[JPRT, 106th Congress]
[From the U.S. Government Publishing Office]
COMMITTEE ON INTERNATIONAL RELATIONS
COMMITTEE ON FOREIGN RELATIONS
=======================================================================
Legislation on
Foreign Relations
Through 1998
[GRAPHIC] [TIFF OMITTED] TONGRESS.#15
MARCH 1999
VOLUME I-A
OF VOLUMES I-A AND I-B
CURRENT LEGISLATION AND
RELATED EXECUTIVE ORDERS
U.S. House of Representatives
U.S. Senate
Printed for the use of the Committees on International Relations and
Foreign Relations of the House of Representatives and the Senate
respectively
U.S. GOVERNMENT PRINTING OFFICE
WASHINGTON : 1999
54-320 CC
_______________________________________________________________________
For sale by the Superintendent of Documents, U.S. Government Printing
Office
Washington, D.C. 20402
COMMITTEE ON INTERNATIONAL RELATIONS
BENJAMIN A. GILMAN, New York, Chairman
WILLIAM F. GOODLING, Pennsylvania SAM GEJDENSON, Connecticut
JAMES A. LEACH, Iowa TOM LANTOS, California
HENRY J. HYDE, Illinois HOWARD L. BERMAN, California
DOUG BEREUTER, Nebraska GARY L. ACKERMAN, New York
CHRISTOPHER H. SMITH, New Jersey ENI F.H. FALEOMAVAEGA, American
DAN BURTON, Indiana Samoa
ELTON GALLEGLY, California MATTHEW G. MARTINEZ, California
ILEANA ROS-LEHTINEN, Florida DONALD M. PAYNE, New Jersey
CASS BALLENGER, North Carolina ROBERT MENENDEZ, New Jersey
DANA ROHRABACHER, California SHERROD BROWN, Ohio
DONALD A. MANZULLO, Illinois CYNTHIA A. McKINNEY, Georgia
EDWARD R. ROYCE, California ALCEE L. HASTINGS, Florida
PETER T. KING, New York PAT DANNER, Missouri
STEVEN J. CHABOT, Ohio EARL F. HILLIARD, Alabama
MARSHALL ``MARK'' SANFORD, South BRAD SHERMAN, California
Carolina ROBERT WEXLER, Florida
MATT SALMON, Arizona STEVEN R. ROTHMAN, New Jersey
AMO HOUGHTON, New York JIM DAVIS, Florida
TOM CAMPBELL, California EARL POMEROY, North Dakota
JOHN M. McHUGH, New York WILLIAM D. DELAHUNT, Massachusetts
KEVIN BRADY, Texas BARBARA LEE, California
RICHARD BURR, North Carolina JOSEPH CROWLEY, New York
PAUL E. GILLMOR, Ohio JOSEPH M. HOEFFEL, Pennsylvania
GEORGE RADANOVICH, California
JOHN COOKSEY, Louisiana
THOMAS G. TANCREDO, Colorado
Richard J. Garon, Chief of Staff
Kathleen Bertelsen Moazed, Democratic Chief of Staff
______
COMMITTEE ON FOREIGN RELATIONS
JESSE HELMS, North Carolina, Chairman
RICHARD G. LUGAR, Indiana JOSEPH R. BIDEN, Jr., Delaware
PAUL COVERDELL, Georgia PAUL S. SARBANES, Maryland
CHUCK HAGEL, Nebraska CHRISTOPHER J. DODD, Connecticut
GORDON H. SMITH, Oregon JOHN F. KERRY, Massachusetts
ROD GRAMS, Minnesota RUSSELL D. FEINGOLD, Wisconsin
SAM BROWNBACK, Kansas PAUL D. WELLSTONE, Minnesota
CRAIG THOMAS, Wyoming BARBARA BOXER, California
JOHN ASHCROFT, Missouri ROBERT G. TORRICELLI, New Jersey
BILL FRIST, Tennessee
James W. Nance, Staff Director
Edwin K. Hall, Minority Staff Director
(ii)
FOREWORD
----------
This volume of legislation and related material is part of
a five volume set of laws and related material frequently
referred to by the Committees on International Relations of the
House of Representatives and Foreign Relations of the Senate,
amended to date and annotated to show pertinent history or
cross references.
Volumes I (A and B), II, III and IV contain legislation and
related material and are republished with amendments and
additions at the end of each annual session of Congress. Volume
V, which contains treaties and related material, will not be
revised every year, but only as necessary.
We wish to express our appreciation to Dianne E. Rennack
and C. Winston Woodland of the Foreign Affairs and National
Defense Division of the Congressional Research Service of the
Library of Congress who prepared volume I-A of this year's
compilation.
Benjamin A. Gilman,
Chairman, Committee on International Relations.
Jesse Helms,
Chairman, Committee on Foreign Relations.
(iii)
EXPLANATORY NOTE
----------
All public laws included in this volume are codified and in
force through the end of the second session of the 105th
Congress. The texts of the public laws in this volume are
printed as they appear in the United States Statutes at Large
rather than the United States Code. Amendments are incorporated
into the text and distinguished by a footnote.
All Executive orders and State Department delegations of
authority are codified and in force as of February 28, 1999.
(v)
ABBREVIATIONS
Bevans...................................... Treaties and Other
International Agreements
of the United States of
America, 1776-1949,
compiled under the
direction of Charles I.
Bevans.
CFR......................................... Code of Federal
Regulations.
EAS......................................... Executive Agreement
Series.
F.R......................................... Federal Register.
LNTS........................................ League of Nations Treaty
Series.
I Malloy, II Malloy......................... Treaties, Conventions,
International Acts,
Protocols, and Agreements
Between the United States
of America and Other
Powers, 1776-1909,
compiled under the
direction of the United
States Senate by William
M. Malloy.
Stat........................................ United States Statutes at
Large.
TIAS........................................ Treaties and Other
International Acts
Series.
TS.......................................... Treaty Series.
UNTS........................................ United Nations Treaty
Series.
U.S.C....................................... United States Code.
UST......................................... United States Treaties and
Other International
Agreements.
(vii)
C O N T E N T S
__________
Page
FOREWORD......................................................... iii
EXPLANATORY NOTE................................................. v
ABBREVIATIONS.................................................... vii
A. FOREIGN ASSISTANCE............................................ 1
1. Foreign Assistance and Arms Export Acts...................... 13
2. Foreign Assistance Appropriations............................ 617
APPENDICES....................................................... 779
INDEX............................................................ 821
(ix)
=======================================================================
A. FOREIGN ASSISTANCE
CONTENTS
Page
1. Foreign Assistance and Arms Export Acts....................... 13
a. The Foreign Assistance Act of 1961, as amended (Public Law
87-195).................................................... 13
Part I:
Chapter 1--Policy; Development Assistance
Authorizations..................................... 16
Section 101--General Policy...................... 16
Section 102--Development Assistance Policy....... 17
Section 103--Agriculture, Rural Development, and
Nutrition.................................... 25
Section 103A--Agricultural Research.............. 28
Section 104--Population and Health............... 28
Section 105--Education and Human Resources
Development.................................. 33
Section 106--Energy, Private Voluntary
Organizations, and Selected Development
Activities................................... 34
Section 107--Appropriate Technology.............. 37
Section 108--Private Sector Revolving Fund....... 37
Section 109--Transfer of Funds................... 41
Section 110--Cost-Sharing and Funding Limits..... 42
Section 111--Development and Use of Cooperatives. 42
Section 113--Integrating Women Into National
Economies.................................... 42
Section 116--Human Rights........................ 43
Section 117--Environment and Natural Resources... 47
Section 118--Tropical Forests.................... 48
Section 119--Endangered Species.................. 51
Section 120--Sahel Development Program--Planning. 53
Section 122--General Authorities................. 54
Section 123--Private and Voluntary Organizations
and Cooperatives in Overseas Development..... 55
Section 124--Relatively Least Developed Countries 58
Section 125--Project and Program Evaluation...... 59
Section 126--Development and Illicit Narcotics
Production................................... 60
Section 127--Accelerated Loan Repayments......... 60
Section 128--Targeted Assistance................. 61
Section 129--Program to Provide Technical
Assistance to Foreign Governments and Foreign
Central Banks of Developing or Transitional
Countries.................................... 61
Section 129--Assistance for Victims of Torture... 66
Chapter 2--Other Programs............................ 66
Title I--Multilateral and Regional Development
Programs........................................... 66
Section 206--Regional Development in Africa...... 66
Section 209--Multilateral and Regional Programs.. 66
Title II--American Schools and Hospitals Abroad;
Prototype Desalting Plant.......................... 68
Section 214--American Schools and Hospitals
Abroad....................................... 68
Section 219--Prototype Desalting Plant........... 69
Title III--Housing and Other Credit Guaranty Programs 70
Section 221--Housing Guaranties.................. 70
Section 222--Authorization....................... 70
Section 222A--Agricultural and Productive Credit
and Self-Help Community Development Programs. 72
Section 223--General Provisions.................. 73
Section 224--Trade Credit Insurance Program for
Central America.............................. 76
Section 225--Trade Credit Insurance Program for
Poland....................................... 78
Section 226--Loan Guarantees to Israel Program... 80
Title IV--Overseas Private Investment Corporation.... 84
Section 231--Creation, Purpose, and Policy....... 84
Section 231A--Additional Requirements............ 87
Section 232--Capital of the Corporation.......... 88
Section 233--Organization and Management......... 88
Section 234--Investment Insurance and Other
Programs..................................... 90
Section 234A--Enhancing Private Political Risk
Insurance Industry........................... 95
Section 235--Issuing Authority, Direct Investment
Authority and Reserves....................... 97
Section 236--Income and Revenues................. 100
Section 237--General Provisions Relating to
Insurance Guaranty, and Financing Program.... 100
Section 238--Definitions......................... 104
Section 239--General Provisions and Powers....... 105
Section 240--Small Business Development.......... 109
Section 240A--Reports to the Congress............ 109
Section 240B--Prohibition on Noncompetitive
Awarding of Insurance Contracts on OPIC
Supported Exports............................ 111
Title V--Disadvantaged Children in Asia.............. 112
Section 241--Assistance to Certain Disadvantaged
Children in Asia............................. 112
Title IX--Utilization of Democratic Institutions in
Development........................................ 112
Section 281--Utilization of Democratic
Institutions in Development.................. 112
Title XII--Famine Prevention and Freedom From Hunger. 113
Section 296--General Provisions.................. 113
Section 297--General Authority................... 115
Section 298--Board for International Food and
Agricultural Development..................... 117
Section 299--Authorization....................... 118
Section 300--Annual Report....................... 119
Chapter 3--International Organizations and Programs.. 119
Section 301--General Authority................... 119
Section 302--Authorization....................... 121
Section 303--Indus Basin Development............. 125
Section 305--Integration of Women................ 125
Section 306--Reports on International
Organizations................................ 126
Section 307--Withholding of United States
Proportionate Share for Certain Programs of
International Organizations.................. 126
Chapter 5--Contingencies............................. 128
Section 451--Contingencies....................... 128
Chapter 6--Central America Democracy, Peace, and
Development Initiative............................. 129
Section 461--Statement of Policy................. 129
Section 462--Conditions on Furnishing Assistance. 130
Section 463--Peace Process in Central America.... 130
Section 464--Economic Assistance Coordination.... 130
Section 465--Authorizations for Fiscal Years 1988
and 1989..................................... 132
Section 466--Definitions......................... 132
Chapter 7--Debt-For-Nature Exchanges................. 132
Section 461--Definition.......................... 132
Section 462--Assistance for Commercial Debt
Exchanges.................................... 134
Section 463--Eligible Projects................... 134
Section 464--Eligible Countries.................. 135
Section 465--Terms and Conditions................ 135
Section 466--Pilot Program for Sub-Saharan Africa 135
Chapter 8--International Narcotics Control........... 136
Section 481--Policy, General Authorities,
Coordination, Foreign Police Actions,
Definitions, and Other Provisions............ 136
Section 482--Authorization....................... 142
Section 483--Prohibition on Use of Foreign
Assistance for Reimbursements for Drug Crop
Eradications................................. 144
Section 484--Requirements Relating to Aircraft
and Other Equipment.......................... 144
Section 485--Records of Aircraft Use............. 146
Section 486--Reallocation of Funds Withheld from
Countries Which Fail to Take Adequate Steps
to Halt Illicit Drug Production or
Trafficking.................................. 146
Section 487--Prohibition on Assistance to Drug
Traffickers.................................. 147
Section 488--Limitations on Acquisitions of Real
Property and Construction of Facilities...... 147
Section 489--Reporting Requirements.............. 148
Section 490--Annual Certification Procedures..... 152
Chapter 9--International Disaster Assistance......... 156
Section 491--Policy and General Authority........ 156
Section 492--Authorization....................... 157
Section 493--Disaster Assistance--Coordination... 157
Section 494--Disaster Relief Assistance.......... 157
Section 495--Cyprus Relief and Rehabilitation.... 158
Section 495B--Italy Relief and Rehabilitation.... 158
Section 495C--Lebanon Relief and Rehabilitation.. 159
Section 495D--Romanian Relief and Rehabilitation. 160
Section 495E--Turkey Relief, Rehabilitation, and
Reconstruction............................... 160
Section 495F--African Rehabilitation and
Resettlement................................. 160
Section 495G--Special Caribbean Hurricane Relief
Assistance................................... 161
Section 495H--Cambodian Disaster Relief
Assistance................................... 161
Section 495I--Assistance for Displaced Persons in
Central America.............................. 162
Section 495J--Lebanon Emergency Relief,
Rehabilitation, and Reconstruction Assistance 163
Section 495K--African Famine Assistance.......... 164
Chapter 10--Development Fund for Africa.............. 165
Section 496--Long-Term Development Assistance for
Sub-Saharan Africa........................... 165
Section 497--Authorizations of Appropriations for
the Development Fund for Africa.............. 169
Chapter 11--Support for the Economic and Democratic
Development of the Independent States of the Former
Soviet Union....................................... 170
Section 498--Assistance for the Independent
States....................................... 170
Section 498A--Criteria for Assistance to
Governments of the Independent States........ 172
Section 498B--Authorities Relating to Assistance
and Other Provisions......................... 176
Section 498C--Authorization of Appropriations.... 179
Part II:
Chapter 1--Policy.................................... 183
Section 501--Statement of Policy................. 183
Section 502--Utilization of Defense Articles and
Services..................................... 184
Section 502B--Human Rights....................... 185
Chapter 2--Military Assistance....................... 189
Section 503--General Authority................... 189
Section 504--Authorization....................... 191
Section 505--Conditions of Eligibility........... 191
Section 506--Special Authority................... 196
Section 511--Considerations in Furnishing
Military Assistance.......................... 199
Section 514--Stockpiling of Defense Articles for
Foreign Countries............................ 199
Section 515--Overseas Management of Assistance
and Sales Programs........................... 202
Section 516--Modernization of Defense
Capabilities of Countries of NATO's Southern
Flank........................................ 203
Section 517--Designation of Major Non-NATO Allies 206
Chapter 3--Foreign Military Sales.................... 207
Section 524--Reimbursements...................... 207
Chapter 4--Economic Support Fund..................... 208
Section 531--Authority........................... 208
Section 532--Authorization of Appropriations..... 210
Section 533--Emergency Assistance................ 211
Section 534--Administration of Justice........... 211
Chapter 5--International Military Education and
Training........................................... 213
Section 541--General Authority................... 213
Section 542--Authorization....................... 213
Section 543--Purposes............................ 214
Section 544--Exchange Training................... 214
Section 545--Training in Maritime Skills......... 215
Section 546-- Prohibition on Grant Assistance for
Certain High Income Foreign Countries........ 215
Chapter 6--Peacekeeping Operations................... 215
Section 551--General Authority................... 215
Section 552--Authorization of Appropriations..... 216
Section 553--Administrative Authorities.......... 217
Chapter 7--Air Base Construction in Israel........... 217
Section 561--General Authority................... 217
Section 562--Authorization and Utilization of
Funds........................................ 217
Section 563--Waiver Authorities.................. 218
Chapter 8--Antiterrorism Assistance.................. 218
Section 571--General Authority................... 218
Section 572--Purposes............................ 219
Section 573--Limitations......................... 219
Section 574--Authorizations of Appropriations.... 220
Section 575--Administrative Authorities.......... 221
Part III:
Chapter 1--General Provisions........................ 222
Section 601--Encouragement of Free Enterprise and
Private Participation........................ 222
Section 602--Small Business...................... 224
Section 603--Shipping on United States Vessels... 225
Section 604--Procurement......................... 225
Section 605--Retention and Use of Certain Items
and Funds.................................... 227
Section 606--Patents and Technical Information... 228
Section 607--Furnishing of Services and
Commodities.................................. 229
Section 608--Advance Acquisition of Property..... 231
Section 610--Transfer Between Accounts........... 232
Section 611--Completion of Plans and Cost
Estimates.................................... 233
Section 612--Use of Foreign Currencies........... 234
Section 613--Accounting, Valuation, Reporting,
and Administration of Foreign Currencies..... 236
Section 614--Special Authorities................. 237
Section 615--Contract Authority.................. 239
Section 616--Availability of Funds............... 239
Section 617--Termination of Assistance........... 239
Section 620--Prohibitions Against Furnishing
Assistance................................... 239
Section 620A--Prohibition on Assistance to
Governments Supporting International
Terrorism.................................... 249
Section 620C--United States Policy Regarding the
Eastern Mediterranean........................ 252
Section 620D--Prohibition on Assistance to
Afghanistan.................................. 254
Section 620E--Assistance to Pakistan............. 254
Section 620F--Nuclear Non-Proliferation Policy in
South Asia................................... 257
Section 620G--Prohibition on Assistance to
Countries That Aid Terrorist States.......... 259
Section 620G--Depleted Uranium Ammunition........ 259
Section 620H--Prohibition on Assistance to
Countries That Provide Military Equipment to
Terrorist States............................. 260
Section 620I--Prohibition on Assistance to
Countries That Restrict United States
Humanitarian Assistance...................... 260
Chapter 2--Administrative Provisions................. 261
Section 621--Exercise of Functions............... 261
Section 621A--Strengthened Management Practices.. 262
Section 622--Coordination With Foreign Policy.... 262
Section 623--The Secretary of Defense............ 263
Section 624--Statutory Officers.................. 263
Section 625--Employment of Personnel............. 264
Section 626--Experts, Consultants, and Retired
Officers..................................... 266
Section 627--Detail of Personnel to Foreign
Governments.................................. 267
Section 628--Detail of Personnel to International
Organizations................................ 267
Section 629--Status of Personnel Detailed........ 267
Section 630--Terms of Detail or Assignment....... 268
Section 631--Missions and Staffs Abroad.......... 269
Section 632--Allocation and Reimbursement Among
Agencies..................................... 269
Section 633--Waivers of Certain Laws............. 272
Section 633A--Furnishing Information............. 272
Section 634--Annual Report....................... 273
Section 634A--Notification of Program Changes.... 275
Section 634B--Classification of Reports.......... 276
Section 635--General Authorities................. 276
Section 636--Provisions on Uses of Funds......... 278
Section 637--Administrative Expenses............. 283
Section 638--Exclusions.......................... 283
Section 640A--False Claims and Ineligible
Commodities.................................. 284
Section 640B--Coordination....................... 285
Section 640C--Shipping Differential.............. 286
Chapter 3--Miscellaneous Provisions.................. 286
Section 641--Effective Date and Identification of
Programs..................................... 286
Section 642--Statutes Repealed................... 286
Section 643--Saving Provisions................... 287
Section 644--Definitions......................... 288
Section 645--Unexpended Balances................. 290
Section 646--Construction........................ 291
Section 647--Dependable Fuel Supply.............. 291
Section 648--Special Authorization for Use of
Foreign Currencies........................... 291
Section 650--Use of United States Armed Forces... 291
Section 652--Limitation Upon Exercise of Special
Authorities.................................. 291
Section 653--Change in Allocation of Foreign
Assistance................................... 292
Section 654--Presidential Findings and
Determinations............................... 293
Section 655--Annual Military Assistance Report... 294
Section 660--Prohibiting Police Training......... 295
Section 661--Trade and Development Agency........ 296
Section 663--Exchanges of Certain Materials...... 300
Section 666--Discrimination Against United States
Personnel.................................... 300
Section 667--Operating Expenses.................. 301
Part IV
Enterprise for the Americas Initiative............... 302
Section 701--Purpose............................. 302
Section 702--Definitions......................... 302
Section 703--Eligibilty for Benefits............. 303
Section 704--Reduction of Certain Debt........... 304
Section 705--Repayment of Principal.............. 304
Section 706--Interest on New Obligations......... 305
Section 707--Enterprise for the Americas Funds... 305
Section 708--Americas Framework Agreements....... 305
Section 709--Enterprise for the Americas Board... 307
Section 710--Annual Reports to the Congress...... 308
Part V
Debt Reduction for Developing Countries with Tropical
Forests............................................ 308
Section 801--Short Title......................... 308
Section 802--Findings and Purposes............... 308
Section 803--Definitions......................... 309
Section 804--Establishment of the Facility....... 310
Section 805--Eligiblity for Benefits............. 310
Section 806--Reduction of Debt Owed to the United
States As a Result of Concessional Loans
Under the Foreign Assistance Act of 1961..... 310
Section 807--Reduction of Debt Owed to the United
States As a Result of Credits Extended Under
Title I of the Agricultural Trade Development
and Assistance Act of 1954................... 312
Section 808--Authority to Engage in Debt-for-
Nature Swaps and Debt Buybacks............... 313
Section 809--Tropical Forest Agreement........... 314
Section 810--Tropical Forest Fund................ 316
Section 811--Board............................... 316
Section 812--Consultations with the Congress..... 317
Section 813--Annual Reports to the Congress...... 317
b. Arms Export Control Act (Public Law 90-629)............... 318
c. Torture Victims Relief Act of 1998 (Public Law 105-320)... 425
d. India-Pakistan Relief Act of 1998 (Public Law 105-277).... 429
e. Agriculture Export Relief Act of 1998 (Public Law 105-194) 431
f. Miscellaneous Authorization--Fiscal Years 1996 and 1997
(Public Law 104-164) (partial text)........................ 432
g. Jobs Through Trade Export Act of 1994 (Public Law 103-392)
(partial text)............................................. 435
h. Jobs Through Export Act of 1992 (Public Law 102-549)...... 437
i. Overseas Private Investment Corporation Amendments Act of
1988 (Public Law 100-461) (partial text)................... 446
j. Special Foreign Assistance Act of 1986 (Public Law 99-529)
(partial text)............................................. 448
k. International Security and Development Cooperation Act of
1985 (Public Law 99-83) (partial text)..................... 454
Section 1--Short Title and Table of Contents......... 454
Title I--Military Assistance and Sales and Related
Programs............................................... 454
Section 101--Foreign Military Sales Credits.......... 454
Section 106--Guaranty Reserve Fund................... 456
Section 129--Conventional Arms Transfers............. 456
Section 130--Foreign Military Sales for Jordan....... 457
Section 131--Certification Concerning AWACS Sold to
Saudi Arabia....................................... 458
Section 132--Cooperative Agreements on Air Defense in
Central Europe..................................... 459
Title II--Economic Support Fund.......................... 461
Section 202--Assistance for the Middle East.......... 461
Section 203--Assistance for Cyprus................... 462
Section 204--Assistance for Portugal................. 463
Section 205--Acquisition of Agricultural Commodities
Under Commodity Import Programs.................... 463
Section 206--Tied Aid Credit Program................. 463
Section 207--Restriction on Use of Funds for Nuclear
Facilities......................................... 463
Section 208--Fiscal Year 1985 Supplemental
Authorization...................................... 464
Title III--Development Assistance........................ 464
Section 305--Promotion of Immunization and Oral
Rehydration........................................ 464
Section 311--Use of Private and Voluntary
Organizations, Cooperatives, and the Private Sector 464
Section 315--Minority Set-Aside...................... 465
Title IV--Other Foreign Assistance Programs.............. 465
Section 402--Voluntary Contributions to International
Organizations and Programs......................... 465
Title V--International Terrorism and Foreign Airport
Security............................................... 465
Part A--International Terrorism Generally
Section 502--Coordination of All United States
Terrorism-Related Assistance to Foreign Countries.. 466
Section 504--Prohibition on Imports From and Exports
to Libya........................................... 466
Section 505--Ban on Importing Goods and Services from
Countries Supporting Terrorism..................... 467
Section 506--International Anti-Terrorism Committee.. 467
Section 507--International Terrorism Control Treaty.. 467
Section 508--State Terrorism......................... 468
Part B--Foreign Airport Security
Section 551--Security Standards for Foreign Air
Transportation..................................... 468
Section 554--Enforcement of International Civil
Aviation Organization Standards.................... 468
Section 555--International Civil Aviation Boycott of
Countries Supporting International Terrorism....... 468
Section 557--Research on Airport Security Techniques
for Detecting Explosives........................... 469
Section 558--Hijacking of TWA Flight 847 and Other
Acts of Terrorism.................................. 469
Section 559--Effective Date.......................... 469
Title VI--International Narcotics Control................ 469
Section 607--Procurement of Weapons to Defend
Aircraft Involved in Narcotics Control Efforts..... 469
Section 610--Assistance for Jamaica.................. 470
Section 611--Assistance for Bolivia.................. 470
Section 612--Assistance to Peru...................... 471
Section 613--Reallocation of Funds if Conditions Not
Met................................................ 472
Section 615--Latin American Regional Narcotics
Control Organization............................... 472
Section 616--Greater Effort by United States Armed
Forces to Support Narcotics Control Efforts Abroad. 472
Section 617--Cuban Drug Trafficking.................. 472
Section 619--Drug Trafficking and the Problem of
Total Confidentiality of Certain Foreign Bank
Accounts........................................... 474
Title VII--Western Hemisphere............................ 474
Section 702--El Salvador............................. 474
Section 703--Assistance for Guatemala................ 477
Section 704--Refugees in Honduras.................... 479
Section 705--Promoting the Development of the Haitian
People and Providing for Orderly Emigration from
Haiti.............................................. 479
Section 706--Military Assistance for Paraguay........ 480
Section 707--Assistance for Peru..................... 481
Section 709--Comprehensive Reports on Assistance for
Latin America and the Caribbean.................... 481
Section 710--Use of Private and Voluntary
Organizations...................................... 482
Section 713--Use of Employee Stock Ownership Plans in
Development Efforts................................ 482
Section 714--International Advisory Commission for
the Caribbean Region............................... 483
Section 716--Rural Electrification................... 484
Section 717--Facilitating International Commerce
Through Mexico..................................... 484
Section 718--Condemning Human Rights Violations and
the Subversion of Other Governments by the
Government of Cuba................................. 485
Section 719--Reports on Foreign Debt in Latin America 485
Section 720--Economic Assistance for Uruguay......... 486
Section 721--Canadian Exports to the United States... 486
Section 722--Nicaragua............................... 487
Title VIII--Africa....................................... 496
Section 801--Balance-of-Payments Support for
Countries in Africa................................ 496
Section 802--Economic Support Assistance for Southern
Africa............................................. 497
Section 803--Policy Toward South African
``Homelands''...................................... 498
Section 804--Assistance for Zaire.................... 499
Section 805--Assistance for Tunisia.................. 499
Section 806--Political Settlement in Sudan........... 500
Section 807--Elections in Liberia.................... 500
Section 808--Western Sahara.......................... 500
Section 813--Assistance for the People's Republic of
Mozambique......................................... 501
Title IX--Asia........................................... 502
Section 901--The Philippines......................... 502
Section 903--Disadvantaged Children in Asia.......... 503
Section 904--Assistance for Afghanistan.............. 504
Section 905--Assistance for the Cambodian People..... 504
Section 906--Prohibition on Certain Assistance for
the Khmer Rouge.................................... 504
Section 907--Political Settlement in Sri Lanka....... 504
Section 908--United States Policy Toward the Republic
of Korea........................................... 505
Title X--Food and Agricultural Assistance................ 506
Section 1008--Long-Term Agricultural Commodity
Agreements with Food Deficit Countries............. 506
Title XI--Peace Corps.................................... 506
Section 1103--Limitation on Length of Peace Corps
Employment......................................... 506
Section 1104--Peace Corps National Advisory Council.. 506
Title XII--Miscellaneous Provisions Relating to Foreign
Assistance............................................. 506
Section 1205--Reports on Economic Conditions in
Certain Countries.................................. 506
Section 1206--Egyptian-Israeli Relations............. 507
Section 1210--Report on United States Assistance to
Coal Exporting Nations............................. 507
Title XIII--Miscellaneous Provisions..................... 507
Section 1301--Effective Date......................... 507
Section 1302--Codification of Policy Prohibiting
Negotiations with the Palestine Liberation
Organization....................................... 507
Section 1303--Commission for the Preservation of
America's Heritage Abroad.......................... 508
Section 1304--Federal Coal Export Commission......... 510
l. International Security and Development Assistance
Authorization Act of 1983 (Public Law 98-151) (partial
text)...................................................... 512
m. International Security and Development Cooperation Act of
1981 (Public Law 97-113) (partial text).................... 516
Section 1--Short Title............................... 516
Title I--Military Sales and Related Programs............. 516
Section 108--Special Defense Acquisition Fund........ 516
Title II--Economic Support Fund.......................... 517
Section 203--Acquisition of Agricultural Commodities
and Related Products Under Commodity Import
Programs........................................... 517
Title III--Development Assistance........................ 517
Section 301--Agriculture, Rural Development, and
Nutrition.......................................... 517
Title IV--Food for Peace Programs........................ 518
Section 403--Self-Help Measures To Increase
Agricultural Production; Verification of Self-Help
Provisions......................................... 518
Title V--Other Assistance Programs....................... 518
Section 502--International Narcotics Control......... 518
Title VI--Peace Corps.................................... 519
Section 601--Establishment as an Independent Agency.. 519
Section 604--Restoration of Certain Authorities
Formerly Contained in the Foreign Service Act...... 519
Title VII--Miscellaneous Provisions...................... 519
Section 705--Inspector General....................... 519
Section 708--Emergency Humanitarian Help for the
People of Poland................................... 519
Section 709--Use of Certain Polish Currencies........ 520
Section 710--Findings Regarding Global Security...... 520
Section 711--World Food Security Reserves............ 520
Section 712--Findings and Declaration of Policy
Regarding World Hunger............................. 521
Section 713--Reaffirmation of Support for Human
Rights Provisions.................................. 521
Section 714--Immigrant Visas for Taiwan.............. 521
Section 715--Lebanon................................. 521
Section 716--Use of Chemical and Toxic Weapons....... 522
Section 717--Financial Obligations to the United
Nations............................................ 523
Section 718--Condemnation of Libya for its Support of
International Terrorist Movements.................. 523
Section 719--United States Citizens Acting in the
Service of International Terrorism................. 524
Section 720--Nonaligned Countries.................... 524
Section 721--Promoting the Development of the Haitian
People and Providing for Orderly Emigration from
Haiti.............................................. 525
Section 722--Comprehensive Analysis of Foreign
Assistance......................................... 525
Section 723--External Debt Burdens of Egypt, Israel,
and Turkey......................................... 526
Section 724--Nicaragua............................... 526
Section 726--Repeal of Limitations on Assistance,
Sales and Sales Credits for Chile.................. 527
Section 727--Assistance for El Salvador.............. 528
Section 728--Restrictions on Military Assistance and
Sales to El Salvador............................... 529
Section 729--Reporting Requirement Relating to El
Salvador........................................... 531
Section 730--Restrictions on Aid to El Salvador...... 532
Section 731--El Salvadoran Refugees.................. 532
Section 734--Repeals................................. 532
Section 735--Report on Nuclear Activities............ 532
Section 737--Prohibitions Relating to Nuclear
Transfers and Nuclear Detonations.................. 533
n. International Security and Development Cooperation Act of
1980 (Public Law 96-533) (partial text).................... 534
Section 1--Short Title............................... 534
Title I--Military and Related Assistance and Sales
Programs............................................... 534
Section 106--Foreign Military Sales Authorization and
Aggregate Ceiling.................................. 534
Section 110--Exportation of Uranium Depleted in the
Isotope 235........................................ 535
Section 119--Prohibition on Military Assistance to
Nicaragua.......................................... 536
Title III--Development Assistance Programs............... 536
Section 313--Assistance to the Eastern Caribbean..... 536
Section 314--Assistance for Equatorial Guinea........ 536
Section 315--Caribbean Development Bank.............. 536
Section 316--World Hunger............................ 536
Section 317--Reduction of Postharvest Losses of Food. 537
Title IV--Other Assistance Programs...................... 537
Section 402--International Narcotics Control......... 537
Section 408--East Timor.............................. 537
Title V--African Development Foundation.................. 538
Section 501--Short Title............................. 538
Section 502--Findings................................ 538
Section 503--Establishment........................... 538
Section 504--Purposes................................ 538
Section 505--Functions............................... 539
Section 506--Powers.................................. 540
Section 507--Management.............................. 541
Section 508--Government Corporation Control Act...... 542
Section 509--Limitation on Spending Authority........ 542
Section 510--Authorization of Appropriations......... 542
Title VII--Miscellaneous Provisions...................... 543
Section 710--Interagency Group on Human Rights and
Foreign Assistance................................. 543
Section 711--Peace in the Middle East................ 543
Section 712--Assistance for Jordan................... 543
Section 715--Cuban Refugees.......................... 544
Section 716--Incarceration and Deportation of Certain
Cubans............................................. 545
Section 717--Prohibition on Assistance to the
Governments of Cuba, Vietnam, and Cambodia......... 545
Section 718--Cooperation of Other Governments in the
Boycott of the 1980 Summer Olympic Games in Moscow. 545
Section 719--Elections in Uganda..................... 545
o. International Security Assistance Act of 1979 (Public Law
96-92) (partial text)...................................... 546
Section 1--Short Title............................... 546
Section 17--Authorization and Aggregate Ceiling for
Foreign Military Sales Credits..................... 546
Section 23--Transfer of War Reserve Material and
Other Property to Taiwan........................... 547
Section 24--Ammunition Sold to Thailand.............. 547
Section 26--Shaba Airlift............................ 547
Section 27--Fiscal Year 1979 Supplemental
Authorization for Turkey........................... 548
p. International Development Cooperation Act of 1979 (Public
Law 96-53) (partial text).................................. 549
Section 1--Short Title............................... 549
Title I--Development Assistance.......................... 549
Section 114--International Organizations and Programs 549
Section 125--Assistance to Latin American and
Caribbean Countries................................ 550
Section 126--Increased Contributions for Development
Assistance......................................... 550
Title IV--Institute for Scientific and Technological
Cooperation............................................ 550
Section 401--Statement of Policy..................... 550
Section 402--Purposes and Establishment of the
Institute.......................................... 551
Section 403--Functions of the Institute.............. 551
Section 404--General Authorities..................... 552
Section 405--Director of the Institute............... 553
Section 406--Deputy Director and Other Statutory
Officers........................................... 553
Section 407--Council on International Scientific and
Technological Cooperation.......................... 553
Section 408--Institute Fellowships................... 555
Section 409--Conflict of Interest.................... 556
Section 410--Authorization of Appropriations......... 556
Section 412--Conforming Amendments................... 556
Section 413--Establishment in International
Development Cooperation Agency..................... 557
Section 414--Expiration of Authorities............... 557
Title V--Miscellaneous Provisions........................ 557
Section 501--Earmarking for Lebanon of Unobligated
Balances in the Middle East Special Requirements
Fund............................................... 557
Section 502--Military Assistance to Sudan............ 557
Section 507--Nonproliferation of Nuclear Weapons..... 558
Section 509--Refugee Crisis in Southeast Asia........ 558
Section 510--Certain Travel Expenses................. 559
Section 512--Effective Dates......................... 559
q. International Development and Food Assistance Act of 1978
(Public Law 95-424) (partial text)......................... 560
Section 1--Short Title............................... 560
Title I--Development Assistance.......................... 560
Section 117--International Organizations and Programs 560
Section 120--Locust Plagues Control in Africa........ 561
Section 122--African Development Foundation.......... 561
Title III--Coordination and Administration of the
Development-Related Programs and Policies of the United
States................................................. 561
Section 301--Declaration of Objectives............... 561
Section 302--Implementation of Objectives............ 562
Title IV--Unified Personnel System....................... 562
Section 401--Establishment of a Unified Personnel
System............................................. 562
Title VI--Miscellaneous Provisions....................... 563
Section 601--Reduction of Authorization.............. 563
Section 602--Prohibition of Assistance to Vietnam,
Cambodia, and Cuba................................. 563
Section 603--Reports to Congress on Debt Relief
Agreements......................................... 563
Section 604--Miscellaneous Repeals................... 563
Section 605--Effective Date.......................... 563
r. International Security Assistance Act of 1978 (Public Law
95-384) (partial text)..................................... 564
Section 1--Short Title............................... 564
Section 13--United States Policy Regarding the
Eastern Mediterranean.............................. 564
Section 23--Special Security Assistance Program for
the Modernization of the Armed Forces of the
Republic of Korea.................................. 565
Section 26--United States-Republic of China Mutual
Defense Treaty..................................... 566
Section 28--Negotiations Between Israel and Egypt.... 567
Section 30--Savings Provision........................ 567
s. International Development and Food Assistance Act of 1977
(Public Law 95-88) (partial text).......................... 568
Section 1--Short Title............................... 568
Title I--International Development Assistance............ 568
Section 124--Inspector General, Foreign Assistance... 568
Section 131--Future United States Development
Assistance......................................... 569
Section 132--Limitation on Use of Funds; Missing in
Action in Vietnam.................................. 569
Section 133--Plan for Increased Minority Business
Participation in Foreign Assistance Activities..... 569
Section 215--Effective Date.......................... 571
t. International Security Assistance Act of 1977 (Public Law
95-92) (partial text)...................................... 572
Section 1--Short Title............................... 572
Section 9--Security Supporting Assistance Program for
Egypt.............................................. 572
Section 21--Fiscal Year Authorizations and
Limitations........................................ 573
Section 24--Study of Technology Transfers............ 573
Section 26--Policy Statement on United States Arms
Sales to Israel.................................... 574
Section 27--Review of Arms Sales Controls on Non-
Lethal Items....................................... 574
Section 28--Republic of Korea........................ 574
Section 29--Piaster Conversion....................... 574
u. International Security Assistance and Arms Export Control
Act of 1976 (Public Law 94-329) (partial text)............. 575
Section 106--International Military Education and
Training........................................... 575
Section 201--Arms Sales Policy....................... 576
Section 212--Control of Licenses with Respect to Arms
Exports and Imports................................ 576
Section 407--Control of Military Forces in the Indian
Ocean.............................................. 577
Section 408--United States Citizens Imprisoned in
Mexico............................................. 577
Section 409--Emergency Food Needs of Portugal........ 577
Section 410--Strife in Lebanon....................... 578
Section 412--Korea................................... 578
Section 413--Repeal of Indochina Assistance.......... 578
Section 506--Interim Quarter Authorizations.......... 579
Title VI--Miscellaneous Provision........................ 579
Section 601--Expedited Procedure in the Senate....... 579
Section 602--Procurements from Small Businesses...... 581
Section 605--Use of Personnel........................ 581
Section 607--Extortion and Illegal Payments.......... 581
Section 608--Extension of Airport at Pinecreek,
Minnesota.......................................... 582
v. International Development and Food Assistance Act of 1975
(Public Law 94-161) (partial text)......................... 583
Section 320--Limitation on Assistance to Chile....... 583
Section 321--Settlement of Debt Owed the United
States............................................. 583
Section 322--Participation by Other Countries in
Providing Assistance to Israel or Egypt............ 584
w. Foreign Assistance Act of 1974 (Public Law 93-559)
(partial text)............................................. 585
Section 28--Famine or Disaster Relief................ 586
Section 47--Gorgas Memorial Institute................ 586
Section 48--International Commission of Control and
Supervision in Vietnam............................. 586
Section 50--Policy on the Independence of Angola,
Mozambique, and Guinea-Bissau...................... 587
Section 51--Conventional Arms Trade.................. 588
Section 52--Involvement of Puerto Rico in the
Caribbean Development Bank......................... 588
Section 55--Policy With Respect to Countries Most
Seriously Affected by Food Shortages............... 589
Section 56--Repayment of Loans in Default............ 590
x. Foreign Assistance Act of 1973 (Public Law 93-189)
(partial text)............................................. 591
Section 28--Asian Development Bank................... 591
Section 30--Termination of Indochina War............. 591
Section 31--Limitation on Use of Funds............... 591
Section 32--Political Prisoners...................... 592
Section 33--Albert Schweitzer Hospital............... 592
Section 34--Prisoners of War and Individuals Missing
in Action.......................................... 592
Section 35--Rights in Chile.......................... 593
Section 36--Revision of Social Progress Trust Fund
Agreement.......................................... 593
Section 39--World Food Shortages..................... 594
Section 40--Use of Local Currencies.................. 595
y. Foreign Assistance Act of 1971 (Public Law 92-226)
(partial text)............................................. 596
Section 2--Food for Peace Program.................... 596
Section 403--Position of Under Secretary of State for
Coordinating Security Assistance................... 596
Section 407--Periodic Authorizations for State and
USIA............................................... 597
Section 410--Limitation on United Nations Assessment
of United States................................... 597
z. Special Foreign Assistance Act of 1971, as amended (Public
Law 91-652) (partial text)................................. 598
Section 2--Authorization of Appropriations........... 598
Section 3--Transfer of Defense Articles to Korea..... 598
Section 4--Transfer Limitations...................... 598
Section 6--Foreign Currencies Held in Pakistan....... 599
Section 7--Limitation on Assistance to Cambodia...... 599
aa. Foreign Military Sales Act Amendments, 1971 (Public Law
91-672) (partial text)..................................... 600
bb. Foreign Assistance Act of 1969, as amended (Public Law
91-175) (partial text)..................................... 603
Part IV--The Inter-American Foundation Act............... 603
cc. Foreign Assistance Act of 1968 (Public Law 90-554)
(partial text)............................................. 609
Part V--Reappraisal of Foreign Assistance Programs....... 609
dd. Foreign Assistance Act of 1967 (Public Law 90-137)....... 611
ee. Foreign Assistance Act of 1966 (Public Law 89-583)....... 612
ff. Foreign Assistance Act of 1965 (Public Law 89-171)....... 613
gg. Foreign Assistance Act of 1964 (Public Law 88-633)
(partial text)............................................. 614
Part V--Religious Persecution............................ 614
hh. Foreign Assistance Act of 1963 (Public Law 88-205)....... 615
ii. Foreign Assistance Act of 1962 (Public Law 87-565)....... 616
2. Foreign Assistance Appropriations............................. 617
a. Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1999 (Public Law 105-277) (partial
text)...................................................... 617
b. Emergency Supplemental Appropriations, 1999 (Public Law
105-277) (partial text).................................... 710
c. Continuing Appropriations, Fiscal Year 1999 (Public Law
105-240)................................................... 713
d. Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1997 (Public Law 104-208) (partial
text)...................................................... 719
e. Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1996 (Public Law 104-107).............. 726
f. Mexican Debt Disclosure Act of 1995 (Public Law 104-6)
(partial text)............................................. 728
g. Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1995 (Public Law 103-306) (partial
text)...................................................... 732
h. Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1994 (Public Law 103-87) (partial text) 734
i. Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1993 (Public Law 102-391) (partial
text)...................................................... 736
j. Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1991 (Public Law 101-513) (partial
text)...................................................... 740
k. Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1990 (Public Law 101-167) (partial
text)...................................................... 751
l. Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1988 (Public Law 100-202) (partial
text)...................................................... 764
m. Foreign Assistance and Related Programs Appropriations
Act, 1984 (Deobligation of funds for Syria) (Public Law 98-
151) (partial text)........................................ 769
n. Title 31, United States Code--Valid Obligations........... 771
Note.--Volume I is printed in two parts, I-A and I-B,
effective 1994. Volume I-B contains legislation and
Executive orders relating to other foreign assistance
matters, the armed forces, agricultural commodities,
and the Peace Corps.
=======================================================================
1. Foreign Assistance and Arms Export Acts*
a. The Foreign Assistance Act of 1961, as Amended
Public Law 87-195 [S. 1983], 75 Stat. 424, approved September 4, 1961,
as amended by Public Law 87-565 [Foreign Assistance Act of 1962, S.
2996], 76 Stat. 255, approved August 1, 1962; Public Law 87-793
[Postal Service and Federal Employees Salary Act of 1962, H.R.
7927], 76 Stat. 832, approved October 11, 1962; Public Law 88-205
[H.R. 7885], 77 Stat. 379, approved December 16, 1963; Public Law
88-426 [Government Employees Salary Reform Act of 1964, H.R.
11049], 78 Stat. 400, approved August 14, 1964; Public Law 88-448
[Dual Compensation Act, H.R. 7381], 78 Stat. 484, approved August
19, 1964; Public Law 88-633 [H.R. 11380], 78 Stat. 1009, approved
October 7, 1964; Public Law 88-638 [Amendments to Agricultural
Trade Development and Assistance Act of 1954, as amended; S. 2687],
78 Stat. 1035, approved October 8, 1964; Public Law 89-171 [H.R.
7750], 79 Stat. 653, approved September 6, 1965; Public Law 89-371
[H.R. 12169], 80 Stat. 74, approved March 18, 1966; Public Law 89-
583 [H.R. 15750], 80 Stat. 795, approved September 19, 1966; Public
Law 90-137 [S. 1872], 81 Stat. 445, approved November 14, 1967;
Public Law 90-554 [H.R. 15263], 82 Stat. 960, approved October 8,
1968; Public Law 90-629 [Foreign Military Sales Act, H.R. 15681],
82 Stat. 1320, approved October 22, 1968; Public Law 91-175 [H.R.
14580], 83 Stat. 805, approved December 30, 1969; Public Law 91-652
[Special Foreign Assistance Act of 1971, H.R. 19911], 84 Stat.
1942, approved January 5, 1971; Public Law 92-226 [S. 2819], 86
Stat. 20, approved February 7, 1972; Public Law 92-352 [Foreign
Relations Authorization Act of 1972, H.R. 14734], 86 Stat. 489,
approved July 13, 1972; Public Law 93-189 [S. 1443], 87 Stat. 714,
approved December 17, 1973; Public Law 93-333 [Foreign Disaster
Assistance Act of 1974, H.R. 12412], 88 Stat. 290, approved July 8,
1974; Public Law 93-390 [Overseas Private Investment Corporation
Amendments Act of 1974, S. 2957], 88 Stat. 763, approved August 27,
1974; Public Law 93-559 [S. 3394], 88 Stat. 1795, approved December
30, 1974; Public Law 94-104 [S. 2230], 89 Stat. 508, approved
October 6, 1975; Public Law 94-161 [International Development and
Food Assistance Act of 1975, H.R. 9005], 89 Stat. 849, approved
December 20, 1975; Public Law 94-273 [Fiscal Year Adjustment Act,
S. 2445], 90 Stat. 375, approved April 21, 1976, Public Law 94-276
[Guatemala Relief and Rehabilitation Act of 1976, S. 3056], 90
Stat. 397, approved April 21, 1976; Public Law 94-329
[International Security Assistance and Arms Export Control Act of
1976, H.R. 13680], 90 Stat. 729, approved June 30, 1976; Public Law
95-21 [Romanian Relief and Rehabilitation, H.R. 5717], 91 Stat. 48,
approved April 18, 1977; Public Law 95-23 [Supplemental Military
Assistance to Portugal for Fiscal Year 1977, S. 489], 91 Stat. 54,
approved April 30, 1977; Public Law 95-88 [International
Development and Food Assistance Act of 1977, H.R. 6714], 91 Stat.
533, approved August 3, 1977; Public Law 95-92 [International
Security Assistance Act of 1977, H.R. 6884], 91 Stat. 614, approved
August 4, 1977; Public Law 95-105 [Foreign Relations Authorization
Act, Fiscal Year 1978, H.R. 6689], 91 Stat. 844 at 846, approved
August 17, 1977; Public Law 95-268 [OPIC Amendments Act of 1978,
H.R. 9179], 92 Stat. 213, approved April 24, 1978; Public Law 95-
384 [International Security Assistance Act of 1978, S. 3075], 92
Stat. 730, approved September 26, 1978; Public Law 95-424
[International Development and Food Assistance Act of 1978, H.R.
12222], 92 Stat. 937, approved October 6, 1978; Public Law 96-35
[Special International Security Assistance Act of 1979, S. 1007],
93 Stat. 89, approved July 20, 1979; Public Law 96-53
[International Development Cooperation Act of 1979, H.R. 3324], 93
Stat. 359, approved August 14, 1979; Public Law 96-92
[International Security Assistance Act of 1979, H.R. 3173], 93
Stat. 701, approved October 29, 1979; Public Law 96-109 [Caribbean
Hurricane Relief Assistance Authorization, H.R. 5218], 93 Stat.
842, approved November 9, 1979; Public Law 96-110 [Cambodian
Disaster Relief Assistance Authorization, H.R. 4995], 93 Stat. 843,
approved November 13, 1979; Public Law 96-257 [Special Central
American Assistance Act of 1979], 94 Stat. 422, approved May 31,
1980; Public Law 96-327 [S. 1916], 94 Stat. 1026, approved August
8, 1980; Public Law 96-450 [Intelligence Authorization Act for
Fiscal Year 1981, S. 2597], 94 Stat. 1975 at 1981, approved October
14, 1980; Public Law 96-465 [Foreign Service Act of 1980, H.R.
6790], 94 Stat. 2071 at 2158; Public Law 96-525 [H.R. 8388], 94
Stat. 3043, approved December 12, 1980; Public Law 96-533
[International Security and Development Cooperation Act of 1980,
H.R. 6942], 94 Stat. 3131, approved December 16, 1980; Public Law
97-65 [OPIC Amendments Act of 1981, H.R. 3136], 95 Stat. 1021,
approved October 16, 1981; Public Law 97-113 [International
Security and Development Cooperation Act of 1981, S. 1196], 95
Stat. 1519, approved December 29, 1981; Public Law 97-164 [Federal
Courts Improvement Act, H.R. 4482], 96 Stat. 25 at 48, approved
April 2, 1982; Public Law 97-208 [Humanitarian Assistance for the
People of Lebanon, H.R. 6631], 96 Stat. 138, approved June 30,
1982; Public Law 97-377 [Further Continuing Appropriations Act,
1983; H.J. Res. 631], 96 Stat. 1830 at 1831, approved December 21,
1982; Public Law 97-438 [H.R. 7143], 96 Stat. 2286, approved
January 8, 1983; Public Law 98-151 [Further Continuing
Appropriations, 1984; H.J. Res. 413], 97 Stat. 964, approved
November 14, 1983; Public Law 98-164 [Department of State
Authorization Act, Fiscal Years 1984 and 1985; H.R. 2915], 97 Stat.
1017, approved November 22, 1983; Public Law 98-473 [Continuing
Appropriations, 1985; H.J. Res. 648], 98 Stat. 1837 at 1884,
approved October 12, 1984; Public Law 99-8 [African Famine Relief
and Recovery Act of 1985, S. 689], 99 Stat. 21, approved April 2,
1985; Public Law 99-64 [Export Administration Amendments Act of
1985, S. 883], 99 Stat. 156, approved July 12, 1985, Public Law 99-
83 [International Security and Development Cooperation Act of 1985,
S. 960], 99 Stat. 190, approved August 8, 1985; Public Law 99-93
[Foreign Relations Authorization Act, Fiscal Years 1986 and 1987;
H.R. 2068], 99 Stat. 405 at 442, approved August 16, 1985; Public
Law 99-204 [Overseas Private Investment Corporation Amendments Act
of 1985, S. 947], 99 Stat. 1669 approved December 23, 1985; Public
Law 99-399 [Omnibus Diplomatic Security and Antiterrorism Act of
1986, H.R. 4151], 100 Stat. 853, approved August 27, 1986; Public
Law 99-440 [Comprehensive Anti-Apartheid Act of 1986, H.R. 4868],
100 Stat. 1086, approved October 2, 1986; Public Law 99-529
[Special Foreign Assistance Act of 1986, S. 1917], 100 Stat. 3010,
approved October 24, 1986; Public Law 99-570 [Anti-Drug Abuse Act
of 1986, H.R. 5484], 100 Stat. 3207, approved October 27, 1986;
Public Law 99-661 [National Defense Authorization Act for Fiscal
Year 1987, S. 2368], 100 Stat. 3816, approved November 14, 1986;
Public Law 100-202 [Continuing Appropriations Act, 1988; H.J. Res.
395], 101 Stat. 1329, approved December 22, 1987; Public Law 100-
204 [Foreign Relations Authorization Act, Fiscal Years 1988 and
1989; H.R. 1777], 101 Stat. 1331, approved December 22, 1987;
Public Law 100-418 [Omnibus Trade and Competitiveness Act of 1988;
H.R. 4848], 102 Stat. 1107, approved August 23, 1988; Public Law
100-461 [Foreign Operations, Export Financing and Related Programs
Appropriations Act, 1989; H.R. 4637], 102 Stat. 2268, approved
October 1, 1988; Public Law 100-690 [International Narcotics
Control Act of 1988; H.R. 5210], 102 Stat. 4181, approved November
18, 1988; Public Law 101-165 [Department of Defense Appropriations
Act, 1990; H.R. 3072], 103 Stat. 1112, approved November 21, 1989;
Public Law 101-167 [Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1990; H.R. 3743], 103 Stat.
1195, approved November 21, 1989; Public Law 101-179 [Support for
East European Democracy (SEED) Act of 1989, H.R. 3402], 103 Stat.
1298, approved November 28, 1989; Public Law 101-189 [National
Defense Authorization Act for Fiscal Years 1990 and 1991, H.R.
2461], 103 Stat. 1352, approved November 29, 1989; Public Law 101-
218 [Renewable Energy and Energy Efficiency Technology
Competitiveness Act of 1989, S. 488], 103 Stat. 1868, approved
December 11, 1989; Public Law 101-222 [Anti-Terrorism and Arms
Export Amendments Act of 1989, H.R. 91], 103 Stat. 1892, approved
December 12, 1989; Public Law 101-231 [International Narcotics
Control Act of 1989, H.R. 3611], 103 Stat. 1954, approved December
13, 1989; Public Law 101-240 [International Development and Finance
Act of 1989, H.R. 2494], 103 Stat. 2492, approved December 19,
1989; Public Law 101-302 [Dire Emergency Supplemental Appropriation
for Disaster Assistance, Food Stamps, Unemployment Compensation
Administration, and Other Urgent Needs, and Transfers, and Reducing
Funds Budgeted for Military Spending Act of 1990; H.R. 4404], 104
Stat. 213, approved May 25, 1990; Public Law 101-510 [National
Defense Authorization Act for Fiscal Year 1991, H.R. 4739], 104
Stat. 1485, approved November 5, 1990; Public Law 101-513 [Foreign
Operations, Export Financing, and Related Programs Appropriations
Act, 1991; H.R. 5114], 104 Stat. 1979, approved November 5, 1990;
Public Law 101-604 [Aviation Security Improvement Act of 1990, H.R.
5732], 104 Stat. 3066, approved November 16, 1990; Public Law 101-
623 [International Narcotics Control Act of 1990, H.R. 5567], 104
Stat. 3350, approved November 21, 1990; Public Law 102-88
[Intelligence Authorization Act, Fiscal Year 1991; H.R. 1455], 105
Stat. 429, approved August 14, 1991; Public Law 102-190 [National
Defense Authorization Act for Fiscal Years 1992 and 1993; H.R.
2100], 105 Stat. 1290, approved December 5, 1991; H.R. 2621 as
passed by the House on June 19, 1991 [parts of which were enacted
by reference in Public Law 102-145, as amended by Public Law 102-
266, 106 Stat. 92, approved April 1, 1992]; Public Law 102-391
[Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1993; H.R. 5368], 106 Stat. 1633, approved
October 6, 1992; Public Law 102-484 [National Defense Authorization
Act for Fiscal Year 1993; H.R. 5006], 106 Stat. 2315, approved
October 23, 1992; Public Law 102-511 [FREEDOM Support Act; S.
2532], 106 Stat. 3320, approved October 24, 1992; Public Law 102-
549 [Jobs Through Exports Act of 1992; H.R. 4996], 106 Stat. 3651,
approved October 28, 1992; Public Law 102-550 [Housing and
Community Development Act of 1992; H.R. 5334], 106 Stat. 3672,
approved October 28, 1992; Public Law 102-572 [Federal Courts
Administration Act of 1992; S. 1569], 106 Stat. 4506, approved
October 29, 1992; Public Law 102-583 [International Narcotics
Control Act of 1992; H.R. 6187], 106 Stat. 4914, approved November
2, 1992; Public Law 103-87 [Foreign Operations, Export Financing,
and Related Programs Appropriations Act, 1994; H.R. 2295], 107
Stat. 931, approved September 30, 1993; Public Law 103-149 [South
African Democratic Transition Support Act of 1993; H.R. 3225], 107
Stat. 1503, approved November 23, 1993; Public Law 103-160
[National Defense Authorization Act for Fiscal Year 1994; H.R.
2401], 107 Stat. 1547, approved November 30, 1993; Public Law 103-
199 [FRIENDSHIP Act; H.R. 3000], 107 Stat. 2317, approved December
17, 1993; Public Law 103-236 [Foreign Relations Authorization Act,
Fiscal Years 1994 and 1995; H.R. 2333], 108 Stat. 382, approved
April 30, 1994; Public Law 103-306 [Foreign Operations, Export
Financing, and Related Programs Appropriations Act, 1995; H.R.
4426], 108 Stat. 1608, approved August 23, 1994; Public Law 103-392
[Jobs Through Trade Expansion Act of 1994; H.R. 4950], 108 Stat.
4098, approved October 22, 1994; Public Law 103-437 [United States
Code Technical Amendments; H.R. 4777], 108 Stat. 4581, approved
November 2, 1994; Public Law 103-447 [International Narcotics
Control Corrections Act of 1994; H.R. 5246], 108 Stat. 4691,
approved November 2, 1994; Public Law 104-66 [Federal Reports
Elimination and Sunset Act of 1995; S. 790], 109 Stat. 707,
approved December 21, 1995; Public Law 104-99 [Foreign Operations,
Export Financing, and Related Programs Appropriations Act, 1996;
H.R. 1868], enacted by reference in section 301 of H.R. 2880, 110
Stat. 26, approved January 26, 1996, enacted again as Public Law
104-107 [H.R. 1868], 110 Stat. 704, approved February 12, 1996;
Public Law 104-106 [National Defense Authorization Act for Fiscal
Year 1996; S. 1124], 110 Stat. 186, approved February 10, 1996;
Public Law 104-114 [Cuban Liberty and Democratic Solidarity
(LIBERTAD) Act of 1996; H.R. 927], 110 Stat. 785, approved March
12, 1996; Public Law 104-132 [Antiterrorism and Effective Death
Penalty Act of 1996; S. 735], 110 Stat. 1214, approved April 24,
1996; Public Law 104-164 [H.R. 3121], 110 Stat. 1421, approved July
21, 1996; Public Law 104-188 [Small Business Job Protection Act of
1996; H.R. 3448], 110 Stat. 1755, approved August 20, 1996; Public
Law 104-208 [Omnibus Consolidated Appropriations Act, 1997; H.R.
3610], 110 Stat. 3009, approved September 30, 1996; Public Law 104-
319 [Human Rights, Refugee, and Other Foreign Relations Provisions
Act of 1996; H.R. 4036], 110 Stat. 3864, approved October 19, 1996;
Public Law 105-118 [Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1998; H.R. 2159], 111 Stat.
2386, approved November 26, 1997; Public Law 105-214 [Tropical
Forest Conservation Act of 1998; H.R. 2870], 112 Stat. 885,
approved July 29, 1998; Public Law 105-277 [Foreign Operations,
Export Financing, and Related Programs Appropriations Act, 1999;
Foreign Affairs Reform and Restructuring Act of 1998; and Foreign
Relations Authorization Act, Fiscal Years 1998 and 1999; H.R.
4328], 112 Stat. 2681, approved October 21, 1998; Public Law 105-
292 [International Religious Freedom Act of 1998; H.R. 2431], 112
Stat. 2787, approved October 27, 1998; Public Law 105-320 [Torture
Victims Relief Act of 1998; H.R. 4309], 112 Stat. 3016, approved
October 30, 1998; and by Public Law 105-362 [Federal Reports
Elimination Act of 1998; S. 1364], 112 Stat. 3280, approved
November 10, 1998
---------------------------------------------------------------------------
* Note.--The Foreign Assistance Act will be referred to as the FA
Act and ``this Act.''
---------------------------------------------------------------------------
AN ACT To promote the foreign policy, security, and general welfare of
the United States by assisting peoples of the world in their efforts
toward economic development and internal and external security, and for
other purposes.
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled, That this
Act may be cited as ``The Foreign Assistance Act of 1961.'' \1\
---------------------------------------------------------------------------
\1\ The short title was added by sec. 111 of the FA Appropriation
Act, 1962.
---------------------------------------------------------------------------
PART I
Chapter 1--Policy; Development Assistance Authorizations \2\
Sec. 101.\3\ General Policy.--(a) The Congress finds that
fundamental political, economic, and technological changes have
resulted in the interdependence of nations. The Congress
declares that the individual liberties, economic prosperity,
and security of the people of the United States are best
sustained and enhanced in a community of nations which respect
individual civil and economic rights and freedoms and which
work together to use wisely the world's limited resources in an
open and equitable international economic system. Furthermore,
the Congress reaffirms the traditional humanitarian ideals of
the American people and renews its commitment to assist people
in developing countries to eliminate hunger, poverty, illness,
and ignorance.
---------------------------------------------------------------------------
\2\ Sec. 101(a) of the FA Act of 1963 struck out the words ``Short
Title and'' in the chapter heading, which formerly read ``Short Title
and Policy''. Sec. 2(1) of the FA Act of 1973 added the following words
to the chapter heading: ``Development Assistance Authorizations''.
\3\ 22 U.S.C. 2151. Sec. 101 was added by sec. 101 of the
International Development and Food Assistance Act of 1978 (92 Stat.
937). Previously, sec. 101 had related to the short title before being
repealed by the FA Act of 1963. This general policy statement was
formerly contained in sec. 102 before 1978.
---------------------------------------------------------------------------
Therefore, the Congress declares that a principal objective
of the foreign policy of the United States is the encouragement
and sustained support of the people of developing countries in
their efforts to acquire the knowledge and resources essential
to development and to build the economic, political, and social
institutions which will improve the quality of their lives.
United States development cooperation policy should
emphasize four principal goals:
(1) the alleviation of the worst physical
manifestations of poverty among the world's poor
majority;
(2) the promotion of conditions enabling developing
countries to achieve self-sustaining economic growth
with equitable distribution of benefits;
(3) the encouragement of development processes in
which individual civil and economic rights are
respected and enhanced; and
(4) the integration of the developing countries into
an open and equitable international economic system.
The Congress declares that pursuit of these goals requires
that development concerns be fully reflected in United States
foreign policy and that United States development resources be
effectively and efficiently utilized.
(b) Under the policy guidance of the Secretary of State,
the agency primarily responsible for administering this part
should have the responsibility for coordinating all United
States development-related activities.\4\
---------------------------------------------------------------------------
\4\ The responsibilities of the Agency mentioned in this subsection
were transferred to the Director of IDCA, pursuant to sec. 6 of
Reorganization Plan No. 2 of 1979 (establishing IDCA). The
responsibilities of the Secretary of State, insofar as they relate to
policy guidance other than foreign policy guidance, were also
transferred to the Director. The Reorganization Plan No. 2 of 1979
ceased to be effective with enactment of the Foreign Affairs Reform and
Restructuring Act of 1998, pursuant to sec. 1422(a)(1) (division G of
Public Law 105-277; 112 Stat. 2681).
---------------------------------------------------------------------------
Sec. 102.\5\ Development Assistance Policy.--(a) The
Congress finds that the efforts of developing countries to
build and maintain the social and economic institutions
necessary to achieve self-sustaining growth and to provide
opportunities to improve the quality of life for their people
depend primarily upon successfully marshalling their own
economic and human resources. The Congress recognizes that the
magnitude of these efforts exceeds the resources of developing
countries and therefore accepts that there will be a long-term
need for wealthy countries to contribute additional resources
for development purposes. The United States should take the
lead in concert with other nations to mobilize such resources
from public and private sources.
---------------------------------------------------------------------------
\5\ 22 U.S.C. 2151-1. Sec. 101 of the International Development and
Food Assistance Act of 1978 (92 Stat. 927) struck out sec. 102, which
concerned a statement of policy, and added a new sec. 102.
---------------------------------------------------------------------------
Provision of development resources must be adapted to the
needs and capabilities of specific developing countries. United
States assistance to countries with low per capita incomes
which have limited access to private external resources should
primarily be provided on concessional terms. Assistance to
other developing countries should generally consist of programs
which facilitate their access to private capital markets,
investment, and technical skills, whether directly through
guarantee or reimbursable programs by the United States
Government or indirectly through callable capital provided to
the international financial institutions.
Bilateral assistance and United States participation in
multilateral institutions shall emphasize programs in support
of countries which pursue development strategies designed to
meet basic human needs and achieve self-sustaining growth with
equity.
The Congress declares that the principal purpose of United
States bilateral development assistance is to help the poor
majority of people in developing countries to participate in a
process of equitable growth through productive work and to
influence decisions that shape their lives, with the goal of
increasing their incomes and their access to public services
which will enable them to satisfy their basic needs and lead
lives of decency, dignity, and hope. Activities shall be
emphasized that effectively involve the poor in development by
expanding their access to the economy through services and
institutions at the local level, increasing their participation
in the making of decisions that affect their lives, increasing
labor-intensive production and the use of appropriate
technology, expanding productive investment and services out
from major cities to small towns and rural areas, and otherwise
providing opportunities for the poor to improve their lives
through their own efforts. Participation of the United States
in multilateral institutions shall also place appropriate
emphasis on these principles.
(b) Assistance under this chapter should be used not only
for the purpose of transferring financial resources to
developing countries, but also to help countries solve
development problems in accordance with a strategy that aims to
insure wide participation of the poor in the benefits of
development on a sustained basis. Moreover, assistance shall be
provided in a prompt and effective manner, using appropriate
United States institutions for carrying out this strategy. In
order to achieve these objectives and the broad objectives set
forth in section 101 and in subsection (a) of this section,
bilateral development assistance authorized by this Act shall
be carried out in accordance with the following principles:
(1) Development is primarily the responsibility of
the people of the developing countries themselves.
Assistance from the United States shall be used in
support of, rather than substitution for, the self-help
efforts that are essential to successful development
programs and shall be concentrated in those countries
that take positive steps to help themselves. Maximum
effort shall be made, in the administration of this
part, to stimulate the involvement of the people in the
development process through the encouragement of
democratic participation in private and local
governmental activities and institution building
appropriate to the requirements of the recipient
countries.
(2) Development planning must be the responsibility
of each sovereign country. United States assistance
should be administered in a collaborative style to
support the development goals chosen by each country
receiving assistance.
(3) United States bilateral development assistance
should give high priority to undertakings submitted by
host governments which directly improve the lives of
the poorest of their people and their capacity to
participate in the development of their countries,
while also helping such governments enhance their
planning, technical, and administrative capabilities
needed to insure the success of such undertakings.
(4) Development assistance provided under this
chapter shall be concentrated in countries which will
make the most effective use of such assistance to help
satisfy basic human needs of poor people through
equitable growth, especially in those countries having
the greatest need for outside assistance. In order to
make possible consistent and informed judgments in this
respect, the President shall assess the commitment and
progress of countries in moving toward the objectives
and purposes of this chapter by utilizing criteria,
including but not limited to the following:
(A) increase in agricultural productivity per
unit of land through small- farm, labor-
intensive agriculture;
(B) reduction of infant mortality;
(C) control of population growth;
(D) promotion of greater equality of income
distribution, including measures such as more
progressive taxation and more equitable returns
to small farmers;
(E) reduction of rates of unemployment and
underemployment; and
(F) increase in literacy.
(5) United States development assistance should focus
on critical problems in those functional sectors which
affect the lives of the majority of the people in the
developing countries; food production and nutrition;
rural development and generation of gainful employment;
population planning and health; environment and natural
resources; education, development administration, and
human resources development; and energy development and
production.\6\
---------------------------------------------------------------------------
\6\ The reference to energy development and production was added by
sec. 104(a) of the International Development Cooperation Act of 1979
(Public Law 96-53; 93 Stat. 360).
---------------------------------------------------------------------------
(6) United States assistance shall encourage and
promote the participation of women in the national
economies of developing countries and the improvement
of women's status as an important means of promoting
the total development effort.
(7) United States bilateral assistance shall
recognize that the prosperity of developing countries
and effective development efforts require the adoption
of an overall strategy that promotes the development,
production,\6\ and efficient utilization of energy and,
therefore, consideration shall be given to the full
implications of such assistance on the price,
availability, and consumption of energy in recipient
countries.
(8) United States cooperation in development should
be carried out to the maximum extent possible through
the private sector, including those institutions which
already have ties in the developing areas, such as
educational institutions, cooperatives, credit unions,
free labor unions, and private and voluntary agencies.
(9) To the maximum extent practicable, United States
private investment should be encouraged in economic and
social development programs to which the United States
lends support.
(10) Assistance shall be planned and utilized to
encourage regional cooperation by developing countries
in the solution of common problems and the development
of shared resources.
(11) Assistance efforts of the United States shall be
planned and furnished to the maximum extent practicable
in coordination and cooperation with assistance efforts
of other countries, including the planning and
implementation of programs and projects on a
multilateral and multidonor basis.
(12) United States bilateral development assistance
should be concentrated on projects which do not involve
large-scale capital transfers. However, to the extent
that such assistance does involve large-scale capital
transfers, it should be furnished in association with
contributions from other countries working together in
a multilateral framework.
(13) \7\ United States encouragement of policy
reforms is necessary if developing countries are to
achieve economic growth with equity.
---------------------------------------------------------------------------
\7\ Paragraphs (13), (14), (15), and (16) were added by sec. 301 of
the International Security and Development Cooperation Act of 1985
(Public Law 99-83; 99 Stat. 190).
---------------------------------------------------------------------------
(14) \7\ Development assistance should, as a
fundamental objective, promote private sector activity
in open and competitive markets in developing
countries, recognizing such activity to be a productive
and efficient means of achieving equitable and long-
term economic growth.
(15) \7\ United States cooperation in development
should recognize as essential the need of developing
countries to have access to appropriate technology in
order to improve food and water, health and housing,
education and employment, and agriculture and industry.
(16) \7\ United States assistance should focus on
establishing and upgrading the institutional capacities
of developing countries in order to promote long-term
development. An important component of institution
building involves training to expand the human resource
potential of people in developing countries.
(c) The Congress, recognizing the desirability of
overcoming the worst aspects of absolute poverty by the end of
this century by, among other measures, substantially lowering
infant mortality and birth rates, and increasing life
expectancy, food production, literacy, and employment,
encourages the President to explore with other countries,
through all appropriate channels, the feasibility of a
worldwide cooperative effort to overcome the worst aspects of
absolute poverty and to assure self-reliant growth in the
developing countries by the year 2000.
=======================================================================
Note.--Foreign assistance appropriations for fiscal
year 1999 are included in the Foreign Operations,
Export Financing, and Related Programs Appropriations
Act, 1999 (division A, sec. 101(d) of the Omnibus
Consolidated and Emergency Supplemental Appropriations
Act, 1999; Public Law 105-277; 112 Stat. 2681). Amounts
appropriated by that Act to carry out the purposes of
provisions contained in the Foreign Assistance Act of
1961, during fiscal year 1999 unless otherwise
specified, are included in footnotes.
=======================================================================
=======================================================================
Note.--Prior to fiscal year 1992, Congress
appropriated funds for each of the Development
Assistance functional accounts authorized in sections
103 through 106 of the Foreign Assistance Act of 1961.
For fiscal year 1992 through fiscal year 1995, however,
Congress made appropriations in one lump sum for all
programs within sections 103 through 106, with the
exception of ``Population, Development Assistance''. In
fiscal year 1996, Congress made appropriations in one
lump sum for Development Assistance. Since fiscal year
1997, Congress has made appropriations to two
development accounts: ``Development Assistance'' and
``Child Survival and Disease Programs Fund''.
For fiscal year 1999, to remain available until
September 30, 2000, for the provisions of sections 103
through 106 and chapter 10 of part I of the Foreign
Assistance Act of 1961 (Development Assistance and
Development Fund for Africa), title V of the
International Security and Development Cooperation Act
of 1980 (African Development Foundation), and section
401 of the Foreign Assistance Act of 1969 (Inter-
American Foundation), Congress appropriated
$1,225,000,000. Congress also appropriated $650,000,000
in fiscal year 1999, to remain available until
expended, for child survival, basic education, and to
combat tropical and other diseases, and related
activities. Congress appropriated another $50,000,000,
to remain available until expended, for an additional
amount for the ``Child Survival and Disease Programs
Fund'' in the Emergency Supplemental Appropriations for
Fiscal Year 1999 (division B, title IV, chapter 3 of
Public Law 105-277).
=======================================================================
=======================================================================
Note.--The Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1999 (division A,
sec. 101(d) of the Omnibus Consolidated and Emergency
Supplemental Appropriations Act, 1999; Public Law 105-
277; 112 Stat. 2681), provided the following:
``obligations during last month of availability
``Sec. 501. Except for the appropriations entitled
`International Disaster Assistance', and `United States
Emergency Refugee and Migration Assistance Fund', not
more than 15 percent of any appropriation item made
available by this Act shall be obligated during the
last month of availability.''.
=======================================================================
=======================================================================
Note.--Transfers Between Accounts. The Foreign
Operations, Export Financing, and Related Programs
Appropriations Act, 1999 (division A, sec. 101(d) of
the Omnibus Consolidated and Emergency Supplemental
Appropriations Act, 1999; Public Law 105-277; 112 Stat.
2681), provided the following:
``Transfers Between Accounts
``Sec. 509. None of the funds made available by this
Act may be obligated under an appropriation account to
which they were not appropriated, except for transfers
specifically provided for in this Act, unless the
President, prior to the exercise of any authority
contained in the Foreign Assistance Act of 1961 to
transfer funds, consults with and provides a written
policy justification to the Committees on
Appropriations of the House of Representatives and the
Senate: Provided, That the exercise of such authority
shall be subject to the regular notification procedures
of the Committees on Appropriations.''.
=======================================================================
=======================================================================
Note.--Deobligation/Reobligation Authority. The
Foreign Operations, Export Financing, and Related
Programs Appropriations Act, 1999 (division A, sec.
101(d) of the Omnibus Consolidated and Emergency
Supplemental Appropriations Act, 1999; Public Law 105-
277; 112 Stat. 2681), provided the following:
``Deobligation/Reobligation Authority
``Sec. 510. (a) Amounts certified pursuant to section
1311 of the Supplemental Appropriations Act, 1955, as
having been obligated against appropriations heretofore
made under the authority of the Foreign Assistance Act
of 1961 for the same general purpose as any of the
headings under title II of this Act are, if
deobligated, hereby continued available for the same
period as the respective appropriations under such
headings or until September 30, 1999, whichever is
later, and for the same general purpose, and for
countries within the same region as originally
obligated: Provided, That the Appropriations Committees
of both Houses of the Congress are notified 15 days in
advance of the reobligation of such funds in accordance
with regular notification procedures of the Committees
on Appropriations.
``(b) Obligated balances of funds appropriated to
carry out section 23 of the Arms Export Control Act as
of the end of the fiscal year immediately preceding the
current fiscal year are, if deobligated, hereby
continued available during the current fiscal year for
the same purpose under any authority applicable to such
appropriations under this Act: Provided, That the
authority of this subsection may not be used in fiscal
year 1999.''.
=======================================================================
=======================================================================
Note.--Availability of Funds. The Foreign Operations,
Export Financing, and Related Programs Appropriations
Act, 1999 (division A, sec. 101(d) of the Omnibus
Consolidated and Emergency Supplemental Appropriations
Act, 1999; Public Law 105-277; 112 Stat. 2681),
provided the following:
``Availability of Funds
``Sec. 511. No part of any appropriation contained in
this Act shall remain available for obligation after
the expiration of the current fiscal year unless
expressly so provided in this Act: Provided, That funds
appropriated for the purposes of chapters 1, 8, and 11
of part I, section 667, and chapter 4 of part II of the
Foreign Assistance Act of 1961, as amended, and funds
provided under the heading ``Assistance for Eastern
Europe and the Baltic States'', shall remain available
until expended if such funds are initially obligated
before the expiration of their respective periods of
availability contained in this Act: Provided further,
That, notwithstanding any other provision of this Act,
any funds made available for the purposes of chapter 1
of part I and chapter 4 of part II of the Foreign
Assistance Act of 1961 which are allocated or obligated
for cash disbursements in order to address balance of
payments or economic policy reform objectives, shall
remain available until expended: Provided further, That
the report required by section 653(a) of the Foreign
Assistance Act of 1961 shall designate for each
country, to the extent known at the time of submission
of such report, those funds allocated for cash
disbursement for balance of payment and economic policy
reform purposes.''.
=======================================================================
=======================================================================
Note.--Notification Requirements. The Foreign
Operations, Export Financing, and Related Programs
Appropriations Act, 1999 (division A, sec. 101(d) of
the Omnibus Consolidated and Emergency Supplemental
Appropriations Act, 1999; Public Law 105-277; 112 Stat.
2681), provided the following:
``notification requirements
``Sec. 515. (a) For the purposes of providing the
executive branch with the necessary administrative
flexibility, none of the funds made available under
this Act for `Child Survival and Disease Programs
Fund', `Development assistance', `International
Organizations and Programs', `Trade and Development
Agency', `International narcotics control and law
enforcement', `Assistance for Eastern Europe and the
Baltic States', `Assistance for the New Independent
States of the Former Soviet Union', `Economic Support
Fund', `Peacekeeping operations', `Operating expenses
of the Agency for International Development',
`Operating expenses of the Agency for International
Development Office of Inspector General',
`Nonproliferation, anti-terrorism, demining and related
programs', `Foreign Military Financing Program',
`International military education and training ',
`Peace Corps', `Migration and refugee assistance',
shall be available for obligation for activities,
programs, projects, type of materiel assistance,
countries, or other operations not justified or in
excess of the amount justified to the Appropriations
Committees for obligation under any of these specific
headings unless the Appropriations Committees of both
Houses of Congress are previously notified 15 days in
advance: Provided, That the President shall not enter
into any commitment of funds appropriated for the
purposes of section 23 of the Arms Export Control Act
for the provision of major defense equipment, other
than conventional ammunition, or other major defense
items defined to be aircraft, ships, missiles, or
combat vehicles, not previously justified to Congress
or 20 percent in excess of the quantities justified to
Congress unless the Committees on Appropriations are
notified 15 days in advance of such commitment:
Provided further, That this section shall not apply to
any reprogramming for an activity, program, or project
under chapter 1 of part I of the Foreign Assistance Act
of 1961 of less than 10 percent of the amount
previously justified to the Congress for obligation for
such activity, program, or project for the current
fiscal year: Provided further, That the requirements of
this section or any similar provision of this Act or
any other Act, including any prior Act requiring
notification in accordance with the regular
notification procedures of the Committees on
Appropriations, may be waived if failure to do so would
pose a substantial risk to human health or welfare:
Provided further, That in case of any such waiver,
notification to the Congress, or the appropriate
congressional committees, shall be provided as early as
practicable, but in no event later than three days
after taking the action to which such notification
requirement was applicable, in the context of the
circumstances necessitating such waiver: Provided
further, That any notification provided pursuant to
such a waiver shall contain an explanation of the
emergency circumstances.
``(b) Drawdowns made pursuant to section 506(a)(2) of
the Foreign Assistance Act of 1961 shall be subject to
the regular notification procedures of the Committees
on Appropriations.''.
=======================================================================
=======================================================================
Note.--The Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1999 (division A,
sec. 101(d) of the Omnibus Consolidated and Emergency
Supplemental Appropriations Act, 1999; Public Law 105-
277; 112 Stat. 2681), provided the following:
``equitable allocation of funds
``Sec. 558. Not more than 17 percent of the funds
appropriated by this Act to carry out the provisions of
sections 103 through 106 and chapter 4 of part II of
the Foreign Assistance Act of 1961, that are made
available for Latin America and the Caribbean region
may be made available, through bilateral and Latin
America and the Caribbean regional programs, to provide
assistance for any country in such region.''.
=======================================================================
Sec. 103.\8\ Agriculture, Rural Development, and
Nutrition.--(a)(1) In recognition of the fact that the great
majority of the people of developing countries live in rural
areas and are dependent on agriculture and agricultural-related
pursuits for their livelihood, the President is authorized to
furnish assistance, on such terms and conditions as he may
determine, for agriculture, rural development, and nutrition--
---------------------------------------------------------------------------
\8\ 22 U.S.C. 2151a. Sec. 103, as added by sec. 2(3) of the FA Act
of 1973 (87 Stat. 715), was amended and restated by sec. 103(a) of the
International Development and Food Assistance Act of 1978 (92 Stat.
943). Previous amendments to sec. 103 were made by sec. 2 of Public Law
93-559 (88 Stat. 1795), sec. 302 of Public Law 94-161 (89 Stat. 856),
and by sec. 102 of Public Law 95-88 (91 Stat. 534).
---------------------------------------------------------------------------
(A) to alleviate starvation, hunger, and
malnutrition;
(B) to expand significantly the provision of basic
services to rural poor people to enhance their capacity
for self-help; and
(C) to help create productive farm and off-farm
employment in rural areas to provide a more viable
economic base and enhance opportunities for improved
incomes, living standards, and contributions by rural
poor people to the economic and social development of
their countries.
(2) There are authorized to be appropriated to the
President for purposes of this section, in addition to funds
otherwise available for such purposes, $760,000,000 for the
fiscal year 1986 and $760,000,000 for the fiscal year 1987.\9\
Of these amounts, the President may use such amounts as he
deems appropriate to carry out the provisions of section 316 of
the International Security and Development Cooperation Act of
1980.\10\
---------------------------------------------------------------------------
\9\ The authorization figures for fiscal years 1986 and 1987 were
added by sec. 302 of the International Security and Development
Cooperation Act of 1985 (Public Law 99-83; 99 Stat. 190).
Authorizations for recent years included: fiscal year 1975--
$500,000,000; fiscal year 1976--$618,000,000; fiscal year 1977--
$745,000,000; fiscal year 1978--$580,000,000; fiscal year 1979--
$665,231,000; fiscal year 1980--$659,000,000; fiscal year 1981--
$713,500,000; fiscal year 1982--$700,000,000; fiscal year 1983--
$700,000,000; fiscal year 1984--$725,213,000; fiscal year 1985--no
authorization; fiscal years 1988 through 1999--no authorization.
\10\ Sec. 316 of the International Security and Development
Cooperation Act of 1980 concerns world hunger and instructs the
Director of IDCA to encourage the ongoing work of PVOs to deal with
world hunger problems abroad.
---------------------------------------------------------------------------
(3) \11\ Of the amounts authorized to be appropriated in
paragraph; (2) for the fiscal year 1987, not less than
$2,000,000 shall be available only for the purpose of
controlling and eradicating amblyomman variegatum (heartwater)
in bovine animals in the Caribbean.
---------------------------------------------------------------------------
\11\ Paragraph 3 was added by sec. 1304 of Public Law 99-399 (100
Stat. 898).
---------------------------------------------------------------------------
(b)(1) Assistance provided under this section shall be used
primarily for activities which are specifically designed to
increase the productivity and income of the rural poor, through
such means as creation and strengthening of local institutions
linked to the regional and national levels; organization of a
system of financial institutions which provide both savings and
credit services to the poor; stimulation of small, labor-
intensive enterprises in rural towns; improvement of marketing
facilities and systems; expansion of rural infrastructure and
utilities such as farm-to-market roads, water management
systems, land improvement, energy, and storage facilities;
establishment of more equitable and more secure land tenure
arrangements; and creation and strengthening of systems to
provide other services and supplies needed by farmers, such as
extension, research, training, fertilizer, water, forestry,
soil conservation, and improved seed, in ways which assure
access to them by small farmers.
(2) In circumstances where development of major
infrastructure is necessary to achieve the objectives set forth
in this section, assistance for that purpose should be
furnished under this chapter in association with significant
contributions from other countries working together in a
multilateral framework. Infrastructure projects so assisted
should be complemented by other measures to ensure that the
benefits of the infrastructure reach the poor.
(3) \12\ The Congress recognizes that the accelerating loss
of forests and tree cover in developing countries undermines
and offsets efforts to improve agricultural production and
nutrition and otherwise to meet the basic human needs of the
poor. Deforestation results in increased flooding, reduction in
water supply for agricultural capacity, loss of firewood and
needed wood products, and loss of valuable plants and animals.
In order to maintain and increase forest resources, the
President is authorized to provide assistance under this
section for forestry projects which are essential to fulfill
the fundamental purposes of this section. Emphasis shall be
given to community woodlots, agroforestry, reforestation,
protection of watershed forests, and more effective forest
management.
---------------------------------------------------------------------------
\12\ Par. (3) and subsec. (f) were added by sec. 101 of the
International Development Cooperation Act of 1979 (Public Law 96-53; 93
Stat. 359).
---------------------------------------------------------------------------
(c) The Congress finds that the greatest potential for
significantly expanding availability of food for people in
rural areas and augmenting world food production at relatively
low cost lies in increasing the productivity of small farmers
who constitute a majority of the agricultural producers in
developing countries. Increasing the emphasis on rural
development and expanded food production in the poorest nations
of the developing world is a matter of social justice and a
principal element contributing to broadly based economic
growth, as well as an important factor in alleviating inflation
in the industrialized countries. In the allocation of funds
under this section, special attention shall be given to
increasing agricultural production in countries which have been
designated as ``least developed'' by the United Nations General
Assembly.
(d) Assistance provided under this section shall also be
used in coordination with programs carried out under section
104 to help improve nutrition of the people of developing
countries through encouragement of increased production of
crops with greater nutritional value; improvement of planning,
research, and education with respect to nutrition, particularly
with reference to improvement and expanded use of indigenously
produced foodstuffs; and the undertaking of pilot or
demonstration programs explicitly addressing the problem of
malnutrition of poor and vulnerable people. In particular, the
President is encouraged--
(1) to devise and carry out in partnership with
developing countries a strategy for programs of
nutrition and health improvement for mothers and
children, including breast feeding; and
(2) to provide technical, financial, and material
support to individuals or groups at the local level for
such programs.
(e) Local currency proceeds from sales of commodities
provided under the Agricultural Trade Development and
Assistance Act of 1954 which are owned by foreign governments
shall be used whenever practicable to carry out the provisions
of this section.
(f) \12\ The Congress finds that the efforts of developing
countries to enhance their national food security deserves
encouragement as a matter of United States development
assistance policy. Measures complementary to assistance for
expanding food production in developing countries are needed to
help assure that food becomes increasingly available on a
regular basis to the poor in such countries. Therefore, United
States bilateral assistance under this Act and the Agricultural
Trade Development and Assistance Act of 1954, and United States
participation in multilateral institutions, shall emphasize
policies and programs which assist developing countries to
increase their national food security by improving their food
policies and management and by strengthening national food
reserves, with particular concern for the needs of the poor,
through measures encouraging domestic production, building
national food reserves, expanding available storage facilities,
reducing postharvest food losses, and improving food
distribution.
(g) \13\ (1) In order to carry out the purposes of this
section, the President may continue United States participation
in and may make contributions to the International Fund for
Agricultural Development.
---------------------------------------------------------------------------
\13\ Sec. 1001 of the International Security and Development
Cooperation Act of 1985 (Public Law 99-83; 99 Stat. 190) amended and
restated subsec. (g). Subsec. (g), in its previous form, had been added
by sec. 301(c) of the International Security and Development
Cooperation Act of 1981 (Public Law 97-113; 95 Stat. 1532). It
previously read as follows: ``In order to carry out the purposes of
this section, the President may continue to participate in and may
provide, on such terms and conditions as he may determine, up to
$180,000,000 to the International Fund for Agricultural Development.
There are authorized to be appropriated to the President for the
purposes of this subsection $180,000,000, except that not more than
$40,500,000 may be appropriated under this subsection for the fiscal
year 1982. Amounts appropriated under this subsection are authorized to
remain available until expended.''.
---------------------------------------------------------------------------
(2) Of the aggregate amount authorized to be appropriated
to carry out part I of this Act, up to $50,000,000 for fiscal
year 1986 and up to $50,000,000 for fiscal year 1987 may be
made available, by appropriation or by transfer, for United
States contributions to the second replenishment of the
International Fund for Agricultural Development.
Sec. 103A.\14\ Agricultural Research.--Agricultural
research carried out under this Act shall (1) take account of
the special needs of small farmers in the determination of
research priorities, (2) include research on the
interrelationships among technology, institutions, and
economic, social, environmental,\15\ and cultural factors
affecting small-farm agriculture, and (3) make extensive use of
field testing to adapt basic research to local conditions.
Special emphasis shall be placed on disseminating research
results to the farms on which they can be put to use, and
especially on institutional and other arrangements needed to
assure that small farmers have effective access to both new and
existing improved technology.
---------------------------------------------------------------------------
\14\ 22 U.S.C. 2151a-1. Sec. 103A was added by sec. 303 of Public
Law 94-161 (89 Stat. 849).
\15\ The word ``environmental,'' was added by sec. 103(d) of the
International Development and Food Assistance Act of 1978 (92 Stat.
945).
---------------------------------------------------------------------------
Sec. 104.\16\ Population and Health.--(a) Findings.--The
Congress recognizes that poor health conditions and
uncontrolled population growth can vitiate otherwise successful
development efforts.
---------------------------------------------------------------------------
\16\ 22 U.S.C. 2151b. Sec. 104, as added by sec. 2(3) of the FA Act
of 1973 (87 Stat. 715), was amended and restated by sec. 104(a) of the
International Development and Food Assistance Act of 1978 (92 Stat.
945). Previous amendments to sec. 104 were made by sec. 4(1) of Public
Law 93-559 (88 Stat. 1795), sec. 304 of Public Law 94-161 (89 Stat.
857), and sec. 103 of Public Law 95-88 (91 Stat. 534).
---------------------------------------------------------------------------
Large families in developing countries are the result of
complex social and economic factors which change relatively
slowly among the poor majority least affected by economic
progress, as well as the result of a lack of effective birth
control. Therefore, effective family planning depends upon
economic and social change as well as the delivery of services
and is often a matter of political and religious sensitivity.
