
        authorized to establish, together with other donors and private 
        sector and nongovernmental leaders from the Greater Middle East 
        and Central Asia, a multilateral, public-private Trust for 
        Democracy to support grass-roots development of civil society, 
        democratic reform, good governance practices, and rule of law 
        reform in the Greater Middle East and Central Asia. Private 
        foundations shall be encouraged to participate in the Trust 
        through the provision of matching funds.

SEC. 6. SENSE OF CONGRESS REGARDING COORDINATION OF ASSISTANCE TO THE 
              GREATER MIDDLE EAST AND CENTRAL ASIA.

    Recognizing the importance of coordination of assistance to the 
Greater Middle East and Central Asia, and the strategic imperatives 
required by the war on terrorism, it is the sense of Congress that--
            (1) the Secretary of State and the heads of other relevant 
        Government agencies should consider new approaches to the 
        coordination of the provision of political and economic support 
        for the Greater Middle East and Central Asia; and
            (2) the Secretary of State should consider appointing a 
        Coordinator for Assistance to the Greater Middle East and 
        Central Asia.

SEC. 7. PROGRAM REPORTS.

    (a) Requirement for Reports.--Beginning on January 31, 2005, and 
annually thereafter, the President shall submit to Congress a report on 
the progress of the Greater Middle East and Central Asia, the Greater 
Middle East and Central Asia Development Bank, the Greater Middle East 
and Central Asia Development Foundation, and the Trust for Democracy in 
developing more open political and economic systems and the degree to 
which United States assistance has been effective at promoting these 
changes.
    (b) Content.--The reports required by subsection (a) shall include 
general information regarding such progress and specific information on 
the progress of each of the Greater Middle East and Central Asia 
Development Bank, the Greater Middle East and Central Asia Development 
Foundation, and the Trust for Democracy in--
            (1) encouraging entrepreneurial development and supporting 
        growth of small- and medium-size enterprises in the Greater 
        Middle East and Central Asia;
            (2) promoting private sector development, democratic 
        political reform, good governance building, rule of law reform, 
        and other appropriate goals in the Greater Middle East and 
        Central Asia;
            (3) fostering intra-regional trade and investment by United 
        States businesses and financial institutions in the Greater 
        Middle East and Central Asia;
            (4) developing public-private partnerships to carry out the 
        purpose of this Act; and
            (5) encouraging the involvement of the Greater Middle East 
        and Central Asia, and other donors in each institution.

SEC. 8. ENTERPRISE FUNDS REPORTS TO CONGRESS.

    Not later than 1 year after the date of enactment of this Act, the 
President shall submit to Congress a comprehensive report evaluating 
the appropriateness of the establishment of enterprise funds in the 
Greater Middle East and Central Asia. The report shall evaluate whether 
and to what extent enterprise funds might be an effective mechanism for 
promoting economic reform and investment in the Greater Middle East and 
Central Asia.

SEC. 9. REPORT ON COORDINATION OF ASSISTANCE TO THE GREATER MIDDLE EAST 
              AND CENTRAL ASIA.

    Not later than 1 year after the date of enactment of this Act, the 
President shall submit to Congress a report that describes the measures 
that have been employed, and the measures that are planned to be 
employed, to improve the coordination within the Department of State 
and among the heads of the relevant Government agencies of the 
provision of support to the Greater Middle East and Central Asia.

SEC. 10. NOTIFICATIONS TO CONGRESS REGARDING ASSISTANCE.

    Section 634A of the Foreign Assistance Act of 1961 (22 U.S.C. 2394-
1) (relating to reprogramming notifications) shall apply with respect 
to obligations of funds made available to carry out this Act.

SEC. 11. AUTHORIZATION OF APPROPRIATIONS.

    (a) Authorization of Appropriations.--In addition to funds 
otherwise available for such purpose and for the countries to which 
this Act applies, there are authorized to be appropriated to the 
Department of State to carry out the provisions of this Act, 
$1,000,000,000 for each of the fiscal years 2005 through 2009.
    (b) Availability of Funds.--Amounts appropriated pursuant to 
subsection (a) shall remain available until expended.
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