[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3445 Enrolled Bill (ENR)]
H.R.3445
One Hundred Fifteenth Congress
of the
United States of America
AT THE SECOND SESSION
Begun and held at the City of Washington on Wednesday,
the third day of January, two thousand and eighteen
An Act
To enhance the transparency and accelerate the impact of programs under
the African Growth and Opportunity Act and the Millennium Challenge
Corporation, 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 ``African Growth and Opportunity Act
and Millennium Challenge Act Modernization Act'' or the ``AGOA and MCA
Modernization Act''.
SEC. 2. TABLE OF CONTENTS.
The table of contents for this Act is as follows:
Sec. 1. Short title.
Sec. 2. Table of contents.
TITLE I--ENHANCEMENT OF THE AFRICAN GROWTH AND OPPORTUNITY ACT
Sec. 101. Statement of policy.
Sec. 102. Definitions.
Sec. 103. Activities in support of transparency.
Sec. 104. Activities in support of trade capacity building.
TITLE II--MODERNIZATION OF THE MILLENNIUM CHALLENGE CORPORATION
Sec. 201. Candidacy status.
Sec. 202. Carryover authority for private-sector members of board of
directors.
Sec. 203. Additional reporting to the board on the treatment of civil
society in an eligible country.
Sec. 204. Concurrent compacts under the Millennium Challenge Act of
2003.
Sec. 205. Public notification of entering into a compact.
Sec. 206. Disclosure.
Sec. 207. Restriction on the use of assistance under section 616.
Sec. 208. Study on subnational compacts.
TITLE I--ENHANCEMENT OF THE AFRICAN GROWTH AND OPPORTUNITY ACT
SEC. 101. STATEMENT OF POLICY.
It is the policy of the United States to support efforts to--
(1) improve the rule of law, promote free and fair elections,
strengthen and expand the private sector, and fight corruption in
sub-Saharan Africa; and
(2) promote the role of women in social, political, and
economic development in sub-Saharan Africa.
SEC. 102. DEFINITIONS.
In this title--
(1) Agoa website.--The term ``AGOA Website'' means the website
established pursuant to section 103(a).
(2) Eligible sub-saharan african country.--The term ``eligible
sub-Saharan African country'' means a country that the President
has determined meets the eligibility requirements set forth in
section 104 of the African Growth and Opportunity Act (19 U.S.C.
3703).
SEC. 103. ACTIVITIES IN SUPPORT OF TRANSPARENCY.
(a) AGOA Website.--
(1) In general.--The President shall establish a publicly
available website for the collection and dissemination of
information regarding the African Growth and Opportunity Act (19
U.S.C. 3701 et seq.).
(2) Contents.--The President shall publish on the AGOA Website
the information described in paragraph (1), including--
(A) information and technical assistance provided at United
States Agency for International Development regional trade
hubs; and
(B) a link to the websites of United States embassies
located in eligible sub-Saharan African countries.
(3) Actions by united states embassies.--The Secretary of State
should direct United States embassies located in eligible sub-
Saharan African countries to--
(A) encourage individuals and businesses in such countries
to use the benefits available under the African Growth and
Opportunity Act; and
(B) include a link to the AGOA Website on the websites of
such diplomatic missions.
(b) AGOA Forum.--After each meeting of the United States-Sub-
Saharan Africa Trade and Economic Cooperation Forum, the President
should publish on the AGOA Website the following:
(1) The outcomes of the meeting of the Forum, including any
commitments made by member countries and the private sector.
(2) An assessment of progress made with respect to any
commitments made by member countries and the private sector from
the previous meeting of the Forum.
(c) Other Information.--The President should disseminate the
information required under this section in a digital format to the
public and publish such information on the AGOA Website.
SEC. 104. ACTIVITIES IN SUPPORT OF TRADE CAPACITY BUILDING.
The President should--
(1) develop and implement policies that--
(A) encourage and facilitate cross-boundary cooperation
among eligible sub-Saharan African countries in order to
facilitate trade; and
(B) encourage the provision of technical assistance to
eligible sub-Saharan African countries to establish and sustain
adequate trade capacity development;
(2) provide specific training for businesses in eligible sub-
Saharan African countries and government trade officials of such
countries on accessing the benefits under the African Growth and
Opportunity Act and other trade preference programs;
(3) provide capacity building for African entrepreneurs and
trade associations on production strategies, quality standards,
formation of cooperatives, market research, and market development;
(4) provide capacity building training to promote
diversification of African products and value-added processing; and
(5) provide capacity building and technical assistance funding
for African businesses and institutions to help such businesses and
institutions comply with United States counterterrorism initiatives
and policies.