While every country has the right to determine its own policies
with respect to population growth, voluntary population
planning programs can make a substantial contribution to
economic development, higher living standards, and improved
health and nutrition.
Good health conditions are a principal element in improved
quality of life and contribute to the individual's capacity to
participate in the development process, while poor health and
debilitating disease can limit productivity.
(b) Assistance for Population Planning.--In order to
increase the opportunities and motivation for family planning
and to reduce the rate of population growth, the President is
authorized to furnish assistance, on such terms and conditions
as he may determine, for voluntary population planning. In
addition to the provision of family planning information and
services, including also information and services which relate
to and support natural family planning methods,\17\ and the
conduct of directly relevant demographic research, population
planning programs shall emphasize motivation for small
families.
---------------------------------------------------------------------------
\17\ The words ``, including also information and services which
related to and support natural family planning methods,'' were added by
sec. 302(a) of the International Security and Development Cooperation
Act of 1980 (Public Law 96-533; 94 Stat. 3145).
---------------------------------------------------------------------------
(c) Assistance for Health and Disease Prevention.--(1) \18\
In order to contribute to improvements in the health of the
greatest number of poor people in developing countries, the
President is authorized to furnish assistance, on such terms
and conditions as he may determine, for health programs.
Assistance under this subsection shall be used primarily for
basic integrated health services, safe water and sanitation,
disease prevention and control, and related health planning and
research. The assistance shall emphasize self-sustaining
community-based health programs by means such as training of
health auxiliary and other appropriate personnel, support for
the establishment and evaluation of projects that can be
replicated on a broader scale, measures to improve management
of health programs, and other services and suppliers to support
health and disease prevention programs.
---------------------------------------------------------------------------
\18\ The paragraph designation ``(1)'' and a new par. (2) were
added by sec. 541(a) of the Foreign Assistance Appropriations Act,
1985, as contained in the Continuing Appropriations Act, 1985 (Public
Law 98-473). This amendment had been included as sec. 303 of H.R. 5119,
the International Security and Development Cooperation Act of 1984, as
passed by the House on May 10, 1984. Sec. 541(a) enacted sec. 303 of
H.R. 5119.
---------------------------------------------------------------------------
(2) \18\ (A) In carrying out the purposes of this
subsection, the President shall promote, encourage, and
undertake activities designed to deal directly with the special
health needs of children and mothers. Such activities should
utilize simple, available technologies which can significantly
reduce childhood mortality, such as improved and expanded
immunization programs, oral rehydration to combat diarrhoeal
diseases, and education programs aimed at improving nutrition
and sanitation and at promoting child spacing. In carrying out
this paragraph, guidance shall be sought from knowledgeable
health professionals from outside the agency primarily
responsible for administering this part. In addition to
government-to-government programs, activities pursuant to this
paragraph should include support for appropriate activities of
the types described in this paragraph which are carried out by
international organizations (which may include international
organizations receiving funds under chapter 3 of this part) and
by private and voluntary organizations, and should include
encouragement to other donors to support such types of
activities.
(B) \19\ In addition to amounts otherwise available for
such purpose, there are authorized to be appropriated to the
President $25,000,000 for fiscal year 1986 and $75,000,000 for
fiscal year 1987 for use in carrying out this paragraph.
Amounts appropriated under this subparagraph are authorized to
remain available until expended.
---------------------------------------------------------------------------
\19\ Sec. 304 of the International Security and Development
Cooperation Act of 1985 (Public Law 99-83; 99 Stat. 190) replaced an
authorization figure of ``$25,000,000'' with ``$25,000,000 for fiscal
year 1986 and $25,000,000 for fiscal year 1987''. Section 103(b) of
Public Law 99-529 (100 Stat. 3010) replaced the $25,000,000
authorization for fiscal year 1987 with an authorization of
$75,000,000.
---------------------------------------------------------------------------
(C) Appropriations pursuant to subparagraph (B) may be
referred to as the ``Child Survival Fund.''
(3) \20\ The Congress recognizes that the promotion of
primary health care is a major objective of the foreign
assistance program. The Congress further recognizes that
simple, relatively low-cost means already exist to reduce
incidence of communicable diseases among children, mothers, and
infants. The promotion of vaccines for immunization, and salts
for oral rehydration, therefore, is an essential feature of the
health assistance program. To this end, the Congress expects
the agency primarily responsible for administering this part to
set as a goal the protection of not less than 80 percent of all
children, in those countries in which such agency has
established development programs, from immunizable diseases by
January 1, 1991. Of the aggregate amounts made available for
fiscal year 1987 to carry out paragraph (2) of this subsection
(relating to the Child Survival Fund) and to carry out
subsection (c) (relating to development assistance for health),
$50,000,000 shall be used to carry out this paragraph.\21\
---------------------------------------------------------------------------
\20\ Par. (3) was added by sec. 305 of the International Security
and Development Cooperation Act of 1985 (Public Law 99-83; 99 Stat.
190). Sec. 305(b) of the act provides that: ``Each annual report
required by section 634 of the Foreign Assistance Act of 1961 shall
describe the progress achieved during the preceding fiscal year in
carrying out section 104(c)(3) of such Act.''.
\21\ The last sentence of paragraph (3) was added by sec. 103(a) of
Public Law 99-529 (100 Stat. 3010).
---------------------------------------------------------------------------
(d) Integration of Assistance Programs.--(1) Assistance
under this chapter shall be administered so as to give
particular attention to the interrelationship between (A)
population growth, and (B) development and overall improvement
in living standards in developing countries, and to the impact
of all programs, projects, and activities on population growth.
All appropriate activities proposed for financing under this
chapter shall be designed to build motivation for smaller
families through modification of economic and social conditions
supportive of the desire for large families, in programs such
as education in and out of school, nutrition, disease control,
maternal and child health services, improvements in the status
and employment of women, agricultural production, rural
development, and assistance to the urban poor, and through
community-based development programs which give recognition to
people motivated to limit the size of their families.\22\
Population planning programs shall be coordinated with other
programs aimed at reducing the infant mortality rate, providing
better nutrition for pregnant women and infants, and raising
the standard of living of the poor.
---------------------------------------------------------------------------
\22\ The reference to community-based development programs was
added by sec. 102(b) of the International Development Cooperation Act
of 1979 (Public Law 96-53; 93 Stat. 360).
---------------------------------------------------------------------------
(2) Since the problems of malnutrition, disease, and rapid
population growth are closely related, planning for assistance
to be provided under subsections (b) and (c) of this section
and under section 103 shall be coordinated to the maximum
extent practicable.
(3) Assistance provided under this section shall emphasize
low-cost integrated delivery systems for health, nutrition, and
family planning for the poorest people, with particular
attention to the needs of mothers and young children, using
paramedical and auxiliary medical personnel, clinics and health
posts, commercial distribution systems, and other modes of
community outreach.
(e) Research and Analysis.--(1) Health and population
research and analysis carried out under this Act shall--
(A) be undertaken to the maximum extent practicable
in developing countries by developing country
personnel, linked as appropriate with private and
governmental biomedical research facilities within the
United States;
(B) take account of the special needs of the poor
people of developing countries in the determination of
research priorities; and
(C) make extensive use of field testing to adapt
basic research to local conditions.
(2) The President is authorized to study the complex
factors affecting population growth in developing countries and
to identify factors which might motivate people to plan family
size or to space their children.
(f) \23\ Prohibition on Use of Funds for Abortions and
Involuntary Sterilizations.--(1) None of the funds made
available to carry out this part may be used to pay for the
performance of abortions as a method of family planning or to
motivate \24\ or coerce any person to practice abortions.
---------------------------------------------------------------------------
\23\ Sec. 518 of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1999 (division A, sec. 101(d) of
Public Law 105-277; 112 Stat. 2681), made a similar prohibition.
Par. (3) of subsec. (f) was added by sec. 302(b) of the
International Security and Development Cooperation Act of 1981 (Public
Law 97-113; 95 Stat. 1532).
\24\ Title II of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1999 (division A, sec. 101(d) of
Public Law 105-277; 112 Stat. 2681), under ``Development Assistance'',
provided the following:
``That for purposes of this or any other Act authorizing or
appropriating funds for foreign operations, export financing, and
related programs, the term `motivate', as it relates to family planning
assistance, shall not be construed to prohibit the provision,
consistent with local law, of information or counseling about all
pregnancy options''.
---------------------------------------------------------------------------
(2) None of the funds made available to carry out this part
may be used to pay for the performance of involuntary
sterilizations as a method of family planning or to coerce or
provide any financial incentive to any person to undergo
sterilizations.
(3) None of the funds made available to carry out this part
may be used to pay for any biomedical research which relates,
in whole or in part, to methods of, or the performance of,
abortions or involuntary sterilization as a means of family
planning.
(g) Authorizations of Appropriations.--(1) There are
authorized to be appropriated to the President, in addition to
funds otherwise available for such purposes--
(A) $290,000,000 for fiscal year 1986 and
$290,000,000 for fiscal year 1987 to carry out
subsection (b) of this section; and
(B) $205,000,000 for fiscal year 1986 and
$180,000,000 for fiscal year 1987 to carry out
subsection (c) of this section.
(2) Funds appropriated under this subsection are authorized
to remain available until expended.\25\
---------------------------------------------------------------------------
\25\ The authorization figures for fiscal years 1986 and 1987 to
carry out subsecs. (b) and (c) were added by sec. 303 of the
International Security and Development Cooperation Act of 1985 (Public
Law 99-83; 99 Stat. 190). Subsequently, sec. 404 of Public Law 99-529
(100 Stat. 3341) replaced the $205,000,000 authorization for subsec.
(c) with an authorization of $180,000,000. Authorizations under subsec.
(b) in recent years include: fiscal year 1978--$167,000,000; fiscal
year 1979--$224,745,000; fiscal year 1980--$201,000,000; fiscal year
1981--$238,000,000; fiscal year 1982--$211,000,000; fiscal year 1983--
$211,000,000; fiscal year 1984--$244,600,000; fiscal year 1985--no
authorization; fiscal years 1988 through 1999--no authorization.
Authorizations under subsec. (c) in recent years include: fiscal
year 1978--$107,700,000; fiscal year 1979--$148,494,000; fiscal year
1980--$141,000,000; fiscal year 1981--$145,300,000; fiscal year 1982--
$133,405,000; fiscal year 1983--$133,405,000 (of the 1982 and 1983
subsec. (c) authorizations, not less than 16 percent or $38,000,000
whichever amount is less was made available for United Nations Fund for
Population Activities); fiscal year 1984--$133,404,000; fiscal year
1985--no authorization; fiscal years 1988 through 1999--no
authorization.
Congress did not enact an authorization for fiscal year 1999.
Instead, the Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1999 (division A, sec. 101(d) of Public Law 105-
277; 112 Stat. 2681), waived the requirement for authorization, and
title II of that Act provided the following:
---------------------------------------------------------------------------
``development assistance
``(including transfer of funds)
---------------------------------------------------------------------------
``* * * Provided further, That none of the funds made available in
this Act nor any unobligated balances from prior appropriations may be
made available to any organization or program which, as determined by
the President of the United States, supports or participates in the
management of a program of coercive abortion or involuntary
sterilization: Provided further, That none of the funds made available
under this heading may be used to pay for the performance of abortion
as a method of family planning or to motivate or coerce any person to
practice abortions; and that in order to reduce reliance on abortion in
developing nations, funds shall be available only to voluntary family
planning projects which offer, either directly or through referral to,
or information about access to, a broad range of family planning
methods and services, and that any such voluntary family planning
project shall meet the following requirements: (1) service providers or
referral agents in the project shall not implement or be subject to
quotas, or other numerical targets, of total number of births, number
of family planning acceptors, or acceptors of a particular method of
family planning (this provision shall not be construed to include the
use of quantitative estimates or indicators for budgeting and planning
purposes), (2) the project shall not include payment of incentives,
bribes, gratuities, or financial reward to (A) an individual in
exchange for becoming a family planning acceptor, or (B) program
personnel for achieving a numerical target or quota of total number of
births, number of family planning acceptors, or acceptors of a
particular method of family planning, (3) the project shall not deny
any right or benefit, including the right of access to participate in
any program of general welfare or the right of access to health care,
as a consequence of any individual's decision not to accept family
planning services, (4) the project shall provide family planning
acceptors comprehensible information on the health benefits and risks
of the method chosen, including those conditions that might render the
use of the method inadvisable and those adverse side effects known to
be consequent to the use of the method, (5) the project shall ensure
that experimental contraceptive drugs and devices and medical
procedures are provided only in the context of a scientific study in
which participants are advised of potential risks and benefits; and,
not less than 60 days after the date on which the Administrator of the
United States Agency for International Development determines that
there has been a violation of the requirements contained in paragraph
(1), (2), (3), or (5) of this proviso, or a pattern or practice of
violations of the requirements contained in paragraph (4) of this
proviso, the Administrator shall submit to the Committee on
International Relations and the Committee on Appropriations of the
House of Representatives and to the Committee on Foreign Relations and
the Committee on Appropriations of the Senate, a report containing a
description of such violation and the corrective action taken by the
Agency: Provided further, That in awarding grants for natural family
planning under section 104 of the Foreign Assistance Act of 1961 no
applicant shall be discriminated against because of such applicant's
religious or conscientious commitment to offer only natural family
planning; and, additionally, all such applicants shall comply with the
requirements of the previous proviso: Provided further, That for
purposes of this or any other Act authorizing or appropriating funds
for foreign operations, export financing, and related programs, the
term `motivate', as it relates to family planning assistance, shall not
be construed to prohibit the provision, consistent with local law, of
information or counseling about all pregnancy options: Provided
further, That nothing in this paragraph shall be construed to alter any
existing statutory prohibitions against abortion under section 104 of
the Foreign Assistance Act of 1961: * * *''.
See also sec. 518 of that Act, relating to the prohibition on
funding for abortions and involuntary sterilization, sec. 522, relating
to child survival, AIDS, and other activities, and sec. 580, relating
to authorization for population planning.
---------------------------------------------------------------------------
Sec. 105.\26\ Education and Human Resources Development.--
(a) \27\ In order to reduce illiteracy, to extend basic
education, and to increase manpower training in skills related
to development, the President is authorized to furnish
assistance on such terms and conditions as he may determine,
for education, public administration, and human resource
development. There are authorized to be appropriated to the
President for the purposes of this section, in addition to
funds otherwise available for such purposes, $180,000,000 for
fiscal year 1986 and $180,000,000 for fiscal year 1987, which
are authorized to remain available until expended.\28\
---------------------------------------------------------------------------
\26\ 22 U.S.C. 2151c. Sec. 105 was added by sec. 2(3) of the FA Act
of 1973.
\27\ Sec. 305 of Public Law 94-161 (89 Stat. 849) added subsection
designation ``(a)'' and new subsecs. (b) and (c).
\28\ The authorization figures for fiscal years 1986 and 1987 were
added by sec. 306 of the International Security and Development
Cooperation Act of 1985 (Public Law 99-83; 99 Stat. 190).
Authorizations for recent years include fiscal year 1975--$92,000,000;
fiscal year 1976--$89,200,000; fiscal year 1977--$101,800,000; fiscal
year 1978--$84,900,000; fiscal year 1979--$126,244,000; fiscal year
1980--$105,000,000; fiscal year 1981--$101,000,000; fiscal year 1982--
$103,600,000; fiscal year 1983--$103,600,000; fiscal year 1984--
$121,477,000; fiscal year 1985--no authorization; fiscal years 1988
through 1999--no authorization.
---------------------------------------------------------------------------
(b) \27\, \29\ Assistance provided under this
section shall be used primarily to expand and strengthen
nonformal education methods, especially those designed to
improve productive skills of rural families and the urban poor
and to provide them with useful information; to increase the
relevance of formal education systems to the needs of the poor,
especially at the primary level, through reform of curricula,
teaching materials, and teaching methods, and improved teacher
training; and to strengthen the management capabilities of
institutions which enable the poor to participate in
development. Assistance under this section shall also be
provided for advanced education and training of people of
developing countries in such disciplines as are required for
planning and implementation of public and private development
activities.\30\
---------------------------------------------------------------------------
\29\ Sec. 562 of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1991 (Public Law 101-513; 104
Stat. 2026), added a new chapter 10 to part I of this Act, providing
for long-term development in sub-Saharan Africa, and made conforming
amendments by striking out paragraph designation ``(1)'' and by
striking out paragraph (2). Paragraph (2), previously added by sec. 201
of Public Law 99-440 (100 Stat. 1094), formerly read as follows:
``(2)(A)(i) Of the amounts authorized to be appropriated to carry
out this section for the fiscal years 1987, 1988, and 1989, not less
than $4,000,000 shall be used in each such fiscal year to finance
education, training, and scholarships for the victims of apartheid,
including teachers and other educational professionals, who are
attending universities and colleges in South Africa. Amounts available
to carry out this subparagraph shall be provided in accordance with the
provisions of section 802(c) of the International Security and
Development Cooperation Act of 1985.
``(ii) Funds made available for each such fiscal year for purposes
of chapter 4 of part II of this Act may be used to finance such
education, training, and scholarships in lieu of an equal amount made
available under this subparagraph.
``(B)(i) In addition to amounts used for purposes of subparagraph
(A), the agency primarily responsible for administering this part, in
collaboration with other appropriate departments or agencies of the
United States, shall use assistance provided under this section or
chapter 4 of part II of this Act to finance scholarships for students
pursuing secondary school education in South Africa. The selection of
scholarship recipients shall be by a nationwide panel or by regional
panels appointed by the United States chief of diplomatic mission to
South Africa.
``(ii) Of the amounts authorized to be appropriated to carry out
this section and chapter 4 of part II of this Act for the fiscal years
1987, 1988, and 1989, up to an aggregate of $1,000,000 may be used in
each such fiscal year for purposes of this subparagraph.
``(C)(i) In addition to the assistance authorized in subparagraph
(A), the agency primarily responsible for administering this part shall
provide assistance for in-service teacher training programs in South
Africa through such nongovernmental organizations as TOPS or teachers'
unions.
``(ii) Of the amounts authorized to be appropriated to carry out
this section and chapter 4 of part II of this Act, up to an aggregate
of $500,000 for the fiscal year 1987 and up to an aggregate of
$1,000,000 for the fiscal year 1988 may be used for purposes of this
subparagraph, subject to standard procedures for project review and
approval.''.
\30\ This sentence was added by sec. 103(b) of the International
Development Cooperation Act of 1979 (Public Law 96-53; 93 Stat. 360).
---------------------------------------------------------------------------
(c) \29\, \31\ * * * [Repealed--1979]
---------------------------------------------------------------------------
\31\ Subsec. (c), which authorized funds during fiscal year 1977
and fiscal year 1978 for the southern African student program and the
southern African training program, was repealed by sec. 122 of the
International Development Cooperation Act of 1979 (Public Law 96-53; 93
Stat. 366).
---------------------------------------------------------------------------
Sec. 106.\32\ Energy, Private Voluntary Organizations, and
Selected Development Activities.--(a)(1)(A) \33\ The Congress
finds that energy development and production are vital elements
in the development process, that energy shortages in developing
countries severely limit the development process in such
countries, that two-thirds of the developing countries which
import oil depend on it for at least 90 percent of the energy
which their economies require, and that the dramatic increase
in world oil prices since 1973 has resulted in considerable
economic hardship for many developing countries. The Congress
is concerned that the value and purpose of much of the
assistance provided to developing countries under sections 103,
104, and 105 are undermined by the inability of many developing
countries to satisfy their energy requirements. Unless the
energy deficit of the developing countries can be narrowed by
more fully exploiting indigenous sources of energy such as oil,
natural gas, and coal, scarce foreign exchange will
increasingly have to be diverted to oil imports, primarily to
the detriment of long-term development and economic growth.
---------------------------------------------------------------------------
\32\ 22 U.S.C. 2151d. Sec. 106, as added by Public Law 94-161 (89
Stat. 849), was amended by sec. 104 of the International Development
Cooperation Act of 1979 (Public Law 96-53; 93 Stat. 360) by
redesignating subsecs. (a) and (b) as (c) and (d) and by adding new
subsecs. (a) and (b). Sec. 304(a) of the International Security and
Development Cooperation Act of 1980 (Public Law 96-533; 94 Stat. 3146)
substituted the current section heading in lieu of ``Technical
Assistance, Energy, Research, Reconstruction, and Selected Development
Activities''. A prior version of sec. 106 (added in 1973 by Public Law
93-189) had also been repealed by Public Law 94-161.
See also the Energy Policy Act of 1992 (Public Law 102-486; 106
Stat. 2776), particularly title XII, as it relates to the export of
renewable energy technologies, and title XIII, as it relates to the
export of clean coal technology. See Legislation on Foreign Relations
Through 1998, vol. IV, sec. L.
\33\ Sec. 304(b) of the International Security and Development
Cooperation Act of 1980 (Public Law 96-533; 94 Stat. 3146) redesignated
pars. (1), (2), (3), and (4) of subsec. (a) as subpars. (A), (B), (C),
and (D), respectively; redesignated subpars. (A), (B), and (C) of
former par. (3) as clauses (i), (ii), and (iii), respectively; and
added a new par. (2).
---------------------------------------------------------------------------
(B) \33\ The Congress recognizes that many developing
countries lack access to the financial resources and technology
necessary to locate, explore, and develop indigenous energy
resources.
(C) \33\ The Congress declares that there is potential for
at least a moderate increase by 1990 in the production of
energy for commercial use in the developing countries which are
not members of the Organization of Petroleum Exporting
Countries. In addition, there is a compelling need for vigorous
efforts to improve the available data on the location, scale,
and commercial exploitability of potential oil, natural gas,
and coal reserves in developing countries, especially those
which are not members of the Organization of Petroleum
Exporting Countries. The Congress further declares that there
are many benefits to be gained by the developing countries and
by the United States and other developed countries through
expanded efforts to expedite the location, exploration, and
development of potential sources of energy in developing
countries. These benefits include, but are not limited to, the
following:
(i) \33\ The world's energy supply would be increased
and the fear of abrupt depletion would be lessened with
new energy production. This could have a positive
impact upon energy prices in international markets as
well as a positive effect upon the balance of payments
problems of many developing countries.
(ii) \33\ Diversification of the world's supplies of
energy from fossil fuels would make all countries,
developing and developed, less susceptible to supply
interruptions and arbitrary production and pricing
policies.
(iii) \33\ Even a moderate increase in energy
production in the developing countries would improve
their ability to expand commercial trade, foreign
investment, and technology transfer possibilities with
the United States and other developed countries.
(D) \33\ Assistance for the production of energy from
indigenous resources, as authorized by subsection (b) of this
section, would be of direct benefit to the poor in developing
countries because of the overwhelming impact of imported energy
costs upon the lives of the poor and their ability to
participate in development.
(2) \33\ The Congress also finds that energy production
from renewable, decentralized sources and energy conservation
are vital elements in the development process. Inadequate
access by the poor to energy sources as well as the prospect of
depleted fossil fuel reserves and higher energy prices require
an enhanced effort to expand the energy resources of developing
countries through greater emphasis on renewable sources.
Renewable and decentralized energy technologies have particular
applicability for the poor, especially in rural areas.
(b) \32\ (1) \34\ In order to help developing countries
alleviate their energy problems by improving their ability to
use indigenous energy resources to produce the energy needed by
their economies, the President is authorized to furnish
assistance, on such terms and conditions as he may determine,
to enable such countries to prepare for and undertake
development of their energy resources. Such assistance may
include data collection and analysis, the training of skilled
personnel, research on and development of suitable energy
sources, and pilot projects to test new methods of energy
production.
---------------------------------------------------------------------------
\34\ Sec. 304(c) of the International Security and Development
Cooperation Act of 1980 (Public Law 96-533; 94 Stat. 3146) redesignated
pars. (1) and (2) of subsec. (b) as subpars. (A) and (B), respectively,
and added a new par. (2). Subsequently, designation of subpar. (A) was
struck out and subpar. (B) was repealed by sec. 1211(a)(2) of the
International Security and Development Cooperation Act of 1985 (Public
Law 99-83; 99 Stat. 279). Subpar. (B) previously read as follows: ``Of
the funds made available to carry out this section, up to $7,000,000
for the fiscal year 1981 shall be used for purposes of paragraph (A) to
facilitate geological and geophysical survey work to locate potential
oil, natural gas, and coal reserves and to encourage exploration for
potential oil, natural gas, and coal reserves in developing countries
which are not members of the Organization of Petroleum Exporting
Countries''.
---------------------------------------------------------------------------
(2) \34\ The President is authorized to furnish assistance
under this chapter for cooperative programs with developing
countries in energy production and conservation through
research on and development and use of small-scale,
decentralized, renewable energy sources for rural areas carried
out as integral parts of rural development efforts in
accordance with section 103 of this Act. Such programs shall
also be directed toward the earliest practicable development
and use of energy technologies which are environmentally
acceptable, require minimum capital investment, are most
acceptable to and affordable by the people using them, are
simple and inexpensive to use and maintain, and are
transferable from one region of the world to another. Such
programs may include research on and the development,
demonstration, and application of suitable energy technologies
(including use of wood); analysis of energy uses, needs, and
resources; training and institutional development; and
scientific interchange.
(c) \35\ The agency primarily responsible for administering
this part and the Department of Energy shall coordinate with
one another, to the maximum extent possible, the planning and
implementation of energy programs under this chapter.
---------------------------------------------------------------------------
\35\ Sec. 304 of the International Security and Development
Cooperation Act of 1980 (Public Law 96-533; 94 Stat. 3146) redesignated
subsec. (c) as subsec. (d), amended former subsec. (d) and redesignated
it as subsec. (e), and added a new subsec. (c).
---------------------------------------------------------------------------
(d) \35\ The President is authorized to furnish assistance,
on such terms and conditions as he may determine, for the
following activities, to the extent that such activities are
not authorized by sections 103, 104, and 105 of this Act:
(1) programs of technical cooperation and
development, particularly the development efforts of
United States private and voluntary agencies and
regional and international development organizations;
(2) \36\ programs of research into, and evaluation
of, the process of economic development in less
developed countries and areas, into the factors
affecting the relative success and costs of development
activities, and into the means, techniques, and such
other aspects of development assistance as the
President may determine in order to render such
assistance of increasing value and benefit;
---------------------------------------------------------------------------
\36\ Sec. 104(b)(1) of the International Development Cooperation
Act of 1979 (Public Law 96-53; 93 Stat. 360) struck out par. (2), which
concerned various programs designed to alleviate energy problems
experienced by developing countries, and redesignated pars. (3) through
(6) as pars. (2) through (5), respectively.
---------------------------------------------------------------------------
(3) \36\ programs of reconstruction following natural
or manmade disasters and programs of disaster
preparedness,\37\ including the prediction of and
contingency planning for natural disasters abroad;
---------------------------------------------------------------------------
\37\ The reference to the program of disaster preparedness was
added by sec. 304(a) of the International Security and Development
Cooperation Act of 1981 (Public Law 97-113; 95 Stat. 1533).
---------------------------------------------------------------------------
(4) \36\ programs designed to help solve special
development problems in the poorest countries and to
make possible proper utilization of infrastructure and
related projects funded with earlier United States
assistance; and
(5) \36\ programs of urban development, with
particular emphasis on small, labor intensive
enterprises, marketing systems for small producers, and
financial and other institutions which enable the urban
poor to participate in the economic and social
development of their country.
(e) \35\ (1) There are authorized to be appropriated to the
President for purposes of this section, in addition to funds
otherwise available for such purposes, $207,000,000 for fiscal
year 1986 and $207,000,000 for fiscal year 1987.\38\
---------------------------------------------------------------------------
\38\ The authorization figures for fiscal years 1986 and 1987 were
added by sec. 309(b) of the International Security and Development Act
of 1985 (Public Law 99-83; 99 Stat. 190). Authorizations for recent
years included the following: fiscal year 1976--$99,550,000; fiscal
year 1977--$104,500,000; fiscal year 1978--$105,000,000; fiscal year
1979--$126,244,000; fiscal year 1980--$125,000,000; fiscal year 1981--
$140,000,000; fiscal year 1982--$147,200,000; fiscal year 1983--
$147,200,000; fiscal year 1984--$160,000,000; fiscal year 1985--no
authorization; fiscal years 1988 through 1999--no authorization.
Sec. 105 of Public Law 96-53 struck out language in subsec. (e)
which provided $30,000,000 during the period July 1, 1975, to Sept. 3,
1977, for reimbursement to private voluntary agencies of the United
States for costs incurred with respect to the shipment of food and
nonfood commodities provided through private donations.
---------------------------------------------------------------------------
(2) Amounts appropriated under this section are authorized
to remain available until expended.
(f) \39\ Of the amounts authorized to be appropriated to
carry out this chapter $5,000,000 for fiscal year 1986 and
$5,000,000 for fiscal year 1987 shall be used to finance
cooperative projects among the United States, Israel, and
developing countries.
---------------------------------------------------------------------------
\39\ Subsec. (f) was added by sec. 307(b) of the International
Security and Development Cooperation Act of 1985 (Public Law 99-83; 99
Stat. 190).
---------------------------------------------------------------------------
Sec. 107.\40\ Appropriate Technology.--(a) In carrying out
activities under this chapter, the President shall place
special emphasis on the use of relatively smaller, cost-saving,
labor-using technologies that are generally most appropriate
for the small farms, small businesses, and small incomes of the
poor.
---------------------------------------------------------------------------
\40\ 22 U.S.C. 2151e. Sec. 107, as added by sec. 306 of Public Law
94-161, was amended and restated by sec. 107 of the International
Development and Food Assistance Act of 1978 (Public Law 95-424; 92
Stat. 947).
---------------------------------------------------------------------------
(b) Funds made available to carry out this chapter should
be used to the extent practicable for activities in the field
of appropriate technology, including support of an expanded and
coordinated private effort to promote the development and
dissemination of appropriate technology in developing
countries.
Sec. 108.\41\ Application of Existing Provision.--* * *
[Repealed--1978]
---------------------------------------------------------------------------
\41\ Sec. 108, as added by the FA Act of 1973, was repealed by sec.
102(g)(2)(K)(i) of the International Development and Food Assistance
Act of 1978 (92 Stat. 943).
---------------------------------------------------------------------------
Sec. 108.\42\ Private Sector Revolving Fund.--(a) \43\ The
Congress finds that the development of private enterprise,
including cooperatives, is a vital factor in the stable growth
of developing countries and in the development and stability of
a free, open, and equitable international economic system. It
is therefore in the best interests of the United States to
assist the development of the private sector in developing
countries and to engage the United States private sector in
that process. In order to promote such private sector
development, the President is authorized to establish a
revolving fund account in the United States Treasury. All funds
deposited in such account shall, notwithstanding any provision
in an appropriation Act to the contrary, be free from fiscal
year limitations.
---------------------------------------------------------------------------
\42\ 22 U.S.C. 2151f.
\43\ Sec. 108(a)-(h) was added by the International Security and
Development Assistance Authorizations Act of 1983 (sec. 101(b)(2) of
the Further Continuing Appropriations, 1984; Public Law 98-151; 97
Stat. 972). Sec. 101(b)(2) of Public Law 98-151 stipulated that sec.
108 would be enacted as contained in sec. 407 of H.R. 2992, as reported
by the House Committee on Foreign Affairs on May 17, 1983.
---------------------------------------------------------------------------
(b) \43\ Of the funds made available under this chapter in
each of the fiscal years 1986 and 1987, up to $18,000,000 may
be deposited in this account. Such funds used in accordance
with the policies and authorities of this section shall be in
addition to other funds available for private sector activities
under other authorities in this Act. Any reflows and income
arising from activities carried out pursuant to this section,
including loan repayments and fee income (as provided in
subsection (e) of this section), shall be deposited into the
revolving fund and remain available to carry out the purposes
of this section. All funds in such account may be invested in
obligations of the United States.
(c) \43\ (1) The agency primarily responsible for
administering this part is authorized to use the funds
maintained in this revolving fund account to furnish assistance
in furtherance of the policy of subsection (a) on such terms
and conditions as it may determine. Amounts in the revolving
fund account shall be available for obligation for assistance
under this section only to such extent as may be provided in
advance in appropriation Acts. Assistance may be provided under
this section without regard to sections 604(a) and 620(r) of
this Act.\44\
---------------------------------------------------------------------------
\44\ Congress did not enact an authorization for fiscal year 1999.
Instead, the Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1999 (division A, sec. 101(d) of Public Law 105-
277; 112 Stat. 2681), waived the requirement for authorization, and
title II of that Act provided the following:
---------------------------------------------------------------------------
``micro and small enterprise development program account
---------------------------------------------------------------------------
``For the cost of direct loans and loan guarantees, $1,500,000, as
authorized by section 108 of the Foreign Assistance Act of 1961, as
amended: Provided, That such costs shall be as defined in section 502
of the Congressional Budget Act of 1974: Provided further, That
guarantees of loans made under this heading in support of
microenterprise activities may guarantee up to 70 percent of the
principal amount of any such loans notwithstanding section 108 of the
Foreign Assistance Act of 1961. In addition, for administrative
expenses to carry out programs under this heading, $500,000, all of
which may be transferred to and merged with the appropriation for
Operating Expenses of the Agency for International Development:
Provided further, That funds made available under this heading shall
remain available until September 30, 2000.''.
---------------------------------------------------------------------------
(2) Assistance under this section may be provided only to
support private sector activities which--
(A) are consistent with the United States development
assistance policies set forth in section 102 of this
Act and with the development priorities of the host
country;
(B) are the types of activities for which assistance
may be provided under sections 103 through 106 of this
Act;
(C) will have a demonstration effect;
(D) will be innovative;
(E) are financially viable;
(F) will maximize the development impact appropriate
to the host country, particularly in employment and the
use of appropriate technology; and
(G) are primarily directed to making available to
small business enterprises and cooperatives necessary
support and services which are not otherwise generally
available.
In determining whether an enterprise is a small business
enterprise, the agency primarily responsible for administering
this part shall take into consideration the enterprise's total
net fixed assets and number of employees, together with the
relevant definition utilized by the host country government and
the International Bank for Reconstruction and Development and
other international organizations.
(3)(A) Not more than $3,000,000 may be made available under
this section to support any one project.
(B) Not more than 50 per centum of the financial support
for any project may be provided under this section, and a
substantial portion of the financial support for a project
assisted under this section must be provided by sources within
the host country.
(C) Not more than 20 per centum of the assets of the
revolving fund account under this section may be used to
support projects in any one country.
(D) In order to maximize the impact on institution
building, loans under this section shall be made primarily to
intermediary entities which provide necessary support and
services for private sector activities.
(E) Loans under this section shall be at or near the
interest rate otherwise available to the recipient.
(d) \43\ (1) If at any time the assets of the revolving
fund account exceeds $100,000,000, the President shall remit
the amount in excess of $100,000,000 to the United States
Treasury.
(2) As used in this section, ``assets'' includes amounts in
the revolving fund account plus the value of investments made
with amounts from the fund plus the current value of
outstanding obligations under loans under this section.
(3) In addition to the requirement of paragraph (1), at the
end of any fiscal year, the agency primarily responsible for
administering this part may determine that amounts in the
revolving fund are sufficient to permit the remittance to the
United States Treasury of an amount equal to a portion or the
total amount of appropriated funds deposited in the revolving
fund. Any such remittance shall be deemed to be a decrease in
the appropriated funds in the revolving fund. After remittance
has been made of an amount equal to the total amount of
appropriated funds, the revolving fund shall consist and be
deemed to consist entirely of nonappropriated funds.
(e) \43\ A fee may be charged, where appropriate, in
carrying out activities with funds from the revolving fund
authorized in this section. The amount of any such fee shall be
determined by the agency primarily responsible for
administering this part.
(f) \43\ In the event the revolving fund is terminated, all
unobligated money in the fund at the time of such termination
shall be transferred to and become part of the miscellaneous
receipts account of the Treasury.
(g) \43\ As part of its annual congressional presentation
documents submitted to the Congress, the agency primarily
responsible for administering this part shall include a
description of projects proposed to be funded from the
revolving fund account for that fiscal year. To the extent that
projects are proposed for funding which are not contained in
the annual congressional presentation documents, at least
fifteen days' advance notification shall be provided to the
Congress in accordance with section 634A of this Act.
(h) \43\ Not later than December 31 of each year, the
President shall submit a comprehensive report which details all
projects funded under this section during the previous fiscal
year, all reflows to the revolving fund account, a status
report on all projects currently contained in the fund's
portfolio. Such reports shall include, but not be limited to,
information regarding numbers and kinds of beneficiaries
reached, amounts and kinds of benefits provided by the funded
projects to targeted populations, and a justification for
projects within the context of the goals and objectives of the
United States development assistance program.
(i) \45\ (1) To carry out the purposes of subsection (a),
in addition to the other authorities set forth in this section,
the agency primarily responsible for administering this part is
authorized to issue guarantees on such terms and conditions as
it shall determine assuring against losses incurred in
connection with loans made to projects that meet the criteria
set forth in subsection (c). The full faith and credit of the
United States is hereby pledged for the full payment and
performance of such guarantees.
---------------------------------------------------------------------------
\45\ Sec. 108(i) was added by sec. 2211 of the Omnibus Trade and
Competitiveness Act of 1988 (Public Law 100-418; 102 Stat. 1335).
---------------------------------------------------------------------------
(2) Loans guaranteed under this subsection shall be on such
terms and conditions as the agency may prescribe, except for
the following:
(A) The agency shall issue guarantees only when it is
necessary to alleviate a credit market imperfection.
(B) Loans guaranteed shall provide for complete
amortization within a period not to exceed ten years
or, if the principal purpose of the guaranteed loan is
to finance the construction or purchase of a physical
asset with a useful life of less than ten years, within
a period not to exceed such useful life.
(C) No loan guaranteed to any one borrower may exceed
50 percent of the cost of the activity to be financed,
or $3,000,000, whichever is less, as determined by the
agency.
(D) No loan may be guaranteed unless the agency
determines that the lender is responsible and that
adequate provision is made for servicing the loan on
reasonable terms and protecting the financial interest
of the United States.
(E) The fees earned from the loan guarantees issued
under this subsection shall be deposited in the
revolving fund account as part of the guarantee reserve
established under paragraph (5) of this subsection.
Fees shall be assessed at a level such that the fees
received, plus the funds from the revolving fund
account placed in the guarantee reserve satisfy the
requirements of paragraph (5). Fees shall be reviewed
every twelve months to ensure that the fees assessed on
new loan guarantees are at the required level.
(F) Any guarantee shall be conclusive evidence that
such guarantee has been properly obtained, and that the
underlying loan as contracted qualifies for such
guarantee. Except for fraud or material
misrepresentation for which the parties seeking payment
under such guarantee are responsible, such guarantee
shall be presumed to be valid, legal, and enforceable.
(G) The agency shall determine that the standards
used by the lender for assessing the credit risk of new
and existing guaranteed loans are reasonable. The
agency shall require that there be a reasonable
assurance of repayment before credit assistance is
extended.
(H) Commitments to guarantee loans may be made by the
agency only to the extent that the total loan
principal, any part of which is guaranteed, will not
exceed the amount specified in annual appropriations
Acts.
(3) To the extent that fees are not sufficient as specified
under paragraph (2)(E) to cover expected future liabilities,
appropriations are authorized to maintain an appropriate
reserve.
(4) The losses guaranteed under this subsection may be in
dollars or in other currencies. In the case of loans in
currencies other than dollars, the guarantees issued shall be
subject to an overall payment limitation expressed in dollars.
(5) The agency shall segregate in the revolving fund
account and hold as a reserve an amount estimated to be
sufficient to cover the agency's expected net liabilities on
the loan guarantees outstanding under this subsection; except
that the amount held in reserve shall not be less than 25
percent of the principal amount of the agency's outstanding
contingent liabilities on such guarantees. Any payments made to
discharge liabilities arising from the loan guarantees shall be
paid first out of the assets in the revolving fund account and
next out of other funds made available for this purpose.
Sec. 109.\46\ Transfer of Funds.--Whenever \47\ the
President determines it to be necessary for the purposes of
this chapter, not to exceed 15 per centum of the funds made
available for any provision of this chapter may be transferred
to, and consolidated with, the funds made available for any
other provision of this chapter, and may be used for any of the
purposes for which such funds may be used, except that the
total in the provision for the benefit of which the transfer is
made shall not be increased by more than 25 per centum of the
amount of funds made available for such provision. The
authority of sections 610(a) and 614(a) of this Act may not be
used to transfer funds made available under this chapter for
use for purposes of any other provision of this Act except that
the authority of such sections may be used to transfer for the
purposes of section 667 not to exceed five per centum of the
amount of funds made available for section 667(a)(1).\48\
---------------------------------------------------------------------------
\46\ 22 U.S.C. 2151g. Sec. 109 was added by sec. 2(3) of the FA Act
of 1973.
Sec. 509 of the Foreign Operations, Export Financing, and Related
Programs Appropriations Act, 1999 (division A, sec. 101(d) of Public
Law 105-277; 112 Stat. 2681), provided the following:
---------------------------------------------------------------------------
``transfers between accounts
---------------------------------------------------------------------------
``Sec. 509. None of the funds made available by this Act may be
obligated under an appropriation account to which they were not
appropriated, except for transfers specifically provided for in this
Act, unless the President, prior to the exercise of any authority
contained in the Foreign Assistance Act of 1961 to transfer funds,
consults with and provides a written policy justification to the
Committees on Appropriations of the House of Representatives and the
Senate: Provided, That the exercise of such authority shall be subject
to the regular notification procedures of the Committees on
Appropriations.''.
Title II of that Act, furthermore, provided the following:
---------------------------------------------------------------------------
``development assistance
``(including transfer of funds)
---------------------------------------------------------------------------
``* * * Provided further, That, notwithstanding section 109 of the
Foreign Assistance Act of 1961, of the funds appropriated under this
heading in this Act, and of the unobligated balances of funds
previously appropriated under this heading, $2,500,000 may be
transferred to `International Organizations and Programs' for a
contribution to the International Fund for Agricultural Development
(IFAD):''.
\47\ The words ``Notwithstanding sec. 108 of this Act,'' that had
previously appeared in front of ``whenever,'' were struck by sec.
102(g)(2)(K)(ii) of the International Development and Food Assistance
Act of 1978 (92 Stat. 943).
\48\ The words to this point beginning with ``except that the
authority of such sections * * *'' were added by sec. 129(b) of the
International Development and Food Assistance Act of 1977 (91 Stat.
543).
---------------------------------------------------------------------------
Sec. 110.\49\ Cost-Sharing and Funding Limits.--No
assistance shall be furnished by the United States Government
to a country under sections 103 through 106 of this Act until
the country provides assurances to the President, and the
President is satisfied, that such country provide at least 25
per centum of the costs of the entire program, project, or
activity with respect to which such assistance is to be
furnished, except that such costs borne by such country may be
provided on an ``in-kind'' basis.\50\
---------------------------------------------------------------------------
\49\ 22 U.S.C. 2151h. Sec. 110 was added by sec. 2(3) of the FA Act
of 1973. Sec. 1211(a)(3) of the International Security and Development
Cooperation Act of 1985 deleted par. (b) and removed the ``(a)''
designation from the preceding paragraph. Par. (b) previously read as
follows:
``No grant assistance shall be disbursed by the United States
Government under sections 103 through 106 of this Act for a project,
for a period exceeding thirty-six consecutive months, without further
justification satisfactory to the Congress and efforts being made to
obtain sources of financing within that country and from other foreign
countries and multilateral organizations.''.
The initial phrase of subsec. (b), which had been added by Public
Law 95-88 (91 Stat. 535), was struck by sec. 112(b)(2) of the
International Development and Food Assistance Act of 1978 (92 Stat.
949). It previously read as follows:
``Except for grants to countries determined to be relatively least
developed based on the United Nations Conference on Trade and
Development list of `relatively least developed countries',''.
\50\ The following phrase, as added by Public Law 94-161 (89 Stat.
849) and previously appeared at this point, was struck by sec.
112(b)(1) of the International Development and Food Assistance Act of
1978 (92 Stat. 949): ``and except that the President may waive this
cost-sharing requirement in the case of a project or activity in a
country which the agency primarily responsible for administering part I
of this Act determines is relatively least developed based on the
United Nations Conference on Trade and Development list of `relatively
least developed countries'.''.
---------------------------------------------------------------------------
Sec. 111.\51\ Development and Use of Cooperatives.--In
order to strengthen the participation of the rural and urban
poor in their country's development, high priority shall be
given to increasing the use of funds made available under this
Act for technical and capital assistance in the development and
use \52\ of cooperatives in the less developed countries which
will enable and encourage greater numbers of the poor to help
themselves toward a better life.\53\
---------------------------------------------------------------------------
\51\ 22 U.S.C. 2151i. Sec. 111, as added by sec. 2(3) of the FA Act
of 1973, was amended by sec. 308 of Public Law 94-161 (89 Stat. 849).
It formerly read as follows: ``In order to strengthen the participation
of the urban and rural poor in their country's development, not less
than $20,000,000 of the funds made available for the purposes of this
chapter shall be available during the fiscal years 1974 and 1975 only
for assistance in the less developed countries which will enable and
encourage greater numbers of the poor to help themselves toward a
better life.''.
\52\ The words ``technical and capital assistance in the
development and use'' were inserted in lieu of ``assistance in the
development'' by sec. 107(a) of the International Development and Food
Assistance Act of 1977 (Public Law 95-88; 91 Stat. 535).
\53\ A sentence that earmarked funds specifically for technical
assistance to carry out the purposes of this section and had previously
appeared at this point was repealed by sec. 122 of the International
Development Cooperation Act of 1979 (Public Law 96-53; 93 Stat. 366).
---------------------------------------------------------------------------
Sec. 112.\54\ Prohibiting Police Training.--* * *
[Repealed--1974]
---------------------------------------------------------------------------
\54\ Sec. 112, as added by sec. 2(3) of the FA Act of 1973, was
repealed by sec. 30(b) of the FA Act of 1974. (See sec. 660 of this
Act, ``Prohibiting Police Training'').
---------------------------------------------------------------------------
Sec. 113.\55\ Integrating Women Into National Economies.--
(a) In recognition of the fact that women in developing
countries play a significant role in economic production,
family support, and the overall development process of the
national economies of such countries, this part shall be
administered so as to give particular attention to those
programs, projects, and activities which tend to integrate
women into the national economies of developing countries, thus
improving their status and assisting the total development
effort.
---------------------------------------------------------------------------
\55\ 22 U.S.C. 2151k. Sec. 113, as added by sec. 2(3) of the FA Act
of 1973, was amended and restated by sec. 108 of the International
Development and Food Assistance Act of 1977 (Public Law 95-88; 91 Stat.
536). Sec. 113 formerly read as follows:
``Sec. 113. Integrating Women Into National Economies.--Part I of
this Act shall be administered so as to give particular attention to
those programs, projects, and activities which tend to integrate women
into the national economies of foreign countries, thus improving their
status and assisting the total development effort.''.
Subsecs. (b) and (c), as added by Public Law 95-88 and which
required a report from the President concerning the impact of
development programs, projects, and activities on the integration of
women into the developing economies of countries receiving assistance
under this part, were repealed by sec. 122 of the International
Development Cooperation Act of 1979 (Public Law 96-53; 93 Stat. 366)
(such report was submitted to the Congress on August 3, 1978). This
subsec. (b), originally added as subsec. (d) by Public Law 95-424 (92
Stat. 947), was redesignated as subsec. (b) by Public Law 96-53.
The current text of subsec. (c) was added by sec. 305 of the
International Security and Development Cooperation Act of 1981 (Public
Law 97-113; 95 Stat. 1533).
---------------------------------------------------------------------------
(b) \55\ (1) Up to $10,000,000 of the funds made available
each fiscal year under this chapter and chapter 10 of this part
\56\ shall be used, in addition to funds otherwise available
for such purposes, for assistance on such terms and conditions
as the President may determine to encourage and promote the
participation and integration of women as equal partners in the
development process in the developing countries. These funds
shall be used primarily to support activities which will
increase the economic productivity and income earning capacity
of women.
---------------------------------------------------------------------------
\56\ Sec. 562 of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1991 (Public Law 101-513; 104
Stat. 2026), added a new chapter 10 to part I of this Act, providing
for long-term development in sub-Saharan Africa, and made a conforming
amendment by inserting ``and chapter 10 of this part'' here.
---------------------------------------------------------------------------
(2) Nothing in this section shall be construed to authorize
the establishment of a separate development assistance program
for women.
(c) \55\ Not less than $500,000 of the funds made available
under this chapter for fiscal year 1982 shall be expended on
international programs which support the original goals of the
United Nations Decade for Women.
Sec. 114.\57\ Limiting Use of Funds for Abortions or
Involuntary Sterilization.--* * * [Repealed--1978]
---------------------------------------------------------------------------
\57\ Sec. 114, as added by the FA Act of 1973, was repealed by sec.
104(b) of the International Development and Food Assistance Act of 1978
(Public Law 95-424; 92 Stat. 947). See sec. 104(f) of this Act for new
language concerning this issue.
---------------------------------------------------------------------------
Sec. 115.\58\ Prohibiting Use of Funds for Certain
Countries.--* * * [Repealed--1978]
---------------------------------------------------------------------------
\58\ Sec. 115, as added by the FA Act of 1974, was repealed by sec.
102(f) of the International Development and Food Assistance Act of 1978
(Public Law 95-424; 92 Stat. 942).
---------------------------------------------------------------------------
Sec. 116.\59\ Human Rights.--(a) No assistance may be
provided under this part to the government of any country which
engages in a consistent pattern of gross violations of
internationally recognized human rights, including torture or
cruel, inhuman, or degrading treatment or punishment, prolonged
detention without charges, causing the disappearance of persons
by the abduction and clandestine detention of those
persons,\60\ or other flagrant denial of the right to life,
liberty, and the security of person, unless such assistance
will directly benefit the needy people in such country.
---------------------------------------------------------------------------
\59\ 22 U.S.C. 2151n. Sec. 116 was added by sec. 310 of Public Law
94-161 (89 Stat. 849). See also in the Foreign Operations, Export
Financing, and Related Programs Appropriations Act, 1999, sec. 540,
relating to special authorities, and sec. 543, relating to eligibility
for assistance.
\60\ This phrase beginning with ``causing the disappearance of * *
*'' was added by sec. 701(a) of the International Security and
Development Cooperation Act of 1980 (Public Law 96-533; 94 Stat. 3156).
---------------------------------------------------------------------------
(b) In determining whether this standard is being met with
regard to funds allocated under this part, the Committee on
Foreign Relations of the Senate or the Committee on Foreign
Affairs \61\ of the House of Representatives may require the
Administrator primarily responsible for administering part I of
this Act to submit in writing information demonstrating that
such assistance will directly benefit the needy people in such
country, together with a detailed explanation of the assistance
to be provided (including the dollar amounts of such
assistance) and an explanation of how such assistance will
directly benefit the needy people in such country. If either
committee or either House of Congress disagrees with the
Administrator's justification it may initiate action to
terminate assistance to any country by a concurrent resolution
under section 617 of this Act.
---------------------------------------------------------------------------
\61\ Sec. 9(a)(6) of Public Law 103-437 (108 Stat. 4588) struck out
``International Relations'' and inserted in lieu thereof ``Foreign
Affairs''. Subsequently, sec. 1(a)(5) of Public Law 104-14 (109 Stat.
186) provided that references to the Committee on Foreign Affairs of
the House of Representatives shall be treated as referring to the
Committee on International Relations of the House of Representatives.
---------------------------------------------------------------------------
(b) \62\ No assistance may be provided to any government
failing to take appropriate and adequate measures, within their
means, to protect children from exploitation, abuse or forced
conscription into military or paramilitary services.
---------------------------------------------------------------------------
\62\ Sec. 599D of the of the Foreign Operations, Export Financing,
and Related Programs Appropriations Act, 1991 (Public Law 101-513; 104
Stat. 2066), added this second subsec. (b).
---------------------------------------------------------------------------
(c) \63\ In determining whether or not a government falls
within the provisions of subsection (a) and in formulating
development assistance programs under this part, the
Administrator shall consider, in consultation with the
Assistant Secretary of State for Democracy, Human Rights, and
Labor\64\ and in consultation with the Ambassador at Large for
International Religious Freedom--\65\
---------------------------------------------------------------------------
\63\ Sec. 111 of the International Development and Food Assistance
Act of 1977 (Public Law 95-88; 91 Stat. 537) amended and restated
subsecs. (c) and (d), and added a new subsec. (e). Subsecs. (c) and (d)
formerly read as follows:
``(c) In determining whether or not a government falls within the
provisions of subsection (a), consideration shall be given to the
extent of cooperation of such government in permitting an unimpeded
investigation of alleged violations of internationally recognized human
rights by appropriate international organizations, including the
International Committee of the Red Cross, or groups or persons acting
under the authority of the United Nations or of the Organization of
American States.
``(d) The President shall transmit to the Speaker of the House of
Representatives and the Committee on Foreign Relations of the Senate,
in the annual presentation materials on proposed economic development
assistance programs, a full and complete report regarding the steps he
has taken to carry out the provisions of this section.''.
\64\ Sec. 162(e)(1) of the Foreign Relations Authorization Act,
Fiscal Years 1994 and 1995 (Public Law 103-236; 108 Stat. 405), struck
out ``Assistant Secretary for Human Rights and Humanitarian Affairs''
and inserted in lieu thereof ``Assistant Secretary of State for
Democracy, Human Rights, and Labor''. Previously, ``Assistant
Secretary'' was inserted in lieu of ``Coordinator'' by sec. 109(a)(2)
of the Foreign Relations Authorization Act, Fiscal Year 1978 (Public
Law 95-105; 91 Stat. 846).
\65\ Sec. 421(a)(1) of the International Religious Freedom Act of
1998 (Public Law 105-292; 112 Stat. 2809) added ``and in consultation
with the Ambassador at Large for International Religious Freedom''
after ``Labor''.
---------------------------------------------------------------------------
(1) the extent of cooperation of such government in
permitting an unimpeded investigation of alleged
violations of internationally recognized human rights
by appropriate international organizations, including
the International Committee of the Red Cross, or groups
or persons acting under the authority of the United
Nations or of the Organization of American States; \66\
---------------------------------------------------------------------------
\66\ Sec. 421(a) of the International Religious Freedom Act of 1998
(Public Law 105-292; 112 Stat. 2809) struck out ``and'' at the end of
para. (1); replaced a period at the end of para. (2) with `; and''; and
added para. (3).
---------------------------------------------------------------------------
(2) specific actions which have been taken by the
President or the Congress relating to multilateral or
security assistance to a less developed country because
of the human rights practices or policies of such
country; and \66\
(3) \66\ whether the government--
(A) has engaged in or tolerated particularly
severe violations of religious freedom, as
defined in section 3 of the International
Religious Freedom Act of 1998; or
(B) has failed to undertake serious and
sustained efforts to combat particularly severe
violations of religious freedom (as defined in
section 3 of the International Religious
Freedom Act of 1998), when such efforts could
have been reasonably undertaken.
(d) \63\ The Secretary of State shall transmit to the
Speaker of the House of Representatives and the Committee on
Foreign Relations of the Senate, by February 25 \67\ of each
year, a full and complete report regarding--
---------------------------------------------------------------------------
\67\ Sec. 2216(1) of the Foreign Relations Authorization Act,
Fiscal Years 1998 and 1999 (subdivision B of division G of Public Law
105-277; 112 Stat. 2681), struck out ``January 31'' and inserted in
lieu thereof ``February 25''.
---------------------------------------------------------------------------
(1) \68\ the status of internationally recognized
human rights, within the meaning of subsection (a)--
---------------------------------------------------------------------------
\68\ Paragraph (1) was amended and restated by sec. 504 of the
International Development Cooperation Act of 1979 (Public Law 96-53; 93
Stat. 378) by adding the requirement contained in clause (B). Sec. 504
also required a report from the Secretary of State by November 15,
1979, on the impact on the foreign relations of the United States of
the reports required by this Act on the human rights practices of
foreign governments.
---------------------------------------------------------------------------
(A) in countries that receive assistance
under this part, and
(B) in all other foreign countries which are
members of the United Nations and which are not
otherwise the subject of a human rights report
under this Act;
(2) \69\ wherever applicable, practices regarding
coercion in population control, including coerced
abortion and involuntary sterilization;
---------------------------------------------------------------------------
\69\ A new para. (2) was added and the former para. (2) was
redesignated as para. (3) by sec. 127 of the Foreign Relations
Authorization Act, Fiscal Years 1988 and 1989 (Public Law 100-204; 101
Stat. 1342). Subsequently, sec. 201(a) of Public Law 104-319 (110 Stat.
3864) struck out ``and'' at the end of para. (2), redesignated para.
(3) as para. (5), and added new paras. (3) and (4). See also footnote
70.
---------------------------------------------------------------------------
(3) \70\ the status of child labor practices in each
country, including--
---------------------------------------------------------------------------
\70\ Sec. 2216(2) and (3) of the Foreign Relations Authorization
Act, Fiscal Years 1998 and 1999 (subdivision B of division G of Public
Law 105-277; 112 Stat. 2681), redesignated paras. (3) through (6) as
paras. (4) through (7) and added a new para. (3). At the time of
enactment of Public Law 105-277, however, no para. (6) was contained in
the section. Public Law 105-292 added para. (6) later, shown here
redesignated as para. (7).
---------------------------------------------------------------------------
(A) whether such country has adopted policies
to protect children from exploitation in the
workplace, including a prohibition of forced
and bonded labor and policies regarding
acceptable working conditions; and
(B) the extent to which each country enforces
such policies, including the adequacy of the
resources and oversight dedicated to such
policies;
(4) \69\, \70\ the votes of each member of
the United Nations Commission on Human Rights on all
country-specific and thematic resolutions voted on at
the Commission's annual session during the period
covered during the preceding year;
(5) \69\ the extent to which each country has
extended protection to refugees, including the
provision of first asylum and resettlement; \71\
---------------------------------------------------------------------------
\71\ Sec. 102(d)(1) of the International Religious Freedom Act of
1998 (Public Law 105-292; 112 Stat. 2794) struck out ``and'' at the end
of para. (4); replaced a period at the end of this para. (5) with ``;
and''; and added a new para. (6). Paras. (4) and (5), however, had
already been redesignated as paras. (5) and (6) by sec. 2216 of Public
Law 105-277. Sec. 2216 of Public Law 105-277 also redesignated a then-
nonexistent para. (6) as para. (7). The amendment has been made to the
subsequently enacted para. (6), shown here as para. (7).
---------------------------------------------------------------------------
(6) \69\, \71\ the steps the Administrator
has taken to alter United States programs under this
part in any country because of human rights
considerations; and
(7) \70\, \71\ wherever applicable,
violations of religious freedom, including particularly
severe violations of religious freedom (as defined in
section 3 of the International Religious Freedom Act of
1998).
(e) \63\, \72\ The President is authorized and
encouraged to use not less than $3,000,000 of the funds made
available under this chapter, chapter 10 of this part,\73\ and
chapter 4 of part II for each fiscal year for studies to
identify, and for openly carrying out, programs and activities
which will encourage or promote increased adherence to civil
and political rights, including the right to free religious
belief and practice,\74\ as set forth in the Universal
Declaration of Human Rights, in countries eligible for
assistance under this chapter or under chapter 10 of this part,
except that funds made available under chapter 10 of this part
may only be used under this subsection with respect to
countries in sub-Saharan Africa. None of these funds may be
used, directly or indirectly, to influence the outcome of any
election in any country.
---------------------------------------------------------------------------
\72\ The first phrase, ``The President is authorized and encouraged
to use not less than'', was added by sec. 109(1) of the International
Development and Food Assistance Act of 1978 (Public Law 95-424; 92
Stat. 947).
The authorization level of $3,000,000 and the reference to funds
available under chapter 4 of part II were added by sec. 1002(a)(1) of
the Department of State Authorization Act, Fiscal Years 1984 and 1985
(Public Law 98-164; 97 Stat. 1052). Previously, amendments by sec. 306
of the International Security and Development Cooperation Act of 1981
(Public Law 97-113; 95 Stat. 1533), sec. 504 of Public Law 96-533 (94
Stat. 378), and sec. 109(2) of Public Law 95-424 (92 Stat. 947)
authorized the use of $1,500,000 for this purpose in fiscal years 1982-
1983, fiscal year 1981, and fiscal year 1979, respectively. The
original text of subsec. (e), added by sec. 111 of Public Law 95-88 (91
Stat. 537), authorized the use of $750,000 for this purpose during
fiscal year 1978.
The authorization level of $1,500,000 for the fiscal year 1986 and
for each fiscal year thereafter was added by sec. 202 of Public Law 99-
440 (100 Stat. 1095).
Paragraph designation ``(1)'' and a new par. (2) were added to
subsec. (e) by sec. 1002(a)(3) of the Department of State Authorization
Act, Fiscal Years 1984 and 1985 (Public Law 98-164; 97 Stat. 1052).
Par. (2) subsequently was repealed by sec. 4(a)(3)(B) of the South
African Democratic Transition Support Act of 1993 (Public Law 103-149;
107 Stat. 1505), and the designation for par. (1) was struck out.
Par. (2) of subsec. (e) had stated a priority, with supporting
guidelines and conditions, for giving grants to ``nongovernmental
organizations in South Africa promoting political, economic, social,
juridical, and humanitarian efforts to foster a just society and to
help victims of apartheid.''.
Section 4(a)(3)(B) of the South African Democratic Transition
Support Act of 1993 (Public Law 103-149; 107 Stat. 1505) also repealed
subsec. (f) and (g) of sec. 116, which had been added by sec. 202(b) of
Public Law 99-440 (100 Stat. 1095).
Subsec. (f) directed not less than $500,000 under section (e)(2)(A)
to be used ``for direct legal and other assistance to political
detainees and prisoners and their families, including the investigation
of the killing of protesters and prisoners, and for support for actions
of black-led community organizations to resist, through nonviolent
means, the enforcement of apartheid policies...''.
Subsec. (g) directed $175,000 each fiscal year to ``be used for
direct assistance to families of victims of violence such as
`necklacing' and other such inhumane acts'', and another $175,000 to
``be made available to black groups in South Africa which are actively
working toward a multi-racial solution to the sharing of political
power in that country through nonviolent, constructive means.''.
\73\ Sec. 562 of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1991 (Public Law 101-513; 104
Stat. 2026), added a new chapter 10 to part I of this Act, providing
for long-term development in sub-Saharan Africa, and made a conforming
amendment by inserting ``, chapter 10 of this part,'' here, and text at
the end of the first sentence beginning at ``or under chapter 10''.
\74\ Sec. 501(b) of the International Religious Freedom Act of 1998
(Public Law 105-292; 112 Stat. 2811) inserted ``, including the right
to free religious belief and practice'' after ``adherence to civil and
political rights''. Subsec. (a) of that sec. provided the following:
``sec. 501. assistance for promoting religious freedom.
``(a) Findings.--Congress makes the following findings:
---------------------------------------------------------------------------
``(1) In many nations where severe violations of religious
freedom occur, there is not sufficient statutory legal
protection for religious minorities or there is not sufficient
cultural and social understanding of international norms of
religious freedom.
``(2) Accordingly, in the provision of foreign assistance,
the United States should make a priority of promoting and
developing legal protections and cultural respect for religious
freedom.''.
Sec. 117.\75\ Assistance for Disadvantaged South
Africans.--* * * [Repealed--1993]
---------------------------------------------------------------------------
\75\ Formerly at 22 U.S.C. 2151o. Sec. 117 was repealed by sec.
4(a)(3)(B) of the South African Democratic Transition Support Act of
1993 (Public Law 103-149; 107 Stat. 1505). It had been added originally
by sec. 201(b) of Public Law 99-440 (100 Stat. 1094). Sec. 117 provided
assistance for disadvantaged South Africans through South African
nongovernmental organizations, such as the Educational Opportunities
Council, the South African Institute of Race Relations, READ,
professional teachers' unions, the Outreach Program of the University
of the Western Cape, the Funda Center in Soweto, SACHED, UPP Trust,
TOPS, the Wilgespruit Fellowship Center (WFC), and civic and other
organizations working at the community level which did not receive
funds from the Government of South Africa.
A previous sec. 117, relating to infant nutrition, was repealed in
1978.
---------------------------------------------------------------------------
Sec. 117.\76\ Environment and Natural Resources.--(a) The
Congress finds that if current trends in the degradation of
natural resources in developing countries continue, they will
severely undermine the best efforts to meet basic human needs,
to achieve sustained economic growth, and to prevent
international tension and conflict. The Congress also finds
that the world faces enormous, urgent, and complex problems,
with respect to natural resources, which require new forms of
cooperation between the United States and developing countries
to prevent such problems from becoming unmanageable. It is,
therefore, in the economic and security interests of the United
States to provide leadership both in thoroughly reassessing
policies relating to natural resources and the environment, and
in cooperating extensively with developing countries in order
to achieve environmentally sound development.
---------------------------------------------------------------------------
\76\ 22 U.S.C. 2151p. Sec. 117 was redesignated from being sec. 118
by sec. 301(1) of Public Law 99-529, resulting in the creation of two
sections 117. Sec. 301(2) of Public Law 99-529 (100 Stat. 3014) further
deleted subsec. (d) of that section, which dealt with tropical forests,
and then sec. 301(3) of Public Law 99-529 added a new section 118
entitled ``Tropical Forests''. This section, as added by sec. 113 of
Public Law 95-88 (91 Stat. 537) and amended by sec. 110 of Public Law
95-424 (92 Stat. 948) and sec. 122 of Public Law 96-53 (93 Stat. 948),
was further amended and restated by sec. 307 of the International
Security and Development Cooperation Act of 1981 (Public Law 97-113; 95
Stat. 1533). This section previously read as follows:
``Sec. 118. Environment and Natural Resources.--(a) The President
is authorized to furnish assistance under this part for developing and
strengthening the capacity of less developed countries to protect and
manage their environment and natural resources. Special efforts shall
be made to maintain and where possible restore the land, vegetation,
water, wildlife and other resources upon which depend economic growth
and human well-being especially that of the poor.
``(b) In carrying out programs under this chapter, the President
shall take into consideration the environmental consequence of
development actions.''.
See also sec. 517(e) of the Foreign Operations, Export Financing,
and Related Programs Appropriations Act, 1999 (division A, sec. 101(d)
of Public Law 105-277; 112 Stat. 2681), relating to assistance to the
new independent states of the former Soviet Union.
See also sec. 534 of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1990 (Public Law 101-167; 103
Stat. 1228), as amended, relating to ``Global Warming Initiative''.
See also sec. 533 of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1991 (Public Law 101-513; 104
Stat. 2013), as amended, relating to ``Environment and Global
Warming''.
See also sec. 532 of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1993 (Public Law 102-391; 106
Stat. 1666), relating to ``Environment''.
---------------------------------------------------------------------------
(b) In order to address the serious problems described in
subsection (a), the President is authorized to furnish
assistance under this part for developing and strengthening the
capacity of developing countries to protect and manage their
environment and natural resources. Special efforts shall be
made to maintain and where possible to restore the land,
vegetation, water, wildlife, and other resources upon which
depend economic growth and human well-being, especially of the
poor.
(c)(1) The President, in implementing programs and projects
under this chapter and chapter 10 of this part,\77\ shall take
fully into account the impact of such programs and projects
upon the environment and natural resources of developing
countries. Subject to such procedures as the President
considers appropriate, the President shall require all agencies
and officials responsible for programs or projects under this
chapter--
---------------------------------------------------------------------------
\77\ Sec. 562 of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1991 (Public Law 101-513; 104
Stat. 2026), added a new chapter 10 to part I of this Act, providing
for long-term development in sub-Saharan Africa, and made a conforming
amendment by inserting ``and chapter 10 of this part'' here.
---------------------------------------------------------------------------
(A) to prepare and take fully into account an
environmental impact statement for any program or
project under this chapter significantly affecting the
environment of the global commons outside the
jurisdiction of any country, the environment of the
United States, or other aspects of the environment
which the President may specify; and
(B) to prepare and take fully into account an
environmental assessment of any proposed program or
project under this chapter significantly affecting the
environment of any foreign country.
Such agencies and officials should, where appropriate, use
local technical resources in preparing environmental impact
statements and environmental assessments pursuant to this
subsection.
(2) The President may establish exceptions from the
requirements of this subsection for emergency conditions and
for cases in which compliance with those requirements would be
seriously detrimental to the foreign policy interests of the
United States.
Sec. 118.\78\ Tropical Forests.
---------------------------------------------------------------------------
\78\ 22 U.S.C. 2151p-1. Sec. 118 was added by sec. 301(3) of Public
Law 99-529 (100 Stat. 3014). See also footnote 76.
---------------------------------------------------------------------------
(a) Importance of Forests and Tree Cover.--In enacting
section 103(b)(3) of this Act the Congress recognized the
importance of forests and tree cover to the developing
countries. The Congress is particularly concerned about the
continuing and accelerating alteration, destruction, and loss
of tropical forests in developing countries, which pose a
serious threat to development and the environment. Tropical
forest destruction and loss--
(1) result in shortages of wood, especially wood for
fuel; loss of biologically productive wetlands;
siltation of lakes, reservoirs, and irrigation systems;
floods; destruction of indigenous peoples; extinction
of plant and animal species; reduced capacity for food
production; and loss of genetic resources; and
(2) can result in desertification and destabilization
of the earth's climate.
Properly managed tropical forests provide a sustained flow of
resources essential to the economic growth of developing
countries, as well as genetic resources of value to developed
and developing countries alike.
(b) Priorities.--The concerns expressed in subsection (a)
and the recommendations of the United States Interagency Task
Force on Tropical Forests shall be given high priority by the
President--
(1) in formulating and carrying out programs and
policies with respect to developing countries,
including those relating to bilateral and multilateral
assistance and those relating to private sector
activities; and
(2) in seeking opportunities to coordinate public and
private development and investment activities which
affect forests in developing countries.
(c) Assistance to Developing Countries.--In providing
assistance to developing countries, the President shall do the
following:
(1) Place a high priority on conservation and
sustainable management of tropical forests.
(2) To the fullest extent feasible, engage in
dialogues and exchanges of information with recipient
countries--
(A) which stress the importance of conserving
and sustainably managing forest resources for
the long-term economic benefit of those
countries, as well as the irreversible losses
associated with forest destruction, and
(B) which identify and focus on policies of
those countries which directly or indirectly
contribute to deforestation.
(3) To the fullest extent feasible, support projects
and activities--
(A) which offer employment and income
alternatives to those who otherwise would cause
destruction and loss of forests, and
(B) which help developing countries identify
and implement alternatives to colonizing
forested areas.
(4) To the fullest extent feasible, support training
programs, educational efforts, and the establishment or
strengthening of institutions which increase the
capacity of developing countries to formulate forest
policies, engage in relevant land-use planning, and
otherwise improve the management of their forests.
(5) To the fullest extent feasible, help end
destructive slash-and-burn agriculture by supporting
stable and productive farming practices in areas
already cleared or degraded and on lands which
inevitably will be settled, with special emphasis on
demonstrating the feasibility of agroforestry and other
techniques which use technologies and methods suited to
the local environment and traditional agricultural
techniques and feature close consultation with and
involvement of local people.
(6) To the fullest extent feasible, help conserve
forests which have not yet been degraded, by helping to
increase production on lands already cleared or
degraded through support of reforestation, fuelwood,
and other sustainable forestry projects and practices,
making sure that local people are involved at all
stages of project design and implementation.
(7) To the fullest extent feasible, support projects
and other activities to conserve forested watersheds
and rehabilitate those which have been deforested,
making sure that local people are involved at all
stages of project design and implementation.
(8) To the fullest extent feasible, support training,
research, and other actions which lead to sustainable
and more environmentally sound practices for timber
harvesting, removal, and processing, including
reforestation, soil conservation, and other activities
to rehabilitate degraded forest lands.
(9) To the fullest extent feasible, support research
to expand knowledge of tropical forests and identify
alternatives which will prevent forest destruction,
loss, or degradation, including research in
agroforestry, sustainable management of natural
forests, small-scale farms and gardens, small-scale
animal husbandry, wider application of adopted
traditional practices, and suitable crops and crop
combinations.
(10) To the fullest extent feasible, conserve
biological diversity in forest areas by--
(A) supporting and cooperating with United
States Government agencies, other donors (both
bilateral and multilateral), and other
appropriate governmental, intergovernmental,
and nongovernmental organizations in efforts to
identify, establish, and maintain a
representative network of protected tropical
forest ecosystems on a worldwide basis;
(B) whenever appropriate, making the
establishment of protected areas a condition of
support for activities involving forest
clearance of degradation; and
(C) helping developing countries identify
tropical forest ecosystems and species in need
of protection and establish and maintain
appropriate protected areas.
(11) To the fullest extent feasible, engage in
efforts to increase the awareness of United States
Government agencies and other donors, both bilateral
and multilateral, of the immediate and long-term value
of tropical forests.
(12) To the fullest extent feasible, utilize the
resources and abilities of all relevant United States
Government agencies.
(13) Require that any program or project under this
chapter significantly affecting tropical forests
(including projects involving the planting of exotic
plant species)--
(A) be based upon careful analysis of the
alternatives available to achieve the best
sustainable use of the land, and
(B) take full account of the environmental
impacts of the proposed activities on
biological diversity,
as provided for in the environmental procedures of the
Agency for International Development.
(14) Deny assistance under this chapter for--
(A) the procurement or use of logging
equipment, unless an environmental assessment
indicates that all timber harvesting operations
involved will be conducted in an
environmentally sound manner which minimizes
forest destruction and that the proposed
activity will produce positive economic
benefits and sustainable forest management
systems; and
(B) actions which significantly degrade
national parks or similar protected areas which
contain tropical forests or introduce exotic
plants or animals into such areas.
(15) Deny assistance under this chapter for the
following activities unless an environmental assessment
indicates that the proposed activity will contribute
significantly and directly to improving the livelihood
of the rural poor and will be conducted in an
environmentally sound manner which supports sustainable
development:
(A) Activities which would result in the
conversion of forest lands to the rearing of
livestock.
(B) The construction, upgrading, or
maintenance of roads (including temporary haul
roads for logging or other extractive
industries) which pass through relatively
undegraded forest lands.
(C) The colonization of forest lands.
(D) The construction of dams or other water
control structures which flood relatively
undegraded forest lands.
(d) PVOs and Other Nongovernmental Organizations.--Whenever
feasible, the President shall accomplish the objectives of this
section through projects managed by private and voluntary
organizations or international, regional, or national
nongovernmental organizations which are active in the region or
country where the project is located.
(e) Country Analysis Requirements.--Each country
development strategy statement or other country plan prepared
by the Agency for International Development shall include an
analysis of--
(1) the actions necessary in that country to achieve
conservation and sustainable management of tropical
forests, and
(2) the extent to which the actions proposed for
support by the Agency meet the needs thus identified.
(f) Annual Report.--Each annual report required by section
634(a) of this Act shall include a report on the implementation
of this section.
Sec. 119.\79\ Renewable and Unconventional Energy
Technologies. * * * [Repealed--1980]
---------------------------------------------------------------------------
\79\ Sec. 119, as added by Public Law 95-88 (91 Stat. 528), amended
by sec. 111 of the International Development and Food Assistance Act of
1978 (92 Stat. 948), and by sec. 107 of the International Development
Cooperation Act of 1979 (93 Stat. 362), was repealed by sec. 304(g) of
the International Security and Development Cooperation Act of 1980
(Public Law 96-533; 94 Stat. 3147). See sec. 106 of this Act for text
concerning energy technologies.
---------------------------------------------------------------------------
Sec. 119.\80\ Endangered Species.--(a) The Congress finds
the survival of many animal and plant species is endangered by
overhunting, by the presence of toxic chemicals in water, air
and soil, and by the destruction of habitats. The Congress
further finds that the extinction of animal and plant species
is an irreparable loss with potentially serious environmental
and economic consequences for developing and developed
countries alike. Accordingly, the preservation of animal and
plant species through the regulation of the hunting and trade
in endangered species, through limitations on the pollution of
natural ecosystems, and through the protection of wildlife
habitats should be an important objective of the United States
development assistance.
---------------------------------------------------------------------------
\80\ 22 U.S.C. 2151q. Sec. 119, pars. (a) and (b) were added by
sec. 702 of the International Environment Protection Act of 1983 (title
VII of the Department of State Authorization Act, Fiscal Years 1984 and
1985, Public Law 98-164; 97 Stat. 1045).
---------------------------------------------------------------------------
(b) \80\ In order to preserve biological diversity, the
President is authorized to furnish assistance under this part,
notwithstanding section 660,\81\ to assist countries in
protecting and maintaining wildlife habitats and in developing
sound wildlife management and plant conservation programs.
Special efforts should be made to establish and maintain
wildlife sanctuaries, reserves, and parks; to enact and enforce
anti-poaching measures; and to identify, study, and catalog
animal and plant species, especially in tropical environments.
---------------------------------------------------------------------------
\81\ Section 533(d)(4)(A) of the Foreign Operations, Export
Financing, and Related Programs Appropriations Act, 1990 (Public Law
101-167; 103 Stat. 1227), added ``notwithstanding section 660'' at this
point.
---------------------------------------------------------------------------
(c) \82\ Funding Level.--For fiscal year 1987, not less
than $2,500,000 of the funds available to carry out this part
(excluding funds made available to carry out section 104(c)(2),
relating to the Child Survival Fund) shall be allocated for
assistance pursuant to subsection (b) for activities which were
not funded prior to fiscal year 1987. In addition, the Agency
for International Development shall, to the fullest extent
possible, continue and increase assistance pursuant to
subsection (b) for activities for which assistance was provided
in fiscal years prior to fiscal year 1987.
---------------------------------------------------------------------------
\82\ Pars. (c) through (h) were added by sec. 302 of Public Law 99-
529 (100 Stat. 3017).
---------------------------------------------------------------------------
(d) \82\ Country Analysis Requirements.--Each country
development strategy statement or other country plan prepared
by the Agency for International Development shall include an
analysis of--
(1) the actions necessary in that country to conserve
biological diversity, and
(2) the extent to which the actions proposed for
support by the Agency meet the needs thus identified.
(e) \82\ Local Involvement.--To the fullest extent
possible, projects supported under this section shall include
close consultation with and involvement of local people at all
stages of design and implementation.
(f) \82\ PVOs and Other Nongovernmental Organizations.--
Whenever feasible, the objectives of this section shall be
accomplished through projects managed by appropriate private
and voluntary organizations, or international, regional, or
national nongovernmental organizations, which are active in the
region or country where the project is located.
(g) \82\ Actions by AID.--The Administrator of the Agency
for International Development shall--
(1) cooperate with appropriate international
organizations, both governmental and nongovernmental;
(2) look to the World Conservation Strategy as an
overall guide for actions to conserve biological
diversity;
(3) engage in dialogues and exchanges of information
with recipient countries which stress the importance of
conserving biological diversity for the long-term
economic benefit of those countries and which identify
and focus on policies of those countries which directly
or indirectly contribute to loss of biological
diversity;
(4) support training and education efforts which
improve the capacity of recipient countries to prevent
loss of biological diversity;
(5) whenever possible, enter into long-term
agreements in which the recipient country agrees to
protect ecosystems or other wildlife habitats
recommended for protection by relevant governmental or
nongovernmental organizations or as a result of
activities undertaken pursuant to paragraph (6), and
the United States agrees to provide, subject to
obtaining the necessary appropriations, additional
assistance necessary for the establishment and
maintenance of such protected areas;
(6) support, as necessary and in cooperation with the
appropriate governmental and nongovernmental
organizations, efforts to identify and survey
ecosystems in recipient countries worthy of protection;
(7) cooperate with and support the relevant efforts
of other agencies of the United States Government,
including the United States Fish and Wildlife Service,
the National Park Service, the Forest Service, and the
Peace Corps;
(8) review the Agency's environmental regulations and
revise them as necessary to ensure that ongoing and
proposed actions by the Agency do not inadvertently
endanger wildlife species or their critical habitats,
harm protected areas, or have other adverse impacts on
biological diversity (and shall report to the Congress
within a year after the date of enactment of this
paragraph on the actions taken pursuant to this
paragraph);
(9) ensure that environmental profiles sponsored by
the Agency include information needed for conservation
of biological diversity; and
(10) deny any direct or indirect assistance under
this chapter for actions which significantly degrade
national parks or similar protected areas or introduce
exotic plants or animals into such areas.
(h) \82\ Annual Reports.--Each annual report required by
section 634(a) of this Act shall include, in a separate volume,
a report on the implementation of this section.
Sec. 120.\83\ Sahel Development Program--Planning.--(a) The
Congress reaffirms its support of \84\ the initiative of the
United States Government in undertaking consultations and
planning with the countries concerned, and with other nations
providing assistance, with the United Nations, and with other
concerned international and regional organizations, toward the
development and support of a comprehensive long-term African
Sahel development program.
---------------------------------------------------------------------------
\83\ 22 U.S.C. 2151r. Sec. 120, originally added as sec. 639B of
this Act by sec. 20 of the FA Act of 1973 and later redesignated as
sec. 494B by sec. 101(5) of Public Law 94-161 (89 Stat. 849), was again
redesignated as sec. 120 by sec. 115(1) of the International
Development and Food Assistance Act of 1977 (Public Law 95-88; 91 Stat.
539).
The title caption ``Sahel Development Program--Planning'' was
inserted in lieu of ``African Development Program'' by sec. 115(2) of
the International Development and Food Assistance Act of 1977 (Public
Law 95-88; 91 Stat. 539).
\84\ The words in the first sentence of subsec. (a), ``reaffirms
its support of'', were substituted in lieu of ``supports'' by sec.
101(7)(C) of Public Law 94-161 (89 Stat. 849).
---------------------------------------------------------------------------
(b) \85\ The President is authorized to develop a long-term
comprehensive development program for the Sahel and other
drought-stricken nations in Africa.
---------------------------------------------------------------------------
\85\ Subsecs. (b), (c), and (d) were added by sec. 101(7)(D) of
Public Law 94-161 (89 Stat. 849). Subsec. (d) was subsequently repealed
by sec. 502(d)(1) of the International Development and Food Assistance
Act of 1978 (Public Law 95-424; 92 Stat. 959).
---------------------------------------------------------------------------
(c) \85\ In developing this long-term program, the
President shall--
(1) consider international coordination for the
planning and implementation of such program;
(2) seek greater participation and support by African
countries and organizations in determining development
priorities; and
(3) begin such planning immediately.
(d) \85\ * * * [Repealed--1978]
Sec. 121.\86\ Sahel Development Program--Implementation. *
* * [Repealed--1990]
---------------------------------------------------------------------------
\86\ Sec. 562 of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1991 (Public Law 101-513; 104
Stat. 2026), added a new chapter 10 to part I of this Act, providing
for long-term development in sub-Saharan Africa, and made a conforming
amendment by repealing sec. 121. Sec. 121, as added by sec. 115(3) of
the International Development and Food Assistance Act of 1977 (Public
Law 95-88; 91 Stat. 53), and amended by sec. 108 of the International
Development Cooperation Act of 1979 (Public Law 96-53; 93 Stat. 363),
sec. 809 of the International Security and Development Cooperation Act
of 1985 (Public Law 99-83; 99 Stat. 263), International Security and
Development Assistance Authorization Act of 1983 (sec. 101(b)(2) of the
Further Continuing Appropriations, 1984, Public Law 98-151; 97 Stat.
969), sec. 308 of the International Security and Development
Cooperation Act of 1981 (Public Law 97-113; 95 Stat. 1535), and sec.
306 of Public Law 96-533 (94 Stat. 363), formerly read as follows:
``Sec. 121. Sahel Development Program--Implementation.--(a) The
President is authorized to furnish assistance, on such terms and
conditions as he may determine, for the long-term development of the
Sahelian region. Assistance furnished under this section shall be in
accordance with a long-term, multidonor development plan which calls
for equitable burden sharing with other donors and shall be furnished,
whenever appropriate, in cooperation with an international coordinating
mechanism.
``(b) The President shall prepare an annual report on the Sahel
Development Program concerning the allocation of the United States
contribution to the Program, the extent of the contributions from other
donor countries, the effectiveness of the integrated effort through the
Club des Amis du Sahel, and the progress made in achieving the
objectives of the program.
``(c) There are authorized to be appropriated to the President for
purposes of this section beginning in the fiscal year 1978, in addition
to funds otherwise available for such purposes, $200,000,000, except
that not to exceed $50,000,000, may be appropriated under this section
for the fiscal year 1978. In addition to the amount authorized in the
preceding sentence and to funds otherwise available for such purposes,
there are authorized to be appropriated to the President for purposes
of this section $25,000,000. In addition to the amounts authorized in
the preceding sentences and to funds otherwise available for such
purposes, there are authorized to be appropriated to the President for
purposes of this section $86,558,000 for the fiscal year 1986 and
$87,750,000 for the fiscal year 1987. Amounts appropriated under this
section are authorized to remain available until expended.
``(d) Funds available to carry out this section (including foreign
currencies acquired with funds appropriated to carry out this section)
may not be made available to any foreign government for disbursement
unless the Administrator of the Agency for International Development
determines that the foreign government will maintain a system of
accounts with respect to those funds which will provide adequate
identification of and control over the receipt and expenditure of those
funds.
``(e) Grants shall be made under this section to Sahel Development
Program host governments in order to help them enhance their
administrative capabilities to meet the administrative requirements
resulting from donor country projects and activities.''.
---------------------------------------------------------------------------
Sec. 122.\87\ General Authorities.--(a) In order to carry
out the purposes of this chapter, the President is authorized
to furnish assistance, on such terms and conditions as he may
determine, to countries and areas through programs of grant and
loan assistance, bilaterally or through regional, multilateral,
or private entities.
---------------------------------------------------------------------------
\87\ 22 U.S.C. 2151t. Subsec. (a) of sec. 122 was added by sec.
102(a) of the International Development and Food Assistance Act of 1978
(Public Law 95-424; 92 Stat. 940). Sec. 102(b) of that same Act
substantially amended subsecs. (b), (c), and (d) of sec. 201 of this
Act, consolidating them into one subsec. (b), and then moving it to
become subsec. (b) of sec. 122.
---------------------------------------------------------------------------
(b) \87\ The President is authorized to make loans payable
as to principal and interest in United States dollars on such
terms and conditions as he may determine, in order to promote
the economic development of countries and areas, with emphasis
upon assisting long range plans and programs designed to
develop economic resources and increase productive capacities.
The President shall determine the interest payable on any loan.
In making loans under this chapter, the President shall
consider the economic circumstances of the borrower and other
relevant factors, including the capacity of the recipient
country to repay the loan at a reasonable rate of interest,
except that loans may not be made at a rate of interest of less
than 3 per centum per annum commencing not later than ten years
following the date on which the funds are initially made
available under the loan, during which ten-year period the rate
of interest shall not be lower than 2 per centum per annum, nor
higher than the applicable legal rate of interest of the
country in which the loan is made.
(c) \88\ Dollar receipts paid during any fiscal year from
loans made under this part or from loans made under predecessor
foreign assistance legislation shall be deposited in the
Treasury as miscellaneous receipts.
---------------------------------------------------------------------------
\88\ Subsecs. (c) and (d) were added by sec. 102(c)(1) of the
International Development and Food Assistance Act of 1978 (Public Law
95-424; 92 Stat. 941).
---------------------------------------------------------------------------
(d) \88\ Not to exceed $10,000,000 of the funds made
available each fiscal year for the purposes of this chapter may
be used for assistance on such terms and conditions as the
President may determine, to research and educational
institutions in the United States for the purpose of
strengthening their capacity to develop and carry out programs
concerned with the economic and social development of
developing countries.
(e) \89\ The President shall establish an interagency
Development Loan Committee, consisting of such officers from
such agencies of the United States Government as he may
determine, which shall, under the direction of the President,
establish standards and criteria for lending operations under
this chapter in accordance with the foreign and financial
policies of the United States. Except in the case of officers
serving in positions to which they were appointed by the
President by and with the advice and consent of the Senate,
officers assigned to the Committee shall be so assigned by the
President by and with the advice and consent of the Senate.
---------------------------------------------------------------------------
\89\ Subsec. (e) formerly appeared in this Act as sec. 204. Such
sec. 204 was redesignated as subsec. (e) of this section by sec. 102(d)
of the International Development and Food Assistance Act of 1978
(Public Law 95-424; 92 Stat. 941).
---------------------------------------------------------------------------
Sec. 123.\90\ Private and Voluntary Organizations and
Cooperatives in Overseas Development.--(a) The Congress finds
that the participation of rural and urban poor people in their
countries' development can be assisted and accelerated in an
effective manner through an increase in activities planned and
carried out by private and voluntary organizations and
cooperatives. Such organizations and cooperatives, embodying
the American spirit of self-help and assistance to others to
improve their lives and incomes, constitute an important means
of mobilizing private American financial and human resources to
benefit poor people in developing countries. The Congress
declares that it is in the interest of the United States that
such organizations and cooperatives expand their overseas
development efforts without compromising their private and
independent nature. The Congress further declares that the
financial resources of such organizations and cooperatives
should be supplemented by the contribution of public funds for
the purpose of undertaking development activities in accordance
with the principles set forth in section 102 and, if necessary
and determined on a case- by-case basis, for the purpose of
sharing the cost of developing programs related to such
activities.\91\ The Congress urges the Administrator of the
agency primarily responsible for administering this part, in
implementing programs authorized under this part, to draw on
the resources of private and voluntary organizations and
cooperatives to plan and carry out development activities and
to establish simplified procedures for the development and
approval of programs to be carried out by such private and
voluntary organizations and cooperatives as have demonstrated a
capacity to undertake effective development activities.\92\
---------------------------------------------------------------------------
\90\ 22 U.S.C. 2151u. Sec. 123 was added by sec. 102(e) of the
International Development and Food Assistance Act of 1978 (Public Law
95-424; 92 Stat. 941).
