[House Document 105-322]
[From the U.S. Government Publishing Office]



105th Congress, 2d Session - - - - - - - - - - - House Document 105-322


 
                           PAYMENTS TO CUBA

                               __________

                                MESSAGE

                                  from

                   THE PRESIDENT OF THE UNITED STATES

                              transmitting

  THE SEMIANNUAL REPORT DETAILING PAYMENTS MADE TO CUBA BY ANY UNITED 
   STATES PERSON AS A RESULT OF THE PROVISION OF TELECOMMUNICATIONS 
SERVICES AUTHORIZED BY THE CUBAN DEMOCRACY ACT OF 1992, PURSUANT TO 22 
                              U.S.C. 6032





 October 9, 1998.--Message referred to the Committee on International 
                  Relations and ordered to be printed


To the Congress of the United States:
    This report is submitted pursuant to 1705(e)(6) of the 
Cuban Democracy Act of 1992, 22 U.S.C. 6004(e)(6) (the 
``CDA''), as amended by section 102(g) of the Cuban Liberty and 
Democratic Solidarity (LIBERTAD) Act of 1996, Public Law 104-
114 (March 12, 1996), 110 Stat. 785, 22 U.S.C. 6021-91 (the 
``LIBERTAD Act''), which requires that I report to the Congress 
on a semiannual basis detailing payments made to Cuba by any 
United States person as a result of the provision of 
telecommunications services authorized by this subsection.
    The CDA, which provides that telecommunications services 
are permitted between the United States and Cuba, specifically 
authorizes the President to provide for payments to Cuba by 
license. The CDA states that licenses may be issued for full or 
partial settlement of telecommunications services with Cuba, 
but may not require any withdrawal from a blocked account. 
Following enactment of the CDA on October 23, 1992, a number of 
U.S. telecommunications companies successfully negotiated 
agreements to provide telecommunications services between the 
United States and Cuba consistent with policy guidelines 
developed by the Department of State and the Federal 
Communications Commission.
    Subsequent to enactment of the CDA, the Department of the 
Treasury's Office of Foreign Assets Control (OFAC) amended the 
Cuban Assets Control Regulations, 31 CFR Part 515 (the 
``CACR''), to provide for specific licensing on a case-by-case 
basis for certain transactions incident to the receipt or 
transmission of telecommunications between the United States 
and Cuba, 31 CFR 515.542(c), including settlement of charges 
under traffic agreements.
    The OFAC has issued eight licenses authorizing transactions 
incident to the receipt or transmission of telecommunications 
between the United States and Cuba since the enactment of the 
CDA. None of these licenses permits payments to the Government 
of Cuba from a blocked account. For the period January 1 
through June 30, 1998, OFAC-licensed U.S. carriers reported 
payments to the Government of Cuba in settlement of charges 
under telecommunications traffic agreements as follows:

AT&T Corporation (formerly, American Telephone and 
    Telegraph Company)..................................     $12,795,658
AT&T de Puerto Rico.....................................         292,229
Global One (formerly, Sprint Incorporated)..............       3,075,733
IDB WorldCom Services, Inc. (formerly, IDB 
    Communications, Inc.)...............................       4,402,634
MCI International, Inc. (formerly, MCI Communications 
    Corporation)........................................       8,468,743
Telefonica Larga Distancia de Puerto Rico, Inc..........         129,752
WilTel, Inc. (formerly, WilTel Underseas Cable, Inc.)...       4,983,368
WorldCom, Inc. (formerly, LDDS Communications, Inc.)....       5,371,531
                    --------------------------------------------------------
                    ____________________________________________________
                                                              39,519,648

    I shall continue to report semiannually on 
telecommunications payments to the Government of Cuba from 
United States persons.

                                                William J. Clinton.
    The White House, October 8, 1998.


                                 
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