Short title

This Act may be cited as the

Compacts of Free Association Amendments Act of 2007

Approval of Agreements

(a)

In general

Section 101 of the Compact of Free Association Amendments Act of 2003 (48 U.S.C. 1921) is amended— (1)in the first sentence of subsection (a), by inserting before the period at the end the following: , including Article X of the Federal Programs and Services Agreement Between the Government of the United States and the Government of the Federated States of Micronesia, as amended under the Agreement to Amend Article X that was signed by those two Governments on June 30, 2004, which shall serve as the authority to implement the provisions thereof; and (2)in the first sentence of subsection (b), by inserting before the period at the end the following: , including Article X of the Federal Programs and Services Agreement Between the Government of the United States and the Government of the Republic of the Marshall Islands, as amended under the Agreement to Amend Article X that was signed by those two Governments on June 18, 2004, which shall serve as the authority to implement the provisions thereof. (b)

Effective date

The amendments made by subsection (a) shall be effective as of April 30, 2008.

Funds to Facilitate Federal Activities

Unobligated amounts appropriated before the date of the enactment of this Act pursuant to section 105(f)(1)(A)(ii) of the Compact of Free Association Amendments Act of 2003 shall be available to both the United States Agency for International Development and the Federal Emergency Management Agency to facilitate each agency’s activities under the Federal Programs and Services Agreements.

Conforming amendment

(a)

In general

Section 105(f)(1)(A) of the Compact of Free Association Amendments Act of 2003 (48 U.S.C. 1921d(f)(1)(A)) is amended to read as follows:

(A)

Emergency and disaster assistance

(i)

In general

Subject to clause (ii), section 221(a)(6) of the U.S.–FSM Compact and section 221(a)(5) of the U.S.–RMI Compact shall each be construed and applied in accordance with the two Agreements to Amend Article X of the Federal Programs and Service Agreements signed on June 30, 2004, and on June 18, 2004, respectively, provided that all activities carried out by the United States Agency for International Development and the Federal Emergency Management Agency under Article X of the Federal Programs and Services Agreements may be carried out notwithstanding any other provision of law. In the sections referred to in this clause, the term United States Agency for International Development, Office of Foreign Disaster Assistance shall be construed to mean the United States Agency for International Development. (ii)

Definition of will provide funding

In the second sentence of paragraph 12 of each of the Agreements described in clause (i), the term will provide funding means will provide funding through a transfer of funds using Standard Form 1151 or a similar document or through an interagency, reimbursable agreement.

(b)

Effective date

The amendments made by subsection (a) shall be effective as of April 30, 2008.

Clarifications regarding Palau

Section 105(f)(1)(B) of the Compact of Free Association Amendments Act of 2003 (48 U.S.C. 1921d(f)(1)(B)) is amended— (1)in clause (ii)(II), by striking and its territories and inserting , its territories, and the Republic of Palau; (2)in clause (iii)(II), by striking , or the Republic of the Marshall Islands and inserting , the Republic of the Marshall Islands, or the Republic of Palau; and (3)in clause (ix)— (A)by striking Republic both places it appears and inserting government, institutions, and people; (B)by striking 2007 and inserting 2009; and (C)by striking was and inserting were.

Availability of legal services

Section 105(f)(1)(C) of the Compact of Free Association Amendments Act of 2003 (48 U.S.C. 1921d(f)(1)(C)) is amended by inserting before the period at the end the following: , which shall also continue to be available to the citizens of the Federated States of Micronesia, the Republic of Palau, and the Republic of the Marshall Islands who legally reside in the United States (including territories and possessions).

Technical amendments

(a)

Title I

(1)

Section 177 agreement

Section 103(c)(1) of the Compact of Free Association Amendments Act of 2003 (48 U.S.C. 1921b(c)(1)) is amended by striking section 177 and inserting Section 177. (2)

Interpretation and united states policy

Section 104 of the Compact of Free Association Amendments Act of 2003 (48 U.S.C. 1921c) is amended— (A)in subsection (b)(1), by inserting the before U.S.–RMI Compact,; (B)in subsection (e)— (i)in the matter preceding subparagraph (A) of paragraph (8), by striking to include and inserting and include; (ii)in paragraph (9)(A), by inserting a comma after may; and (iii)in paragraph (10), by striking related to service and inserting related to such services; and (C)in the first sentence of subsection (j), by inserting the before Interior. (3)