Title II of the Foreign Operations, Export Financing, and Related
Programs Appropriations Act, 1999 (division A, sec. 101(d) of Public
Law 105-277; 112 Stat. 2681; 22 U.S.C. 2151u note), provided the
following:
---------------------------------------------------------------------------
``private and voluntary organizations
---------------------------------------------------------------------------
``None of the funds appropriated or otherwise made available by
this Act for development assistance may be made available to any United
States private and voluntary organization, except any cooperative
development organization, which obtains less than 20 percent of its
total annual funding for international activities from sources other
than the United States Government: Provided, That the Administrator of
the Agency for International Development may, on a case-by-case basis,
waive the restriction contained in this paragraph, after taking into
account the effectiveness of the overseas development activities of the
organization, its level of volunteer support, its financial viability
and stability, and the degree of its dependence for its financial
support on the agency: Provided further, That section 123(g) of the
Foreign Assistance Act of 1961 and the paragraph entitled `Private and
Voluntary Organizations' in title II of the Foreign Assistance and
Related Programs Appropriations Act, 1985 (as enacted in Public Law 98-
473) are hereby repealed.
``Funds appropriated or otherwise made available under title II of
this Act should be made available to private and voluntary
organizations at a level which is at least equivalent to the level
provided in fiscal year 1995. Such private and voluntary organizations
shall include those which operate on a not-for-profit basis, receive
contributions from private sources, receive voluntary support from the
public and are deemed to be among the most cost-effective and
successful providers of development assistance.''.
\91\ The words to this point beginning with ``and, if necessary * *
*'' were added by sec. 307(1) of the International Security and
Development Cooperation Act of 1980 (Public Law 96-533; 94 Stat. 3147).
\92\ The words to this point beginning with ``and to establish * *
*'' were added by sec. 307(2) of the International Security and
Development Cooperation Act of 1980 (Public Law 96-533; 94 Stat. 3147).
---------------------------------------------------------------------------
(b) In order to further the efficient use of United States
voluntary contributions for development, relief, and
rehabilitation of friendly peoples, the President is authorized
to use funds made available for the purposes of this chapter
and chapter 10 of this part \93\ to pay transportation charges
on shipments by the American National Red Cross and by United
States voluntary agencies registered with the Agency for
International Development.\94\
---------------------------------------------------------------------------
\93\ Sec. 562 of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1991 (Public Law 101-513; 104
Stat. 2026), added a new chapter 10 to part I of this Act, providing
for long-term development in sub-Saharan Africa, and made a conforming
amendment by inserting ``and chapter 10 of this part'' here.
\94\ This reference to the Agency for International Development was
substituted in lieu of a reference to the Advisory Committee on
Voluntary Foreign Aid by sec. 121 of the International Development
Cooperation Act of 1979 (Public Law 96-53; 93 Stat. 366).
---------------------------------------------------------------------------
(c) Reimbursement under this section may be provided for
transportation charges on shipments from United States ports,
or in the case of excess or surplus property supplied by the
United States from foreign ports, to ports of entry abroad or
to points of entry abroad in cases (1) of landlocked countries,
(2) where ports cannot be used effectively because of natural
or other disturbances, (3) where carriers to a specified
country are unavailable, or (4) where a substantial savings in
costs or time can be effected by the utilization of points of
entry other than ports.
(d) Where practicable, the President shall make
arrangements with the receiving country for free entry of such
shipments and for the making available by the country of local
currencies for the purpose of defraying the transportation
costs of such shipments from the port or point of entry of the
receiving country to the designated shipping point of the
consignee.
(e) \95\ Prohibitions on assistance to countries contained
in this or any other Act shall not be construed to prohibit
assistance by the agency primarily responsible for
administering this part in support of programs of private and
voluntary organizations and cooperatives already being
supported prior to the date such prohibition becomes
applicable. The President shall take into consideration, in any
case in which statutory prohibitions on assistance would be
applicable but for this subsection, whether continuation of
support for such programs is in the national interest of the
United States. If the President continues such support after
such date, he shall prepare and transmit, not later than one
year \96\ after such date, to the Speaker of the House of
Representatives and to the chairman of the Committee on Foreign
Relations of the Senate a report setting forth the reasons for
such continuation.
---------------------------------------------------------------------------
\95\ Subsec. (e) was added by sec. 307(3) of the International
Security and Development Cooperation Act of 1980 (Public Law 96-533; 94
Stat. 3147).
See a similar authority in the Foreign Operations, Export
Financing, and Related Programs Appropriations Act, 1999 (Public Law
105-277; 112 Stat. 2681), in section 543.
\96\ Sec. 309(a) of the International Security and Development
Cooperation Act of 1985 (Public Law 99-83; 99 Stat. 190), substituted
the words ``one year'' in lieu of ``thirty days''.
---------------------------------------------------------------------------
(f) \97\ For each of the fiscal years 1986 through 1989
\98\ funds in an amount not less than thirteen and one-half
percent of the aggregate amount appropriated for that fiscal
year to carry out sections 103(a), 104(b), 104(c), 105, 106,
121, and 491 of this Act shall be made available for the
activities of private and voluntary organizations, and the
President shall seek to channel funds in an amount not less
than sixteen percent of such aggregate amount for the
activities of private and voluntary organizations. Funds made
available under chapter 4 of part II of this Act for the
activities of private and voluntary organizations may be
considered in determining compliance with the requirements of
this subsection.\98\
---------------------------------------------------------------------------
\97\ Subsecs. (f) and (g) were added by sec. 309 of the
International Security and Development Cooperation Act of 1981 (Public
Law 97-113; 95 Stat. 1535). Subsec. (g) was repealed by title II of the
Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1999 (division A, sec. 101(d) of Public Law 105-
277; 112 Stat. 2681). Subsec. (g), as amended, had read as follows:
``(g) After December 31, 1984, funds made available to carry out
section 103(a), 104(b), 104(c), 105, 106, 491, or 496 of this Act may
not be made available for programs of any United States private and
voluntary organization which does not obtain at least 20 percent of its
total annual financial support for its international activities from
sources other than the United States Government, except that this
restriction does not apply with respect to programs which, as of that
date, are receiving financial support from the agency primarily
responsible for administering this part. The Administrator of the
agency primarily responsible for administering this part may, on a
case-by-case basis, waive the restriction established by this
subsection, after taking into account the effectiveness of the overseas
development activities of the organization, its level of volunteer
support, its financial viability and stability, and the degree of its
dependence for its financial support on the agency primarily
responsible for administering this part.''.
\98\ Sec. 309(b) of the International Security and Development
Cooperation Act of 1985 (Public Law 99-83; 99 Stat. 190), amended sec.
123(f) by striking out ``1982, 1983 and 1984'' and substituting ``1986
through 1989''; by striking out ``twelve'' and by inserting in lieu
thereof ``thirteen and one half'', and by adding the current last
sentence.
---------------------------------------------------------------------------
(g) \97\ * * * [Repealed--1998]
(h) \99\ The Congress recognizes that, in addition to their
role in social and economic development, cooperatives provide
an opportunity for people to participate directly in democratic
decisionmaking. Therefore, assistance under this chapter shall
be provided to rural and urban cooperatives which offer large
numbers of low- and middle-income people in developing
countries an opportunity to participate directly in democratic
decisionmaking. Such assistance shall be designed to encourage
the adoption of self-help, private sector cooperative
techniques and practices which have been successful in the
United States.
---------------------------------------------------------------------------
\99\ Subsec. (h) was added by sec. 310 of Public Law 99-83 (99
Stat. 190).
---------------------------------------------------------------------------
Sec. 124.\100\ Relatively Least Developed Countries.--(a)
Relatively least developed countries (as determined on the
basis of criteria comparable to those used for the United
Nations General Assembly list of ``least developed countries'')
are characterized by extreme poverty, very limited
infrastructure, and limited administrative capacity to
implement basic human needs growth strategies. In such
countries special measures may be necessary to insure the full
effectiveness of assistance furnished under this part.
---------------------------------------------------------------------------
\100\ 22 U.S.C. 2151v. Sec. 124 was added by sec. 112(a)(1) of the
International Development and Food Assistance Act of 1978 (Public Law
95-424; 92 Stat. 948).
---------------------------------------------------------------------------
(b) For the purpose of promoting economic growth in these
countries, the President is authorized and encouraged to make
assistance under this chapter available on a grant basis to the
maximum extent that is consistent with the attainment of United
States development objectives.
(c) \101\ (1) The Congress recognizes that the relatively
least developed countries have virtually no access to private
international capital markets. Insofar as possible, prior
assistance terms should be consistent with present grant
assistance terms for relatively least developed countries.
Therefore, notwithstanding section 620(r) of this Act and
section 321 of the International Development and Food
Assistance Act of 1975 but subject to paragraph (2) of this
subsection, the President on a case-by-case basis, taking into
account the needs of the country for financial resources and
the commitment of the country to the development objectives set
forth in sections 101 and 102--
---------------------------------------------------------------------------
\101\ Sec. 112(a)(2) of the International Development and Food
Assistance Act of 1978 (92 Stat. 949) stated that the authority granted
by subsec. (c) shall not become effective until October 1, 1979.
---------------------------------------------------------------------------
(A) may permit a relatively least developed country
to place amounts, which would otherwise be paid to the
United States as payments on principal or interest on
liability incurred by that country under this part (or
any predecessor legislation) into local currency
accounts (in equivalent amounts of local currencies as
determined by the official exchange rate for United
States dollars) for use by the relatively least
developed country, with the concurrence of the
Administrator of the agency primarily responsible for
administering this part, for activities which are
consistent with section 102; and
(B) may waive interest payments on liability incurred
by a relatively least developed country under this part
(or any predecessor legislation) if the President
determines that that country would be unable to use for
development purposes the equivalent amounts of local
currencies which could be made available under
subparagraph (A).
(2) The aggregate amount of interest waived and interest
and principal paid into local currency accounts under this
subsection in any fiscal year may not exceed the amount
approved for such purpose in an Act appropriating funds to
carry out this chapter for that fiscal year, which amount may
not exceed the amount authorized to be so approved by the
annual authorizing legislation for development assistance
programs. Amounts due and payable during fiscal year 1981 to
the United States from relatively least developed countries on
loans made under this part (or any predecessor legislation) are
authorized to be approved for use, in accordance with the
provisions of paragraph (1) of this subsection, in an amount
not to exceed $10,845,000.\102\
---------------------------------------------------------------------------
\102\ This sentence was added by sec. 109 of the International
Development Cooperation Act of 1979 (Public Law 96-53; 93 Stat. 363).
The authorization figure for fiscal year 1981 was substituted in lieu
of the fiscal year 1980 authorization ($18,800,000) by sec. 308 of the
International Security and Development Cooperation Act of 1980 (Public
Law 96-533; 94 Stat. 3147).
---------------------------------------------------------------------------
(3) In exercising the authority granted by this subsection,
the President should act in concert with other creditor
countries.
(d) The President may on a case-by-case basis waive the
requirement of section 110(a) for financial or ``in kind''
contributions in the case of programs, projects, or activities
in relatively least developed countries.
(e) Section 110(b) shall not apply with respect to grants
to relatively least developed countries.
Sec. 125.\103\ Project and Program Evaluation.--(a) The
Administrator of the agency primarily responsible for
administering this part is directed to improve the assessment
and evaluation of the programs and projects carried out by that
agency under this chapter. The Administrator shall consult with
the appropriate committees of the Congress in establishing
standards for such evaluations.
---------------------------------------------------------------------------
\103\ 22 U.S.C. 2151w. Sec. 125 was added by sec. 113 of the
International Development and Food Assistance Act of 1978 (Public Law
95-424; 92 Stat. 950). The responsibility of the Administrator
mentioned in this section was transferred to the Director of IDCA,
pursuant to sec. 6 of Reorganization Plan No. 2 of 1979 (establishing
IDCA). The Reorganization Plan No. 2 of 1979 ceased to be effective
with enactment of the Foreign Affairs Reform and Restructuring Act of
1998, pursuant to sec. 1422(a)(1) (division G of Public Law 105-277;
112 Stat. 2681).
---------------------------------------------------------------------------
(b) \104\ * * * [Repealed--1981]
---------------------------------------------------------------------------
\104\ Subsec. (b), which required the President to report to
Congress on improvements to the evaluation of projects and programs
conducted by the international financial institutions and the United
Nations Development Program, was repealed by sec. 734(a)(1) of the
International Security and Development Cooperation Act of 1981 (Public
Law 97-113; 95 Stat. 1560). Such report was submitted on March 26,
1979.
---------------------------------------------------------------------------
Sec. 126.\105\ Development and Illicit Narcotics
Production.--(a) The Congress recognizes that illicit narcotics
cultivation is related to overall development problems and that
the vast majority of all individuals employed in the
cultivation of illicit narcotics reside in the developing
countries and are among the poorest of the poor in those
countries and that therefore the ultimate success of any effort
to eliminate illicit narcotics production depends upon the
availability of alternative economic opportunities for those
individuals, upon other factors which assistance under this
chapter could address, as well as upon direct narcotics control
efforts.
---------------------------------------------------------------------------
\105\ 22 U.S.C. 2151x. Sec. 126 was added by sec. 110 of the
International Development Cooperation Act of 1979 (Public Law 96-53; 93
Stat. 363).
---------------------------------------------------------------------------
(b)(1) \106\ In planning programs of assistance under this
chapter, and chapter 10 of this part,\106\ and under chapter 4
of part II \106\ for countries in which there is illicit
narcotics cultivation, the agency primarily responsible for
administering this part should give priority consideration to
programs which would help reduce illicit narcotics cultivation
by stimulating broader development opportunities.
---------------------------------------------------------------------------
\106\ Sec. 603 of the International Security and Development
Cooperation Act of 1985 (Public Law 99-83; 99 Stat. 190), amended
subsec. (b) by inserting the words: ``and under chapter 4 of Part II''
and by inserting the paragraph designation ``(1)'', and by adding a new
paragraph (2).
Sec. 562 of the Foreign Operations, Export Financing, and Related
Programs Appropriations Act, 1991 (Public Law 101-513; 104 Stat. 2026),
added a new chapter 10 to part I of this Act, providing for long-term
development in sub-Saharan Africa, and made a conforming amendment by
inserting ``, and chapter 10 of this part,''.
---------------------------------------------------------------------------
(2) \106\ The agency primarily responsible for
administering this part may utilize resources for activities
aimed at increasing awareness of the effects of production and
trafficking of illicit narcotics on source and transit
countries.
(c) In furtherance of the purposes of this section, the
agency primarily responsible for administering this part shall
cooperate fully with, and share its expertise in development
matters with, other agencies of the United States Government
involved in narcotics control activities abroad.
Sec. 127.\107\ Accelerated Loan Repayments.--The
Administrator of the agency primarily responsible for
administering this part shall conduct an annual review of
bilateral concessional loan balances and shall determine and
identify those countries whose financial resources make
possible accelerated loan repayments. In particular, European
countries that were recipients of concessional loans by
predecessor agencies to the agency primarily responsible for
administering this part shall be contacted to negotiate
accelerated repayments. The criteria used by the Administrator
in making these determinations shall be established in
conjunction with the Committee on Foreign Affairs \108\ of the
House of Representatives and the Committee on Foreign Relations
of the Senate.
---------------------------------------------------------------------------
\107\ 22 U.S.C. 2151y. Sec. 127 was added by sec. 508(a) of the
International Development Cooperation Act of 1979 (Public Law 96-53; 93
Stat. 379). Sec. 508(b) called on the administration to describe the
efforts made to negotiate accelerated loan repayments in accordance
with sec. 127 within the annual reports on foreign assistance submitted
to Congress in 1980 and 1981 pursuant to sec. 634 of this Act.
\108\ Sec. 1(a)(5) of Public Law 104-14 (109 Stat. 186) provided
that references to the Committee on Foreign Affairs of the House of
Representatives shall be treated as referring to the Committee on
International Relations of the House of Representatives.
---------------------------------------------------------------------------
Sec. 128.\109\ Targeted Assistance.--(a) The President
shall use poverty measurement standards, such as those
developed by the International Bank for Reconstruction and
Development, and other appropriate measurements in determining
target populations for United States development assistance,
and shall strengthen United States efforts to assure that a
substantial percentage of development assistance under this
chapter directly improves the lives of the poor majority, with
special emphasis on those individuals living in absolute
poverty.
---------------------------------------------------------------------------
\109\ 22 U.S.C. 2151z. Sec. 128 was added by sec. 101(b)(2) of
Public Law 97-377 (96 Stat. 1832). Sec. 121(b)(2) of such Act also
required a report to Congress within six months from the Administrator
of AID on the implementation of this provision, the types of projects
determined to meet these requirements, and the effect on the overall
U.S. foreign assistance program.
Sec. 312(a) of the International Security and Development
Cooperation Act of 1985 (Public Law 99-83; 99 Stat. 190) amended sec.
128 by replacing its previous text into new paragraphs ``(a)'' and
``(b).'' Previously sec. 128 read as follows:
``Sec. 128. Targeting Assistance for Those Living in Absolute
Poverty.--In carrying out this chapter, the President in fiscal year
1983, shall attempt to use not less than 40 per centum of the funds
made available to carry out this chapter to finance productive
facilities, goods, and services which will expeditiously and directly
benefit those living in absolute poverty (as determined under the
standards for absolute poverty adopted by the International Bank for
Reconstruction and Development and the International Development
Association). Such facilities, goods, and services may include, for
example, irrigation facilities, extension services, credit for small
farmers, roads, safe drinking water supplies, and health services. Such
facilities, goods, and services may not include studies, reports,
technical advice, consulting services, or any other items unless (A)
they are used primarily by those living in absolute poverty themselves,
or (B) they constitute research which produces or aims to produce
techniques, seeds, or other items to be primarily used by those living
in absolute poverty. Research shall not constitute the major part of
such facilities, goods, and services.''.
Sec. 312(b) of Public Law 99-83 (99 Stat. 190), amended sec.
634(a)(1) of this Act, requiring annual reports to Congress to include
an evaluation of the extent to which programs under chapter 1 part I
directly benefit the poor majority.
---------------------------------------------------------------------------
(b) To the maximum extent possible, activities under this
chapter that attempt to increase the institutional capabilities
of private organizations or governments, or that attempt to
stimulate scientific and technological research, shall be
designed and monitored to ensure that the ultimate
beneficiaries of these activities are the poor majority.
SEC. 129.\110\ PROGRAM TO PROVIDE TECHNICAL ASSISTANCE TO FOREIGN
GOVERNMENTS AND FOREIGN CENTRAL BANKS OF DEVELOPING
OR TRANSITIONAL COUNTRIES.
(a) Establishment of Program.--
(1) In general.--Not later than 150 days after the
date of the enactment of this section, the Secretary of
the Treasury, after consultation with the Secretary of
State and the Administrator of the United States Agency
for International Development, is authorized to
establish a program to provide technical assistance to
foreign governments and foreign central banks of
developing or transitional countries.
---------------------------------------------------------------------------
\110\ 22 U.S.C. 2151aa. Added by sec. 589(a) of the Foreign
Operations, Export Financing, and Related Programs Appropriations Act,
1999 (division A, sec. 101(d) of Public Law 105-277; 112 Stat. 2681).
---------------------------------------------------------------------------
(2) Role of secretary of state.--The Secretary of
State shall provide foreign policy guidance to the
Secretary to ensure that the program established under
this subsection is effectively integrated into the
foreign policy of the United States.
(b) Conduct of Program.--
(1) In general.--In carrying out the program
established under subsection (a), the Secretary shall
provide economic and financial technical assistance to
foreign governments and foreign central banks of
developing and transitional countries by providing
advisers with appropriate expertise to advance the
enactment of laws and establishment of administrative
procedures and institutions in such countries to
promote macroeconomic and fiscal stability, efficient
resource allocation, transparent and market-oriented
processes and sustainable private sector growth.
(2) Additional requirements.--To the extent
practicable, such technical assistance shall be
designed to establish--
(A) tax systems that are fair, objective, and
efficiently gather sufficient revenues for
governmental operations;
(B) debt issuance and management programs
that rely on market forces;
(C) budget planning and implementation that
permits responsible fiscal policy management;
(D) commercial banking sector development
that efficiently intermediates between savers
and investors; and
(E) financial law enforcement to protect the
integrity of financial systems, financial
institutions, and government programs.
(c) Administrative Requirements.--In carrying out the
program established under subsection (a), the Secretary--
(1) shall establish a methodology for identifying and
selecting foreign governments and foreign central banks
to receive assistance under the program;
(2) prior to selecting a foreign government or
foreign central bank to receive assistance under the
program, shall receive the concurrence of the Secretary
of State with respect to the selection of such
government or central bank and with respect to the cost
of the assistance to such government or central bank;
(3) shall consult with the heads of appropriate
Executive agencies of the United States, including the
Secretary of State and the Administrator of the United
States Agency for International Development, and
appropriate international financial institutions to
avoid duplicative efforts with respect to those foreign
countries for which such agencies or organizations
provide similar assistance;
(4) shall ensure that the program is consistent with
the International Affairs Strategic Plan and Mission
Performance Plan of the United States Agency for
International Development;
(5) shall establish and carry out a plan to evaluate
the program.
(d) Administrative Authorities.--In carrying out the
program established under subsection (a), the Secretary shall
have the following administrative authorities:
(1) The Secretary may provide allowances and benefits
under chapter 9 of title I of the Foreign Service Act
of 1980 (22 U.S.C. 4081 et seq.) to any officer or
employee of any agency of the United States Government
performing functions under this section outside the
United States.
(2)(A) The Secretary may allocate or transfer to any
agency of the United States Government any part of any
funds available for carrying out this section,
including any advance to the United States Government
by any country or international organization for the
procurement of commodities, supplies, or services.
(B) Such funds shall be available for obligation and
expenditure for the purposes for which such funds were
authorized, in accordance with authority granted in
this section or under authority governing the
activities of the agency of the United States
Government to which such funds are allocated or
transferred.
(3) Appropriations for the purposes of or pursuant to
this section, and allocations to any agency of the
United States Government from other appropriations for
functions directly related to the purposes of this
section, shall be available for--
(A) contracting with individuals for personal
services abroad, except that such individuals
shall not be regarded as employees of the
United States Government for the purpose of any
law administered by the Office of Personnel
Management;
(B) the purchase and hire of passenger motor
vehicles, except that passenger motor vehicles
may be purchased only--
(i) for use in foreign countries; and
(ii) if the Secretary or the
Secretary's designee has determined
that the vehicle is necessary to
accomplish the mission;
(C) the purchase of insurance for official
motor vehicles acquired for use in foreign
countries;
(D)(i) the rent or lease outside the United
States, not to exceed 5 years, of offices,
buildings, grounds, and quarters, including
living quarters to house personnel, consistent
with the relevant interagency housing board
policy, and payments therefor in advance;
(ii) maintenance, furnishings, necessary
repairs, improvements, and alterations to
properties owned or rented by the United States
Government or made available for use to the
United States Government outside the United
States; and
(iii) costs of insurance, fuel, water, and
utilities for such properties;
(E) expenses of preparing and transporting to
their former homes or places of burial the
remains of foreign participants or members of
the family of foreign participants, who may die
while such participants are away from their
homes participating in activities carried out
with funds covered by this section;
(F) notwithstanding any other provision of
law, transportation and payment of per diem in
lieu of subsistence to foreign participants
engaged in activities of the program under this
section while such participants are away from
their homes in countries other than the United
States, at rates not in excess of those
prescribed by the standardized Government
travel regulations;
(G) expenses in connection with travel of
personnel outside the United States, including
travel expenses of dependents (including
expenses during necessary stop-overs while
engaged in such travel), and transportation of
personal effects, household goods, and
automobiles of such personnel when any part of
such travel or transportation begins in one
fiscal year pursuant to travel orders issued in
that fiscal year, notwithstanding the fact that
such travel or transportation may not be
completed during the same fiscal year, and cost
of transporting automobiles to and from a place
of storage, and the cost of storing automobiles
of such personnel when it is in the public
interest or more economical to authorize
storage; and
(H) grants to, and cooperative agreements and
contracts with, any individual, corporation, or
other body of persons, nonprofit organization,
friendly government or government agency,
whether within or without the United States,
and international organizations, as the
Secretary determines is appropriate to carry
out the purposes of this section.
(4) Whenever the Secretary determines it to be
consistent with the purposes of this section, the
Secretary is authorized to furnish services and
commodities on an advance-of-funds basis to any
friendly country or international organization that is
not otherwise prohibited from receiving assistance
under this Act. Such advances may be credited to the
currently applicable appropriation, account, or fund of
the Department of the Treasury and shall be available
for the purposes for which such appropriation, account,
or fund is authorized to be used.
(e) Issuance of Regulations.--The Secretary is authorized
to issue such regulations with respect to personal service
contractors as the Secretary deems necessary to carry out this
section.
(f) Rule of Construction.--Nothing in this section shall be
construed to infringe upon the powers or functions of the
Secretary of State (including the powers or functions described
in section 103 of the Omnibus Diplomatic Security and
Antiterrorism Act of 1986 (22 U.S.C. 4802)) or of any chief of
mission (including the powers or functions described in section
207 of the Foreign Service Act of 1980 (22 U.S.C. 3927)).
(g) Termination of Assistance.--The Secretary shall
conclude assistance activities for a recipient foreign
government or foreign central bank under the program
established under subsection (a) if the Secretary, after
consultation with the appropriate officers of the United
States, determines that such assistance has resulted in the
enactment of laws or the establishment of institutions in that
country that promote fiscal stability and administrative
procedures, efficient resource allocation, transparent and
market-oriented processes and private sector growth in a
sustainable manner.
(h) Report.--
(1) In general.--Not later than 3 months after the
date of the enactment of this section, and every 6
months thereafter, the Secretary shall prepare and
submit to the appropriate congressional committees a
report on the conduct of the program established under
this section during the preceding 6-month period.
(2) Definition.--In this subsection, the term
``appropriate congressional committees'' means--
(A) the Committee on International Relations
and the Committee on Appropriations of the
House of Representatives; and
(B) the Committee on Foreign Relations and
the Committee on Appropriations of the Senate.
(i) Definitions.--In this section:
(1) Developing or transitional country.--The term
``developing or transitional country'' means a country
eligible to receive development assistance under this
chapter.
(2) International financial institution.--The term
``international financial institution'' means the
International Monetary Fund, the International Bank for
Reconstruction and Development, the International
Development Association, the International Finance
Corporation, the Multilateral Investment Guarantee
Agency, the Asian Development Bank, the African
Development Bank, the African Development Fund, the
Inter-American Development Bank, the Inter-American
Investment Corporation, the European Bank for
Reconstruction and Development, and the Bank for
Economic Cooperation and Development in the Middle East
and North Africa.
(3) Secretary.--The term ``Secretary'' means the
Secretary of the Treasury.
(4) Technical assistance.--The term ``technical
assistance'' includes--
(A) the use of short-term and long-term
expert advisers to assist foreign governments
and foreign central banks for the purposes
described in subsection (b)(1);
(B) training in the recipient country, the
United States, or elsewhere for the purposes
described in subsection (b)(1);
(C) grants of goods, services, or funds to
foreign governments and foreign central banks;
(D) grants to United States nonprofit
organizations to provide services or products
which contribute to the provision of advice to
foreign governments and foreign central banks;
and
(E) study tours for foreign officials in the
United States or elsewhere for the purpose of
providing technical information to such
officials.
(5) Foreign participant.--The term ``foreign
participant'' means the national of a developing or
transitional country that is receiving assistance under
the program established under subsection (a) who has
been designated to participate in activities under such
program.
(j) Authorization of Appropriations.--
(1) In general.--There are authorized to be
appropriated to carry out this section $5,000,000 for
fiscal year 1999.
(2) Availability of amounts.--Amounts authorized to
be appropriated under paragraph (1) are authorized to
remain available until expended.
SEC. 129.\111\ ASSISTANCE FOR VICTIMS OF TORTURE.
(a) In General.--The President is authorized to provide
assistance for the rehabilitation of victims of torture.
---------------------------------------------------------------------------
\111\ 22 U.S.C. 2152. Added by sec. 4(a) of the Torture Victims
Relief Act of 1998 (Public Law 105-320; 112 Stat. 3016), effective
October 1, 1998. See also sec. 4(b) of that Act (p. 425), which
authorized $5,000,000 for fiscal year 1999 and $7,500,000 for fiscal
year 2000 to carry out this section.
---------------------------------------------------------------------------
(b) Eligibility for Grants.--Such assistance shall be
provided in the form of grants to treatment centers and
programs in foreign countries that are carrying out projects or
activities specifically designed to treat victims of torture
for the physical and psychological effects of the torture.
(c) Use of Funds.--Such assistance shall be available--
(1) for direct services to victims of torture; and
(2) to provide research and training to health care
providers outside of treatment centers or programs
described in subsection (b), for the purpose of
enabling such providers to provide the services
described in paragraph (1).
Chapter 2--Other Programs \112\
Sec. 201.\113\ General Authority.--* * * [Repealed--1978]
---------------------------------------------------------------------------
\112\ The chapter heading ``Other Programs'' was inserted in lieu
of ``Development Assistance'' by sec. 102(g)(1)(B) of the International
Development and Food Assistance Act of 1978 (Public Law 95-424; 92
Stat. 942).
\113\ Secs. 201, 202, 203, 204, 207, and 208 were repealed by sec.
102(g)(1)(A) of the International Development and Food Assistance Act
of 1978 (Public Law 95-424; 92 Stat. 942). The text of sec. 204 was
subsequently reinserted as subsec. (e) of sec. 122 of this Act.
---------------------------------------------------------------------------
Sec. 202.\113\ Authorization.--* * * [Repealed--1978]
Sec. 203.\113\ Fiscal Provisions.--* * * [Repealed--1978]
Sec. 204.\113\ Development Loan Committee.--* * *
[Repealed--1978]
Sec. 205.\114\ Relating to Transfers to International
Financial Institutions.--* * * [Repealed--1972]
---------------------------------------------------------------------------
\114\ Sec. 205 was repealed by sec. 101(d) of the FA Act of 1971
(Public Law 92-226; 86 Stat. 21).
---------------------------------------------------------------------------
Title I--Multilateral and Regional Development Programs \115\
---------------------------------------------------------------------------
\115\ Sec. 102(g)(1)(C) of the International Development and Food
Assistance Act of 1978 (Public Law 95-424; 92 Stat. 942) added this new
title heading.
---------------------------------------------------------------------------
Sec. 206.\116\ Regional Development in Africa.--The
President is requested to seek and to take appropriate action,
in cooperation and consultation with African and other
interested nations and with international development
organizations, to further and assist in the advancement of
African regional development institutions, including the
African Development Bank, with the view toward promoting
African economic development.
---------------------------------------------------------------------------
\116\ 22 U.S.C. 2166. Sec. 206 was added by sec. 102(b) of the FA
Act of 1965.
---------------------------------------------------------------------------
Sec. 207.\113\ Purposes of Development Assistance.--* * *
[Repealed--1978]
Sec. 208.\113\ Self-Help Criteria.--* * * [Repealed--1978]
Sec. 209.\117\ Multilateral and Regional Programs.--(a) The
Congress recognizes that the planning and administration of
development assistance by, or under the sponsorship of the
United Nations, multilateral lending institutions, and other
multilateral organizations may contribute to the efficiency and
effectiveness of that assistance through participation of other
donors in the development effort, improved coordination of
policies and programs, pooling of knowledge, avoidance of
duplication of facilities and manpower, and greater
encouragement of self-help performance.
---------------------------------------------------------------------------
\117\ 22 U.S.C. 2169. Sec. 209 was added by sec. 102(e) of the FA
Act of 1967. Sec. 101(c)(1) of the FA Act of 1971 (Public Law 92-226;
86 Stat. 21) amended subsection (a), which formerly read as follows:
``(a) Multilateral Programs.--The Congress recognizes that planning
and administration of development assistance by, or under the
sponsorship of, multilateral lending institutions and other
international organizations may, in some instances, contribute to the
efficiency and effectiveness of that assistance through participation
of other donors in the development effort, improved coordination of
policies and programs, pooling of knowledge, avoidance of duplication
of facilities and manpower, and greater encouragement of self-help
performance.''.
---------------------------------------------------------------------------
(b) \118\ It is further the sense of the Congress (1) that
where problems or opportunities are common to two or more
countries in a region, in such fields as agriculture,
education, transportation, communications, power, watershed
development, disease control, and establishment of development
banks, these countries often can more effectively resolve such
problems and exploit such opportunities by joining together in
regional organizations or working together on regional
programs, (2) that assistance often can be utilized more
efficiently in regional programs than in separate country
programs, and (3) that to the maximum extent practicable
consistent with the purposes of this Act assistance under this
Act should be furnished so as to encourage less developed
countries to cooperate with each other in regional development
programs.
---------------------------------------------------------------------------
\118\ The words ``Regional Programs.--,'' which appeared at this
point, were struck out by sec. 101(c)(3) of the FA Act of 1971 (Public
Law 92-226; 86 Stat. 21).
---------------------------------------------------------------------------
(c) \119\ It is the sense of the Congress that the
President should increase, to the extent practicable, the funds
provided by the United States to multilateral lending
institutions and multilateral organizations in which the United
States participates for use by such institutions and
organizations in making loans to foreign countries.
---------------------------------------------------------------------------
\119\ Subsec. (c), which was added by sec. 101(c)(2) of the FA Act
of 1971 (Public Law 92-226; 86 Stat. 21), was amended by sec. 311 of
Public Law 94-161 (89 Stat. 849). It formerly read as follows:
``Notwithstanding any other provision of law, the President should
reduce the amounts and numbers of loans made by the United States
directly to individual foreign countries with the objective of reducing
the total amount of bilateral loans made under this Act so that, by not
later than June 30, 1975, such total amount shall not exceed
$100,000,000.''.
---------------------------------------------------------------------------
(d) \120\ In furtherance of the provisions of subsection
(a) of this section, any funds appropriated under this part I
may be transferred by the President to the International
Development Association, the International Bank for
Reconstruction and Development, the International Finance
Corporation, the Asian Development Bank or other multilateral
lending institutions and multilateral organizations in which
the United States participates for the purpose of providing
funds to enable any such institution or organization to make
loans to foreign countries.
---------------------------------------------------------------------------
\120\ Subsection (d) was added by sec. 101(c)(2) of the FA Act of
1971.
Sec. 502 of the Foreign Operations, Export Financing, and Related
Programs Appropriations Act, 1999 (Public Law 105-277; 112 Stat. 2681),
provided:
---------------------------------------------------------------------------
``prohibition of bilateral funding for international financial
institutions
---------------------------------------------------------------------------
``Sec. 502. Notwithstanding section 614 of the Foreign Assistance
Act of 1961, none of the funds contained in title II of this Act may be
used to carry out the provisions of section 209(d) of the Foreign
Assistance Act of 1961.''.
---------------------------------------------------------------------------
Sec. 211.\121\ General Authority.--* * * [Repealed--1978]
---------------------------------------------------------------------------
\121\ Secs. 211, 212, 215, 216, 217, 218, 220, and 220A were
repealed by sec. 102(g)(1)(A) of the International Development and Food
Assistance Act of 1978 (Public Law 95-424; 92 Stat. 942).
---------------------------------------------------------------------------
Sec. 212.\121\ Authorization.--* * * [Repealed--1978]
Sec. 213.\122\ Atoms for Peace.--* * * [Repealed--1962]
---------------------------------------------------------------------------
\122\ Sec. 213 was repealed by sec. 103(c) of the FA Act of 1962
(76 Stat. 256).
---------------------------------------------------------------------------
Title II--American Schools and Hospitals Abroad; Prototype Desalting
Plant \123\
---------------------------------------------------------------------------
\123\ This new title heading was added by sec. 102(g)(1)(D) of the
International Development and Food Assistance Act of 1978 (Public Law
95-424; 92 Stat. 942).
---------------------------------------------------------------------------
Sec. 214.\124\ American Schools and Hospitals Abroad.--(a)
The President is authorized to furnish \125\ assistance, on
such terms and conditions as he may specify, to schools and
libraries outside the United States founded or sponsored by
United States citizens and serving as study and demonstration
centers for ideas and practices of the United States.
---------------------------------------------------------------------------
\124\ 22 U.S.C. 2174.
\125\ Sec. 103(b)(1) of the FA Act of 1963 substituted the word
``furnish'' for the words ``use, in addition to other funds available
for such purposes, funds made available for the purposes of sec. 211
for''.
---------------------------------------------------------------------------
(b) The President is authorized,\126\ notwithstanding the
provisions of the Mutual Defense Assistance Control Act of 1951
(22 U.S.C. 1611 et seq.) \127\ to furnish \128\ assistance, on
such terms and conditions as he may specify, to institutions
referred to in subsection (a) of this section, and to hospital
centers for medical education and research outside the United
States, founded or sponsored by United States citizens.\129\
---------------------------------------------------------------------------
\126\ Sec. 103(b)(2) of the FA Act of 1963 struck out the words
``to use'' which appeared at this point.
\127\ Superseded by the Export Administration Act of 1979.
\128\ Sec. 103(b)(2) of the FA Act of 1963 substituted the words
``to furnish'' for the words ``foreign currencies accruing to the
United States Government under any Act, for purposes of subsection (2)
of this section, and for''.
\129\ Sec. 103(c)(1) of the FA Act of 1966 substituted the words to
this point, beginning with ``to institutions referred to'' in lieu of
``to hospitals outside the United States founded or sponsored by United
States citizens and serving as centers for medical education and
research''.
---------------------------------------------------------------------------
(c) \130\ (1) To carry out the purposes of this section,
there are authorized to be appropriated to the President
$35,000,000 for fiscal year 1986 and $35,000,000 for fiscal
year 1987.
---------------------------------------------------------------------------
\130\ Sec. 4(2) of the FA Act of 1973 amended and restated subsec.
(c).
---------------------------------------------------------------------------
(2) Amounts appropriated under paragraph (1) are authorized
to remain available until expended.\131\
---------------------------------------------------------------------------
\131\ The authorization figures for fiscal years 1986 and 1987 were
added by sec. 401 of the International Security and Development
Cooperation Act of 1985 (Public Law 99-83; 99 Stat. 190).
Authorizations under sec. 214 for recent years included the following:
fiscal year 1975--$19,000,000; fiscal year 1976--$25,000,000; fiscal
year 1977--$25,000,000; fiscal year 1978--$25,000,000; fiscal year
1979--$25,000,000; fiscal year 1980--$25,000,000; fiscal year 1981--
$30,000,000; fiscal year 1982--$20,000,000; fiscal year 1983--
$20,000,000; fiscal year 1984--$30,000,000; fiscal year 1985--no
authorization; fiscal years 1988 through 1999--no authorization.
---------------------------------------------------------------------------
(d) \132\ Notwithstanding the provisions of subsection (b),
funds appropriated under this section may be used for
assistance to centers for pediatric plastic and reconstructive
surgery established by Children's Medical Relief International,
except that assistance may not be furnished for the domestic
operations of any such center located in the United States, its
territories or possessions.
---------------------------------------------------------------------------
\132\ Sec. 114(2) of the International Development and Food
Assistance Act of 1978 (Public Law 95-424; 92 Stat. 950) repealed
subsecs. (d) and (e) (which had been added by the FA Act of 1973), and
redesignated subsec. (f) (which had been added by Public Law 95-88; 91
Stat. 539) as subsec. (d).
---------------------------------------------------------------------------
Sec. 215.\121\ Loans to Small Farmers.--* * * [Repealed--
1978]
Sec. 216.\121\ Voluntary Agencies.--* * * [Repealed--1978]
Sec. 217.\121\ Used Equipment.--* * * [Repealed--1978]
Sec. 218.\121\ Fish and Other Protein Concentrates.--* * *
[Repealed--1978]
Sec. 219.\133\ Prototype Desalting Plant.--(a) In
furtherance of purposes of this part and for the purpose of
improving existing, and developing and advancing new technology
and experience in the design, construction, and operation of
large-scale desalting plants of advanced concepts which will
contribute materially to low-cost desalination in all
countries, including the United States, the President, if he
determines it to be feasible, is authorized to participate in
the development of a large-scale water treatment and desalting
prototype plant and necessary appurtenances to be constructed
in Israel as an integral part of a dual-purpose power
generating and desalting project. Such participation shall
include financial, technical, and such other assistance as the
President deems appropriate to provide for the study, design,
construction, and, for a limited demonstration period of not to
exceed five years, operation and maintenance of the water
treatment and desalting facilities of the dual-purpose project.
---------------------------------------------------------------------------
\133\ 22 U.S.C. 2179. Sec. 219 was added by sec. 104 of the FA Act
of 1969 (Public Law 91-175; 83 Stat. 806).
---------------------------------------------------------------------------
(b) Any agreement entered into under subsection (a) of this
section shall include such terms and conditions as the
President deems appropriate to insure, among other things, that
all information, products, uses, processes, patents, and other
developments obtained or utilized in the development of this
prototype plant will be available without further cost to the
United States for the use and benefit of the United States
throughout the world, and to insure that the United States, its
officers and employees have a permanent right to review data
and have access to such plant for the purpose of observing its
operations and improving science and technology in the field of
desalination.
(c) In carrying out the provisions of this section, the
President may enter into contracts with public or private
agencies and with any person without regard to sections 3648
and 3709 of the Revised Statutes of the United States (31
U.S.C. 529 and 41 U.S.C. 5).
(d) Nothing in this section shall be construed as intending
to deprive the owner of any background patent or any right
which such owner may have under that patent.
(e) In carrying out the provisions of this section, the
President may utilize the personnel, services, and facilities
of any Federal agency.
(f) The United States costs, other than its administrative
costs, for the study, design, construction, and operation of a
prototype plant under this section shall not exceed either 50
per centum of the total capital costs of the facilities
associated with the production of water, and 50 per centum of
the operation and maintenance costs for the demonstration
period, or $20,000,000, whichever is less. There are authorized
to be appropriated, subject to the limitations of this
subsection, such sums as may be necessary to carry out the
provisions of this section, including administrative costs
thereof. Such sums are authorized to remain available until
expended.
(g) No funds appropriated for the Office of Saline Water
pursuant to the appropriation authorized by the Act of July 11,
1969 (83 Stat. 45, Public Law 91-43), or prior authorization
Acts, shall be used to carry out the purposes of this section.
Sec. 220.\121\ Programs for Peaceful Communication.--* * *
[Repealed--1978]
Sec. 220A.\121\ Suez Canal.--* * * [Repealed--1978]
Title III--Housing and Other Credit Guaranty Programs \134\
Sec. 221.\135\ Housing Guaranties.--The Congress recognizes
that shelter, including essential urban development services,
is \136\ among the most fundamental of human needs. Shelter for
most people in the developing countries consists largely of
domestic materials assembled by local labor. While recognizing
that most financing for such shelter \137\ must come from
domestic resources, the Congress finds that carefully designed
programs involving United States capital and expertise can
increase the availability of domestic financing for improved
shelter \137\ and related services for low-income people by
demonstrating to local entrepreneurs and institutions that
providing low-cost shelter \137\ can be financially viable. The
Congress reaffirms, therefore, that the United States should
continue to assist developing countries in marshalling
resources for low-cost shelter.\137\ Particular attention
should be given to programs which will support pilot projects
for low-cost shelter or which will have a maximum demonstration
impact on local institutions and national policy. The Congress
declares that the long run goal of all such programs should be
to develop domestic construction capabilities and to stimulate
local credit institutions to make available domestic capital
and other management and technological resources required for
effective low-cost shelter programs and policies.
---------------------------------------------------------------------------
\134\ Title III was added by sec. 105 of the FA Act of 1969. Sec.
8(a)(1) of the FA Act of 1974 substituted the title heading ``Housing
and Other Credit Guaranty Programs'' in lieu of ``Housing Guaranties''.
\135\ 22 U.S.C. 2181. Sec. 221, which was added by the FA Act of
1969, was amended and restated by sec. 115(a) of the International
Development and Food Assistance Act of 1978 (Public Law 95-424; 92
Stat. 950).
\136\ The words ``including essential urban development services,
is'' were inserted in lieu of the words ``requirements are'' by sec.
541(a) of the Foreign Assistance Appropriations Act, 1985, as contained
in the Continuing Appropriations Act, 1985 (Public Law 98-473; 98 Stat.
1903). This amendment had been included as sec. 311(a)(1) of H.R. 5119,
the International Security and Development Cooperation Act of 1984, as
passed by the House on May 10, 1984. Sec. 541(a) enacted sec. 311 of
H.R. 5119.
\137\ The word ``shelter'' was inserted in lieu of the word
``housing'' by sec. 541(a) of the Foreign Assistance Appropriations
Act, 1985, as contained in the Continuing Appropriations Act, 1985
(Public Law 98-473; 98 Stat. 1903). This amendment had been included as
sec. 311(a)(2) of H.R. 5119, the International Security and Development
Cooperation Act of 1984, as passed by the House on May 10, 1984. Sec.
541(a) enacted sec. 311 of H.R. 5119.
---------------------------------------------------------------------------
Sec. 222.\138\ Authorization.--(a) To carry out the policy
of section 221, the President is authorized to issue guaranties
to eligible investors (as defined in section 238(c)) assuring
against losses incurred in connection with loans made for
projects meeting the criteria set forth in section 221. The
total principal amount of guaranties issued under this title or
heretofore issued under prior housing guaranty authorities,
which are outstanding at any one time, shall not exceed
$2,558,000,000.\139\ The authority of this section shall
continue through September 30, 1992.\140\ The President may
issue regulations from time to time with regard to the terms
and conditions upon which such guaranties shall be issued and
the eligibility of lenders.
---------------------------------------------------------------------------
\138\ 22 U.S.C. 2182. Sec. 222, which was added by the FA Act of
1969 and had concerned housing projects in Latin American countries,
was amended and restated by sec. 115(a) of the International
Development and Food Assistance Act of 1978 (Public Law 95-424; 92
Stat. 950).
\139\ This figure was increased from $2,158,000,000 by title II,
chapter III, of the Dire Emergency Supplemental Appropriations for 1990
(Public Law 101-302; 104 Stat. 224). This figure was previously
increased from $1,958,000,000 by sec. 313(a) of the International
Security and Development Cooperation Act of 1985 (Public Law 99-83; 99
Stat. 190); and from $1,718,000,000 by sec. 541(a) of the Foreign
Assistance Appropriations Act, 1985, as contained in the Continuing
Appropriations Act, 1985 (Public Law 98-473; 98 Stat. 1903). This
amendment had been included as sec. 311(b)(1) of H.R. 5119, the
International Security and Development Cooperation Act of 1984, as
passed by the House on May 10, 1984. Sec. 541(a) enacted sec. 311 of
H.R. 5119. Previously, the amount was raised from $1,555,000,000 to
$1,718,000,000 by sec. 310(a) of the International Security and
Development Cooperation Act of 1981 (Public Law 97-113; 95 Stat. 1535)
and from $1,180,000,000 to $1,155,000,000 by sec. 112(a)(1) of Public
Law 96-53 (93 Stat. 363).
Congress did not enact an authorization for fiscal year 1999.
Instead, the Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1999 (division A, sec. 101(d) of Public Law 105-
277; 112 Stat. 2681), waived the requirements for authorization and
title II of that Act provided the following:
---------------------------------------------------------------------------
``urban and environmental credit program account
---------------------------------------------------------------------------
``For the cost, as defined in section 502 of the Congressional
Budget Act of 1974, of guaranteed loans authorized by sections 221 and
222 of the Foreign Assistance Act of 1961, including the cost of
guaranteed loans designed to promote the urban and environmental
policies and objectives of part I of such Act, $1,500,000, to remain
available until expended: Provided, That these funds are available to
subsidize loan principal, 100 per centum of which shall be guaranteed,
pursuant to the authority of such sections. In addition, for
administrative expenses to carry out guaranteed loan programs,
$5,000,000, all of which may be transferred to and merged with the
appropriation for Operating Expenses of the Agency for International
Development: Provided further, That commitments to guarantee loans
under this heading may be entered into notwithstanding the second and
third sentences of section 222(a) of the Foreign Assistance Act of
1961, and the third and fourth sentences of section 223(j) of such Act
are repealed.''.
See also sec. 559 of that Act, relating to special debt relief for
the poorest.
\140\ Title II of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1999 (division A, sec. 101(d) of
Public Law 105-277; 112 Stat. 2681), under the heading ``Urban and
Environmental Credit Program Account'', waived the second and third
sentences of this subsec., which in effect lifted the ceiling on the
outstanding principal amount of guaranties, and continued the authority
contained in the section.
Previously, the authority of this section was extended to September
30, 1992, from Sept. 30, 1991, by title II of the Foreign Operations,
Export Financing, and Related Programs Appropriations Act, 1991 (Public
Law 101-513; 104 Stat. 1989). Previously the authority was extended
from Sept. 30, 1990, by title II of the Foreign Operations, Export
Financing, and Related Programs Appropriations Act, 1990 (Public Law
101-167; 103 Stat. 1205); from Sept. 30, 1989, by title II of the
Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1988 (sec. 101(e) of the Continuing Appropriations
for 1988, Public Law 100-202; 101 Stat. 1329); from Sept. 30, 1986, by
sec. 313(b) of the International Security and Development Cooperation
Act of 1985 (Public Law 99-83; 99 Stat. 190).
The authority of this section was previously extended from Sept.
30, 1984, by sec. 541(a) of the Foreign Assistance Appropriations Act,
1985 as contained in the Continuing Appropriations Act, 1985 (Public
Law 98-473; 98 Stat. 1903). This amendment had been included as sec.
311(b)(2) of H.R. 5119, the International Security and Development
Cooperation Act of 1984, as passed by the House on May 10, 1984. Sec.
541(a) enacted sec. 311 of H.R. 5119. This authority had been extended
previously from Sept. 30, 1982, by sec. 310(a) of the International
Security and Development Cooperation Act of 1981 (Public Law 97-113; 95
Stat. 1535); and from Sept. 30, 1980, by sec. 112(a)(2) of Public Law
96-53 (93 Stat. 364).
---------------------------------------------------------------------------
(b) Activities carried out under this section shall
emphasize--
(1) projects which provide improved home sites to
poor families on which to build shelter, and related
services;
(2) projects comprised of expandable core shelter
units on serviced sites;
(3) slum upgrading projects designed to conserve and
improve existing shelter;
(4) shelter projects for low income people designed
for demonstration or institution building purposes; and
(5) community facilities and services in support of
projects authorized under this section to improve the
shelter occupied by the poor.
(c) In issuing guaranties under this section with respect
to projects in a country which require the use or conservation
of energy, the President shall give consideration to the use of
solar energy technologies, where such technologies are
economically and technically feasible. Technologies which may
be used include solar hot water systems, solar heating and
cooling, passive solar heating, biomass conversion,
photovoltaic and wind applications, and community-scale solar
thermal applications.
(k) \141\ The total principal amount of guaranties issued
under this section for each of the fiscal years 1986 and 1987
shall be comparable to the total principal amount of such
guaranties issued for fiscal year 1984, subject to the dollar
limitations on the issuance of guaranties under this section
which are contained in subsection (a) and in appropriation
Acts.
---------------------------------------------------------------------------
\141\ Sec. 313(c) of the International Security and Development
Cooperation Act of 1985 (Public Law 99-83; 99 Stat 190) added subsec.
(k). This subsection should probably be labeled ``(d)'' instead of
``(k)''.
---------------------------------------------------------------------------
Sec. 222A.\142\ Agricultural and Productive Credit and
Self-Help Community Development Programs.--(a) It is the sense
of the Congress that in order to stimulate the participation of
the private sector in the economic development of less-
developed countries,\143\ the authority conferred by this
section should be used to establish pilot programs \144\ to
encourage private banks, credit institutions, similar private
lending organizations, cooperatives, and private nonprofit
development organizations to make loans on reasonable terms to
organized groups and individuals residing in a community for
the purpose of enabling such groups and individuals to carry
out agricultural credit and self-help community development
projects for which they are unable to obtain financial
assistance on reasonable terms. Agricultural credit and
assistance for self-help community development projects should
include, but not be limited to, material and such projects as
wells, pumps, farm machinery, improved seed, fertilizer,
pesticides, vocational training, food industry development,
nutrition projects, improved breeding stock for farm animals,
sanitation facilities, and looms and other handicraft aids.
---------------------------------------------------------------------------
\142\ 22 U.S.C. 2182a. Sec. 222A was added by sec. 8(a)(2) of the
FA Act of 1974.
\143\ The words ``in not more than six Latin American countries''
and the words ``in Latin America'' were deleted by sec. 541(a) of the
Foreign Assistance Appropriations Act, 1985, as contained in the
Continuing Appropriations Act, 1985 (Public Law 98-473; 98 Stat. 1903).
This amendment had been included as sec. 312(a)(1) of H.R. 5119, the
International Security and Development Cooperation Act of 1984, as
passed by the House on May 10, 1984. Sec. 541(a) enacted sec. 312 of
H.R. 5119.
\144\ Previously such programs were limited to not more than six
Latin American countries (Public Law 99-53; 99 Stat. 364).
---------------------------------------------------------------------------
(b) To carry out the purposes of subsection (a), the agency
primarily responsible for administering part I is authorized to
issue guaranties, on such terms and conditions as it shall
determine, to private lending institutions, cooperatives, and
private nonprofit development organizations \145\ assuring
against loss of not to exceed 50 per centum of the portfolio of
such loans made by any lender to organized groups or
individuals residing in a community to enable such groups or
individuals to carry out agricultural credit and self-help
community development projects for which they are unable to
obtain financial assistance on reasonable terms. In no event
shall the liability of the United States exceed 75 per centum
of any one loan.
---------------------------------------------------------------------------
\145\ The words ``in not more than five Latin American countries'',
that previously appeared at this point, were struck out by sec. 541(a)
of the Foreign Assistance Appropriations Act, 1985, as contained in the
Continuing Appropriations Act, 1985 (Public Law 98-473; 98 Stat. 1903).
This amendment had been included as sec. 312(a)(2) of H.R. 5119, the
International Security and Development Cooperation Act of 1984, as
passed by the House on May 10, 1984. Sec. 541(a) enacted sec. 312 of
H.R. 5119.
---------------------------------------------------------------------------
(c) The total face amount of guaranties issued under this
section outstanding at any one time shall not exceed
$20,000,000.\146\ Not more than 10 per centum of such sum shall
be provided for any one institution, cooperative, or
organization.
---------------------------------------------------------------------------
\146\ This figure was increased from $15,000,000 by sec. 112(b)(2)
of the International Development Cooperation Act of 1979 (Public Law
96-53; 93 Stat. 364).
---------------------------------------------------------------------------
(d) The Inter-American Foundation shall be consulted in
developing criteria for making loans eligible for guaranty
coverage in Latin America under this section.
(e) Not to exceed $3,000,000 of the guaranty reserve
established under section 223(b) shall be available to make
such payments as may be necessary to discharge liabilities
under guaranties issued under this section or any guaranties
previously issued under section 240 of this Act.
(f) Funds held by the Overseas Private Investment
Corporation pursuant to section 236 may be available for
meeting necessary administrative and operating expenses for
carrying out the provisions of this section through June 30,
1976.
(g) The Overseas Private Investment Corporation shall, upon
enactment of this subsection, transfer to the agency primarily
responsible for administering part I all obligations, assets,
and related rights and responsibilities arising out of, or
related to the predecessor program provided for in section 240
of this Act.
(h) The authority of this section shall continue through
September 30, 1988.\147\
---------------------------------------------------------------------------
\147\ This authority was extended from Sept. 30, 1986, to Sept. 30,
1988, by sec. 313 (d) of the International Security and Development
Cooperation Act of 1985 (Public Law 99-83; 99 Stat. 190). This
authority was previously extended from Sept. 30, 1983 to Sept. 30,
1986, by sec. 541(a) of the Foreign Assistance Appropriations Act, 1985
(Public Law 98-473). This amendment had been included as sec. 312(b) of
H.R. 5119, the International Security and Development Cooperation Act
of 1984, as passed by the House on May 10, 1984. Sec. 541(a) enacted
sec. 312 of H.R. 5119. Such authority had previously been extended from
Dec. 31, 1977 to Sept. 30, 1978, by Public Law 95-88 (91 Stat. 540),
from Sept. 30, 1978 to Sept. 30, 1979, by Public Law 95-424 (92 Stat.
951), from Sept. 30, 1979 to Sept. 30, 1982, by Public Law 96-53 (93
Stat. 364), and from Sept. 30, 1982 to Sept. 30, 1983, by Public Law
97-438 (96 Stat. 2286).
---------------------------------------------------------------------------
(i) Notwithstanding the limitations in subsection (c) of
this section, foreign currencies owned by the United States and
determined by the Secretary of the Treasury to be excess to the
needs of the United States may be utilized to carry out the
purposes of this section, including the discharge of
liabilities under this subsection. The authority conferred by
this subsection shall be in addition to authority conferred by
any other provision of law to implement guaranty programs
utilizing excess local currency.\148\
---------------------------------------------------------------------------
\148\ Subsec. (j), which previously appeared at this point and
concerned a one-time reporting requirement, was repealed by sec.
502(d)(1) of the International Development and Food Assistance Act of
1978 (Public Law 95-424; 92 Stat. 959).
---------------------------------------------------------------------------
Sec. 223.\149\ General Provisions.--(a) A fee shall be
charged for each guaranty issued under section 222 or 222A
\150\ in an amount to be determined by the President. In the
event the fee to be charged for such type guaranty is reduced,
fees to be paid under existing contracts for the same type of
guaranty may be similarly reduced.
---------------------------------------------------------------------------
\149\ 22 U.S.C. 2183. Sec. 223 was added by sec. 105 of the FA Act
of 1969.
\150\ Sec. 8(a)(3) of the FA Act of 1974 inserted ``section 221,
222, or 222A'' in lieu of ``section 221 or section 222''. Subsequently,
the reference to sec. 221 was struck by sec. 115 of the International
Development and Food Assistance Act of 1978 (Public Law 95-424; 92
Stat. 951).
---------------------------------------------------------------------------
(b) The amount of $50,000,000 of fees accumulated under
prior investment guaranty provisions repealed by the Foreign
Assistance Act of 1969, together with all fees collected in
connection with guaranties issued under section 222 \151\ or
under prior housing guaranty authorities,\152\ shall be
available for meeting necessary administrative and operating
expenses of carrying out the provisions of section 222 and
administering housing guaranties heretofore authorized under
this title and under \153\ prior housing guaranty provisions
repealed by the Foreign Assistance Act of 1969 (including, but
not limited to expenses pertaining to personnel, supplies, and
printing), subject to such limitations as may be imposed in
annual appropriation Acts; for meeting management and custodial
costs incurred with respect to currencies or other assets
acquired under guaranties made pursuant to section 222 \151\ or
heretofore pursuant to this title or \154\ prior Latin American
and other housing guaranty authorities repealed by the Foreign
Assistance Act of 1969; and to pay the cost of investigating
and adjusting (including cost of arbitration) claims under such
guaranties; and shall be available for expenditure in discharge
of liabilities under such guaranties until such time as all
such property has been disposed of and all such liabilities
have been discharged or have expired, or until all such fees
have been expended in accordance with the provisions of this
subsection. Fees collected in connection with guaranties issued
under section 222A shall likewise be available to meet similar
expenses, costs, or liabilities incurred in connection with the
programs authorized by that section.\155\ All of the foregoing
fees referred to in this section together with earnings thereon
and other income arising from guaranty operations under this
title shall be held in a revolving fund account maintained in
the Treasury of the United States. All funds in such account
may be invested in obligations of the United States. Any
interest or other receipts derived from such investments shall
be credited to such account and may be used for the purposes
cited in this section.\156\
---------------------------------------------------------------------------
\151\ Sec. 8(a)(3) of the Foreign Assistance Act of 1974 (Public
Law 93-559)struck out ``this title'' and inserted in lieu thereof
``section 221 or section 222''. Sec. 115(d) of International
Development and Food Assistance Act (Public Law 95-424; 92 Stat. 945)
struck out reference to section 221.
\152\ Sec. 117(b)(2)(A) of the International Development and Food
Assistance Act of 1977 (Public Law 95-88; 91 Stat. 540) struck out the
word ``hereunder'' and inserted the words ``under section 221 or 222 or
under prior housing guaranty authorities''.
\153\ The words to this point beginning with ``222 and
administering * * *'' were substituted in lieu of ``221 and section 222
of'' by sec. 115(d)(2) of the International Development and Food
Assistance Act of 1978 (Public Law 95-424; 92 Stat. 951).
\154\ The words ``this title or'' were added by sec. 115(d)(4) of
the International Development and Food Assistance Act of 1978 (Public
Law 95-424; 92 Stat. 951).
\155\ This sentence was added by sec. 117(b)(2) of the
International Development and Food Assistance Act of 1977 (Public Law
95-88; 91 Stat. 540).
\156\ The final three sentences of subsec. (b) were added by sec.
310(b) of the International Security and Development Cooperation Act of
1981 (Public Law 97-113; 95 Stat. 1535).
---------------------------------------------------------------------------
(c) Any payments made to discharge liabilities under
guaranties issued under this title or \157\ section 222 or
heretofore under prior Latin American or other housing guaranty
authorities repealed by the Foreign Assistance Act of 1969,
shall be paid first out of fees referred to in subsection (b)
(excluding amounts required for purposes other than the
discharge of liabilities under guaranties) as long as such fees
are available, and thereafter shall be paid out of funds, if
any, realized from the sale of currencies or other assets
acquired in connection with any payment made to discharge
liabilities under such guaranties as long as funds are
available, and finally out of funds hereafter made available
pursuant to subsection (e).
---------------------------------------------------------------------------
\157\ The words ``under this title or'' were inserted in lieu of
``section 221 or'' by sec. 115(e) of the International Development and
Food Assistance Act of 1978 (Public Law 95-424; 92 Stat. 951).
---------------------------------------------------------------------------
(d) All guaranties issued under section 222 or 222A or
previously under section 240 of this Act \158\ or heretofore
under this title or \159\ under prior Latin American or other
housing guaranty authority repealed by the Foreign Assistance
Act of 1969 shall constitute obligations, in accordance with
the terms of such guaranties of the United States of America
and the full faith and credit of the United States of America
is hereby pledged for the full payment and performance of such
obligations.
---------------------------------------------------------------------------
\158\ Sec. 8(a)(5) of the FA Act of 1974 substituted ``section 221,
222, 222A, or previously under section 240 of this Act'' in lieu of
``section 221 or section 222.'' Subsequently, sec. 115(f) of Public Law
95-424 struck out the reference to sec. 221.
\159\ The words ``under this title or'' were added by sec.
115(f)(2) of the International Development and Food Assistance Act of
1978 (Public Law 95-424; 92 Stat. 951).
---------------------------------------------------------------------------
(e)(1) \160\ There is hereby authorized to be appropriated
to the President such amounts, to remain available until
expended, as may be necessary from time to time to carry out
the purposes of this title.
---------------------------------------------------------------------------
\160\ The para. designation ``(1)'' and a new para. (2) were added
by sec. 541(a) of the Foreign Assistance Appropriations Act, 1985, as
contained in the Continuing Appropriations Act, 1985 (Public Law 98-
473; 98 Stat. 1903). This amendment had been included as sec. 311(c) of
H.R. 5119, the International Security and Development Cooperation Act
of 1984, as passed by the House on May 10, 1984. Sec. 541(a) enacted
sec. 311 of H.R. 5119.
---------------------------------------------------------------------------
(2) \160\ (A) In order to meet obligations incurred for the
payment of claims pursuant to loan guaranties described in
subsection (d), the Administrator of the agency primarily
responsible for administering part I may, to the extent that
reserves are not sufficient, borrow from time to time from the
Treasury except that--
(i) the Administrator may exercise the authority to
borrow under this paragraph only to such extent or in
such amounts as are provided in advance in
appropriation Acts; and
(ii) the amount borrowed under this paragraph which
is outstanding at any one time may not exceed
$100,000,000.\161\
---------------------------------------------------------------------------
\161\ $100,000,000 was substituted in lieu of $40,000,000 by title
II of the Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1988 (sec. 101(e) of the Continuing Appropriations
for 1988, Public Law 100-202; 101 Stat. 1329).
---------------------------------------------------------------------------
(B) Any such borrowing shall bear interest at a rate
determined by the Secretary of the Treasury, taking into
account the current average market yield on outstanding
marketable obligations of the United States of comparable
maturities. The Secretary of the Treasury shall make loans
under this paragraph and for such purpose may borrow on the
credit of the United States in accordance with subchapter I of
chapter 31 of title 31 of the United States Code.
(f) In the case of any loan investment guaranteed under
section 222,\151\ the agency primarily responsible for
administering part I shall prescribe the maximum rate of
interest allowable to the eligible investor, which maximum rate
shall not exceed by more than 1 per centum the then current
rate of interest applicable to housing mortgages insured by the
Department of Housing and Urban Development.\162\ The maximum
allowable rate of interest under this subsection shall be
prescribed by the agency as of the date the project covered by
the investment is officially authorized and, prior to the
execution of the contract, the agency may amend such rate at
its discretion, consistent with the provisions of subsection
(f).
---------------------------------------------------------------------------
\162\ Language which specified that the maximum rate of interest
should not be less than one-half of 1 per centum above the then current
rate of interest applicable to housing mortgages insured by HUD, was
struck out by sec. 112(c) of the International Development Cooperation
Act of 1979 (Public Law 96-53; 93 Stat. 364).
---------------------------------------------------------------------------
(g) Housing guaranties committed, authorized, or
outstanding heretofore under this title or \163\ under prior
housing guaranty authorities repealed by the Foreign Assistance
Act of 1969 shall continue subject to provisions of law
originally applicable thereto and fees collected hereafter with
respect to such guaranties shall be available for the purposes
specified in subsection (b).
---------------------------------------------------------------------------
\163\ The words ``heretofore under this title or'' were added by
sec. 115(h) of the International Development and Food Assistance Act of
1978 (Public Law 95-424; 92 Stat. 951).
---------------------------------------------------------------------------
(h) No payment may be made under any guaranty issued
pursuant to this title for any loss arising out of fraud or
misrepresentation for which the party seeking payment is
responsible.
(i) \164\ * * * [Repealed--1978]
---------------------------------------------------------------------------
\164\ Subsec. (i), which had authorized sections 221 and 222 to
continue in force until Sept. 30, 1979, was repealed by sec. 115(i) of
the International Development and Food Assistance Act of 1978 (Public
Law 95-424; 92 Stat. 952).
---------------------------------------------------------------------------
(j) \165\ Guaranties shall be issued under section 222
\151\ only for housing projects which are coordinated with and
complementary to any development assistance being furnished
under chapter 1 of this part and which \166\ are specifically
designed to demonstrate the feasibility and suitability of
particular kinds of housing or of financial or other
institutional arrangements. Of the aggregate face value of
housing guaranties hereafter issued under this title, not less
than 90 per centum shall be issued for housing suitable for
families with income below the median income (below the median
urban income for housing in urban areas) in the country in
which the housing is located.\167\
---------------------------------------------------------------------------
\165\ Sec. 311(5)(B) of Public Law 94-161 (89 Stat. 849) added
subsection (j).
\166\ The words to this point beginning with ``are coordinated with
and'' were substituted by sec. 112(d)(1) of the International
Development Cooperation Act of 1979 (Public Law 96-53; 93 Stat. 364) in
lieu of the following: ``(1) except for regional projects are in
countries which are receiving, or which in the previous two fiscal
years have received, development assistance under chapter 1 of part I
of this Act, (2) are coordinated with and complementary to such
assistance, and (3)''.
\167\ Title II of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1999 (division A, sec. 101(d) of
Public Law 105-277; 112 Stat. 2681) struck out the third and fourth
sentences of subsec. (j). The fourth sentence had previously been
amended and restated by sec. 112(d)(2) of the International Development
Cooperation Act of 1979 (Public Law 96-53; 93 Stat. 364). The two
stricken sentences, as amended, had read as follows:
``The face value of guaranties issued with respect to housing in
any country shall not exceed $25,000,000 in any fiscal year, and the
average face value of guaranties issued in any fiscal year shall not
exceed $15,000,000. Of the total amount of housing guaranties
authorized to be issued under section 222 through September 30, 1982,
not less than a face amount of $25,000,000 shall be issued for projects
in Israel and not less than a face amount of $25,000,000 shall be
issued for projects in Egypt.''.
---------------------------------------------------------------------------
Sec. 224.\168\ Trade Credit Insurance Program for Central
America.--(a) In order to enable the Export-Import Bank of the
United States (hereafter in this section referred to as the
``Bank'') to determine that there exists reasonable assurance
of repayment as required under section 2(b)(1)(B) of the
Export-Import Bank Act of 1945,\169\ the agency primarily
responsible for administering part I of this Act (hereafter in
this section referred to as the ``Agency'') is authorized to
provide guarantees to the Bank for liabilities to be incurred
by the Bank in connection with guarantees or insurance provided
under the Export-Import Bank Act of 1945 for financing for
transactions involving the export of goods and services for the
use of the private sector in Central American countries.
---------------------------------------------------------------------------
\168\ 22 U.S.C. 2184. Sec. 224 was added by sec. 541(a) of the
Foreign Assistance Appropriations Act, 1985, as contained in the
Continuing Appropriations Act, 1985 (Public Law 98-473; 98 Stat. 1903).
This amendment had been included as sec. 1011 of H.R. 5119, the
International Security and Development Cooperation Act of 1984, as
passed by the House on May 10, 1984. Sec. 541(a) enacted sec. 1011 of
H.R. 5119. Reference in the section title to Central America was added
by the Support for East European Democracy (SEED) Act of 1989 (Public
Law 101-179; 103 Stat. 1313).
\169\ For text, see Legislation on Foreign Relations Through 1998,
vol. III.
---------------------------------------------------------------------------
(b)(1) Guarantees provided by the Agency pursuant to the
authority of subsection (a) shall be for short-term guarantees
and insurance extended by the Bank which shall be repayable
within a period not to exceed one year from the date of arrival
at the port of importation of the goods and services covered by
such guarantees or insurance. Guarantees or insurance extended
by the Bank and guaranteed by the Agency pursuant to subsection
(a) shall be provided by the Bank in accordance with criteria
and procedures agreed to by the Agency and the Bank. Such
agreement shall also provide for the establishment of a reserve
fund by the Agency, with such funds made available to the
reserve as the Agency deems necessary to discharge liabilities
under guarantees provided by the Agency pursuant to subsection
(a).
(2) The administrator of such agency shall transmit a copy
of such agreement to the Speaker of the House of
Representatives and to the Committee on Foreign Relations and
the Committee on Banking, Housing, and Urban Affairs of the
Senate.
(c) The Agency shall not enter into any commitments to
guarantee under subsection (a) after September 30, 1991.\170\
---------------------------------------------------------------------------
\170\ Title IV of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1991 (Public Law 101-513; 104
Stat. 2001), struck out ``September 30, 1990'' and inserted in lieu
thereof ``September 30, 1991''.
---------------------------------------------------------------------------
(d) Of the funds authorized to be appropriated for chapter
4 of part II of this Act, there are authorized to be made
available such sums as may be deemed necessary by the Agency to
discharge liabilities under guarantees entered into under
subsection (a).
(e) Commitments to guarantee under subsection (a) are
authorized only to the extent and in the amounts provided in
appropriations Acts, except that the aggregate amount of
outstanding commitments under subsection (a) may not exceed
$300,000,000 of contingent liability for loan principal during
fiscal year 1986 and may not exceed $400,000,000 of contingent
liability for loan principal during fiscal year 1987.\171\
---------------------------------------------------------------------------
\171\ Sec. 314 of the International Security and Development
Cooperation Act of 1985 substituted the text following the word
``Acts,'' in lieu of the words ``not to exceed $300,000,000 in the
fiscal year 1985.''.
---------------------------------------------------------------------------
(f) To the extent that any of the funds made available
pursuant to subsection (d) are paid out for a claim arising out
of liabilities guaranteed under subsection (a), amounts
received after the date of such payment, with respect to such
claim, shall be credited to the reserve fund referred to in
subsection (b), shall be merged with the funds in such reserve,
and shall be available for the purpose of payments by the
Agency to the Bank for guarantees under subsection (a).
(g) Beginning on a date six months after the date of
enactment of this section, and at intervals of six months
thereafter, the administrator of the agency primarily
responsible for administering part I of this Act and the
President of the Export-Import Bank of the United States shall
prepare and transmit to the Speaker of the House of
Representatives and the Chairman of the Committee on Foreign
Relations of the Senate a report on the amount and extension of
credits during the preceding six-month period.
(h) The Export-Import Bank shall provide without
reimbursement such administrative and technical assistance to
the Agency as the Bank and the Agency deem appropriate to
assist the Agency in carrying out this section.
Sec. 225.\172\ Trade Credit Insurance Program for Poland.
---------------------------------------------------------------------------
\172\ 22 U.S.C. 2185. Section 304 of the Support for East European
Democracy (SEED) Act of 1989 (Public Law 101-179; 103 Stat. 1312) added
sec. 225.
---------------------------------------------------------------------------
(a) General Authority.--
(1) Assurance to export-import bank of repayment.--
The President is authorized to provide guarantees to
the Bank for liabilities described in paragraph (2) in
order to satisfy the requirement of section 2(b)(1)(B)
of the Export-Import Bank Act of 1945 (12 U.S.C.
635(b)(1)(B)) that the Bank have reasonable assurance
of repayment.
(2) Liabilities which may be guaranteed.--The
liabilities that may be guaranteed under paragraph (1)
are liabilities incurred by the Bank in connection with
guarantees or insurance provided under the Export-
Import Bank Act of 1945 for financing for transactions
involving the export of goods and services for the use
of the private sector in Poland.
(b) Guarantees Available Only for Short-Term Guarantees and
Insurance.--Guarantees provided under subsection (a) shall be
for short-term guarantees and insurance extended by the Bank
which shall be repayable within a period not to exceed one year
from the date of arrival at the port of importation of the
goods and services covered by such guarantees or insurance.
(c) Agreement on Criteria and Procedures.--Guarantees or
insurance extended by the Bank and guaranteed pursuant to
subsection (a) shall be provided by the Bank in accordance with
criteria and procedures agreed to by the Administrator and the
Bank.
(d) Reserve Fund.--The agreement referred to in subsection
(c) shall also provide for the establishment of a reserve fund
by the administering agency, with such funds made available to
the reserve as the Administrator deems necessary to discharge
liabilities under guarantees provided under subsection (a).
(e) Discharge of Liabilities.--
(1) Funds which may be used.--Such amounts of the
funds made available to carry out chapter 4 of part II
of this Act (relating to the economic support fund) as
the President determines are necessary may be made
available to discharge liabilities under guarantees
entered into under subsection (a).
(2) Crediting of subsequent payments.--To the extent
that any of the funds made available pursuant to
paragraph (1) are paid out for a claim arising out of
liabilities guaranteed under subsection (a), amounts
received after the date of such payment, with respect
to such claim, shall be credited to the reserve fund
established pursuant to subsection (d), shall be merged
with the funds in such reserve, and shall be available
for the purpose of payments by the Administrator to the
Bank for guarantees under subsection (a).
(f) Appropriations Action Required.--Commitments to guarantee
under subsection (a) are authorized only to the extent and in
the amounts provided in advance in appropriations Acts.
(g) Limitation on Outstanding Commitments.--The aggregate
amount of outstanding commitments under subsection (a) may not
exceed $200,000,000 of contingent liability for loan principal
during any fiscal year.
(h) Biannual Reports to Congress.--Every 6 months, the
Administrator and the President of the Bank shall prepare and
transmit to the Speaker of the House of Representatives and the
Chairman of the Committee on Foreign Relations of the Senate a
report on the amount and extension of guarantees and insurance
provided by the Bank and guaranteed under this section during
the preceding 6-month period.
(i) Administrative and Technical Assistance.--The Bank shall
provide, without reimbursement, such administrative and
technical assistance to the administering agency as the Bank
and the Administrator determine appropriate to assist the
administering agency in carrying out this section.
(j) Fees and Premiums.--The Bank is authorized to charge fees
and premiums, in connection with guarantees or insurance
guaranteed by the administering agency under subsection (a),
that are commensurate (in the judgment of the Bank) with the
Bank's administrative costs and the risks covered by the
agency's guarantees. Any amounts received by the Bank in excess
of the estimated costs incurred by the Bank in administering
such guarantees or insurance--
(1) shall be credited to the reserve fund established
pursuant to subsection (d),
(2) shall be merged with the funds in such reserve,
and
(3) shall be available for the purpose of payments by
the administering agency to the Bank for guarantees
under subsection (a).
(k) Restrictions Not Applicable.--Prohibitions on the use of
foreign assistance funds for assistance for Poland shall not
apply with respect to the funds made available to carry out
this section.
(l) Expiration of Authority.--The President may not enter
into any commitments to guarantee under subsection (a) after
September 30, 1992.
(m) Definitions.--For purposes of this section--
(1) the term ``administering agency'' means the
Agency for International Development;
(2) the term ``Administrator'' means the
Administrator of the Agency for International
Development; and
(3) the term ``Bank'' means the Export-Import Bank of
the United States.
SEC. 226.\173\ LOAN GUARANTEES TO ISRAEL PROGRAM.
(a) In General.--Subject to the terms and conditions of
this section, during the period beginning October 1, 1992, and
ending September 30, 1997, the President is authorized to issue
guarantees against losses incurred in connection with loans to
Israel made as a result of Israel's extraordinary humanitarian
effort to resettle and absorb immigrants into Israel from the
republics of the former Soviet Union, Ethiopia and other
countries. In the event that less than the full amount
authorized to be issued under subsection (b) of this section is
issued in such period, the authority to issue the balance of
such guarantees shall be available in the fiscal year ending on
September 30, 1998.
---------------------------------------------------------------------------
\173\ 22 U.S.C. 2186. Added by sec. 601 of the Foreign Operations,
Export Financing, and Related Programs Appropriations Act, 1993 (Public
Law 102-391; 106 Stat. 1699).
---------------------------------------------------------------------------
(b) \174\ Fiscal Year Levels.--The President is authorized
to issue guarantees in furtherance of the purposes of this
section. Subject to subsection (d), the total principal amount
of guarantees which may be issued by the President under this
section shall be up to $10,000,000,000 which may be issued as
follows:
---------------------------------------------------------------------------
\174\ In past years, the President has determined, pursuant to sec.
226(d), that amounts authorized under this section for loan guarantees
be reduced. See Presidential Determination No. 93-44 of September 30,
1993 (58 F.R. 52209); Presidential Determination No. 94-57 of September
30, 1994 (59 F.R. 52057); Presidential Determination No. 95-46 of
September 29, 1995 (60 F.R. 53087).
---------------------------------------------------------------------------
(1) in fiscal year 1993, up to $2,000,000,000 may be
issued on October 1, 1992 or thereafter;
(2) subject to subsection (d), in fiscal years 1994
through 1997, up to $2,000,000,000 in each fiscal year
may be issued on October 1 or thereafter.
(3) If less than the full amount of guarantees
authorized to be made available in a fiscal year
pursuant to paragraphs (1) and (2) of this subsection
is issued to Israel during that fiscal year, the
authority to issue the balance of such guarantees shall
extend to any subsequent fiscal year ending on or
before September 30, 1998.
(4)(A) Not later than September 1 of each year during
the period in which the President is authorized to
issue loan guarantees under subsection (a), beginning
in fiscal year 1993, the President shall notify the
appropriate congressional committees in writing of his
intentions regarding the exercise of that authority for
the fiscal year beginning on October 1 of that year,
including a statement of the total principal amount of
guarantees, if any, that the President proposes to
issue for that fiscal year.
(B) For purposes of this paragraph, the term
``appropriate congressional committees'' means the
Committee on Appropriations and the Committee on
Foreign Relations of the Senate and the Committee on
Appropriations and the Committee on Foreign Affairs
\175\ of the House of Representatives.
---------------------------------------------------------------------------
\175\ Sec. 1(a)(5) of Public Law 104-14 (109 Stat. 186) provided
that references to the Committee on Foreign Affairs of the House of
Representatives shall be treated as referring to the Committee on
International Relations of the House of Representatives.
---------------------------------------------------------------------------
(c) Use of Guarantees.--Guarantees may be issued under this
section only to support activities in the geographic areas
which were subject to the administration of the Government of
Israel before June 5, 1967.
(d) \174\ Limitation on Guarantee Amount.--The amount of
authorized but unissued guarantees that the President is
authorized to issue as specified in subsection (b) shall be
reduced by an amount equal to the amount extended or estimated
to have been extended by the Government of Israel during the
previous year for activities which the President determines are
inconsistent with the objectives of this section or
understandings reached between the United States Government and
the Government of Israel regarding the implementation of the
loan program. The President shall submit a report to Congress
no later than September 30 of each fiscal year during the
pendency of the program specifying the amount calculated under
this subsection and that will be deducted from the amount of
guarantees authorized to be issued in the next fiscal year.
(e) Fees.--
(1) Fees charged for the loan guarantee program under
this section each year shall be an aggregate annual
origination fee equal to the estimated subsidy cost of
the guarantees issued under this section for that year,
calculated by the Office of Management and Budget for
the Federal Credit Reform Act of 1990. This shall also
include an amount for the administrative expenses of
the Agency for International Development in
administering the program under this section. All such
fees shall be paid by the Government of Israel to the
Government of the United States. Funds made available
for Israel under chapter 4 of Part II of the Foreign
Assistance Act of 1961, as amended, may be utilized by
the Government of Israel to pay such fees to the United
States Government. No further appropriations of subsidy
cost are needed for the loan guarantee authorized
hereunder for fiscal year 1993 and the four succeeding
fiscal years.
(2) The origination fee shall be payable to the
United States Government on a pro rata basis as each
guarantee for each loan or increment is issued.
(f) Authority To Suspend.--Except as provided in
subsections (l) and (m) of this section, the President shall
determine the terms and conditions for issuing guarantees. If
the President determines that these terms and conditions have
been breached, the President may suspend or terminate the
provision of all or part of the additional loan guarantees not
yet issued under this section. Upon making such a determination
to suspend or terminate the provision of loan guarantees, the
President shall submit to the Speaker of the House of
Representatives and the President Pro Tempore of the Senate his
determination to do so, including the basis for such suspension
or termination.
(g) Procedures for Suspension or Termination.--Any
suspension or termination pursuant to subsection (f) shall be
in accordance with the following procedures:
(1) Upon making a determination to suspend or
terminate the provision of loan guarantees, the
President shall submit to the Speaker of the House of
Representatives and the President Pro Tempore of the
Senate his determination to do so, including the basis
for such suspension or termination.
(2) Such a suspension or termination shall cease to
be effective if Congress enacts, within 30 days of
submission, a joint resolution authorizing the
assistance notwithstanding the suspension.
(3) Any such joint resolution shall be considered in
the Senate in accordance with the provisions of section
601(b) of the International Security Assistance and
Arms Export Control Act of 1976.
(4) For the purpose of expediting the consideration
and enactment of joint resolutions under this
subsection, a motion to proceed to the consideration of
any such joint resolution after it has been reported by
the appropriate committee shall be treated as highly
privileged in the House of Representatives.
(5) In the event that the President suspends the
provision of additional loan guarantees under
subsection (f) and Congress does not enact a joint
resolution pursuant to this subsection, the provision
of additional loan guarantees under the program
established by this section may be resumed only if the
President determines and so reports to Congress that
the reasons for the suspension have been resolved or
that the resumption is otherwise in the national
interest.
(h) Economic Context.--The effective absorption of immigrants
into Israel from the republics of the former Soviet Union and
Ethiopia within the private sector requires large investment
and economic restructuring to promote market efficiency and
thereby contribute to productive employment and sustainable
growth. Congress recognizes that the Government of Israel is
developing an economic strategy designed to achieve these
goals, and that the Government of Israel intends to adopt a
comprehensive, multi-year economic strategy based on prudent
macroeconomic policies and structural reforms. Congress also
recognizes that these policies are being designed to reduce
direct involvement of the government in the economic system and
to promote private enterprise, important prerequisites for
economic stability and sustainable growth.
(i) Consultations.--It is the sense of the Congress that, as
agreed between the two Governments and in order to further the
policies specified in subsection (h), Israel and the United
States should continue to engage in consultations concerning
economic and financial measures, including structural and other
reforms, that Israel should undertake during the pendency of
this program to enable its economy to absorb and resettle
immigrants and to accommodate the increased debt burden that
will result from loans guaranteed pursuant to this section. It
is the sense of the Congress that these consultations on
economic measures should address progress and plans in the
areas of budget policies, privatization, trade liberalization,
financial and capital markets, labor markets, competition
policy, and deregulation.
(j) Goods and Services.--During the pendency of the loan
program authorized under this section, it is anticipated that,
in the context of the economic reforms undertaken pursuant to
subsections (h) and (i) of this section, Israel's increased
population due to its absorption of immigrants, and the
liberalization by the Government of Israel of its trade policy
with the United States, the amount of United States investment
goods and services purchased for use in or with respect to the
country of Israel will substantially increase.
(k) Reports.--The President shall report to Congress by
December 31 of each fiscal year until December 31, 1999,
regarding the implementation of this section.
(l) Applicability of Foreign Assistance Act Authorities.--
Section 223 of the Foreign Assistance Act shall apply to
guarantees issued under subsection (a) in the same manner as
such section applies to guarantees issued under section 222,
except that subsections (a), (e)(1), (g), and (j) of section
223 shall not apply to such guarantees and except that, to the
extent section 223 is inconsistent with the Federal Credit
Reform Act of 1990, that Act shall apply. Loans shall be
guaranteed under this section without regard to sections 221,
222, and 238(c). Notwithstanding section 223(f), the interest
rate for loans guaranteed under this section may include a
reasonable fee to cover the costs and fees incurred by the
borrower in connection with this program or financing under
this section in the event the borrower elects not to finance
such costs or fees out of loan principal. Guarantees once
issued hereunder shall be unconditional and fully and freely
transferable.
(m) Terms and Conditions.--
(1) Each loan guarantee issued under this section
shall guarantee 100 percent of the principal and
interest payable on such loans.
(2) The standard terms of any loan or increment
guaranteed under this section shall be 30 years with
semiannual payments of interest only over the first 10
years, and with semiannual payments of principal and
interest on a level payment basis, over the last 20
years thereof, except that the guaranteed loan or any
increments issued in a single transaction may include
obligations having different maturities, interest
rates, and payment terms if the aggregate scheduled
debt service for all obligations issued in a single
transaction equals the debt service for a single loan
or increment of like amount having the standard terms
described in this sentence. The guarantor shall not
have the right to accelerate any guaranteed loan or
increment or to pay any amounts in respect of the
guarantees issued other than in accordance with the
original payment terms of the loan. For purposes of
determining the maximum principal amount of any loan or
increment to be guaranteed under this section, the
principal amount of each such loan or increment shall
be--
(A) in the case of any loan issued on a
discount basis, the original issue price
(excluding any transaction costs) thereof; or
(B) in the case of any loan issue on an
interest-bearing basis, the stated principal
amount thereof.
Title IV--Overseas Private Investment Corporation \176\
Sec. 231.\177\ Creation, Purpose and Policy.--To mobilize
and facilitate the participation of United States private
capital and skills in the economic and social development \178\
of less developed countries and areas, and countries in
transition from nonmarket to market economies,\179\ thereby
complementing the development assistance objectives of the
United States, there is hereby created the Overseas Private
Investment Corporation (hereinafter called the
``Corporation''), which shall be an agency of the United States
under the policy guidance of the Secretary of State.
---------------------------------------------------------------------------
\176\ A new title IV was added by sec. 105 of the FA Act of 1969.
Prior to this, title IV had been titled ``Surveys of Investment
Opportunities.'' For Executive Order concerning OPIC, see Legislation
on Foreign Relations Through 1998, vol. I-B.
Title IV was amended extensively by title I of S. 2757 and title I
of H.R. 5263, both enacted by reference in the Foreign Operations,
Export Financing, and Related Programs Appropriations Act, 1989 (Public
Law 100-461; 102 Stat. 2268):
``Sec. 555. * * * Provided further, That title I of H.R. 5263 as
passed by the House of Representatives on September 20, 1988, is hereby
enacted into law: Provided further, That purchases, investments or
other acquisitions of equity by the fund created by section 104 of H.R.
5263 as hereby enacted are limited to such amounts as may be provided
in advance in appropriations Acts: Provided further, That
notwithstanding any other provision of this Act, titles I and III of S.
2757 as reported by the Senate Committee on Foreign Relations on
September 7, 1988, are hereby enacted into law: Provided further, That
purchases, investments or other acquisitions of equity by the fund
created by section 104 of S. 2757 as hereby enacted are limited to such
amounts as may be provided in advance in appropriations Acts: * * *.''.
Except in two instances, title I, S. 2757 and title I, H.R. 5263
are identical. Sec. 106 in each title amended sec. 235(a)(2) of the FA
Act of 1961. Sec. 235(a)(2) was previously amended by Public Law 100-
418, sec. 2203(b)(1)(A); H.R. 5263 took this into account. Public Law
100-418, sec. 2203(b)(1)(B) redesignated sec. 235(a)(5) of the FA Act
of 1961 as sec. 235(a)(6). Sec. 107 in S. 2757 and H.R. 5263 amended
this section, but H.R. 5263 took into account the redesignation by
Public Law 100-418. Title III of S. 2757, which addresses the
implementation of certain USIA Exchange Visitor Programs, is in
Legislation on Foreign Relations Through 1998, vol. II, sec. E.
\177\ 22 U.S.C. 2191. Sec. 231 was added by sec. 105 of the FA Act
of 1969.
\178\ Sec. 2(1)(A) of the OPIC Amendments Act of 1974 (Public Law
93-390; 83 Stat. 809) substituted ``development'' in lieu of
``progress''.
\179\ Sec. 101 of the Jobs Through Exports Act of 1992 (Public Law
102-549; 106 Stat. 3651) struck out ``friendly countries and areas,''
and inserted in lieu thereof ``countries and areas, and countries in
transition from nonmarket to market economies,''.
---------------------------------------------------------------------------
The \180\ Corporation, in determining whether to provide
insurance, financing, or reinsurance for a project, shall
especially--
---------------------------------------------------------------------------
\180\ This paragraph was added by sec. 2(1) of Public Law 95-268
(92 Stat. 213).