TITLE II--MODERNIZATION OF THE MILLENNIUM CHALLENGE CORPORATION
SEC. 201. CANDIDACY STATUS.
(a) Low Income Countries.--Section 606(a) of the Millennium
Challenge Act of 2003 (22 U.S.C. 7705(a)) is amended--
(1) in paragraph (1)(B), by striking ``(3)'' and inserting
``(4)'';
(2) in paragraph (2)--
(A) by amending the paragraph heading to read as follows:
``Fiscal years 2005 through 2012''; and
(B) by striking ``fiscal year 2005 or a subsequent fiscal
year'' and inserting ``each of fiscal years 2005 through
2012'';
(3) by redesignating paragraph (3) as paragraph (4); and
(4) by inserting after paragraph (2) the following:
``(3) Fiscal year 2013 and subsequent fiscal years.--A country
shall be a candidate country for purposes of eligibility for
assistance for fiscal year 2013 or a subsequent fiscal year if the
country--
``(A) has a per capita income not greater than the lower
middle income country threshold established by the
International Bank for Reconstruction and Development for such
fiscal year;
``(B) is among the 75 countries identified by the
International Bank for Reconstruction and Development as having
the lowest per capita income; and
``(C) meets the requirements under paragraph (1)(B).''.
(b) Lower Middle Income Countries.--Section 606(b) of the
Millennium Challenge Act of 2003 (22 U.S.C. 7705(b)) is amended--
(1) in paragraph (1)--
(A) by amending the paragraph heading to read as follows:
``Fiscal years 2006 through 2012''; and
(B) in the matter preceding subparagraph (A), by striking
``fiscal year 2006 or a subsequent fiscal year'' and inserting
``fiscal years 2006 through 2012'';
(2) by redesignating paragraph (2) as paragraph (3); and
(3) by inserting after paragraph (1) the following:
``(2) Fiscal year 2013 and subsequent fiscal years.--In
addition to the countries described in subsection (a), a country
shall be a candidate country for purposes of eligibility for
assistance for fiscal year 2013 or a subsequent fiscal year if the
country--
``(A) has a per capita income not greater than the lower
middle income country threshold established by the
International Bank for Reconstruction and Development for the
fiscal year;
``(B) is not among the 75 countries identified by the
International Bank for Reconstruction and Development as having
the lowest per capita income; and
``(C) meets the requirements under subsection (a)(1)(B).''.
(c) Reclassification.--Section 606 of the Millennium Challenge Act
of 2003 (22 U.S.C. 7705) is amended--
(1) by redesignating subsection (c) as subsection (d); and
(2) by inserting after subsection (b) the following:
``(c) Treatment of Countries With Per Capita Income Changes.--A
country qualifying for candidate status under this section with a per
capita income that changes during the fiscal year such that the country
would be reclassified from a low income country to a lower middle
income country or from a lower middle income country to a low income
country shall retain its candidacy status in its former income
classification for such fiscal year and the 2 subsequent fiscal
years.''.
SEC. 202. CARRYOVER AUTHORITY FOR PRIVATE-SECTOR MEMBERS OF BOARD
OF DIRECTORS.
Section 604(c)(4)(B) of the Millennium Challenge Act of 2003 (22
U.S.C. 7703(c)(4)(B)) is amended to read as follows:
``(B) Other members.--Each member of the Board described in
paragraph (3)(B)--
``(i) shall be appointed for a term of 3 years;
``(ii) may be reappointed for a term of an additional 2
years; and
``(iii) may continue to serve in each such appointment
until the earlier of--
``(I) the date on which his or her successor is
appointed; or
``(II) the date that is 1 year after the expiration
of his or her appointment or reappointment, as the case
may be.''.
SEC. 203. ADDITIONAL REPORTING TO THE BOARD ON THE TREATMENT OF
CIVIL SOCIETY IN AN ELIGIBLE COUNTRY.