Supplemental provisions

Section 105(b)(1) of the Compact of Free Association Amendments Act of 2003 (48 U.S.C. 1921d(b)(1)) is amended by striking Trust Fund and inserting Trust Funds. (b)

Title II

(1)

U.S.–FSM compact

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 (as provided in section 201(a) of the Compact of Free Association Amendments Act of 2003 (117 Stat. 2757)) is amended— (A)in section 174— (i)in subsection (a), by striking courts and inserting court; and (ii)in subsection (b)(2), by striking the before November; (B)in section 177(a), by striking , or Palau and inserting (or Palau); (C)in section 179(b), by striking amended Compact and inserting Compact, as amended,; (D)in section 211— (i)in the fourth sentence of subsection (a), by striking Compact, as Amended, of Free Association and inserting Compact of Free Association, as amended; (ii)in the fifth sentence of subsection (a), by striking Trust Fund Agreement, and inserting 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),; (iii)in subsection (b)— (I)in the first sentence, by striking Government of the before Federated; and (II)in the second sentence, by striking Sections 321 and 323 of the Compact of Free Association, as Amended and inserting Sections 211(b), 321, and 323 of the Compact of Free Association, as amended,; and (iv)in the last sentence of subsection (d), by inserting before the period at the end the following: and the Federal Programs and Services Agreement referred to in section 231; (E)in the first sentence of section 215(b), by striking subsection(a) and inserting subsection (a); (F)in section 221— (i)in subsection (a)(6), by inserting (Federal Emergency Management Agency) after Homeland Security; and (ii)in the first sentence of subsection (c), by striking agreements and inserting agreement; (G)in the second sentence of section 222, by inserting in after referred to; (H)in the second sentence of section 232, by striking sections 102 (c) and all that follows through January 14, 1986) and inserting section 102(b) of Public Law 108–188, 117 Stat. 2726, December 17, 2003; (I)in the second sentence of section 252, by inserting , as amended, after Compact; (J)in the first sentence of the first undesignated paragraph of section 341, by striking Section 141 and inserting section 141; (K)in section 342— (i)in subsection (a), by striking 14 U.S.C. 195 and inserting section 195 of title 14, United States Code; and (ii)in subsection (b)— (I)by striking 46 U.S.C. 1295(b)(6) and inserting section 1303(b)(6) of the Merchant Marine Act, 1936 (46 U.S.C. 1295b(b)(6)); and (II)by striking 46 U.S.C. 1295b(b)(6)(C) and inserting section 1303(b)(6)(C) of that Act; (L)in the third sentence of section 354(a), by striking section 442 and 452 and inserting sections 442 and 452; (M)in section 461(h), by striking Telecommunications and inserting Telecommunication; (N)in section 462(b)(4), by striking of Free Association the second place it appears; and (O)in section 463(b), by striking Articles IV and inserting Article IV. (2)

U.S.–RMI compact

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 (as provided in section 201(b) of the Compact of Free Association Amendments Act of 2003 (117 Stat. 2795)) is amended— (A)in section 174(a), by striking court and inserting courts; (B)in section 177(a), by striking the comma before (or Palau); (C)in section 179(b), by striking amended Compact, and inserting Compact, as amended,; (D)in section 211— (i)in the fourth sentence of subsection (a), by striking Compact, as Amended, of Free Association and inserting Compact of Free Association, as amended; (ii)in the first sentence of subsection (b), by striking Agreement between the Government of the United States and the Government of the Republic of the Marshall Islands Regarding Miliary Use and Operating Rights and inserting 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 (Agreement between the Government of the United States and the Government of the Republic of the Marshall Islands Regarding Military Use and Operating Rights); and (iii)in the last sentence of subsection (e), by inserting before the period at the end the following: and the Federal Programs and Services Agreement referred to in section 231; (E)in section 221(a)— (i)in the matter preceding paragraph (1), by striking Section 231 and inserting section 231; and (ii)in paragraph (5), by inserting (Federal Emergency Management Agency) after Homeland Security; (F)in the second sentence of section 232, by striking sections 103(m) and all that follows through (January 14, 1986) and inserting section 103(k) of Public Law 108–188, 117 Stat. 2734, December 17, 2003; (G)in the first sentence of section 341, by striking Section 141 and inserting section 141; (H)in section 342— (i)in subsection (a), by striking 14 U.S.C. 195 and inserting section 195 of title 14, United States Code; and (ii)in subsection (b)— (I)by striking 46 U.S.C. 1295(b)(6) and inserting section 1303(b)(6) of the Merchant Marine Act, 1936 (46 U.S.C. 1295b(b)(6)); and (II)by striking 46 U.S.C. 1295b(b)(6)(C) and inserting section 1303(b)(6)(C) of that Act; (I)in the third sentence of section 354(a), by striking section 442 and 452 and inserting sections 442 and 452; (J)in the first sentence of section 443, by inserting , as amended. after the Compact; (K)in the matter preceding paragraph (1) of section 461(h)— (i)by striking 1978 and inserting 1998; and (ii)by striking Telecommunications and inserting Telecommunication Union; and (L)in section 463(b), by striking Article and inserting Articles.