---------------------------------------------------------------------------
(1) be guided by the economic and social development
impact and benefits of such a project and the ways in
which such a project complements, or is compatible
with, other development assistance programs or projects
of the United States or other donors;
(2) give preferential consideration to investment
projects in less developed countries that have per
capita incomes of $984 or less in 1986 United States
dollars, and restrict its activities with respect to
investment projects in less developed countries that
have per capita incomes of $4,269 or more in 1986
United States dollars (other than countries designated
as beneficiary countries under section 212 of the
Caribbean Basin Economic Recovery Act (19 U.S.C. 2702),
Ireland, and Northern Ireland); and \181\
---------------------------------------------------------------------------
\181\ The per capita income levels were increased from $896 and
$3,887 in 1983 U.S. dollars by sec. 102 of the OPIC Amendments Act of
1988, S. 2757, enacted into law by reference in the Foreign Operations,
Export Financing, and Related Programs Appropriations Act, 1989 (Public
Law 100-461; 102 Stat. 2268). Sec. 102 also added ``(other than
countries designated as beneficiary countries under section 212 of the
Caribbean Basin Economic Recovery Act (19 U.S.C. 2702))''. Previously
the per capita income levels were increased from $680 and $2,950 in
1979 U.S. dollars to $896 and $3,887 in 1983 U.S. dollars by sec. 3 of
the OPIC Amendments Act of 1985 (Public Law 99-204; 99 Stat. 1669), and
from $520 and $1,000 in 1975 U.S. dollars to $680 and $2,950 in 1979
U.S. dollars, respectively, by sec. 2(1) of the OPIC Amendments Act of
1981 (Public Law 97-65; 95 Stat. 1021).
Sec. 105 of the Jobs Through Trade Expansion Act of 1994 (Public
Law 103-392; 108 Stat. 4099) inserted ``, Ireland, and Northern
Ireland'' in the parentheses.
---------------------------------------------------------------------------
(3) \182\ ensures that the project is consistent with
the provisions of section 117 \182\ (as so redesignated
by the Special Foreign Assistance Act of 1986), section
118, and section 119 of this Act relating to the
environment and natural resources of, and tropical
forests and endangered species \182\ in, developing
countries, and consistent with the intent of
regulations issued pursuant to sections 118 and 119 of
this Act.
---------------------------------------------------------------------------
\182\ Par. (3) was added by sec. 4(a)(1)(C) of the OPIC Amendments
Act of 1985 (Public Law 99-204; 99 Stat. 1669). The OPIC Amendments Act
of 1988, S. 2757, enacted into law by reference in the Foreign
Operations, Export Financing, and Related Programs Appropriations Act,
1989 (Public Law 100-461; 102 Stat. 2268), made a correction to include
section 117. S. 2757 also struck out ``biological diversity'' and
inserted in lieu thereof ``tropical forests and endangered species''.
---------------------------------------------------------------------------
In carrying out its purpose, the Corporation, utilizing
broad criteria, shall undertake--
(a) \183\ to conduct financing, insurance, and
reinsurance operations on a self-sustaining basis,
taking into account in its financing operations the
economic and financial soundness of projects;
---------------------------------------------------------------------------
\183\ Subsec. (a) was amended by sec. 2(1)(B) of the OPIC
Amendments Act of 1974 (Public Law 93-390; 83 Stat. 809). It formerly
read as follows: ``(a) to conduct financial soundness of projects and
the availability of financing from other sources on appropriate
terms;''.
---------------------------------------------------------------------------
(b) to utilize private credit and investment
institutions and the Corporation's guaranty authority
as the principal means of mobilizing capital investment
funds;
(c) to broaden private participation and revolve its
funds through selling its direct investments to private
investors whenever it can appropriately do so on
satisfactory terms;
(d) to conduct its insurance operations with due
regard to principles of risk management including \184\
efforts to share its insurance risks and reinsurance
\185\ risks;
---------------------------------------------------------------------------
\184\ Sec. 2(1)(C) of the OPIC Amendments Act of 1974 (Public Law
93-390) struck the words, ``when appropriate,'' which appeared at this
point.
\185\ Sec. 2(1)(C) of the OPIC Amendments Act of 1974 (Public Law
93-390) added the words ``and reinsurance''.
---------------------------------------------------------------------------
(e) \186\ to the maximum degree possible consistent
with its purposes--
---------------------------------------------------------------------------
\186\ Subsec. (e), as amended by Public Law 93-390, was amended and
restated by sec. 2(2) of Public Law 95-268 (92 Stat. 213). It formerly
read as follows:
``(e) to give preferential consideration in its investment
insurance, financing, and reinsurance activities (to the maximum extent
practicable consistent with the Corporation's purposes) to investment
projects involving businesses of not more than $2,500,000 net worth or
with not more than $7,500,000 in total assets;''.
---------------------------------------------------------------------------
(1) to give preferential consideration in its
investment insurance, reinsurance, and guaranty
activities to investment projects sponsored by
or involving United States small business; and
(2) to increase the proportion of projects
sponsored by or significantly involving United
States small business to at least 30 percent of
all projects insured, reinsured, or guaranteed
by the Corporation;
(f) \187\ to consider in the conduct of its
operations the extent to which less developed country
governments are receptive to private enterprise,
domestic and foreign, and their willingness and ability
to maintain conditions which enable private enterprise
to make its full contribution to the development
process;
---------------------------------------------------------------------------
\187\ Sec. 2(5) of Public Law 95-268 (92 Stat. 214) struck subsecs.
(f) and (l) and redesignated subsecs. (g) through (n) as (f) through
(l), respectively. Subsecs. (f) and (l) formerly read as follows:
``(f) to encourage and support only those private investments in
less developed friendly countries and areas which are sensitive and
responsive to the special needs and requirements of their economies,
and which contribute to the social and economic development of their
people;''
``(l) to the maximum extent practicable, to give preferential
consideration in the Corporation's investment insurance, financing, and
reinsurance activities to investment projects in the less developed
friendly countries which have per capita incomes of $450 or less in
1973 United States dollars; and''.
---------------------------------------------------------------------------
(g) \187\ to foster private initiative and
competition and discourage monopolistic practices;
(h) \187\ to further to the greatest degree possible,
in a manner consistent with its goals, the balance-of-
payments and employment \188\ objectives of the United
States;
---------------------------------------------------------------------------
\188\ Sec. 2(1)(E) of the OPIC Amendments Act of 1974 (Public Law
93-390) added the words ``and employment''.
---------------------------------------------------------------------------
(i) \187\ to conduct its activities in consonance
with the activities of the agency primarily responsible
for administering part I and the international trade,
investment, and financial policies of the United States
Government, and to seek to support those developmental
projects having positive trade benefits for the United
States; \189\
---------------------------------------------------------------------------
\189\ The words ``, and to seek to support those developmental
projects having positive trade benefits for the United States'' were
added by sec. 2(2) of the OPIC Amendments Act of 1981 (Public Law 97-
65; 95 Stat. 1021).
---------------------------------------------------------------------------
(j) \187\ to advise and assist, within its field of
competence, interested agencies of the United States
and other organizations, both public and private,
national and international, with respect to projects
and programs relating to the development of private
enterprise in less developed countries and areas;
(k) \190\ (1) to decline to issue any contract of
insurance or reinsurance, or any guaranty, or to enter
into any agreement to provide financing for an eligible
investor's proposed investment if the Corporation
determines that such investment is likely to cause such
investor (or the sponsor of an investment project in
which such investor is involved) significantly to
reduce the number of his employees in the United States
because he is replacing his United States production
with production from such investment which involves
substantially the same product for substantially the
same market as his United States production; and (2) to
monitor conformance with the representations of the
investor on which the Corporation relied in making the
determination required by clause (1);
---------------------------------------------------------------------------
\190\ This subsection was originally added as subsec. (m) by sec.
2(1)(H) of the OPIC Amendments Act of 1974 (Public Law 93-390). It was
redesignated as subsec. (k) by sec. 2(5) of Public Law 95-268; 92 Stat.
214.
---------------------------------------------------------------------------
(l) \191\ to decline to issue any contract of
insurance or reinsurance, or any guaranty, or to enter
into any agreement to provide financing for an eligible
investor's proposed investment if the Corporation
determines that such investment is likely to cause a
significant reduction in the number of employees in the
United States;
---------------------------------------------------------------------------
\191\ This subsection was added as subsec. (n) by sec. 2(4) of
Public Law 95-268 (92 Stat. 213), and redesignated as subsec. (l) by
sec. 2(5) of the same Act.
---------------------------------------------------------------------------
(m) \192\ to refuse to insure, reinsure, or finance
any investment subject to performance requirements
which would reduce substantially the positive trade
benefits likely to accrue to the United States from the
investment; and
---------------------------------------------------------------------------
\192\ Subsec. (m) was added by sec. 2(3)(C) of the OPIC Amendments
Act of 1981 (Public Law 97-65; 95 Stat. 1021).
---------------------------------------------------------------------------
(n) \193\ to refuse to insure, reinsure, guarantee,
or finance any investment in connection with a project
which the Corporation determines will pose an
unreasonable or major environmental, health, or safety
hazard, or will result in the significant degradation
of national parks or similar protected areas.
---------------------------------------------------------------------------
\193\ Sec. 4(a)(4) of the OPIC Amendments Act of 1985 (Public Law
99-204; 99 Stat. 1669) added subsec. (n).
---------------------------------------------------------------------------
Sec. 231A.\194\ Additional Requirements.--(a) Worker
Rights.--
---------------------------------------------------------------------------
\194\ 22 U.S.C. 2191a. Sec. 231A was added by sec. 5(a) of the OPIC
Amendments Act of 1985 (Public Law 99-204; 99 Stat. 1670). Sec. 5(b) of
the Act provides that sec. 231A(a) ``shall not apply to projects
insured, reinsured, guaranteed, or financed before the date of the
enactment of this Act.''.
---------------------------------------------------------------------------
(1) Limitation on OPIC Activities.--The Corporation
may insure, reinsure, guarantee, or finance a project
only if the country in which the project is to be
undertaken is taking steps to adopt and implement laws
that extend internationally recognized worker rights,
as defined in section 507(4) of the Trade Act of
1974,\195\ to workers in that country (including any
designated zone in that country). The Corporation shall
also include the following language, in substantially
the following form, in all contracts which the
Corporation enters into with eligible investors to
provide financial support under this title: \196\
---------------------------------------------------------------------------
\195\ Sec. 1954(b)(3)(A) of Public Law 104-188 (110 Stat. 1928)
struck out ``502(a)(4) of the Trade Act of 1974 (19 U.S.C.
2462(a)(4))'' and inserted in lieu thereof ``507(4) of the Trade Act of
1974''.
\196\ Sec. 102(a) of the Jobs Through Exports Act of 1992 (Public
Law 102-549; 106 Stat. 3651) added the last sentence, including the
language required in contracts, to sec. 231A(a)(1).
---------------------------------------------------------------------------
``The investor agrees not to take actions to prevent
employees of the foreign enterprise from lawfully
exercising their right of association and their right
to organize and bargain collectively. The investor
further agrees to observe applicable laws relating to a
minimum age for employment of children, acceptable
conditions of work with respect to minimum wages, hours
of work, and occupational health and safety, and not to
use forced labor. The investor is not responsible under
this paragraph for the actions of a foreign
government.''
(2) Use of Annual Reports on Workers Rights.--The
Corporation shall, in making its determinations under
paragraph (1), use the reports submitted to the
Congress pursuant to section 504 of the Trade Act of
1974.\197\ The restriction set forth in paragraph (1)
shall not apply until the first such report is
submitted to the Congress.
---------------------------------------------------------------------------
\197\ Sec. 1954(b)(3)(B) of Public Law 104-188 (110 Stat. 1928)
struck out ``505(c) of the Trade Act of 1974 (19 U.S.C. 2465(c))'' and
inserted in lieu thereof ``504 of the Trade Act of 1974''.
---------------------------------------------------------------------------
(3) Waiver.--Paragraph (1) shall not prohibit the
Corporation from providing any insurance, reinsurance,
guaranty, or financing with respect to a country if the
President determines that such activities by the
Corporation would be in the national economic interests
of the United States. Any such determination shall be
reported in writing to the Congress, together with the
reasons for the determination.\198\
---------------------------------------------------------------------------
\198\ The President determined ``that the waiver of section
231A(a)(1) with respect to Nicaragua, permitting the Overseas Private
Investment Corporation to insure, reinsure, guaranty, and finance
projects in Nicaragua, is in the national economic interests of the
United States.'' (Presidential Determination 90-24 of June 21, 1990; 55
F.R. 27631).
---------------------------------------------------------------------------
(4) \199\ In making a determination under this
section for the People's Republic of China, the
Corporation shall discuss fully and completely the
justification for making such determination with
respect to each item set forth in subparagraphs (A)
through (E) of section 507(4) \200\ of the Trade Act of
1974.
---------------------------------------------------------------------------
\199\ Sec. 231A(a)(4) was added by sec. 2203(c) of Public Law 100-
418 (102 Stat. 1328).
Sec. 902(a)(1) of the Foreign Relations Authorization Act, Fiscal
Years 1990 and 1991 (Public Law 101-246; 104 Stat. 83) continued a
suspension of OPIC's issuing new insurance, reinsurance, guarantees,
financing, or other financial support to the People's Republic of China
until the President reported to the Congress under subsec. (b) of that
sec. that China had made certain political reforms, or that such
assistance was in the national interest of the United States. For text
of sec. 902, see Legislation on Foreign Relations Through 1998, vol.
II, sec. D.
\200\ Sec. 1954(b)(3)(C) of Public Law 104-188 (110 Stat. 1928)
struck out ``502(a)(4)'' and inserted in lieu thereof ``507(4)''.
---------------------------------------------------------------------------
(b) Public Hearings.--The Board shall hold at least one
public hearing each year in order to afford an opportunity for
any person to present views as to whether the Corporation is
carrying out its activities in accordance with section 231 and
this section or whether any investment in a particular country
should have been or should be extended insurance, reinsurance,
guarantees, or financing under this title.
Sec. 232.\201\ Capital of the Corporation.--The President
is authorized to pay in as capital of the Corporation, out of
dollar receipts made available through the appropriation
process from loans made pursuant to this part and from loans
made under the Mutual Security Act of 1954, as amended, for the
fiscal year 1970 not to exceed $20,000,000 and for the fiscal
year 1971 not to exceed $20,000,000. Upon the payment of such
capital by the President, the Corporation shall issue an
equivalent amount of capital stock to the Secretary of the
Treasury.
---------------------------------------------------------------------------
\201\ 22 U.S.C. 2192. Sec. 232 was added by sec. 105 of the FA Act
of 1969.
---------------------------------------------------------------------------
Sec. 233.\202\ Organization and Management.--(a) Structure
of the Corporation.--The Corporation shall have a Board of
Directors, a President, an Executive Vice President, and such
other officers and staff as the Board of Directors may
determine.
---------------------------------------------------------------------------
\202\ 22 U.S.C. 2193. Sec. 233 was added by sec. 105 of the FA Act
of 1969.
---------------------------------------------------------------------------
(b) Board of Directors.--All powers of the Corporation
shall vest in and be exercised by or under the authority of its
Board of Directors (``the Board'') which shall consist of
fifteen Directors,\203\ including the Chairman, with eight
Directors \204\ constituting a quorum for the transaction of
business. The Administrator of the Agency for International
Development shall be the Chairman of the Board, ex
officio.\205\ The United States Trade Representative shall be
the Vice Chairman of the Board, ex officio, except that the
United States Trade Representative may designate the Deputy
United States Trade Representative to serve as Vice Chairman of
the Board in place of the United States Trade
Representative.\206\ Eight Directors \204\ (other than the
President of the Corporation, appointed pursuant to subsection
(c) who shall serve as a Director ex officio) \207\ shall be
appointed by the President of the United States, by and with
the advice and consent of the Senate, and shall not be
officials or employees of the Government of the United States.
At least two of the eight Directors \208\ appointed under the
preceding sentence shall be experienced in small business, one
in organized labor, and one in cooperatives. Each such Director
shall be appointed for a term of no more than three years. The
terms of no more than three such Directors \209\ shall expire
in any one year. Such Directors shall serve until their
successors are appointed and qualified and may be reappointed.
---------------------------------------------------------------------------
\203\ The number of Directors was increased from 11 to 15 by sec.
3(a)(1) of the OPIC Amendments Act of 1981 (Public Law 97-65; 95 Stat.
1021), effective Oct. 1, 1981.
\204\ The number of Directors was increased from six to eight by
sec. 3(a) of the OPIC Amendments Act of 1981 (Public Law 97-65; 95
Stat. 1021), effective Oct. 1, 1981.
\205\ This function of the Administrator was transferred to the
Director of IDCA, pursuant to sec. 6 of Reorganization Plan No. 2 of
1979 (establishing IDCA). The Reorganization Plan No. 2 of 1979 ceased
to be effective with enactment of the Foreign Affairs Reform and
Restructuring Act of 1998, pursuant to sec. 1422(a)(1) (division G of
Public Law 105-277; 112 Stat. 2681).
\206\ This sentence was added by sec. 3(a)(2) of the OPIC
Amendments Act of 1981 (Public Law 97-65; 95 Stat. 1021), effective
Oct. 1, 1981.
\207\ The words ``ex officio'' were added by sec. 3(a)(5) of the
OPIC Amendments Act of 1981 (Public Law 97-65; 95 Stat. 1022),
effective Oct. 1, 1981.
\208\ The number of Directors was increased from one of the six to
two of the eight by sec. 3(a) of the OPIC Amendments Act of 1981
(Public Law 97-65; 95 Stat. 1022), effective Oct. 1, 1981.
\209\ The number of Directors was increased from two to three by
sec. 3(a)(3) of the OPIC Amendments Act of 1981 (Public Law 97-65; 95
Stat. 1022), effective Oct. 1, 1981.
---------------------------------------------------------------------------
The other Directors shall be officials of the Government of
the United States, including an official of the Department of
Labor,\210\ designated by and serving at the pleasure of the
President of the United States.
---------------------------------------------------------------------------
\210\ The reference to an official of the Department of Labor was
added by sec. 3(b) of the OPIC Amendments Act of 1981 (Public Law 97-
65; 95 Stat. 1022), effective Oct. 1, 1981.
---------------------------------------------------------------------------
All Directors who are not officers of the Corporation or
officials of the Government of the United States shall be
compensated at a rate equivalent to that of level IV of the
Executive Schedule (5 U.S.C. 5315) \211\ when actually engaged
in the business of the Corporation and may be paid per diem in
lieu of subsistence at the applicable rate prescribed in the
standardized Government travel regulations, as amended, from
time to time, while away from their homes or usual places of
business.
---------------------------------------------------------------------------
\211\ The current rate of compensation at level IV of the Executive
Schedule is $118,400 per annum (Executive Order 13106, 63 F.R. 68151,
December 9, 1998).
---------------------------------------------------------------------------
(c) President of the Corporation.--The President of the
Corporation shall be appointed by the President of the United
States, by and with the advice and consent of the Senate, and
shall serve at the pleasure of the President. In making such
appointment, the President shall take into account private
business experience of the appointee. The President of the
Corporation shall be its Chief Executive Officer and
responsible for the operations and management of the
Corporation, subject to bylaws and policies established by the
Board.
(d) Officers and Staff.--The Executive Vice President of
the Corporation shall be appointed by the President of the
United States, by and with the advice and consent of the
Senate, and shall serve at the pleasure of the President. Other
officers, attorneys, employees, and agents shall be selected
and appointed by the Corporation, and shall be vested with such
powers and duties as the Corporation may determine. Of such
persons employed by the Corporation, not to exceed twenty may
be appointed, compensated, or removed without regard to the
civil service laws and regulations: Provided, That under such
regulations as the President of the United States may
prescribe, officers and employees of the United States
Government who are appointed to any of the above positions may
be entitled, upon removal from such position, except for cause,
to reinstatement to the position occupied at the time of
appointment or to a position of comparable grade and salary.
Such positions shall be in addition to those otherwise
authorized by law, including those authorized by section 5108
of title 5 of the United States Code.
Sec. 234.\212\ Investment Insurance and Other
Programs.\213\--The Corporation is hereby authorized to do the
following:
---------------------------------------------------------------------------
\212\ 22 U.S.C. 2194. Sec. 234 was added by sec. 105 of the FA Act
of 1969.
\213\ Sec. 2(2)(A) of the OPIC Amendments Act of 1974 (Public Law
93-390) inserted section title ``Investment Insurance and Other
Programs'' in lieu of ``Investment Incentive Programs''.
---------------------------------------------------------------------------
(a) \214\ Investment Insurance.--(1) To issue insurance,
upon such terms and conditions as the Corporation may
determine, to eligible investors assuring protection in whole
or in part against any or all of the following risks with
respect to projects which the Corporation has approved--
---------------------------------------------------------------------------
\214\ Sec. 5(b)(2) of the OPIC Amendments Act of 1981 (Public Law
97-65; 95 Stat. 1023) provided:
``(2) The authority of the Overseas Private Investment Corporation
to enter into contracts under section 234(a) of the Foreign Assistance
Act of 1961 shall be effective for any fiscal year beginning after
September 30, 1981, only to such extent or in such amounts as are
provided in appropriation Acts.''.
---------------------------------------------------------------------------
(A) inability to convert into United States dollars
other currencies, or credits in such currencies,
received as earnings or profits from the approved
project, as repayment or return of the investment
therein, in whole or in part, or as compensation for
the sale or disposition of all or any part thereof;
(B) loss of investment, in whole or in part, in the
approved project due to expropriation or confiscation
by action of a foreign government;
(C) loss due to war, revolution, insurrection or
civil strife; and \215\
---------------------------------------------------------------------------
\215\ The reference to civil strife was added by sec. 4(a)(1) of
the OPIC Amendments Act of 1981 (Public Law 97-65; 95 Stat. 1022).
---------------------------------------------------------------------------
(D) \216\ loss due to business interruption caused by
any of the risks set forth in subparagraphs (A), (B),
and (C).
---------------------------------------------------------------------------
\216\ Sec. 6(a)(1)(D) of the OPIC Amendments Act of 1985 (Public
Law 99-204; 99 Stat. 1671) added subpar. (D)
---------------------------------------------------------------------------
(2) \217\ Recognizing that major private investments in
less developed friendly countries or areas are often made by
enterprises in which there is multinational participation,
including significant United States private participation, the
Corporation may make arrangements with foreign governments
(including agencies, instrumentalities, or political
subdivisions thereof) or with multilateral organizations and
institutions for sharing liabilities assumed under investment
insurance for such investments and may in connection therewith
issue insurance to investors not otherwise eligible hereunder,
except that liabilities assumed by the Corporation under the
authority of this subsection shall be consistent with the
purposes of this title and that the maximum share of
liabilities so assumed shall not exceed the proportionate
participation by eligible investors in the project.\218\
---------------------------------------------------------------------------
\217\ Subsec. (a)(2) was amended by sec. 2(2)(B) of the OPIC
Amendments Act of 1974 (Public Law 93-390). It formerly read as
follows: ``(2) Recognizing that major private investments in less
developed friendly countries in areas are often made by enterprises in
which there is multinational participation, including significant
United States private participation, the Corporation may make such
arrangements with foreign governments (including agencies,
instrumentalities, or political subdivisions thereof) or with
multilateral organizations for sharing liabilities assumed under
investment insurance for such investments and may in connection
therewith issue insurance to investors not otherwise eligible
hereunder: Provided, however, That liabilities assumed by the
Corporation under the authority of this subsection shall be consistent
with the purposes of this title and that the maximum share of
liabilities so assumed shall not exceed the proportionate participation
by eligible investors in the total project financing.''.
\218\ The words ``total'' and ``financing'', which previously
appeared immediately before and after the word ``project'', were
deleted by sec. 4(a)(2) of the OPIC Amendments Act of 1981 (Public Law
97-65; 95 Stat. 1022).
Sec. 3(1) of Public Law 95-268 (92 Stat. 214) struck out the
following words that previously appeared at this point: ``and that the
maximum share of liabilities so assumed under paragraph (1) (A) and (B)
of paragraph (1)(C) shall not exceed the Corporation's proportional
share of such liabilities as specified in paragraph (4) or (5) of this
subsection.''.
---------------------------------------------------------------------------
(3) Not more than 10 per centum of the maximum contingent
liability \219\ of investment insurance which the Corporation
is permitted to have outstanding under section 235(a)(1) \220\
shall be issued to a single investor.
---------------------------------------------------------------------------
\219\ The words ``maximum contingent liability'' were substituted
in lieu of ``total face amount'' by sec. 3(2) of Public Law 95-268 (92
Stat. 214).
\220\ The words ``permitted to have outstanding under sec.
235(a)(1)'' were inserted in lieu of the words ``authorized to issue
under this subsection'' by sec. 4(a)(3) of the OPIC Amendments Act of
1981 (Public Law 97-65; 95 Stat. 1022).
---------------------------------------------------------------------------
(4) \221\ Before issuing insurance for the first time for
loss due to business interruption, and in each subsequent
instance in which a significant expansion is proposed in the
type of risk to be insured under the definition of ``civil
strife'' or ``business interruption'', the Corporation shall,
at least sixty days before such insurance is issued, submit to
the Committee on Foreign Relations of the Senate and the
Committee on Foreign Affairs \222\ of the House of
Representatives a report with respect to such insurance,
including a thorough analysis of the risks to be covered,
anticipated losses, and proposed rates and reserves and, in the
case of insurance for loss due to business interruption, an
explanation of the underwriting basis upon which the insurance
is to be offered. Any such report with respect to insurance for
loss due to business interruption shall be considered in
accordance with the procedures applicable to reprogramming
notifications pursuant to section 634A of this Act.\223\
---------------------------------------------------------------------------
\221\ Pars. (4) through (7), which had been added by the OPIC
Amendments Act of 1974 (Public Law 93-390) and had appeared at this
point, were struck by sec. 3(3) of Public Law 95-268 (92 Stat. 214).
This new par. (4) was added by sec. 4(a)(4) of the OPIC Amendments Act
of 1981 (Public Law 97-65; 95 Stat. 1022). Subsequently, sec.
6(a)(2)(A) and (B) of the OPIC Amendments Act of 1985 (Public Law 99-
204; 99 Stat. 1671) inserted ``insurance for the first time loss due to
business interruption'' in lieu of ``civil strife insurance for the
first time'' and replaced ``definition of civil strife'' with
``definition of `civil strife' or `business interruption'''.
\222\ Sec. 1(a)(5) of Public Law 104-14 (109 Stat. 186) provided
that references to the Committee on Foreign Affairs of the House of
Representatives shall be treated as referring to the Committee on
International Relations of the House of Representatives.
\223\ Sec. 6(a)(2) (C) and (D) of the OPIC Amendments Act of 1985
(Public Law 99-204; 99 Stat. 1671) added the text from the word
``reserves'' to the end of para. (4).
---------------------------------------------------------------------------
(b) Investment Guaranties.--To issue to eligible investors
guaranties of loans and other investments made by such
investors assuring against loss due to such risks and upon such
terms and conditions as the Corporation may determine:
Provided, however, That such guaranties on other than loan
investments shall not exceed 75 per centum of such investment:
Provided further, That except for loan investments for credit
unions made by eligible credit unions or credit union
associations, the aggregate amount of investment (exclusive of
interest and earnings) so guaranteed with respect to any
project shall not exceed, at the time of issuance of any such
guaranty, 75 per centum of the total investment committed to
any such project as determined by the Corporation, which
determination shall be conclusive for purposes of the
Corporation's authority to issue any such guaranty: Provided
further, That not more than 15 \224\ per centum of the maximum
contingent liability of investment guaranties which the
Corporation is permitted to have outstanding under section
235(a)(2) \225\ shall be issued to a single investor.
---------------------------------------------------------------------------
\224\ Sec. 7 of the OPIC Amendments Act of 1985 (Public Law 99-204;
99 Stat. 1672) changed the per centum from 10 to 15.
\225\ The words ``permitted to have outstanding under section
235(a)(2)'' were inserted in lieu of the words ``authorized to issue
under this subsection'' by sec. 4(b) of the OPIC Amendments Act of 1981
(Public Law 97-65; 95 Stat. 1022).
---------------------------------------------------------------------------
(c) Direct Investment.--To make loans in United States
dollars repayable in dollars or loans in foreign currencies
(including, without regard to section 1415 of the Supplemental
Appropriation Act, 1953, such foreign currencies which the
Secretary of the Treasury may determine to be excess to the
normal requirements of the United States and the Director of
the Bureau of the Budget may allocate) to firms privately owned
or of mixed private and public ownership upon such terms and
conditions as the Corporation may determine.\226\ Loans may be
made under this subsection only for projects that are sponsored
by or significantly involve United States small business or
cooperatives.\227\
---------------------------------------------------------------------------
\226\ Sec. 104 of the OPIC Amendments Act of 1988, S. 2757, enacted
into law by reference in the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1989 (Public Law 100-461; 102
Stat. 2268), struck out the following which previously appeared at this
point: ``The Corporation may not purchase or invest in any stock in any
other corporation, except that it may (1) accept as evidence of
indebtedness debt securities convertible to stock, but such debt
securities shall not be converted to stock while held by the
Corporation, and (2) acquire stock through the enforcement of any lien
or pledge or otherwise to satisfy a previously contracted indebtedness
which would otherwise be in default, or as the result of any payment
under any contract of insurance or guaranty. The Corporation shall
dispose of any stock it may so acquire as soon as reasonably feasible
under the circumstances then pertaining.''.
\227\ This sentence was added by sec. 3(4) of Public Law 95-268 (92
Stat. 214).
---------------------------------------------------------------------------
The Corporation may designate up to 25 percent of any loan
under this subsection for use in the development or adaptation
in the United States of new technologies or new products or
services that are to be used in the project for which the loan
is made and are likely to contribute to the economic or social
development of less developed countries.\228\
---------------------------------------------------------------------------
\228\ This paragraph was added by sec. 103 of the OPIC Amendments
Act of 1988, S. 2757, enacted into law by reference in the Foreign
Operations, Export Financing, and Related Programs Appropriations Act,
1989 (Public Law 100-461; 102 Stat. 2268).
---------------------------------------------------------------------------
No loan may be made under this subsection to finance any
operation for the extraction of oil or gas. The aggregate
amount of loans under this subsection to finance operations for
the mining or other extraction of any deposit of ore or other
nonfuel minerals may not in any fiscal year exceed
$4,000,000.\229\
---------------------------------------------------------------------------
\229\ Sec. 3(5) of Public Law 95-268 (92 Stat. 214) inserted this
paragraph in lieu of the following:
``No loans shall be made under this section to finance operations
for mining or other extraction of any deposit of ore, oil, gas, or
other mineral.''.
---------------------------------------------------------------------------
(d) Investment Encouragement.--To initiate and support
through financial participation, incentive grant, or otherwise,
and on such terms and conditions as the Corporation may
determine, the identification, assessment, surveying and
promotion of private investment opportunities, utilizing
wherever feasible and effective the facilities of private
investors, except that--
(1) the Corporation shall not finance any survey to
ascertain the existence, location, extent, or quality
of, or to determine the feasibility of undertaking
operations for the extraction of, oil or gas; and
(2) expenditures financed by the Corporation during
any fiscal year on surveys to ascertain the existence,
location, extent, or quality of, or to determine the
feasibility of undertaking operations for the
extraction of nonfuel minerals may not exceed
$200,000.\230\
---------------------------------------------------------------------------
\230\ Sec. 3(6) of Public Law 95-268 (92 Stat. 214) struck out a
proviso clause in subsec. (d) and added the words to this point
beginning with ``, except that--''.
---------------------------------------------------------------------------
(e) Special Activities.--To administer and manage special
projects and programs, including programs of financial and
advisory support which provide private technical, professional,
or managerial assistance in the development of human resources,
skills, technology, capital savings and intermediate financial
and investment institutions and cooperatives and including the
initiation of incentives, grants, and studies for renewable
energy and other small business activities.\231\ The funds for
these projects and programs may, with the Corporation's
concurrence, be transferred to it for such purposes under the
authority of section 632(a) or from other sources, public or
private. Administrative funds may not be made available for
incentives, grants, and studies for renewable energy and other
small business activities.\232\
---------------------------------------------------------------------------
\231\ Section 8(c) of the Renewable Energy and Energy Efficiency
Technology Competitiveness Act of 1989 (Public Law 101-218; 103 Stat.
1868) added text to the end of the sentence from ``and including''.
\232\ Section 8(c) of the Renewable Energy and Energy Efficiency
Technology Competitiveness Act of 1989 (Public Law 101-218; 103 Stat.
1868) added the last sentence.
---------------------------------------------------------------------------
(f) \233\ Other Insurance Functions.--(1) To make and carry
out contracts of insurance or reinsurance, or agreements to
associate or share risks, with insurance companies, financial
institutions, any other persons, or groups thereof, and
employing the same where appropriate, as its agent, or acting
as their agent, in the issuance and servicing of insurance, the
adjustment of claims, the exercise of subrogation rights, the
ceding and accepting of reinsurance, and in any other matter
incident to an insurance business; except that such agreements
and contracts shall be consistent with the purposes of the
Corporation set forth in section 231 of this Act and shall be
on equitable terms.\234\
---------------------------------------------------------------------------
\233\ Subsec. (f) was added by sec. 2(2)(D) of the OPIC Amendments
Act of 1974 (Public Law 93-390).
\234\ The words to this point beginning with ``; except that such
agreements'' were added by sec. 3(6) of Public Law 95-268 (92 Stat.
214). Subsequently, sec. 4(b)(2) of the OPIC Amendments Act of 1981
(Public Law 97-65; 95 Stat. 1022) struck out the following text, as
added by sec. 3(6) of Public Law 95-268: ``and (B) the Corporation
shall not make or carry out any association or risk-sharing agreement
for the direct underwriting of insurance by the Corporation with
others, other than on an individual basis where such direct
underwriting facilitates the purposes of the Corporation as set forth
in section 231 of this Act.''.
---------------------------------------------------------------------------
(2) To enter into pooling or other risk-sharing agreements
with \235\ multinational insurance or financing agencies or
groups of such agencies.
---------------------------------------------------------------------------
\235\ Sec. 8 of the OPIC Amendments Act of 1985 (Public Law 99-204;
99 Stat. 1672) deleted the words ``other national or'' which previously
appeared at this point.
---------------------------------------------------------------------------
(3) To hold an ownership interest in any association or
other entity established for the purposes of sharing risks
under investment insurance.
(4) To issue, upon such terms and conditions as it may
determine, reinsurance of liabilities assumed by other insurers
or groups thereof in respect of risks referred to in subsection
(a)(1).
The amount of reinsurance of liabilities under this title
which the Corporation may issue shall not \236\ in the
aggregate exceed at any one time an amount equal to the amount
authorized for the maximum contingent liability outstanding at
any one time under section 235(a)(1). All reinsurance issued by
the Corporation under this subsection shall require that the
reinsured party retain for his own account specified portions
of liability, whether first loss or otherwise.\237\,
\238\
---------------------------------------------------------------------------
\236\ The words ``exceed $600,000,000 in any one year, and the
amount of such reinsurance shall not'', which previously appeared at
this point, were struck out by sec. 4(b)(3)(A) of the OPIC Amendments
Act of 1981 (Public Law 97-65; 95 Stat. 1022).
\237\ The phrase ``and the Corporation shall endeavor to increase
such specified portions to the maximum extent possible'', which
previously appeared at this point, was struck out by sec. 4(b)(3)(B) of
the OPIC Amendments Act of 1981 (Public Law 97-65; 95 Stat. 1022).
\238\ Sec. 104 of the OPIC Amendments Act of 1988, S. 2757, enacted
into law by reference in the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1989 (Public Law 100-461; 102
Stat. 2268), struck out the first sentence of this paragraph. It
formerly read: ``The authority granted by paragraph (3) may be
exercised notwithstanding the prohibition under subsection (c) against
the Corporation purchasing or investing in any stock in any other
corporation.''.
---------------------------------------------------------------------------
(g) \239\ Pilot Equity Finance Program.--
---------------------------------------------------------------------------
\239\ Subsec. (g) was added by sec. 104(3) of the OPIC Amendments
Act of 1988, S. 2757, enacted into law by reference in the Foreign
Operations, Export Financing, and Related Programs Appropriations Act,
1989 (Public Law 100-461; 102 Stat. 2268).
---------------------------------------------------------------------------
(1) Authority for pilot program.--In order to study
the feasibility and desirability of a program of equity
financing, the Corporation is authorized to establish a
4-year pilot program under which it may, on the limited
basis prescribed in paragraphs (2) through (5),
purchase, invest in, or otherwise acquire equity or
quasi-equity securities of any firm or entity, upon
such terms and conditions as the Corporation may
determine, for the purpose of providing capital for any
project which is consistent with the provisions of this
title except that--
(A) the aggregate amount of the Corporation's
equity investment with respect to any project
shall not exceed 30 percent of the aggregate
amount of all equity investment made with
respect to such project at the time that the
Corporation's equity investment is made, except
for securities acquired through the enforcement
of any lien, pledge, or contractual arrangement
as a result of a default by any party under any
agreement relating to the terms of the
Corporation's investment; and
(B) the Corporation's equity investment under
this subsection with respect to any project,
when added to any other investments made or
guaranteed by the Corporation under subsection
(b) or (c) with respect to such project, shall
not cause the aggregate amount of all such
investment to exceed, at the time any such
investment is made or guaranteed by the
Corporation, 75 percent of the total investment
committed to such project as determined by the
Corporation.
The determination of the Corporation under subparagraph (B)
shall be conclusive for purposes of the Corporation's authority
to make or guarantee any such investment.
(2) Limitation to projects in sub-saharan africa and
caribbean basin.--Equity investments may be made under
this subsection only in projects in countries eligible
for financing under this title that are countries in
sub-Saharan Africa or countries designated as
beneficiary countries under section 212 of the
Caribbean Basin Economy Recovery Act.\240\
---------------------------------------------------------------------------
\240\ Should read ``Caribbean Basin Economic Recovery Act''; see
Legislation on Foreign Relations Through 1998, vol. III, sec. J.
---------------------------------------------------------------------------
(3) Additional criteria.--In making investment
decisions under this subsection, the Corporation shall
give preferential consideration to projects sponsored
by or significantly involving United States small
business or cooperatives. The Corporation shall also
consider the extent to which the Corporation's equity
investment will assist in obtaining the financing
required for the project.
(4) Disposition of equity interest.--Taking into
consideration, among other things, the Corporations'
financial interests and the desirability of fostering
the development of local capital markets in less
developed countries, the Corporation shall endeavor to
dispose of any equity interest it may acquire under
this subsection within a period of 10 years from the
date of acquisition of such interest.
(c) \241\ Creation of Fund for Acquisition of Equity.--The
Corporation is authorized to establish a revolving fund to be
available solely for the purposes specified in this subsection
and to make transfers to the fund of a total of $10,000,000
(less amounts transferred to the fund before the date of the
enactment of the Jobs Through Exports Act of 1992) from its
noncredit account revolving fund. The Corporation shall
transfer to the fund in each fiscal year all amounts received
by the Corporation during the preceding fiscal year as income
on securities acquired under this subsection, and from the
proceeds on the disposition of such securities. Purchases of,
investments in, and other acquisitions of equity from the fund
are authorized for any fiscal year only to the extent or in
such amounts as are provided in advance in appropriations Acts
or are transferred to the Corporation pursuant to section
632(a) of this Act.
---------------------------------------------------------------------------
\241\ Sec. 103 of the Jobs Through Exports Act of 1992 (Public Law
102-549; 106 Stat. 3651) amended and restated sec. 234(g)(5) as subsec.
(c). Should probably be para. (5). Subsec. (g)(5) formerly read as
follows:
``(5) Creation of fund from corporate revenues.--The Corporation is
authorized to establish a fund to be available solely for the purposes
specified in this subsection and to make a one-time transfer to the
fund of $10,000,000 from its income and revenues.''.
---------------------------------------------------------------------------
(6) Consultations with congress.--The Corporation
shall consult annually with the Committee on Foreign
Affairs \242\ of the House of Representatives and the
Committee on Foreign Relations of the Senate on the
implementation of the pilot equity finance program
established under this subsection.
---------------------------------------------------------------------------
\242\ Sec. 1(a)(5) of Public Law 104-14 (109 Stat. 186) provided
that references to the Committee on Foreign Affairs of the House of
Representatives shall be treated as referring to the Committee on
International Relations of the House of Representatives.
---------------------------------------------------------------------------
Sec. 234A.\243\ Enhancing Private Political Risk Insurance
Industry.
---------------------------------------------------------------------------
\243\ 22 U.S.C. 2194b. Sec. 234A was amended by sec. 105 of the
OPIC Amendments Act of 1988, S. 2757, enacted into law by reference in
the Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1989 (Public Law 100-461; 102 Stat. 2268). First
added by sec. 9 of the OPIC Amendments Act of 1985 (Public Law 99-204;
99 Stat. 672), it formerly read as follows:
``In order to encourage greater availability of political risk
insurance for eligible investors, the Corporation shall establish, not
later than one year after the date of the enactment of the Overseas
Private Investment Corporation Amendments Act of 1985, a pilot program
of facultative reinsurance. The program shall provide reinsurance to
insurance companies, financial institutions, other persons, or groups
thereof, with respect to insurance issued by such companies,
institutions, persons, or groups for new investments, and expansions of
existing investments, by eligible investors, in excess of limits which
the Corporation would otherwise normally apply for its exposure to such
investments. Contracts of reinsurance issued under the program shall be
on equitable terms. The program, and any project covered by reinsurance
under the program, shall be consistent with the provisions of this
title.
``(b) Persons Eligible for the Program.--An insurance company,
financial institution, or other person shall be eligible to participate
in the facultative reinsurance program established under subsection (a)
if that company, institution, or other person is an eligible investor
under this title. The Corporation shall take steps to encourage
equitable participation in the program by all eligible persons.
``(c) Maximum Exposure.--The exposure of the Corporation under the
facultative reinsurance program at any one time may not exceed
$150,000,000 or, with respect to one country, $50,000,000.
``(d) Advisory Group.--
---------------------------------------------------------------------------
``(1) Establishment and Membership.--The Corporation shall
establish a group to advise the Corporation on the development
and implementation of the program of facultative reinsurance
under this section. The group shall be composed of nine members
as follows:
``(A) Three officers or employees of the Corporation
designated by the Board.
``(B) Four persons appointed by the Board, of whom at
least one shall represent an insurance company, one a
reinsurance brokerage firm, and one an underwriter, a
financial institution, or other person or entity
eligible for the facultative reinsurance program under
this section. In selecting such persons, the Board
shall consider their previous active involvement in the
field of political risk insurance or reinsurance and
shall consult with any major organizations representing
insurance, reinsurance, and brokerage institutions as
to the suitability of the respective candidates to
represent their industry.
``(C) Two persons appointed by the Board from among
persons who are eligible investors, other than persons
described in subparagraph (B).
``(2) Functions.--The advisory group shall advise the
Corporation on the development and implementation of the
facultative reinsurance program under this section, including
ways to ensure equitable participation in the program by all
eligible persons.
``(3) Meetings.--The advisory group shall meet not later than
one hundred and eighty days after the date of the enactment of
the Overseas Private Investment Corporation Amendments Act of
1985, and not less than once in every one hundred and eighty-
day period thereafter.
``(4) Federal Advisory Committee Act.--The advisory group
shall not be subject to the Federal Advisory Committee Act (5
U.S.C. App.).
---------------------------------------------------------------------------
``(e) Report to the Congress.--The Corporation shall, not later
than eighteen months after the date of the enactment of the Overseas
Private Investment Corporation Amendments Act of 1985, submit to the
Committee on Foreign Affairs of the House of Representatives and the
Committee on Foreign Relations of the Senate a report on the
implementation of the facultative reinsurance program established under
subsection (a).''.
---------------------------------------------------------------------------
(a) Cooperative Programs.--In order to encourage greater
availability of political risk insurance for eligible investors
by enhancing the private political risk insurance industry in
the United States, and to the extent consistent with this
title, the Corporation shall under take programs of cooperation
with such industry, and in connection with such programs may
engage in the following activities:
(1) Utilizing its statutory authorities, encourage
the development of associations, pools, or consortia of
United States private political risk insurers.
(2) Share insurance risks (through coinsurance,
contingent insurance, or other means) in a manner that
is conducive to the growth and development of the
private political risk insurance industry in the United
States.
(3) Notwithstanding section 237(e), upon the
expiration of insurance provided by the Corporation for
an investment, enter into risk-sharing agreements with
United States private political risk insurers to insure
any such investment; except that, in cooperating in the
offering of insurance under this paragraph, the
Corporation shall not assume responsibility for more
than 50 percent of the insurance being offered in each
separate transaction.
(b) Advisory Group.--
(1) Establishment and membership.--The Corporation
shall establish a group to advise the Corporation on
the development and implementation of the cooperative
programs under this section. The group shall be
appointed by the Board and shall be composed of up to
12 members, including the following:
(A) Up to seven persons from the private
political risk insurance industry, of whom no
fewer than two shall represent private
political risk insurers, one shall represent
private political risk reinsurers, and one
shall represent insurance or reinsurance
brokerage firms.
(B) Up to four persons, other than persons
described in subparagraph (A), who are
purchasers of political risk insurance.
(2) Functions.--The Corporation shall call upon
members of the advisory group, either collectively or
individually, to advise it regarding the capability of
the private political risk insurance industry to meet
the political risk insurance needs of United States
investors, and regarding the development of cooperative
programs to enhance such capability.
(3) Meetings.--The advisory group shall meet not
later than September 30, 1989, and at least annually
thereafter. The Corporation may from time to time
convene meetings of selected members of the advisory
group to address particular questions requiring their
specialized knowledge.
(4) Federal advisory committee act.--The advisory
group shall not be subject to the Federal Advisory
Committee Act (5 U.S.C. App.).
Sec. 235.\244\ Issuing Authority, Direct Investment
Authority and Reserves.--
---------------------------------------------------------------------------
\244\ 22 U.S.C. 2195. Sec. 235 was added by sec. 105 of the FA Act
of 1969, originally as ``Issuing Authority, Direct Investment Fund and
Reserves''. Sec. 104(a)(1) of the Jobs Through Exports Act of 1992
(Public Law 102-549; 106 Stat. 3651) struck out ``Fund'' in section
caption, and inserted in lieu thereof ``Authority''.
---------------------------------------------------------------------------
(a) \245\ Issuing Authority.--
---------------------------------------------------------------------------
\245\ Sec. 104(a)(2) of the Jobs Through Exports Act of 1992
(Public Law 102-549; 106 Stat. 3651) amended and restated subsec. (a),
and par. (3) of that subsec. repealed subsec. (b), which formerly
established the Direct Investment Fund.
Sec. 581(a) of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1998 (Public Law 105-118; 111
Stat. 2435), amended and restated para. (1) of subsec. (a), struck out
para. (2)(A), and redesignated para. (3) as para. (2). Paras. (1) and
(2), as amended, formerly read as follows:
``(1) Insurance.--The maximum contingent liability outstanding at
any one time pursuant to insurance issued under section 234(a) shall
not exceed in the aggregate $13,500,000,000.
``(2) Financing.--(A) The maximum contingent liability outstanding
at any one time pursuant to financing issued under subsections (b) and
(c) of section 234 shall not exceed in the aggregate $9,500,000,000.''.
---------------------------------------------------------------------------
(1) Insurance and financing.--(A) The maximum
contingent liability outstanding at any one time
pursuant to insurance issued under section 234(a), and
the amount of financing issued under sections 234(b)
and (c), shall not exceed in the aggregate
$29,000,000,000.
(B) Subject to spending authority provided in
appropriations Acts pursuant to section 504(b) of the
Federal Credit Reform Act of 1990, the Corporation is
authorized to transfer such sums as are necessary from
its noncredit activities to pay for the subsidy cost of
the investment guaranties and direct loan programs
under subsections (b) and (c) of section 234.
(2) Termination of authority.--The authority of
subsections (a), (b), and (c) \246\ of section 234
shall continue until September 30, 1999.\247\
---------------------------------------------------------------------------
\246\ Sec. 581(b) of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1998 (Public Law 105-118; 111
Stat. 2435), struck out ``(a) and (b)'' and inserted in lieu thereof
``(a), (b), and (c).
\247\ Sec. 4(2) of Public Law 95-268 (92 Stat. 214) extended the
authority from Dec. 31, 1977, to Sept. 30, 1981. This date was further
extended to Sept. 30, 1985, by sec. 5(b)(1) of the OPIC Amendments Act
of 1981 (Public Law 97-65; 95 Stat. 1023). Sec. 10 of the OPIC
Amendments Act of 1985 (Public Law 99-204; 99 Stat. 1673), further
extended the date from Sept. 30, 1985 to Sept. 30, 1988. Sec. 107 of
the OPIC Amendments Act of 1988, H.R. 5263, enacted into law by
reference in the Foreign Operations, Export Financing, and Related
Programs Appropriations Act, 1989 (Public Law 100-461; 102 Stat. 2268)
extended the date from Sept. 30, 1988 to Sept. 30, 1992. Sec. 104(a)(2)
of the Jobs Through Exports Act of 1992 (Public Law 102-549; 106 Stat.
3651) amended and restated subsec. (a), extending the issuing authority
from September 30, 1992 to September 30, 1994. The authority was
extended again from Sept, 30, 1994 to Sept. 30, 1996 by sec. 103 of the
Jobs Through Trade Expansion Act of 1994 (Public Law 103-392; 108 Stat.
4098). Title I of the Foreign Operations, Export Financing, and Related
Programs Appropriations Act, 1997 (enacted as sec. 101(c) of title I of
the Omnibus Consolidated Appropriations Act, 1997; Public Law 104-208;
110 Stat. 3009) extended the date from September 30, 1996, to September
30, 1997. Sec. 581(a)(3) of the Foreign Operations, Export Financing,
and Related Programs Appropriations Act, 1998 (Public Law 105-118; 111
Stat. 2435) extended the date from September 30, 1997, to September 30,
1999.
Title I of the Foreign Operations, Export Financing, and Related
Programs Appropriations Act, 1999 (division A, sec. 101(d) of Public
Law 105-277; 112 Stat. 2681), provided the following:
---------------------------------------------------------------------------
``overseas private investment corporation
``noncredit account
---------------------------------------------------------------------------
``The Overseas Private Investment Corporation is authorized to
make, without regard to fiscal year limitations, as provided by 31
U.S.C. 9104, such expenditures and commitments within the limits of
funds available to it and in accordance with law as may be necessary:
Provided, That the amount available for administrative expenses to
carry out the credit and insurance programs (including an amount for
official reception and representation expenses which shall not exceed
$35,000) shall not exceed $32,500,000 of which not more than
$27,500,000 may be made available until the Corporation reports to the
Committees on Appropriations on measures taken to (1) establish sector
specific investment funds; and (2) support regional investment
initiatives in Georgia, Armenia and Azerbaijan through the Caucasus
Fund: Provided further, That project-specific transaction costs,
including direct and indirect costs incurred in claims settlements, and
other direct costs associated with services provided to specific
investors or potential investors pursuant to section 234 of the Foreign
Assistance Act of 1961, shall not be considered administrative expenses
for the purposes of this heading.
---------------------------------------------------------------------------
``program account
---------------------------------------------------------------------------
``For the cost of direct and guaranteed loans, $50,000,000, as
authorized by section 234 of the Foreign Assistance Act of 1961 to be
derived by transfer from the Overseas Private Investment Corporation
Noncredit Account: Provided, That such costs, including the cost of
modifying such loans, shall be as defined in section 502 of the
Congressional Budget Act of 1974: Provided further, That such sums
shall be available for direct loan obligations and loan guaranty
commitments incurred or made during fiscal years 1999 and 2000:
Provided further, That such sums shall remain available through fiscal
year 2007 for the disbursement of direct and guaranteed loans obligated
in fiscal year 1999, and through fiscal year 2008 for the disbursement
of direct and guaranteed loans obligated in fiscal year 2000: Provided
further, That in addition, such sums as may be necessary for
administrative expenses to carry out the credit program may be derived
from amounts available for administrative expenses to carry out the
credit and insurance programs in the Overseas Private Investment
Corporation Noncredit Account and merged with said account.''.
See also sec. 513 of that Act, relating to commerce and trade, and
sec. 535, relating to compliance with U.N. sanctions against Iraq.
---------------------------------------------------------------------------
(b) \245\ * * * [Repealed--1992]
(c) There shall be established in the Treasury of the
United States an insurance and guaranty fund, which shall have
separate accounts to be known as the Insurance Reserve and the
Guaranty Reserve, which reserves shall be available for
discharge of liabilities, as provided in subsection (d) of this
section \248\ until such time as all such liabilities have been
discharged or have expired or until all such reserves have been
expended in accordance with the provisions of this section.
Such fund shall be funded by: (1) the funds heretofore
available to discharge liabilities under predecessor guaranty
authority (including housing guaranty authorities), less both
the amount made available for housing guaranty programs
pursuant to section 223(b) and the amount made available to the
Corporation pursuant to subsection (e) of this section \248\
and (2) such sums as shall be appropriated pursuant to
subsection (f) of this section for such purposes. The
allocation of such funds to each such reserve shall be
determined by the Board after consultation with the Secretary
of the Treasury. Additional amounts may thereafter be
transferred to such reserves pursuant to section 236.
---------------------------------------------------------------------------
\248\ Sec. 17(b) of the OPIC Amendments Act of 1985 (Public Law 99-
204; 99 Stat. 1676) replaced references to ``section 234(e)'' and
``section 235(f)'' with references to ``subsection (e)'', or
``subsection (j)'', ``of this section'', and references to ``section
235(d)'' with ``subsection (d) of this section''.
---------------------------------------------------------------------------
(d) Any payment made to discharge liabilities under
investment insurance or reinsurance issued under section 234
\249\ under similar predecessor guaranty authority or under
section 234A,\249\ shall be paid first out of the Insurance
Reserve, as long as such reserve remains available, and
thereafter out of funds made available pursuant to subsection
(f) of this section. Any payments made to discharge liabilities
under guaranties issued under section 234(b) or under similar
predecessor guaranty authority shall be paid first out of the
Guaranty Reserve as long as such reserve remains available, and
thereafter out of funds made available pursuant to subsection
(f) of this section.\248\
---------------------------------------------------------------------------
\249\ Sec. 2(3)(B) of the OPIC Amendments Act of 1974 (Public Law
93-390) substituted ``insurance or reinsurance issued under section
234'' in lieu of ``insurance issued under section 234(a)''.
The reference to sec. 234A was added by sec. 9(b) of the OPIC
Amendments Act of 1985 (Public Law 99-204; 99 Stat. 1672).
---------------------------------------------------------------------------
(e) There is hereby authorized to be transferred to the
Corporation at its call, for the purposes specified in section
236, all fees and other revenues collected under predecessor
guaranty authority from December 31, 1968, available as of the
date of such transfer.
(f) \250\ There are authorized to be appropriated to the
Corporation, to remain available until expended, such amounts
as may be necessary from time to time to replenish or increase
the insurance and guaranty fund, to discharge the liabilities
under insurance, reinsurance, or guaranties issued by the
Corporation or issued under predecessor guaranty authority, or
to discharge obligations of the Corporation purchased by the
Secretary of the Treasury pursuant to this subsection. However,
no appropriations shall be made to augment the Insurance
Reserve until the amount of funds in the Insurance Reserve is
less than $25,000,000. Any appropriations to augment the
Insurance Reserve shall then only be made either pursuant to
specific authorization enacted after the date of enactment of
the Overseas Private Investment Corporation Amendments Act of
1974, or to satisfy the full faith and credit provision of
section 237(c). In order to discharge liabilities under
investment insurance or reinsurance, the Corporation is
authorized to issue from time to time for purchase by the
Secretary of the Treasury its notes, debentures, bonds, or
other obligations; but the aggregate amount of such obligations
outstanding at any one time shall not exceed $100,000,000. Any
such obligation shall be repaid to the Treasury within one year
after the date of issue of such obligation. Any such obligation
shall bear interest at a rate determined by the Secretary of
the Treasury, taking into consideration the current average
market yield on outstanding marketable obligations of the
United States of comparable maturities during the month
preceding the issuance of any obligation authorized by this
subsection. The Secretary of the Treasury shall purchase any
obligation of the Corporation issued under this subsection, and
for such purchase he may use as a public debt transaction the
proceeds of the sale of any securities issued under the Second
Liberty Bond Act after the date of enactment of the Overseas
Private Investment Corporation Amendments Act of 1974. The
purpose for which securities may be issued under such Bond Act
shall include any such purchase.
---------------------------------------------------------------------------
\250\ Subsec. (f) was amended by sec. 2(3)(C) of the OPIC
Amendments Act of 1974 (Public Law 93-390). It formerly read as
follows: ``(f) There is hereby authorized to be appropriated to the
Corporation, to remain available until expended, such amounts as may be
necessary from time to time to replenish or increase the insurance and
guaranty fund or to discharge the liabilities under insurance and
guaranties issued by the Corporation or issued under predecessor
guaranty authority.''.
Sec. 104(b) of the Jobs Through Exports Act of 1992 (Public Law
102-549; 106 Stat. 3652) had added subsec. (g), which authorized the
Corporation to draw form its noncredit account revolving fund
$8,128,000 for fiscal year 1993 and $11,000,000 for fiscal year 1994
for administrative expenses. Subsec. (g) was struck out by sec. 104 of
Public Law 103-392 (108 Stat. 4098).
---------------------------------------------------------------------------
Sec. 236.\251\ Income and Revenues.--In order to carry out
the purposes of the Corporation, all revenues and income
transferred to or earned by the Corporation, from whatever
source derived, shall be held by the Corporation and shall be
available to carry out its purposes, including without
limitation--
---------------------------------------------------------------------------
\251\ 22 U.S.C. 2196. Sec. 236 was added by sec. 105 of the FA Act
of 1969.
---------------------------------------------------------------------------
(a) payment of all expenses of the Corporation,
including investment promotion expenses;
(b) transfers and additions to the insurance or
guaranty reserves, the Direct Investment Fund
established pursuant to section 235, and such other
funds or reserves as the Corporation may establish, at
such time and in such amounts as the Board may
determine; and
(c) payment of dividends, on capital stock, which
shall consist of and be paid from net earnings of the
Corporation after payments, transfers, and additions
under subsections (a) and (b) hereof.
Sec. 237.\252\ General Provisions Relating to Insurance
Guaranty, and Financing Program.--(a) Insurance guaranties, and
reinsurance \253\ issued under this title shall cover
investment made in connection with projects in any less
developed friendly country or area with the government to which
the President of the United States has agreed to institute a
program for insurance, guaranties, or reinsurance.\253\
---------------------------------------------------------------------------
\252\ 22 U.S.C. 2197. Sec. 237 was added by Sec. 105 of the FA Act
of 1969.
Sec. 110(c) of the OPIC Amendments Act of 1988, S. 2757, enacted
into law by reference in the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1989 (Public Law 100-461; 102
Stat. 2268) struck ``and Guaranty'' and inserted ''Guaranty, and
Financing''.
\253\ Sec. 2(4) of the OPIC Amendments Act of 1974 (Public Law 93-
390) added the reference to reinsurance.
---------------------------------------------------------------------------
(b) The Corporation shall determine that suitable
arrangements exist for protecting the interest of the
Corporation in connection with any insurance, guaranty or
reinsurance \253\ issued under this title, including
arrangements concerning ownership, use, and disposition of the
currency, credits, assets, or investments on account of which
payment under such insurance, guaranty, or reinsurance \253\ is
to be made, and right, title, claim, or cause of action
existing in connection therewith.
(c) All guaranties issued prior to July 1, 1956, all
guaranties issued under sections 202(b) and 413(b) of the
Mutual Security Act of 1954, as amended, all guaranties
heretofore issued pursuant to prior guaranty authorities
repealed by the Foreign Assistance Act of 1969, and all
insurance, reinsurance,\253\ and guaranties issued pursuant to
this title shall constitute obligations, in accordance with the
terms of such insurance, reinsurance,\253\ or guaranties, of
the United States of America and the full faith and credit of
the United States of America is hereby pledged for the full
payment and performance of such obligations.
(d) \254\ Fees.--
---------------------------------------------------------------------------
\254\ Sec. 105(a) of the Jobs Through Exports Act of 1992 (Public
Law 102-549; 106 Stat. 3652) amended and restated subsec. (d).
Previously it had been amended and restated by sec. 2(4)(D) of the OPIC
Amendments Act of 1974 (Public Law 93-390).
---------------------------------------------------------------------------
(1) In general.--Fees may be charged for providing
insurance, reinsurance, financing, and other services
under this title in amounts to be determined by the
Corporation. In the event fees charged for insurance,
reinsurance, financing, or other services are reduced,
fees to be paid under existing contracts for the same
type of insurance, reinsurance, financing, or services
and for similar guarantees issued under predecessor
guarantee authority may be reduced.
(2) Credit transaction costs.--Project-specific
transaction costs incurred by the Corporation relating
to loan obligations or loan guarantee commitments
covered by the provisions of the Federal Credit Reform
Act of 1990, including the costs of project-related
travel and expenses for legal representation provided
by persons outside the Corporation and other similar
expenses which are charged to the borrower, shall be
paid out of the appropriate finance account established
pursuant to section 505(b) of such Act.
(3) Noncredit transaction costs.--Fees paid for the
project-specific transaction costs and other direct
costs associated with services provided to specific
investors or potential investors pursuant to section
234 (other than those covered in paragraph (2)),
including financing, insurance, reinsurance, missions,
seminars, conferences, and other preinvestment
services, shall be available for obligation for the
purposes for which they were collected, notwithstanding
any other provision of law.
(e) No insurance, guaranty, or reinsurance \253\ of any
equity investment shall extend beyond twenty years from the
date of issuance.
(f) Compensation for insurance, reinsurance, or guaranties
issued under this title shall not exceed the dollar value, as
of the date of the investment, of the investment made in the
project with the approval of the Corporation plus interest,
earnings, or profits actually accrued on such investment to the
extent provided by such insurance, reinsurance, or guaranty,
except that the Corporation may provide that (1) appropriate
adjustments in the insured dollar value be made to reflect the
replacement cost of project assets, and (2) compensation for a
claim of loss under insurance of an equity investment may be
computed on the basis of the net book value attributable to
such equity investment on the date of loss.\255\
Notwithstanding the preceding sentence, the Corporation shall
limit the amount of direct insurance and reinsurance issued by
it under section 234 or 234A so that risk of loss as to at
least 10 per centum of the total investment of the insured and
its affiliates in the project is borne by the insured and such
affiliates, except that limitation shall not apply to direct
insurance or reinsurance of loans by banks or other financial
institutions to unrelated parties and \256\ (3) \257\
compensation for loss due to business interruption may be
computed on a basis to be determined by the Corporation which
reflects amounts lost.
---------------------------------------------------------------------------
\255\ The first sentence of subsec. (f) was amended and restated by
sec. 6(a) of the OPIC Amendments Act of 1981 (Public Law 97-65; 95
Stat. 1023). Previous amendments to this sentence in subsec. (f) which
are retained in the new text include the following: The word
``reinsurance'' was added by sec. 2(4)(F) of Public Law 93-390; the
basic language of clause (1) was added by sec. 5 of Public Law 95-268
(92 Stat. 215).
\256\ This sentence was added by sec. 2(4)(G) of the OPIC
Amendments Act of 1974 (Public Law 93-390). The phrase ``except that
limitation shall not apply to direct insurance or reinsurance of loans
by banks or other financial institutions to unrelated parties'' was
added by sec. 5 of Public Law 95-268 (92 Stat. 215).
A sentence, as added by sec. 2(4)(G) of Public Law 93-390 and which
previously appeared at this point, was struck out by sec. 6(b) of the
OPIC Amendments Act of 1981 (Public Law 97-65; 95 Stat. 1023). It
formerly read as follows: ``The preceding sentence shall not apply to
the extent not permitted by State law.''.
\257\ Subpara. (3) as added by sec. 6(b) of the OPIC Amendments Act
of 1985 (Public Law 99-204).
---------------------------------------------------------------------------
(g) No payment may be made under any guaranty, insurance or
reinsurance \253\ issued pursuant to this title for any loss
arising out of fraud or misrepresentation for which the party
seeking payment is responsible.
(h) Insurance, guaranties, or reinsurance \258\ of a loan
or equity investment of an eligible investor in a foreign bank,
finance company, or other credit institution shall extend only
to such loan or equity investment and not to any individual
loan or equity investment made by such foreign bank, finance
company, or other credit institution.
---------------------------------------------------------------------------
\258\ Sec. 2(4)(I) of the OPIC Amendments Act of 1974 (Public Law
93-390) substituted the words ``, guaranties, or reinsurance'' in lieu
of ``or guaranties''.
---------------------------------------------------------------------------
(i) Claims arising as a result of insurance, reinsurance
\259\ or guaranty operations under this title or under
predecessor guaranty authority may be settled, and disputes
arising as a result thereof may be arbitrated with the consent
of the parties, on such terms and conditions as the Corporation
may determine. Payment made pursuant to any such settlement, or
as a result of an arbitration award, shall be final and
conclusive notwithstanding any other provision of law.
---------------------------------------------------------------------------
\259\ Sec. 2(4)(J) of the OPIC Amendments Act of 1974 (Public Law
93-390) added the word ``, reinsurance''.
---------------------------------------------------------------------------
(j) Each guaranty contract executed by such officer or
officers as may be designated by the Board shall be
conclusively presumed to be issued in compliance with the
requirements of this Act.
(k) \260\ In making a determination to issue insurance,
guaranties, or reinsurance under this title, the Corporation
shall consider the possible adverse effect of the dollar
investment under such insurance, guaranty, or reinsurance upon
the balance of payments of the United States.
---------------------------------------------------------------------------
\260\ Subsec. (k) was amended by sec. 2(4)(K) of the OPIC
Amendments Act of 1974 (Public Law 93-390). It formerly read as
follows: ``(k) In making a determination to issue insurance or a
guaranty under this title, the Corporation shall consider the possible
adverse effect of the dollar investment under such insurance or
guaranty upon the balance of payments of the United States''.
---------------------------------------------------------------------------
(l) \261\ (1) No payment may be made under any insurance or
reinsurance which is issued under this title on or after the
date of enactment of this subsection \262\ for any loss
occurring with respect to a project, if the preponderant cause
of such loss was an act by the investor seeking payment under
this title, by a person possessing majority ownership and
control of the investor at the time of the act, or by any agent
of such investor or controlling person, and a court of the
United States has entered a final judgment that such act
constituted a violation under the Foreign Corrupt Practices Act
of 1977.
---------------------------------------------------------------------------
\261\ Subsec. (l) was added by sec. 6 of Public Law 95-268 (92
Stat. 215).
\262\ Subsec. (l) became effective April 24, 1978.
---------------------------------------------------------------------------
(2) Not later than 120 days after the date of enactment of
this subsection,\262\ the Corporation shall adopt regulations
setting forth appropriate conditions under which any person
convicted under the Foreign Corrupt Practices Act of 1977 for
an offense related to a project insured or otherwise supported
by the Corporation shall be suspended, for a period of not more
than five years, from eligibility to receive any insurance,
reinsurance, guaranty, loan, or other financial support
authorized by this title.
(m) \263\ (1) Before finally providing insurance,
reinsurance, guarantees, or financing under this title for any
environmentally sensitive investment in connection with a
project in a country, the Corporation shall notify appropriate
government officials of that country of--
---------------------------------------------------------------------------
\263\ Subsec. (m) was added by sec. 4(b) of the OPIC Amendments Act
of 1985 (Public Law 99-204).
---------------------------------------------------------------------------
(A) all guidelines and other standards adopted by the
International Bank for Reconstruction and Development
and any other international organization relating to
the public health or safety or the environment which
are applicable to the project; and
(B) to the maximum extent practicable, any
restriction under any law of the United States relating
to public health or safety or the environment that
would apply to the project if the project were
undertaken in the United States.
The notification under the preceding sentence shall include a
summary of the guidelines, standards, and restrictions referred
to in subparagraphs (A) and (B), and may include any
environmental impact statement, assessment, review, or study
prepared with respect to the investment pursuant to section
239(g).
(2) Before finally providing insurance, reinsurance,
guarantees, or financing for any investment subject to
paragraph (1), the Corporation shall take into account any
comments it receives on the project involved.
(3) On or before September 30, 1986, the Corporation shall
notify appropriate government officials of a country of the
guidelines, standards, and legal restrictions described in
paragraph (1) that apply to any project in that country--
(A) which the Corporation identifies as potentially
posing major hazards to public health and safety or the
environment; and
(B) for which the Corporation provided insurance,
reinsurance, guarantees, or financing under this title
before the date of enactment of this subsection and
which is in the Corporation's portfolio on that date.
(n) \264\ Penalties for Fraud.--Whoever knowingly makes any
false statement or report, or willfully overvalues any land,
property, or security, for the purpose of influencing in any
way the action of the Corporation with respect to any
insurance, reinsurance, guarantee, loan, equity investment, or
other activity of the Corporation under section 234 or any
change or extension of any such insurance, reinsurance,
guarantee, loan, equity investment, or activity, by renewal,
deferment of action or otherwise, or the acceptance, release,
or substitution of security therefor, shall be fined not more
than $1,000,000 or imprisoned not more than 30 years, or both.
---------------------------------------------------------------------------
\264\ Sec. 105(b) of the Jobs Through Exports Act of 1992 (Public
Law 102-549; 106 Stat. 3653) added subsec. (n).
---------------------------------------------------------------------------
(o) \265\ Use of Local Currencies.--Direct loans or
investments made in order to preserve the value of funds
received in inconvertible foreign currency by the Corporation
as a result of activities conducted pursuant to section 234(a)
shall not be considered in determining whether the Corporation
has made or has outstanding loans or investments to the extent
of any limitation on obligations and equity investment imposed
by or pursuant to this title. The provisions of section 504(b)
of the Federal Credit Reform Act of 1990 shall not apply to
direct loan obligations made with funds described in this
subsection.
---------------------------------------------------------------------------
\265\ Sec. 105(c) of the Jobs Through Exports Act of 1992 (Public
Law 102-549; 106 Stat. 3653) added subsec. (o).
---------------------------------------------------------------------------
Sec. 238.\266\ Definitions.--As used in this title--
---------------------------------------------------------------------------
\266\ 22 U.S.C. 2198. Sec. 238 was added by sec. 105 of the FA Act
of 1969.
---------------------------------------------------------------------------
(a) the term ``investment'' includes any contribution
or commitment \267\ of funds, commodities, services,
patents, processes, or techniques, in the form of (1) a
loan or loans to an approved project, (2) the purchase
of a share of ownership in any such project, (3)
participation in royalties, earnings, or profits of any
such project, and (4) the furnishing of commodities or
services pursuant to a lease or other contract;
---------------------------------------------------------------------------
\267\ The words ``or commitment'' were added by sec. 7 of the OPIC
Amendments Act of 1981 (Public Law 97-65; 95 Stat. 1024).
---------------------------------------------------------------------------
(b) the term ``expropriation'' includes, but is not
limited to, any abrogation, repudiation, or impairment
by a foreign government of its own contract with an
investor with respect to a project, where such
abrogation, repudiation, or impairment is not caused by
the investor's own fault or misconduct, and materially
adversely affects the continued operation of the
project;
(c) the term ``eligible investor'' means: (1) United
States citizens; (2) corporations, partnerships, or
other associations including nonprofit associations,
created under the laws of the United States any State
or territory thereof, or the District of Columbia,\268\
and substantially beneficially owned by United States
citizens; and (3) foreign corporations, partnerships,
or other associations wholly owned by one or more such
United States citizens, corporations, partnerships, or
other associations: Provided however, That the
eligibility of such foreign corporation shall be
determined without regard to any shares, in aggregate
less than 5 per centum of the total issued and
subscribed share capital,\269\ held by other than the
United States owners: Provided further, That in the
case of any loan investment a final determination of
eligibility may be made at the time the insurance or
guaranty is issued; in all other cases, the investor
must be eligible at the time a claim arises as well as
the time the insurance or guaranty is issued; \270\
---------------------------------------------------------------------------
\268\ Reference to the District of Columbia was added by sec. 17(a)
of the OPIC Amendments Act of 1985 (Public Law 99-204).
\269\ The words ``required by Law to be'', which appeared at this
point were struck out by sec. 104(a) of the FA Act of 1971.
\270\ Sec. 106 of the Jobs Through Exports Act of 1992 (Public Law
102-549; 106 Stat. 3653): (1) struck out ``and'' at the end of subsec.
(c); (2) redesignated subsec. (d) as subsec. (f); and (3) added new
subsecs. (d) and (e).
---------------------------------------------------------------------------
(d) \270\ the term ``noncredit account revolving
fund'' means the account in which funds under section
236 and all funds from noncredit activities are held;
and \271\
---------------------------------------------------------------------------
\271\ So in original.
---------------------------------------------------------------------------
(e) \270\ the term ``noncredit activities'' means all
activities of the Corporation other than its loan
guarantee program under section 234(b) and its direct
loan program under section 234(c); \271\
(f) \270\ the term ``predecessor guaranty authority''
means prior guaranty authorities (other than housing
guaranty authorities) repealed by the Foreign
Assistance Act of 1969, section 202(b) and 413(b) of
the Mutual Security Act of 1954, as amended, and
section 111(b)(3) of the Economic Cooperation Act of
1948, as amended (exclusive of authority relating to
informational media guaranties).
Sec. 239.\272\ General Provisions and Powers.--(a) The
Corporation shall have its principal office in the District of
Columbia and shall be deemed, for purposes of venue in civil
actions, to be resident thereof.
---------------------------------------------------------------------------
\272\ 22 U.S.C. 2199. Sec. 239 was added by sec. 105 of the FA Act
of 1969.
---------------------------------------------------------------------------
(b) The President shall transfer to the Corporation, at
such time as he may determine, all obligations, assets and
related rights and responsibilities arising out of, or related
to, predecessor programs and authorities similar to those
provided for in section 234 (a), (b), and (d). Until such
transfer, the agency heretofore responsible for such
predecessor programs shall continue to administer such assets
and obligations, and such programs and activities authorized
under this title as may be determined by the
President.\273\, \274\
---------------------------------------------------------------------------
\273\ A Presidential Determination of Dec. 30, 1969 (35 F.R. 43;
January 3, 1970), provided for AID administration until transfer to the
Overseas Private Investment Corporation.
\274\ Sec. 7(1) of Public Law 95-268 (92 Stat. 215) struck out a
paragraph previously appearing in subsec. (b) which had directed OPIC
to cease operating the programs authorized by sec. 234 (b) through (e)
and sec. 240 on Dec. 31, 1979.
---------------------------------------------------------------------------
(c) \275\ (1) The Corporation shall be subject to the
applicable provisions of chapter 91 of title 31, United States
Code, except as otherwise provided in this title.
---------------------------------------------------------------------------
\275\ Sec. 11 of the OPIC Amendments Act of 1985 (Public Law 99-
204), substituted the text of subsec. (c) in lieu of:
``The Corporation shall be subject to the applicable provisions of
the Government Corporation Control Act, except as otherwise provided in
this title.''.
---------------------------------------------------------------------------
(2) An independent certified public accountant shall
perform a financial and compliance audit of the financial
statements of the Corporation at least once every three years,
in accordance with generally accepted Government auditing
standards for a financial and compliance audit, as issued by
the Comptroller General. The independent certified public
accountant shall report the results of such audit to the Board.
The financial statements of the Corporation shall be presented
in accordance with generally accepted accounting principles.
These financial statements and the report of the accountant
shall be included in a report which contains, to the extent
applicable, the information identified in section 9106 of title
31, United States Code, and which the Corporation shall submit
to the Congress not later than six and one-half months after
the end of the last fiscal year covered by the audit. The
General Accounting Office may review the audit conducted by the
accountant and the report to the Congress in the manner and at
such times as the General Accounting Office considers
necessary.
(3) In lieu of the financial and compliance audit required
by paragraph (2), the General Accounting Office shall, if the
Office considers it necessary or upon the request of the
Congress, audit the financial statements of the Corporation in
the manner provided in paragraph (2). The Corporation shall
reimburse the General Accounting Office for the full cost of
any audit conducted under this paragraph.
(4) All books, accounts, financial records, reports, files,
workpapers, and property belonging to or in use by the
Corporation and the accountant who conducts the audit under
paragraph (2), which are necessary for purposes of this
subsection, shall be made available to the representatives of
the General Accounting Office.
(d) To carry out the purposes of this title, the
Corporation is authorized to adopt and use a corporate seal,
which shall be judicially noticed; to sue and be sued in its
corporate name; to adopt, amend, and repeal bylaws governing
the conduct of its business and the performance of the powers
and duties granted to or imposed upon it by law; to acquire,
hold or dispose of, upon such terms and conditions as the
Corporation may determine, any property, real, personal, or
mixed, tangible or intangible, or any interest therein; to
invest funds derived from fees and other revenues in
obligations of the United States and to use the proceeds
therefrom, including earnings and profits, as it shall deem
appropriate; to indemnify directors, officers, employees and
agents of the Corporation for liabilities and expenses incurred
in connection with their Corporation activities; to require
bonds of officers, employees, and agents and pay the premiums
therefor; notwithstanding any other provision of law, to
represent itself or to contract for representation in all legal
and arbitral proceedings; to enter into limited-term contracts
with nationals of the United States for personal services to
carry out activities in the United States and abroad under
subsections (d) and (e) of section 234; \276\ to purchase,
discount, rediscount, sell, and negotiate, with or without its
endorsement or guaranty, and guarantee notes, participation
certificates, and other evidence of indebtedness (provided that
the Corporation shall not issue its own securities, except
participation certificates for the purpose of carrying out
section 231(c) or participation certificates as evidence of
indebtedness held by the Corporation in connection with
settlement of claims under section 237(i)); \277\ to make and
carry out such contracts and agreements as are necessary and
advisable in the conduct of its business; to exercise the
priority of the Government of the United States in collecting
debts from bankrupt, insolvent, or decedents' estates; to
determine the character of and the necessity for its
obligations and expenditures, and the manner in which they
shall be incurred, allowed, and paid, subject to provisions of
law specifically applicable to Government corporations; to
collect or compromise any obligations assigned to or held by
the Corporation, including any legal or equitable rights
accruing to the Corporation; \278\ and to take such actions as
may be necessary or appropriate to carry out the powers herein
or hereafter specifically conferred upon it.
---------------------------------------------------------------------------
\276\ Sec. 107 of the Jobs Through Exports Act of 1992 (Public Law
102-549; 106 Stat. 3654) inserted ``to enter into limited-term
contracts with nationals of the United States for personal services to
carry out activities in the United States and abroad under subsections
(d) and (e) of section 234;'' after ``legal and arbitral
proceedings;''.
\277\ The words to this point beginning with ``or participation
certificates * * *'' were added by sec. 7(2) of Public Law 95-268 (92
Stat. 215).
\278\ This phrase beginning with ``to collect or compromise * * *''
was added by sec. 8(1) of the OPIC Amendments Act of 1981 (Public Law
97-65; 95 Stat. 1024).
---------------------------------------------------------------------------
(e) The Inspector General \279\ of the Agency for
International Development (1) may conduct \280\ reviews,
investigations, and inspections of all phases of the
Corporation's operations and activities and (2) shall conduct
all security activities of the Corporation relating to
personnel and the control of classified material. With respect
to his responsibilities under this subsection, the Inspector
General \279\ shall report to the Board. The agency primarily
responsible for administering part I shall be reimbursed by the
Corporation for all expenses incurred by the Inspector General
\279\ in connection with his responsibilities under this
subsection.
---------------------------------------------------------------------------
\279\ Reference to the Inspector General was inserted in lieu of a
reference to the Auditor-General by sec. 8(2)(A) of the OPIC Amendments
Act of 1981 (Public Law 97-65; 95 Stat. 1024).
\280\ The words ``may conduct'' were inserted in lieu of ``shall
have the responsibility for planning and directing the execution of
audits,'' by sec. 8(2)(B) of the OPIC Amendments Act of 1981 (Public
Law 97-65; 95 Stat. 1024).
---------------------------------------------------------------------------
(f) \281\, \282\ Except for the provisions of
this title, no other provision of this or any other law shall
be construed to prohibit the operation in Yugoslavia, Poland,
Hungary,\283\ or any other East European country,\284\ or the
People's Republic of China, or Pakistan \285\ of the programs
authorized by this title, if the President determines that the
operation of such program in such country is important to the
national interest.
---------------------------------------------------------------------------
\281\ Sec. 8(3) of the OPIC Amendments Act of 1981 (Public Law 97-
65; 95 Stat. 1024) struck out subsecs. (f), (j), and (k) (subsecs. (j)
and (k) added by sec. 7(3) of Public Law 95-268), and redesignated
existing subsecs. (g), (h), (i), and (l) as subsecs. (f), (g), (h), and
(i), respectively.
Old subsec. (f) authorized the establishment of an Advisory Board
in order to further the purposes of OPIC; old subsec. (j) blocked OPIC
support for copper exploration or mining projects begun after Jan. 1,
1981, and projects for the production of copper beginning after this
date if the project would cause injury to the primary U.S. copper
industry; and old subsec. (k) blocked OPIC support for any project to
establish or expand production of processing of palm oil, sugar, or
citrus crops for export.
\282\ Subsec. (f) was originally added as subsec. (g) by sec.
104(b) of the FA Act of 1971. Reference in the subsection to the
People's Republic of China was added by Public Law 96-327 (94 Stat.
1026). Reference to Romania was struck out by sec. 108 of the OPIC
Amendments Act of 1988, S. 2757, enacted into law by reference in the
Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1989 (Public Law 100-461; 102 Stat. 2268).
\283\ Section 302(a) of the Support for East European Democracy
(SEED) Act of 1989 (Public Law 101-179; 103 Stat. 1311) inserted
reference to Hungary and Poland at this point.
\284\ Sec. 576(a) of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1991 (Public Law 101-513; 104
Stat. 2044), inserted ``or any other East European country''.
\285\ Sec. 579(a) of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1998 (Public Law 105-118; 111
Stat. 2435), inserted ``, or Pakistan'' after ``China''. Sec. 579(b) of
that Act, furthermore, provided the following:
``(b) Trade and Development.--It is the sense of Congress that the
Director of the Trade and Development Agency should use funds made
available to carry out the provisions of section 661 of the Foreign
Assistance Act of 1961 (22 U.S.C. 2421) to promote United States
exports to Pakistan.''.
---------------------------------------------------------------------------
(g) \281\, \286\ The requirements of section
117(c) of this Act relating to environmental impact statements
and environmental assessments shall apply to any investment
which the Corporation insures, reinsures, guarantees, or
finances under this title in connection with a project in a
country.
---------------------------------------------------------------------------
\286\ Subsec. (g) was originally added as subsec. (h) by sec.
2(5)(B) of the OPIC Amendments Act of 1974 (Public Law 93-390). Sec.
4(c) of the OPIC Amendments Act of 1985 (Public Law 99-204), restated
and amended subsec. (g) in its current form. It previously read as
follows:
``Within six months after the date of enactment of this subsection,
the Corporation shall develop and implement specific criteria intended
to minimize the potential environmental implications of projects
undertaken by investors abroad in accordance with any of the programs
authorized by this title.''.
The OPIC Amendments Act of 1988, S. 2757, enacted into law by
reference in the Foreign Operations, Export Financing, and Related
Programs Appropriations Act, 1989 (Public Law 100-461; 102 Stat. 2268)
replaced ``118(c)'' with ``117(c)''.
---------------------------------------------------------------------------
(h) \281\, \287\ In order to carry out the
policy set forth in paragraph (1) of the second undesignated
paragraph of section 231 of this Act, the Corporation shall
prepare and maintain for each investment project it insures,
finances, or reinsures, a development impact profile consisting
of data appropriate to measure the projected and actual effects
of such project on development. Criteria for evaluating
projects shall be developed in consultation with the Agency for
International Development.\288\
---------------------------------------------------------------------------
\287\ Subsec. (h) was originally added as subsec. (i) by sec. 7(3)
of Public Law 95-268 (92 Stat. 215).
\288\ This consultative function was transferred to the Director of
IDCA, pursuant to sec. 6 of Reorganization Plan No. 2 of 1979
(establishing IDCA). The Reorganization Plan No. 2 of 1979 ceased to be
effective with enactment of the Foreign Affairs Reform and
Restructuring Act of 1998, pursuant to sec. 1422(a)(1) (division G of
Public Law 105-277; 112 Stat. 2681).
---------------------------------------------------------------------------
(i) \281\, \289\ The Corporation shall take into
account in the conduct of its programs in a country, in
consultation with the Secretary of State, all available
information about observance of and respect for human rights
and fundamental freedoms in such country and the effect the
operation of such programs will have on human rights and
fundamental freedoms in such country. The provisions of section
116 of this Act shall apply to any insurance, reinsurance,
guaranty, or loan issued by the Corporation for projects in a
country, except that in addition to the exception (with respect
to benefiting needy people) set forth in subsection (a) of such
section, the Corporation may support a project if the national
security interest so requires.
---------------------------------------------------------------------------
\289\ Subsec. (i) was originally added as subsec. (l) by sec. 8 of
Public Law 95-268 (92 Stat. 216).
---------------------------------------------------------------------------
(j) \290\ The Corporation, including its franchise,
capital, reserves, surplus, advances, intangible property, and
income, shall be exempt from all taxation at any time imposed
by the United States, by any territory, dependency, or
possession of the United States, or by any State, the District
of Columbia, or any county, municipality, or local taxing
authority.
---------------------------------------------------------------------------
\290\ Secs. 12 and 13 of the OPIC Amendments Act of 1985 (Public
Law 99-204; 99 Stat. 1674), added subsecs. (j) and (k), respectively.
---------------------------------------------------------------------------
(k) \290\ The Corporation shall publish, and make available
to applicants for insurance, reinsurance, guarantees,
financing, or other assistance made available by the
Corporation under this title, the policy guidelines of the
Corporation relating to its programs.
Sec. 240.\291\ Small Business Development.--The Corporation
shall undertake, in cooperation with appropriate departments,
agencies, and instrumentalities of the United States as well as
private entities and others, to broaden the participation of
United States small business, cooperatives, and other small
United States investors in the development of small private
enterprise in less developed friendly countries or areas. The
Corporation shall allocate up to 50 percent of its annual net
income, after making suitable provision for transfers and
additions to reserves, to assist and facilitate the development
of projects consistent with the provisions of this section.
Such funds may be expended, notwithstanding the requirements of
section 231(a), on such terms and conditions as the Corporation
may determine, through loans, grants, or other programs
authorized by section 234 and section 234A.
---------------------------------------------------------------------------
\291\ 22 U.S.C. 2200. This new sec. 240 was added by sec. 9 of
Public Law 95-268 (92 Stat. 216). Previously, sec. 240 had concerned
agricultural credit and self-help community development projects but
had been repealed by the FA Act of 1974.
---------------------------------------------------------------------------
Sec. 240A.\292\ Reports to the Congress.--After (a) the end
of each fiscal year, the Corporation shall submit to the
Congress a complete and detailed report of its operations
during such fiscal year. Such report shall include--
---------------------------------------------------------------------------
\292\ 22 U.S.C. 2200a. Sec. 240A, as added by sec. 105 of the FA
Act of 1969 and amended by sec. 2(7) of Public Law 93-390, was amended
and restated by sec. 10 of Public Law 95-268 (92 Stat. 216).
---------------------------------------------------------------------------
(1) an assessment, based upon the development impact
profiles required by section 239(h), of the economic
and social development impact and benefits of the
projects with respect to which such profiles are
prepared, and of the extent to which the operations of
Corporation complement or are compatible with the
development assistance programs of the United States
and other donors; and
(2) a description of any project for which the
Corporation--
(A) refused to provide any insurance,
reinsurance, guaranty, financing, or other
financial support, on account of violations of
human rights referred to in section 239(i); or
(B) notwithstanding such violations, provided
such insurance, reinsurance, guaranty,
financing, or financial support, on the basis
of a determination (i) that the project will
directly benefit the needy people in the
country in which the project is located, or
(ii) that the national security interest so
requires.
(b) \293\ (1) Each annual report required by subsection (a)
shall contain projections of the effects on employment in the
United States of all projects for which, during the preceding
fiscal year, the Corporation initially issued any insurance,
reinsurance, or guaranty or made any direct loan. Each such
report shall include projections of--
---------------------------------------------------------------------------
\293\ Subsec. (b), which required a one-time report to Congress on
the development of private and multilateral programs for investment
insurance and any reinsurance arrangements OPIC had made with private
insurance companies, multilateral organizations and institutions, or
other entities, was struck out by sec. 9(a)(2) of the OPIC Amendments
Act of 1981 (Public Law 97-65; 95 Stat. 1024).
---------------------------------------------------------------------------
(A) the amount of United States exports to be
generated by those projects, both during the start-up
phase and over a period of years;
(B) the final destination of the products to be
produced as a result of those projects; and
(C) the impact such production will have on the
production of similar products in the United States
with regard to both domestic sales and exports.
(2) \294\ The projections required by this subsection shall
be based on an analysis of each of the projects described in
paragraph (1).
---------------------------------------------------------------------------
\294\ Sec. 108 of the Jobs Through Exports Act of 1992 (Public Law
102-549; 106 Stat. 3654) struck out the former par. (2), and inserted
new paras. (2) and (3).
---------------------------------------------------------------------------
(3) \294\ In reporting the projections on employment required
by this subsection, the Corporation shall specify, with respect
to each project--
(A) any loss of jobs in the United States caused by
the project, whether or not the project itself creates
other jobs;
(B) any jobs created by the project; and
(C) the country in which the project is located, and
the economic sector involved in the project.
No proprietary information may be disclosed under this
paragraph.
(c)(1) \295\ * * * [Repealed--1988]
---------------------------------------------------------------------------
\295\ Sec. 240A(c) was repealed by sec. 110(b)(1) of the OPIC
Amendments Act of 1988, S. 2757, enacted into law by reference in the
Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1989 (Public Law 100-461; 102 Stat. 2268). Subsec.
(c) had required that OPIC submit to Congress not later than December
31, 1987, a report analyzing the actual effects, as of September 30,
1986, on employment in the United States of all projects with respect
to which any insurance, reinsurance, or guaranty issued by the
Corporation was in effect on September 30, 1986, or with respect to
which repayments on direct loans by the Corporation were being made as
of that date.
---------------------------------------------------------------------------
(d) The Corporation shall maintain as part of its records--
(1) all information collected in preparing the report
required by subsection (c) (as in effect before the
enactment of the Overseas Private Investment
Corporation Amendments Act of 1988),\296\ whether the
information was collected by the Corporation itself or
by a contractor; and
---------------------------------------------------------------------------
\296\ Sec. 110(b)(2) of the OPIC Amendments Act of 1988, S. 2757,
enacted into law by reference in the Foreign Operations, Export
Financing, and Related Programs Appropriations Act, 1989 (Public Law
100-461; 102 Stat. 2268), added the parenthetical text following
``(c)''.