Section 607 of the Millennium Challenge Act of 2003 (22 U.S.C.
7706) is amended--
(1) in subsection (a), by adding at the end the following: ``A
determination whether a country is eligible for a subsequent, non-
concurrent Millennium Challenge Compact shall also be based, to the
extent practicable, on significantly improved performance across
the criteria in subsection (b) that, at a minimum, are relevant to
the preceding Compact, compared to the country's performance with
respect to such criteria when selected for such preceding
Compact.''
(2) in subsection (b)(1)--
(A) in subparagraph (D), by striking ``and'' at the end;
(B) in subparagraph (E), by adding ``and'' at the end; and
(C) by adding at the end the following:
``(F) the quality of the civil society enabling
environment;'';
(3) by redesignating subsections (d) and (e) as subsections (e)
and (f), respectively; and
(4) by inserting after subsection (c) the following:
``(d) Reporting on Treatment of Civil Society.--For the 7-year
period beginning on the date of the enactment of this subsection,
before the Board selects an eligible country for a Compact under
subsection (c), the Corporation shall provide information to the Board
regarding the country's treatment of civil society, including
classified information, as appropriate. The information shall include
an assessment and analysis of factors including--
``(1) any relevant laws governing the formation or
establishment of a civil society organization, particularly laws
intended to curb the activities of foreign civil society
organizations;
``(2) any relevant laws governing the operations of a civil
society organization, particularly those laws seeking to define or
otherwise regulate the actions of foreign civil society
organizations;
``(3) laws relating to the legal status of civil society
organizations, including laws which effectively discriminate
against foreign civil society organizations as compared to
similarly situated domestic organizations;
``(4) laws regulating the freedom of expression and peaceful
assembly; and
``(5) laws regulating the usage of the Internet, particularly
by foreign civil society organizations.''.
SEC. 204. CONCURRENT COMPACTS UNDER THE MILLENNIUM CHALLENGE ACT OF
2003.
(a) In General.--Section 609 of the Millennium Challenge Act of
2003 (22 U.S.C. 7708) is amended--
(1) by striking the first sentence of subsection (k);
(2) by redesignating subsection (k) (as so amended) as
subsection (l); and
(3) by inserting after subsection (j) the following:
``(k) Concurrent Compacts.--An eligible country that has entered
into and has in effect a Compact under this section may enter into and
have in effect at the same time not more than one additional Compact in
accordance with the requirements of this title if--
``(1) one or both of the Compacts are or will be for purposes
of regional economic integration, increased regional trade, or
cross-border collaborations; and
``(2) the Board determines that the country is making
considerable and demonstrable progress in implementing the terms of
the existing Compact and supplementary agreements thereto.''.
(b) 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''.
(c) Applicability.--The amendments made by this section 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.
SEC. 205. PUBLIC NOTIFICATION OF ENTERING INTO A COMPACT.
Section 610 of the Millennium Challenge Act of 2003 (22 U.S.C.
7709) is amended to read as follows:
``SEC. 610. CONGRESSIONAL AND PUBLIC NOTIFICATION.
``(a) Congressional Consultations and Notifications.--
``(1) In general.--The Board, acting through the Chief
Executive Officer, shall consult with and notify the appropriate
congressional committees not later than 15 days before taking any
of the actions described in paragraph (2).
``(2) Actions described.--The actions described in this
paragraph are--
``(A) providing assistance for an eligible country under
section 609(g);
``(B) commencing negotiations with an eligible country to
provide assistance for--
``(i) a Compact under section 605; or
``(ii) an agreement under section 616;
``(C) signing such a Compact or agreement; and
``(D) terminating assistance under such a Compact or
agreement.
``(3) Economic justification.--Any notification relating to the
intent to negotiate or sign a Compact shall include a report
describing the projected economic justification for the Compact,
including, as applicable--
``(A) the expected economic rate of return of the Compact;
``(B) a cost-benefit analysis of the Compact;
``(C) a description of the impact on beneficiary
populations;
``(D) the likelihood that the investment will catalyze
private sector investments; and
``(E) any other applicable economic factors that justify
each project to be funded under such a Compact to the extent
practicable and appropriate.