Transmission of videotape programming

Section 111(e)(2) of title 17, United States Code, is amended by striking or the Trust Territory of the Pacific Islands and inserting the Federated States of Micronesia, the Republic of Palau, or the Republic of the Marshall Islands.

Palau road maintenance

The Government of the Republic of Palau may deposit the payment otherwise payable to the Government of the United States under section 111 of Public Law 101–219 (48 U.S.C. 1960) into a trust fund if— (1)the earnings of the trust fund are expended solely for maintenance of the road system constructed pursuant to section 212 of the Compact of Free Association between the Government of the United States of America and the Government of Palau (48 U.S.C. 1931 note); and (2)the trust fund is established and operated pursuant to an agreement entered into between the Government of the United States and the Government of the Republic of Palau.

10.

Clarification of tax-free status of Trust Funds

In the U.S.–RMI Compact, the U.S.–FSM Compact, and their respective trust fund subsidiary agreements, for the purposes of taxation by the United States or its subsidiary jurisdictions, the term State means State, territory, or the District of Columbia.

11.

Transfer of naval vessels to certain foreign recipients

(a)

Transfers by grant

The President is authorized to transfer vessels to foreign countries on a grant basis under section 516 of the Foreign Assistance Act of 1961 (22 U.S.C. 2321j), as follows: (1)

Turkey

To the Government of Turkey— (A)the OLIVER HAZARD PERRY class guided missile frigates GEORGE PHILIP (FFG–12) and SIDES (FFG–14); and (B)the OSPREY class minehunter coastal ship BLACKHAWK (MHC–58). (2)

Lithuania

To the Government of Lithuania, the OSPREY class minehunter coastal ships CORMORANT (MHC–57) and KINGFISHER (MHC–56). (b)

Transfers by sale

The President is authorized to transfer vessels to foreign recipients on a sale basis under section 21 of the Arms Export Control Act (22 U.S.C. 2761), as follows: (1)

Taiwan

To the Taipei Economic and Cultural Representative Office in the United States (which is the Taiwan instrumentality designated pursuant to section 10(a) of the Taiwan Relations Act (22 U.S.C. 3309(a))), the OSPREY class minehunter coastal ships ORIOLE (MHC–55) and FALCON (MHC–59). (2)

Turkey

To the Government of Turkey, the OSPREY class minehunter coastal ship SHRIKE (MHC–62). (c)

Grants not counted in annual total of transferred excess defense articles

The value of a vessel transferred to a recipient on a grant basis pursuant to authority provided by subsection (a) shall not be counted against the aggregate value of excess defense articles transferred in any fiscal year under section 516(g) of the Foreign Assistance Act of 1961. (d)

Costs of transfers

Any expense incurred by the United States in connection with a transfer authorized by this section shall be charged to the recipient. (e)

Repair and refurbishment in United States shipyards

To the maximum extent practicable, the President shall require, as a condition of the transfer of a vessel under this section, that the recipient to which the vessel is transferred have such repair or refurbishment of the vessel as is needed before the vessel joins the naval forces of the recipient performed at a shipyard located in the United States, including a United States Navy shipyard. (f)

Expiration of authority

The authority to transfer a vessel under this section shall expire at the end of the 2-year period beginning on the date of the enactment of this Act.