---------------------------------------------------------------------------
(2) a copy of the analysis of each project analyzed
in preparing the reports required by either subsection
(b) or (c) (as in effect before the enactment of the
Overseas Private Investment Corporation Amendments Act
of 1988).\296\
(e) \297\ Each annual report required by subsection (a)
shall include an assessment of programs implemented by the
Corporation under section 234A(a), including the following
information, to the extent such information is available to the
Corporation:
---------------------------------------------------------------------------
\297\ Sec. 105(b) of the OPIC Amendments Act of 1988, S. 2757,
enacted into law by reference in the Foreign Operations, Export
Financing, and Related Programs Appropriations Act, 1989 (Public Law
100-461; 102 Stat. 2268), amended Sec. 240A by redesignating subsec.
(e) as (f) and inserting a new subsec. (e).
---------------------------------------------------------------------------
(1) The nature and dollar value of political risk
insurance provided by private insurers in conjunction
with the Corporation, which the Corporation was not
permitted to provide under this title.
(2) The nature and dollar value of political risk
insurance provided by private insurers in conjunction
with the Corporation, which the Corporation was
permitted to provide under this title.
(3) The manner in which such private insurers and the
Corporation cooperated in recovery efforts and claims
management.
(f) \297\ Subsections (b) and (e) do not require the
inclusion in any report submitted pursuant to those subsections
of any information which would not be required to be made
available to the public pursuant to section 552 of title 5,
United States Code (relating to freedom of information).
SEC. 240B.\298\ PROHIBITION ON NONCOMPETITIVE AWARDING OF INSURANCE
CONTRACTS ON OPIC SUPPORTED EXPORTS.
(a) Requirement for Certification.--
---------------------------------------------------------------------------
\298\ 22 U.S.C. 2200b. Sec. 109 of the Jobs Through Exports Act of
1992 (Public Law 102-549; 106 Stat. 3654) added sec. 240B. Previously,
sec. 240B addressed the return of appropriated funds by the Corporation
to the general fund of the Treasury.
---------------------------------------------------------------------------
(1) In general.--Except as provided in paragraph (3),
the investor on whose behalf insurance, reinsurance,
guaranties, or other financing is provided under this
title with respect to a project shall be required to
certify to the Corporation that any contract for the
export of goods as part of that project will include a
clause requiring that United States insurance companies
have a fair and open competitive opportunity to provide
insurance against risk of loss of such export.
(2) When certification must be made.--The investor
shall be required, in every practicable case, to so
certify before the insurance, reinsurance, guarantee,
or other financing is provided. In any case in which
such a certification is not made in advance, the
investor shall include in the certification the reasons
for the failure to make a certification in advance.
(3) Exception.--Paragraph (1) does not apply with
respect to an investor who does not, because of the
nature of the investment, have a controlling interest
in fact in the project in question.
(b) Reports by the United States Trade Representative.--The
United States Trade Representative shall review the actions of
the Corporation under subsection (a) and, after consultation
with representatives of United States insurance companies,
shall report to the Congress in the report required by section
181(b) of the Trade Act of 1974 with respect to such actions.
(c) Definitions.--For purposes of this section--
(1) the term ``United States insurance company''
includes--
(A) an individual, partnership, corporation,
holding company, or other legal entity which is
authorized, or in the case of a holding
company, subsidiaries of which are authorized,
by a State to engage in the business of issuing
insurance contracts or reinsuring the risk
underwritten by insurance companies; and
(B) foreign operations, branches, agencies,
subsidiaries, affiliates, or joint ventures of
any entity described in subparagraph (A);
(2) United States insurance companies shall be
considered to have had a ``fair and open competitive
opportunity to provide insurance'' if they--
(A) have received notice of the opportunity
to provide insurance; and
(B) have been evaluated on a
nondiscriminatory basis; and
(3) the term ``State'' includes the District of
Columbia and any commonwealth, territory, or possession
of the United States.
Title V--Disadvantaged Children in Asia \299\
Sec. 241.\300\ Assistance to Certain Disadvantaged Children
in Asia.--(a) The Congress recognizes the humanitarian needs of
disadvantaged children in Asian countries where there has been
or continues to be a heavy presence of United States military
and related personnel in recent years. Moreover, the Congress
finds that inadequate provision has been made for the care and
welfare of such disadvantaged children, particularly those
fathered by the United States citizens.
---------------------------------------------------------------------------
\299\ Sec. 116 of the International Development and Food Assistance
Act of 1978 (Public Law 95-424; 92 Stat. 952) struck out the title
heading ``Development Research'' and added this new heading for title
V.
\300\ 22 U.S.C. 2201. This new sec. 241 was added by sec. 116 of
the International Development and Food Assistance Act of 1978 (Public
Law 95-424; 92 Stat. 952). Previously, sec. 241 had contained the
general authority under title V but had been repealed by Public Law 94-
161 (89 Stat. 849).
---------------------------------------------------------------------------
(b) Accordingly, the President is authorized to expend up
to $3,000,000 \301\ of funds made available under chapter 1 of
this part, in addition to funds otherwise available for such
purposes, to help meet the needs of these disadvantaged
children in Asia by assisting in the expansion and improvement
of orphanages, hostels, day care centers, school feeding
programs, and health, education, and welfare programs.
Assistance provided under this section shall be furnished under
the auspices of and by international organizations or private
voluntary agencies operating within, and in cooperation with,
the countries of Asia where these disadvantaged children
reside.
---------------------------------------------------------------------------
\301\ Sec. 903(a) of the International Security and Development
Cooperation Act of 1985 (Public Law 99-83; 99 Stat. 190) increased the
authorization of funds from $2,000,000 to $3,000,000.
---------------------------------------------------------------------------
Title VI--Alliance for Progress \302\ * * * [Repealed--1978]
Title VII--Evaluation of Programs \303\ * * * [Repealed--1978]
Title VIII--Southeast Asia Multilateral and Regional Programs \304\ * *
* [Repealed--1978]
Title IX--Utilization of Democratic Institutions in Development \305\
Sec. 281.\306\ Utilization of Democratic Institutions in
Development. --(a) \307\ In carrying out programs authorized in
this chapter and chapter 1,\308\ emphasis shall be placed on
assuring maximum participation in the task of economic
development on the part of the people of the developing
countries, through the encouragement of democratic private and
local governmental institutions.
---------------------------------------------------------------------------
\302\ Title VI, as added by the FA Act of 1962, was repealed by
sec. 102(g)(1)(A) of the International Development and Food Assistance
Act of 1978 (Public Law 95-424; 92 Stat. 942).
\303\ Title VII, as added by the FA Act of 1963, was repealed by
sec. 102(g)(1)(A) of the International Development and Food Assistance
Act of 1978 (Public Law 95-424; 92 Stat. 942).
\304\ Title VIII, as added by the FA Act of 1966, was repealed by
sec. 102(g)(1)(A) of the International Development and Food Assistance
Act of 1978 (92 Stat. 942).
\305\ Title IX was added by sec. 106 of the FA Act of 1966.
\306\ 22 U.S.C. 2218. Sec. 281 was added by sec. 106 of the FA Act
of 1966.
\307\ Subsec. designation ``(a)'' and subsecs. (b), (c) and (d)
were added by sec. 108, of the FA Act of 1967.
\308\ The words ``and chapter 1'' were added by sec. 102(g)(2)(A)
of the International Development and Food Assistance Act of 1978
(Public Law 95-424; 92 Stat. 942).
---------------------------------------------------------------------------
(b) \307\ In order to carry out the purposes of this title,
programs under this chapter and chapter 1 \308\ shall--
(1) recognize the differing needs, desires, and
capacities of the people of the respective developing
countries and areas;
(2) use the intellectual resources of such countries
and areas in conjunction with assistance provided under
this Act so as to encourage the development of
indigenous institutions that meet their particular
requirements for sustained economic and social
progress; and
(3) support civic education and training in skills
required for effective participation in governmental
and political processes essential to self-government.
(c) \307\ In the allocation of funds for research under
this chapter and chapter 1,\308\ emphasis shall be given to
research designed to examine the political, social, and related
obstacles to development in countries receiving assistance
under part I of this Act. In particular, emphasis should be
given to research designed to increase understanding of the
ways in which development assistance can support democratic,
social and political trends in recipient countries.\309\
---------------------------------------------------------------------------
\309\ The last sentence was added by sec. 106(a) of the FA Act of
1968.
---------------------------------------------------------------------------
(d) \307\ Emphasis shall also be given to the evaluation of
relevant past and current programs under part I of this Act and
to applying this experience so as to strengthen their
effectiveness in implementing the objectives of this title.
(e) \310\ In order to carry out the purposes of this title,
the agency primarily responsible for administering part I of
this Act, shall develop systematic programs of inservice
training to familiarize its personnel with the objectives of
this title and to increase their knowledge of the political and
social aspects of development. In addition to other funds
available for such purposes, not to exceed 1 per centum of the
funds authorized to be appropriated for grant assistance under
this chapter and chapter 1 \308\ may be used for carrying out
the objectives of this subsection.
---------------------------------------------------------------------------
\310\ Subsec. (e) was added by sec. 106(b) of the FA Act of 1968.
---------------------------------------------------------------------------
Title X--Programs Relating to Population Growth \311\ * * * [Repealed--
1978]
Title XI--Food Production Targets and Reports \312\ * * * [Repealed--
1978]
Title XII--Famine Prevention and Freedom From Hunger \313\
Sec. 296.\313\ General Provisions.--(a) The Congress
declares that, in order to prevent famine and establish freedom
from hunger, the United States should strengthen the capacities
of the United States land-grant and other eligible universities
in program-related agricultural institutional development and
research, consistent with sections 103 and 103A, should improve
their participation in the United States Government's
international efforts to apply more effective agricultural
sciences to the goal of increasing world food production, and
in general should provide increased and longer term support to
the application of science to solving food and nutrition
problems of the developing countries.
---------------------------------------------------------------------------
\311\ Title X, as added by the FA Act of 1967, was repealed by sec.
104(b) of the International Development and Food Assistance Act of 1978
(Public Law 95-424; 92 Stat. 947).
\312\ Title XI, as added by the FA Act of 1967, was repealed by
sec. 502(d)(1) of the International Development and Food Assistance Act
of 1978 (Public Law 95-424; 92 Stat. 959).
\313\ 22 U.S.C. 2220a. Sec. 312 of Public Law 94-161 (89 Stat. 849)
added title XII and new sec. 296.
---------------------------------------------------------------------------
The Congress so declares because it finds--
(1) that the establishment, endowment, and continuing
support of land-grant universities in the United States
by Federal, State, and county governments has led to
agricultural progress in this country;
(2) that land-grant and other universities in the
United States have demonstrated over many years their
ability to cooperate with foreign agricultural
institutions in expanding indigenous food production
for both domestic and international markets;
(3) that, in a world of growing population with
rising expectations, increased food production and
improved distribution, storage, and marketing in the
developing countries is necessary not only to prevent
hunger but to build the economic base for growth, and
moreover, that the greatest potential for increasing
world food supplies is in the developing countries
where the gap between food need and food supply is the
greatest and current yields are lowest;
(4) that increasing and making more secure the supply
of food is of greatest benefit to the poorest majority
in the developing world;
(5) that research, teaching, and extension
activities, and appropriate institutional development
therefor are prime factors in increasing agricultural
production abroad (as well as in the United States) and
in improving food distribution, storage, and marketing;
(6) moreover, that agricultural research abroad has
in the past and will continue in the future to provide
benefits for agriculture in the United States and that
increasing the availability of food of higher
nutritional quality is of benefit to all; and
(7) that universities need a dependable source of
Federal funding, as well as other financing, in order
to expand, or in some cases to continue, their efforts
to assist in increasing agricultural production in
developing countries.
(b) Accordingly, the Congress declares that, in order to
prevent famine and establish freedom from hunger, various
components must be brought together in order to increase world
food production, including--
(1) strengthening the capabilities of universities to
assist in increasing agricultural production in
developing countries;
(2) institution-building programs for development of
national and regional agricultural research and
extension capacities in developing countries which need
assistance;
(3) international agricultural research centers;
(4) contract research; and
(5) research program grants.
(c) The United States should--
(1) effectively involve the United States land-grant
and other eligible universities more extensively in
each component;
(2) provide mechanisms for the universities to
participate and advise in the planning, development,
implementation, and administration of each component;
and
(3) assist such universities in cooperative joint
efforts with--
(A) agricultural institutions in developing
nations, and
(B) regional and international agricultural
research centers,
directed to strengthening their joint and respective
capabilities and to engage them more effectively in
research, teaching, and extension activities for
solving problems in food production, distribution,
storage, marketing, and consumption in agriculturally
underdeveloped nations.
(d) As used in this title, the term ``universities'' means
those colleges or universities in each State, territory, or
possession of the United States, or the District of Columbia,
now receiving, or which may hereafter receive, benefits under
the Act of July 2, 1862 (known as the First Morrill Act), or
the Act of August 30, 1890 (known as the Second Morrill Act),
which are commonly known as ``land-grant'' universities;
institutions now designated or which may hereafter be
designated as sea-grant colleges under the Act of October 15,
1966 (known as the National Sea Grant College and Program Act),
which are commonly known as sea-grant colleges; and other
United States colleges and universities which--
(1) have demonstrable capacity in teaching, research,
and extension activities in the agricultural sciences;
and
(2) can contribute effectively to the attainment of
the objective of this title.
(e) As used in this title, the term ``Administrator'' means
the Administrator of the Agency for International
Development.\314\
---------------------------------------------------------------------------
\314\ Sec. 6 of Reorganization Plan No. 2 of 1979 (establishing
IDCA), transferred all responsibilities and functions vested in this
subsection from the Administrator to the Director of IDCA. The
Reorganization Plan No. 2 of 1979 ceased to be effective with enactment
of the Foreign Affairs Reform and Restructuring Act of 1998, pursuant
to sec. 1422(a)(1) (division G of Public Law 105-277; 112 Stat. 2681).
---------------------------------------------------------------------------
(f) \315\ * * * [Repealed--1978]
---------------------------------------------------------------------------
\315\ Subsecs. (f) and (g), which defined the terms ``agriculture''
and ``farmers,'' were repealed by sec. 103(c) of the International
Development and Food Assistance Act of 1978 (Public Law 95-424; 92
Stat. 945). Similar definitions for these terms can now be found in
sec. 644 (o) and (p) of this Act.
---------------------------------------------------------------------------
(g) \315\ * * * [Repealed--1978]
Sec. 297.\316\ General Authority.--(a) To carry out the
purposes of this title, the President is authorized to provide
assistance on such terms and conditions as he shall determine--
---------------------------------------------------------------------------
\316\ 22 U.S.C. 2220b. Sec. 297 was added by sec. 312 of Public Law
94-161 (89 Stat. 849).
---------------------------------------------------------------------------
(1) to strengthen the capabilities of universities in
teaching, research, and extension work to enable them
to implement current programs authorized by paragraphs
(2), (3), (4), and (5) of this subsection, and those
proposed in the report required by section 300 of this
title;
(2) to build and strengthen the institutional
capacity and human resources skills of agriculturally
developing countries so that these countries may
participate more fully in the international
agricultural problem-solving effort and to introduce
and adapt new solutions to local circumstances;
(3) to provide program support for long-term
collaborative university research, in the developing
countries themselves to the maximum extent
practicable,\317\ on food production, distribution,
storage, marketing and consumption;
---------------------------------------------------------------------------
\317\ The words ``, in the developing countries themselves to the
maximum extent practicable,'' were added by sec. 113(1) of the
International Development Cooperation Act of 1979 (Public Law 96-53; 93
Stat. 364).
---------------------------------------------------------------------------
(4) to involve universities more fully in the
international network of agricultural science,
including the international research centers, the
activities of international organizations such as the
United Nations Development Program and the Food and
Agriculture Organization, and the institutions of
agriculturally developing nations; and
(5) to provide program support for international
agricultural research centers, to provide support for
research projects identified for specific problem-
solving needs, and to develop and strengthen national
research systems in the developing countries.
(b) Programs under this title shall be carried out so as
to--
(1) utilize and strengthen the capabilities of
universities in--
(A) developing capacity in the cooperating
nation for classroom teaching in agriculture,
plant and animal sciences, human nutrition, and
vocational and domestic arts and other relevant
fields appropriate to local needs;
(B) agricultural research to be conducted in
the cooperating nations, at international
agricultural research centers, or in the United
States;
(C) the planning, initiation, and development
of extension services through which information
concerning agriculture and related subjects
will be made available directly to farmers and
farm families in the agriculturally developing
nations by means of education and
demonstration; or
(D) the exchange of educators, scientists,
and students for the purpose of assisting in
successful development in the cooperating
nations;
(2) take into account the value to the United States
agriculture of such programs, integrating to the extent
practicable the programs and financing authorized under
this title with those supported by other Federal or
State resources so as to maximize the contribution to
the development of agriculture in the United States and
in agriculturally developing nations; and
(3) whenever practicable, build on existing programs
and institutions including those of the universities
and the United States Department of Agriculture and the
United States Department of Commerce.
(c) \318\ To the maximum extent practicable, activities
under this section shall--
---------------------------------------------------------------------------
\318\ Subsec. (c) was amended and restated by sec. 113(2) of the
International Development Cooperation Act of 1979 (Public Law 96-53; 93
Stat. 364). It formerly read as follows:
``(c) To the maximum extent practicable, activities under this
section shall (1) be designed to achieve the most effective
interrelationship among the teaching of agricultural sciences,
research, and extension work, (2) joins primarily on the needs of
agricultural producers, (3) be adapted to local circumstances, and (4)
be carried out within the developing countries.''
---------------------------------------------------------------------------
(1) be directly related to the food and agricultural
needs of developing countries;
(2) be carried out within the developing countries;
(3) be adapted to local circumstances;
(4) provide for the most effective interrelationship
between research, education, and extension in promoting
agricultural development in developing countries; and
(5) emphasize the improvement of local systems for
delivering the best available knowledge to the small
farmers of such countries.
(d) The President shall exercise his authority under this
section through the Administrator.\319\
---------------------------------------------------------------------------
\319\ This authority of the Administrator was transferred to the
Director of IDCA, pursuant to sec. 6 of Reorganization Plan No. 2 of
1979 (establishing IDCA). The Reorganization Plan No. 2 of 1979 ceased
to be effective with enactment of the Foreign Affairs Reform and
Restructuring Act of 1998, pursuant to sec. 1422(a)(1) (division G of
Public Law 105-277; 112 Stat. 2681).
---------------------------------------------------------------------------
Sec. 298.\320\ Board for International Food and
Agricultural Development.--(a) To assist in the administration
of the programs authorized by this title, the President shall
establish a permanent Board for International Food and
Agricultural Development (hereafter in this title referred to
as the ``Board'') consisting of seven members, not less than
four to be selected from the universities. Terms of members
shall be set by the President at the time of appointment.
Members of the Board shall be entitled to such reimbursement
for expenses incurred in the performance of their duties
(including per diem in lieu of subsistence while away from
their homes or regular place of business) as the President
deems appropriate.
---------------------------------------------------------------------------
\320\ 22 U.S.C. 2220c. Sec. 298 was added by sec. 312 of Public Law
94-161 (89 Stat. 849).
---------------------------------------------------------------------------
(b) The Board's general areas of responsibility shall
include, but not be limited to--
(1) participating in the planning, development, and
implementation of,
(2) initiating recommendations for, and
(3) monitoring of,
the activities described in section 297 of this title.
(c) The Board's duties shall include, but not necessarily
be limited to--
(1) participating in the formulation of basic policy,
procedures, and criteria for project proposal review,
selection, and monitoring;
(2) developing and keeping current a roster of
universities--
(A) interested in exploring their potential
for collaborative relationships with
agricultural institutions, and with scientists
working on significant programs designed to
increase food production in developing
countries,
(B) having capacity in the agricultural
sciences,
(C) able to maintain an appropriate balance
of teaching, research, and extension functions,
(D) having capacity, experience, and
commitment with respect to international
agricultural efforts, and
(E) able to contribute to solving the
problems addressed by this title;
(3) recommending which developing nations could
benefit from programs carried out under this title, and
identifying those nations which have an interest in
establishing or developing agricultural institutions
which engage in teaching, research, or extension
activities;
(4) reviewing and evaluating memorandums of
understanding or other documents that detail the terms
and conditions between the Administrator and
universities participating in programs under this
title;
(5) reviewing and evaluating agreements and
activities authorized by this title and undertaken by
universities to assure compliance with the purposes of
this title;
(6) recommending to the Administrator the
apportionment of funds under section 297 of this title;
\321\ and
---------------------------------------------------------------------------
\321\ This function of the Administrator was transferred to the
Director of IDCA, pursuant to sec. 6 of Reorganization Plan No. 2 of
1979 (establishing IDCA). The Reorganization Plan No. 2 of 1979 ceased
to be effective with enactment of the Foreign Affairs Reform and
Restructuring Act of 1998, pursuant to sec. 1422(a)(1) (division G of
Public Law 105-277; 112 Stat. 2681).
---------------------------------------------------------------------------
(7) assessing the impact of programs carried out
under this title in solving agricultural problems in
the developing nations.
(d) The President may authorize the Board to create such
subordinate units as may be necessary for the performance of
its duties, including but not limited to the following:
(1) a Joint Research Committee to participate in the
administration and development of the collaborative
activities described in section 297(a)(3) of this
title; and
(2) a Joint Committee on Country Programs which shall
assist in the implementation of the bilateral
activities described in sections 297(a)(2), 297(a)(4),
and 297(a)(5).
(e) In addition to any other functions assigned to and
agreed to by the Board, the Board shall be consulted in the
preparation of the annual report required by section 300 of
this title and on other agricultural development activities
related to programs under this title.
Sec. 299.\322\ Authorization.--(a) The President is
authorized to use any of the funds hereafter made available
under section 103 of this Act to carry out the purposes of this
title. Funds made available for such purposes may be used
without regard to the provisions of sections 110(b) and 122(d)
\323\ of this Act.
---------------------------------------------------------------------------
\322\ 22 U.S.C. 2220d. Sec. 299 was added by sec. 312 of Public Law
94-161 (89 Stat. 849).
\323\ The references to ``110(b) and 122(d)'' were inserted in lieu
of ``110(b), 211(a), and 211(d)'' by sec. 102(c)(2) of the
International Development and Food Assistance Act of 1978 (Public Law
95-424; 92 Stat. 941).
---------------------------------------------------------------------------
(b) Foreign currencies owned by the United States and
determined by the Secretary of the Treasury to be excess to the
needs of the United States shall be used to the maximum extent
possible in lieu of dollars in carrying out the provisions of
this title.
(c) Assistance authorized under this title shall be in
addition to any allotments or grants that may be made under
other authorizations.
(d) Universities may accept and expend funds from other
sources, public and private, in order to carry out the purposes
of this title. All such funds, both prospective and inhand,
shall be periodically disclosed to the Administrator as he
shall by regulation require, but no less often than in an
annual report.\324\
---------------------------------------------------------------------------
\324\ This function of the Administrator was transferred to the
Director of IDCA, pursuant to sec. 6 of Reorganization Plan No. 2 of
1979 (establishing IDCA). The Reorganization Plan No. 2 of 1979 ceased
to be effective with enactment of the Foreign Affairs Reform and
Restructuring Act of 1998, pursuant to sec. 1422(a)(1) (division G of
Public Law 105-277; 112 Stat. 2681).
---------------------------------------------------------------------------
Sec. 300.\325\ Annual Report.--The President shall transmit
to the Congress, not later than April 1 of each year, a report
detailing the activities carried out pursuant to this title
during the preceding fiscal year and containing a projection of
programs and activities to be conducted during the subsequent
five fiscal years. Each report shall contain a summary of the
activities of the Board established pursuant to section 298 of
this title and may include the separate views of the Board with
respect to any aspect of the programs conducted or proposed to
be conducted under this title.
---------------------------------------------------------------------------
\325\ 22 U.S.C. 2220e. Sec. 300 was added by sec. 312 of Public Law
94-161 (89 Stat. 849).
---------------------------------------------------------------------------
Chapter 3--International Organizations and Programs
Sec. 301.\326\ General Authority.--(a) When he determines
it to be in the national interest, the President is authorized
to make voluntary contributions on a grant basis to
international organizations and to programs administered by
such organizations,\327\ and in the case of the Indus Basin
Development Fund administered by the International Bank for
Reconstruction and Development to make grants and loans payable
as to principal and interest in United States dollars and
subject to the provisions of section 122(b),\328\ on such terms
and conditions as he may determine, in order to further the
purposes of this part.
---------------------------------------------------------------------------
\326\ 22 U.S.C. 2221.
\327\ Title II of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1999 (division A, sec. 101(d) of
Public Law 105-277; 112 Stat. 2681), provided the following:
---------------------------------------------------------------------------
``child survival and disease programs fund
---------------------------------------------------------------------------
``For necessary expenses to carry out the provisions of chapters 1
and 10 of part I of the Foreign Assistance Act of 1961, for child
survival, basic education, assistance to combat tropical and other
diseases, and related activities, in addition to funds otherwise
available for such purposes, $650,000,000, to remain available until
expended: Provided, That this amount shall be made available for such
activities as: (1) immunization programs; (2) oral rehydration
programs; (3) health and nutrition programs, and related education
programs, which address the needs of mothers and children; (4) water
and sanitation programs; (5) assistance for displaced and orphaned
children; (6) programs for the prevention, treatment, and control of,
and research on, tuberculosis, HIV/AIDS, polio, malaria and other
diseases; and (7) up to $98,000,000 for basic education programs for
children: Provided further, That none of the funds appropriated under
this heading may be made available for nonproject assistance for health
and child survival programs, except that funds may be made available
for such assistance for ongoing health programs.''.
\328\ The words to this point, beginning with ``, and in the case
of the Indus Basin'', were added by sec. 107(a) of the FA Act of 1966.
The reference to sec. 122(b) was substituted in lieu of a reference to
sec. 201(d) by the International Development and Food Assistance Act of
1978 (Public Law 95-424; 92 Stat. 941).
---------------------------------------------------------------------------
(b) \329\ * * * [Repealed--1981]
---------------------------------------------------------------------------
\329\ Subsec. (b), as amended by sec. 107(b) of the FA Act of 1966,
was repealed by sec. 734(a)(1) of the International Security and
Development Cooperation Act of 1981 (Public Law 97-113; 95 Stat. 1560).
It formerly read as follows:
``(b) Contributions to the United Nations Development Program for
the calendar years succeeding 1961 may not exceed forty per centum of
the total amount contributed for such purposes (including assessed and
audited local costs) for each such year. The President shall seek to
assure that no contribution to the United Nations Development Program
authorized by this Act shall be used for projects for economic or
technical assistance to the Government of Cuba, so long as Cuba is
governed by the Castro regime.''.
---------------------------------------------------------------------------
(c) \330\ No contributions by the United States shall be
made to the United Nations Relief and Works Agency for
Palestine Refugees in the Near East except on the condition
that the United Nations Relief and Works Agency take all
possible measures to assure that no part of the United States
contribution shall be used to furnish assistance to any refugee
who is receiving military training as a member of the so-called
Palestine Liberation Army or any other guerrilla type
organization or who has engaged in any act of terrorism.
---------------------------------------------------------------------------
\330\ Subsec. (c) was amended by sec. 108(a) of the FA Act of 1969.
It formerly read as follows: ``(c) In determining whether or not to
continue furnishing assistance for Palestine refugees in the Near East
through contributions to the United Nations Relief and Works agency for
Palestine Refugees in the Near East, the President shall take into
account (1) whether Israel and the Arab host governments are taking
steps toward the resettlement and repatriation of such refugees, and
(2) the extent and success of efforts by the Agency and the Arab host
governments to rectify the Palestine refugee relief rolls.
Contributions by the United States for the fiscal year 1967 shall not
exceed $13,300,000. No contributions under this subsection shall be
made except on the condition that the United Nations Relief and Works
Agency take all possible measures to assure that no part of the United
States contribution shall be used to furnish assistance to any refugee
who is receiving military training as a member of the so-called
Palestine Liberation Army.''.
---------------------------------------------------------------------------
(d) \331\ In any case in which a fund established solely by
United States contributions under this or any other Act is
administered by an international organization under the terms
of an agreement between the United States and such
international organization, such agreement shall provide that
the Comptroller General of the United States shall conduct such
audits as are necessary to assure that such fund is
administered in accordance with such agreement. The President
shall undertake to modify any existing agreement entered into
before the date of enactment of this subsection to conform to
the requirements of the preceding sentence. The Comptroller
General shall report simultaneously to the Congress and the
President the results of the audit conducted under this
subsection.\332\
---------------------------------------------------------------------------
\331\ Subsec. (d) was added by sec. 110(a) of the FA Act of 1967.
\332\ This sentence was added by sec. 701(a) of the International
Security and Development Cooperation Act of 1980 (Public Law 96-533; 94
Stat. 3156).
---------------------------------------------------------------------------
(e) \333\ (1) In the case of the United Nations and its
affiliated organizations, including the International Atomic
Energy Agency, the President shall, acting through the United
States representative to such organizations, propose and
actively seek the establishment by the governing authorities of
such organizations of external, professionally qualified groups
\334\ of appropriate size for the purpose of providing an
independent and continuous program of selective examinations,
review, evaluation, and audits \335\ of the programs and
activities of such organizations. Such proposal shall provide
that such groups \334\ shall be established in accordance with
such terms of reference as such governing authority may
prescribe and that the reports of such groups \334\ on each
examination, review, evaluation or audits \335\ shall be
submitted directly to such governing authority for transmittal
to the representative of each individual member nation. Such
proposal shall further include a statement of auditing and
reporting standards, as prepared by the Comptroller General of
the United States, for the consideration of the governing
authority of the international organization concerned to assist
in formulating terms of reference for such review and
evaluation groups.\334\
---------------------------------------------------------------------------
\333\ Subsec. (e) was added by sec. 9(1) of the FA Act of 1973.
\334\ The reference to external groups was inserted in lieu of a
reference to a single group by sec. 702(b) of the International
Security and Development Cooperation Act of 1980 (Public Law 96-533; 94
Stat. 3156). All other references in subsec. (e) to these groups were
also made plural by sec. 702(b).
\335\ The reference to an audit was added by sec. 702(b) of the
International Security and Development Cooperation Act of 1980 (Public
Law 96-533; 94 Stat. 3156).
---------------------------------------------------------------------------
(2) In the case of the International Bank for
Reconstruction and Development and the Asian Development Bank,
the President shall, acting through the United States
representative to such organizations, propose and actively seek
the establishment by the governing authorities of such
organizations professionally qualified groups of appropriate
size for the purpose of providing an independent and continuous
program of selective examination, review, evaluation, and
audits \335\ of the programs and activities of such
organizations. Such proposal shall provide that such groups
shall be established in accordance with such terms of reference
as such governing authorities may prescribe, and that the
reports of such groups on each examination, review, evaluation,
or audit \335\ shall be submitted directly to such governing
authority for transmittal to the representative of each
individual member nation. Such proposal shall further include a
statement of auditing and reporting standards, as prepared by
the Comptroller General of the United States, for the
consideration of the governing authority of the international
organization concerned to assist in formulating terms of
reference for such review and evaluation groups.
(3) \336\ * * * [Repealed--1981]
---------------------------------------------------------------------------
\336\ Par. (3), as added by sec. 9(1) of the FA Act of 1973 and
amended by sec. 702(b)(6) of Public Law 96-533, was repealed by sec.
734(a)(1) of the International Security and Development Cooperation Act
of 1981 (Public Law 97-113; 95 Stat. 1560). Par. (3) had required that
the U.S. representatives to these international organizations submit
any reports they received under this subsection to the President for
transmittal to Congress and the Comptroller General. The Comptroller
General was also directed to periodically review these reports and
submit any appropriate suggestions to the Congress and the President.
---------------------------------------------------------------------------
(f) \337\ The President is hereby authorized to permit
United States participation in the International Fertilizer
Development Center and is authorized to use any of the funds
made available under this part for the purpose of furnishing
assistance to the Center on such terms and conditions as he may
determine.
---------------------------------------------------------------------------
\337\ Subsec. (f) was added by sec. 313(c) of Public Law 94-161 (89
Stat. 849).
---------------------------------------------------------------------------
(g) \338\ It is the sense of the Congress that the
President should instruct the appropriate representatives of
the United States to the United Nations to encourage the
specialized agencies of the United Nations to transfer the
funding of technical assistance programs carried out by such
agencies to the United Nations Development Program.
---------------------------------------------------------------------------
\338\ Subsec. (g) was added by sec. 117(d) of the International
Development and Food Assistance Act of 1978 (Public Law 95-424; 92
Stat. 953).
---------------------------------------------------------------------------
(h) \339\ The President is authorized to permit the United
States to participate in and to use any of the funds made
available under this part after the date of enactment of this
subsection for the purpose of furnishing assistance (on such
terms and conditions as the President may determine) to the
International Food Policy Research Institute.
---------------------------------------------------------------------------
\339\ Subsec. (h) was added by sec. 311(a) of the International
Security and Development Cooperation Act of 1981 (Public Law 97-113; 95
Stat. 1560).
---------------------------------------------------------------------------
Sec. 302.\340\ Authorization.--(a)(1) There are authorized
to be appropriated to the President $270,000,000 for fiscal
year 1986 and $236,084,000 for fiscal year 1987 \341\ for
grants to carry out the purposes of this chapter, in addition
to funds available under other Acts for such purposes. Of the
amount appropriated for each of the fiscal years 1986 and 1987
pursuant to these authorizations--
---------------------------------------------------------------------------
\340\ 22 U.S.C. 2222.
\341\ The amount $236,084,000 was substituted in lieu of the amount
$275,000,000 by sec. 404 of Public Law 99-529 (100 Stat. 3010).
The authorization figures and earmarkings for fiscal years 1986 and
1987 were added by sec. 402(a) of the International Security and
Development Cooperation Act of 1985 (Public Law 99-83; 99 Stat. 190).
Authorizations under sec. 302 during recent years included the
following: fiscal year 1975--$165,000,000; fiscal year 1976--
$195,500,000; fiscal year 1977--$219,900,000; fiscal year 1978--
$252,000,000; fiscal year 1979--$285,450,000; fiscal year 1980--
$267,280,000; fiscal year 1981--$233,350,000; fiscal year 1982--
$218,600,000; fiscal year 1983--$218,600,000; fiscal year 1984--
$266,214,000; fiscal year 1985--no authorization; fiscal years 1988
through 1999--no authorization.
Congress did not enact an authorization for fiscal year 1999.
Instead, the Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1999 (division A, sec. 101(d) of Public Law 105-
277; 112 Stat. 2681), waived the requirements for authorization, and
title IV of that Act provided the following:
---------------------------------------------------------------------------
``international organizations and programs
---------------------------------------------------------------------------
``For necessary expenses to carry out the provisions of section 301
of the Foreign Assistance Act of 1961, and of section 2 of the United
Nations Environment Program Participation Act of 1973, $187,000,000:
Provided, That none of the funds appropriated under this heading shall
be made available for the United Nations Fund for Science and
Technology: Provided further, That none of the funds appropriated under
this heading may be made available for the United Nations Population
Fund (UNFPA): Provided further, That not less than $5,000,000 should be
made available to the World Food Program: Provided further, That none
of the funds made available under this heading, may be provided to the
Climate Stabilization Fund until fifteen days after the Department of
State provides a report to the Committees on Foreign Relations and
Appropriations in the Senate and the Committees on International
Relations and Appropriations in the House of Representatives detailing
the number of Fund employees and associated salaries and the fiscal
year 1998 and 1999 Fund activities, programs or projects and associated
costs: Provided further, That none of the funds appropriated under this
heading may be made available to the Korean Peninsula Energy
Development Organization (KEDO) or the International Atomic Energy
Agency (IAEA).''.
See also paragraph on AID child survival and disease programs fund
in title II (restated above in footnote 327); paragraph on development
assistance providing funding for the International Fund for
Agricultural Development in title II; paragraph on nonproliferation,
anti-terrorism, demining and related programs in title II; sec. 515,
relating to notification requirements; sec. 516, relating to limiting
the availability of funds for international organizations and programs;
sec. 522, relating to child survival, AIDS, and other activities; sec.
523, relating to prohibiting indirect funding to certain countries;
sec. 563, relating to restrictions on voluntary contributions to U.N.
agencies.
---------------------------------------------------------------------------
(A) 59.65 percent shall be for the United Nations
Development Program;
(B) 19.30 percent shall be for the United Nations
Children's Fund;
(C) 7.20 percent shall be for the International
Atomic Energy Agency, except that these funds may be
contributed to that Agency only if the Secretary of
State determines (and so reports to the Congress) that
Israel is not being denied its right to participate in
the activities of that Agency;
(D) 5.44 percent shall be for Organization of
American States development assistance programs;
(E) 3.51 percent shall be for the United Nations
Environment Program;
(F) 0.70 percent shall be for the World
Meteorological Organization;
(G) 0.70 percent shall be for the United Nations
Capital Development Fund;
(H) 0.35 percent shall be for the United Nations
Education and Training Program for Southern Africa;
(I) 0.18 percent shall be for the United Nations
Voluntary Fund for the Decade for Women;
(J) 0.07 percent shall be for the Convention on
International Trade in Endangered Species;
(K) 0.70 percent shall be for the World Food Program;
(L) 0.18 percent shall be for the United Nations
Institute for Namibia;
(M) 0.12 percent shall be for the United Nations
Trust Fund for South Africa;
(N) 0.04 percent shall be for the United Nations
Voluntary Fund for Victims of Torture;
(O) 0.07 percent shall be for the United Nations
Industrial Development Organization;
(P) 0.55 percent shall be for the United Nations
Development Program Trust Fund To Combat Poverty and
Hunger in Africa;
(Q) 0.97 percent shall be for contributions to
international conventions and scientific organizations;
(R) 0.18 percent for the United Nations Center on
Human Settlements (Habitat); and
(S) 0.09 percent shall be for the World Heritage
Fund.\342\
---------------------------------------------------------------------------
\342\ Sec. 117(e) of the International Development and Food
Assistance Act of 1978 (Public Law 95-424; 92 Stat. 953) also provided
an authorization of $1,000,000 for contribution to the World Assembly
on Aging.
---------------------------------------------------------------------------
(2) \343\ The Congress reaffirms its support for the work
of the Inter-American Commission on Human Rights. To permit
such Commission to better fulfill its function of insuring
observance and respect for human rights within this hemisphere,
not less than $357,000 of the amount appropriated for fiscal
year 1976 and $358,000 of the amount appropriated for fiscal
year 1977, for contributions to the Organization of American
States, shall be used only for budgetary support for the Inter-
American Commission on Human Rights.
---------------------------------------------------------------------------
\343\ Par. (2) was added by sec. 313(a)(1)(C) of Public Law 94-161
(89 Stat. 849)
---------------------------------------------------------------------------
(3) \344\ * * * [Repealed--1981]
---------------------------------------------------------------------------
\344\ Par. (3), which had prohibited the use of funds under this
subsection for the U.N. Institute for Namibia during fiscal year 1979
unless the President determined that such funds would not be used to
support the military or paramilitary activities of the South-West
African Peoples Organization, was repealed by sec. 734(a) of the
International Security and Development Cooperation Act 1981 (Public Law
97-113; 95 Stat. 1560).
---------------------------------------------------------------------------
(b)(1) \345\ There is authorized to be appropriated to the
President for loans for Indus Basin Development to carry out
the purposes of this section, in addition to funds available
under this or any other Act for such purposes, for use
beginning in the fiscal year 1969, $61,220,000.\346\ Such
amounts are authorized to remain available until expended.
---------------------------------------------------------------------------
\345\ Paragraph designation ``(1)'' and par. (2) were added by sec.
108(c) of the FA Act of 1969.
\346\ Sec. 313(a)(2) of Public Law 94-161 (89 Stat. 849) inserted
``$61,220,000'' in lieu of ``$51,220,000''.
FA Appropriations Act, 1976: ``Indus Basin Development Fund, loans:
For expenses authorized by section 302(b)(1) $10,000,000, to remain
available until expended: Provided, That no other funds appropriated or
made available under this Act shall be used for the purposes of such
section during the current fiscal year.''
---------------------------------------------------------------------------
(2) \345\ There is authorized to be appropriated to the
President for grants for Indus Basin Development, in addition
to any other funds available for such purposes, for use in the
fiscal year 1974, $14,500,000,\347\ and for use in the fiscal
year 1975, $14,500,000,\347\ and for use beginning in the
fiscal year 1976, $27,000,000,\348\ which amounts shall remain
available until expended. The President shall not exercise any
special authority granted to him under section 610(a) or 614(a)
of this Act to transfer any amount appropriated under this
paragraph to, and to consolidate such amount with, any funds
made available under any other provisions of this Act.\349\
---------------------------------------------------------------------------
\347\ Sec. 9(3) of the FA Act of 1973 inserted ``for use in the
fiscal year 1974, $14,500,000, and for use in the fiscal year 1975,
$14,500,000,'' in lieu of ``for use in the fiscal year 1972,
$15,000,000, and for use in the fiscal year 1973, $15,000,000''.
\348\ The words to this point beginning with ``and for use
beginning * * *'' were added by sec. 313(a)(3) of Public Law 94-161 (89
Stat. 849).
The Foreign Assistance Appropriations Act, 1977, provided the
following: ``For necessary expenses to carry out the provisions of
section 302(b)(2), $15,750,000.''.
\349\ The last sentence was added by sec. 107(b)(2) of the FA Act
of 1971.
---------------------------------------------------------------------------
(c) None of the funds available to carry out this chapter
shall be contributed to any international organization or to
any foreign government or agency thereof to pay the costs of
developing or operating any volunteer program of such
organization, government, or agency relating to the selection,
training, and programing of volunteer manpower.
(d) \350\ * * * [Repealed--1978]
---------------------------------------------------------------------------
\350\ Subsecs. (d), (e), (f), (g), and (h) of sec. 302 were
repealed by sec. 604 of the International Development and Food
Assistance Act of 1978 (Public Law 95-424; 92 Stat. 961).
---------------------------------------------------------------------------
(e) \350\ * * * [Repealed--1978]
(f) \350\ * * * [Repealed--1978]
(g) \350\ * * * [Repealed--1978]
(h) \350\ * * * [Repealed--1978]
(i) \351\ In addition to amounts otherwise available under
this section there are authorized to be appropriated for fiscal
year 1976 $1,000,000 and for fiscal year 1977 $2,000,000 to be
available only for the International Atomic Energy Agency to be
used for the purpose of strengthening safeguards and
inspections relating to nuclear missile facilities and
materials.\352\ Amounts appropriated under this subsection are
authorized to remain available until expended.
---------------------------------------------------------------------------
\351\ Subsec. (i) was added by sec. 505 of the International
Security Assistance and Arms Export Control Act of 1976 (Public Law 94-
392).
\352\ The Supplemental Appropriations Act, 1977 (Public Law 95-26;
91 Stat. 66), provided the following:
``For an additional amount for ``International organizations and
programs'', $31,000,000: Provided, That of the funds appropriated under
this paragraph, $3,000,000 shall be allocated for a contribution to the
International Atomic Energy Agency to strengthen the Agency's
safeguards program.''.
---------------------------------------------------------------------------
(j) \353\ In addition to amounts otherwise available under
this section for such purposes, there are authorized to be
appropriated to the President $3,000,000 for fiscal year 1989
to be available only for United States contributions to
multilateral and regional drug abuse control programs. Of the
amount authorized to be appropriated by this subsection--
---------------------------------------------------------------------------
\353\ Sec. 4107 of Public Law 100-690 (102 Stat. 4266) added sec.
(j).
---------------------------------------------------------------------------
(1) $2,000,000 shall be for a United States
contribution to the United Nations Fund for Drug Abuse
Control;
(2) $600,000 shall be for the Organization of
American States (OAS) Inter-American Drug Abuse Control
Commission (CICAD) Legal Development Project, except
that the proportion which such amount bears to the
total amount of contributions to this specific project
may not exceed the proportion which the United States
contribution to the budget of the Organization of
American States for that fiscal year bears to the total
contributions to the budget of the Organization of
American States for that fiscal year; and
(3) $400,000 shall be for the Organization of
American States (OAS) Inter-American Drug Abuse Control
Commission (CICAD) Law Enforcement Training Project,
except that the proportion which such amount bears to
the total amount of contributions to this specific
project may not exceed the proportion which the United
States contribution to the budget of the Organization
of American States for that fiscal year bears to the
total contributions to the budget of the Organization
of American States for that fiscal year.
Sec. 303.\354\ Indus Basin Development.--In the event that
funds made available under this Act (other than part II) are
used by or under the supervision of the International Bank for
Reconstruction and Development in furtherance of the
development of the Indus Basin through the program of
cooperation among South Asian and other countries of the free
world, which is designed to promote economic growth and
political stability in South Asia, such funds may be used in
accordance with requirements, standards, or procedures
established by the Bank concerning completion of plans and cost
estimates and determination of feasibility, rather than with
requirements, standards, or procedures concerning such matters
set forth in this or other Acts; and such funds may also be
used without regard to the provisions of section 901(b) of the
Merchant Marine Act, 1936, as amended (46 U.S.C. 1241),\355\
whenever the President determines that such provisions cannot
be fully satisfied without seriously impeding or preventing
accomplishment of the purposes of such programs: Provided, That
compensating allowances are made in the administration of other
programs to the same or other areas to which the requirements
of said section 901(b) are applicable.
---------------------------------------------------------------------------
\354\ 22 U.S.C. 2223.
\355\ For text, see Legislation on Foreign Relations Through 1998,
vol. I-B.
---------------------------------------------------------------------------
Sec. 304.\356\ United Nations Peacekeeping.--* * *
[Repealed--1978]
---------------------------------------------------------------------------
\356\ Sec. 304, as added by the FA Act of 1967, was repealed by
sec. 604 of the International Development and Food Assistance Act of
1978 (Public Law 95-424; 92 Stat. 961).
---------------------------------------------------------------------------
Sec. 305.\357\ Integration of Women.--The President is
requested to instruct each representative of the United States
to each international organization of which the United States
is a member (including but not limited to the International
Bank for Reconstruction and Development, the Asian Development
Bank, the Inter-American Development Bank, the International
Monetary Fund, the United Nations, and the Organization for
Economic Cooperation and Development) to carry out their duties
with respect to such organizations in such a manner as to
encourage and promote the integration of women into the
national economies of member and recipient countries and into
professional and policy-making positions within such
organizations, thereby improving the status of women. The
President is further requested, in making United States
contributions to such organizations, to take into account the
progress, or lack of progress, of such organizations in
adopting and implementing policies and practices which
encourage and promote the integration of women into the
national economies of member and recipient countries, and into
professional and policy-making positions within such
organizations, in accordance with the World Plan of Action of
the Decade for Women.\358\
---------------------------------------------------------------------------
\357\ 22 U.S.C. 2225. Sec. 305 was added by sec. 54 of the FA Act
of 1974, which inserted it at the end of part III, chapter 3. Sec.
313(b) of Public Law 94-161 reinserted it at the end of part I, chapter
3.
\358\ This sentence was added by sec. 118(b) of the International
Development and Food Assistance Act of 1977 (Public Law 95-88; 91 Stat.
540).
---------------------------------------------------------------------------
Sec. 306.\359\ Reports on International Organizations.--The
annual reports to the Congress under section 2 of the Act of
September 21, 1950 (64 Stat. 902, 22 U.S.C. 262a), shall be
submitted within nine months after the end of the fiscal year
to which they relate.
---------------------------------------------------------------------------
\359\ 22 U.S.C. 2226. Sec. 306 was added by sec. 703 of the
International Security and Development Cooperation Act of 1980 (Public
Law 96-533; 94 Stat. 3157). Sec. 1301(b) of the Federal Reports
Elimination Act of 1998 (Public Law 105-362; 112 Stat. 3293) struck out
subsec. designation ``(a)'' in this para., and striking out subsec.
(b), which had required the President to submit semiannual reports to
the Congress listing all U.S. Government voluntary contributions to
international organizations. Pursuant to Executive Order 12374 (July
28, 1982; 47 F.R. 32903), those reporting responsibilities had been
delegated to the Secretary of State.
---------------------------------------------------------------------------
Sec. 307.\360\ Withholding of United States Proportionate
Share for Certain Programs of International Organizations.--(a)
Notwithstanding any other provision of law, none of the funds
authorized to be appropriated by this chapter shall be
available for the United States proportionate share for
programs for Burma, Iraq, North Korea, Syria,\361\ Libya, Iran,
Cuba, or the Palestine Liberation Organization or for projects
whose purpose is to provide benefits to the Palestine
Liberation Organization or entities associated with it,\362\ or
at the discretion of the President, Communist countries listed
in section 620(f) of this Act.\363\
---------------------------------------------------------------------------
\360\ 22 U.S.C. 2227. Sec. 307 was added by sec. 403 of the
International Security and Development Cooperation Act of 1985 (Public
Law 99-83; 99 Stat. 219).
The Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1999 (division A, sec. 101(d) of Public Law 105-
277; 112 Stat. 2681), provided:
---------------------------------------------------------------------------
``limitation on availability of funds for international organizations
and programs
---------------------------------------------------------------------------
``Sec. 516. Subject to the regular notification procedures of the
Committees on Appropriations, funds appropriated under this Act or any
previously enacted Act making appropriations for foreign operations,
export financing, and related programs, which are returned or not made
available for organizations and programs because of the implementation
of section 307(a) of the Foreign Assistance Act of 1961, shall remain
available for obligation until September 30, 2000: Provided, That
section 307(a) of the Foreign Assistance Act of 1961, is amended by
inserting before the period at the end thereof `, or at the discretion
of the President, Communist countries listed in section 620(f) of this
Act'.''.
\361\ Sec. 431(a)(1) of the Foreign Relations Authorization Act,
Fiscal Years 1994 and 1995 (Public Law 103-236; 108 Stat. 459) struck
out ``the South-West Africa People's Organization'' and inserted
``Burma, Iraq, North Korea, Syria''.
Sec. 431(b) of Public Law 103-236 (108 Stat. 459) further provided
the following:
``(b) United Nations Development Program.--
---------------------------------------------------------------------------
``(1) Except as provided in paragraphs (2) and (3), for
fiscal years 1994 and 1995 none of the funds made available for
United Nations Development Program or United Nations
Development Program--Administered Funds shall be available for
programs and activities in or for Burma.
``(2) Of the funds made available for United Nations
Development Program and United Nations Development Program--
Administered Funds for fiscal year 1994, $11,000,000 may be
available only if the President certifies to the Congress that
the United Nations Development Program's programs and
activities in or for Burma promote the enjoyment of
internationally guaranteed human rights in Burma and do not
benefit the State Law and Order Restoration Council (SLORC)
military regime.
``(3) Of the funds made available for United Nations
Development Program and United Nations Development Program--
Administered Funds for fiscal year 1995, $27,600,000 may be
available only if the President certifies to the Congress
that--
``(A) the United Nations Development Program has
approved or initiated no new programs and no new
funding for existing programs in or for Burma since the
United Nations Development Program Governing Council
(Executive Board) meeting of June 1993,
``(B) such programs address unforeseen urgent
humanitarian concerns, or
``(C) a democratically elected government in Burma
has agreed to such programs.''.
---------------------------------------------------------------------------
\362\ Sec. 3 of the Middle East Peace Facilitation Act of 1993, as
amended (Public Law 103-125; 107 Stat. 1309), authorized the President
to suspend certain provisions of law, including sec. 307 of this Act,
as they applied to the P.L.O. or entities associated with it if certain
conditions were met and the President so certified and consulted with
relevant congressional committees. This authority was continued in the
Middle East Peace Facilitation Act of 1994 (part E of Public Law 103-
236) and the Middle East Peace Facilitation Act of 1995, (title VI of
the Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1996; Public Law 104-107).
The President issued such a certification in Presidential
Determination No. 94-13 of January 14, 1994 (59 F.R. 4777), which was
extended until January 1, 1995, by Presidential Determination No. 94-30
of June 30, 1994 (59 F.R. 35607); until July 1, 1995, by Presidential
Determination No. 95-12 of December 31, 1994 (60 F.R. 2673); until
August 15, 1995, by Presidential Determination No. 95-31 of July 2,
1995 (60 F.R. 35827); until October 1, 1995, by Presidential
Determination No. 95-36 of August 14, 1995 (60 F.R. 44725); until
November 1, 1995, by Presidential Determination No. 95-50 of September
30, 1995 (60 F.R. 53093); until December 31, 1995, by Presidential
Determination No. 96-5 of November 13, 1995 (60 F.R. 57821); until
March 31, 1996, by Presidential Determination No. 96-8 of January 4,
1996 (61 F.R. 2889); until June 15, 1996, by Presidential Determination
No. 96-20 of April 1, 1996 (61 F.R. 26019); until August 12, 1996, by
Presidential Determination No. 96-32 of June 14, 1996 (61 F.R. 32629);
until February 12, 1997, by Presidential Determination No. 96-41 of
August 12, 1996 (61 F.R. 43137); and until August 12, 1997, by
Presidential Determination No. 97-17 of February 21, 1997 (62 F.R.
9903).
New authority to waive certain provisions was continued in general
provisions of the Foreign Operations, Export Financing, and Related
Programs Appropriations Act, 1999 (division A, sec. 101(d) of Public
Law 105-277; 112 Stat. 2681); see secs. 540(c) and (d), 553, 556, and
566. See also, however, sec. 581 of that Act, which prohibits
assistance to the Palestinian Broadcasting Corporation.
On December 5, 1997, the President waived the provisions of section
1003 of the Anti-Terrorism Act of 1987 (Public Law 100-204) through
June 4, 1998 (Presidential Determination No. 98-8; 62 F.R. 66255).
\363\ Sec. 516 of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1999 (division A, sec. 101(d) of
Public Law 105-277; 112 Stat. 2681) added ``, or at the discretion of
the President, Communist countries listed in section 620(f) of this
Act.''.
---------------------------------------------------------------------------
(b) The Secretary of State--
(1) shall review, at least annually, the budgets and
accounts of all international organizations receiving
payments of any funds authorized to be appropriated by
this chapter; and
(2) shall report to the appropriate committees of the
Congress the amounts of funds expended by each such
organization for the purposes described in subsection
(a) and the amount contributed by the United States to
each such organization.
(c) \364\ (1) Subject to paragraph (2), the limitations
\365\ of subsection (a) shall not apply to contributions to the
International Atomic Energy Agency or the United Nations
Children's Fund (UNICEF).
---------------------------------------------------------------------------
\364\ Sec. 431(a)(2) of the Foreign Relations Authorization Act,
Fiscal Years 1994 and 1995 (Public Law 103-236; 108 Stat. 459) added
subsec. (c).
\365\ Sec. 2809(a)(1) of the Foreign Relations Authorization Act,
Fiscal Years 1998 and 1999 (subdivision B of division G of Public Law
105-277; 112 Stat. 2681) struck out ``The limitations'' and inserted in
lieu thereof ``(1) Subject to paragraph (2), the limitations''. Sec.
2809(a)(2) of that Act added para. (2). See also sec. 2809(b) and (c)
of that Act, in Legislation on Foreign Relations Through 1998, vol. II.
---------------------------------------------------------------------------
(2) \365\ (A) Except as provided in subparagraph (B), with
respect to funds authorized to be appropriated by this chapter
and available for the International Atomic Energy Agency, the
limitations of subsection (a) shall apply to programs or
projects of such Agency in Cuba.
(B)(i) Subparagraph (A) shall not apply with respect to
programs or projects of the International Atomic Energy Agency
that provide for the discontinuation, dismantling, or safety
inspection of nuclear facilities or related materials, or for
inspections and similar activities designed to prevent the
development of nuclear weapons by a country described in
subsection (a).
(ii) Clause (i) shall not apply with respect to the Juragua
Nuclear Power Plant near Cienfuegos, Cuba, or the Pedro Pi
Nuclear Research Center unless Cuba--
(I) ratifies the Treaty on the Non-Proliferation of
Nuclear Weapons (21 UST 483) or the Treaty for the
Prohibition of Nuclear Weapons in Latin America
(commonly known as the Treaty of Tlatelolco);
(II) negotiates full-scope safeguards of the
International Atomic Energy Agency not later than two
years after ratification by Cuba of such Treaty; and
(III) incorporates internationally accepted nuclear
safety standards.
Chapter 4--Supporting Assistance \366\ [Repealed--1972]
Chapter 5--Contingencies \367\
Sec. 451.\368\ Contingencies.\367\--(a) \369\ (1)
Notwithstanding any other provision of law, the President is
authorized to use \370\ funds made available to carry out any
provision of this Act (other than the provisions of chapter 1
of this part) in order to provide, for any unanticipated
contingencies,\371\ assistance authorized by this part in
accordance with the provisions applicable to the furnishing of
such assistance, except that the authority of this subsection
may not be used to authorize the use of more than $25,000,000
during any fiscal year.\372\
---------------------------------------------------------------------------
\366\ Sec. 202(b) of the FA Act of 1971 repealed chapter 4 of part
I. This subject matter is now covered under chapter 4 of part II of
this Act, Economic Support Fund.
T\367\ Sec. 2 of the International Security Assistance Act of 1979
(Public Law 96-92; 93 Stat. 701) changed the title of chapter 5 and
sec. 451 from ``Contingency Fund'' to ``Contingencies''. Previously,
sec. 503(1) of Public Law 94-329 substituted ``Contingency Fund'' for
``Disaster Relief'' in the title of chapter 5 while sec. 2(1) of Public
Law 93-333 changed the title of chapter 5 from ``Contingency Fund'' to
``Disaster Relief''.
T\368\ 22 U.S.C. 2261. Sec. 451 was amended by sec. 28(c) of the FA
Act of 1974. It formerly read as follows:
``Sec. 451. Contingency Fund--(a) There is authorized to be
appropriated to the President for each of the fiscal years 1974 and
1975 not to exceed $30,000,000, to provide assistance authorized by
this part primarily for disaster relief purposes, in accordance with
the provisions applicable to the furnishing of such assistance. (b) The
President shall provide quarterly reports to the Committee on Foreign
Relations and the Committee on Appropriations of the Senate and the
Speaker of the House of Representatives on the programing and the
obligation of funds under subsection (a).''.
T\369\ Subsec. (a) was amended and restated by sec. 2 of the
International Security Assistance Act of 1979 (Public Law 96-92; 93
Stat. 701).
\370\ Sec. 588(1) of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1991 (Public Law 101-513; 104
Stat. 2056), struck out ``not to exceed $10,000,000 of'' and ``in any
fiscal year'' at these points, respectively.
\371\ Sec. 588(2) of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1991 (Public Law 101-513; 104
Stat. 2056), struck out ``emergency purposes'' and inserted in lieu
thereof ``unanticipated contingencies''.
\372\ Sec. 588(3) of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1991 (Public Law 101-513; 104
Stat. 2056), added ``, except that the authority of this subsection may
not be used to authorize the use of more than $25,000,000 during any
fiscal year.''.
---------------------------------------------------------------------------
(2) The President shall report promptly to the Speaker of
the House of Representatives and to the Committee on Foreign
Relations and the Committee on Appropriations of the Senate
each time he exercises the authority contained in this
subsection.
(b) \373\ * * * [Repealed--1981]
---------------------------------------------------------------------------
\373\ Subsec. (b), which had required a quarterly report from the
President concerning the programing and obligation of funds under this
section, was repealed by sec. 734(a)(1) of the International Security
and Development Cooperation Act of 1981 (Public Law 97-113; 95 Stat.
1560).
---------------------------------------------------------------------------
(c) No part of this fund shall be used to pay for any gifts
to any officials of any foreign government made heretofore or
hereafter.\374\
---------------------------------------------------------------------------
\374\ Sec. 452, which was added by sec. 2(2) of the Foreign
Disaster Assistance Act of 1974 (Public Law 93-333) and formerly
appeared at this point, was redesignated as sec. 494 by Sec. 101(4) of
Public Law 94-161 (89 Stat. 849).
---------------------------------------------------------------------------
Chapter 6--Central America Democracy, Peace, and Development Initiative
\375\
Sec. 461.\375\, \376\ Statement of Policy.--(a)
The Congress finds that--
---------------------------------------------------------------------------
\375\ Chapter 6, as enacted in the Foreign Assistance Act of 1961,
titled: ``Assistance to Countries Having Agrarian Economies'', was
repealed by sec. 604 of the International Development and Food
Assistance Act of 1978 (Public Law 95-424; 92 Stat. 961). A new ch. 6
(sec. 461 through 466), was added by sec. 701 of the International
Security and Development Cooperation Act of 1985 (Public Law 99-83; 99
Stat. 234).
\376\ 22 U.S.C. 2271.
---------------------------------------------------------------------------
(1) the building of democracy, the restoration of
peace, the improvement of living conditions, and the
application of equal justice under law in Central
America are important to the interests of the United
States and the community of American States; and
(2) the interrelated issues of social and human
progress, economic growth, political reform, and
regional security must be effectively dealt with to
assure a democratic and economically and politically
secure Central America.
(b)(1) The achievement of democracy, respect for human
rights, peace, and equitable economic growth depends primarily
on the cooperation and the human and economic resources of the
people and governments of Central America. The Congress
recognizes that the United States can make a significant
contribution to such peaceful and democratic development
through a consistent and coherent policy which includes a long-
term commitment of assistance. This policy should be designed
to support actively--
(A) democracy and political reform, including opening
the political process to all members of society;
(B) full observance of internationally recognized
human rights, including free elections, freedom of the
press, freedom of association, and the elimination of
all human rights abuses;
(C) leadership development, including training and
educational programs to improve public administration
and the administration of justice;
(D) land reform, reform in tax systems, encouragement
of private enterprise and individual initiative,
creation of favorable investment climates, curbing
corruption where it exists, and spurring balanced
trade;
(E) the establishment of the rule of law and an
effective judicial system; and
(F) the termination of extremist violence by both the
left and the right as well as vigorous action to
prosecute those guilty of crimes and the prosecution to
the extent possible of past offenders.
(2) The policy described in paragraph (1) should also
promote equitable economic growth and development, including
controlling the flight of capital and the effective use of
foreign assistance and adhering to approved programs for
economic stabilization and fiscal responsibility. Finally, this
policy should foster dialog and negotiations--
(A) to achieve peace based upon the objectives of
democratization, reduction of armament, an end to
subversion, and the withdrawal of foreign military
forces and advisers; and
(B) to provide a security shield against violence and
intimidation.
(3) It is the purpose of this chapter to establish the
statutory framework and to authorize the appropriations and
financing necessary to carry out the policy described in this
section.
(c) The Congress finds, therefore, that the people of the
United States are willing to sustain and expand a program for
economic and military assistance in Central America if the
recipient countries can demonstrate progress toward and a
commitment to these goals.
Sec. 462.\375\, \377\ Conditions on Furnishing
Assistance.--The President shall ensure that assistance
authorized by this Act and the Arms Export Control Act to
Central American countries is furnished in a manner which
fosters demonstrated progress toward and commitment to the
objectives set forth in section 461. Where necessary to achieve
this purpose, the President shall impose conditions on the
furnishing of such assistance. In carrying out this section,
the President shall consult with the Congress in regard to
progress toward the objectives set forth in section 461, and
any conditions imposed on the furnishing of assistance in
furtherance of those objectives.
---------------------------------------------------------------------------
\377\ 22 U.S.C. 2272.
---------------------------------------------------------------------------
Sec. 463.\375\, \378\ Peace Process in Central
America.--The Congress--
---------------------------------------------------------------------------
\378\ 22 U.S.C. 2273.
---------------------------------------------------------------------------
(1) strongly supports the initiatives taken by the
Contadora group and the resulting Document of
Objectives which has been agreed to by Costa Rica, El
Salvador, Guatemala, Honduras, and Nicaragua and which
sets forth a framework for negotiating a peaceful
settlement to the conflict and turmoil in the region;
and
(2) finds that the United States should provide such
assistance and support as may be appropriate in helping
to reach comprehensive and verifiable final agreements,
based on the Document of Objectives, which will ensure
peaceful and enduring solutions to the Central American
conflicts.
Sec. 464.\375\, \379\ Economic Assistance
Coordination.--(a) The Congress finds that participation by
Central American countries in an effective forum for dialog on,
and the continuous review and advancement of, Central America's
political, economic, and social development would foster
cooperation between the United States and Central American
countries.
---------------------------------------------------------------------------
\379\ 22 U.S.C. 2274.
---------------------------------------------------------------------------
(b) It is the sense of the Congress that--
(1) the President should enter into negotiations with
the countries of Central America to establish a Central
American Development Organization (hereafter in this
section referred to as the ``Organization'') to help
provide a continuous and coherent approach to the
development of the Central American region; and
(2) the establishment of the Organization should be
based upon the following principles:
(A) Participation in the Organization should
be open to the United States, other donors, and
those Central American countries that commit
themselves to, among other things, respecting
internationally recognized human rights,
building democracy, and encouraging equitable
economic growth through policy reforms.
(B) The Organization should be structured to
include representatives from both the public
and private sectors, including representatives
from the labor, agriculture, and business
communities.
(C) The Organization should meet periodically
to carry out the functions described in
subparagraphs (D) and (E) of this paragraph and
should be supported by a limited professional
secretariat.
(D) The Organization should make
recommendations affecting Central American
countries on such matters as--
(i) political, economic, and social
development objectives, including the
strengthening of democratic pluralism
and the safeguarding of internationally
recognized human rights;
(ii) mobilization of resources and
external assistance needs; and
(iii) reform of economic policies and
structures.
(E) The Organization should have the capacity
for monitoring country performance on
recommendations issued in accordance with
subparagraph (D) of this paragraph and for
evaluating progress toward meeting such country
objectives.
(F) To the maximum extent practicable, the
United States should follow the recommendations
of the Organization in disbursing bilateral
economic assistance for any Central American
country. No more than 75 percent of such United
States assistance in any fiscal year should be
disbursed until the recommendations of the
Organization for that fiscal year have been
made final and communicated to the donor
countries. The limitation on disbursements
contained in the preceding sentence should
apply only to recommendations made final and
communicated to donor countries prior to the
fourth quarter of such fiscal year. The United
States representative to the Organization
should urge other donor countries to similarly
implement the recommendations of the
Organization.
(G) The administrator of the agency primarily
responsible for administering part I of this
Act, or his designee, should represent the
United States Government in the Organization
and should carry out his functions in that
capacity under the continuous supervision and
general direction of the Secretary of State.
(c) Subject to subsection (d)(2), the President is
authorized to participate in the Organization.
(d)(1) The administrator of the agency primarily
responsible for administering part I of this Act, under the
supervision and direction of the Secretary of State, shall
prepare a detailed proposal to carry out this section and shall
keep the Committee on Foreign Affairs \380\ of the House of
Representatives and the Committee on Foreign Relations of the
Senate fully and currently informed concerning the development
of this proposal.
---------------------------------------------------------------------------
\380\ Sec. 1(a)(5) of Public Law 104-14 (109 Stat. 186) provided
that references to the Committee on Foreign Affairs of the House of
Representatives shall be treated as referring to the Committee on
International Relations of the House of Representatives.
---------------------------------------------------------------------------
(2) The President shall transmit to the Committee on
Foreign Affairs \380\ of the House of Representatives and the
Committee on Foreign Relations of the Senate a copy of the text
of any agreement, which he proposes to sign, that would provide
for the establishment of and United States participation in the
Organization no less than sixty days prior to his signature.
During that sixty-day period there shall be full and formal
consultations with and review by those committees in accordance
with procedures applicable to reprogramming notifications
pursuant to section 634A of this Act.
Sec. 465.\375\, \381\ Authorization for Fiscal
Years 1988 and 1989.--(a) In addition to amounts otherwise
available for such purposes, there are authorized to be
appropriated to the President, for the purpose of furnishing
nonmilitary assistance for Central American countries,
$1,200,000,000 for each of the fiscal years 1988 and 1989,
which are authorized to remain available until expended.
---------------------------------------------------------------------------
\381\ 22 U.S.C. 2275.
---------------------------------------------------------------------------
(b) For the purpose of providing the assistance described
in subsection (a), funds appropriated pursuant to the
authorizations in that subsection may be transferred by the
President for obligation in accordance with the authorities of
part I of this Act (including chapter 4 of part II), the Peace
Corps Act, the Migration and Refugee Assistance Act of 1962,
the United States Information and Education Exchange Act of
1948, the Mutual Educational and Cultural Exchange Act of 1961,
the National Endowment for Democracy Act, and the State
Department Basic Authorities Act of 1956.
Sec. 466.\375\, \382\ Definitions.--For the
purposes of this chapter, the term ``Central American
countries'' includes Belize, Costa Rica, El Salvador,
Guatemala, Honduras, Nicaragua, Panama, and regional programs
which benefit such countries.
---------------------------------------------------------------------------
\382\ 22 U.S.C. 2276.
---------------------------------------------------------------------------
Chapter 7--Debt-For-Nature Exchanges \383\
Sec. 461.\384\ Definition.--For purpose of this chapter,
the term ``debt-for-nature exchange'' means the cancellation or
redemption of the foreign debt of the government of a country
in exchange for--
---------------------------------------------------------------------------
\383\ Chapter 7, as enacted in the Foreign Assistance Act of 1966
(Public Law 89-583), titled: ``Joint Commissions on Rural
Development'', was repealed by sec. 604 of the International
Development and Food Assistance Act of 1978 (Public Law 95-424; 92
Stat. 961). A new ch. 7 was added by sec. 711 of the International
Development and Finance Act of 1989 (Public Law 101-240; 103 Stat.
2521).
\384\ 22 U.S.C. 2281. All sections in ch. 7 are misnumbered, as
enacted by the International Development and Finance Act of 1989
(Public Law 101-240; 103 Stat. 2521). Should read ``Sec. 471''.
The Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1999 (division A, sec. 101(d) of Public Law 105-
277; 112 Stat. 2681), provided the following:
---------------------------------------------------------------------------
``debt-for-development
---------------------------------------------------------------------------
``Sec. 532. In order to enhance the continued participation of
nongovernmental organizations in economic assistance activities under
the Foreign Assistance Act of 1961, including endowments, debt-for-
development and debt-for-nature exchanges, a nongovernmental
organization which is a grantee or contractor of the Agency for
International Development may place in interest bearing accounts funds
made available under this Act or prior Acts or local currencies which
accrue to that organization as a result of economic assistance provided
under title II of this Act and any interest earned on such investment
shall be used for the purpose for which the assistance was provided to
that organization.
---------------------------------------------------------------------------
* * * * * * *
``authority to engage in debt buybacks or sales
---------------------------------------------------------------------------
``Sec. 560. (a) Loans Eligible for Sale, Reduction, or
Cancellation.--
---------------------------------------------------------------------------
``(1) Authority to sell, reduce, or cancel certain loans.--
Notwithstanding any other provision of law, the President may,
in accordance with this section, sell to any eligible purchaser
any concessional loan or portion thereof made before January 1,
1995, pursuant to the Foreign Assistance Act of 1961, to the
government of any eligible country as defined in section 702(6)
of that Act or on receipt of payment from an eligible
purchaser, reduce or cancel such loan or portion thereof, only
for the purpose of facilitating--
``(A) debt-for-equity swaps, debt-for-development
swaps, or debt-for-nature swaps; or
``(B) a debt buyback by an eligible country of its
own qualified debt, only if the eligible country uses
an additional amount of the local currency of the
eligible country, equal to not less than 40 percent of
the price paid for such debt by such eligible country,
or the difference between the price paid for such debt
and the face value of such debt, to support activities
that link conservation and sustainable use of natural
resources with local community development, and child
survival and other child development, in a manner
consistent with sections 707 through 710 of the Foreign
Assistance Act of 1961, if the sale, reduction, or
cancellation would not contravene any term or condition
of any prior agreement relating to such loan.
``(2) Terms and conditions.--Notwithstanding any other
provision of law, the President shall, in accordance with this
section, establish the terms and conditions under which loans
may be sold, reduced, or canceled pursuant to this section.
``(3) Administration.--The Facility, as defined in section
702(8) of the Foreign Assistance Act of 1961, shall notify the
administrator of the agency primarily responsible for
administering part I of the Foreign Assistance Act of 1961 of
purchasers that the President has determined to be eligible,
and shall direct such agency to carry out the sale, reduction,
or cancellation of a loan pursuant to this section. Such agency
shall make an adjustment in its accounts to reflect the sale,
reduction, or cancellation.
``(4) Limitation.--The authorities of this subsection shall
be available only to the extent that appropriations for the
cost of the modification, as defined in section 502 of the
Congressional Budget Act of 1974, are made in advance.
---------------------------------------------------------------------------
``(b) Deposit of Proceeds.--The proceeds from the sale, reduction,
or cancellation of any loan sold, reduced, or canceled pursuant to this
section shall be deposited in the United States Government account or
accounts established for the repayment of such loan.
``(c) Eligible Purchasers.--A loan may be sold pursuant to
subsection (a)(1)(A) only to a purchaser who presents plans
satisfactory to the President for using the loan for the purpose of
engaging in debt-for-equity swaps, debt-for-development swaps, or debt-
for-nature swaps.
``(d) Debtor Consultations.--Before the sale to any eligible
purchaser, or any reduction or cancellation pursuant to this section,
of any loan made to an eligible country, the President should consult
with the country concerning the amount of loans to be sold, reduced, or
canceled and their uses for debt-for-equity swaps, debt-for-development
swaps, or debt-for-nature swaps.
``(e) Availability of Funds.--The authority provided by subsection
(a) may be used only with regard to funds appropriated by this Act
under the heading `Debt restructuring'.''.
---------------------------------------------------------------------------
(1) that government's making available local
currencies (including through the issuance of bonds)
which are used only for eligible projects involving the
conservation or protection of the environment in that
country (as described in section 463); \385\ or
---------------------------------------------------------------------------
\385\ All sections in ch. 7 are misnumbered, as enacted by the
International Development and Finance Act of 1989 (Public Law 101-240;
103 Stat. 2521). Reference should read ``section 473''.
---------------------------------------------------------------------------
(2) that government's financial resource or policy
commitment to take certain specified actions to ensure
the restoration, protection, or sustainable use of
natural resources within that country; or
(3) a combination of assets and actions under both
paragraphs (1) and (2).
Sec. 462.\386\ Assistance for Commercial Debt Exchanges.--
(a) The Administrator of the Agency for International
Development is authorized to furnish assistance, in the form of
grants on such terms and conditions as may be necessary, to
nongovernmental organizations for the purchase on the open
market of discounted commercial debt of a foreign government of
an eligible country which will be canceled or redeemed under
the terms of an agreement with that government as part of a
debt-for-nature exchange.
---------------------------------------------------------------------------
\386\ 22 U.S.C. 2282. All sections in ch. 7 are misnumbered, as
enacted by the International Development and Finance Act of 1989
(Public Law 101-240; 103 Stat. 2521). Should read ``Sec. 472''.
---------------------------------------------------------------------------
(b) Notwithstanding any other provision of law, a grantee
(or any subgrantee) of the grants referred to in subsection (a)
may retain, without deposit in the Treasury of the United
States and without further appropriation by Congress, interest
earned on the proceeds of any resulting debt-for-nature
exchange pending the disbursements of such proceeds and
interest for approved program purposes, which may include the
establishment of an endowment, the income of which is used for
such purposes.
Sec. 463.\387\ Eligible Projects.--(a) The Administrator of
the Agency for International Development shall seek to ensure
that debt-for-nature exchanges under this chapter support one
or more of the following activities by either the host
government, a local private conservation group, or a
combination thereof:
---------------------------------------------------------------------------
\387\ 22 U.S.C. 2283. All sections in ch. 7 are misnumbered, as
enacted by the International Development and Finance Act of 1989
(Public Law 101-240; 103 Stat. 2521). Should read ``Sec. 473''.
---------------------------------------------------------------------------
(1) restoration, protection, or sustainable use of
the world's oceans and atmosphere;
(2) restoration, protection, or sustainable use of
diverse animal and plant species;
(3) establishment, restoration, protection, and
maintenance of parks and reserves;
(4) development and implementation of sound systems
of natural resource management;
(5) development and support of local conservation
programs;
(6) training programs to strengthen conservation
institutions and increase scientific, technical, and
managerial capabilities of individuals and
organizations involved in conservation efforts;
(7) efforts to generate knowledge, increase
understanding, and enhance public commitment to
conservation;
(8) design and implementation of sound programs of
land and ecosystem management; and
(9) promotion of regenerative approaches in farming,
forestry, fishing, and watershed management.
(b)(1) In cooperation with nongovernmental organizations, the
Administrator of the Agency for International Development shall
seek to identify those areas, which because of an imminent
threat, are in particular need of immediate attention to
prevent the loss of unique biological life or valuable
ecosystem.
(2) The Administrator of the Agency for International
Development shall encourage as many eligible countries as
possible to propose such exchanges with the purpose of
demonstrating to a large number of governments the feasibility
and benefits of sustainable development.
Sec. 464.\388\ Eligible Countries.--In order for a foreign
country to be eligible to participate in a debt-for-nature
exchange under this chapter, the Administrator of the Agency
for International Development shall determine that--
---------------------------------------------------------------------------
\388\ 22 U.S.C. 2284. All sections in ch. 7 are misnumbered, as
enacted by the International Development and Finance Act of 1989
(Public Law 101-240; 103 Stat. 2521). Should read ``Sec. 474''.
---------------------------------------------------------------------------
(1) the host country is fully committed to the long-
term viability of the program or project that is to be
undertaken through the debt-for-nature exchange;
(2) a long-term plan has been prepared by the host
country, or private conservation group, which
adequately provides for the long-term viability of the
program or project that is to be undertaken through the
debt-for-nature exchange or that such a plan will be
prepared in a timely manner; and
(3) there is a government agency or a local
nongovernmental organization, or combination thereof,
in the host country with the capability, commitment,
and record of environmental concern to oversee the
long-term viability of the program or project that is
to be undertaken through the debt-for-nature exchange.
Sec. 465.\389\ Terms and Conditions.--(a) The terms and
conditions for making grants under this chapter shall be deemed
to be fulfilled upon final approval by the Administrator of the
Agency for International Development of the debt-for-nature
exchange, a certification by the nongovernmental organization
that the host government has accepted the terms of the
exchange, and that an agreement has been reached to cancel the
commercial debt in an agreed upon fashion.
---------------------------------------------------------------------------
\389\ 22 U.S.C. 2285. All sections in ch. 7 are misnumbered, as
enacted by the International Development and Finance Act of 1989
(Public Law 101-240; 103 Stat. 2521). Should read ``Sec. 475''.
---------------------------------------------------------------------------
(b) Grants made under this section are intended to
complement, and not substitute for, assistance otherwise
available to a foreign country under this Act or any other
provision of law.
(c) The United States Government is prohibited from accepting
title or interest in any land in a foreign country as a
condition on the debt exchange.
Sec. 466.\390\ Pilot Program for Sub-Saharan Africa.--(a) The
Administrator of the Agency for International Development, in
cooperation with nongovernmental conservation organizations,
shall invite the government of each country in sub-Saharan
Africa to submit a list of those areas of severely degraded
national resources which threaten human survival and well-being
and the opportunity for future economic growth or those areas
of biological or ecological importance within the territory of
that country.
---------------------------------------------------------------------------
\390\ 22 U.S.C. 2286. All sections in ch. 7 are misnumbered, as
enacted by the International Development and Finance Act of 1989
(Public Law 101-240; 103 Stat. 2521). Should read ``Sec. 476''.
---------------------------------------------------------------------------
(b) The Administrator of the Agency for International
Development shall assess the list submitted by each country
under subsection (a) and shall seek to reach agreement with the
host country for the restoration and future sustainable use of
those areas.
(c)(1) The Administrator of the Agency for International
Development is authorized to make grants, on such terms and
conditions as may be necessary, to nongovernmental
organizations for the purchase on the open market of discounted
commercial debt of a foreign government of an eligible sub-
Saharan country in exchange for commitments by that government
to restore natural resources identified by the host country
under subsection (a) or for commitments to develop plans for
sustainable use of such resources.
(2) Notwithstanding any other provision of law, a grantee (or
any subgrantee) of the grants referred to in section (a) may
retain, without deposit in the Treasury of the United States
and without further appropriation by Congress, interest earned
on the proceeds of any resulting debt-for-nature exchange
pending the disbursements of such proceeds and interest for
approved program purposes, which may include the establishment
of an endowment, the income of which is used for such purposes.
Chapter 8--International Narcotics Control \391\
SEC. 481.\392\ POLICY, GENERAL AUTHORITIES, COORDINATION, FOREIGN
POLICE ACTIONS, DEFINITIONS, AND OTHER PROVISIONS.
(a) Policy and General Authorities.--
---------------------------------------------------------------------------
\391\ Chapter 8 was added by sec. 109 of the FA Act of 1971. See
other legislation on international narcotics control in Legislation on
Foreign Relations Through 1998, vol. I-B, particularly the
establishment of the President's Council on Counter-Narcotics (title
VII, sec. 709, of Public Law 105-277), and the Western Hemisphere Drug
Elimination Act (title VIII of Public Law 105-277).
\392\ 22 U.S.C. 2291. Sec. 1519(a) of the Housing and Community
Development Act of 1992 (Public Law 102-550; 106 Stat. 4060) amended
sec. 481 at subsec. (a) by redesignating former subpar. (E) as (F), and
inserting a new (E).
Sec. 1519(b) of Public Law 102-550, furthermore, amended sec.
481(e) to require a report on major money laundering countries.
Sec. 4 of the International Narcotics Control Act of 1992 (Public
Law 102-583; 106 Stat. 4914), however, substantially amended and
restated sec. 481. Sec. 4(a) struck the section designation, section
heading, and subsection (a), and restated these through subpar. (F).
Chapter 8 was originally added by sec. 109 of the FA Act of 1971.
See other legislation on international narcotics control in Legislation
on Foreign Relations Through 1998, vol. I-B.
The original sec. 481 read as follows:
``It is the sense of the Congress that effective international
cooperation is necessary to put an end to the illicit production,
trafficking in, and abuse of dangerous drugs. In order to promote such
cooperation, the President is authorized to conclude agreements with
other countries to facilitate control of the production, processing,
transportation, and distribution of narcotic analgesics, including
opium and its derivatives, other narcotic drugs and psychotropics and
other controlled substances as defined in the Comprehensive Drug Abuse
Prevention and Control Act of 1970 (Public Law 91-513). Notwithstanding
any other provision of law, the President is authorized to furnish
assistance to any country or international organization, on such terms
and conditions as he may determine, for the control of the production
of, processing of, and traffic in, narcotic and psychotropic drugs. In
furnishing such assistance the President may use any of the funds made
available to carry out the provisions of this Act. The President shall
suspend economic and military assistance furnished under this or any
other Act, and shall suspend sales under the Foreign Military Sales Act
and under title I of the Agriculture Trade Development and Assistance
Act of 1954 with respect to any country when the President determines
that the government of such country has failed to take adequate steps
to prevent narcotic drugs and other controlled substances (as defined
by the Comprehensive Drug Abuse Prevention and Control Act of 1970)
produced or processed, in whole or in part, in such country, or
transported through such country, from being sold illegally within the
jurisdiction of such country to United States Government personnel or
their dependents, or from entering the United States unlawfully. Such
suspension shall continue until the President determines that the
government of such country has taken adequate steps to carry out the
purposes of this chapter.''.
Sec. 481(a) had been amended previously by sec. 503 of the Foreign
Relations Authorization Act of 1972, sec. 11 of the FA Act of 1973,
sec. 1003(a) of the Department of State Authorization Act, Fiscal Years
1984 and 1985, sec. 4502 of the International Narcotics Control Act of
1988, and sec. 17 of the International Narcotics Control Act of 1989.
---------------------------------------------------------------------------
(1) Statements of policy.--(A) International
narcotics trafficking poses an unparalleled
transnational threat in today's world, and its
suppression is among the most important foreign policy
objectives of the United States.
(B) Under the Single Convention on Narcotic Drugs,
1961, and under the United Nations Convention Against
Illicit Traffic in Narcotic Drugs and Psychotropic
Substances, the parties are required to criminalize
certain drug-related activities, provide appropriately
severe penalties, and cooperate in the extradition of
accused offenders.
(C) International narcotics control programs should
include, as priority goals, the suppression of the
illicit manufacture of and trafficking in narcotic and
psychotropic drugs, money laundering, and precursor
chemical diversion, and the progressive elimination of
the illicit cultivation of the crops from which
narcotic and psychotropic drugs are derived.
(D) \393\ International criminal activities,
particularly international narcotics trafficking, money
laundering, and corruption, endanger political and
economic stability and democratic development, and
assistance for the prevention and suppression of
international criminal activities should be a priority
for the United States.
---------------------------------------------------------------------------
\393\ Sec. 131(a)(1) of Public Law 104-164 (110 Stat. 1429)
redesignated subparas. (D) through (F) as subparas. (E) through (G),
and added a new subpara. (D).
---------------------------------------------------------------------------
(E) \393\ The international community should provide
assistance, where appropriate, to those producer and
transit countries which require assistance in
discharging these primary obligations.
(F) \393\ The objective of the United States in
dealing with the problem of international money
laundering is to ensure that countries adopt
comprehensive domestic measures against money
laundering and cooperate with each other in narcotics
money laundering investigations, prosecutions, and
related forfeiture actions.
(G) \393\ Effective international cooperation is
necessary to control the illicit cultivation,
production, and smuggling of, trafficking in, and abuse
of narcotic and psychotropic drugs.
(2) In order to promote such cooperation, the President is
authorized to conclude agreements, including reciprocal
maritime agreements,\394\ with other countries to facilitate
control of the production, processing, transportation, and
distribution of narcotics analgesics, including opium and its
derivatives, other narcotic and psychotropic drugs, and other
controlled substances.
---------------------------------------------------------------------------
\394\ Sec. 4(b) of the International Narcotics Control Act of 1992
(Public Law 102-583; 106 Stat. 4915) inserted ``, including reciprocal
maritime agreements,''.
---------------------------------------------------------------------------
(3) \395\ In order to promote international cooperation in
combating international trafficking in illicit narcotics, it
shall be the policy of the United States to use its voice and
vote in multilateral development banks to promote the
development and implementation in the major illicit drug
producing countries of programs for the reduction and eventual
eradication of narcotic drugs and other controlled substances,
including appropriate assistance in conjunction with effective
programs of illicit crop eradication.
---------------------------------------------------------------------------
\395\ Par. (3) was added by sec. 2017 of Public Law 99-570 (100
Stat. 3207-68). Sec. 2017 redesignated the previous par. (3) as par.
(4).
---------------------------------------------------------------------------
(4) \395\ Notwithstanding any other provision of law, the
President is authorized to furnish assistance to any country or
international organization, or such terms and conditions as he
may determine, for the control of narcotic and psychotropic
drugs and other controlled substances, or for other anticrime
purposes.\396\
---------------------------------------------------------------------------
\396\ Sec. 131(a)(2) of Public Law 104-164 (110 Stat. 1429) added
``, or for other anticrime purposes''.
---------------------------------------------------------------------------
(b) \397\ Coordination of All United States Antinarcotics
Assistance to Foreign Countries.--
---------------------------------------------------------------------------
\397\ Sec. 4(c) of the International Narcotics Control Act of 1992
(Public Law 102-583; 106 Stat. 4915) amended and restated subsec. (b).
Originally, subsec. (b) was added to sec. 481 by sec. 11(a) of the FA
Act of 1973. This subsection has previously been amended and restated
by sec. 17(b) of the International Narcotics Control Act of 1989, and
sec. 604 of the International Security and Development Cooperation Act
of 1985.
---------------------------------------------------------------------------
(1) Responsibility of secretary of state.--Consistent
with subtitle A of title I of the Anti-Drug Abuse Act
of 1988, the Secretary of State shall be responsible
for coordinating all assistance provided by the United
States Government to support international efforts to
combat illicit narcotics production or trafficking.
(2) Rule of construction.--Nothing contained in this
subsection or section 489(b) shall be construed to
limit or impair the authority or responsibility of any
other Federal agency with respect to law enforcement,
domestic security operations, or intelligence
activities as defined in Executive Order 12333.\398\
---------------------------------------------------------------------------
\398\ For text, see Legislation on Foreign Relations Through 1998,
vol. II, sec. D.
---------------------------------------------------------------------------
(c) \399\ Participation in Foreign Police Actions.--
---------------------------------------------------------------------------
\399\ Subsec. (c) was comprehensively amended and restated by sec.
15 of the International Narcotics Control Act of 1989 (Public Law 101-
231; 103 Stat. 1963). It had previously been restated by sec. 2009 of
Public Law 99-570 (100 Stat. 3207-64). Subsec. (c), often referred to
as the ``Mansfield Amendment,'' was originally added by sec. 504(b) of
the International Security Assistance and Arms Export Control Act of
1976 (Public Law 94-329; 90 Stat. 764).
---------------------------------------------------------------------------
(1) Prohibition on effecting an arrest.--No officer
or employee of the United States may directly effect an
arrest in any foreign country as part of any foreign
police action with respect to narcotics control
efforts, notwithstanding any other provision of law.
(2) Participation in arrest actions.--Paragraph (1)
does not prohibit an officer or employee of the United
States, with the approval of the United States chief of
mission, from being present when foreign officers are
effecting an arrest or from assisting foreign officers
who are effecting an arrest.
(3) Exception for exigent, threatening
circumstances.--Paragraph (1) does not prohibit an
officer or employee from taking direct action to
protect life or safety if exigent circumstances arise
which are unanticipated and which pose an immediate
threat to United States officers or employees, officers
or employees of a foreign government, or members of the
public.
(4) Exception for maritime law enforcement.--With the
agreement of a foreign country, paragraph (1) does not
apply with respect to maritime law enforcement
operations in the territorial sea or archipelagic
waters \400\ of that country.
---------------------------------------------------------------------------
\400\ Sec. 4(d) of the International Narcotics Control Act of 1992
(Public Law 102-583; 106 Stat. 4915) inserted ``or archipelagic
waters'' after ``sea''.
---------------------------------------------------------------------------
(5) Interrogations.--No officer or employee of the
United States may interrogate or be present during the
interrogation of any United States person arrested in
any foreign country with respect to narcotics control
efforts without the written consent of such person.
(6) Exception for status of forces arrangements.--
This subsection does not apply to the activities of the
United States Armed Forces in carrying out their
responsibilities under applicable Status of Forces
Arrangements.
(d) \401\ Use of Herbicides for Aerial Eradication.--
---------------------------------------------------------------------------
\401\ Subsec. (d), as added by sec. 4 of Public Law 95-384 (92
Stat. 730), was amended by sec. 3(b) of Public Law 96-92 (93 Stat.