``(4) Risk management plan.--Not later than 60 days before
signing each concurrent Compact, as authorized under section 609,
the Board, acting through the Chief Executive Officer, shall
consult with and provide to the appropriate congressional
committees--
``(A) an assessment and, as appropriate, the identification
of potential measures to mitigate risks, of--
``(i) the countries' commitment to regional integration
and cross-border cooperation and capacity to carry out
commitments;
``(ii) political and policy risks, including risks that
could affect country eligibility;
``(iii) risks associated with realizing economic
returns;
``(iv) time and completion risks; and
``(v) cost and financial risks; and
``(B) an assessment of measures to be taken to mitigate any
identified risks, including--
``(i) securing other potential donors to finance
projects or parts of projects as needed; and
``(ii) partnering with regional organizations to
support and oversee effective cross-border cooperation.
``(b) Congressional and Public Notification After Entering Into a
Compact.--Not later than 10 days after entering into a Compact with an
eligible country, the Board, acting through the Chief Executive
Officer, shall--
``(1) publish the text of the Compact on the website of the
Corporation;
``(2) provide the appropriate congressional committees with a
detailed summary of the Compact and, upon request, the text of the
Compact; and
``(3) publish in the Federal Register a detailed summary of the
Compact and a notice of availability of the text of the Compact on
the website of the Corporation.''.
SEC. 206. DISCLOSURE.
(a) Requirement for Timely Disclosure.--Section 612(a) of the
Millennium Challenge Act of 2003 (22 U.S.C. 7711(a)) is amended--
(1) in the subsection heading, by inserting ``Timely'' before
``Disclosure''; and
(2) in the matter preceding paragraph (1)--
(A) by striking ``The Corporation'' and inserting ``Not
later than 90 days after the last day of each fiscal quarter,
the Corporation''; and
(B) by striking ``on at least a quarterly basis,''.
(b) Dissemination.--Section 612(b) of the Millennium Challenge Act
of 2003 (22 U.S.C. 7711(b)) is amended to read as follows:
``(b) Dissemination.--The Board, acting through the Chief Executive
Officer, shall make the information required to be disclosed under
subsection (a) available to the public--
``(1) by publishing it on the website of the Corporation;
``(2) by providing notice of the availability of such
information in the Federal Register; and
``(3) by any other methods that the Board determines to be
appropriate.''.
SEC. 207. RESTRICTION ON THE USE OF ASSISTANCE UNDER SECTION 616.
Section 616(d) of the Millennium Challenge Act of 2003 (22 U.S.C.
7715(d)) is amended to read as follows:
``(d) Funding.--
``(1) Limitation.--Not more than 10 percent of the amounts made
available to carry out this Act for a fiscal year may be made
available to carry out this section.
``(2) Restriction relating to assistance.--None of the funds
authorized to carry out the purposes of this Act shall be available
for assistance under this section to a country that does not
qualify as a candidate country under section 606 for the fiscal
year during which such assistance is provided.''.
SEC. 208. STUDY ON SUBNATIONAL COMPACTS.
(a) In General.--Not later than 180 days after the date of the
enactment of this Act, the Board of the Millennium Challenge
Corporation, acting through the Chief Executive Officer, shall submit a
study to the appropriate congressional committees that assesses the
feasibility and desirability of developing partnerships at the
subnational level within candidate countries that would be
complementary to, and, as applicable, concurrent with, any Millennium
Challenge Corporation national-level or regional investments.
(b) Content.--The study required under subsection (a) shall
examine--
(1) the extent to which targeting investments at the
subnational level might provide new opportunities for reducing
poverty through economic growth;
(2) the extent to which traditional approaches to defining
poverty may not adequately capture the nature of poverty within a
country;
(3) the types of subnational entities that might be appropriate
partners for subnational Millennium Challenge Corporation compacts;
(4) how candidates for subnational partners might best be
identified; and
(5) what role each national government should play in creating
or implementing a subnational partnership.
(c) Appropriate Congressional Committees.--In this subsection, the
term ``appropriate congressional committees'' means--
(1) the Committee on Foreign Relations of the Senate;
(2) the Committee on Appropriations of the Senate;
(3) the Committee on Foreign Affairs of the House of
Representatives; and
(4) the Committee on Appropriations of the House of
Representatives.
Speaker of the House of Representatives.
Vice President of the United States and
President of the Senate.