Short title

This Act may be cited as the

Millennium Challenge Compact Improvement Act (MCIA)

Millennium Challenge Compact

(a)

Duration of compacts

Section 609 of the Millennium Challenge Act of 2003 (22 U.S.C. 7708) is amended— (1)by striking subsection (j); and (2)by inserting after subsection (i) the following new subsection:

(j)

Duration of Compact

(1)

In general

Except as provided in subparagraph (2), the duration of a Compact shall not exceed 5 years. (2)

Exception

The duration of a Compact (including a regional Compact) may exceed 5 years if the Board— (A)determines that the Compact includes a project that cannot be completed in 5 years or less; and (B)approves a duration for the Compact of not more than 10 years. (3)

Advance notification

Not later than 15 days before the Board approves a duration for a Compact that exceeds 5 years pursuant to subparagraph (2), the Board, acting through the Chief Executive Officer, shall submit to the appropriate congressional committees an advance notification of such approval, including a detailed explanation for the determination and approval.

(b)

Concurrent and subsequent compacts

Section 609 of such Act (22 U.S.C. 7708) is amended— (1)by striking subsection (k); and (2)by inserting after subsection (j) (as amended by subsection (a)) the following new subsection:

(k)

Concurrent and subsequent compacts

(1)

In general

Subject to the requirements of paragraph (2), and in accordance with the requirements of this title, an eligible country and the United States— (A)may enter into and have in effect more than one Compact at any given time; and (B)may enter into subsequent Compacts after the expiration of existing Compacts. (2)

Requirements

(A)

Concurrent compacts

An eligible country and the United States may enter into a concurrent Compact (including a regional Compact) only if the Board determines that the country is making considerable and demonstrable progress in implementing the terms of its existing Compact and supplementary agreements thereto. (B)

Subsequent compacts

An eligible country and the United States may enter into a subsequent Compact only if the Board determines that the country has substantially met the objectives of prior Compacts between the country and the United States and supplementary agreements thereto, or the Board determines that the eligible country has demonstrated sufficient capacity to perform successfully on a subsequent Compact.

(c)

Applicability

The amendments made by subsections (a) and (b) apply with respect to Compacts entered into between the United States and an eligible country under the Millennium Challenge Act of 2003 before, on or after the date of the enactment of this Act. (d)

Conforming amendment

Section 613(b)(2)(A) of such Act (22 U.S.C. 7712(b)(2)(A)) is amended by striking “the” before “Compact” and inserting “any”.

Authorization of regional assistance

(a)

Assistance

Section 605(a) of the Millennium Challenge Act of 2003 (22 U.S.C. 7704(a)) is amended by adding at the end the following new sentence: The assistance contemplated by this subsection may be provided through a Compact with a country individually and/or through a Compact with two or more countries in the same geographic region collectively.. (b)

Eligible entities

Section 605(c) of such Act (22 U.S.C. 7704(c)) is amended— (1)in paragraph (2), by striking or at the end; (2)in paragraph (3), by striking the period at the end and inserting ; or; and (3)by adding at the end the following:

(4)an entity, structure, or other arrangement established by two or more eligible countries in connection with a regional Compact.

(c)

Conforming Amendments

(1)

Compact

Section 609(a) of such Act (22 U.S.C. 7708(a)) is amended by inserting after only if the country the following: (or countries, in the case of a regional Compact). (2)

Assistance for development of compact

Section 609(g) of such Act (22 U.S.C. 7708(g)) is amended— (A)by inserting after eligible country the following: (or countries, in the case of a regional compact); and (B)by inserting at the end before the period the following: (or countries, as appropriate). (3)

Suspension and termination of assistance

Section 611 of such Act (22 U.S.C. 7710) is amended— (A)by redesignating subsections (c) and (d) as subsections (d) and (e), respectively; and (B)by inserting after subsection (b) the following new subsection:

(c)

Regional compacts

In the case of a regional compact, the Chief Executive Officer may— (1)after consultation with the Board, suspend or terminate assistance in whole or in part to one or more countries, as appropriate, based on a determination consistent with subsection (a); and (2)reinstate assistance for a country or countries, as appropriate, based on a determination consistent with subsection (b).