702), amended by sec. 502(a)(1) of the International Security and
Development Cooperation Act of 1981 (Public Law 97-113; 95 Stat. 1538),
and was further amended and restated by sec. 17(c) of the International
Narcotics Control Act of 1989 (Public Law 101-231; 103 Stat. 1964).
Sec. 502(a)(2) and (3) of Public Law 97-113 also stipulated the
conditions under which funds appropriated prior to enactment of this
amendment could be utilized generally, and specifically in the case of
assistance for Colombia appropriated in fiscal year 1980. Subsection
(d) previously read as follows:
``(d)(1) The Secretary of State shall inform the Secretary of
Health and Human Services of the use or intended use by any country or
international organization of any herbicide to eradicate marihuana in a
program receiving assistance under this chapter.
``(2) The Secretary of Health and Human Services shall monitor the
impact on the health of persons who may use or consume marihuana of the
spraying of a herbicide to eradicate such marihuana in a program
receiving assistance under this chapter, and if the Secretary
determines that such persons are exposed to amounts of such herbicide
which are harmful to their health, the Secretary shall prepare and
transmit a report to the Congress setting forth such determination
together with any recommendations the Secretary may have.
``(3) Of the funds authorized to be appropriated for the fiscal
year 1982 under section 482, the President is urged to use not less
than $100,000 to develop a substance that clearly and readily warns
persons who may use or consume marihuana that it has been sprayed with
the herbicide paraquat or other herbicide harmful to the health of such
person.
``(4) If the Secretary of Agriculture determines that a substance
has been developed that clearly and readily warns persons who may use
or consume marihuana that it has been sprayed with the herbicide
paraquat or other herbicide harmful to the health of such persons, such
substance shall be used in conjunction with the spraying of paraquat or
such other herbicide in any program receiving assistance under this
chapter.
``(5)(A) The President, with the assistance of appropriate Federal
agencies, shall monitor any use under this chapter of a herbicide in
the aerial eradication of coca in order to determine the impact of such
use on the environment and on the health of individuals.
``(B) The President shall report on such impact in the annual
report required by subsection (e).
``(C) If the President determines that any such use is harmful to
the environment or the health of individuals, the President shall
immediately report that determination to the Committee on Foreign
Affairs of the House of Representatives and the Committee on Foreign
Relations of the Senate, together with such recommendations as the
President deems appropriate.''.
---------------------------------------------------------------------------
(1) Monitoring.--The President, with the assistance
of appropriate Federal agencies, shall monitor any use
under this chapter of a herbicide for aerial
eradication in order to determine the impact of such
use on the environment and on the health of
individuals.
(2) \402\ Annual reports.--In the annual report
required by section 489(a),\403\ the President shall
report on the impact on the environment and the health
of individuals of the use under this chapter of a
herbicide for aerial eradication.
---------------------------------------------------------------------------
\402\ Sec. 101(a) of the International Narcotics Control
Corrections Act of 1994 (Public Law 103-447; 108 Stat. 4691) struck out
para. (2), and redesignated paras. (3) and (4) as paras. (2) and (3).
Paragraph (2) formerly required that the Secretary of State inform the
Secretary of Health and Human Services and the Administrator of the
Environmental Protection Agency of the use or intended use by any
country or international organization of any herbicide for aerial
eradication in a program receiving assistance under this chapter.
\403\ Sec. 6(b)(1) of the International Narcotics Control Act of
1992 (Public Law 102-583; 106 Stat. 4932) struck out ``subsection (e)''
and inserted in lieu thereof ``section 489(a)''.
---------------------------------------------------------------------------
(3) Report upon determination of harm to environment
or health.--If the President determines that any such
use is harmful to the environment or the health of
individuals, the President shall immediately report
that determination to the Committee on Foreign Affairs
\404\ of the House of Representatives and the Committee
on Foreign Relations of the Senate, together with such
recommendations as the President deems appropriate.
---------------------------------------------------------------------------
\404\ Sec. 1(a)(5) of Public Law 104-14 (109 Stat. 186) provided
that references to the Committee on Foreign Affairs of the House of
Representatives shall be treated as referring to the Committee on
International Relations of the House of Representatives.
---------------------------------------------------------------------------
(e) \405\ Definitions.--For purposes of this chapter and
other provisions of this Act relating specifically to
international narcotics matters--
---------------------------------------------------------------------------
\405\ Sec. 101(b)(1) of the International Narcotics Control
Corrections Act of 1994 (Public Law 103-447; 108 Stat. 4691) struck out
``Except as provided in sections 490(h) and (i) with respect to the
definition of major illicit drug producing country and major drug-
transit country, for'' as the opening clause of subsec. (e), inserting
in lieu thereof ``For''. Previously, sec. 6(b)(3) of the International
Narcotics Control Act of 1992 (Public Law 102-583; 106 Stat. 4932)
amended and restated the opening sentence of subsec. (e). Subsec. (e)
was originally added by sec. 1003(b) of the Department of State
Authorization Act, Fiscal Years 1984 and 1985 (Public Law 98-164; 97
Stat. 1053).
---------------------------------------------------------------------------
(1) the term ``legal and law enforcement measures''
means--
(A) the enactment and implementation of laws
and regulations or the implementation of
existing laws and regulations to provide for
the progressive control, reduction, and gradual
elimination of the illicit cultivation,
production, processing, transportation, and
distribution of narcotic drugs and other
controlled substances; and
(B) the effective organization, staffing,
equipping, funding, and activation of those
governmental authorities responsible for
narcotics control;
(2) \406\ the term ``major illicit drug producing
country'' means a country in which--
---------------------------------------------------------------------------
\406\ Sec. 101(b)(2) of the International Narcotics Control
Corrections Act of 1994 (Public Law 103-447; 108 Stat. 4691) amended
and restated para. (2), changing the measure of ``major illicit drug
producing country'' from quantity of production to acreage devoted to
production. Previously, sec. 17(e) of the International Narcotics
Control Act of 1989 (Public Law 101-231; 103 Stat. 1965) restated para.
(2), adding emphasis on illicit production.
---------------------------------------------------------------------------
(A) 1,000 hectares or more of illicit opium
poppy is cultivated or harvested during a year;
(B) 1,000 hectares or more of illicit coca is
cultivated or harvested during a year; or
(C) 5,000 hectares or more of illicit
cannabis is cultivated or harvested during a
year, unless the President determines that such
illicit cannabis production does not
significantly affect the United States;
(3) the term ``narcotic and psychotropic drugs and
other controlled substances'' has the same meaning as
is given by any applicable international narcotics
control agreement or domestic law of the country of
countries concerned;
(4) \407\ the term ``United States assistance''
means--
---------------------------------------------------------------------------
\407\ Sec. 5(b) of the International Narcotics Control Act of 1992
(Public Law 102-583; 106 Stat. 4931) amended and restated par. (4).
---------------------------------------------------------------------------
(A) any assistance under this Act (including
programs under title IV of chapter 2, relating
to the Overseas Private Investment
Corporation), other than--
(i) assistance under this chapter,
(ii) any other narcotics-related
assistance under this part (including
chapter 4 of part II), but any such
assistance provided under this clause
shall be subject to the prior
notification procedures applicable to
reprogrammings pursuant to section 634A
of this Act,
(iii) disaster relief assistance,
including any assistance under chapter
9 of this part,
(iv) assistance which involves the
provision of food (including
monetization of food) or medicine, and
(v) assistance for refugees;
(B) sales, or financing on any terms, under
the Arms Export Control Act;
(C) the provision of agricultural
commodities, other than food, under the
Agricultural Trade Development and Assistance
Act of 1954; and
(D) financing under the Export-Import Bank
Act of 1945;
(5) \408\ the term ``major drug-transit country''
means a country--
---------------------------------------------------------------------------
\408\ Para. (5) was added by sec. 2005(c)(3) of Public Law 95-570
(100 Stat. 3207-63).
---------------------------------------------------------------------------
(A) that is a significant direct source of
illicit narcotic or psychotropic drugs or other
controlled substances significantly affecting
the United States; or \409\
---------------------------------------------------------------------------
\409\ Sec. 1519(c) of the Housing and Community Development Act of
1992 (Public Law 102-550; 106 Stat. 4060) (1) inserted ``or'' at the
end of subpar. (A); (2) struck out ``or'' at the end of subpar. (B) and
inserted a period (but did not strike out semicolon); and (3) struck
out subpar. (C), which formerly read ``(C) through which significant
sums of drug-related profits or monies are laundered with the knowledge
or complicity of the government.''.
---------------------------------------------------------------------------
(B) through which are transported such drugs
or substances; \410\
---------------------------------------------------------------------------
\410\ Sec. 11(a) of the International Narcotics Control Act of 1992
(Public Law 102-583; 106 Stat. 4934) struck out a period at the end of
par. 5; inserted ``; and'' (resulting in double punctuation); and added
par. (6). Subsequently, sec. 101(b) of the International Narcotics
Control Corrections Act of 1994 (Public Law 103-447; 108 Stat. 4691)
struck out ``; and'', redesignated para. (6) as para. (8), and added
new paras. (6) and (7).
---------------------------------------------------------------------------
(6) \410\ the term ``precursor chemical'' has the
same meaning as the term ``listed chemical'' has under
paragraph (33) of section 102 of the Controlled
Substances Act (21 U.S.C. 802(33); \411\
---------------------------------------------------------------------------
\411\ Para. (33) of section 102 of the Controlled Substances Act
(21 U.S.C. 802(33) defines ``listed chemical'' as ``any list I chemical
or any list II chemical''. List I chemicals are listed in para. (34) of
that section; list II chemicals in para. (35).
---------------------------------------------------------------------------
(7) \410\ the term ``major money laundering country''
means a country whose financial institutions engage in
currency transactions involving significant amounts of
proceeds from international narcotics trafficking; and
(8) \410\ the term ``appropriate congressional
committees'' means the Committee on Foreign Affairs
\412\ and the Committee on Appropriations of the House
of Representatives and the Committee on Foreign
Relations and the Committee on Appropriations of the
Senate.
---------------------------------------------------------------------------
\412\ Sec. 1(a)(5) of Public Law 104-14 (109 Stat. 186) provided
that references to the Committee on Foreign Affairs of the House of
Representatives shall be treated as referring to the Committee on
International Relations of the House of Representatives.
---------------------------------------------------------------------------
Sec. 482.\413\ Authorization.--(a) \414\ (1) To carry out
the purposes of section 481, there are authorized to be
appropriated to the President $147,783,000 for fiscal year 1993
and $171,500,000 for fiscal year 1994.\415\
---------------------------------------------------------------------------
\413\ 22 U.S.C. 2291a. Sec. 482, as added by sec. 503 of the
Foreign Relations Authorization Act of 1972, was amended and restated
by sec. 3 of the International Security Assistance Act of 1977 (Public
Law 95-92; 91 Stat. 614). It formerly read as follows:
``Sec. 482. Authorization.--To carry out the purposes of section
481, there are authorized to be appropriated to the President
$42,500,000 for each of the fiscal years 1974 and 1975, $40,000,000 for
the fiscal year 1976, no part of which may be obligated for or on
behalf of any country where illegal traffic in opiates has been a
significant problem unless and until the President determines and
certifies in writing to the Speaker of the House of Representatives and
the chairman of the Committee on Foreign Relations of the Senate that
assistance furnished to such country pursuant to the authority in this
chapter is significantly reducing the amount of illegal opiates
entering the international market, and not to exceed $34,000,000 for
the fiscal year 1977. Amounts appropriated under this section are
authorized to remain available until expended.''.
\414\ Subsection designation ``(a)'' and the original text of
subsec. (b) were added by sec. 5(b) of the International Security
Assistance Act of 1978 (Public Law 95-384; 92 Stat. 731). Subsec. (a)
was further amended and restated by sec. 3 of the International
Security Assistance Act of 1979 (Public Law 96-92; 93 Stat. 701); and
further amended by Sec. 402(a) of the International Security and
Development Cooperation Act of 1980 (Public Law 96-533; 94 Stat. 3149).
The 1980 amendment, in addition to other changes in subsection (a),
struck out a paragraph which had earmarked $16 million for Colombia
during fiscal year 1980 for a variety of items used in the interdiction
of drug traffic.
Subsec. (a) was further amended and restated when sec. 502(c) of
the International Security and Development Cooperation Act of 1981
(Public Law 97-113; 95 Stat. 1539) substituted the authorization levels
for fiscal years 1982 and 1983 in lieu of the figure for fiscal year
1981 and deleted a paragraph limiting the fiscal year 1981 U.S.
contribution to the U.N. Fund for Drug Abuse Control to $3,000,000 or
50 percent of total contributions, whichever is less.
Subsec. (a) was further amended when sec. 4201 of the International
Narcotics Control Act of 1988 (Public Law 100-690; 102 Stat. 4267) set
the fiscal year 1989 authorization level and struck out the following:
``In addition to the amounts authorized by the preceding sentence,
there are authorized to be appropriated to the President $45,000,000
for the fiscal year to 1987 to carry out the purposes of section 481,
except that funds may be appropriated pursuant to this additional
authorization only if the President has submitted to the Congress a
detailed plan for the expenditure of those funds, including a
description of how regional cooperation on narcotics control matters
would be promoted by the use of those funds. Of the funds authorized to
be appropriated by the preceding sentence, not less that $10,000,000
shall be available only to provide helicopters or other aircraft to
countries receiving assistance for fiscal year 1987 under this chapter.
These funds shall be used primarily for aircraft which will be based in
Latin America for use for narcotics control eradication and
interdiction efforts throughout the region. These aircraft shall be
used solely for narcotics control, eradication, and interdiction
efforts.''.
Para. (3) subsec. (a), added by sec. 614 of the International
Security and Development Cooperation Act of 1985 (Public Law 99-83; 99
Stat. 231), was struck out by the International Narcotics Control Act
of 1988. It previously read as follows:
``(3) Funds authorized to be appropriated by this section for
fiscal year 1986 and for fiscal year 1987 may be used for a
contribution to the United Nations Fund for Drug Abuse Control only if
that organization includes in its crop substitution projects a plan for
cooperation with the law enforcement forces of the host country.''.
\415\ Authorizations under sec. 482 during recent years included
the following: fiscal year 1975--$42,500,000; fiscal year 1976--
$40,000,000; fiscal year 1977--$34,000,000; fiscal year 1978--
$39,000,000; fiscal year 1979--$40,000,000; fiscal year 1980--
$51,758,000; fiscal year 1981--$38,573,000; fiscal year 1982--
$37,700,000; fiscal year 1983--$37,700,000; fiscal year 1984--
$47,000,000; fiscal year 1985--no authorization; fiscal years 1995
through 1999--no authorization.
Sec. 602 of the International Security and Development Cooperation
Act of 1985 (Public Law 99-83; 99 Stat. 228), added the authorizations
for fiscal years 1986 ($57,529,000) and 1987 ($75,445,000). The
authorization amount for 1987 was subsequently amended by sec. 401 of
Public Law 99-529 and by sec. 2002(1) of Public Law 99-570 (100 Stat.
3207-60). Sec. 16 of the International Narcotics Control Act of 1989
(Public Law 101-231; 103 Stat. 1964) added authorization for fiscal
year 1990 ($115,000,000). Sec. 5 of the International Narcotics Control
Act of 1990 (Public Law 101-623; 104 Stat. 3354) authorized
$150,000,000 for fiscal year 1991. Sec. 3 of the International
Narcotics Control Act of 1992 (Public Law 102-583; 106 Stat. 4914)
added authorization for fiscal years 1993 and 1994.
Congress did not enact an authorization for fiscal year 1999.
Instead, the Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1999 (division A, sec. 101(d) of Public Law 105-
277; 112 Stat. 2681), waived the requirements for authorization, and
title II of that Act provided the following:
---------------------------------------------------------------------------
``Department of State
``international narcotics control and law enforcement
---------------------------------------------------------------------------
``For necessary expenses to carry out section 481 of the Foreign
Assistance Act of 1961, $261,000,000: Provided, That none of the funds
under this heading may be made available to establish or operate an
International Law Enforcement Academy for the Western Hemisphere
outside the United States: Provided further, That in addition to any
funds previously made available for an International Law Enforcement
Academy for the Western Hemisphere, not less than $5,000,000 should be
made available to establish and operate the International Law
Enforcement Academy for the Western Hemisphere at the deBremond
Training Center in Roswell, New Mexico: Provided further, That during
fiscal year 1999, the Department of State may also use the authority of
section 608 of the Foreign Assistance Act of 1961, without regard to
its restrictions, to receive excess property from an agency of the
United States Government for the purpose of providing it to a foreign
country under chapter 8 of part I of that Act subject to the regular
notification procedures of the Committees on Appropriations.''.
See also the following sections in Public Law 105-277: under title
V--sec. 512--Limitation on Assistance to Countries in Default; sec.
515--Notification Requirements; sec. 542--Anti-Narcotics Activities;
sec. 559--Special Debt Relief for the Poorest; sec. 561--Limitation on
Assistance for Haiti; and sec. 562--Requirement for Disclosure of
Foreign Aid in Report of Secretary of State.
---------------------------------------------------------------------------
(2) Amounts appropriated under this subsection are
authorized to remain available until expended.
(b) \416\ Procurement of Weapons and Ammunition.--
---------------------------------------------------------------------------
\416\ Sec. 4(e) of the International Narcotics Control Act of 1992
(Public Law 102-583; 106 Stat. 4915) amended and restated subsec. (b).
Subsection (b) was originally added by sec. 5(b) of the International
Security Assistance Act of 1978.
---------------------------------------------------------------------------
(1) Prohibition.--Except as provided in paragraph
(2), funds made available to carry out this chapter
shall not be made available for the procurement of
weapons or ammunition.
(2) Exceptions.--Paragraph (1) shall not apply with
respect to funds for the procurement of--
(A) weapons or ammunition provided only for
the defensive arming of aircraft used for
narcotics-related purposes, or
(B) firearms and related ammunition provided
only for defensive purposes to employees or
contract personnel of the Department of State
engaged in activities under this chapter,
if, at least 15 days before obligating those funds, the
President notifies the appropriate congressional
committees in accordance with the procedures applicable
to reprogramming notifications under section 634A.
(c) \417\ Contributions and Reimbursement.--(1) To \418\
ensure local commitment to the activities assisted under this
chapter, a country receiving assistance under this chapter
should bear an appropriate share of the costs of any narcotics
control program, project, or activity for which such assistance
is to be provided. A country may bear such costs on an ``in
kind'' basis.
---------------------------------------------------------------------------
\417\ Redesignated from subsec. (d) by sec. 6(b)(4) of the
International Narcotics Control Act of 1992 (Public Law 102-583; 106
Stat. 4932). Originally added by sec. 608 of Public Law 99-83 (99 Stat.
229); amended and restated by sec. 17(g) of the International Narcotics
Control Act of 1989.
\418\ Sec. 131(b)(1) of Public Law 104-164 (110 Stat. 1429) struck
out ``Contribution by Recipient Country.--To'' and inserted in lieu
thereof ``Contributions and Reimbursement.--(1) To''.
---------------------------------------------------------------------------
(2) \419\ (A) The President is authorized to accept
contributions from foreign governments to carry out the
purposes of this chapter. Such contributions shall be deposited
as an offsetting collection to the applicable appropriation
account and may be used under the same terms and conditions as
funds appropriated pursuant to this chapter.
---------------------------------------------------------------------------
\419\ Sec. 131(b)(2) of Public Law 104-164 (110 Stat. 1429) added
paras. (2) and (3).
---------------------------------------------------------------------------
(B) At the time of submission of the annual
congressional presentation documents required by
section 634(a), the President shall provide a detailed
report on any contributions received in the preceding
fiscal year, the amount of such contributions, and the
purposes for which such contributions were used.
(3) \419\ The President is authorized to provide
assistance under this chapter on a reimbursable basis.
Such reimbursements shall be deposited as an offsetting
collection to the applicable appropriation and may be
used under the same terms and conditions as funds
appropriated pursuant to this chapter.
(d) \420\ Administrative Assistance.--(1) Except as
provided in paragraph (2), personnel funded pursuant to this
section are authorized to provide administrative assistance to
personnel assigned to the bureau designated by the Secretary of
State to replace the Bureau for International Narcotics
Matters.
---------------------------------------------------------------------------
\420\ Sec. 164(a) of the Foreign Relations Authorization Act,
Fiscal Years 1994 and 1995 (Public Law 103-236; 108 Stat. 411), added
subsec. (d).
---------------------------------------------------------------------------
(2) Paragraph (1) shall not apply to the extent that it
would result in a reduction in funds available for
antinarcotics assistance to foreign countries.
(e) \421\ Advance Notification of Transfer of Seized
Assets.--The President shall notify the appropriate
congressional committees at least 10 days prior to any transfer
by the United States Government to a foreign country for
narcotics control purposes of any property or funds seized by
or otherwise forfeited to the United States Government in
connection with narcotics-related activity.
---------------------------------------------------------------------------
\421\ Sec. 101(c) of the International Narcotics Control
Corrections Act of 1994 (Public Law 103-447; 108 Stat. 4692) added
subsec. (e).
---------------------------------------------------------------------------
(f) \422\ Treatment of Funds.--Funds transferred to and
consolidated with funds appropriated pursuant to this chapter
may be made available on such terms and conditions as are
applicable to funds appropriated pursuant to this chapter.
Funds so transferred or consolidated shall be apportioned
directly to the bureau within the Department of State
responsible for administering this chapter.
---------------------------------------------------------------------------
\422\ Sec. 131(c) of Public Law 104-164 (110 Stat. 1429) added
secs. (f) and (g).
---------------------------------------------------------------------------
(g) \422\ Excess Property.--For purposes of this chapter,
the Secretary of State may use the authority of section 608,
without regard to the restrictions of such section, to receive
nonlethal excess property from any agency of the United States
Government for the purpose of providing such property to a
foreign government under the same terms and conditions as funds
authorized to be appropriated for the purposes of this chapter.
Sec. 483.\423\ Prohibition on Use of Foreign Assistance for
Reimbursements for Drug Crop Eradications.--Funds made
available to carry out this Act may not be used to reimburse
persons whose illicit drug crops are eradicated.
---------------------------------------------------------------------------
\423\ 22 U.S.C. 2291b. Sec. 483 was added by sec. 609 of Public Law
99-83 (99 Stat. 230).
---------------------------------------------------------------------------
SEC. 484.\424\ REQUIREMENTS RELATING TO AIRCRAFT AND OTHER EQUIPMENT.
(a) Retention of Title to Aircraft.--
---------------------------------------------------------------------------
\424\ 22 U.S.C. 2291c. Sec. 4(f)(1) of the International Narcotics
Control Act of 1992 (Public Law 102-583; 106 Stat. 4916) amended and
restated sec. 484. Sec. 484 was originally added by sec. 2003 of the
International Narcotics Control Act of 1986, and amended by sec. 7 of
the International Narcotics Control Act of 1990.
---------------------------------------------------------------------------
(1) In general.--(A) Except as provided in paragraph
(2), any aircraft made available to a foreign country
under this chapter, or made available to a foreign
country primarily for narcotics-related purposes under
any other provision of law, shall be provided only on a
lease or loan basis.
(B) Subparagraph (A) applies to aircraft made
available at any time after October 27, 1986 (which was
the date of enactment of the International Narcotics
Control Act of 1986).
(2) Exceptions.--(A) Paragraph (1) shall not apply to
the extent that--
(i) the application of that paragraph with
respect to particular aircraft would be
contrary to the national interest of the United
States; and
(ii) the President notifies the appropriate
congressional committees in accordance with the
procedures applicable to reprogramming
notifications under section 634A.
(B) Paragraph (1) does not apply with respect to
aircraft made available to a foreign country under any
provision of law that authorizes property that has been
civilly or criminally forfeited to the United States to
be made available to foreign countries.
(3) Assistance for leasing of aircraft.--(A) For
purposes of satisfying the requirement of paragraph
(1), funds made available for the ``Foreign Military
Financing Program'' under section 23 of the Arms Export
Control Act may be used to finance the leasing of
aircraft under chapter 6 of that Act.
(B) Section 61(a)(3) of that Act shall not apply with
respect to leases so financed; rather the entire cost
of any such lease (including any renewals) shall be an
initial, one time payment of the amount which would be
the sales price for the aircraft if they were sold
under section 21(a)(1)(B) or section 22 of that Act (as
appropriate).
(C) To the extent that aircraft so leased were
acquired under chapter 5 of that Act, funds used
pursuant to this paragraph to finance such leases shall
be credited to the Special Defense Acquisition Fund
under chapter 5 of that Act (excluding the amount of
funds that reflects the charges described in section
21(e)(1) of that Act). The funds described in the
parenthetical clause of the preceding sentence shall be
available for payments consistent with sections 37(a)
and 43(b) of that Act.
(b)\425\ Permissible Uses of Aircraft and Other
Equipment.--The President shall take all reasonable steps to
ensure that aircraft and other equipment made available to
foreign countries under this chapter are used only in ways that
are consistent with the purposes for which such equipment was
made available.
---------------------------------------------------------------------------
\425\ Sec. 4(f)(2)(B) of the International Narcotics Control Act of
1992 (Public Law 102-583; 106 Stat. 4917) struck ``In General'' and
inserted in lieu thereof ``Permissible Uses of Aircraft and Other
Equipment''. Sec. 4(f)(2)(D) of that Act redesignated sec. 489(a) as
sec. 484(b).
---------------------------------------------------------------------------
(c) \426\ Reports.--In the reports submitted pursuant to
section 489(a),\427\ the President shall discuss--
---------------------------------------------------------------------------
\426\ Sec. 4(f)(2)(D) of the International Narcotics Control Act of
1992 (Public Law 102-583; 106 Stat. 4917) redesignated sec. 489(b) as
sec. 484(c).
\427\ Sec. 4(f)(2)(C) of the International Narcotics Control Act of
1992 (Public Law 102-583; 106 Stat. 4917) struck out ``subsection
(e)'', and inserted in lieu thereof ``section 489(a)''.
---------------------------------------------------------------------------
(1) any evidence indicating misuse by a foreign
country of aircraft or other equipment made available
under this chapter, and
(2) the actions taken by the United States Government
to prevent future misuse of such equipment by that
foreign country.
Sec. 485.\428\ Records of Aircraft Use.--(a) Requirement To
Maintain Records.--The President \429\ shall maintain detailed
records on the use of any aircraft made available to a foreign
country under this chapter, including aircraft made available
before the enactment of this section.
---------------------------------------------------------------------------
\428\ 22 U.S.C. 2291d. Sec. 485 was added by sec. 2003 of Public
Law 99-570 (100 Stat. 3207-61).
\429\ Sec. 4(f)(3) of the International Narcotics Control Act of
1992 (Public Law 102-583; 106 Stat. 4917) struck out ``Secretary of
State'' both places it appeared in sec. 485 and inserted in lieu
thereof ``President''.
---------------------------------------------------------------------------
(b) Congressional Access to Records.--The President shall
make the records maintained pursuant to subsection (a)
available to the Congress upon a request of the Chairman of the
Committee on Foreign Affairs \430\ of the House of
Representatives or the Chairman of the Committee on Foreign
Relations of the Senate.
---------------------------------------------------------------------------
\430\ Sec. 1(a)(5) of Public Law 104-14 (109 Stat. 186) provided
that references to the Committee on Foreign Affairs of the House of
Representatives shall be treated as referring to the Committee on
International Relations of the House of Representatives.
---------------------------------------------------------------------------
Sec. 486.\431\ Reallocation of Funds Withheld from
Countries Which Fail to Take Adequate Steps to Halt Illicit
Drug Production or Trafficking.
---------------------------------------------------------------------------
\431\ 22 U.S.C. 2291e. Sec. 486 was added by sec. 4206(a) of the
International Narcotics Control Act of 1988 (Public Law 100-690; 102
Stat. 4270). Sec. 4206(b) of the same act stipulated the following:
``(1) The amendment made by subsection (a) of this section
supersedes section 578(d) of the Foreign Operations, Export Financing,
and Related Programs Appropriations Act, 1989 (Public Law 100-461).
``(2) Funds may be transferred pursuant to paragraph (1) of section
486(a) of the Foreign Assistance Act of 1961 (as enacted by this
section) notwithstanding section 514 of the Foreign Operations, Export
Financing, and Related Programs Appropriations Act, 1989 (as amended by
section 589 of that Act), relating to transfers between accounts.''.
---------------------------------------------------------------------------
(a) \432\ If any funds authorized to be appropriated for
any fiscal year for assistance under this Act \433\ are not
used for assistance for the country for which those funds were
allocated because of the requirements of section 490 \434\ or
any other provision of law requiring the withholding of
assistance for countries that have not taken adequate steps to
halt illicit drug production or trafficking, the President
shall use those funds for additional assistance for those
countries which have met their illicit drug eradication targets
or have otherwise taken significant steps to halt illicit drug
production or trafficking, as follows:
---------------------------------------------------------------------------
\432\ Sec. 101(d)(1) of the International Narcotics Control
Corrections Act of 1994 (Public Law 103-447; 108 Stat. 4692) struck out
subsec. (a) catchline, which read ``Additional Assistance for Countries
Taking Significant Steps.--''.
\433\ Sec. 101(d)(2) of the International Narcotics Control
Corrections Act of 1994 (Public Law 103-447; 108 Stat. 4692) struck out
``security assistance'' and inserted in lieu thereof ``assistance under
this Act''.
\434\ Sec. 6(b)(5)(A) of the International Narcotics Control Act of
1992 (Public Law 102-583; 106 Stat. 4932) struck out ``481(h)'', and
inserted in lieu thereof ``490''.
---------------------------------------------------------------------------
(1) International narcotics control assistance.--
Those funds may be transferred to and consolidated with
the funds appropriated to carry out this chapter in
order to provide additional narcotics control
assistance for those countries. Funds transferred under
this paragraph may only be used to provide increased
funding for activities previously justified to the
Congress. Transfers may be made under this paragraph
without regard to the 20-percent increase limitation
contained in section 610(a). This paragraph does not
apply with respect to funds made available for
assistance under the Arms Export Control Act.
(2) Other \435\ assistance.--Any such funds not used
under paragraph (1) shall be reprogrammed within the
account for which they were appropriated (subject to
the regular reprogramming procedures under section
634A) in order to provide additional \436\ assistance
for those countries.
---------------------------------------------------------------------------
\435\ Sec. 101(d)(3)(A) of the International Narcotics Control
Corrections Act of 1994 (Public Law 103-447; 108 Stat. 4692) struck out
``Security'' in the para. (2) catchline, and inserted in lieu thereof
``Other''. Sec. 101(d)(4) of that Act struck out subsec. (b) in this
section, which had provided a definition of ``security assistance''.
\436\ Sec. 101(d)(3)(B) of the International Narcotics Control
Corrections Act of 1994 (Public Law 103-447; 108 Stat. 4692) struck out
``security'' here.
---------------------------------------------------------------------------
Sec. 487.\437\ Prohibition on Assistance to Drug
Traffickers.
---------------------------------------------------------------------------
\437\ 22 U.S.C. 2291f. Sec. 487 was added by sec. 4503 of the
International Narcotics Control Act of 1988 (Public Law 100-690; 102
Stat. 4285).
---------------------------------------------------------------------------
(a) Prohibition.--The President shall take all reasonable
steps to ensure that assistance under this Act and the Arms
Export Control Act is not provided to or through any individual
or entity that the President knows or has reason to believe--
(1) has been convicted of a violation of, or a
conspiracy to violate, any law or regulation of the
United States, a State or the District of Columbia, or
a foreign country relating to \438\ narcotic or
psychotropic drugs or other controlled substances;
\439\ or
---------------------------------------------------------------------------
\438\ Sec. 101(e) of the International Narcotics Control
Corrections Act of 1994 (Public Law 103-447; 108 Stat. 4692) inserted
``to'' after ``relating''.
\439\ Sec. 6(b)(6) of the International Narcotics Control Act of
1992 (Public Law 102-583; 106 Stat. 4932) struck out ``(as defined in
section 481(i)(3) of this Act)'' preceding the semicolon.
---------------------------------------------------------------------------
(2) is or has been an illicit trafficker in any such
controlled substance or is or has been a knowing
assistor, abettor, conspirator, or colluder with others
in the illicit trafficking in any such substance.
(b) \440\ Regulations.--The President shall issue
regulations specifying the steps to be taken in carrying out
this section.
---------------------------------------------------------------------------
\440\ The Bureau of International Narcotics Matters, Department of
State, issued regulations to implement sec. 487 in Public Notice 2840
(22 CFR Part 140; 63 F.R. 36571; July 7, 1998). The initial proposed
rule was issued in Public Notice 2159 (60 F.R. 7737; February 9, 1995).
---------------------------------------------------------------------------
(c) Congressional Review of Regulations.--Regulations
issued pursuant to subsection (b) shall be submitted to the
Congress before they take effect.
SEC. 488.\441\ LIMITATIONS ON ACQUISITION OF REAL PROPERTY AND
CONSTRUCTION OF FACILITIES.
(a) Acquisition of Real Property.--
---------------------------------------------------------------------------
\441\ 22 U.S.C. 2291g. Sec. 4(g) of the International Narcotics
Control Act of 1992 (Public Law 102-583; 106 Stat. 4917) amended and
restated sec. 488. It was originally added by sec. 4505 of the
International Narcotics Control Act of 1988.
---------------------------------------------------------------------------
(1) Prohibition.--Funds made available to carry out
this chapter may not be used to acquire (by purchase or
other means) any land or other real property for use by
foreign military, paramilitary, or law enforcement
forces.
(2) Exception for certain leases.--Paragraph (1)
shall not apply to the acquisition of real property by
lease of a duration not to exceed 2 years.
(3) Report.--The Secretary of State shall provide to
the Committee on Foreign Affairs \442\ of the House of
Representatives and the Committee on Foreign Relations
of the Senate within 30 days after the end of each
quarter of the fiscal year a detailed report on all
leases entered into pursuant to paragraph (2),
including the cost and duration of such lease, a
description of the property leased, and the purpose for
which such lease was entered into.
---------------------------------------------------------------------------
\442\ Sec. 1(a)(5) of Public Law 104-14 (109 Stat. 186) provided
that references to the Committee on Foreign Affairs of the House of
Representatives shall be treated as referring to the Committee on
International Relations of the House of Representatives.
---------------------------------------------------------------------------
(b) Construction of Facilities.--
(1) Limitation.--Funds made available to carry out
this chapter may not be used for construction of
facilities for use by foreign military, paramilitary,
or law enforcement forces unless, at least 15 days
before obligating funds for such construction, the
President notifies the appropriate congressional
committees in accordance with procedures applicable to
reprogramming notifications under section 634A.
(2) Exception.--Paragraph (1) shall not apply to the
construction of facilities which would require the
obligation of less than $750,000 under this chapter.
SEC. 489.\443\ REPORTING REQUIREMENTS.
(a) International Narcotics Control Strategy Report.--Not
later than March 1 \444\ of each year, the President shall
transmit to the Speaker of the House of Representatives, and to
the Committee on Foreign Relations of the Senate, a report
containing the following:
---------------------------------------------------------------------------
\443\ 22 U.S.C. 2291h. Added by sec. 5(a) of the International
Narcotics Control Act of 1992 (Public Law 102-583; 106 Stat. 4917).
Sec. 101(f)(1)(A) of the International Narcotics Control
Corrections Act of 1994 (Public Law 103-447; 108 Stat. 4692) struck out
``FOR FISCAL YEARS 1993 AND 1994'' from the section heading and
inserted in lieu thereof ``FOR FISCAL YEAR 1995''. Sec. 1112(c)(1) of
Public Law 104-66 (109 Stat. 707) struck out ``FOR FISCAL YEAR 1995''.
The original sec. 489 was added by sec. 4507 of the International
Narcotics Control Act of 1988 (Public Law 100-690; 102 Stat. 4286).
Sec. 4(f)(2) of the International Narcotics Control Act of 1992 (Public
Law 102-583; 106 Stat. 4917) struck out subsecs. (c) and (d) of the
original sec. 489, and restated sec. 489, subsecs. (a) and (b), as sec.
484, subsecs. (c) and (d).
Subsec. (c) of this sec. was struck out by sec. 1112(c)(2) of
Public Law 104-66 (109 Stat. 707). Originally enacted as subsec. (d),
redesignated as subsec. (c) by sec. 101(f)(1)(D) of the International
Narcotics Control Corrections Act of 1994 (Public Law 103-447; 108
Stat. 4692). Subsec. (c) formerly read as follows:
``Effective Date of Sections.--This section applies only during
fiscal year 1995. Section 489A does not apply during that fiscal
year.''.
\444\ Sec. 101(f)(1)(B)(i) of the International Narcotics Control
Corrections Act of 1994 (Public Law 103-447; 108 Stat. 4692) struck out
``April 1'' in subsec. (a), and inserted in lieu thereof ``March 1''.
---------------------------------------------------------------------------
(1) For each country that received assistance under
this chapter for either of the 2 preceding fiscal
years, a report on the extent to which the country
has--
(A) met the goals and objectives of the
United Nations Convention Against Illicit
Traffic in Narcotic Drugs and Psychotropic
Substances, including action on such issues as
illicit cultivation, production, distribution,
sale, transport, and financing, and money
laundering, asset seizure, extradition, mutual
legal assistance, law enforcement and transit
cooperation, precursor chemical control, and
demand reduction;
(B) accomplished the goals described in an
applicable bilateral narcotics agreement with
the United States or a multilateral agreement;
and
(C) taken legal and law enforcement measures
to prevent and punish public corruption,
especially by senior government officials, that
facilitates the production, processing, or
shipment of narcotic and psychotropic drugs and
other controlled substances, or that
discourages the investigation or prosecution of
such acts.
(2)(A) A description of the policies adopted,
agreements concluded, and programs implemented by the
Department of State in pursuit of its delegated
responsibilities for international narcotics control,
including appropriate information on the status of
negotiations between the United States and other
countries on updated extradition treaties, mutual legal
assistance treaties, precursor chemical controls, money
laundering, and agreements pursuant to section 2015 of
the International Narcotics Act of 1986 (relating to
interdiction procedures for vessels of foreign
registry).
(B) Information on multilateral and bilateral
strategies with respect to money laundering pursued by
the Department of State, the Department of Justice, the
Department of the Treasury, and other relevant United
States Government agencies, either collectively or
individually, to ensure the cooperation of foreign
governments with respect to narcotics-related money
laundering and to demonstrate that all United States
Government agencies are pursuing a common strategy with
respect to major money laundering countries. The report
shall include specific detail to demonstrate that all
United States Government agencies are pursuing a common
strategy with respect to achieving international
cooperation against money laundering and are pursuing a
common strategy with respect to major money laundering
countries, including a summary of United States
objectives on a country-by-country basis.
(3) \445\ The identity of those countries which are--
---------------------------------------------------------------------------
\445\ Sec. 101(f)(1)(B)(ii) struck out subpara. (B), and
redesignated subparas. (C) and (D) as subparas. (B) and (C). Subpara.
(B) formerly read as follows:
``(B) the significant direct or indirect sources of narcotics and
psychotropic drugs and other controlled substances significantly
affecting the United States;''.
---------------------------------------------------------------------------
(A) major illicit drug producing countries or
major drug-transit countries as determined
under section 490(h);
(B) major sources of precursor chemicals used
in the production of illicit narcotics; or
(C) major money laundering countries.
(4) In addition, for each country identified pursuant
to paragraph (3), the following:
(A) A description of the plans, programs, and
timetables adopted by such country, including
efforts to meet the objectives of the United
Nations Convention Against Illicit Traffic in
Narcotic Drugs and Psychotropic Substances, and
a discussion of the adequacy of the legal and
law enforcement measures taken and the
accomplishments achieved in accord with those
plans.
(B) Whether as a matter of government policy
or practice, such country encourages or
facilitates the illicit production or
distribution of narcotic or psychotropic drugs
or other controlled substances or the
laundering of proceeds from illegal drug
transactions; and whether any senior official
of the government of such country engages in,
encourages, or facilitates the illicit
production or distribution of such drugs or
substances, or the laundering of proceeds from
illegal drug transactions.
(5) In addition, for each country identified pursuant
to paragraph (3)(A) or (3)(B), a detailed status
report, with such information as can be reliably
obtained, on the narcotic or psychotropic drugs or
other controlled substances which are being cultivated,
produced, or processed in or transported through such
country, noting significant changes in conditions, such
as increases or decreases in the illicit cultivation
and manufacture of and traffic in such drugs and
substances.
(6) In addition, for those countries identified
pursuant to paragraph (3)(C)--
(A) which countries are parties to
international agreements on a method for
maintaining records of transactions of an
established list of precursor and essential
chemicals;
(B) which countries have established a
procedure by which such records may be made
available to United States law enforcement
authorities; and
(C) which countries have enacted national
chemical control legislation which would impose
specific recordkeeping and reporting
requirements for listed chemicals, establish a
system of permits or declarations for imports
and exports of listed chemicals, and authorize
government officials to seize or suspend
shipments of listed chemicals.
(7) In addition, for those countries identified
pursuant to paragraph (3)(D) the following:
(A)(i) Which countries have financial
institutions engaging in currency transactions
involving international narcotics trafficking
proceeds that include significant amounts of
United States currency or currency derived from
illegal drug sales in the United States or that
otherwise significantly affect the United
States;
(ii) which countries identified pursuant to
clause (i) have not reached agreement with the
United States authorities on a mechanism for
exchanging adequate records in connection with
narcotics investigations and proceedings; and
(iii) which countries identified pursuant to
clause (ii)--
(I) are negotiating in good faith
with the United States to establish
such a record-exchange mechanism, or
(II) have adopted laws or regulations
that ensure the availability to
appropriate United States Government
personnel and those of other
governments of adequate records in
connection with narcotics
investigations and proceedings.
(B) Which countries--
(i) have ratified the United Nations
Convention Against Illicit Traffic in
Narcotic Drugs and Psychotropic
Substances and are taking steps to
implement that Convention and other
applicable agreements and conventions
such as the recommendations of the
Financial Action Task Force, the policy
directive of the European Community,
the legislative guidelines of the
Organization of American States, and
other similar declarations; and
(ii) have entered into bilateral
agreements for the exchange of
information on money-laundering with
countries other than the United States.
(C) Findings on each country's adoption of
law and regulations considered essential to
prevent narcotics-related money laundering.
Such findings shall include whether a country
has--
(i) criminalized narcotics money
laundering;
(ii) required banks and other
financial institutions to know and
record the identity of customers
engaging in significant transactions,
including the recording of large
currency transactions at thresholds
appropriate to that country's economic
situation;
(iii) required banks and other
financial institutions to maintain, for
an adequate time, records necessary to
reconstruct significant transactions
through financial institutions in order
to be able to respond quickly to
information requests from appropriate
government authorities in narcotics-
related money laundering cases;
(iv) required or allowed financial
institutions to report suspicious
transactions;
(v) established systems for
identifying, tracing, freezing,
seizing, and forfeiting narcotics-
related assets;
(vi) enacted laws for the sharing of
seized narcotics assets with other
governments;
(vii) cooperated, when requested,
with appropriate law enforcement
agencies of other governments
investigating financial crimes related
to narcotics; and
(viii) addressed the problem on
international transportation of
illegal-source currency and monetary
instruments.
The report shall also detail instances of refusals to
cooperate with foreign governments, and any actions
taken by the United States Government and any
international organization to address such obstacles,
including the imposition of sanctions or penalties.
(b) Annual Reports on Assistance.--
(1) In general.--At the time that the report required
by subsection (a) is submitted each year, the Secretary
of State, in consultation with appropriate United
States Government agencies, shall report to the
appropriate committees of the Congress on the
assistance provided or proposed to be provided by the
United States Government during the preceding fiscal
year, the current fiscal year, and the next fiscal year
to support international efforts to combat illicit
narcotics production or trafficking.
(2) Information to be included.--Each report pursuant
to this subsection shall--
(A) specify the amount and nature of the
assistance provided or to be provided;
(B) include, for each country identified in
subsection (a)(3)(A), information from the Drug
Enforcement Administration, the Customs
Service, and the Coast Guard describing in
detail--
(i) the assistance provided or to be
provided to such country by that
agency, and
(ii) the assistance provided or to be
provided to that agency by such
country,
with respect to narcotic control efforts during
the preceding fiscal year, the current fiscal
year, and the next fiscal year; and
(C) list all transfers, which were made by
the United States Government during the
preceding fiscal year, to a foreign country for
narcotics control purposes of any property
seized by or otherwise forfeited to the United
States Government in connection with narcotics-
related activity, including an estimate of the
fair market value and physical condition of
each item of property transferred.
SEC. 489A.\446\ * * * [Repealed--1995]
---------------------------------------------------------------------------
\446\ Formerly at 22 U.S.C. 2291i. Sec. 1112 of Public Law 104-66
(109 Stat. 707) repealed secs. 489A--Reporting Requirements Applicable
After September 30, 1995--and 490A--Annual Certification Procedures
After September 30, 1995. That section also amended the section
catchlines of secs. 489 and 490, striking out ``for fiscal year 1995''
in each case. Sec. 489A was originally added by sec. 5(a) of the
International Narcotics Control Act of 1992 (Public Law 102-583; 106
Stat. 4917), the heading originally read ``Reporting Requirements
Applicable After September 30, 1994.''. Sec. 101(f)(2) of the
International Narcotics Control Corrections Act of 1994 (Public Law
103-447; 108 Stat. 4692) struck out ``1994'' and inserted in lieu
thereof ``1995''.
---------------------------------------------------------------------------
SEC. 490.\447\ ANNUAL CERTIFICATION PROCEDURES.
(a) Withholding of Bilateral Assistance and Opposition to
Multilateral Development Assistance.--
---------------------------------------------------------------------------
\447\ 22 U.S.C. 2291j. Added by sec. 5(a) of the International
Narcotics Control Act of 1992 (Public Law 102-583; 106 Stat. 4917), the
heading originally read ``ANNUAL CERTIFICATION PROCEDURES FOR FISCAL
YEARS 1993 AND 1994.''. Sec. 101(g)(1)(A) of the International
Narcotics Control Corrections Act of 1994 (Public Law 103-447; 108
Stat. 4692) struck out ``FOR FISCAL YEARS 1993 AND 1994'', and inserted
in lieu thereof ``FOR FISCAL YEAR 1995''. Sec. 1112(b) of Public Law
104-66 (109 Stat. 707) struck out ``FOR FISCAL YEAR 1995''.
Sec. 1112(d)(2) of Public Law 104-66 (104 Stat. 707) struck out
subsec. (i) to this section. Previously amended and restated by sec.
101(g)(1)(H) of the International Narcotics Control Corrections Act of
1994 (Public Law 103-447; 108 Stat. 4693), subsec. (i) most recently
read as follows:
``(i) Effective Dates of Sections.--This section applies only
during fiscal year 1995. Section 490A does not apply during that fiscal
year.''.
---------------------------------------------------------------------------
(1) Bilateral assistance.--Fifty percent of the
United States assistance allocated each fiscal year in
the report required by section 653 for each major
illicit drug producing country or major drug-transit
country \448\ shall be withheld from obligation and
expenditure, except as provided in subsection (b). This
paragraph shall not apply with respect to a country if
the President determines that its application to that
country would be contrary to the national interest of
the United States, except that any such determination
shall not take effect until at least 15 days after the
President submits written notification of that
determination to the appropriate congressional
committees in accordance with the procedures applicable
to reprogramming notifications under section 634A.
---------------------------------------------------------------------------
\448\ Sec. 101(g)(1)(B) of the International Narcotics Control
Corrections Act of 1994 (Public Law 103-447; 108 Stat. 4693) struck out
``(as determined under subsection (h))'' after ``major drug-transit
country''.
---------------------------------------------------------------------------
(2) Multilateral assistance.--The Secretary of the
Treasury shall instruct the United States Executive
Director of each multilateral development bank to vote,
on and after March 1 \449\ of each year, against any
loan or other utilization of the funds of their
respective institution to or for any major illicit drug
producing country or major drug-transit country (as
determined under subsection (h)), except as provided in
subsection (b). For purposes of this paragraph, the
term ``multilateral development bank'' means the
International Bank for Reconstruction and Development,
the International Development Association, the Inter-
American Development Bank, the Asian Development Bank,
the African Development Bank, and the European Bank for
Reconstruction and Development.
---------------------------------------------------------------------------
\449\ Sec. 101(g)(1)(C) of the International Narcotics Control
Corrections Act of 1994 (Public Law 103-447; 108 Stat. 4693) struck out
``April 1'' and inserted in lieu thereof ``March 1''.
---------------------------------------------------------------------------
(b) \450\ Certification Procedures.--
---------------------------------------------------------------------------
\450\ In Presidential Determination No. 99-15 issued on February
26, 1999 (64 F.R. 11319), the President stated the following:
``Pursuant to Section 490(b)(1)(A) of the Foreign Assistance Act of
1961, as amended (`the Act'), I hereby determine and certify that the
following major illicit drug producing and/or major illicit drug
transit countries/dependent territories have cooperated fully with the
United States, or have taken adequate steps on their own, to achieve
full compliance with the goals and objectives of the 1988 United
Nations Convention Against Illicit Traffic in Narcotic Drugs and
Psychotropic Substances:
---------------------------------------------------------------------------
``Aruba, The Bahamas, Belize, Bolivia, Brazil, China,
Colombia, Dominican Republic, Ecuador, Guatemala, Hong Kong,
India, Jamaica, Laos, Mexico, Pakistan, Panama, Peru, Taiwan,
Thailand, Venezuela, and Vietnam.
---------------------------------------------------------------------------
``Pursuant to Section 490(b)(1)(B) of the Act, I hereby determine
that it is in the vital national interests of the United States to
certify the following major illicit drug producing and/or major illicit
drug transit countries:
---------------------------------------------------------------------------
``Cambodia, Haiti, Nigeria, and Paraguay.
---------------------------------------------------------------------------
``Analysis of the relevant U.S. vital national interests, as
required under Section 490(b)(3) of the Act, is attached.
I have determined that the following major illicit drug producing
and/or major illicit drug transit countries do not meet the standards
set forth in Section 490(b) for certification:
---------------------------------------------------------------------------
``Afghanistan, Burma.
---------------------------------------------------------------------------
``In making these determinations, I have considered the factors set
forth in Section 490 of the Act. Given that the performance of each of
these countries/dependent territories has differed, I have attached an
explanatory statement for each of the countries/dependent territories
subject to this determination.''.
---------------------------------------------------------------------------
(1) What must be certified.--Subject to subsection
(d), the assistance withheld from a country pursuant to
subsection (a)(1) may be obligated and expended, and
the requirement of subsection (a)(2) to vote against
multilateral development bank assistance to a country
shall not apply, if the President determines and
certifies to the Congress, at the time of the
submission of the report required by section 489(a),
that--
(A) \450\ during the previous year the
country has cooperated fully with the United
States, or has taken adequate steps on its own,
to achieve full compliance with the goals and
objectives established by the United Nations
Convention Against Illicit Traffic in Narcotic
Drugs and Psychotropic Substances; or
(B) \450\ for a country that would not
otherwise qualify for certification under
subparagraph (A), the vital national interests
of the United States require that the
assistance withheld pursuant to subsection
(a)(1) be provided and that the United States
not vote against multilateral development bank
assistance for that country pursuant to
subsection (a)(2).
(2) Considerations regarding cooperation.--In making
the determination described in paragraph (1)(A), the
President shall consider the extent to which the
country has--
(A) met the goals and objectives of the
United Nations Convention Against Illicit
Traffic in Narcotic Drugs and Psychotropic
Substances, including action on such issues as
illicit cultivation, production, distribution,
sale, transport and financing, and money
laundering, asset seizure, extradition, mutual
legal assistance, law enforcement and transit
cooperation, precursor chemical control, and
demand reduction;
(B) accomplished the goals described in an
applicable bilateral narcotics agreement with
the United States or a multilateral agreement;
and
(C) taken legal and law enforcement measures
to prevent and punish public corruption,
especially by senior government officials, that
facilitates the production, processing, or
shipment of narcotic and psychotropic drugs and
other controlled substances, or that
discourages the investigation or prosecution of
such acts.
(3) \450\ Information to be included in national
interest certification.--If the President makes a
certification with respect to a country pursuant to
paragraph (1)(B), the President shall include in such
certification--
(A) a full and complete description of the
vital national interests placed at risk if
United States bilateral assistance to that
country is terminated pursuant to this section
and multilateral development bank assistance is
not provided to such country; and
(B) a statement weighing the risk described
in subparagraph (A) against the risks posed to
the vital national interests of the United
States by the failure of such country to
cooperate fully with the United States in
combating narcotics or to take adequate steps
to combat narcotics on its own.
(c) Licit Opium Producing Countries.--The President may make
a certification under subsection (b)(1)(A) with respect to a
major illicit drug producing country, or major drug-transit
country, that is a producer of licit opium only if the
President determines that such country maintains licit
production and stockpiles at levels no higher than those
consistent with licit market demand, and has taken adequate
steps to prevent significant diversion of its licit cultivation
and production into the illicit markets and to prevent illicit
cultivation and production.\451\
---------------------------------------------------------------------------
\451\ Sec. 101(g)(1)(D) of the International Narcotics Control
Corrections Act of 1994 (Public Law 103-447; 108 Stat. 4693) struck out
``that such country has taken adequate steps to prevent significant
diversion of its licit cultivation and production into the illicit
market, maintains production and stockpiles at levels no higher than
those consistent with licit market demand, and prevents illicit
cultivation and production.'', and inserted in lieu thereof ``that such
country maintains licit production and stockpiles at levels no higher
than those consistent with licit market demand, and has taken adequate
steps to prevent significant diversion of its licit cultivation and
production into the illicit markets and to prevent illicit cultivation
and production.''.
---------------------------------------------------------------------------
(d) Congressional Review.--Subsection (e) shall apply if,
within 30 \452\ calendar days after receipt of a certification
submitted under subsection (b) at the time of submission of the
report required by section 489(a), the Congress enacts a joint
resolution disapproving the determination of the President
contained in such certification.
---------------------------------------------------------------------------
\452\ Sec. 101(g)(1)(E) of the International Narcotics Control
Corrections Act of 1994 (Public Law 103-447; 108 Stat. 4693) struck out
``45'' and inserted in lieu thereof ``30''.
---------------------------------------------------------------------------
(e) Denial of Assistance for Countries Decertified.--If the
President does not make a certification under subsection (b)
with respect to a country or the Congress enacts a joint
resolution disapproving such certification, then until such
time as the conditions specified in subsection (f) are
satisfied--
(1) funds may not be obligated for United States
assistance for that country, and funds previously
obligated for United States assistance for that country
may not be expended for the purpose of providing
assistance for that country; and
(2) the requirement to vote against multilateral
development bank assistance pursuant to subsection
(a)(2) shall apply with respect to that country,
without regard to the date specified in that
subsection.
(f) Recertification.--Subsection (e) shall apply to a country
described in that subsection until--
(1) the President, at the time of submission of the
report required by section 489(a), makes a
certification under subsection (b)(1)(A) or (b)(1)(B)
with respect to that country, and the Congress does not
enact a joint resolution under subsection (d)
disapproving the determination of the President
contained in that certification; or
(2) the President, at any other time, makes the
certification described in subsection (b)(1)(B) with
respect to that country, except that this paragraph
applies only if either--
(A) the President also certifies that--
(i) that country has undergone a
fundamental change in government, or
(ii) there has been a fundamental
change in the conditions that were the
reason--
(I) why the President had not
made a certification with
respect to that country under
subsection (b)(1)(A), or
(II) if he had made such a
certification and the Congress
enacted a joint resolution
disapproving the determination
contained in the certification,
why the Congress enacted that
joint resolution; or
(B) the Congress enacts a joint resolution
approving the determination contained in the
certification under subsection (b)(1)(B).
Any certification under subparagraph (A) of paragraph (2) shall
discuss the justification for the certification.
(g) \453\ Senate Procedures.--Any joint resolution under this
section shall be considered in the Senate in accordance with
the provisions of section 601(b) of the International Security
Assistance and Arms Export Control Act of 1976.
---------------------------------------------------------------------------
\453\ Subsec. (g) formerly read ``Congressional Review
Procedures.--(1) Senate.--''. Sec. 101(g)(1)(F) of the International
Narcotics Control Corrections Act of 1994 (Public Law 103-447; 108
Stat. 4693) struck this out, inserted ``Senate Procedures.--'', and
struck out para. (2), which had read as follows:
``(2) House of representatives.--For the purpose of expediting the
consideration and enactment of joint resolutions under this section, a
motion to proceed to the consideration of any such joint resolution
after it has been reported by the appropriate committee shall be
treated as highly privileged in the House of Representatives.''.
---------------------------------------------------------------------------
(h) \454\ Determining Major Drug-Transit and Major Illicit
Drug Producing Countries.--Not later than November 1 \454\ of
each year, the President shall notify the appropriate
committees of the Congress of which countries have been
determined to be major drug-transit countries, and which
countries have been determined to be major illicit drug
producing countries, for purposes of this Act.
---------------------------------------------------------------------------
\454\ Sec. 101(g)(1)(G) of the International Narcotics Control
Corrections Act of 1994 (Public Law 103-447; 108 Stat. 4693) struck out
``for Fiscal Years 1993 and 1994'' in the subsec. catchline, and struck
out ``January 1'' in lieu of ``November 1'' in the text.
---------------------------------------------------------------------------
SEC. 490A.\455\ * * * [Repealed--1995]
---------------------------------------------------------------------------
\455\ Formerly at 22 U.S.C. 2291k. Sec. 1112 of Public Law 104-66
(109 Stat. 707) repealed secs. 489A--Reporting Requirements Applicable
After September 30, 1995--and 490A--Annual Certification Procedures
After September 30, 1995. That section also amended the section
catchlines of secs. 489 and 490, striking out ``for fiscal year 1995''
in each case. Originally added by sec. 5(a) of the International
Narcotics Control Act of 1992 (Public Law 102-583; 106 Stat. 4917).
Sec. 101(g)(2)(A) of the International Narcotics Control
Corrections Act of 1994 (Public Law 103-447; 108 Stat. 4693) struck out
``1994'' from the section catchline, and inserted in lieu thereof
``1995''.
---------------------------------------------------------------------------
Chapter 9--International Disaster Assistance \456\
Sec. 491.\457\ Policy and General Authority.--(a) The
Congress, recognizing that prompt United States assistance to
alleviate human suffering caused by natural and manmade
disasters is an important expression of the humanitarian
concern and tradition of the people of the United States,
affirms the willingness of the United States to provide
assistance for the relief and rehabilitation of people and
countries affected by such disasters.
---------------------------------------------------------------------------
\456\ Sec. 101(1) of Public Law 94-161 (89 Stat. 849) inserted
``International Disaster Assistance'' in lieu of ``Refugee Relief
Assistance''.
\457\ 22 U.S.C. 2292. Sec. 491 was added by sec. 101(3) of Public
Law 94-161 (80 Stat. 849). An earlier sec. 491, which was added by sec.
109 of the FA Act of 1971, and repealed by sec. 101(2) of Public Law
94-161 (89 Stat. 849), read as follows:
``Sec. 491. Refugee Relief Assistance.--There is authorized to be
appropriated to the President for the fiscal year 1972, in addition to
funds otherwise available for such purposes, not to exceed
$250,000,000, to remain available until expended, for use by the
President in providing assistance for the relief and rehabilitation of
refugees from East Pakistan and for humanitarian relief in East
Pakistan. Such assistance shall be distributed, to the maximum extent
practicable, under the auspices of and by international institutions
and relief agencies or United States voluntary agencies.''.
---------------------------------------------------------------------------
(b) Subject to the limitations \458\ in section 492, and
notwithstanding any other provision of this or any other Act,
the President is authorized to furnish assistance to any
foreign country, international organization, or private
voluntary organization,\459\ on such terms and conditions as he
may determine, for international disaster relief and
rehabilitation, including assistance relating to disaster
preparedness, and to the prediction of, and contingency
planning for, natural disasters abroad.
---------------------------------------------------------------------------
\458\ The words ``on appropriations'' which previously appeared at
this point, were struck out by sec. 404(b) of the International
Security and Development Cooperation Act of 1980 (Public Law 96-533; 94
Stat. 3150).
\459\ The words, ``international organization, or private voluntary
organization,'' were inserted in lieu of ``or international
organization'' by sec. 118(a) of the International Development and Food
Assistance Act of 1978 (Public Law 95-424; 92 Stat. 953).
---------------------------------------------------------------------------
(c) In carrying out the provisions of this section the
President shall insure that the assistance provided by the
United States shall, to the greatest extent possible, reach
those most in need of relief and rehabilitation as a result of
natural and manmade disasters.
Sec. 492.\460\ Authorization.--(a) \461\ There are
authorized to be appropriated to the President to carry out
section 491, $25,000,000 for the fiscal year 1986 and
$25,000,000 for the fiscal year 1987.\462\ Amounts appropriated
under this section are authorized to remain available until
expended.\463\
---------------------------------------------------------------------------
\460\ 22 U.S.C. 2292a. Sec. 492 was added by sec. 101(3) of Public
Law 94-161 (89 Stat. 849).
\461\ The subsection designation ``(a)'' and a new subsec. (b) were
added by sec. 404(a) of the International Security and Development
Cooperation Act of 1980 (Public Law 96-533; 94 Stat. 3150).
\462\ The authorization figures for fiscal years 1986 and 1987 were
inserted by sec. 404 of the International Security and Development
Cooperation Act of 1985. (Public Law 99-83; 99 Stat. 219).
Authorizations under Sec. 492 in recent years included the following:
fiscal year 1979--$25,000,000; fiscal year 1980--$21,800,000; fiscal
year 1981--$25,000,000; fiscal year 1982--$27,000,000; fiscal year
1983--$27,000,000; fiscal year 1984--$25,000,000; fiscal year 1985--no
authorization; fiscal years 1988 through 1999--no authorization.
Congress did not enact an authorization for fiscal year 1999.
Instead, the Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1999 (division A, sec. 101(d) of Public Law 105-
277; 112 Stat. 2681), waived the requirements for authorization, and
title II of that Act provided the following:
---------------------------------------------------------------------------
``international disaster assistance
---------------------------------------------------------------------------
``For necessary expenses for international disaster relief,
rehabilitation, and reconstruction assistance pursuant to section 491
of the Foreign Assistance Act of 1961, as amended, $200,000,000, to
remain available until expended.''.
See also sec. 501 of that Act, relating to obligations during last
month of availability.
\463\ A sentence which called for a quarterly report on the
programming and obligation of funds under Sec. 492 and had previously
appeared at this point, was struck by Sec. 118(b)(2) of the
International Development and Food Assistance Act of 1978 (Public Law
95-424; 92 Stat. 953).
---------------------------------------------------------------------------
(b) \461\ In addition to amounts otherwise available to
carry out this chapter, up to $50,000,000 in any fiscal year
may be obligated against appropriations under this part (other
than this chapter) for use in providing assistance in
accordance with the authorities and general policies of section
491. Amounts subsequently appropriated under this chapter with
respect to a disaster may be used to reimburse any
appropriation account against which obligations were incurred
under this subsection with respect to that disaster.
Sec. 493.\464\ Disaster Assistance--Coordination.--The
President is authorized to appoint a Special Coordinator for
International Disaster Assistance whose responsibility shall be
to promote maximum effectiveness and coordination in responses
to foreign disasters by United States agencies and between the
United States and other donors. Included among the Special
Coordinator's responsibilities shall be the formulation and
updating of contingency plans for providing disaster relief.
---------------------------------------------------------------------------
\464\ 22 U.S.C. 2292b. Sec. 493 was added by sec. 101(3) of Public
Law 94-161 (89 Stat. 849).
---------------------------------------------------------------------------
Sec. 494.\465\ Disaster Relief Assistance.--There is
authorized to be appropriated, in addition to other sums
available for such purposes, $65,000,000 for use by the
President for disaster relief and emergency recovery needs in
Pakistan, and Nicaragua, under such terms and conditions as he
may determine, such sums to remain available until expended.
---------------------------------------------------------------------------
\465\ 22 U.S.C. 2292c. Former sec. 452, which was added by sec.
2(2) of the Foreign Disaster Assistance Act of 1974 (Public Law 93-
333), was redesignated as sec. 494 by sec. 101(4) of Public Law 94-161
(89 Stat. 849).
---------------------------------------------------------------------------
Sec. 494A.\466\ Famine and Disaster Relief to Drought-
Stricken African Nations.--* * * [Repealed--1978]
---------------------------------------------------------------------------
\466\ Sec. 494A, originally added as sec. 639A by the FA Act of
1973 and subsequently redesignated as sec. 494A by Public Law 94-161
(89 Stat. 849), was repealed by sec. 604 of the International
Development and Food Assistance Act of 1978 (Public Law 95-424; 92
Stat. 961).
---------------------------------------------------------------------------
Sec. 494B.\467\ African Development Program.--* * *
[Redesignated--1977]
---------------------------------------------------------------------------
\467\ Sec. 494B, originally added as sec. 639B of this Act by the
FA Act of 1973 and later redesignated as sec. 494B in 1975, was
subsequently redesignated as sec. 120 (Sahel Development Program--
Planning) by sec. 115 of Public Law 95-88 (91 Stat. 539).
---------------------------------------------------------------------------
Sec. 495.\468\ Cyprus Relief and Rehabilitation.--The
President is authorized to furnish assistance, on such terms
and conditions as he may determine, for the relief and
rehabilitation of refugees and other needy people in Cyprus.
There is authorized to be appropriated for the purposes of this
section, in addition to amounts otherwise available for such
purposes, $40,000,000.\469\ Such amount is authorized to remain
available until expended. Assistance under this section shall
be provided in accordance with the policy and general authority
contained in section 491.
---------------------------------------------------------------------------
\468\ 22 U.S.C. 2292f. Sec. 495 was added by sec. 101(8) of Public
Law 94-161 (89 Stat. 849).
\469\ Sec. 402 of the International Security Assistance and Arms
Export Control Act of 1976 (Public Law 94-329; 90 Stat. 757) inserted
``$40,000,000'' in lieu of ``$30,000,000''.
The FA Appropriations Act, 1976, provided the following: ``Cyprus
relief and rehabilitation: For necessary expenses to carry out the
provisions of section 495, $25,000,000.''.
For ``Cyprus relief and rehabilitation'' for the period July 1,
1976, through September 30, 1976, $5,000,000.
---------------------------------------------------------------------------
Sec. 495A.\470\ Guatemala Relief and Rehabilitation.--* * *
[Repealed--1978]
---------------------------------------------------------------------------
\470\ Sec. 495A, as added by Public Law 94-276 (90 Stat. 397), was
repealed by sec. 604 of the International Development and Food
Assistance Act of 1978 (Public Law 95-424; 92 Stat. 961).
---------------------------------------------------------------------------
Sec. 495B.\471\ Italy Relief and Rehabilitation.--(a) In
addition to amounts otherwise available for such purpose, there
is authorized to be appropriated $25,000,000 for the fiscal
year 1976 to furnish assistance under this chapter for the
relief and rehabilitation of the people who have been
victimized by the recent earthquake in Italy. Amounts
appropriated under this section are authorized to remain
available until expended.
---------------------------------------------------------------------------
\471\ 22 U.S.C. 2292h. Sec. 495B was added by sec. 415 of the
International Security Assistance and Arms Export Control Act of 1976
(Public Law 94-329; 90 Stat. 761).
---------------------------------------------------------------------------
(b) \472\ There are authorized to be appropriated to the
President $30,000,000 for the fiscal year 1978 for relief,
rehabilitation, and reconstruction assistance, in accordance
with the provisions of section 491 and on such terms and
conditions as he may determine, for the people who have been
victimized by the recent earthquakes in Italy. Amounts
appropriated under this subsection are authorized to remain
available until expended.
---------------------------------------------------------------------------
\472\ Sec. 120 of the International Development and Food Assistance
Act of 1977 (Public Law 95-88; 91 Stat. 541) redesignated subsec. (b)
as subsec. (c) and added this new subsec. (b).
The FA Appropriations Act, 1978, provided the following:
``Italy relief and rehabilitation assistance: For necessary
expenses to carry out the provisions of section 495B, $25,000,000.''.
---------------------------------------------------------------------------
(c) Obligations incurred prior to the date of enactment of
this section against other appropriations or accounts for the
purpose of providing relief and rehabilitation assistance to
the people of Italy may be charged to the appropriations
authorized under this section.
(d) \473\ (1) The Congress recognizes that prompt United
States assistance is necessary to alleviate the human suffering
arising from the earthquakes in southern Italy in late 1980.
Accordingly, there are authorized to be appropriated to the
President, in addition to amounts otherwise available for such
purpose, $50,000,000 for the fiscal year 1981 for relief,
rehabilitation, and reconstruction assistance for the victims
of those earthquakes. Such assistance shall be provided in
accordance with the policies and general authorities of section
491 and on such terms and conditions as the President may
determine.
---------------------------------------------------------------------------
\473\ Subsec. (d) was added by Public Law 96-525 (94 Stat. 3043).
The full $50,000,000 authorized in this subsection for Italian
earthquake disaster assistance was appropriated by Public Law 96-536,
the continuing resolution providing foreign aid funds for fiscal year
1981. This $50,000,000 was designated as an earmarking out of the total
of $73,000,000 appropriated in fiscal year 1981 for international
disaster assistance. The FA Appropriations, 1982, also provided that of
the $27,000,000 made available under sec. 491, ``not less than
$10,000,000 shall be used for earthquake relief and reconstruction in
southern Italy.''. The FA Appropriations Act, 1984 (sec. 101(b)(1) of
the Further Continuing Appropriations Act, 1984) further provided that
out of the $25,000,000 made available under sec. 491, ``$10,000,000
shall be used only for earthquake relief and reconstruction in southern
Italy, which amount may be derived either from amounts appropriated to
carry out the provisions of section 491 of the Foreign Assistance Act
of 1961 or from up to $10,000,000 of amounts heretofore appropriated
pursuant to chapter 4 of part II of such Act for Syria which are, if
deobligated, hereby continued available for the purposes of section 491
or for other programs for Italy consistent with sections 103 through
106 of such Act.''.
---------------------------------------------------------------------------
(2) Amounts appropriated under this subsection are
authorized to remain available until expended.
(3) Obligations incurred against other appropriations or
accounts for the purpose of providing relief, rehabilitation,
and reconstruction assistance for the victims of the late 1980
earthquakes in southern Italy may be charged to appropriations,
enacted after those obligations were incurred, for assistance
for that purpose under this chapter.
Sec. 495C.\474\ Lebanon Relief and Rehabilitation.--(a) The
Congress, recognizing that prompt United States assistance is
necessary to alleviate the human suffering arising from the
civil strife in Lebanon and to restore the confidence of the
people of Lebanon, authorizes the President to furnish
assistance, on such terms and conditions as he may determine,
for the relief and rehabilitation of refugees and other needy
people in Lebanon.
---------------------------------------------------------------------------
\474\ 22 U.S.C. 2292i. Sec. 495C was added by sec. 416 of the
International Security Assistance and Arms Export Control Act of 1976
(Public Law 94-329; 90 Stat. 762).
---------------------------------------------------------------------------
(b) There is authorized to be appropriated to the President
for the purposes of this section, in addition to amounts
otherwise available for such purposes, $20,000,000, which
amount is authorized to remain available until expended.\475\
---------------------------------------------------------------------------
\475\ The FA Appropriations Act, 1977, provided the following:
``For necessary expenses to carry out the provisions of section 495C,
$20,000,000.''.
---------------------------------------------------------------------------
(c) Assistance under this section shall be provided in
accordance with the policies and general authority contained in
section 491.
(d) Obligations incurred prior to the date of enactment of
this section against other appropriations or accounts for the
purpose of providing relief and rehabilitation assistance to
the people of Lebanon may be charged to the appropriations
authorized under this section.
(e) \476\ * * * [Repealed--1978]
---------------------------------------------------------------------------
\476\ Subsec. (e), which called for a quarterly report on
programing and obligation of funds under sec. 495C and had previously
appeared at this point, was repealed by sec. 502(d)(1) of the
International Development and Food Assistance Act of 1978 (Public Law
95-424; 92 Stat. 959).
---------------------------------------------------------------------------
Sec. 495D.\477\ Romanian Relief and Rehabilitation.--(a)
The Congress, recognizing that prompt United States assistance
is necessary to alleviate the human suffering arising from
recent earthquakes in Romania, authorizes the President to
furnish assistance, on such terms and conditions as he may
determine, for the relief and rehabilitation of refugees and
other earthquake victims in Romania.
---------------------------------------------------------------------------
\477\ 22 U.S.C. 2292j. Sec. 495D was added by Public Law 95-21 (91
Stat. 48).
---------------------------------------------------------------------------
(b) There are hereby authorized to be appropriated to the
President for the fiscal year 1977, notwithstanding any other
provisions of this Act, in addition to amounts otherwise
available for such purposes, not to exceed $20,000,000, which
amount is authorized to remain available until expended.\478\
---------------------------------------------------------------------------
\478\ The FA Appropriations Act, 1978, provided the following:
``Sec. 601. For expenses necessary to carry out the provisions of
section 495D of the Foreign Assistance Act of 1961, as amended,
$13,000,000 for the fiscal year 1977 for Romanian relief and
rehabilitation assistance, to remain available until expended.''.
---------------------------------------------------------------------------
(c) Assistance under this section shall be provided in
accordance with the policies and general authority contained in
section 491.
(d) Obligations incurred prior to the date of enactment of
this section against other appropriations or accounts for the
purpose of providing relief and rehabilitation assistance to
the people of Romania may be charged to the appropriations
authorized under this section.
(e) \479\ * * * [Repealed--1981]
---------------------------------------------------------------------------
\479\ Subsec. (e), which had required a quarterly report from the
President on the programing and obligation of funds under this section,
was repealed by sec. 734(a)(1) of the International Security and
Development Cooperation Act of 1981 (Public Law 97-113; 95 Stat. 1560).
---------------------------------------------------------------------------
(f) Nothing in this section shall be interpreted as
endorsing any measure undertaken by the Government of Romania
which would suppress human rights as defined in the Conference
on Security and Co-operation in Europe (Helsinki) Final Act and
the United Nations Declaration on Human Rights, or as
constituting a precedent for or commitment to provide United
States development assistance to Romania, and the Romanian
Government shall be so notified when aid is furnished under
this section.
Sec. 495E.\480\ Turkey Relief, Rehabilitation, and
Reconstruction.--The President is requested to use up to
$10,000,000 of the funds made available under section 492 of
this Act to provide relief, rehabilitation, and reconstruction
assistance to the victims of the recent earthquakes in Turkey.
---------------------------------------------------------------------------
\480\ 22 U.S.C. 2292k. Sec. 495E was originally added as sec. 495D
by sec. 121 of the International Development and Food Assistance Act of
1977 (Public Law 95-88; 91 Stat. 541). It was redesignated as sec. 495E
by sec. 119(1) of the International Development and Food Assistance Act
of 1978 (Public Law 95-424; 92 Stat. 953).
---------------------------------------------------------------------------
Sec. 495F.\481\ African Rehabilitation and Resettlement.--
(a) The Congress recognizes that United States assistance is
necessary to help developing countries in Africa meet the
longer term rehabilitation and resettlement needs of displaced
persons and other innocent victims of civil strife. Therefore,
the President is authorized to furnish assistance, on such
terms and conditions as he may determine, for the longer term
rehabilitation and resettlement needs of such victims. Funds
for this purpose should be used to assist African governments
in providing semipermanent housing, potable water supply
systems, and sanitary facilities which are generally not
provided by existing refugee relief agencies.
---------------------------------------------------------------------------
\481\ 22 U.S.C. 2292l. Sec. 495F, as added by sec. 119(2) of the
International Development and Food Assistance Act of 1978 (Public Law
95-424; 92 Stat. 953), was amended and restated by sec. 405 of the
International Security and Development Cooperation Act of 1980 (Public
Law 96-533; 94 Stat. 3150). It formerly read as follows:
``Sec. 495F. Assistance to African Refugees.--The President is
authorized to furnish assistance, on such terms and conditions as he
may determine, exclusively for the relief and rehabilitation of African
refugees and other needy people located in Africa. There is authorized
to be appropriated for the fiscal year 1980 for purposes of this
section in addition to amounts otherwise available for such purposes,
$14,920,000, which amount is authorized to remain available until
expended. Assistance under this section shall be provided in accordance
with the policies and general authorities contained in section 491.''.
---------------------------------------------------------------------------
(b) There are authorized to be appropriated to the
President for the purposes of this section, in addition to
amounts otherwise available for such purposes, $15,000,000 for
the fiscal year 1981.\482\ Amounts appropriated under this
subsection are authorized to remain available until expended.
---------------------------------------------------------------------------
\482\ Authorizations under sec. 495F during recent years included
the following: fiscal year 1979--$15,000,000; fiscal year 1980--
$14,920,000.
During fiscal year 1981, foreign assistance programs operated
pursuant to a series of continuing resolutions. The last continuing
resolution in the series (H.J. Res. 644, Public Law 96-536) provided
(with several exceptions) such amounts as may be necessary for
continuing projects or activities ``which were conducted in fiscal year
1980 and would be provided for in H.R. 7854, the Foreign Assistance and
Related Programs Appropriation Act, 1981, as reported July 29, 1980, at
a rate of operations not in excess of the rate which would have been
provided under the terms of the conference report (House Report 96-
787), and in accordance with associated agreements stated in the Joint
Explanatory Statements of the Committee of Conference, accompanying
H.R. 4473 * * *'' (this conference report was never approved by
Congress). H.R. 4473 provided the following: ``Assistance to African
refugees: For necessary expenses to carry out the provisions of section
495F, $14,250,000: Provided, That these funds shall be transferred to
the Office of Refugee Programs of the Department of State for
obligation and expenditure.''.
---------------------------------------------------------------------------
(c) Assistance under this section shall be provided in
accordance with the policies and general authorities contained
in section 491.
Sec. 495G.\483\ Special Caribbean Hurricane Relief
Assistance.--The President is authorized to furnish assistance,
on such terms and conditions as he may determine, for disaster
relief and reconstruction in the Caribbean to assist in
alleviating the human suffering caused by recent hurricanes in
that region. In addition to amounts otherwise available for
such purposes, there is authorized to be appropriated for
purposes of this section $25,000,000 for the fiscal year 1980,
which amount is authorized to remain available until
expended.\484\ Assistance under this section shall be provided
in accordance with the policies and general authorities
contained in section 491.
---------------------------------------------------------------------------
\483\ 22 U.S.C. 2292m. Sec. 495G was added by Public Law 96-109 (93
Stat. 842). Such Act also stated that priority should be given to
furnishing agricultural commodities under Public Law 480 to this
hurricane affected area.
\484\ The Supplemental Appropriation and Rescission Bill, 1980
(Public Law 96-304; 94 Stat. 873), contained $10 million intended for
special Caribbean hurricane disaster relief.
---------------------------------------------------------------------------
Sec. 495H.\485\ Cambodian Disaster Relief Assistance.--(a)
The Congress recognizes that prompt United States assistance is
necessary to alleviate the human suffering arising from famine
and disease in Cambodia. Accordingly, the President is
authorized to furnish assistance, on such terms and conditions
as he may determine, for disaster relief to alleviate the
suffering of the victims of famine and disease in Cambodia.
Assistance provided under this section shall be for
humanitarian purposes and limited to the civilian population,
with emphasis on providing food, medicine and medical care,
clothing, temporary shelter, transportation for emergency
supplies and personnel, and similar assistance to save human
lives.
---------------------------------------------------------------------------
\485\ 22 U.S.C. 2292n. Sec. 495H was added by sec. 2 of Public Law
96-110 (93 Stat. 843). Sec. 4 of such Act also required a report from
the President by Jan. 12, 1980, regarding total costs of the U.S.
Government and State and local governments of domestic and foreign
assistance to refugees during fiscal years 1980 and 1981. Subsequently,
sec. 1011(a)(4) of the Department of State Authorization Act, Fiscal
Years 1984 and 1985 (Public Law 98-164; 97 Stat. 1061) repealed sec. 4
of Public Law 96-110.
---------------------------------------------------------------------------
(b) Assistance provided under this section or any other
provision of law to alleviate the human suffering caused by
famine and disease in Cambodia shall be provided, to the
maximum extent practicable, through international agencies and
private voluntary organizations such as (among others) the
World Relief Committee, World Medical Missions, Inc., Cama
Services, World Vision, Food for the Hungry, Thailand Baptist
Mission, Catholic Relief Services, Oxfam, and the International
Rescue Committee.
(c)(1) In providing assistance under this section, the
President shall satisfy himself that adequate procedures have
been established to ensure that such assistance reaches the
innocent victims of famine and disease for whom it is intended.
Such procedures shall include end use monitoring of deliveries
on a periodic basis by individuals having freedom of movement
where the assistance is being distributed within Cambodia.
(2) \486\ * * * [Repealed--1981]
---------------------------------------------------------------------------
\486\ Par. (2), which had required a report by the President that
adequate procedures have been established ensure that the assistance
provided under this section is reaching the innocent victims of famine
and disease for whom it is intended, was repealed by sec. 734(1) of the
International Security and Development Cooperation Act of 1981 (Public
Law 97-113; 95 Stat. 1560). Such report was submitted on February 11,
1980.
---------------------------------------------------------------------------
(d)(1) In addition to amounts otherwise available for such
purposes, there is authorized to be appropriated for purposes
of this section $30,000,000 for the fiscal year 1980, which
amount is authorized to remain available until expended.\487\
---------------------------------------------------------------------------
\487\ The Supplemental Appropriation and Rescission Bill, 1980
(Public Law 96-304; 94 Stat. 873), included $30 million intended for
Cambodian Disaster Relief Assistance.
---------------------------------------------------------------------------
(2) Obligations incurred, prior to the enactment of
appropriations to carry out this section, against other
appropriations or accounts for the purpose of alleviating the
human suffering caused by famine and disease in Cambodia may be
charged to the appropriations authorized by paragraph (1) of
this subsection.
(3) The President may exercise the authority of section
610(a) of this Act (without regard to the 20 percent limitation
contained in that section on increases in accounts) in order to
transfer, for use in carrying out this section, up to
$30,000,000 of the funds made available for the fiscal year
1980 to carry out other provisions of this Act.
(4) Priority shall be given in allocating assistance under
the Agricultural Trade Development and Assistance Act of 1954
to furnishing agricultural commodities for use in carrying out
this section.
(e) Assistance under this section shall be provided in
accordance with the policies and utilizing the general
authorities provided in section 491.
Sec. 495I.\488\ Assistance for Displaced Persons in Central
America.--(a)(1) The Congress recognizes that prompt United
States assistance is necessary to help meet the basic human
needs of persons displaced by strife in El Salvador. Therefore,
the President is authorized to furnish assistance, on such
terms and conditions as he may determine, to help alleviate the
suffering of these displaced persons. Assistance provided under
this section shall be for humanitarian purposes, with emphasis
on the provision of food, medicine, medical care, and shelter
and, where possible, implementation of other relief and
rehabilitation activities. The Congress encourages the use,
where appropriate of the services of private and voluntary
organizations and international relief agencies in the
provision of assistance under this section.
---------------------------------------------------------------------------
\488\ 22 U.S.C. 2292o. Sec. 495I was added by sec. 504 of the
International Security and Development Cooperation Act of 1981 (Public
Law 97-113; 95 Stat. 1540).
---------------------------------------------------------------------------
(2) The Congress understands that the country of Belize has
expressed interest and willingness in the resettlement in its
territory of Haitian nationals who desire to settle in Belize.
Therefore, the President is authorized to furnish assistance,
on such terms and conditions as he may determine, to assist the
Government of Belize in the resettlement of Haitian nationals
in the national territory of Belize.
(b) There are authorized to be appropriated to the
President for the purposes of this section, in addition to
amounts otherwise available for such purposes, $5,000,000 for
the fiscal year 1982 and $5,000,000 for the fiscal year
1983.\489\ Amounts appropriated under this section are
authorized to remain available until expended.
---------------------------------------------------------------------------
\489\ The FA Appropriations Act, 1982, provided that out of the
$473 million in funds for migration and refugee assistance during
fiscal year 1982, ``$5,000,000 of this amount shall be used for
assistance for persons displaced by strife in El Salvador as provided
in H.R. 3566 as reported May 19, 1981.''. Under the provisions of the
Further Continuing Appropriations Act, 1983 (Public Law 97-377), which
continued funding for foreign assistance at the rates and under the
terms and conditions provided in the FA Appropriations Act, 1982, with
exceptions, no prior year earmarking of funds under the ``Migration and
Refugee Assistance'' account would apply.
---------------------------------------------------------------------------
(c) Assistance under this section shall be provided in
accordance with the policies and utilizing the general
authorities provided in section 491.
Sec. 495J.\490\ Lebanon Emergency Relief, Rehabilitation,
and Reconstruction Assistance.--(a) The Congress recognizes
that prompt United States assistance is necessary to alleviate
the human suffering and resettlement needs of the innocent
victims of recent strife in Lebanon. Therefore, the President
is authorized to furnish assistance, on such terms and
conditions as he may determine, for the relief, rehabilitation,
and reconstruction needs of such victims. Assistance provided
under this section shall emphasize the provision of food,
medicine, clothing, shelter, and water supply systems, and
similar efforts to ameliorate the suffering of the people in
Lebanon.
---------------------------------------------------------------------------
\490\ 22 U.S.C. 2292p. Sec. 495J was added by Public Law 97-208 (96
Stat. 138). The Supplemental Appropriations Act, 1982 (Public Law 97-
257; 96 Stat. 818 at 833), included the following:
``lebanon emergency relief
``(transfer of funds)
``For expenses necessary to carry out the provisions of section
495J of the Foreign Assistance Act of 1961, $50,000,000 which shall be
derived by transfer from the Department of State, `Migration and
Refugee Assistance', to remain available until expended: Provided, That
of such amount not less than $10,000,000 shall be available only for
the America University of Beirut.''.
---------------------------------------------------------------------------
(b) In addition to amounts otherwise available for such
purpose, there is authorized to be appropriated to the
President $50,000,000 to carry out this section. Amounts
appropriated under this subsection are authorized to remain
available until expended.
(c) Assistance under this section shall be furnished in
accordance with the policies and general authorities contained
in section 491.
Sec. 495K.\491\ African Famine Assistance.--
---------------------------------------------------------------------------
\491\ 22 U.S.C. 2292q. Sec. 495K was added by sec. 2 of the African
Relief and Recovery Act of 1985 (Public Law 99-8; 99 Stat. 21).
The Urgent Supplemental Appropriations, 1985--African Famine Relief
(Public Law 99-10; 99 Stat. 27), provided the following:
``For an additional amount for international disaster assistance,
$137,500,000 for emergency relief and recovery assistance for Africa,
to be available only for such purpose and to remain available until
March 31, 1986 Provided, That the Committee on Appropriations of each
House of Congress is notified five days in advance of the obligation of
any funds made available under this paragraph, unless the emergency is
life threatening and immediate action is necessary.
---------------------------------------------------------------------------
``operating expenses
---------------------------------------------------------------------------
``Of the amount appropriated in this Act for `International
disaster' assistance, $2,500,000 shall be transferred to `Operating
expenses of the Agency for International Development' to be used for
monitoring food and disaster assistance in Africa.''.
---------------------------------------------------------------------------
(a) Authorization of Assistance.--The President is
authorized to provide assistance for famine relief,
rehabilitation, and recovery in Africa. Assistance under this
section shall be provided for humanitarian purposes and shall
be provided on a grant basis. Such assistance shall include--
(1) relief, rehabilitation, and recovery projects to
benefit the poorest people, including the furnishing of
seeds for planting, fertilizer, pesticides, farm
implements, farm animals and vaccine and veterinary
services to protect livestock upon which people depend,
blankets, clothing, and shelter, disease prevention and
health care projects, water projects (including water
purification and well-drilling), small-scale
agricultural projects, and food protection and
preservation projects; and
(2) projects to meet emergency health needs,
including vaccinations.
(b) Uses of Funds.--
(1) Private and Voluntary Organizations and
International Organizations.--Funds authorized to be
appropriated by this section shall be used primarily
for grants to private and voluntary organizations and
international organizations.
(2) Emergency Health Projects.--A significant portion
of the funds authorized to be appropriated by this
section shall be used for emergency health projects
pursuant to subsection (a)(2).
(3) Management Support Activities.--Of the amount
authorized to be appropriated by this section,
$2,500,000 shall be transferred to the ``Operating
Expenses of the Agency for International Development''
account. These funds shall be used for management
support activities associated with the planning,
monitoring, and supervision of emergency food and
disaster assistance provided in those countries in
Africa described in section 5(a) of the African Famine
Relief and Recovery Act of 1985.
(c) Authorization of Appropriations.--In addition to the
amounts otherwise available for such purpose, there are
authorized to be appropriated $137,500,000 for the fiscal year
1985 for use in providing assistance under this section.
(d) Policies and Authorities To Be Applied.--Assistance
under this section shall be furnished in accordance with the
policies and general authorities contained in section 491.
Chapter 10--Development Fund for Africa \492\
Sec. 496.\493\ Long-Term Development Assistance for Sub-
Saharan Africa.--(a) Findings.--The Congress finds that--
---------------------------------------------------------------------------
\492\ Sec. 562(a) of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1991 (Public Law 101-513; 104
Stat. 2026), added chapter 10, secs. 496-497. Previously, chapter 10,
sec. 496, relating to assistance to Portugal and Portuguese colonies in
Africa gaining independence, as added by sec. 53 of the Foreign
Assistance Act of 1974, was repealed by sec. 1211(a)(4) of the
International Security and Development Cooperation Act of 1985 (Public
Law 99-83; 99 Stat. 279).
Sec. 562 of the Foreign Operations, Export Financing, and Related
Programs Appropriations Act, 1991 (Public Law 101-513; 104 Stat. 2030),
further stated:
``(b) Evaluations.--It is the sense of the Congress that there
should be periodic evaluations of the progress of the Agency for
International Development in achieving the purpose specified in section
496(c) of the Foreign Assistance Act of 1961.
``(c) Reports to Congress.--As part of the annual Congressional
Presentation materials for economic assistance, the Administrator of
the Agency for International Development shall include a description of
the progress made during the previous fiscal year in carrying out
chapter 10 of part I of the Foreign Assistance Act of 1961 in three
countries in sub-Saharan Africa which represent differing economic
situations and levels of progress. The description shall include--
---------------------------------------------------------------------------
``(1) the nature and extent of consultation to ensure local
perspectives, as described in subsections (e)(1) and (f) of
section 496;
``(2) the degree of involvement of local people in the
implementation of projects having a local focus;
``(3) the extent to which there has been expansion of the
participation and integration of African women in each of the
critical sectors specified in section 496(i);
``(4) program assistance provided, including the amounts
obligated, the criteria used for assisting reforms, and the
provisions made pursuant to section 496(h)(2)(B) to protect
vulnerable groups from possible negative consequences of the
reforms; and
``(5) a description of the assistance for the critical sector
priorities specified in section 496(i), by sector, including
the amounts obligated.''.
---------------------------------------------------------------------------
See related legislation in ``Assistance to Africa,'' in Legislation
on Foreign Relations Through 1998, vol. I-B.
\493\ 22 U.S.C. 2293.
---------------------------------------------------------------------------
(1) drought and famine have caused countless deaths
and untold suffering among the people of sub-Saharan
Africa;
(2) drought and famine in combination with other
factors such as desertification, government neglect of
the agricultural sector, and inappropriate economic
policies have severely affected long-term development
in sub-Saharan Africa; and
(3) the most cost-effective and efficient way of
overcoming Africa's vulnerability to drought and famine
is to address Africa's long-term development needs
through a process that builds upon the needs and
capabilities of the African people, promotes sustained
and equitable economic growth, preserves the
environment, and protects the rights of the individual.
(b) Authority To Furnish Assistance.--The President is
authorized to furnish project and program assistance, on such
terms and conditions as he may determine in accordance with the
policies contained in this section, for long-term development
in sub-Saharan Africa.
(c) Purpose of Assistance.--
(1) Purpose.--The purpose of assistance under this
section shall be to help the poor majority of men and
women in sub-Saharan Africa to participate in a process
of long-term development through economic growth that
is equitable, participatory, environmentally
sustainable, and self-reliant.
(2) Use of assistance to encourage private sector
development.--Assistance under this section should, in
a manner consistent with paragraph (1), be used to
promote sustained economic growth, encourage private
sector development, promote individual initiatives, and
help to reduce the role of central governments in areas
more appropriate for the private sector.
(d) Application of Development Assistance General Authorities
and Policies.--Except to the extent inconsistent with this
section--
(1) any reference in any law to chapter 1 of this
part (including references to sections 103 through 106)
shall be deemed to include a reference to this section;
and
(2) assistance under this section shall be provided
consistent with the policies contained in section 102.
(e) Private and Voluntary Organizations.--
(1) Consultation to ensure local perspectives.--The
Agency for International Development shall take into
account the local-level perspectives of the rural and
urban poor in sub-Saharan Africa, including women,
during the planning process for project and program
assistance under this section. In order to gain that
perspective the Agency for International Development
should consult closely with African, United States, and
other private and voluntary organizations that have
demonstrated effectiveness in or commitment to the
promotion of local, grassroots activities on behalf of
long-term development in sub-Saharan Africa as
described in subsection (c).
(2) Definition of private and voluntary
organizations.--For purposes of this section, the term
``private and voluntary organization'' includes (in
addition to entities traditionally considered to be
private and voluntary organizations) cooperatives,
credit unions, trade unions, women's groups, nonprofit
development research institutions, and indigenous local
organizations, which are private and nonprofit.
(f) Local Involvement in Project Implementation.--Local
people, including women, shall be closely consulted and
involved in the implementation of every project under this
section which as a local focus.
(g) Participation of African Women.--The Agency for
International Development shall ensure that development
activities assisted under this section incorporate a
significant expansion of the participation (including
decisionmaking) and integration of African women in each of the
critical sectors described in subsection (i).
(h) Types of Assistance.--
(1) Projects and programs to address critical
sectoral priorities.--Assistance under this section
shall emphasize primarily projects and programs to
address critical sectoral priorities for long-term
development described in subsection (i).
(2) Reform of economic policies.--
(A) Use of program assistance.--Assistance
under this section may also include program
assistance to promote reform of sectoral
economic policies affecting long-term
development in sub-Saharan Africa as described
in subsection (c), with primary emphasis on
reform of economic policies to support the
critical sectoral priorities described in
subsection (i).
(B) Protection of vulnerable groups.--
Assisted policy reforms shall also include
provisions to protect vulnerable groups
(especially poor, isolated, and female farmers,
the urban poor, and children including
displaced children) and long-term environmental
interests from possible negative consequences
of the reforms.
(3) Other assistance.--Funds made available to carry
out this section shall be used almost exclusively for
assistance in accordance with paragraphs (1) and (2).
Assistance consistent with the purpose of subsection
(c) may also be furnished under this section to carry
out the provisions of sections 103 through 106 of this
Act.
(i) Critical Sectoral Priorities.--The critical sectoral
priorities for long-term development, as described in
subsection (c), are the following:
(1) Agricultural production and natural resources.--
(A) Agricultural production.--Increasing
agricultural production in ways which protect
and restore the natural resource base,
especially food production, through
agricultural policy changes, agricultural
research (including participatory research
directly involving small farmers) and
extension, development and promotion of
agriculture marketing activities, credit
facilities, and appropriate production
packages, and the construction and improvement
of needed production-related infrastructure
such as farm-to-market roads, small-scale
irrigation, and rural electrification. Within
this process, emphasis shall be given to
promoting increased equity in rural income
distribution, recognizing the role of small
farmers.
(B) Natural resource base.--Maintaining and
restoring the renewable natural resource base
primarily in ways which increase agricultural
production, through the following:
(i) Small-scale, affordable,
resource-conserving, low-risk local
projects, using appropriate
technologies (including traditional
agricultural methods) suited to local
environmental, resource, and climatic
conditions, and featuring close
consultation with and involvement of
local people at all stages of project
design and implementation. Emphasis
shall be given to grants for African
local government organizations,
international or African
nongovernmental organizations, and
United States private and voluntary
organizations.
(ii) Support for efforts at national
and regional levels to provide
technical and other support for
projects of the kinds described in
clause (i) and to strengthen the
capacities of African countries to
provide effective extension and other
services in support of environmentally
sustainable increases in food
production.
(iii) Support for special training
and education efforts to improve the
capacity of countries in sub-Saharan
Africa to manage their own environments
and natural resources.
(iv) Support for low-cost
desalination activities in order to
increase the availability of fresh
water sources in sub-Saharan Africa.
(2) Health.--Improving health conditions, with
special emphasis on meeting the health needs of mothers
and children (including displaced children) through the
establishment of primary health care systems that give
priority to preventive health and that will be
ultimately self-sustaining.
(3) Voluntary family planning services.--Providing
increased access to voluntary family planning services,
including encouragement of private, community, and
local government initiatives.
(4) Education.--Improving the relevance, equity, and
efficiency of education, with special emphasis on
improving primary education.
(5) Income-generating opportunities.--Developing
income-generating opportunities for the unemployed and
underemployed in urban and rural areas through, among
other things, support for off-farm employment
opportunities in micro- and small-scale labor-intensive
enterprises.
(j) Minimum Levels of Assistance for Certain Critical
Sectors.--The Agency for International Development should
target the equivalent of 10 percent of the amount authorized to
be appropriated for each fiscal year to carry out this chapter
for each of the following:
(1) The activities described in subsection (i)(1)(B),
including identifiable components of agricultural
production projects.
(2) The activities described in subsection (i)(2).
(3) The activities described in subsection (i)(3).
(k) Effective Use of Assistance.--Assistance provided under
this section shall be concentrated in countries which will make
the most effective use of such assistance in order to fulfill
the purpose specified in subsection (c), especially those
countries (including those of the Sahel region) having the
greatest need for outside assistance.
(l) Promotion of Regional Integration.--Assistance under this
section shall, to the extent consistent with this section,
include assistance to promote the regional and subregional
integration of African production structures, markets, and
infrastructure.
(m) Donor Coordination Mechanism.--Funds made available to
carry out this section may be used to assist the governments of
countries in sub-Saharan Africa to increase their capacity to
participate effectively in donor coordination mechanisms at the
country, regional, and sector levels.
(n) Relation to Other Authorities.--
(1) Assistance under other authorities.--The
authority granted by this section to provide assistance
for long-term development in sub-Saharan Africa is not
intended to preclude the use of other authorities for
that purpose. Centrally funded programs which benefit
sub-Saharan Africa shall continue to be funded under
chapter 1 of part I of this Act.
(2) Transfer authorities.--
(A) The transfer authority contained in
section 109 of this Act shall not apply with
respect to this section.
(B) The transfer authority contained in
section 610(a) of this Act may not be used to
transfer funds made available to carry out this
section in order to allow them to be used in
carrying out any other provision of this Act.
(3) Reprogramming notifications.--Section 634A of
this Act does not apply with respect to funds made
available to carry out this section.
(4) Procurement of goods and services.--In order to
allow the assistance authorized by this section to be
furnished as effectively and expeditiously as possible,
section 604(a) of this Act, and similar provisions
relating to the procurement of goods and services,
shall not apply with respect to goods and services
procured for use in carrying out this section. The
exemption provided by this paragraph shall not be
construed to apply to the Comprehensive Anti/Apartheid
\494\ Act of 1986.
---------------------------------------------------------------------------
\494\ Should read ``Anti-Apartheid''.
---------------------------------------------------------------------------
(o) Support for SADCC Projects.--
(1) Authority to provide assistance.--To the extent
funds are provided for such purpose in the annual
Foreign Operations, Export Financing, and Related
Programs Appropriations Act, funds made available to
carry out this chapter may be used to assist sector
projects, in the sectors specified in paragraph (2),
that are supported by the Southern Africa Development
Coordination Conference (SADCC) to enhance the economic
development of the member states forming that regional
institution.
(2) Sectors.--The sectors with respect to which
assistance may be provided under this subsection are
the following: transportation; manpower development;
agriculture and natural resources; energy (including
the improved utilization of electrical power sources
which already exist in the member states and offer the
potential to swiftly reduce the dependence of those
states on South Africa for electricity); and industrial
development and trade (including private sector
initiatives).
(3) Relation to dfa policies and authorities.--To the
maximum extent feasible, the assistance authorized by
this subsection shall be provided consistent with the
policies and authorities contained in the preceding
subsection of this section.
Sec. 497.\495\ Authorizations of Appropriations for the
Development Fund for Africa.--Funds appropriated to carry out
this chapter are authorized to be made available until
expended. It is the sense of the Congress that the authority of
this subsection should be used to extend the period of
availability of those funds whenever appropriate to improve the
quality of assistance provided under section 496.\496\
---------------------------------------------------------------------------
\495\ 22 U.S.C. 2294.
\496\ Congress did not enact an authorization for fiscal year 1999.
Instead, the Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1999 (division A, sec. 101(d) of Public Law 105-
277; 112 Stat. 2681), waived the requirements for authorization, and
title II of that Act provided the following:
---------------------------------------------------------------------------
``agency for international development
``child survival and disease programs fund
---------------------------------------------------------------------------
``For necessary expenses to carry out the provisions of chapters 1
and 10 of part I of the Foreign Assistance Act of 1961, for child
survival, basic education, assistance to combat tropical and other
diseases, and related activities, in addition to funds otherwise
available for such purposes, $650,000,000, to remain available until
expended: Provided, That this amount shall be made available for such
activities as: (1) immunization programs; (2) oral rehydration
programs; (3) health and nutrition programs, and related education
programs, which address the needs of mothers and children; (4) water
and sanitation programs; (5) assistance for displaced and orphaned
children; (6) programs for the prevention, treatment, and control of,
and research on, tuberculosis, HIV/AIDS, polio, malaria and other
diseases; and (7) up to $98,000,000 for basic education programs for
children: Provided further, That none of the funds appropriated under
this heading may be made available for nonproject assistance for health
and child survival programs, except that funds may be made available
for such assistance for ongoing health programs.
---------------------------------------------------------------------------
``agency for international development
``development assistance
``(including transfer of funds)
---------------------------------------------------------------------------
``For necessary expenses to carry out the provisions of sections
103 through 106, and chapter 10 of part I of the Foreign Assistance Act
of 1961, title V of the International Security and Development
Cooperation Act of 1980 (Public Law 96-533) and the provisions of
section 401 of the Foreign Assistance Act of 1969, $1,225,000,000, to
remain available until September 30, 2000: * * * Provided further, That
of the amount appropriated under this heading, up to $11,000,000 may be
made available for the African Development Foundation and shall be
apportioned directly to that agency: * * * Provided further, That none
of the funds appropriated under this heading may be made available for
assistance for the central Government of the Republic of South Africa,
until the Secretary of State reports in writing to the appropriate
committees of the Congress on the steps being taken by the United
States Government to work with the Government of the Republic of South
Africa to negotiate the repeal, suspension, or termination of section
15(c) of South Africa's Medicines and Related Substances Control
Amendment Act No. 90 of 1997; * * *''.
---------------------------------------------------------------------------
Chapter 11--Support for the Economic and Democratic Development of the
Independent States of the Former Soviet Union \497\
SEC. 498.\498\, \499\ ASSISTANCE FOR THE INDEPENDENT STATES.
The President is authorized to provide assistance to the
independent states of the former Soviet Union under this
chapter for the following activities:
---------------------------------------------------------------------------
\497\ Sec. 201 of the FREEDOM Support Act (Public Law 102-511; 106
Stat. 3324) added chapter 11, secs. 498-498C.
\498\ 22 U.S.C. 2295.
\499\ Section 3(b) of Executive Order 12884 of December 1, 1993 (58
F.R. 64099; December 3, 1993) delegated to the International
Development Cooperation Agency those functions conferred upon the
President in sec. 498. This delegation of authority is subject to the
authority of the Coordinator (as established in sec. 102 of the FREEDOM
Support Act; 22 U.S.C. 5812) under sec. 102 of that Act. Sec. 3 of that
Executive Order ceased to be effective with enactment of the Foreign
Affairs Reform and Restructuring Act of 1998, pursuant to sec.
1422(a)(4) (division G of Public Law 105-277; 112 Stat. 2681).
---------------------------------------------------------------------------
(1) Urgent humanitarian needs.--Meeting urgent
humanitarian needs (including those arising from the
health effects of exposure to radiation in the
Chernobyl region), in particular--
(A) meeting needs for medicine, medical
supplies and equipment, and food, including the
nutritional needs of infants such as processed
baby food; and
(B) continuing efforts to rebuild from the
earthquake in Armenia.
(2) Democracy.--Establishing a democratic and free
society by fostering--
(A) political, social, and economic
pluralism;
(B) respect for internationally recognized
human rights and the rule of law;
(C) the development of institutions of
democratic governance, including electoral and
legislative processes;
(D) the institution and improvement of public
administration at the national,
intergovernmental, regional, and local level;
(E) the development of a free and independent
media;
(F) the development of effective control by
elected civilian officials over, and the
development of a nonpolitical officer corps in,
the military and security forces; and
(G) strengthened administration of justice
through programs and activities carried out in
accordance with section 498B(e).
(3) Free market systems.--Creating and developing
private enterprise and free market systems based on the
principle of private ownership of property, including--
(A) the development of private cooperatives,
credit unions, and labor unions;
(B) the improvement in the collection and
analysis of statistical information;
(C) the reform and restructuring of banking
and financial systems; and
(D) the protection of intellectual property.
(4) Trade and investment.--Creating conditions that
promote trade and investment, and encouraging
participation of the United States private sector in
the development of the private sector in the
independent states of the former Soviet Union.
(5) Food distribution and production.--Promoting
market-based mechanisms for the distribution of the
inputs necessary to agricultural production and for the
handling, marketing, storage, and processing of
agricultural commodities; encouraging policies that
provide incentives for agricultural production; and
creating institutions that provide technical and
financial support for the agricultural sector.
(6) Health and human services.--Promoting programs to
strengthen and build institutions that provide quality
health care and voluntary family planning services,
housing, and other services and policies that are
components of a social safety net, particularly for
infants, children, and people with disabilities.
(7) Education and educational television.--Promoting
broad-based educational reform at all levels, in
particular--
(A) by assisting the development of curricula
and by making available textbooks, other
educational materials, and appropriate
telecommunications technologies for the
delivery of educational and instructional
programming; and
(B) by assisting the development of the
skills necessary to produce educational
television programs aimed at promoting basic
skills and the human values associated with a
democratic society and a free market economy.
(8) Energy efficiency and production.--Promoting
market-based pricing policies and the transfer of
technologies that reduce energy wastage and harmful
emissions; supporting developmentally sound capital
energy projects that utilize United States advanced
coal technologies; and promoting efficient production,
use, and transportation of oil, gas, coal, and other
sources of energy.
(9) Civilian nuclear reactor safety.--Implementing--
(A) a program of short-term safety upgrade of
civilian nuclear power plants, including the
training of power plant personnel,
implementation of improved procedures for
nuclear power plant operation, the development
of effective and independent regulatory
authorities, and cost-effective hardware
upgrades; and
(B) a program to retire those civilian
nuclear power plants whose capacity could be
more cost-effectively replaced through energy
efficiency.
(10) Environment.--Enhancing the human and natural
environment and conserving environmental resources,
including through--
(A) facilitation of the adoption of
environmentally-sound policies and
technologies, environmental restoration, and
sustainable use of natural resources;
(B) promotion of the provision of
environmental technology, education, and
training by United States businesses, not-for-
profit organizations, and institutions of
higher education; and
(C) promotion of cooperative research efforts
to validate and improve environmental
monitoring of protracted radiation exposure.
(11) Transportation and telecommunications.--
Improving transportation and telecommunications
infrastructure and management, including intermodal
transportation systems to ensure the safe and efficient
movement of people, products, and materials.
(12) Drug education, interdiction, and eradication.--
Promoting drug education, interdiction, and eradication
programs.
(13) Migration.--Protecting and caring for refugees,
displaced persons, and other migrants; addressing the
root causes of migration; and promoting the development
of appropriate immigration and emigration laws and
procedures.
SEC. 498A.\500\ CRITERIA FOR ASSISTANCE TO GOVERNMENTS OF THE
INDEPENDENT STATES.
(a) \501\ In General.--In providing assistance under this
chapter for the government of any independent state of the
former Soviet Union, the President shall take into account not
only relative need but also the extent to which that
independent state is acting to--
---------------------------------------------------------------------------
\500\ 22 U.S.C. 2295a. Sec. 907 of the FREEDOM Support Act (Public
Law 102-511; 106 Stat. 3357) provided the following restriction:
``sec. 907. restriction on assistance to azerbaijan.
``United States assistance under this or any other Act (other than
assistance under title V of this Act) may not be provided to the
Government of Azerbaijan until the President determines, and so reports
to the Congress, that the Government of Azerbaijan is taking
demonstrable steps to cease all blockades and other offensive uses of
force against Armenia and Nagorno-Karabakh.''.
See also footnote 523, at sec. 498C.
\501\ Section 2(c) of Executive Order 12884 of December 1, 1993 (58
F.R. 64099; December 3, 1993) delegated to the Coordinator (as
established in sec. 102 of the FREEDOM Support Act; 22 U.S.C. 5812)
those functions conferred upon the President in sections 498A(a),
498B(c) and 498B(g).
---------------------------------------------------------------------------
(1) make significant progress toward, and is
committed to the comprehensive implementation of, a
democratic system based on principles of the rule of
law, individual freedoms, and representative government
determined by free and fair elections;
(2) make significant progress in, and is committed to
the comprehensive implementation of, economic reform
based on market principles, private ownership, and
integration into the world economy, including
implementation of the legal and policy frameworks
necessary for such reform (including protection of
intellectual property and respect for contracts);
(3) respect internationally recognized human rights,
including the rights of minorities and the rights to
freedom of religion and emigration;
(4) respect international law and obligations and
adhere to the Helsinki Final Act of the Conference on
Security and Cooperation in Europe and the Charter of
Paris, including the obligations to refrain from the
threat or use of force and to settle disputes
peacefully;
(5) cooperate in seeking peaceful resolution of
ethnic and regional conflicts;
(6) implement responsible security policies,
including--
(A) adhering to arms control obligations
derived from agreements signed by the former
Soviet Union;
(B) reducing military forces and expenditures
to a level consistent with legitimate defense
requirements;
(C) not proliferating nuclear, biological, or
chemical weapons, their delivery systems, or
related technologies; and
(D) restraining conventional weapons
transfers;
(7) take constructive actions to protect the
international environment, prevent significant
transborder pollution, and promote sustainable use of
natural resources;
(8) deny support for acts of international terrorism;
(9) accept responsibility for paying an equitable
portion of the indebtedness to United States firms
incurred by the former Soviet Union;
(10) cooperate with the United States Government in
uncovering all evidence regarding Americans listed as
prisoners-of-war, or otherwise missing during American
operations, who were detained in the former Soviet
Union during the Cold War; and
(11) terminate support for the communist regime in
Cuba, including removal of troops, closing military and
intelligence facilities, including the military and
intelligence facilities at Lourdes and Cienfuegos,\502\
and ceasing trade subsidies and economic, nuclear, and
other assistance.
---------------------------------------------------------------------------
\502\ Sec. 106(b) of the Cuban Liberty and Democratic Solidarity
(LIBERTAD) Act of 1996 (Public Law 104-114; 110 Stat. 795) struck out
``of military facilities'' and inserted in lieu thereof ``military and
intelligence facilities, including the military and intelligence
facilities at Lourdes and Cienfuegos''.
Sec. 111(b) of that Act (110 Stat. 802) further provided that
``Notwithstanding any other provision of law, the President shall
withhold from assistance allocated on or after [March 12, 1996], for
any country an amount equal to the sum of assistance and credits, if
any, provided on or after [March 12, 1996] by that country or any
entity in that country in support of the completion of the Cuban
nuclear facility at Juragua, near Cienfuegos, Cuba.''.
---------------------------------------------------------------------------
(b) \503\, \504\ Ineligibility for Assistance.--
The President shall not provide assistance under this chapter--
---------------------------------------------------------------------------
\503\ Section 1(a)(2) of Executive Order 12884 of December 1, 1993
(58 F.R. 64099; December 3, 1993), as amended, delegated to the
Secretary of State those functions conferred upon the President in
paragraphs (1), (2), (3), and (5) of sec. 498A(b).
See also in the Foreign Assistance Appropriations, 1999: sec. 572--
to prohibit foreign assistance to the Government of Russia should it
enact or implement laws which would discriminate against minority
religious faiths in the Russian Federation.
\504\ On August 7, 1996, the State Department issued Public Notice
2306, stating that ``the Secretary of State has made a determination
pursuant to Section 498A of the Foreign Assistance Act of 1961, as
amended, and has concluded that publication of the determination would
be harmful to the national security of the United States.''. (61 F.R.
10056)
---------------------------------------------------------------------------
(1) for the government of any independent state that
the President determines is engaged in a consistent
pattern of gross violations of internationally
recognized human rights or of international law;
(2) for the government of any independent state that
the President determines has failed to take
constructive actions to facilitate the effective
implementation of applicable arms control obligations
derived from agreements signed by the former Soviet
Union;
(3) for the government of any independent state that
the President determines has, on or after the date of
enactment of this chapter, knowingly transferred to
another country--
(A) missiles or missile technology
inconsistent with the guidelines and parameters
of the Missile Technology Control Regime; or
(B) any material, equipment, or technology
that would contribute significantly to the
ability of such country to manufacture any
weapon of mass destruction (including nuclear,
chemical, and biological weapons) if the
President determines that the material,
equipment, or technology was to be used by such
country in the manufacture of such weapon;
(4) for the government of any independent state that
is prohibited from receiving such assistance by section
101 or 102 of the Arms Export Control Act \505\ or
sections 306(a)(1) and 307 of the Chemical and
Biological Weapons Control and Warfare Elimination Act
of 1991; \506\, \507\
---------------------------------------------------------------------------
\505\ Formerly referred to section 669 or 670 of this Act. Sec.
826(b) of the Foreign Relations Authorization Act, Fiscal Years 1994
and 1995 (Public Law 103-236; 108 Stat. 519), repealed those two
sections, and sec. 826(c) of that Act stated that ``Any reference in
law as of the date of enactment of this Act [April 30, 1994] to section
669 or 670 of the Foreign Assistance Act of 1961 shall, after such
date, be deemed to be a reference to section 101 or 102, as the case
may be, of the Arms Export Control Act.''.
\506\ For text of the Chemical and Biological Weapons Control and
Warfare Elimination Act of 1991, see Legislation on Foreign Relations
Through 1998, vol. II, sec. F.
\507\ Sec. 106(c)(1) of the Cuban Liberty and Democratic Solidarity
(LIBERTAD) Act of 1996 (Public Law 104-114; 110 Stat. 796) struck out
``or'' at the end of para. (4); redesignated para. (5) as para. (6);
and added a new para. (5).
---------------------------------------------------------------------------
(5) \507\ for the government of any independent state
effective 30 days after the President has determined
and certified to the appropriate congressional
committees (and Congress has not enacted legislation
disapproving the determination within that 30-day
period) that such government is providing assistance
for, or engaging in nonmarket based trade (as defined
in section 498B(k)(3)) with, the Cuban Government; or
(6) \507\ for the Government of Russia if it has
failed to make significant progress on the removal of
Russian or Commonwealth of Independent States troops
from Estonia, Latvia, and Lithuania or if it has failed
to undertake good faith efforts, such as negotiations,
to end other military practices that violate the
sovereignty of the Baltic states.
(c) \504\ Exceptions to Ineligibility.--Assistance prohibited
by subsection (b) or any similar provision of law, other than
assistance prohibited by the provisions referred to in
subsection (b)(4), may be furnished under any of the following
circumstances:
(1) \508\ The President determines that furnishing
such assistance is important to the national interest
of the United States.
---------------------------------------------------------------------------
\508\ Section 1(a)(3) of Executive Order 12884 of December 1, 1993
(58 F.R. 64099; December 3, 1993) delegated to the Secretary of State
those functions conferred upon the President in paragraph (1) of
``section 498A(C)'', ``and the requirement to make reports under that
section regarding determinations under that paragraph''. As there is no
such designation in the Foreign Assistance Act, the Executive Order is
probably referring to sec. 498A(c).
---------------------------------------------------------------------------
(2) \509\ The President determines that furnishing
such assistance will foster respect for internationally
recognized human rights and the rule of law or the
development of institutions of democratic governance.
---------------------------------------------------------------------------
\509\ Section 2(d) of Executive Order 12884 of December 1, 1993 (58
F.R. 64099; December 3, 1993) delegated to the Coordinator (as
established in sec. 102 of the FREEDOM Support Act; 22 U.S.C. 5812)
those functions conferred upon the President in paragraph (2) of sec.
498A(c), and the requirement to make reports under that section
regarding determinations under that paragraph.
---------------------------------------------------------------------------
(3) \510\ The assistance is furnished for the
alleviation of suffering resulting from a natural or
man-made disaster.
---------------------------------------------------------------------------
\510\ Section 3(c) of Executive Order 12884 of December 1, 1993 (58
F.R. 64099; December 3, 1993) delegated to the International
Development Cooperation Agency those functions conferred upon the
President in paragraph (3) of sec. 498A(c), and the requirement to make
reports under that section regarding determinations under that
paragraph. This delegation of authority is subject to the authority of
the Coordinator (as established in sec. 102 of the FREEDOM Support Act;
22 U.S.C. 5812) under sec. 102 of that Act. Sec. 3 of that Executive
Order ceased to be effective with enactment of the Foreign Affairs
Reform and Restructuring Act of 1998, pursuant to sec. 1422(a)(4)
(division G of Public Law 105-277; 112 Stat. 2681).
---------------------------------------------------------------------------
(4) \511\ The assistance is provided under the
secondary school exchange program administered by the
United States Information Agency.
---------------------------------------------------------------------------
\511\ Sec. 106(c)(3) of the Cuban Liberty and Democratic Solidarity
(LIBERTAD) Act of 1996 (Public Law 104-114; 110 Stat. 796) added para.
(4).
---------------------------------------------------------------------------
The President shall immediately report to the Congress any
determination under paragraph (1) or (2) or any decision to
provide assistance under paragraph (3).
(d) \512\ Reduction in Assistance for Support of
Intelligence Facilities in Cuba.--
---------------------------------------------------------------------------
\512\ Sec. 106(d)(2) of the Cuban Liberty and Democratic Solidarity
(LIBERTAD) Act of 1996 (Public Law 104-114; 110 Stat. 797) added
subsec. (d). Sec. 106(d)(1) of that Act further provided the following:
``(d) facilities at lourdes, cuba.--
---------------------------------------------------------------------------
``(1) disapproval of credits.--The Congress expresses its
strong disapproval of the extension by Russia of credits
equivalent to $200,000,000 in support of the intelligence
facility at Lourdes, Cuba, in November 1994.''.
(1) Reduction in assistance.--Notwithstanding any
other provision of law, the President shall withhold
from assistance provided, on or after the date of the
enactment of this subsection, for an independent state
of the former Soviet Union under this Act an amount
equal to the sum of assistance and credits, if any,
provided on or after such date by such state in support
of intelligence facilities in Cuba, including the
intelligence facility at Lourdes, Cuba.
(2) Waiver.--(A) The President may waive the
requirement of paragraph (1) to withhold assistance if
the President certifies to the appropriate
congressional committees that the provision of such
assistance is important to the national security of the
United States, and, in the case of such a certification
made with respect to Russia, if the President certifies
that the Russian Government has assured the United
States Government that the Russian Government is not
sharing intelligence data collected at the Lourdes
facility with officials or agents of the Cuban
Government.
(B) At the time of a certification made with respect
to Russia under subparagraph (A), the President shall
also submit to the appropriate congressional committees
a report describing the intelligence activities of
Russia in Cuba, including the purposes for which the
Lourdes facility is used by the Russian Government and
the extent to which the Russian Government provides
payment or government credits to the Cuban Government
for the continued use of the Lourdes facility.
(C) The report required by subparagraph (B) may be
submitted in classified form.
(D) For purposes of this paragraph, the term
``appropriate congressional committees'' includes the
Permanent Select Committee on Intelligence of the House
of Representatives and the Select Committee on
Intelligence of the Senate.
(3) Exceptions to reductions in assistance.--The
requirement of paragraph (1) to withhold assistance
shall not apply with respect to--
(A) assistance to meet urgent humanitarian
needs, including disaster and refugee relief;
(B) democratic political reform or rule of
law activities;
(C) technical assistance for safety upgrades
of civilian nuclear power plants;
(D) the creation of private sector or
nongovernmental organizations that are
independent of government control;
(E) the development of a free market economic
system;
(F) assistance under the secondary school
exchange program administered by the United
States Information Agency; or
(G) assistance for the purposes described in
the Cooperative Threat Reduction Act of 1993
(title XII of Public Law 103-160).
SEC. 498B.\513\ AUTHORITIES RELATING TO ASSISTANCE AND OTHER
PROVISIONS.
(a) Assistance Through Governments and Nongovernmental
Organizations.--Assistance under this chapter may be provided
to governments or through nongovernmental organizations.
---------------------------------------------------------------------------
\513\ 22 U.S.C. 2295b.
---------------------------------------------------------------------------
(b) Technical and Managerial Assistance.--Technical
assistance under this chapter shall, to the maximum extent
feasible, be provided on a long term, on-site basis and shall
emphasize the provision of practical, management and other
problem-solving advice, particularly advice on private
enterprise provided by United States business volunteers.
(c) \501\ Enterprise Funds.--Activities supported pursuant to
this chapter may include the establishment of and the provision
of support for one or more enterprise funds for the independent
states of the former Soviet Union. If the President determines
\514\ that an enterprise fund should be established and
supported under this chapter, the provisions contained in
section 201 of the Support for East European Democracy (SEED)
Act of 1989 (excluding the authorizations of appropriations
provided in subsection (b) of that section) shall be deemed to
apply with respect to such enterprise fund and to funds made
available to such enterprise fund pursuant to this chapter.
---------------------------------------------------------------------------
\514\ In Department of State Public Notice 1926 of December 10,
1993, the Coordinator of U.S. Assistance to the New Independent States
determined that the following enterprise funds should be established
and supported under chapter 11 of part I of the Act: (1) The Russian-
American Enterprise Fund, (2) The Fund for Large Enterprise
Restructuring, and (3) The Central Asia Regional Enterprise Fund (58
F.R. 69441). Department of State Public Notice 1976 of March 23, 1994,
determined that the Western NIS Enterprise Fund should be established
and supported under chapter 11 of part I (59 F.R. 16255). Department of
State Public Notice 2228 of June 23, 1995, determined that the U.S.
Russia Investment Fund should be established and supported under
chapter 11 of part I (61 F.R. 36176).
---------------------------------------------------------------------------
(d) Cooperative Development and Research Projects.--
Assistance under this chapter may include support for
cooperative development projects, including cooperative
development research projects, among the United States, other
countries, and independent states of the former Soviet Union.
(e) Administration of Justice Programs.--In order to
strengthen the administration of justice in the independent
states of the former Soviet Union under paragraph (2)(G) of
section 498, the President may exercise the same authorities as
are available under section 534 of this Act, subject to the
limitations and requirements of that section, other than
subsection (c) and the last two sentences of subsection (e).
(f) Use of Economic Support Funds.--Any funds that have been
allocated under chapter 4 of part II for assistance for the
independent states of the former Soviet Union may be used in
accordance with the provisions of this chapter.
(g) \501\ Use of SEED Agency Funds and Administrative
Authorities.--The President may authorize any agency of the
United States Government that has authority to conduct
activities under the Support for East European Democracy (SEED)
Act of 1989 to use--
(1) any funds that are available to it for activities
related to international affairs outside Eastern
Europe, and
(2) any administrative authorities that are available
to it for activities with respect to Eastern Europe,
to conduct activities authorized by section 498 with respect to
the independent states of the former Soviet Union.
(h) \515\ Procurement Restrictions.--Funds made available for
assistance under this chapter may be used for procurement--
---------------------------------------------------------------------------
\515\ Section 5(a) of Executive Order 12884 of December 1, 1993 (58
F.R. 64099; December 3, 1993) delegated to the head of the agency that
is responsible for administering relevant programs or activities those
functions conferred upon the President in sections 498B(h) and 498B(i).
This delegation of authority is subject to the authority of the
Coordinator (as established in sec. 102 of the FREEDOM Support Act; 22
U.S.C. 5812) under sec. 102 of that Act.
---------------------------------------------------------------------------
(1) in the United States, the independent states of
the former Soviet Union, or a developing country; or
(2) in any other country but only if--
(A) the provision of such assistance requires
commodities or services of a type that are not
produced in and available for purchase in any
country specified in paragraph (1); or
(B) the President determines, on a case-by-
case basis, that procurement in such other
country is necessary--
(i) to meet unforeseen circumstances,
such as emergency situations, where it
is important to permit procurement in a
country not specified in paragraph (1),
or
(ii) to promote efficiency in the use
of United States foreign assistance
resources, including to avoid
impairment of foreign assistance
objectives.
(i) Terms and Conditions.--Assistance under this chapter
shall be provided on such terms and conditions as the President
may determine, consistent with applicable provisions of law
(except as otherwise provided in subsection (j)).
(j) Waiver of Certain Provisions.--
(1) In general.--Funds authorized to be appropriated
for fiscal year 1993 by this chapter, and any other
funds appropriated for fiscal year 1993 that are used
under the authority of subsection (f) or (g), may be
used to provide assistance under this chapter
notwithstanding any other provision of law, except
for--
(A) this chapter;
(B) section 634A of this Act and comparable
notification requirements contained in sections
of the annual foreign operations, export
financing, and related programs Act;
(C) sections 101 and 102 of the Arms Export
Control Act \516\ and sections 306 and 307 of
the Chemical and Biological Weapons Control and
Warfare Elimination Act of 1961,\517\ to the
extent that they apply to assistance to
governments; and
---------------------------------------------------------------------------
\516\ Formerly referred to sections 669 and 670 of this Act. Sec.
826(b) of the Foreign Relations Authorization Act, Fiscal Years 1994
and 1995 (Public Law 103-236; 108 Stat. 519) repealed those two
sections, and sec. 826(c) of that Act stated that ``Any reference in
law as of the date of enactment of this Act [April 30, 1994] to section
669 or 670 of the Foreign Assistance Act of 1961 shall, after such
date, be deemed to be a reference to section 101 or 102 , as the case
may be, of the Arms Export Control Act.
\517\ So in original. Should read ``1991''. Sec. 306 (22 U.S.C.
5604) and sec. 307 (22 U.S.C. 5605) may be found in Legislation on
Foreign Relations Through 1998, vol. II, sec. F.
---------------------------------------------------------------------------
(D) section 1341 of title 31, United States
Code (commonly referred to as the ``Anti-
Deficiency Act''), the Congressional Budget and
Impoundment Control Act of 1974, the Balanced
Budget and Emergency Deficit Control Act of
1985, and the Budget Enforcement Act of
1990.\518\
---------------------------------------------------------------------------
\518\ Public Law 97-258 (96 Stat. 877 at 923), Public Law 93-344
(88 Stat. 297), Public Law 99-177 (99 Stat. 1037), and title XIII of
Public Law 101-508 (104 Stat. 1388-573), respectively.
---------------------------------------------------------------------------
(2) Nuclear reactor safety and related activities.--
Any provision that corresponds to section 510 of the
Foreign Operations, Export Financing, and Related
Programs Appropriations Act, 1991 (relating to the
prohibition on financing exports of nuclear equipment,
fuel, and technology) \519\ shall not apply with
respect to funds used pursuant to this chapter.
---------------------------------------------------------------------------
\519\ Sec. 510 of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1991 (Public Law 101-513; 104
Stat. 2003), is restated currently by sec. 506 of the Foreign
Operations, Export Financing, and Related Programs Appropriations Act,
1999 (division A, sec. 101(d) of Public Law 105-277; 112 Stat. 2681).
---------------------------------------------------------------------------
(k) Definitions.--
(1) Appropriate congressional committees.--As used in
this chapter, the term ``appropriate congressional
committees'' means the Committee on Foreign Affairs
\520\ and the Committee on Appropriations of the House
of Representatives and the Committee on Foreign
Relations and the Committee on Appropriations of the
Senate.
---------------------------------------------------------------------------
\520\ Sec. 1(a)(5) of Public Law 104-14 (109 Stat. 186) provided
that references to the Committee on Foreign Affairs of the House of
Representatives shall be treated as referring to the Committee on
International Relations of the House of Representatives.
---------------------------------------------------------------------------
(2) Independent states of the former soviet union.--
As used in this chapter, the terms ``independent states
of the former Soviet Union'' and ``independent states''
have the meaning given those terms by section 3 of the
Freedom for Russia and Emerging Eurasian Democracies
and Open Markets Support Act of 1992.
(3) \521\ Nonmarket based trade.--As used in section
498A(b)(5), the term ``nonmarket based trade'' includes
exports, imports, exchanges, or other arrangements that
are provided for goods and services (including oil and
other petroleum products) on terms more favorable than
those generally available in applicable markets or for
comparable commodities, including--
---------------------------------------------------------------------------
\521\ Sec. 106(c)(2) of the Cuban Liberty and Democratic Solidarity
(LIBERTAD) Act of 1996 (Public Law 104-114; 110 Stat. 796) added para.
(3).
---------------------------------------------------------------------------
(A) exports to the Cuban Government on terms
that involve a grant, concessional price,
guaranty, insurance, or subsidy;
(B) imports from the Cuban Government at
preferential tariff rates;
(C) exchange arrangements that include
advance delivery of commodities, arrangements
in which the Cuban Government is not held
accountable for unfulfilled exchange contracts,
and arrangements under which Cuba does not pay
appropriate transportation, insurance, or
finance costs; and
(D) the exchange, reduction, or forgiveness
of debt of the Cuban Government in return for a
grant by the Cuban Government of an equity
interest in a property, investment, or
operation of the Cuban Government or of a Cuban
national.
(4) Cuban government.--(A) The term ``Cuban
Government'' includes the government of any political
subdivision of Cuba, and any agency or instrumentality
of the Government of Cuba.
(B) For purposes of subparagraph (A), the term
``agency or instrumentality of the Government of Cuba''
means an agency or instrumentality of a foreign state
as defined in section 1603(b) of title 28, United
States Code, with each reference in such section to ``a
foreign state'' deemed to be a reference to ``Cuba''.
SEC. 498C.\522\ AUTHORIZATION OF APPROPRIATIONS.
(a) In general.--To carry out this chapter, there are
authorized to be appropriated to the President for fiscal year
1993 $410,000,000, in addition to amounts otherwise available
for assistance for the independent states of the former Soviet
Union. Amounts appropriated pursuant to this subsection are
authorized to remain available until expended.\523\
---------------------------------------------------------------------------
\522\ 22 U.S.C. 2295c.
\523\ Congress did not enact an authorization for fiscal year 1999.
Instead, the Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1999 (division A, sec. 101(d) of Public Law 105-
277; 112 Stat. 2681), waived the requirements for authorization, and
titles II and V of that Act provided the following:
---------------------------------------------------------------------------
``TITLE II--BILATERAL ECONOMIC ASSISTANCE
* * * * * * *
``assistance for the new independent states of the former soviet union
---------------------------------------------------------------------------
``(a) For necessary expenses to carry out the provisions of chapter
11 of part I of the Foreign Assistance Act of 1961 and the FREEDOM
Support Act, for assistance for the New Independent States of the
former Soviet Union and for related programs, $801,000,000, to remain
available until September 30, 2000: Provided, That the provisions of
such chapter shall apply to funds appropriated by this paragraph:
Provided further, That such sums as may be necessary may be transferred
to the Export-Import Bank of the United States for the cost of any
financing under the Export-Import Bank Act of 1945 for activities for
the New Independent States.
``(b) Funds appropriated under title II of this Act, including
funds appropriated under this heading, should be made available for
assistance for Mongolia at a level which is at least equivalent to the
level provided in fiscal year 1998: Provided, That funds made available
for assistance for Mongolia may be made available in accordance with
the purposes and utilizing the authorities provided in chapter 11 of
part I of the Foreign Assistance Act of 1961.
``(c)(1) Of the funds appropriated under this heading that are
allocated for assistance for the Government of Russia, 50 percent shall
be withheld from obligation until the President determines and
certifies in writing to the Committees on Appropriations that the
Government of Russia has terminated implementation of arrangements to
provide Iran with technical expertise, training, technology, or
equipment necessary to develop a nuclear reactor, related nuclear
research facilities or programs, or ballistic missile capability.
``(2) Notwithstanding paragraph (1) assistance may be provided for
the Government of Russia if the President determines and certifies to
the Committees on Appropriations that making such funds available: (A)
is vital to the national security interest of the United States; and
(B) that the Government of Russia is taking meaningful steps to limit
major supply contracts and to curtail the transfer of technology and
technological expertise related to activities referred to in paragraph
(1).
``(d) Not more than 30 percent of the funds appropriated under this
heading may be made available for assistance for any country in the
region.
``(e) Of the funds appropriated under this heading, not less than
$228,000,000 shall be made available for assistance for the Southern
Caucasus region: Provided, That of the funds made available for the
Southern Caucasus region, 17.5 percent should be used for
reconstruction and other activities relating to the peaceful resolution
of conflicts within the region, especially those in the vicinity of
Abkhazia and Nagorno-Karabakh: Provided further, That if the Secretary
of State after May 30, 1999, determines and reports to the relevant
committees of Congress that the full amount of funds that may be made
available under the first proviso cannot be effectively utilized, the
amount provided may be used for other purposes under this heading:
Provided further, That of the funds provided under this subsection, 37
percent shall be made available for assistance for Georgia and 35
percent shall be made available for assistance for Armenia: Provided
further, That of funds made available for Armenia, not less than 12
percent shall be made available for an endowment for the American
University in Armenia.
``(f) Section 907 of the FREEDOM Support Act shall not apply to--
---------------------------------------------------------------------------
``(1) activities to support democracy or assistance under
title V of the FREEDOM Support Act and section 1424 of Public
Law 104-201;
``(2) any assistance provided by the Trade and Development
Agency under section 661 of the Foreign Assistance Act of 1961
(22 U.S.C. 2421);
``(3) any activity carried out by a member of the United
States and Foreign Commercial Service while acting within his
or her official capacity;
``(4) any insurance, reinsurance, guarantee, or other
assistance provided by the Overseas Private Investment
Corporation under title IV of chapter 2 of part I of the
Foreign Assistance Act of 1961 (22 U.S.C. 2191 et seq.);
``(5) any financing provided under the Export-Import Bank Act
of 1945; or
``(6) humanitarian assistance.
---------------------------------------------------------------------------
``(g) Of the funds appropriated under this heading, not less than
$195,000,000 shall be made available for assistance for Ukraine:
Provided, That not less than $25,000,000 of such funds should be made
available for nuclear reactor safety programs, of which not less than
$1,000,000 shall be made available for personnel security initiatives
at all nuclear reactor installations: Provided further, That 50 percent
of the amount made available in this subsection, exclusive of funds
made available for nuclear safety and law enforcement reforms, shall be
withheld from obligation and expenditure until the Secretary of State
reports to the Committees on Appropriations that Ukraine has undertaken
significant economic reforms additional to those achieved in fiscal
year 1998, and include: (1) reform and effective enforcement of
commercial and tax codes; and (2) continued progress on resolution of
complaints by United States investors: Provided further, That the
report in the previous proviso shall be provided 120 days after the
date of enactment of this Act: Provided further, That for the purposes
of the agreement with Ukraine submitted to the Congress under section
123 of the Atomic Energy Act of 1954, as amended, the requirement to
submit the agreement and related documents to the Congress and the
appropriate congressional committees for the periods described in that
Act shall be deemed satisfied upon the enactment of this Act.
``(h) The Coordinator for Assistance to the New Independent States
of the Former Soviet Union shall inform the Committees on
Appropriations prior to the obligation of funds made available under
this heading for a United States national lab to administer nuclear
safety activities if the management costs exceed 9 percent of the costs
associated with the program or activity.
---------------------------------------------------------------------------
* * * * * * *
``nonproliferation, anti-terrorism, demining and related programs
---------------------------------------------------------------------------
``For necessary expenses for nonproliferation, anti-terrorism and
related programs and activities, $198,000,000, to carry out the
provisions of chapter 8 of part II of the Foreign Assistance Act of
1961 for anti-terrorism assistance, section 504 of the FREEDOM Support
Act for the Nonproliferation and Disarmament Fund, section 23 of the
Arms Export Control Act or the Foreign Assistance Act of 1961 for
demining activities, the clearance of unexploded ordnance, and related
activities, notwithstanding any other provision of law, including
activities implemented through nongovernmental and international
organizations, section 301 of the Foreign Assistance Act of 1961 for a
voluntary contribution to the International Atomic Energy Agency (IAEA)
and a voluntary contribution to the Korean Peninsula Energy Development
Organization (KEDO), and for a United States contribution to the
Comprehensive Nuclear Test Ban Treaty Preparatory Commission: Provided,
That the Secretary of State shall inform the Committees on
Appropriations at least twenty days prior to the obligation of funds
for the Comprehensive Nuclear Test Ban Treaty Preparatory Commission:
Provided further, That of this amount not to exceed $15,000,000, to
remain available until expended, may be made available for the
Nonproliferation and Disarmament Fund, notwithstanding any other
provision of law, to promote bilateral and multilateral activities
relating to nonproliferation and disarmament: Provided further, That
such funds may also be used for such countries other than the New
Independent States of the former Soviet Union and international
organizations when it is in the national security interest of the
United States to do so: Provided further, That such funds shall be
subject to the regular notification procedures of the Committees on
Appropriations: Provided further, That of the funds appropriated under
this heading not less than $35,000,000 should be made available for
demining, clearance of unexploded ordnance, and related activities:
Provided further, That of the funds made available for demining and
related activities, not to exceed $500,000, in addition to funds
otherwise available for such purposes, may be used for expenses related
to the operation and management of the demining program: Provided
further, That funds appropriated under this heading may be made
available for the International Atomic Energy Agency only if the
Secretary of State determines (and so reports to the Congress) that
Israel is not being denied its right to participate in the activities
of that Agency.
---------------------------------------------------------------------------
* * * * * * *
``TITLE V--GENERAL PROVISIONS
* * * * * * *
``new independent states of the former soviet union
---------------------------------------------------------------------------
``Sec. 517. (a) None of the funds appropriated under the heading
`Assistance for the New Independent States of the Former Soviet Union'
shall be made available for assistance for a Government of the New
Independent States of the former Soviet Union--
---------------------------------------------------------------------------
``(1) unless that Government is making progress in
implementing comprehensive economic reforms based on market
principles, private ownership, respect for commercial
contracts, and equitable treatment of foreign private
investment; and
``(2) if that Government applies or transfers United States
assistance to any entity for the purpose of expropriating or
seizing ownership or control of assets, investments, or
ventures.
Assistance may be furnished without regard to this subsection
if the President determines that to do so is in the national
interest.
---------------------------------------------------------------------------
``(b) None of the funds appropriated under the heading `Assistance
for the New Independent States of the Former Soviet Union' shall be
made available for assistance for a Government of the New Independent
States of the former Soviet Union if that government directs any action
in violation of the territorial integrity or national sovereignty of
any other new independent state, such as those violations included in
the Helsinki Final Act: Provided, That such funds may be made available
without regard to the restriction in this subsection if the President
determines that to do so is in the national security interest of the
United States.
``(c) None of the funds appropriated under the heading `Assistance
for the New Independent States of the Former Soviet Union' shall be
made available for any state to enhance its military capability:
Provided, That this restriction does not apply to demilitarization,
demining or nonproliferation programs.
``(d) Funds appropriated under the heading `Assistance for the New
Independent States of the Former Soviet Union' shall be subject to the
regular notification procedures of the Committees on Appropriations.
``(e) Funds made available in this Act for assistance to the New
Independent States of the former Soviet Union shall be subject to the
provisions of section 117 (relating to environment and natural
resources) of the Foreign Assistance Act of 1961.
``(f) Funds appropriated in this or prior appropriations Acts that
are or have been made available for an Enterprise Fund in the New
Independent States of the Former Soviet Union may be deposited by such
Fund in interest-bearing accounts prior to the disbursement of such
funds by the Fund for program purposes. The Fund may retain for such
program purposes any interest earned on such deposits without returning
such interest to the Treasury of the United States and without further
appropriation by the Congress. Funds made available for Enterprise
Funds shall be expended at the minimum rate necessary to make timely
payment for projects and activities.
``(g) In issuing new task orders, entering into contracts, or
making grants, with funds appropriated in this Act or prior
appropriations Acts under the heading `Assistance for the New
Independent States of the Former Soviet Union' for projects or
activities that have as one of their primary purposes the fostering of
private sector development, the Coordinator for United States
Assistance to the New Independent States and the implementing agency
shall encourage the participation of and give significant weight to
contractors and grantees who propose investing a significant amount of
their own resources (including volunteer services and in-kind
contributions) in such projects and activities.
``(h)(1) Withholding of Assistance.--None of the funds appropriated
by this Act may be made available for assistance for the Government of
the Russian Federation, after 180 days from the date of enactment of
this Act, until agreement has been reached that assistance provided
with funds appropriated by this Act will not be subject to customs
duties or that legislation has been enacted and is in force that
exempts such assistance from being subject to customs duties.
``(2) Waiver.--Notwithstanding paragraph (1), assistance may be
provided for the Government of the Russian Federation if the President
determines that significant progress has been made on reaching an
agreement, or enacting and enforcing legislation, that meets the
objectives of this section to provide exemption from customs duties for
assistance furnished under this Act.
---------------------------------------------------------------------------
* * * * * * *
``to prohibit foreign assistance to the government of russia should it
enact laws which would discriminate against minority religious faiths
in the russian federation
---------------------------------------------------------------------------
``Sec. 572. None of the funds appropriated under this Act may be
made available for the Government of Russian Federation, after 180 days
from the date of enactment of this Act, unless the President determines
and certifies in writing to the Committee on Appropriations and the
Committee on Foreign Relations of the Senate that the Government of the
Russian Federation has implemented no statute, executive order,
regulation or similar government action that would discriminate, or
would have as its principal effect discrimination, against religious
groups or religious communities in the Russian Federation in violation
of accepted international agreements on human rights and religious
freedoms to which the Russian Federation is a party.''.
See also the FREEDOM Support Act (Public Law 102-511; 106 Stat.
3320), in Legislation on Foreign Relations Through 1998, vol. I-B.
---------------------------------------------------------------------------
(b) Operating expenses.--
(1) Authority to transfer program funds.--Subject to
paragraph (2), funds made available under subsection
(a) may be transferred to, and merged with, funds
appropriated for ``Operating Expenses of the Agency for
International Development''. Funds so transferred may
be expended for administrative costs in carrying out
this chapter, including reimbursement of the Department
of State for its incremental costs associated with
assistance provided under this chapter.
(2) \524\ Limitation on amount transferred.--Not more
than 2 percent of the funds made available for a fiscal
year under subsection (a) may be transferred pursuant
to paragraph (1) unless, at least 15 days before
transferring any additional amount, the President
notifies the appropriate congressional committees in
accordance with the procedures applicable to
reprogramming notifications under section 634A of this
Act.
---------------------------------------------------------------------------
\524\ Section 3(b) of Executive Order 12884 of December 1, 1993 (58
F.R. 64099; December 3, 1993), delegated to the International
Development Cooperation Agency those functions conferred upon the
President in section 498C(b)(2). This delegation of authority is
subject to the authority of the Coordinator (as established in sec. 102
of the FREEDOM Support Act; 22 U.S.C. 5812) under sec. 102 of that Act.
Sec. 3 of that Executive Order ceased to be effective with enactment of
the Foreign Affairs Reform and Restructuring Act of 1998, pursuant to
sec. 1422(a)(4) (division G of Public Law 105-277; 112 Stat. 2681).
---------------------------------------------------------------------------
PART II \525\
Chapter 1--Policy \526\
Sec. 501.\527\ Statement of Policy.--The Congress of the
United States reaffirms the policy of the United States to
achieve international peace and security through the United
Nations so that armed force shall not be used except for
individual or collective self-defense. The Congress hereby
finds that the efforts of the United States and other friendly
countries to promote peace and security continue to require
measures of support based upon the principle of effective self-
help and mutual aid. It is the purpose of this part to
authorize measures in the common defense against internal and
external aggression, including the furnishing of military
assistance, upon request, to friendly countries and
international organizations. In furnishing such military
assistance, it remains the policy of the United States to
continue to exert maximum efforts to achieve universal control
of weapons of mass destruction and universal regulation and
reduction of armaments, including armed forces, under adequate
safeguards to protect complying countries against violation and
invasion.
---------------------------------------------------------------------------
\525\ Sec. 594(a) of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1993 (Public Law 102-391; 106
Stat. 1692), inserted a chapter 12 at the end of Part I, preceding this
note, to provide for the Enterprise for the Americas Initiative. Sec.
602(b) of the Jobs Through Exports Act of 1992 (Public Law 102-549; 106
Stat. 3669), struck out this amendment, however, and inserted ``Part
IV--Enterprise for the Americas Initiative'' beginning at sec. 701 of
this Act.
\526\ Sec. 201(a) of the FA Act of 1963 struck out the words
``Short Title and'' in the chapter heading which formerly read ``Short
Title and Policy''.
\527\ 22 U.S.C. 2301. Former sec. 502 was designated sec. 501 by
sec. 201(a)(1) of the FA Act of 1967. Former sec. 501, which related to
the short title, was repealed by sec. 201(b) of the FA Act of 1963.
---------------------------------------------------------------------------
The Congress recognizes that the peace of the world and the
security of the United States are endangered so long as hostile
countries \528\ continue by threat of military action, by the
use of economic pressure, and by internal subversion, or other
means to attempt to bring under their domination peoples now
free and independent and continue to deny the rights of freedom
and self-government to peoples and countries once free but now
subject to such domination.
---------------------------------------------------------------------------
\528\ Sec. 705(1)(A) of the FRIENDSHIP Act (Public Law 103-199; 107
Stat. 2317) struck out ``international communism and the countries it
controls'' and inserted in lieu thereof ``hostile countries''.
---------------------------------------------------------------------------
It is the sense of the Congress that an important
contribution toward peace would be made by the establishment
under the Organization of American States of an international
military force.
In enacting this legislation, it is therefore the intention
of the Congress to promote the peace of the world and the
foreign policy, security, and general welfare of the United
States by fostering an improved climate of political
independence and individual liberty, improving the ability of
friendly countries and international organizations to deter or,
if necessary, defeat \529\ aggression, facilitating
arrangements for individual and collective security, assisting
friendly countries to maintain internal security, and creating
an environment of security and stability in the developing
friendly countries essential to their more rapid social,
economic, and political progress. The Congress urges that all
other countries able to contribute join in a common undertaking
to meet the goals stated in this part.
---------------------------------------------------------------------------
\529\ Sec. 705(1)(B) of the FRIENDSHIP Act (Public Law 103-199; 107
Stat. 2317) struck out `` Communist or Communist-supported'' from this
point.
---------------------------------------------------------------------------
It is the sense of the Congress that in the administration
of this part priority shall be given to the needs of those
countries in danger of becoming victims of \530\ aggression or
in which the internal security is threatened by internal
subversion inspired or supported by hostile countries.
---------------------------------------------------------------------------
\530\ Sec. 705(1)(C) of the FRIENDSHIP Act (Public Law 103-199; 107
Stat. 2317) struck out ``active Communist or Communist-supported
aggression or those countries in which the internal security is
threatened by Communist-inspired or Communist-supported internal
subversion.'' and inserted in lieu thereof ``aggression or in which the
internal security is threatened by internal subversion inspired or
supported by hostile countries.''. This paragraph was added originally
by sec. 201(a)(2) of the FA Act of 1967.
---------------------------------------------------------------------------
Finally, the Congress reaffirms its full support of the
progress of the members of the North Atlantic Treaty
Organization toward increased cooperation in political,
military, and economic affairs. In particular, the Congress
welcomes the steps which have been taken to promote
multilateral programs of coordinated procurement, research,
development, and production of defense articles and urges that
such programs be expanded to the fullest extent possible to
further the defense of the North Atlantic area.
Sec. 502.\531\ Utilization of Defense Articles and
Services.--Defense articles and defense services \532\ to any
country shall be furnished solely for internal security, for
legitimate self-defense, to permit the recipient country to
participate in regional or collective arrangements or measures
consistent with the Charter of the United Nations, or otherwise
to permit the recipient country to participate in collective
measures requested by the United Nations for the purpose of
maintaining or restoring international peace and security,\533\
or for the purpose of assisting foreign military forces in less
developed friendly countries (or the voluntary efforts of
personnel of the Armed Forces of the United States in such
countries) to construct public works and to engage in other
activities helpful to the economic and social development of
such friendly countries. It is the sense of the Congress that
such foreign military forces should not be maintained or
established solely for civic action activities and that such
civic action activities not significantly detract from the
capability of the military forces to perform their military
missions and be coordinated with and form part of the total
economic and social development effort.
---------------------------------------------------------------------------
\531\ 22 U.S.C. 2302. Former subsec. (a) of sec. 505 was
redesignated sec. 502 by sec. 201(d)(1) of the FA Act of 1967.
\532\ The words to this point were substituted for ``Utilization of
Assistance.--(a) Military assistance'' by sec. 201(d)(2) of the FA Act
of 1967.
\533\ Sec. 201(c)(1) of the FA Act of 1965 struck out a colon and
added the remainder of this section from this point.
---------------------------------------------------------------------------
Sec. 502A.\534\ * * * [Repealed--1996]
---------------------------------------------------------------------------
\534\ Formerly at 22 U.S.C. 2302. Sec. 104(b)(2)(A) of Public Law
104-164 (110 Stat. 1426) repealed sec. 502A. Originally added by sec.
12(a) of the FA Act of 1973, the section had read as follows:
``sec. 502a. excess defense articles.--Excess defense articles
shall be provided whenever possible rather than providing such articles
by the procurement of new items.''.
---------------------------------------------------------------------------
Sec. 502B.\535\ Human Rights.--(a)(1) \536\ The United
States shall, in accordance with its international obligations
as set forth in the Charter of the United Nations and in
keeping with the constitutional heritage and traditions of the
United States, promote and encourage increased respect for
human rights and fundamental freedoms throughout the world
without distinction as to race, sex, language, or religion.
Accordingly, a principal goal of the foreign policy of the
United States shall be to promote the increased observance of
internationally recognized human rights by all countries.
---------------------------------------------------------------------------
\535\ 22 U.S.C. 2304. Sec. 502B, which was added by sec. 46 of the
FA Act of 1974, was amended by sec. 301(a) of the International
Security Assistance and Arms Export Control Act of 1976 (Public Law 94-
329; 90 Stat. 748), and by the Export Administration Amendments Act of
1985 (Public Law 99-64; 99 Stat. 156.) It formerly read as follows:
``Sec. 502B. Human Rights.--It is the sense of Congress that except
in extraordinary circumstances, the President shall substantially
reduce or terminate security assistance to any government which engages
in a consistent pattern of gross violations of internationally
recognized human rights, including torture or cruel, inhuman or
degrading treatment or punishment; prolonged detention without charges;
or other flagrant denials of the right to life, liberty, and the
security of the person.
``(b) Whenever proposing or furnishing security assistance to any
government falling within the provisions of paragraph (a), the
President shall advise the Congress of the extraordinary circumstances
necessitating the assistance.
``(c) In determining whether or not a government falls within the
provisions of subsection (a), consideration shall be given to the
extent of cooperation by such government in permitting an unimpeded
investigation of alleged violations of internationally recognized human
rights by appropriate international organizations, including the
International Committee of the Red Cross and anybody acting under the
authority of the United Nations or of the Organization of American
States.
``(d) For purposes of this section, `security assistance' means
assistance under chapter 2 (military assistance) or chapter 4 (security
supporting assistance) of this part, assistance under part V (Indochina
Postwar Reconstruction) or part VI (Middle East Peace) of this Act,
sales under the Foreign Military Sales Act, or assistance for public
safety under this or any other Act.''.
\536\ Par. (1) was amended and restated by sec. 6(a) of the
International Security Assistance Act of 1978 (Public Law 95-384; 92
Stat. 731).
---------------------------------------------------------------------------
(2) \537\ Except under circumstances specified in this
section, no security assistance may be provided to any country
the government of which engages in a consistent pattern of
gross violations of internationally recognized human rights.
Security assistance may not be provided to the police, domestic
intelligence, or similar law enforcement forces of a country,
and licenses may not be issued under the Export Administration
Act of 1979 \538\ for the export of crime control and detection
instruments and equipment to a country, the government of which
engages in a consistent pattern of gross violations of
internationally recognized human rights unless the President
certifies in writing to the Speaker of the House of
Representatives and the chairman of the Committee on Foreign
Relations of the Senate and the chairman of the Committee on
Banking, Housing, and Urban Affairs of the Senate (when
licenses are to be issued pursuant to the Export Administration
Act of 1979), that extraordinary circumstances exist warranting
provision of such assistance and issuance of such licenses.
Assistance may not be provided under chapter 5 of this part to
a country the government of which engages in a consistent
pattern of gross violations of internationally recognized human
rights unless the President certifies in writing to the Speaker
of the House of Representatives and the chairman of the
Committee on Foreign Relations of the Senate that extraordinary
circumstances exist warranting provision of such
assistance.\539\
---------------------------------------------------------------------------
\537\ The words ``It is further the policy of the United States
that,'' which previously appeared at this point, were struck by sec.
6(b) of the International Security Assistance Act of 1978 (Public Law
95-384; 92 Stat. 731).
\538\ The reference to the Export Administration Act of 1979 was
inserted in lieu of a reference to the Export Administration Act of
1969 by sec. 704 of the International Security and Development
Cooperation Act of 1980 (Public Law 96-533; 94 Stat. 3157).
\539\ The final two sentences of par. (2) were added by sec. 6 of
the International Security Assistance Act of 1978 (Public Law 95-384;
92 Stat. 731, 732).
---------------------------------------------------------------------------
(3) In furtherance of paragraphs (1) and (2),\540\ the
President is directed to formulate and conduct international
security assistance programs of the United States in a manner
which will promote and advance human rights and avoid
identification of the United States, through such programs,
with governments which deny to their people internationally
recognized human rights and fundamental freedoms, in violation
of international law or in contravention of the policy of the
United States as expressed in this section or otherwise.
---------------------------------------------------------------------------
\540\ The words ``paragraphs (1) and (2),'' were inserted in lieu
of ``the foregoing policy'' by sec. 6(e) of the International Security
Assistance Act of 1978 (Public Law 95-384; 92 Stat. 732).
---------------------------------------------------------------------------
(4) \541\ In determining whether the government of a
country engages in a consistent pattern of gross violations of
internationally recognized human rights, the President shall
give particular consideration to whether the government--
---------------------------------------------------------------------------
\541\ Sec. 421(b) of the International Religious Freedom Act of
1998 (Public Law 105-292; 112 Stat. 2810) added para. (4).
---------------------------------------------------------------------------
(A) has engaged in or tolerated particularly severe
violations of religious freedom, as defined in section
3 of the International Religious Freedom Act of 1998;
or
(B) has failed to undertake serious and sustained
efforts to combat particularly severe violations of
religious freedom when such efforts could have been
reasonably undertaken.
(b) The Secretary of State shall transmit to the Congress,
as part of the presentation materials for security assistance
programs proposed for each fiscal year, a full and complete
report, prepared with the assistance of the Assistant Secretary
of State for Democracy, Human Rights, and Labor\542\ and with
the assistance of the Ambassador at Large for International
Religious Freedom,\543\ with respect to practices regarding the
observance of and respect for internationally recognized human
rights in each country proposed as a recipient of security
assistance. Wherever applicable, such report shall include
information on practices regarding coercion in population
control, including coerced abortion and involuntary
sterilization.\544\ Such report shall also include, wherever
applicable, information on violations of religious freedom,
including particularly severe violations of religious freedom
(as defined in section 3 of the International Religious Freedom
Act of 1998).\545\ Each report under this section shall list
the votes of each member of the United Nations Commission on
Human Rights on all country-specific and thematic resolutions
voted on at the Commission's annual session during the period
covered during the preceding year.\546\ In determining whether
a government falls within the provisions of subsection (a)(3)
and in the preparation of any report or statement required
under this section, consideration shall be given to--
---------------------------------------------------------------------------
\542\ Sec. 162(e)(2) of the Foreign Relations Authorization Act,
Fiscal Years 1994 and 1995 (Public Law 103-236; 108 Stat. 405), changed
this title designation by striking ``Human Rights and Humanitarian
Affairs'' and inserting lieu thereof ``Democracy, Human Rights, and
Labor''. Previously, sec. 109(a)(3) of the Foreign Relations
Authorization Act, Fiscal Year 1978 (Public Law 95-105; 91 Stat. 846)
changed the title designation from ``Coordinator for Human Rights and
Humanitarian Affairs'' to ``Assistant Secretary of State for Human
Rights and Humanitarian Affairs''.
\543\ Sec. 102(d)(2)(A) of the International Religious Freedom Act
of 1998 (Public Law 105-292; 112 Stat. 2795) inserted ``and with the
assistance of the Ambassador at Large for International Religious
Freedom'' after ``Labor''.
\544\ The sentence beginning ``Wherever applicable'' was added by
sec. 127 of the Foreign Relations Authorization Act, Fiscal Years 1988
and 1989 (Public Law 100-204; 101 Stat. 1331).
\545\ Sec. 102(d)(2)(B) of the International Religious Freedom Act
of 1998 (Public Law 105-292; 112 Stat. 2795) added the sentence that
begins ``Such report shall also include''.
\546\ Sec. 201(b) of Public Law 104-319 (110 Stat. 3864) added the
sentence beginning ``Each report...''.
---------------------------------------------------------------------------
(1) the relevant findings of appropriate
international organizations, including nongovernmental
organizations, such as the International Committee of
the Red Cross; and
(2) the extent of cooperation by such government in
permitting an unimpeded investigation by any such
organization of alleged violations of internationally
recognized human rights.
(c)(1) Upon the request of the Senate or the House of
Representatives by resolution of either such House, or upon the
request of the Committee on Foreign Relations of the Senate or
the Committee on Foreign Affairs \547\ of the House of
Representatives, the Secretary of State shall, within thirty
days after receipt of such request, transmit to both such
committees a statement, prepared with the assistance of the
Assistant Secretary of State for Democracy, Human Rights, and
Labor,\542\ with respect to the country designated in such
request, setting forth--
---------------------------------------------------------------------------
\547\ Sec. 1(a)(5) of Public Law 104-14 (109 Stat. 186) provided
that references to the Committee on Foreign Affairs of the House of
Representatives shall be treated as referring to the Committee on
International Relations of the House of Representatives. Previously,
sec. 9(a)(6) of the U.S.C. Technical Amendments (Public Law 103-437;
108 Stat. 4588) struck out ``International Relations'' and inserted in
lieu thereof ``Foreign Affairs''.
---------------------------------------------------------------------------
(A) all the available information about observance of
and respect for human rights and fundamental freedom in
that country, and a detailed description of practices
by the recipient government with respect thereto;
(B) the steps the United States has taken to--
(i) promote respect for and observance of
human rights in that country and discourage any
practices which are inimical to internationally
recognized human rights, and
(ii) publicly or privately call attention to,
and disassociate the United States and any
security assistance provided for such country
from, such practices;
(C) whether, in the opinion of the Secretary of
State, notwithstanding any such practices--
(i) extraordinary circumstances exist which
necessitate a continuation of security
assistance for such country, and, if so, a
description of such circumstances and the
extent to which such assistance should be
continued (subject to such conditions as
Congress may impose under this section), and
(ii) on all the facts it is in the national
interest of the United States to provide such
assistance; and
(D) such other information as such committee or such
House may request.
(2)(A) A resolution of request under paragraph (1) of this
subsection shall be considered in the Senate in accordance with
the provisions of section 601(b) of the International Security
Assistance and Arms Export Control Act of 1976.
(B) The term ``certification'', as used in section 601 of
such Act, means, for the purposes of this subsection, a
resolution of request of the Senate under paragraph (1) of this
subsection.
(3) In the event a statement with respect to a country is
requested pursuant to paragraph (1) of this subsection but is
not transmitted in accordance therewith within thirty days
after receipt of such request, no security assistance shall be
delivered to such country except as may thereafter be
specifically authorized by law from such country unless and
until such statement is transmitted.
(4)(A) In the event a statement with respect to a country
is transmitted under paragraph (1) of this subsection, the
Congress may at any time thereafter adopt a joint resolution
terminating, restricting, or continuing security assistance for
such country. In the event such a joint resolution is adopted,
such assistance shall be so terminated, so restricted, or so
continued, as the case may be.
(B) Any such resolution shall be considered in the Senate
in accordance with the provisions of section 601(b) of the
International Security Assistance and Arms Export Control Act
of 1976.
(C) The term ``certification'', as used in section 601 of
such Act, means, for the purposes of this paragraph, a
statement transmitted under paragraph (1) of this subsection.
(d) For the purposes of this section--
(1) the term ``gross violations of internationally
recognized human rights'' includes torture or cruel,
inhuman, or degrading treatment or punishment,
prolonged detention without charges and trial, causing
the disappearance of persons by the abduction and
clandestine detention of those persons,\548\ and other
flagrant denial of the right to life, liberty, or the
security of person; and
---------------------------------------------------------------------------
\548\ The words ``causing the disappearance of persons by the
abduction and clandestine detention of those persons,'' were added by
sec. 701(b) of the International Security and Development Cooperation
Act of 1980 (Public Law 96-533; 94 Stat. 3156).
---------------------------------------------------------------------------
(2) the term ``security assistance'' means--
(A) assistance under chapter 2 (military
assistance) or chapter 4 (economic support
fund) \549\ or chapter 5 (military education
and training) or chapter 6 (peacekeeping
operations) or chapter 8 (antiterrorism
assistance) of this part; \550\
---------------------------------------------------------------------------
\549\ The words ``economic support fund'' were inserted in lieu of
``security supporting assistance'' by sec. 10(b)(1) of the
International Security Assistance Act of 1978 (Public Law 95-384; 92
Stat. 735).
\550\ Sec. 12(b) of the International Security Assistance Act of
1978 (Public Law 95-384; 92 Stat. 737) added the words ``or chapter 6
(peacekeeping operations)'' and struck the words ``or part VI
(assistance to the Middle East) of this Act'' which had previously been
the final phrase of this paragraph.
The International Security and Development Assistance
Authorizations Act of 1983 (sec. 101(b)(2) of the Further Continuing
Appropriations Act, 1984; Public Law 98-151) added the words ``or
chapter 8 (antiterrorism assistance)''. Pursuant to Public Law 98-151,
this amendment was enacted as stated in title II of H.R. 2992, as
reported by the House Committee on Foreign Affairs on May 17, 1983.
---------------------------------------------------------------------------
(B) sales of defense articles or services,
extensions of credits (including participations
in credits),\551\ and guaranties of loans under
the Arms Export Control Act; or
---------------------------------------------------------------------------
\551\ While the printed slip law did not include a close
parentheses in subpar. (B), it is interpreted that such a mark was
intended to be inserted at this point.
---------------------------------------------------------------------------
(C) any license in effect with respect to the
export of defense articles or defense services
to or for the armed forces, police,
intelligence, or other internal security forces
of a foreign country under section 38 of the
Arms Export Control Act.
(e) \552\ Notwithstanding any other provision of law, funds
authorized to be appropriated under part I of this Act may be
made available for the furnishing of assistance to any country
with respect to which the President finds that such a
significant improvement in its human rights record has occurred
as to warrant lifting the prohibition on furnishing such
assistance in the national interest of the United States.
---------------------------------------------------------------------------
\552\ Subsec. (e) was added by sec. 511 of the International
Development Cooperation Act of 1979 (Public Law 96-53; 93 Stat. 380).
---------------------------------------------------------------------------
(f) \553\ In allowing the funds authorized to be
appropriated by this Act and the Arms Export Control Act, the
President shall take into account significant improvements in
the human rights records of recipient countries, except that
such allocations may not contravene any other provision of law.
---------------------------------------------------------------------------
\553\ Subsec. (f) was added by sec. 4 of the International Security
Assistance Act of 1979 (Public Law 96-92; 93 Stat. 702).
---------------------------------------------------------------------------
(g) \554\ Whenever the provisions of subsection (e) or (f)
of this section are applied, the President shall report to the
Congress before making any funds available pursuant to those
subsections. The report shall specify the country involved, the
amount and kinds of assistance to be provided, and the
justification for providing the assistance, including a
description of the significant improvements which have occurred
in the country's human rights record.
---------------------------------------------------------------------------
\554\ Subsec. (g) was added by sec. 1201 of the International
Security and Development Cooperation Act of 1985 (Public Law 99-83; 99
Stat. 276).
---------------------------------------------------------------------------
Chapter 2--Military Assistance
Sec. 503.\555\ General Authority.--(a) The President is
authorized to furnish military assistance, on such terms and
conditions as he may determine,\556\ to any friendly country or
international organization, the assisting of which the
President finds will strengthen the security of the United
States and promote world peace and which is otherwise eligible
to receive such assistance, by--
---------------------------------------------------------------------------
\555\ 22 U.S.C. 2311. Sec. 12(b)(1) of the FA Act of 1973 amended
sec. 503, which formerly read as follows:
``Sec. 503. General Authority.--The President is authorized to
furnish military assistance on such terms and conditions as he may
determine, to any friendly country or international organization, the
assisting of which the President finds will strengthen the security of
the United States and promote world peace and which is otherwise
eligible to receive such assistance by--
``(a) acquiring from any source and providing (by loan or grant)
any defense article or defense service;
``(b) making financial contributions to multilateral programs for
the acquisition or construction of facilities for collective defense;
``(c) providing financial assistance for expenses incident to
participation by the United States Government in regional or collective
defense organizations;
``(d) assigning or detailing members of the Armed Forces of the
United States and other personnel of the Department of Defense to
perform duties of a noncombatant nature, including those related to
training or advice.''.
\556\ In 1997, the President determined that the furnishing of
defense articles and services to the Governments of Georgia, Kazakstan,
Kyrgyzstan, Moldova, Turkmenistan, Russia, Ukraine, and Uzbekistan,
would strengthen the security of the United States and promote world
peace (Presidential Determination No. 97-19 of March 11, 1997; 62 F.R.
13531).
In 1995 and 1996, the President made similar determinations for
Angola (Presidential Determination No. 95-32 of July 28, 1995; 60 F.R.
40255), Mongolia (Presidential Determination No. 95-38 of August 22,
1995; 60 F.R. 50069), Bosnia and Herzegovina (Presidential
Determination No. 96-10 of February 23, 1996; 61 F.R. 8463), Slovenia,
and the Former Yugoslav Republic of Macedonia (Presidential
Determination No. 96-18 of March 8, 1996; 61 F.R. 11497).
---------------------------------------------------------------------------
(1) acquiring from any source and providing (by loan
or grant) any defense article or defense service;
(2) assigning or detailing members of the Armed
Forces of the United States and other personnel of the
Department of Defense to perform duties of a non-
combatant nature; or
(3) \557\ transferring such of the funds appropriated
or otherwise made available under this chapter as the
President may determine for assistance to a recipient
country,\558\ to the account in which funds for the
procurement of defense articles and defense services
under section 21 and section 22 of the Arms Export
Control Act have been deposited for such recipient, to
be merged with such deposited funds, and to be used
solely to meet obligations of the recipient for payment
for sales under that Act. Sales which are wholly paid
from funds transferred under paragraph (3) or from
funds made available on a non-repayable basis under
section 23 of the Arms Export Control Act \559\ shall
be priced to exclude the costs of salaries of members
of the Armed Forces of the United States (other than
the Coast Guard).\559\
---------------------------------------------------------------------------
\557\ Par. (3) was added by sec. 112(a) of the International
Security and Development Cooperation Act of 1980 (Public Law 96-533; 94
Stat. 3138).
Title III of the Foreign Operations, Export Financing, and Related
Programs Appropriations Act, 1988 (sec. 101(e) of the Continuing
Appropriations for 1988, Public Law 100-202; 101 Stat. 1329-131),
stipulated: ``That, after September 30, 1989, none of the funds
appropriated under this heading shall be made available for the
purposes of section 503(a)(3) of the Foreign Assistance Act of 1961''.
This proviso was subsequently repealed by title III of the Foreign
Operations, Export Financing, and Related Programs Appropriations Act,
1989 (Public Law 100-461; 102 Stat. 2268).
\558\ The word ``country'' was inserted in lieu of the words
``specified in section 504(a)(1) of this Act, within the dollar
limitations of that section'' by sec. 110(c) of the International
Security and Development Cooperation Act of 1981 (Public Law 97-113; 95
Stat. 1536).
\559\ The last sentence of par. (3) was added by sec. 123(a) of the
International Security and Development Cooperation Act of 1985 (Public
Law 99-83; 99 Stat. 205). The language ``or from funds . . . Act'' and
``(other than the Coast Guard)'' was added by Sec. 586(a) of the
Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1989 (Public Law 100-461; 102 Stat. 2268), to
become effective on October 1, 1989.
---------------------------------------------------------------------------
(b) In addition to such other terms and conditions as the
President may determine pursuant to subsection (a), defense
articles may be loaned thereunder only if--
(1) there is a bona fide reason, other than the
shortage of funds, for providing such articles on a
loan basis rather than on a grant basis;
(2) there is a reasonable expectation that such
articles will be returned to the agency making the loan
at the end of the loan period unless the loan is then
renewed;
(3) the loan period is of fixed duration not
exceeding five years, during which such article may be
recalled for any reason by the United States;
(4) the agency making the loan is reimbursed for the
loan based on the amount charged to the appropriation
for military assistance under subsection (c); and
(5) \560\ the loan agreement provides that (A) if the
defense article is damaged while on loan, the country
or international organization to which it was loaned
will reimburse the United States for the cost of
restoring or replacing the defense article, and (B) if
the defense article is lost or destroyed while on loan,
the country or international organization to which it
was loaned will pay to the United States an amount
equal to the replacement cost (less any depreciation in
the value) of the defense article.
---------------------------------------------------------------------------
\560\ Par. (5) was amended and restated by sec. 109(c) of the
International Security and Development Cooperation Act of 1981 (Public
Law 97-113; 95 Stat. 1536). It formerly read as follows:
``(5) arrangements are made with the agency making the loan to be
reimbursed in the event such article is lost or destroyed while on
loan, such reimbursement being made first out of any funds available to
carry out this chapter and based on the depreciated value of the
article at the time of loss or destruction.''.
---------------------------------------------------------------------------
(c)(1) In the case of any loan of a defense article or
defense service made under this section, there shall be a
charge to the appropriation for military assistance for any
fiscal year while the article or service is on loan in an
amount based on--
(A) the out-of-pocket expenses authorized to be
incurred in connection with such loan during such
fiscal year; and
(B) the depreciation which occurs during such year
while such article is on loan.
(2) The provisions of this subsection shall not apply--
(A) to any particular defense article or defense
service which the United States Government agreed,
prior to the date of enactment of this subsection, to
lend; and
(B) to any defense article or defense service, or
portion thereof, acquired with funds appropriated for
military assistance under this Act.
Sec. 504.\561\ Authorization.--(a) \562\ (1) There are
authorized to be appropriated to the President to carry out the
purposes of this chapter $805,100,000 for the fiscal year 1986
and $805,100,000 for the fiscal year 1987.
---------------------------------------------------------------------------
\561\ 22 U.S.C. 2312.
\562\ Subsec. (a) was amended and restated by sec. 103 of the
International Security and Development Cooperation Act of 1985 (Public
Law 99-83; 99 Stat. 195).
Authorizations under sec. 504 in recent years included the
following: fiscal year 1977--$235,000,000; fiscal year 1978--
$228,900,000; fiscal year 1979--$133,500,000; fiscal year 1980--
$110,200,000; fiscal year 1981--$106,100,000; fiscal year 1982--
$238,500,000; fiscal year 1983--$238,500,000; fiscal year 1984--
$639,700,000; fiscal year 1985--no authorization; fiscal years 1988
through 1999--no authorization.
Sec. 587(c) of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1993 (Public Law 102-391; 106
Stat. 1689), provided the following:
``(c) Of the funds made available (including earmarked funds) in
Public Law 101-513 and prior Acts making appropriations for foreign
operations, export financing, and related programs to carry out the
provisions of section 23 of the Arms Export Control Act and section 503
of the Foreign Assistance Act of 1961, $45,750,000 are rescinded.''.
---------------------------------------------------------------------------
(2) Amounts appropriated under this subsection are
authorized to remain available until expended.
(b) In order to make sure that a dollar spent on military
assistance to foreign countries is as necessary as a dollar
spent for the United States military establishment, the
President shall establish procedures for programing and
budgeting so that programs of military assistance come into
direct competition for financial support with other activities
and programs of the Department of Defense.
Sec. 505.\563\ Conditions of Eligibility.--(a) In addition
to such other provisions as the President may require, no
defense articles or related training or other defense service
\564\ shall be furnished to any country on a grant basis unless
it shall have agreed that--
---------------------------------------------------------------------------
\563\ 22 U.S.C. 2314. Former sec. 506 was redesignated sec. 505 by
sec. 201(e) of the FA Act of 1967.
\564\ Sec. 203(b) of the International Security Assistance and Arms
Export Control Act of 1976 (Public Law 94-329; 90 Stat. 735) added ``or
related training or other defense service''.
---------------------------------------------------------------------------
(1) it will not, without the consent of the
President--
(A) permit any use of such articles or
related training or other defense service \564\
by anyone not an officer, employee, or agent of
that country,
(B) transfer, or permit any officer,
employee, or agent of that country to transfer
such articles or related training or other
defense service \564\ by gift, sale, or
otherwise, or
(C) use or permit the use of such articles or
related training or other defense service \564\
for purposes other than those for which
furnished;
(2) it will maintain the security of such articles or
related training or other defense service,\564\ and
will provide substantially the same degree of security
protection afforded to such articles or related
training or other defense service \564\ by the United
States Government;
(3) it will, as the President may require, permit
continuous observation and review by, and furnish
necessary information to, representatives of the United
States Government with regard to the use of such
articles or related training or other defense service;
\564\ and
(4) unless the President consents to other
disposition, it will return to the United States
Government for such use or disposition as the President
considers in the best interests of the United States,
such articles or related training or other defense
service \564\ which are no longer needed for the
purposes for which furnished.
(b) No defense articles shall be furnished on a grant basis
to any country at a cost in excess of $3,000,000 in any fiscal
year unless the President determines--
(1) that such country conforms to the purposes and
principles of the Charter of the United Nations;
(2) that such defense articles will be utilized by
such country for the maintenance of its own defensive
strength, or \565\ the defensive strength of the free
world;
---------------------------------------------------------------------------
\565\ Sec. 201(b) of the FA Act of 1971 substituted ``or'' in lieu
of ``and''.
---------------------------------------------------------------------------
(3) that such country is taking all reasonable
measures, consistent with its political and economic
stability, which may be needed to develop its defense
capacities; and
(4) that the increased ability of such country to
defend itself is important to the security of the
United States.
(c) \566\ The President shall regularly reduce and, with
such deliberate speed as orderly procedure and other relevant
considerations, including prior commitments, will permit, shall
terminate all further grants of military equipment and supplies
to any country having sufficient wealth to enable it, in the
judgment of the President, to maintain and equip its own
military forces at adequate strength, without undue burden to
its economy.
---------------------------------------------------------------------------
\566\ Subsecs. (c) and (d) were added by sec. 201(a) of the FA Act
of 1962.
---------------------------------------------------------------------------
(d) \566\, \567\ (1) Assistance and deliveries
of assistance under this chapter to any country shall be
terminated as hereinafter provided, if such country uses
defense articles or defense services furnished under this Act,
the Mutual Security Act of 1954,\568\ or any predecessor
Foreign Assistance Act, in substantial violation (either in
terms of quantities or in terms of the gravity of the
consequences regardless of the quantities involved) of any
agreement entered into pursuant to any such Act (A) by using
such articles or services for a purpose not authorized under
section 502 or, if such agreement provides that such articles
or services may only be used for purposes more limited than
those authorized under section 502, for a purpose not
authorized under such agreement; (B) by transferring such
articles or services to, or permitting any use of such articles
or services by, anyone not an officer, employee, or agent of
the recipient country without the consent of the President; or
(C) by failing to maintain the security of such articles or
services.
---------------------------------------------------------------------------
\567\ Sec. 304(a) of the International Security Assistance and Arms
Export Control Act of 1976 (Public Law 94-329; 90 Stat. 751) amended
subsec. (d) which formerly read as follows:
``(d) Any country which hereafter uses defense articles or defense
services furnished such country under this Act, the Mutual Security Act
of 1954, as amended, or any predecessor foreign assistance Act, in
substantial violation of the provisions of this chapter or any
agreements entered into pursuant to any of such Acts shall be
immediately ineligible for further assistance.''.
\568\ For text, see Legislation on Foreign Relations Through 1998,
vol. I-B.
---------------------------------------------------------------------------
(2)(A) Assistance and deliveries of assistance shall be
terminated pursuant to paragraph (1) of this subsection if the
President so determines and so states in writing to the
Congress, or if the Congress so finds by joint resolution.
(B) The President shall report to the Congress promptly
upon the receipt of information that a violation described in
paragraph (1) of this subsection may have occurred.
(3) Assistance to a country shall remain terminated in
accordance with paragraph (1) of this subsection until such
time as--
(A) the President determines that the violation has
ceased; and
(B) the country concerned has given assurances
satisfactory to the President that such violation will
not recur.
(4) The authority contained in section 614(a) of this Act
may not be used to waive the provisions of this section with
respect to further assistance under this chapter.
(e) \569\ In considering a request for approval of any
transfer of any weapon, weapons system, munitions, aircraft,
military boat, military vessel, or other implement of war to
another country, the President shall not give his consent under
subsection (a)(1) or (a)(4) to the transfer unless the United
States itself would transfer the defense article under
consideration to that country.\570\ In addition, the President
shall not give his consent under subsection (a)(1) or (a)(4) to
the transfer of any significant defense articles on the United
States Munitions List unless the foreign country requesting
consent to transfer agrees to demilitarize such defense
articles prior to transfer, or the proposed recipient foreign
country provides a commitment in writing to the United States
Government that it will not transfer such defense articles if
not demilitarized, to any other foreign country or person
without first obtaining the consent of the President.
---------------------------------------------------------------------------
\569\ Former subsec. (e), which related to conditions of
eligibility, was repealed by Public Law 92-226. New subsecs. (e) and
(f) were added by sec. 12(3) of the FA Act of 1973.
\570\ Sec. 204(b)(2) of the International Security Assistance and
Arms Export Control Act of 1976 (Public Law 94-329; 90 Stat. 735)
amended sec. 505(e) by striking out the following words after
``country'': ``, and prior to the date he intends to give his consent
to the transfer, the President notifies the Speaker of the House of
Representatives and the Committee on Foreign Relations of the Senate in
writing of each intended consent, the justification for giving such
consent, the defense article for which he intends to give his consent
to be so transferred, and the foreign country to which that defense
article is to be transferred''.
---------------------------------------------------------------------------
(f) \569\ Effective July 1, 1974, no defense article shall
be furnished to any country on a grant basis unless such
country shall have agreed that the net proceeds of sale
received by such country in disposing of any weapon, weapons
system, munition, aircraft, military boat, military vessel, or
other implement of war received under this chapter will be paid
to the United States Government and shall be available to pay
all official costs of the United States Government payable in
the currency of that country, including all costs relating to
the financing of international educational and cultural
exchange activities in which that country participates under
the programs authorized by the Mutual Educational and Cultural
Exchange Act of 1961.\571\ In the case of items which were
delivered prior to 1985,\572\ the President may waive the
requirement that such net proceeds be paid to the United States
Government if he determines that to do so is in the national
interest of the United States.\573\
---------------------------------------------------------------------------
\571\ For text, see Legislation on Foreign Relations Through 1998,
vol. II, sec. E.
\572\ Title III of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1991 (Public Law 101-513; 104
Stat. 1998), struck out ``1975'' and inserted in lieu thereof ``1985''.
\573\ The last sentence of par. (f) was added by sec. 123(b) of the
International Security Cooperation and Development Act of 1985 (Public
Law 99-83; 99 Stat. 205).
---------------------------------------------------------------------------
(g) \574\ (1) It is the policy of the United States that no
assistance under this chapter should be furnished to any
foreign country, the laws, regulations, official policies, or
governmental practices of which prevent any United States
person (as defined in section 7701(a)(30) of the Internal
Revenue Code of 1954) from participating in the furnishing of
defense articles or defense services under this chapter on the
basis of race, religion, national origin, or sex.
---------------------------------------------------------------------------
\574\ Subsec. (g) was added by sec. 302(a) of the International
Security Assistance and Arms Export Control Act of 1976 (Public Law 94-
329; 90 Stat. 751).
---------------------------------------------------------------------------
(2)(A) No agency performing functions under this chapter
shall, in employing or assigning personnel to participate in
the performance of any such function, whether in the United
States or abroad, take into account the exclusionary policies
or practices of any foreign government where such policies or
practices are based upon race, religion, national origin, or
sex.
(B) Each contract entered into by any such agency for the
performance of any function under this chapter shall contain a
provision to the effect that no person, partnership,
corporation, or other entity performing functions pursuant to
such contract, shall, in employing or assigning personnel to
participate in the performance of any such function, whether in
the United States or abroad, take into account the exclusionary
policies or practices of any foreign government where such
policies or practices are based upon race, religion, national
origin, or sex.
(3) The President shall promptly transmit reports to the
Speaker of the House of Representatives and the chairman of the
Committee on Foreign Relations of the Senate concerning any
transaction in which any United States person (as defined in
section 7701(a)(30) of the Internal Revenue Code of 1954) is
prevented by a foreign government on the basis of race,
religion, national origin, or sex, from participating in the
furnishing of assistance under this chapter, or education and
training under chapter 5, to any foreign country. Such reports
shall include (A) a description of the facts and circumstances
of any such discrimination, (B) the response thereto on the
part of the United States or any agency or employee thereof,
and (C) the result of such response, if any.
(4)(A) Upon the request of the Committee on Foreign
Relations of the Senate or the Committee on Foreign Affairs
\575\ of the House of Representatives, the President shall,
within 60 days after receipt of such request, transmit to both
such committees a statement, prepared with the assistance of
the Assistant Secretary of State for Democracy, Human Rights,
and Labor,\576\ with respect to the country designated in such
request, setting forth--
---------------------------------------------------------------------------
\575\ Sec. 1(a)(5) of Public Law 104-14 (109 Stat. 186) provided
that references to the Committee on Foreign Affairs of the House of
Representatives shall be treated as referring to the Committee on
International Relations of the House of Representatives. Previously,
sec. 9(a)(6) of the U.S.C. Technical Amendments (Public Law 103-437;
108 Stat. 4588) struck out ``International Relations'' and inserted in
lieu thereof ``Foreign Affairs''.
\576\ Sec. 162(e)(2) of the Foreign Relations Authorization Act,
Fiscal Years 1994 and 1995 (Public Law 103-236; 108 Stat. 405), changed
this title designation by striking ``Human Rights and Humanitarian
Affairs'' and inserting lieu thereof ``Democracy, Human Rights, and
Labor''. Previously, sec. 109(a)(4) of the Foreign Relations
Authorization Act, Fiscal Year 1978 (Public Law 95-105; 91 Stat. 846)
changed the title designation from ``Coordinator for Human Rights and
Humanitarian Affairs'' to ``Assistant Secretary of State for Human
Rights and Humanitarian Affairs''.
---------------------------------------------------------------------------
(i) all the available information about the
exclusionary policies or practices of the government of
such country when such policies or practices are based
upon race, religion, national origin, or sex, and
prevent any such person from participating in a
transaction involving the furnishing of any assistance
under this chapter or any education and training under
chapter 5;
(ii) the response of the United States thereto and
the results of such response;
(iii) whether, in the opinion of the President,
notwithstanding any such policies or practices--
(I) extraordinary circumstances exist which
necessitate a continuation of such assistance
or education and training transaction, and, if
so, a description of such circumstances and the
extent to which such assistance or education
and training transaction should be continued
(subject to such conditions as Congress may
impose under this section), and
(II) on all the facts it is in the national
interest of the United States to continue such
assistance or education and training
transaction; and
(iv) such other information as such committee may
request.
(B) In the event a statement with respect to an assistance
or training transaction is requested pursuant to subparagraph
(A) of this paragraph but is not transmitted in accordance
therewith within 60 days after receipt of such request, such
assistance or training transaction shall be suspended unless
and until such statement is transmitted.
(C)(i) In the event a statement with respect to an
assistance or training transaction is transmitted under
subparagraph (A) of this paragraph, the Congress may at any
time thereafter adopt a joint resolution terminating or
restricting such assistance or training transaction.
(ii) Any such resolution shall be considered in the Senate
in accordance with the provisions of section 601(b) of the
International Security Assistance and Arms Export Control Act
of 1976.
(iii) The term ``certification'', as used in section 601 of
such Act, means, for the purposes of this paragraph, a
statement transmitted under subparagraph (A) of this paragraph.
Sec. 506.\577\ Special Authority.--(a)(1) \578\ If the
President determines and reports to the Congress in accordance
with section 652 of this Act that--
---------------------------------------------------------------------------
\577\ 22 U.S.C. 2318. Former sec. 510 was redesignated sec. 506 by
sec. 201(j)(1) of the FA Act of 1967. Sec. 506, as amended by sec. 102
of Public Law 94-329, was further amended and restated by sec. 5(b) of
the International Security Assistance Act of 1979 (Public Law 96-92; 93
Stat. 702).
\578\ Sec. 551 of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1990 (Public Law 101-167; 103
Stat. 1236), inserted the designation ``(1)'' here, redesignated
``(1)'' and ``(2)'' as ``(A)'' and ``(B)'', and inserted a new
``(2)(A)'' and ``(B)''.
---------------------------------------------------------------------------
(A) \578\ an unforeseen emergency exists which
requires immediate military assistance to a foreign
country or international organization; and
(B) \578\ the emergency requirement cannot be met
under the authority of the Arms Export Control Act or
any other law except this section;
he may direct, for the purposes of this part, the drawdown of
defense articles from the stocks of the Department of Defense,
defense services of the Department of Defense, and military
education and training, of an aggregate value of not to exceed
$100,000,000 in any fiscal year.\579\
---------------------------------------------------------------------------
\579\ The aggregate value of this special authority was increased
from $10 million to $50 million by sec. 112(d) of the International
Security and Development Cooperation Act of 1980 (Public Law 96-533; 94
Stat. 3139). It was subsequently increased from $50 million to $75
million by sec. 110(b) of the International Security and Development
Cooperation Act of 1981 (Public Law 97-113; 95 Stat. 1526), and to $100
million from $75 million by sec. 103(a) of Public Law 104-164 (110
Stat. 1423).
---------------------------------------------------------------------------
(2) \580\ (A) \578\ If the President determines and
reports to the Congress in accordance with section 652
of this Act that it is in the national interest of the
United States to draw down articles and services from
the inventory and resources of any agency of the United
States Government and military education and training
from the Department of Defense, the President may
direct the drawdown of such articles, services, and
military education and training--\581\
---------------------------------------------------------------------------
\580\ The Foreign Operations, Export Financing, and Related
Programs Appropriations Act, 1999 (division A, sec. 101(d) of Public
Law 105-277; 112 Stat. 2681), provided the following:
---------------------------------------------------------------------------
``notification requirements
---------------------------------------------------------------------------
``Sec. 515. * * *
``(b) Drawdowns made pursuant to section 506(a)(2) of the Foreign
Assistance Act of 1961 shall be subject to the regular notification
procedures of the Committees on Appropriations.''.
On December 2, 1996, the President determined that ``it is in the
national interest of the United States to draw down articles, services,
and military education and training from the inventory and resources of
the Department of Defense for the purpose of providing antinarcotics
assistance to Mexico.
``Therefore, I direct the drawdown of up to $37 million of such
articles, services, and military education and training from the
Department of Defense for the Government of Mexico for the purposes and
under the authorities of Chapter 8 of Part I of the [Foreign
Assistance] Act.'' (Presidential Determination No. 97-9; 61 F.R.
65149).
On September 30, 1998, the President determined that ``it is in the
national interest of the United States to draw down articles and
services from the inventory and resources of the Department of Defense,
military education and training from the Department of Defense, and
articles and services from the inventory and resources of the
Departments of Justice, State, Transportation, and the Treasury for the
purpose of providing international narcotics assistance to Bolivia,
Brazil, Colombia, Dominican Republic, Ecuador, Guatemala, Honduras,
Jamaica, Mexico, Peru, and Trinidad and Tobago; and to Antigua and
Barbuda, Barbados, Dominica, Grenada, St. Kitts and Nevis, St. Lucia,
and St. Vincent and the Grenadines (hereinafter, `the Eastern Caribbean
countries').
``Therefore, I direct the drawdown of up to $75 million of articles
and services from the inventory and resources of the Departments of
Defense, Transportation, Justice, State, and the Treasury, and military
education and training from the Department of Defense, for Bolivia,
Brazil, Colombia, Dominican Republic, Ecuador, Guatemala, Honduras,
Jamaica, Mexico, Peru, Trinidad and Tobago, and the Eastern Caribbean
countries for the purposes and under the authorities of chapter 8 of
part I of the [Foreign Assistance] Act.
As a matter of policy and consistent with past practice, the
Administration will seek to ensure that the assistance furnished under
this drawdown is not provided to any unit of any foreign country's
security forces if that unit is credibly alleged to have committed
gross violations of human rights unless the government of such country
is taking effective measures to bring the responsible members of that
unit to justice.''. (Presidential Determination No. 98-41; 63 F.R.
54035).
On November 6, 1998, the President determined that ``it is in the
national interest of the United States to draw down articles and
services from the inventory and resources of the Department of Defense,
for the purpose of providing international disaster relief assistance
to Honduras, Nicaragua, El Salvador, and Guatemala.
``Therefore, I direct the drawdown of up to $30 million of articles
and services from the inventory and resources of the Department of
Defense for the Governments of Honduras, Nicaragua, El Salvador, and
Guatemala for the purposes and under the authorities of chapter 9 of
part I of the [Foreign Assistance] Act.'' (Presidential Determination
No. 99-3; 63 F.R. 64169).
On November 14, 1998, the President determined that ``it is in the
national interest of the United States to draw down articles and
services from the inventory and resources of the Department of Defense,
for the purpose of providing international disaster relief assistance
to Honduras, Nicaragua, El Salvador, and Guatemala.
``Therefore, I direct the drawdown of up to $45 million of articles
and services from the inventory and resources of the Department of
Defense for the Governments of Honduras, Nicaragua, El Salvador, and
Guatemala for the purposes and under the authorities of chapter 9 of
part I of the [Foreign Assistance] Act.'' (Presidential Determination
No. 99-4; 63 F.R. 65995).
\581\ Sec. 103(b) of Public Law 104-164 (110 Stat. 1423) amended
and restated the latter part of subpara. (A).
---------------------------------------------------------------------------
(i) for the purposes and under the
authorities of--
(I) chapter 8 of part I (relating to
international narcotics control
assistance);
(II) chapter 9 of part I (relating to
international disaster assistance); or
(III) the Migration and Refugee
Assistance Act of 1962; or
(ii) for the purpose of providing such
articles, services, and military education and
training to Vietnam, Cambodia, and Laos as the
President determines are necessary--
(I) to support cooperative efforts to
locate and repatriate members of the
United States Armed Forces and
civilians employed directly or
indirectly by the United States
Government who remain unaccounted for
from the Vietnam War; and
(II) to ensure the safety of United
States Government personnel engaged in
such cooperative efforts and to support
Department of Defense-sponsored
humanitarian projects associated with
such efforts.
(B) An aggregate value of not to exceed \582\
$150,000,000 in any fiscal year of such articles,
services, and military education and training may be
provided pursuant to subparagraph (A) of this
paragraph--
---------------------------------------------------------------------------
\582\ Sec. 103(b)(2) of Public Law 104-164 (110 Stat. 1424) struck
out ``$75,000,000 in any fiscal year of defense articles, defense
services, and military education and training may be provided pursuant
to subparagraph (A) of this paragraph.'' and inserted in lieu thereof
text from this point to the end of subpara. (B).
---------------------------------------------------------------------------
(i) not more than $75,000,000 of which may be
provided from the drawdown from the inventory
and resources of the Department of Defense;
(ii) not more than $75,000,000 of which may
be provided pursuant to clause (i)(I) of such
subparagraph; and
(iii) not more than $15,000,000 of which may
be provided to Vietnam, Cambodia, and Laos
pursuant to clause (ii) of such subparagraph.
(b)(1) The authority contained in this section shall be
effective for any such emergency only upon prior notification
to the Committee on Foreign Affairs \575\ of the House of
Representatives, the Committee on Foreign Relations of the
Senate, and the Committee on Appropriations of each House of
Congress. In the case of drawdowns authorized by subclauses (I)
and (III) of subsection (a)(2)(A)(i), notifications shall be
provided to those committees at least 15 days in advance of the
drawdowns in accordance with the procedures applicable to
reprogramming notifications under section 634A.\583\
---------------------------------------------------------------------------
\583\ Sec. 103(b)(3) of Public Law 104-164 (110 Stat. 1424) added
this sentence.
---------------------------------------------------------------------------
(2) The President shall keep the Congress fully and
currently informed of all defense articles, defense services,
and military education and training provided under this
section, including providing the Congress with a report
detailing all defense articles, defense services, and military
education and training delivered to the recipient country or
international organization upon delivery of such articles or
upon completion of such services or education and training.
Such report shall also include whether any savings were
realized by utilizing commercial transport services rather than
acquiring those services from United States Government
transport assets.\584\
---------------------------------------------------------------------------
\584\ Sec. 576(1) of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1998 (Public Law 105-118; 111
Stat. 2433), added ``, including providing the Congress with a report
detailing all defense articles, defense services, and military
education and training delivered to the recipient country or
international organization upon delivery of such articles or upon
completion of such services or education and training. Such report
shall also include whether any savings were realized by utilizing
commercial transport services rather than acquiring those services from
United States Government transport assets.''.
---------------------------------------------------------------------------
(c) \585\ For the purposes of any provision of law that
authorizes the drawdown of defense or other articles or
commodities, or defense or other services from an agency of the
United States Government, such drawdown may include the supply
of commercial transportation and related services that are
acquired by contract for the purposes of the drawdown in
question if the cost to acquire such commercial transportation
and related services is less than the cost to the United States
Government of providing such services from existing agency
assets.
---------------------------------------------------------------------------
\585\ Sec. 576 of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1998 (Public Law 105-118; 111
Stat. 2433), redesignated subsec. (c) as subsec. (d), and added a new
subsec. (c).
Title II of the Foreign Operations, Export Financing, and Related
Exports Appropriations Act, 1999 (division A, sec. 101(d) of Public Law
105-277; 112 Stat. 2681), provided the following:
---------------------------------------------------------------------------
``foreign military financing program
---------------------------------------------------------------------------
``For expenses necessary for grants to enable the President to
carry out the provisions of section 23 of the Arms Export Control Act,
$3,330,000,000: * * * Provided further, That during fiscal year 1999
the President is authorized to, and shall, direct drawdowns of defense
articles from the stocks of the Department of Defense, defense services
of the Department of Defense, and military education and training of an
aggregate value of not less than $25,000,000 under the authority of
this proviso for Jordan for the purposes of part II of the Foreign
Assistance Act of 1961: Provided further, That section 506(c) of the
Foreign Assistance Act of 1961 shall apply, and section 632(d) of the
Foreign Assistance Act of 1961 shall not apply, to any such drawdown: *
* * Provided further, That of the funds appropriated by this paragraph,
not less than $7,000,000 shall be made available for assistance for
Tunisia: Provided further, That during fiscal year 1999, the President
is authorized to, and shall, direct the drawdowns of defense articles
from the stocks of the Department of Defense, defense services of the
Department of Defense, and military education and training of an
aggregate value of not less than $5,000,000 under the authority of this
proviso for Tunisia for the purposes of part II of the Foreign
Assistance Act of 1961 and any amount so directed shall count toward
meeting the earmark in the previous proviso: Provided further, That
section 506(c) of the Foreign Assistance Act of 1961 shall apply and
section 632(d) of the Foreign Assistance Act of 1961 shall not apply to
any such drawdown: * * *''.
---------------------------------------------------------------------------
(d) \585\ There are authorized to be appropriated to the
President such sums as may be necessary to reimburse the
applicable appropriation, fund, or account for defense
articles, defense services, and military education and training
provided under this section.
Sec. 507.\586\ Restrictions on Military Aid to Latin
America.--* * * [Repealed--1973]
---------------------------------------------------------------------------
\586\ Sec. 12(b)(5) of the FA Act of 1973 repealed secs. 507, 508,
and 509.
---------------------------------------------------------------------------
Sec. 508.\586\ Restrictions on Military Aid to Africa.--* *
* [Repealed--1973]
Sec. 509.\586\ Certification of Recipient's Capability.--*
* * [Repealed--1973]
Sec. 510.\587\ Restrictions on Training Foreign Military
Students.--* * * [Repealed--1976]
---------------------------------------------------------------------------
\587\ Sec. 510 was repealed by sec. 106(b) of the International
Security Assistance and Arms Export Control Act of 1976 (Public Law 94-
329; 90 Stat. 733).
---------------------------------------------------------------------------
Sec. 511.\588\ Considerations in Furnishing Military
Assistance.--Decisions to furnish military assistance made
under this part shall take into account \589\ whether such
assistance will--
---------------------------------------------------------------------------
\588\ 22 U.S.C. 2321d. Sec. 511 was added by sec. 201(f) of the FA
Act of 1971.
\589\ Sec. 1225(b) of the Foreign Affairs Agencies Consolidation
Act of 1998 (subdivision A of division G of Public Law 105-277; 112
Stat. 2681) struck out ``be made in coordination with the Director of
the United States Arms Control and Disarmament Agency and shall take
into account his opinion as to'' and inserted in lieu thereof ``take
into account''. Previously, sec. 150(c) of the Foreign Relations
Authorization Act, Fiscal Year 1976 (Public Law 94-141) struck out the
words ``take into account'' and inserted in lieu thereof ``be made in
coordination with the Director of the United States Arms Control and
Disarmament Agency and shall take into account his opinion as to''.
---------------------------------------------------------------------------
(1) contribute to an arms race;
(2) increase the possibility of outbreak or
escalation of conflict; or
(3) prejudice the development of bilateral or
multilateral arms control arrangements.
Sec. 512.\590\ Military Assistance Advisory Groups and
Missions.--* * * [Repealed--1973]
---------------------------------------------------------------------------
\590\ Sec. 12(5) of the FA Act of 1973 repealed sec. 512.
---------------------------------------------------------------------------
Sec. 513.\591\ Military Assistance Authorizations for
Thailand and Laos, and South Vietnam.--* * * [Repealed--1981]
---------------------------------------------------------------------------
\591\ Sec. 513, as added by sec. 20(f) of the FA Act of 1971 and
amended by sec. 12(6)(B) of the FA Act of 1973, and sec. 12 of the FA
Act of 1974, was repealed by sec. 734(a)(1) of the International
Security and Development Cooperation Act of 1981 (Public Law 97-113; 95
Stat. 1560). Sec. 513 had prohibited military assistance for Thailand
(after June 30, 1972), Laos (after June 30, 1974), and South Vietnam
(after June 30, 1976) unless the assistance had been authorized under
this Act or the Foreign Military Sales Act (now the Arms Export Control
Act).
---------------------------------------------------------------------------
Sec. 514.\592\ Stockpiling of Defense Articles for Foreign
Countries.--(a) No defense article in the inventory of the
Department of Defense which is set aside, reserved, or in any
way earmarked or intended for future use by any foreign country
may be made available to or for use by any foreign country
unless such transfer is authorized under this Act or the Arms
Export Control Act, or any subsequent corresponding
legislation, and the value of such transfer is charged against
funds authorized under such legislation or against the
limitations specified in such legislation, as appropriate, for
the fiscal period in which such defense article is transferred.
For purposes of this subsection, ``value'' means the
acquisition cost plus crating, packing, handling, and
transportation costs incurred in carrying out this section.
---------------------------------------------------------------------------
\592\ 22 U.S.C. 2321h. The original sec. 514, which concerned
special foreign country accounts, was added by sec. 201(f) of Public
Law 92-226 (86 Stat. 26). This section was repealed by sec. 12(b) of
Public Law 93-189 (87 Stat. 722). This new sec. 514, as added by sec.
15 of Public Law 93-559 (88 Stat. 1799), was amended by sec. 103 of the
International Security Assistance and Arms Export Control Act of 1976.
It formerly read:
``(a) Notwithstanding any other provision of law, no funds, other
than funds made available under this chapter or section 401(a) of
Public Law 89-367 (80 Stat. 37), or any subsequent corresponding
legislation, may be obligated for the purpose of stockpiling any
defense article or war reserve material, including the acquisition,
storage, or maintenance of any war reserve equipment, secondary items,
or munitions, if such article or material is set aside, reserved, or in
any way earmarked or intended for future use by any foreign country
under this Act or such section.
``(b) The cost of any such article or material set aside, reserved,
or in any way earmarked or intended by the Department of Defense for
future use by, for, or on behalf of the country referred to in section
401(a)(1) of Public Law 89-367 (80 Stat. 37) shall be charged against
the limitation specified in such section or any subsequent
corresponding legislation, for the fiscal year in which such article or
material is set aside, reserved, or otherwise earmarked or intended;
and the cost of any such article or material set aside, reserved or in
any way earmarked or intended for future use by, for, or on behalf of
any other foreign country shall be charged against funds authorized
under this chapter or the fiscal year in which such article or material
is set aside, reserved, or otherwise earmarked. No such article or
material may be made available to or for use by any foreign country
unless such article or material has been charged against the limitation
specified in such section, or any subsequent corresponding legislation,
or against funds authorized under this chapter, as appropriate.''.
Section 1303(b) of the National Defense Authorization Act for
Fiscal Year 1991 (Public Law 101-510; 104 Stat. 1669) struck out
subsec. (e) to this section. Subsec. (e) formerly read as follows:
``(e) The President shall promptly report to the Congress each new
stockpile, or addition to an existing stockpile, described in this
section of defense articles valued in excess of $10,000,000 in any
fiscal year.''.
---------------------------------------------------------------------------
(b)(1) The value of defense articles to be set aside,
earmarked, reserved, or intended for use as war reserve stocks
for allied or other foreign countries (other than for purposes
of the North Atlantic Treaty Organization or in the
implementation of agreements with Israel) \593\ in stockpiles
located in foreign countries may not exceed in any fiscal year
an amount that \594\ is specified in security assistance
authorizing legislation for that fiscal year.
---------------------------------------------------------------------------
\593\ Sec. 531B(a) of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1996 (Public Law 104-107; 110
Stat. 732), inserted ``or in the implementation of agreements with
Israel'' after ``North Atlantic Treaty Organization''.
\594\ Section 587(b)(1) of the Foreign Operations, Export
Financing, and Related Programs Appropriations Act, 1990 (Public Law
101-167; 103 Stat. 1253), struck out ``greater than'' and inserted in
lieu thereof ``that'' at this point.
---------------------------------------------------------------------------
(2) \595\ (A) The value of such additions to stockpiles of
defense articles in foreign countries shall not exceed
$50,000,000 for each of the fiscal years 1996 and 1997,
$60,000,000 for fiscal year 1998, and $340,000,000 for fiscal
year 1999.
---------------------------------------------------------------------------
\595\ Sec. 571(a) of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1999 (sec. 101(d) of Public Law
105-277; 112 Stat. 2681), struck out ``and'' after ``1997'', inserted
in lieu thereof a comma, and added ``, and $340,000,000 for fiscal year
1999'' at the end of the sentence. Sec. 572(b) of that Act added at the
end of subpara. (B) the following: ``Of the amount specified in
subparagraph (A) for fiscal year 1999, not more than $320,000,000 may
be made available for stockpiles in the Republic of Korea and not more
than $20,000,000 may be made available for stockpiles in Thailand.''.
Previously, sec. 575(a) of the Foreign Operations, Export
Financing, and Related Programs Appropriations Act, 1998 (Public Law
105-118; 111 Stat. 2433), added ``and $60,000,000 for fiscal year
1998'' at the end of para. (2); and sec. 575(b) of that Act added the
fiscal year 1998 stockpile limits for Korea and Thailand in subpara.
(B).
Previously, sec. 531B(b) of the Foreign Operations, Export
Financing, and Related Programs Appropriations Act, 1996 (Public Law
104-107; 110 Stat. 732), amended and restated subsec. (b)(2) generally.
Previously, sec. 535 of the Foreign Operations, Export Financing,
and Related Programs Appropriations Act, 1995 (Public Law 103-306; 108
Stat. 1637), provided ``a total of $200,000,000 for stockpiles in
Israel for fiscal years 1994 and 1995, up to $40,000,000 may be made
available for stockpiles in the Republic of Korea, and up to
$10,000,000 may be made available for stockpiles in Thailand for fiscal
year 1995''.
Previously, sec. 535 of the Foreign Operations, Export Financing,
and Related Programs Appropriations Act, 1994 (Public Law 103-87; 107
Stat. 955), decreased the stockpile for Israel to $200,000,000, and
made available up to $72,000,000 for stockpiles in Korea, and up to
$20,000,000 for stockpiles in Thailand.
Previously, sec. 569 of the Foreign Operations, Export Financing,
and Related Programs Appropriations Act, 1993 (Public Law 102-391; 106
Stat. 1681), increased the stockpile limit, included allocations for
Israel, and added text pertaining to stockpile allocations for the
Republic of Korea.
Previous to that, sec. 573(b) of the Foreign Operations, Export
Financing, and Related Programs Appropriations Act, 1991 (Public Law
101-513; 104 Stat. 2042), increased the stockpile limit and added text
pertaining to allocations for Israel.
Figures for stockpile limits for recent years include the
following: fiscal year 1976--$96,750,000; fiscal year 1977--
$125,000,000; fiscal year 1978--$270,000,000; fiscal year 1979--
$90,000,000; fiscal year 1980--$95,000,000; fiscal year 1981--
$85,000,000; fiscal year 1982--$130,000,000; fiscal year 1983--
$125,000,000; fiscal year 1984--$125,000,000; fiscal year 1985--
$248,000,000; fiscal year 1986--$360,000,000; fiscal year 1987--
$125,000,000; fiscal year 1988--$116,000,000; fiscal year 1989--
$77,000,000; fiscal year 1990--$165,000,000; fiscal year 1991--
$378,000,000; fiscal year 1992--$378,000,000; fiscal year 1993--
$389,000,000; fiscal year 1994--$292,000,000; fiscal year 1995--
$250,000,000; fiscal year 1996--$50,000,000; fiscal year 1997--
$50,000,000; fiscal year 1998--$60,000,000; fiscal year 1999--
$340,000,000.
---------------------------------------------------------------------------
(B) Of the amount specified in subparagraph (A) for each of
the fiscal years 1996 and 1997, not more than $40,000,000 may
be made available for stockpiles in the Republic of Korea and
not more than $10,000,000 may be made available for stockpiles
in Thailand. Of the amount specified in subparagraph (A) for
fiscal year 1998, not more than $40,000,000 may be made
available for stockpiles in the Republic of Korea and not more
than $20,000,000 may be made available for stockpiles in
Thailand. Of the amount specified in subparagraph (A) for
fiscal year 1999, not more than $320,000,000 may be made
available for stockpiles in the Republic of Korea and not more
than $20,000,000 may be made available for stockpiles in
Thailand.
(c) \596\ Location of Stockpiles of Defense Articles.--
---------------------------------------------------------------------------
\596\ Sec. 531B(c) of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1996 (Public Law 104-107; 110
Stat. 732) amended and restated subsec. (c). It formerly read as
follows:
``(c) Except for stockpiles in existence on the date of enactment
of the International Security Assistance and Arms Export Control Act of
1976 and for stockpiles located in the Republic of Korea, Thailand, or
countries which are members of the North Atlantic Treaty Organization,
or major non-NATO allies, no stockpile may be located outside the
boundaries of a United States military base or a military base used
primarily by the United States.''.
The reference to Thailand was first added by title III of the
Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1988 (Continuing Appropriations for 1988; Public
Law 100-202; 101 Stat. 1329-147). The reference to the Republic of
Korea was first added by sec. 6(a)(2) of the International Security
Assistance Act of 1979 (Public Law 96-92; 93 Stat. 703). Sec. 573(a) of
the Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1991 (Public Law 101-513; 104 Stat. 2042), first
added the reference to major non-NATO allies.
---------------------------------------------------------------------------
(1) Limitation.--Except as provided in paragraph (2),
no stockpile of defense articles may be located outside
the boundaries of a United States military base or a
military base used primarily by the United States.
(2) Exceptions.--Paragraph (1) shall not apply with
respect to stockpiles of defense articles located in
the Republic of Korea, Thailand, any country that is a
member of the North Atlantic Treaty Organization, any
country that is a major non-NATO ally, or any other
country the President may designate. At least 15 days
before designating a country pursuant to the last
clause of the preceding sentence, the President shall
notify the congressional committees specified in
section 634A(a) in accordance with the procedures
applicable to reprogramming notifications under that
section.
(d) No defense article transferred from any stockpile which
is made available to or for use by any foreign country may be
considered an excess defense article for the purpose of
determining the value thereof.
Sec. 515.\597\ Overseas Management of Assistance and Sales
Programs.--(a) In order to carry out his responsibilities for
the management of international security assistance programs
conducted under this chapter, chapter 5 of this part, and the
Arms Export Control Act, the President may assign members of
the Armed Forces of the United States to a foreign country to
perform one or more of the following functions:
---------------------------------------------------------------------------
\597\ 22 U.S.C. 2321i. Sec. 515, as amended by sec. 16 of FA Act of
1974, sec. 104 of Public Law 94-329, sec. 7(c) of Public Law 95-92,
sec. 9 of Public Law 95-424, sec. 7 of Public Law 95-92, and sec. 114
of Public Law 96-533, was comprehensively amended and restated by sec.
112 of the International Security and Development Cooperation Act of
1981 (Public Law 97-113; 95 Stat. 1527).
---------------------------------------------------------------------------
(1) equipment and services case management;
(2) training management;
(3) program monitoring;
(4) evaluation and planning of the host government's
military capabilities and requirements;
(5) administrative support;
(6) promoting rationalization, standardization,
interoperability, and other defense cooperation
measures; \598\ and
---------------------------------------------------------------------------
\598\ Sec. 143 of Public Law 104-164 (110 Stat. 1434) struck out
``among members of the North Atlantic Treaty Organization and with the
Armed Forces of Japan, Australia, and New Zealand'' after ``measures''.
---------------------------------------------------------------------------
(7) liaison functions exclusive of advisory and
training assistance.
(b) Advisory and training assistance conducted by military
personnel assigned under this section shall be kept to an
absolute minimum. It is the sense of the Congress that advising
and training assistance in countries to which military
personnel are assigned under this section shall be provided
primarily by other personnel who are not assigned under this
section and who are detailed for limited periods to perform
specific tasks.
(c)(1) The number of members of the Armed Forces assigned
to a foreign country under this section may not exceed six
unless specifically authorized by the Congress. The President
may waive this limitation if he determines and reports to the
Committee on Foreign Relations of the Senate and the Committee
on Foreign Affairs \575\ of the House of Representatives, 30
days prior to the introduction of the additional military
personnel, that United States national interests require that
more than six members of the Armed Forces be assigned under
this section to carry out international security assistance
programs in a country not specified in this paragraph.
Pakistan, Tunisia, El Salvador, Honduras, Colombia,\599\
Indonesia, the Republic of Korea, the Philippines, Thailand,
Egypt, Jordan, Morocco, Saudi Arabia, Greece, Portugal, Spain,
and Turkey are authorized to have military personnel strengths
larger than six under this section to carry out international
security assistance programs.
---------------------------------------------------------------------------
\599\ Sec. 125 of the International Security and Development
Cooperation Act of 1985 (Public Law 99-83; 99 Stat. 205), struck out
``For the fiscal year 1982 and the fiscal year 1983'' and inserted in
lieu thereof ``Pakistan, Tunisia, El Salvador, Honduras''.
Sec. 4305(a) of Public Law 100-690 (102 Stat. 4273) added
``Colombia'' after ``Honduras''.
---------------------------------------------------------------------------
(2) The total number of members of the Armed Forces
assigned under this section to a foreign country in a fiscal
year may not exceed the number justified to the Congress for
that country in the congressional presentation materials for
that fiscal year, unless the Committee on Foreign Relations of
the Senate and the Committee on Foreign Affairs \575\ of the
House of Representatives are notified 30 days in advance of the
introduction of the additional military personnel.
(d) Effective October 1, 1989,\600\ the entire costs
(excluding \601\ salaries of the United States military
personnel other than the Coast Guard) \601\ of overseas
management of international security assistance programs under
this section shall be charged to or reimbursed from funds made
available to carry out this chapter or the Arms Export Control
Act,\602\ other than any such costs which are either paid
directly for such defense services under section 21(a) of the
Arms Export Control Act or reimbursed from charges for services
collected from foreign governments pursuant to section 21(e)
and section 43(b) of that Act.
---------------------------------------------------------------------------
\600\ Section 9104(a) of the Department of Defense Appropriations
Act, 1990 (Public Law 101-165; 103 Stat. 1152) struck out ``1982'' and
inserted in lieu thereof ``1989''.
\601\ Section 9104 of the Department of Defense Appropriations Act,
1990 (Public Law 101-165; 103 Stat. 1152) struck out ``including'' and
inserted in lieu thereof ``excluding''. Sec. 556(c) of the Foreign
Operations, Export Financing, and Related Programs Appropriations Act,
1993 (Public Law 102-391; 106 Stat. 1675), restated parentheses to make
provision for the Coast Guard.
\602\ Title III of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1990 (Public Law 101-167; 103
Stat. 1213), added reference to the Arms Export Control Act at this
point.
---------------------------------------------------------------------------
(e) Members of the Armed Forces assigned to a foreign
country under this section shall serve under the direction and
supervision of the Chief of the United States Diplomatic
Mission to that country.
(f) The President shall continue to instruct United States
diplomatic and military personnel in the United States missions
abroad that they should not encourage, promote, or influence
the purchase by any foreign country of United States-made
military equipment, unless they are specifically instructed to
do so by an appropriate official of the executive branch.
Sec. 516.\603\ AUTHORITY TO TRANSFER EXCESS DEFENSE ARTICLES.
(a) Authorization.--The President is authorized to transfer
excess defense articles under this section to countries for
which receipt of such articles was justified pursuant to the
annual congressional presentation documents for military
assistance programs, or for programs under chapter 8 of part I
of this Act, submitted under section 634 of this Act, or for
which receipt of such articles was separately justified to the
Congress, for the fiscal year in which the transfer is
authorized.
---------------------------------------------------------------------------
\603\ 22 U.S.C. 2321j. Sec. 104(a) of Public Law 104-164 (110 Stat.
1424) amended and restated sec. 516.
The earlier form of sec. 516, relating to the modernization of
defense capabilities of countries of NATO's southern flank, was added
by sec. 1101 of Public Law 99-661 (100 Stat. 3960). Prior to that, sec.
516, added by sec. 105 of Public Law 94-329 and amended by sec. 7(b) of
Public Law 95-384, sec. 5(c) of Public Law 96-92, and sec. 112(d) of
Public Law 96-533, was repealed by sec. 110(d) of the International
Security and Development Cooperation Act of 1981 (Public Law 97-113; 95
Stat. 1526). Sec. 516 had required the termination of authorities
contained in this chapter (except for authorities in secs. 506, 514,
and 515) as of September 30, 1982, except to the extent Congress might
authorize military assistance in specified amounts for specified
countries.
The Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1999 (division A, sec. 101(d) of Public Law 105-
277; 112 Stat. 2681), provided the following:
---------------------------------------------------------------------------
``notification of excess defense equipment
---------------------------------------------------------------------------
``Sec. 525. Prior to providing excess Department of Defense
articles in accordance with section 516(a) of the Foreign Assistance
Act of 1961, the Department of Defense shall notify the Committees on
Appropriations to the same extent and under the same conditions as are
other committees pursuant to subsection (c) of that section: Provided,
That before issuing a letter of offer to sell excess defense articles
under the Arms Export Control Act, the Department of Defense shall
notify the Committees on Appropriations in accordance with the regular
notification procedures of such Committees: Provided further, That such
Committees shall also be informed of the original acquisition cost of
such defense articles.''.
The Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1997 (sec. 101(c) of title I of Public Law 104-208;
110 Stat. 3009), provided the following:
---------------------------------------------------------------------------
``mediterranean excess defense articles
---------------------------------------------------------------------------
``Sec. 535. For the four-year period beginning on October 1, 1996,
the President shall ensure that excess defense articles will be made
available under section 516 and 519 of the Foreign Assistance Act of
1961 consistent with the manner in which the President made available
excess defense articles under those sections during the four-year
period that began on October 1, 1992, pursuant to section 573(e) of the
Foreign Operations, Export Financing, Related Programs Appropriations
Act, 1990.''.
---------------------------------------------------------------------------
(b) Limitations on Transfers.--(1) The President may
transfer excess defense articles under this section only if--
(A) such articles are drawn from existing stocks of
the Department of Defense;
(B) funds available to the Department of Defense for
the procurement of defense equipment are not expended
in connection with the transfer;
(C) the transfer of such articles will not have an
adverse impact on the military readiness of the United
States;
(D) with respect to a proposed transfer of such
articles on a grant basis, such a transfer is
preferable to a transfer on a sales basis, after taking
into account the potential proceeds from, and
likelihood of, such sales, and the comparative foreign
policy benefits that may accrue to the United States as
the result of a transfer on either a grant or sales
basis;
(E) the President determines that the transfer of
such articles will not have an adverse impact on the
national technology and industrial base and,
particularly, will not reduce the opportunities of
entities in the national technology and industrial base
to sell new or used equipment to the countries to which
such articles are transferred; and
(F) the transfer of such articles is consistent with
the policy framework for the Eastern Mediterranean
established under section 620C of this Act.
(2) Accordingly, for the four-year period beginning on
October 1, 1996, the President shall ensure that excess defense
articles offered to Greece and Turkey under this section will
be made available consistent with the manner in which the
President made available such excess defense articles during
the four-year period that began on October 1, 1992, pursuant to
section 573(e) of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1990.\604\
---------------------------------------------------------------------------
\604\ Sec. 573(e) of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1990 (Public Law 101-167; (103
Stat. 1246), read as follows:
``(e) maintenance of military balance in eastern mediterranean.--
---------------------------------------------------------------------------
``(1) united states policy.--The Congress intends that excess
defense articles be made available under this section
consistent with the United States policy, established by
section 841 of the International Cooperation Act of 1989, of
maintaining the military balance in the Eastern Mediterranean.
``(2) maintenance of balance.--Accordingly, the President
shall ensure that, over the three-year period beginning on
October 1, 1989, the ratio of--
``(A) the value of excess defense articles made
available for Turkey under this section, to
``(B) the value of excess defense articles made
available for Greece under this section, closely
approximates the ratio of--
``(i) the amount of foreign military financing
provided for Turkey, to
``(ii) the amount of foreign military financing
provided for Greece.
``(3) exception to requirement.--This subsection shall not
apply if either Greece or Turkey ceases to be eligible to
receive excess defense articles under subsection (a).''.
(c) Terms of Transfers.--
(1) No cost to recipient country.--Excess defense
articles may be transferred under this section without
cost to the recipient country.
(2) Priority.--Notwithstanding any other provision of
law, the delivery of excess defense articles under this
section to member countries of the North Atlantic
Treaty Organization (NATO) on the southern and
southeastern flank of NATO and to major non-NATO allies
on such southern and southeastern flank shall be given
priority to the maximum extent feasible over the
delivery of such excess defense articles to other
countries.
(d) Waiver of Requirement for Reimbursement of Department
of Defense Expenses.--Section 632(d) shall not apply with
respect to transfers of excess defense articles (including
transportation and related costs) under this section.
(e) \605\ Transportation and Related Costs.--
---------------------------------------------------------------------------
\605\ Sec. 105 of Public Law 104-164 (110 Stat. 1427) provided the
following:
``sec. 105. excess defense articles for certain european countries.
``Notwithstanding section 516(e) of the Foreign Assistance Act of
1961, as added by this Act, during each of the fiscal years 1996 and
1997, funds available to the Department of Defense may be expended for
crating, packing, handling, and transportation of excess defense
articles transferred under the authority of section 516 of such Act to
countries that are eligible to participate in the Partnership for Peace
and that are eligible for assistance under the Support for East
European Democracy (SEED) Act of 1989.''.
---------------------------------------------------------------------------
(1) In general.--Except as provided in paragraph (2),
funds available to the Department of Defense may not be
expended for crating, packing, handling, and
transportation of excess defense articles transferred
under the authority of this section.
(2) Exception.--The President may provide for the
transportation of excess defense articles without
charge to a country for the costs of such
transportation if--
(A) it is determined that it is in the
national interest of the United States to do
so;
(B) the recipient is a developing country
receiving less than $10,000,000 of assistance
under chapter 5 of this part of this Act
(relating to international military education
and training) or section 23 of the Arms Export
Control Act (22 U.S.C. 2763; relating to the
Foreign Military Financing program) in the
fiscal year in which the transportation is
provided;
(C) the total weight of the transfer does not
exceed 25,000 pounds; and
(D) such transportation is accomplished on a
space available basis.
(f) Advance Notification to Congress for Transfer of
Certain Excess Defense Articles.--
(1) In general.--The President may not transfer
excess defense articles that are significant military
equipment (as defined in section 47(9) of the Arms
Export Control Act) or excess defense articles valued
(in terms of original acquisition cost) at $7,000,000
or more, under this section or under the Arms Export
Control Act (22 U.S.C. 2751 et seq.) until 30 days
after the date on which the President has provided
notice of the proposed transfer to the congressional
committees specified in section 634A(a) in accordance
with procedures applicable to reprogramming
notifications under that section.
(2) Contents.--Such notification shall include--
(A) a statement outlining the purposes for
which the article is being provided to the
country, including whether such article has
been previously provided to such country;
(B) an assessment of the impact of the
transfer on the military readiness of the
United States;
(C) an assessment of the impact of the
transfer on the national technology and
industrial base and, particularly, the impact
on opportunities of entities in the national
technology and industrial base to sell new or
used equipment to the countries to which such
articles are to be transferred; and
(D) a statement describing the current value
of such article and the value of such article
at acquisition.
(g) Aggregate Annual Limitation.--
(1) In general.--The aggregate value of excess
defense articles transferred to countries under this
section in any fiscal year may not exceed $350,000,000.
(2) Effective date.--The limitation contained in
paragraph (1) shall apply only with respect to fiscal
years beginning after fiscal year 1996.
(h) Congressional Presentation Documents.--Documents
described in subsection (a) justifying the transfer of excess
defense articles shall include an explanation of the general
purposes of providing excess defense articles as well as a
table which provides an aggregate annual total of transfers of
excess defense articles in the preceding year by country in
terms of offers and actual deliveries and in terms of
acquisition cost and current value. Such table shall indicate
whether such excess defense articles were provided on a grant
or sale basis.
(i) Excess Coast Guard Property.--For purposes of this
section, the term ``excess defense articles'' shall be deemed
to include excess property of the Coast Guard, and the term
``Department of Defense'' shall be deemed, with respect to such
excess property, to include the Coast Guard.
Sec. 517.\606\ * * * [Repealed--1996]
---------------------------------------------------------------------------
\606\ Formerly at 22 U.S.C. 2321k. Sec. 104(b)(2)(B) of Public Law
104-164 (110 Stat. 1427) repealed sec. 517, relating to the
modernization of counternarcotics capabilities of certain countries.
The section was originally added by sec. 5 of the International
Narcotics Control Act of 1989 (Public Law 101-231; 103 Stat. 1957).
---------------------------------------------------------------------------
SEC. 517.\607\ DESIGNATION OF MAJOR NON-NATO ALLIES.
(a) Notice to Congress.--The President shall notify the
Congress \608\ in writing at least 30 days before--
---------------------------------------------------------------------------
\607\ 22 U.S.C. 2321k. Added by sec. 147(a)(1) of Public Law 104-
164 (110 Stat. 1434).
\608\ On November 12, 1996, the President notified Congress that he
designated the Hashemite Kingdom of Jordan as a major non-NATO ally of
the United States for purposes of the Foreign Assistance Act and the
Arms Export Control Act (Presidential Determination No. 97-4; 61 F.R.
59809).
On January 6, 1998, the President notified Congress that he
designated the Republic of Argentina as a major non-NATO ally of the
United States for purposes of the Foreign Assistance Act and the Arms
Export Control Act (Presidential Determination No. 98-9; 63 F.R. 3635).
---------------------------------------------------------------------------
(1) designating a country as a major non-NATO ally
for purposes of this Act and the Arms Export Control
Act (22 U.S.C. 2751 et seq.); or
(2) terminating such a designation.
(b) Initial Designations.--Australia, Egypt, Israel, Japan,
the Republic of Korea, and New Zealand shall be deemed to have
been so designated by the President as of the effective date of
this section, and the President is not required to notify the
Congress of such designation of those countries.
Sec. 518.\609\ * * * [Repealed--1996]
---------------------------------------------------------------------------
\609\ Formerly at 22 U.S.C. 2321l. Sec. 104(b)(2)(B) of Public Law
104-164 (110 Stat. 1427) repealed sec. 518, relating to natural
resources and wildlife management. The section was originally added by
sec. 533(f) of Public Law 101-513 (104 Stat. 2015).
---------------------------------------------------------------------------
Sec. 519.\610\ * * * [Repealed--1996]
---------------------------------------------------------------------------
\610\ Formerly at 22 U.S.C. 2321m. Sec. 104(b)(2)(B) of Public Law
104-164 (110 Stat. 1427) repealed sec. 519, relating to modernization
of military capabilities. The section was originally added by sec. 596
of Public Law 101-513 (104 Stat. 2061).
---------------------------------------------------------------------------
SEC. 520.\611\ * * * [Repealed--1996]
---------------------------------------------------------------------------
\611\ Formerly at 22 U.S.C. 2321n. Sec. 104(b)92)(B) of Public Law
104-164 (110 Stat. 1427) repealed sec. 520, relating to transfers of
excess defense articles for international peacekeeping operations. The
section was originally added by sec. 408 of the Foreign Relations
Authorization Act, Fiscal Years 1994 and 1995 (Public Law 103-236; 108
Stat. 452).
---------------------------------------------------------------------------
Chapter 3--Foreign Military Sales \612\
Sec. 521.\613\ Administration of Sales Programs Involving
Defense Articles and Services.--* * * [Repealed--1968]
---------------------------------------------------------------------------
\612\ The new chapter heading was added by sec. 201(o)(2) of the FA
Act of 1967.
\613\ Secs. 521, 522, and 523 were repealed by sec. 45(a) of the
Foreign Military Sales Act (Public Law 90-629).
---------------------------------------------------------------------------
Sec. 522.\613\ Sales from Stock.--* * * [Repealed--1968]
Sec. 523.\613\ Procurement of Sales.--* * * [Repealed--
1968]
Sec. 524.\614\ Reimbursements.--(a) \615\ Whenever funds
made available for use under this part have been or \616\ are
used to furnish military assistance on cash or credit terms,
United States dollar repayments, including dollar proceeds
derived from the sale of foreign currency repayments to any
agency or program of the United States Government, receipts
received from the disposition of evidences of indebtedness and
charges (including fees and premiums) or interest collected
\617\ shall be credited to a separate fund account \618\ and,
shall be available until expended solely for the purposes of
financing sales and guaranties, including the overhead costs
thereof,\619\ and, notwithstanding any provision of law
relating to receipts and credits accruing to the United States
Government, repayment in foreign currency may be used to carry
out this part. Such amounts of the appropriations made
available under this part (including unliquidated balances of
funds heretofore obligated for financing sales and guarantees)
as may be determined by the President shall be transferred to,
and merged with the separate fund account.\620\
---------------------------------------------------------------------------
\614\ 22 U.S.C. 2344. Former sec. 508 was redesignated sec. 524 by
sec. 201(h)(1) of the FA Act of 1967.
\615\ Subsection designation ``(a)'' and a new subsec. (b) were
added by sec. 201(h)(2) of the FA Act of 1967.
\616\ The words ``have been or'' were added by sec. 201(e)(1) of
the FA Act of 1965.
\617\ The words to this point, beginning with ``receipts received
from'', were added by sec. 201(e)(2) of the FA Act of 1965.
\618\ Sec. 201(e)(3) of the FA Act of 1965 inserted ``a separate
fund account'' in lieu of ``the current applicable appropriation''.
\619\ Sec. 201(e)(1) of the FA Act of 1965 inserted ``financing
sales and guaranties, including the overhead costs thereof'' in lieu of
``furnishing further military assistance on cash or credit terms''.
\620\ The last sentence was added by sec. 201(c) of the FA Act of
1966.
---------------------------------------------------------------------------
(b)(1) The special fund account established under
subsection (a) of this section shall terminate as of the end of
June 30, 1968, or on such earlier date as may be selected by
the President.
(2) Upon the termination of such fund account pursuant to
paragraph (1), all of the assets of such fund account
(including loans and other payments receivable) shall be
transferred to a special account in the Treasury, which special
account shall be available solely for the purpose of
discharging outstanding liabilities and obligations of the
United States arising out of credit sales agreements entered
into, and guaranties issued, under this part, prior to June 30,
1968. Any moneys in such special account in excess of the
aggregate United States dollar amount of such liabilities and
obligations shall be transferred from time to time to the
general fund of the Treasury.
(3) \621\ * * * [Repealed--1968]
---------------------------------------------------------------------------
\621\ Par. (3) of sec. 524, and sec. 525 were repealed by sec.
45(a) of the Foreign Military Sales Act (Public Law 90-629). The
subject matter of par. (3), relating to arms sales credits, is now
covered in sec. 23 of the Arms Export Control Act.
---------------------------------------------------------------------------
Sec. 525.\621\ Guaranties.--* * * [Repealed--1968]
Chapter 4--Economic Support Fund \622\
Sec. 531.\623\ Authority.--(a) The Congress recognizes
that, under special economic, political, or security
conditions, the national interests of the United States may
require economic support for countries in amounts which could
not be justified solely under chapter 1 of part I or, in the
case of countries in sub-Saharan Africa, chapter 10 of part
I.\624\ In such cases, the President is authorized to furnish
assistance to countries and organizations, on such terms and
conditions as he may determine, in order to promote economic or
political stability. To the maximum extent feasible, the
President shall provide assistance under this chapter
consistent with the policy directions, purposes, and programs
of part I of this Act.
---------------------------------------------------------------------------
\622\ Chapter 4, as added by the FA Act of 1971, was titled
``Security Supporting Assistance,'' was retitled ``Economic Support
Fund'' and comprehensively amended and restated by sec. 10(a) of the
International Security Assistance Act of 1978 (Public Law 95-384; 92
Stat. 733). Sec. 10(b)(6) of the same Act stated that, after September
30, 1978, any reference in any act to security supporting assistance
shall be considered to be a reference to this chapter.
Sec. 201 of the International Security and Development Cooperation
Act of 1985 (Public Law 99-83; 99 Stat. 210), replaced secs. 531 and
532, amended and redesignated secs. 535 as 533, and repealed all other
sections regarding earmarking of funds for specific regions or
purposes. See Public Law 99-83 (99 Stat. 210), relating to ESF for the
Middle East, Cyprus, Portugal, agricultural commodities under commodity
import programs, tied aid credit program, and restriction on use of
funds for nuclear facilities.
See also secs. 644-647 of the Export-Import Bank Act Amendments of
1983 (title VI of Public Law 98-166) which established a tied aid
credit program in the U.S. Export-Import Bank in order to promote U.S.
exports. This program is carried out in cooperation with AID and
permits the AID Administrator to draw on ESF allocated for Commodity
Import Programs to finance a tied aid credit activity. See Legislation
on Foreign Relations Through 1998, vol. III.
See also sec. 206 of the International Security and Development
Cooperation Act of 1985, which authorized not less than $50 million in
fiscal year 1986 and not less than $100 million in fiscal year 1987 out
of the commodity import program portion of the Economic Support Fund
for use in a tied aid credit program.
\623\ 22 U.S.C. 2346.
\624\ Sec. 562 of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1991 (Public Law 101-513; 104
Stat. 2026), added a new chapter 10 to part I of this Act, providing
for long-term development in sub-Saharan Africa, and made a conforming
amendment by inserting ``or, in the case of countries in sub-Saharan
Africa, chapter 10 of part I'' here.
---------------------------------------------------------------------------
(b) The Secretary of State shall be responsible for policy
decisions and justifications for economic support programs
under this chapter, including determinations of whether there
will be an economic support program for a country and the
amount of the program for each country. The Secretary shall
exercise this responsibility in cooperation with the
Administrator of the agency primarily responsible for
administering part I of this Act.\625\
---------------------------------------------------------------------------
\625\ This responsibility, as it related to the Administrator, was
transferred to the Director of IDCA, pursuant to sec. 6 of
Reorganization Plan No. 2 of 1979 (establishing IDCA). The
Reorganization Plan No. 2 of 1979 ceased to be effective with enactment
of the Foreign Affairs Reform and Restructuring Act of 1998, pursuant
to sec. 1422(a)(1) (division G of Public Law 105-277; 112 Stat. 2681).
---------------------------------------------------------------------------
(c) As part of the annual presentation materials for
foreign assistance submitted to the Congress, the agency
primarily responsible for administering this part shall provide
a detailed justification for the uses and the purposes of the
funds provided under this chapter. Such material shall include,
but not be limited to, information concerning the amounts and
kinds of cash grant transfers, the amounts and kinds of
budgetary and balance-of-payments support provided, and the
amounts and kinds of project assistance provided with funds
made available under this chapter.
(d) \626\ * * * [Repealed--1998]
---------------------------------------------------------------------------
\626\ Sec. 533(a)(5) of the Foreign Operations, Export Financing,
and Related Programs Appropriations Act, 1999 (division A, sec. 101(d)
of Public Law 105-277; 112 Stat. 2681), repealed subsec. (d) and sec.
609 of this Act. Subsec. (d) had read as follows:
``To the maximum extent feasible, funds made available pursuant to
this chapter for commodity import programs or other program assistance
shall be used to generate local currencies, not less than 50 percent of
which shall be available to support activities consistent with the
objectives of sections 103 through 106 of this Act, and administered by
the agency primarily responsible for administering part I of this
Act.''.
Sec. 533 of that Act, furthermore, provided the following:
---------------------------------------------------------------------------
``separate accounts
---------------------------------------------------------------------------
``Sec. 533. (a) Separate Accounts for Local Currencies.--(1) If
assistance is furnished to the government of a foreign country under
chapters 1 and 10 of part I or chapter 4 of part II of the Foreign
Assistance Act of 1961 under agreements which result in the generation
of local currencies of that country, the Administrator of the Agency
for International Development shall--
---------------------------------------------------------------------------
``(A) require that local currencies be deposited in a
separate account established by that government;
``(B) enter into an agreement with that government which sets
forth--
``(i) the amount of the local currencies to be
generated, and
``(ii) the terms and conditions under which the
currencies so deposited may be utilized, consistent
with this section; and
``(C) establish by agreement with that government the
responsibilities of the Agency for International Development
and that government to monitor and account for deposits into
and disbursements from the separate account.
---------------------------------------------------------------------------
``(2) Uses of Local Currencies.--As may be agreed upon with the
foreign government, local currencies deposited in a separate account
pursuant to subsection (a), or an equivalent amount of local
currencies, shall be used only--
---------------------------------------------------------------------------
``(A) to carry out chapters 1 or 10 of part I or chapter 4 of
part II (as the case may be), for such purposes as--
``(i) project and sector assistance activities, or
``(ii) debt and deficit financing, or
``(B) for the administrative requirements of the United
States Government.
---------------------------------------------------------------------------
``(3) Programming Accountability.--The Agency for International
Development shall take all necessary steps to ensure that the
equivalent of the local currencies disbursed pursuant to subsection
(a)(2)(A) from the separate account established pursuant to subsection
(a)(1) are used for the purposes agreed upon pursuant to subsection
(a)(2).
``(4) Termination of Assistance Programs.--Upon termination of
assistance to a country under chapters 1 or 10 of part I or chapter 4
of part II (as the case may be), any unencumbered balances of funds
which remain in a separate account established pursuant to subsection
(a) shall be disposed of for such purposes as may be agreed to by the
government of that country and the United States Government.
``(5) Conforming Amendments.--The tenth and eleventh provisos
contained under the heading `Sub-Saharan Africa, Development
Assistance'' as included in the Foreign Operations, Export Financing,
and Related Programs Appropriations Act, 1989 and sections 531(d) and
609 of the Foreign Assistance Act of 1961 are repealed.
``(6) Reporting Requirement.--The Administrator of the Agency for
International Development shall report on an annual basis as part of
the justification documents submitted to the Committees on
Appropriations on the use of local currencies for the administrative
requirements of the United States Government as authorized in
subsection (a)(2)(B), and such report shall include the amount of local
currency (and United States dollar equivalent) used and/or to be used
for such purpose in each applicable country.
``(b) Separate Accounts for Cash Transfers.--(1) If assistance is
made available to the government of a foreign country, under chapters 1
or 10 of part I or chapter 4 of part II of the Foreign Assistance Act
of 1961, as cash transfer assistance or as nonproject sector
assistance, that country shall be required to maintain such funds in a
separate account and not commingle them with any other funds.
``(2) Applicability of Other Provisions of Law.--Such funds may be
obligated and expended notwithstanding provisions of law which are
inconsistent with the nature of this assistance including provisions
which are referenced in the Joint Explanatory Statement of the
Committee of Conference accompanying House Joint Resolution 648 (H.
Report No. 98-1159).
``(3) Notification.--At least fifteen days prior to obligating any
such cash transfer or nonproject sector assistance, the President shall
submit a notification through the regular notification procedures of
the Committees on Appropriations, which shall include a detailed
description of how the funds proposed to be made available will be
used, with a discussion of the United States interests that will be
served by the assistance (including, as appropriate, a description of
the economic policy reforms that will be promoted by such assistance).
``(4) Exemption.--Nonproject sector assistance funds may be exempt
from the requirements of subsection (b)(1) only through the
notification procedures of the Committees on Appropriations.''.
---------------------------------------------------------------------------
(e) Amounts appropriated to carry out this chapter shall be
available for economic programs and may not be used for
military or paramilitary purposes.
Sec. 532.\627\ Authorizations of Appropriations.--(a) There
are authorized to be appropriated to the President to carry out
the purposes of this chapter--
---------------------------------------------------------------------------
\627\ 22 U.S.C. 2346a.
---------------------------------------------------------------------------
(1) $2,015,000,000 for the fiscal year 1986 and
$2,015,000,000 for the fiscal year 1987 for the
following countries signing the Camp David agreement:
Israel and Egypt; and \628\
---------------------------------------------------------------------------
\628\ The authorization under this chapter during recent years
included the following: fiscal year 1979--$1,902,000,000; fiscal year
1980--$1,935,000,000 (plus an $80,000,000 supplemental authorization
for Central American Assistance); fiscal year 1981--$2,065,300,000;
fiscal year 1982--$2,623,500,000; fiscal year 1983--$2,723,500,000;
fiscal year 1984--$3,074,000,000; fiscal year 1985--no authorization;
fiscal years 1988 through 1999--no authorization.
Congress did not enact an authorization for fiscal year 1999.
Instead, the Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1999 (division A, sec. 101(d) of Public Law 105-
277; 112 Stat. 2681), waived the requirements for authorization, and
title II of that Act provided the following:
---------------------------------------------------------------------------
``economic support fund
---------------------------------------------------------------------------
``For necessary expenses to carry out the provisions of chapter 4
of part II, $2,367,000,000, to remain available until September 30,
2000: Provided, That of the funds appropriated under this heading, not
less than $1,080,000,000 shall be available only for Israel, which sum
shall be available on a grant basis as a cash transfer and shall be
disbursed within thirty days of enactment of this Act or by October 31,
1998, whichever is later: Provided further, That not less than
$775,000,000 shall be available only for Egypt, which sum shall be
provided on a grant basis, and of which sum cash transfer assistance
shall be provided with the understanding that Egypt will undertake
significant economic reforms which are additional to those which were
undertaken in previous fiscal years: Provided further, That in
exercising the authority to provide cash transfer assistance for
Israel, the President shall ensure that the level of such assistance
does not cause an adverse impact on the total level of nonmilitary
exports from the United States to such country: Provided further, That
of the funds appropriated under this heading, not less than
$150,000,000 should be made available for assistance for Jordan:
Provided further, That notwithstanding any other provision of law, not
to exceed $10,000,000 may be used to support victims of the
Holocaust.''.
See also title II in that Act, paragraph relating to Cyprus,
paragraph relating to Burma, paragraph relating to Indonesia; and title
V in that Act, including: sec. 515--Notification Requirements; sec.
521--Definition of Program, Project, and Activity; sec. 527--Democracy
in China; sec. 542--Anti-Narcotics Activities; and sec. 576--Assistance
for the Middle East;
---------------------------------------------------------------------------
(2) $1,785,000,000 for the fiscal year 1986 and
$1,785,000,000 for the fiscal year 1987 for assistance
under this chapter for recipients or purposes other
than the countries referred to in paragraph (1).\628\
(b) Amounts appropriated to carry out this chapter are
authorized to remain available until expended.
Sec. 533.\629\ Emergency Assistance.--(a) Of the funds
appropriated to carry out this chapter up to $75,000,000 for
the fiscal year 1986 and up to $75,000,000 for the fiscal year
1987 may be made available for emergency use under this chapter
when the national interests of the United States urgently
require economic support to promote economic or political
stability.
---------------------------------------------------------------------------
\629\ 22 U.S.C. 2346b. Sec. 202 of the International Security and
Development Cooperation Act of 1981 (Public Law 97-113; 95 Stat. 1529)
added sec. 535. Sec. 201(b) of the International Security and
Development Cooperation Act of 1985 replaced the years ``1982'' and
``1983'' with ``1986'' and ``1987''.
---------------------------------------------------------------------------
(b) Notwithstanding any provision of this chapter or of an
appropriations act (including a joint resolution making
continuing appropriations) which earmarks funds available to
carry out this chapter for a specific country or purpose, up to
5 percent of each amount so earmarked may be used to carry out
this section.
Sec. 534.\630\, \631\ Administration of
Justice.--(a) The President may furnish assistance under this
chapter to countries and organizations, including national and
regional institutions, in order to strengthen the
administration of justice in countries in Latin America and the
Caribbean.
---------------------------------------------------------------------------
\630\ 22 U.S.C. 2346c. Sec. 534 was added by sec. 712 of the
International Security and Development Cooperation Act of 1985 (Public
Law 99-83; 99 Stat. 244).
\631\ Sec. 542 of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1999 (division A, sec. 101(d) of
Public Law 105-277; 112 Stat. 2681), provided the following:
---------------------------------------------------------------------------
``anti-narcotics activities
---------------------------------------------------------------------------
``Sec. 542. (a) Of the funds appropriated by this Act for `Economic
Support Fund', assistance may be provided to strengthen the
administration of justice in countries in Latin America and the
Caribbean and in other regions consistent with the provisions of
section 534(b) of the Foreign Assistance Act of 1961, except that
programs to enhance protection of participants in judicial cases may be
conducted notwithstanding section 660 of that Act.
``(b) Funds made available pursuant to this section may be made
available notwithstanding section 534(c) and the second and third
sentences of section 534(e) of the Foreign Assistance Act of 1961.''.
---------------------------------------------------------------------------
(b) Assistance under this section may only include--
(1) support for specialized professional training,
scholarships, and exchanges for continuing legal
education;
(2) programs to enhance prosecutorial and judicial
capabilities and protection for participants in
judicial cases;
(3) \632\ notwithstanding section 660 of this Act--
---------------------------------------------------------------------------
\632\ Par. (3) was amended by sec. 579 of the Foreign Operations,
Export Financing, and Related Programs Appropriations Act, 1988
(Continuing Appropriations for 1988; Public Law 100-202; 101 Stat.
1329-181). It previously read as follows: ``(3) notwithstanding section
660 of this Act, programs to enhance investigative capabilities,
conducted under judicial or prosecutorial control''.
Functions conferred upon the President in subpars. (A), (B), and
(C) were delegated to the Assistant Administrator for Latin America and
the Caribbean of the Agency for International Development in Department
of State Delegation No. 189 of April 4, 1991 (56 F.R. 15127; April 15,
1991). The same delegation of authority further provided that
activities covered by the subparagraphs ``* * * shall be implemented in
coordination with the International Criminal Investigative Training
Assistance Program of the U.S. Department of Justice. Funds made
available in any fiscal year for such assistance shall not exceed
$500,000.''.
---------------------------------------------------------------------------
(A) programs to enhance professional
capabilities to carry out investigative and
forensic functions conducted under judicial or
prosecutorial control;
(B) programs to assist in the development of
academic instruction and curricula for training
law enforcement personnel;
(C) programs to improve the administrative
and management capabilities of law enforcement
agencies, especially their capabilities
relating to career development, personnel
evaluation, and internal discipline procedures;
and
(D) programs, conducted through multilateral
or regional institutions, to improve penal
institutions and the rehabilitation of
offenders;
(4) strengthening professional organizations in order
to promote services to members and the role of the bar
in judicial selection, enforcement of ethical
standards, and legal reform;
(5) increasing the availability of legal materials
and publications;
(6) seminars, conferences, and training and
educational programs to improve the administration of
justice and to strengthen respect for the rule of law
and internationally recognized human rights; and
(7) revision and modernization of legal codes and
procedures.
(c) \631\ Not more than $20,000,000 of the funds made
available to carry out this chapter for any fiscal year shall
be available to carry out this section, in addition to amounts
otherwise available for such purposes.
(d) Funds may not be obligated for assistance under this
section unless the Committee on Foreign Affairs \633\ of the
House of Representatives and the Committee on Foreign Relations
of the Senate are notified of the amount and nature of the
proposed assistance at least 15 days in advance in accordance
with the procedures applicable to reprogrammings pursuant to
section 634A of this Act.
---------------------------------------------------------------------------
\633\ Sec. 1(a)(5) of Public Law 104-14 (109 Stat. 186) provided
that references to the Committee on Foreign Affairs of the House of
Representatives shall be treated as referring to the Committee on
International Relations of the House of Representatives.
---------------------------------------------------------------------------
(e) \631\, \634\ Personnel of the Department of
Defense and members of the United States Armed Forces may not
participate in the provision of training under this section. Of
the funds made available to carry out this section, not more
than $10,000,000 may be made available in fiscal year 1991
\635\ to carry out the provisions of subsection (b)(3) of this
section. The authority of this section shall expire on
September 30, 1991.
---------------------------------------------------------------------------
\634\ Subsec. (e) was substantively amended by sec. 579 of the
Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1988 (Continuing Appropriations for 1988; Public
Law 100-202; 101 Stat. 1329-181). Previously, it had an expiration date
of September 30, 1987. The authority of this section was further
extended from September 30, 1989, by the Foreign Operations, Export
Financing, and Related Programs Appropriations Act, 1990 (Public Law
101-167; 103 Stat. 1206); and from September 30, 1990, by the Foreign
Operations, Export Financing, and Related Programs Appropriations Act,
1991 (Public Law 101-513; 104 Stat. 1990). For fiscal year 1992, Public
Law 102-145, as amended, waived the last sentence with certain
provisos.
\635\ Title II of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1991 (Public Law 101-513; 104
Stat. 1990), struck out ``fiscal year 1990'' at this point and inserted
``fiscal year 1991''. Previously, title II of the Foreign Operations,
Export Financing, and Related Programs Appropriations Act, 1990 (Public
Law 101-167; 103 Stat. 1206), struck out ``each of fiscal years 1988
and 1989'' at this point and inserted ``fiscal year 1990''. Public Law
101-513 also amended the third sentence to extend the authority of this
section to 1991.
Sec. 2(b)(6) of the International Narcotics Control Act of 1990
(Public Law 101-623; 104 Stat. 3351), raised authorization from
$7,000,000 to $10,000,000, and extended authorization to 1991, which
was already extended by Public Law 101-513.
---------------------------------------------------------------------------
Sec. 535.\636\ Economic Support for Disadvantaged South
Africans.--* * * [Repealed--1993]
---------------------------------------------------------------------------
\636\ Formerly at 22 U.S.C. 2346d. Sec. 535 was repealed by sec.
4(a)(3)(B) of the South African Democratic Transition Support Act of
1993 (Public Law 103-149; 107 Stat. 1505). It originally was added by
sec. 511 of Public Law 99-440 (100 Stat. 411). Sec. 535 provided up to
$40,000,000 in each fiscal year for or assistance for activities
supporting disadvantaged South Africans, including scholarships,
participation in trade unions, private enterprise, and alternative
education and community development programs.
---------------------------------------------------------------------------
Chapter 5--International Military Education and Training \637\
Sec. 541.\638\ General Authority.--The President is
authorized to furnish, on such terms and conditions consistent
with this Act as the President may determine (but whenever
feasible on a reimbursable basis), military education and
training to military and related civilian personnel of foreign
countries. Such civilian personnel shall include foreign
governmental personnel of ministries other than ministries of
defense, and may also include legislators \639\ and individuals
who are not members of the government,\640\ if the military
education and training would (i) contribute to responsible
defense resource management, (ii) foster greater respect for
and understanding of the principle of civilian control of the
military, (iii) contribute to cooperation between military and
law enforcement personnel with respect to counternarcotics law
enforcement efforts, or (iv) \641\ improve military justice
systems and procedures in accordance with internationally
recognized human rights.\642\ Such training and education may
be provided through--
---------------------------------------------------------------------------
\637\ Ch. 5 was added by sec. 106(a) of the International Security
Assistance and Arms Export Control Act of 1976 (Public Law 94-329; 90
Stat. 732).
\638\ 22 U.S.C. 2347.
\639\ Sec. 10(1) of the International Narcotics Control Act of 1992
(Public Law 102-583; 106 Stat. 4934) inserted ``, and may also include
legislators,'' after ``ministries of defense''.
\640\ Sec. 112(a) of Public Law 104-164 (110 Stat. 1427) added
``and individuals who are not members of the government'' after
``legislators''.
\641\ Sec. 10(2) of the International Narcotics Control Act of 1992
(Public Law 102-583; 106 Stat. 4934) redesignated clause (iii) as (iv)
and inserted clause (iii).
\642\ Title II of the Foreign Operations, Export Financing, and
Related Programs Appropriations Act, 1991 (Public Law 101-513; 104
Stat. 1997), added this sentence.
Sec. 111 of Public Law 104-164 (110 Stat. 1427) provided the
following:
``sec. 111. assistance for indonesia.
``Funds made available for fiscal years 1996 and 1997 to carry out
chapter 5 of part II of the Foreign Assistance Act of 1961 (22 U.S.C.
2347 et seq.) may be obligated for Indonesia only for expanded military
and education training that meets the requirements of clauses (i)
through (iv) of the second sentence of section 541 of such Act (22
U.S.C. 2347).''.
---------------------------------------------------------------------------
(1) attendance at military educational and training
facilities in the United States (other than Service
academies) and abroad;
(2) attendance in special courses of instruction at
schools and institutions of learning or research in the
United States and abroad; and
(3) observation and orientation visits to military
facilities and related activities in the United States
and abroad.
Sec. 542.\643\ Authorization.--There are authorized to be
appropriated to the President to carry out the purposes of this
chapter $56,221,000 for the fiscal year 1986 and $56,221,000
for the fiscal year 1987.\644\, \645\
---------------------------------------------------------------------------
\643\ 22 U.S.C. 2347a.
\644\ The authorization figures for fiscal year 1986 and 1987 were
added by sec. 104 of the International Security and Development
Cooperation Act of 1985 (Public Law 99-83; 99 Stat. 195).
Authorizations under sec. 542 during recent years included the
following: fiscal year 1976--$27,000,000; fiscal year 1977--
$30,200,000; fiscal year 1978--$31,000,000; fiscal year 1979--
$31,800,000; fiscal year 1980--$31,800,000; fiscal year 1981--
$34,000,000; fiscal year 1982--$42,000,000; fiscal year 1983--
$42,000,000; fiscal year 1984--$56,452,000; fiscal year 1985--no
authorization; fiscal years 1988 through 1999--no authorization.
Congress did not enact an authorization for fiscal year 1999.
Instead, the Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1999 (division A, sec. 101(d) of Public Law 105-
277; 112 Stat. 2681), waived the requirements for authorization, and
title III of that Act provided the following:
---------------------------------------------------------------------------
``international military education and training
---------------------------------------------------------------------------
``For necessary expenses to carry out the provisions of section 541
of the Foreign Assistance Act of 1961, $50,000,000 of which up to
$1,000,000 may remain available until expended: Provided, That the
civilian personnel for whom military education and training may be
provided under this heading may include civilians who are not members
of a government whose participation would contribute to improved civil-
military relations, civilian control of the military, or respect for
human rights: Provided further, That funds appropriated under this
heading for grant financed military education and training for
Indonesia and Guatemala may only be available for expanded
international military education and training and funds made available
for Guatemala may only be provided through the regular notification
procedures of the Committees on Appropriations: Provided further, That
none of the funds appropriated under this heading may be made available
to support grant financed military education and training at the School
of the Americas unless the Secretary of Defense certifies that the
instruction and training provided by the School of the Americas is
fully consistent with training and doctrine, particularly with respect
to the observance of human rights, provided by the Department of
Defense to United States military students at Department of Defense
institutions whose primary purpose is to train United States military
personnel.''.
See also in that Act: sec. 505--Limitation on Representational
Allowances; 515--Notification Requirements; sec. 557--Prohibition of
Payment of Certain Expenses; sec. 576--Assistance for the Middle East;
and sec. 594--Reporting Requirements.
\645\ Sec. 734(a)(1) of the International Security and Development
Cooperation Act of 1981 (Public Law 97-113; 95 Stat. 1560) struck out
the second sentence of sec. 542. This sentence had prohibited training
under this section outside the United States after June 30, 1976,
unless the President reported and justified such training to the
Congress.
---------------------------------------------------------------------------
Sec. 543.\646\ Purposes.--Education and training activities
conducted under this chapter shall be designed--
---------------------------------------------------------------------------
\646\ 22 U.S.C. 2347b.
---------------------------------------------------------------------------
(1) to encourage effective and mutually beneficial
relations and increased understanding between the
United States and foreign countries in furtherance of
the goals of international peace and security;
(2) to improve the ability of participating foreign
countries to utilize their resources, including defense
articles and defense services obtained by them from the
United States, with maximum effectiveness, thereby
contributing to greater self-reliance by such
countries; and
(3) \647\ to increase the awareness of nationals of
foreign countries participating in such activities of
basic issues involving internationally recognized human
rights.
---------------------------------------------------------------------------
\647\ Par. (3) was added by sec. 11(b)(3) of the International
Security Assistance Act of 1978 (Public Law 95-384; 92 Stat. 736).
---------------------------------------------------------------------------
Sec. 544.\648\ Exchange Training.--(a) \649\ In carrying
out this chapter, the President is authorized to provide for
attendance of foreign military personnel at professional
military education institutions in the United States \650\
(other than service academies) without charge, and without
charge to funds available to carry out this chapter
(notwithstanding section 632(d) of this Act), if such
attendance is pursuant to an agreement providing for the
exchange of students on a one-for-one, reciprocal basis each
fiscal year between those United States professional military
education institutions and comparable institutions of foreign
countries and international organizations.
---------------------------------------------------------------------------
\648\ 22 U.S.C. 2347c. Sec. 544 was added by sec. 126 of the
International Security and Development Cooperation Act of 1985 (Public
Law 99-83; 99 Stat. 205).
\649\ Sec. 112(b) of Public Law 104-164 (110 Stat. 1427) added
subsec. designation ``(a)'' and added subsec. (b).
\650\ Sec. 935 of the National Defense Authorization Act for Fiscal
Years 1990 and 1991 provided the following:
``(a) Authority.--The United States Army Russian Institute in
Garmisch-Partenkirchen, Federal Republic of Germany, shall be treated
for purposes of section 544 of the Foreign Assistance Act of 1961 (22
U.S.C. 2347c) as if it were located in the United States.
``(b) Expiration of Authority.--Subsection (a) shall cease to be in
effect upon the enactment in foreign assistance authorizing legislation
of an amendment to section 544 of the Foreign Assistance Act of 1961
that provides the same authority as is provided by subsection (a).''.
---------------------------------------------------------------------------
(b) \649\ The President may provide for the attendance of
foreign military and civilian defense personnel at flight
training schools and programs (including test pilot schools) in
the United States without charge, and without charge to funds
available to carry out this chapter (notwithstanding section
632(d) of this Act), if such attendance is pursuant to an
agreement providing for the exchange of students on a one-for-
one basis each fiscal year between those United States flight
training schools and programs (including test pilot schools)
and comparable flight training schools and programs of foreign
countries.
Sec. 545.\651\ Training in Maritime Skills.--The President
is encouraged to allocate a portion of the funds made available
each fiscal year to carry out this chapter for use in providing
education and training in maritime search and rescue, operation
and maintenance of aids to navigation, port security, at-sea
law enforcement, international maritime law, and general
maritime skills.
---------------------------------------------------------------------------
\651\ 22 U.S.C. 2347d. Added by sec. 127(a) of the International
Security and Development Cooperation Act of 1985 (Public Law 99-83; 99
Stat. 205).
---------------------------------------------------------------------------
SEC. 546.\652\ PROHIBITION ON GRANT ASSISTANCE FOR CERTAIN HIGH INCOME
FOREIGN COUNTRIES.
(a) In General.--None of the funds made available for a
fiscal year for assistance under this chapter may be made
available for assistance on a grant basis for any of the high-
income foreign countries described in subsection (b) for
military education and training of military and related
civilian personnel of such country.
---------------------------------------------------------------------------
\652\ 22 U.S.C. 2347c. Added by sec. 112(c)(1) of Public Law 104-
164 (110 Stat. 1427).
---------------------------------------------------------------------------
(b) High-Income Foreign Countries Described.--The high-
income foreign countries described in this subsection are
Austria, Finland, the Republic of Korea, Singapore, and Spain.
Chapter 6--Peacekeeping Operations \653\
Sec. 551.\654\ General Authority.--The President is
authorized to furnish assistance to friendly countries and
international organizations, on such terms and conditions as he
may determine, for peacekeeping operations and other programs
carried out in furtherance of the national security interests
of the United States. Such assistance may include reimbursement
to the Department of Defense for expenses incurred pursuant to
section 7 of the United Nations Participation Act of 1945,\655\
except that such reimbursements may not exceed $5,000,000 in
any fiscal year unless a greater amount is specifically
authorized by this section.\656\
---------------------------------------------------------------------------
\653\ Ch. 6 was added by sec. 12(a) of the International Security
Assistance Act of 1978 (Public Law 95-384; 92 Stat. 736).
\654\ 22 U.S.C. 2348.
\655\ For text, see Legislation on Foreign Relations Through 1998,
vol. II, sec. H.
\656\ The final sentence in this section was added by sec. 10(b) of
the International Security Assistance Act of 1979 (Public Law 96-92; 93
Stat. 705).
---------------------------------------------------------------------------
Sec. 552.\657\ Authorization of Appropriations.--(a) There
are authorized to be appropriated to the President to carry out
the purposes of this chapter, in addition to amounts otherwise
available for such purposes, $37,000,000 for the fiscal year
1986 and $37,000,000 for the fiscal year 1987.\658\
---------------------------------------------------------------------------
\657\ 22 U.S.C. 2348a.
\658\ The authorization figures for fiscal years 1986 and 1987 were
added by sec. 105(a) of the International Security and Development
Cooperation Act of 1985 (Public Law 99-83; 99 Stat. 195).
Authorizations under sec. 552 during recent years included the
following: fiscal year 1979--$30,900,000; fiscal year 1980--
$21,100,000; fiscal year 1981--$25,000,000; fiscal year 1982--
$19,000,000; fiscal year 1983--$19,000,000; fiscal year 1984--
$46,200,000; fiscal year 1985--no authorization; fiscal years 1988
through 1997--no authorization.
For fiscal years 1998 and 1999, sec. 2105 of the Foreign Relations
Authorization Act, Fiscal Years 1998 and 1999 (division G, subdivision
B of Public Law 105-277; 112 Stat. 2681) provided the following:
``Sec. 2105. voluntary contributions to peacekeeping operations.
``There are authorized to be appropriated for `Peacekeeping
Operations', $77,500,000 for the fiscal year 1998 and $83,000,000 for
the fiscal year 1999 for the Department of State to carry out section
551 of Public Law 87-195.''.
The Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1999 (division A, sec. 101(d) of Public Law 105-
277; 112 Stat. 2681), waived the requirements for authorization, and
title III of that Act provided the following:
---------------------------------------------------------------------------
``peacekeeping operations
---------------------------------------------------------------------------
``For necessary expenses to carry out the provisions of section 551
of the Foreign Assistance Act of 1961, $76,500,000: Provided, That none
of the funds appropriated under this heading shall be obligated or
expended except as provided through the regular notification procedures
of the Committees on Appropriations.''.
See also in that Act: sec. 515--Notification Requirements; and sec.
576--Assistance for the Middle East.
Sec. 4(b)(1) of Public Law 97-132 (95 Stat. 1694) authorized an
additional $125,000,000 to carry out this chapter during fiscal year
1982 for use in paying the U.S. contribution to the budget of the
Multinational Force and Observers in Sinai. See Legislation on Foreign
Relations Through 1998, vol. II, sec. G.
---------------------------------------------------------------------------
(b) Amounts appropriated under this section are authorized
to remain available until expended.
(c) \659\ If the President determines that, as the result
of an unforeseen emergency, the provision of assistance under
this chapter in amounts in excess of funds otherwise available
for such assistance is important to the national interests of
the United States, the President may (1) exercise the authority
of section 610(a) of this Act to transfer funds available to
carry out chapter 4 of this part for use under this chapter
without regard to the 20-percent increase limitation contained
in such section, except that the total amount so transferred in
any fiscal year may not exceed $15,000,000; and \660\ (2) \661\
in the event the President also determines that such unforeseen
emergency requires the immediate provision of assistance under
this chapter, direct the drawdown of commodities and services
from the inventory and resources of any agency of the United
States Government of an aggregate value not to exceed
$25,000,000 in any fiscal year.
---------------------------------------------------------------------------
\659\ Subsec. (c) was added by sec. 10(c) of the International
Security Assistance Act of 1979 (Public Law 96-92; 93 Stat. 705).
Sec. 554 of the Foreign Operations, Export Financing, and Related
Programs Appropriations Act, 1999 (division A, sec. 101(d) of Public
Law 105-277; 112 Stat. 2681), provided the following:
---------------------------------------------------------------------------
``war crimes tribunals drawdown
---------------------------------------------------------------------------
``Sec. 554. If the President determines that doing so will
contribute to a just resolution of charges regarding genocide or other
violations of international humanitarian law, the President may direct
a drawdown pursuant to section 552(c) of the Foreign Assistance Act of
1961, as amended, of up to $30,000,000 of commodities and services for
the United Nations War Crimes Tribunal established with regard to the
former Yugoslavia by the United Nations Security Council or such other
tribunals or commissions as the Council may establish to deal with such
violations, without regard to the ceiling limitation contained in
paragraph (2) thereof: Provided, That the determination required under
this section shall be in lieu of any determinations otherwise required
under section 552(c): Provided further, That sixty days after the date
of enactment of this Act, and every one hundred eighty days thereafter,
the Secretary of State shall submit a report to the Committees on
Appropriations describing the steps the United States Government is
taking to collect information regarding allegations of genocide or
other violations of international law in the former Yugoslavia and to
furnish that information to the United Nations War Crimes Tribunal for
the former Yugoslavia: Provided further, That the drawdown made under
this section for any tribunal shall not be construed as an endorsement
or precedent for the establishment of any standing or permanent
international criminal tribunal or court: Provided further, That funds
made available for tribunals or commissions other than for Yugoslavia
or Rwanda shall be made available subject to the regular notification
procedures of the Committees on Appropriations.''.
\660\ Sec. 114(b) of the International Security and Development
Cooperation Act of 1981 (Public Law 97-113; 95 Stat. 1528) increased
the amount which may be transferred in any fiscal year from $10,000,000
to $15,000,000 and deleted language prohibiting earmarked funds from
being transferred.
\661\ Subsec. (c), par. (2), and subsec. (d) were added by sec.
105(b) of the International Security and Development Cooperation Act of
1985 (Public Law 99-83; 99 Stat. 195).
---------------------------------------------------------------------------
(d) \661\ There are authorized to be appropriated to the
President such sums as may be necessary to reimburse the
applicable appropriation, fund, or account for commodities and
services provided under subsection (c)(2).
Sec. 553.\662\ Middle East Special Requirements Fund.--* *
* [Repealed--1980]
---------------------------------------------------------------------------
\662\ The Middle East Special Requirements Fund was originally
added as sec. 903 of this Act by the FA Act of 1974 and moved to sec.
553 by the International Security Assistance Act of 1978 (Public Law
95-384; 92 Stat. 737). Sec. 553 was repealed by sec. 116(b) of the
International Security and Development Cooperation Act of 1980 (Public
Law 96-533; 94 Stat. 3140).
---------------------------------------------------------------------------
Sec. 553.\663\ Administrative Authorities.--Except where
expressly provided to the contrary, any reference in any law to
part I of this Act shall be deemed to include reference to this
chapter and any reference in any law to part II of this Act
shall be deemed to exclude reference to this chapter.
---------------------------------------------------------------------------
\663\ 22 U.S.C. 2348c. Originally added as sec. 554, was
redesignated as sec. 553 by sec. 116(b) of the International Security
and Development Cooperation Act of 1980 (Public Law 96-533; 94 Stat.
3140).
---------------------------------------------------------------------------
Chapter 7--Air Base Construction in Israel \664\
Sec. 561.\665\ General Authority.--The President is
authorized--
---------------------------------------------------------------------------
\664\ Ch. 7 was added by sec. 3 of the Special International
Security Assistance Act of 1979 (Public Law 96-35; 93 Stat. 89).
\665\ 22 U.S.C. 2349.
---------------------------------------------------------------------------
(1) to construct such air bases in Israel for the
Government of Israel as may be agreed upon between the
Government of Israel and the Government of the United
States to replace the Israeli airbases located at
Etzion and Etam on the Sinai peninsula that are to be
evacuated by the Government of Israel; and
(2) for purposes of such construction, to furnish as
a grant to the Government of Israel, on such terms and
conditions as the President may determine, defense
articles and defense services, which he may acquire
from any source, of a value not to exceed the amount
appropriated pursuant to section 562(a).
Sec. 562.\666\ Authorization and Utilization of Funds.--(a)
There is authorized to be appropriated to the President to
carry out this chapter not to exceed $800,000,000, which may be
made available until expended.\667\
---------------------------------------------------------------------------
\666\ 22 U.S.C. 2349a.
\667\ The Supplemental Appropriations Act, 1979 (Public Law 96-35;
93 Stat. 103), provided the following:
``For necessary expenses to carry out the provisions of chapter 7
of the Foreign Assistance Act of 1961, as amended, $800,000,000, to
remain available until expended: Provided, That authority to enter into
contracts may be exercised to the extent necessary to carry out the
purposes of that chapter.''.
---------------------------------------------------------------------------
(b) Upon agreement by the Government of Israel to provide
to the Government of the United States funds equal to the
difference between the amount required to complete the agreed
construction work and the amount appropriated pursuant to
subsection (a) of this section, and to make those funds
available, in advance of the time when payments are due, in
such amounts and at such times as may be required by the
Government of the United States to meet those additional costs
of construction, the President may incur obligations and enter
into contracts to the extent necessary to complete the agreed
construction work, except that this authority shall be
effective only to such extent or in such amounts as are
provided in advance in appropriation Acts.
(c) Funds made available by the Government of Israel
pursuant to subsection (b) of this section may be credited to
the appropriation account established to carry out the purposes
of this section for the payment of obligations incurred and for
refund to the Government of Israel if they are unnecessary for
that purpose, as determined by the President. Credits and the
proceeds of guaranteed loans made available to the Government
of Israel pursuant to the Arms Export Control Act, as well as
any other source of financing available to it, may be used by
Israel to carry out its undertaking to provide such additional
funds.
Sec. 563.\668\ Waiver Authorities.--(a) It is the sense of
the Congress that the President should take all necessary
measures consistent with law to insure the efficient and timely
completion of the construction authorized by this chapter,
including the exercise of authority vested in him by section
633(a) of this Act.
---------------------------------------------------------------------------
\668\ 22 U.S.C. 2349b. See also sec. 6 of Executive Order 11223
which pertains to the administration of this chapter, in Legislation on
Foreign Relations Through 1998, vol. I-B.
---------------------------------------------------------------------------
(b) The provisions of paragraph (3) of section 636(a) of
this Act shall be applicable to the use of funds available to
carry out this chapter, except that no more than sixty persons
may be engaged at any one time under that paragraph for
purposes of this chapter.
Chapter 8--Antiterrorism Assistance \669\
Sec. 571.\670\ General Authority.--Notwithstanding any
other provision of law that restricts assistance to foreign
countries (other than sections 502B and 620A of this Act),\671\
the President is authorized to furnish, on such terms and
conditions as the President may determine, assistance to
foreign countries in order to enhance the ability of their law
enforcement personnel to deter terrorists and terrorist groups
from engaging in international terrorist acts such as bombing,
kidnaping, assassination, hostage taking, and hijacking. Such
assistance may include training services and the provision of
equipment and other commodities related to bomb detection and
disposal, management of hostage situations, physical security,
and other matters relating to the detection, deterrence, and
prevention of acts of terrorism, the resolution of terrorist
incidents, and the apprehension of those involved in such acts.
---------------------------------------------------------------------------
\669\ Ch. 8 was added by the International Security and Development
Assistance Authorizations Act of 1983 (sec. 101(b)(2) of the Further
Continuing Appropriations, 1984; Public Law 98-151; 97 Stat. 972).
Pursuant to Public Law 98-151, ch. 8 was enacted as contained in title
II of H.R. 2992, as reported by the House Committee on Foreign Affairs
on May 17, 1983, except for sec. 575 (redesignated in 1996 as sec.
574), which was included in Public Law 98-151.
Sec. 122 of Public Law 104-164 (110 Stat. 1428) provided the
following:
``sec. 122. research and development expenses.
``Funds made available for fiscal years 1996 and 1997 to carry out
chapter 8 of part II of the Foreign Assistance Act of 1961 (22 U.S.C.
2349aa et seq.; relating to antiterrorism assistance) may be made
available to the Technical Support Working Group of the Department of
State for research and development expenses related to contraband
detection technologies or for field demonstrations of such technologies
(whether such field demonstrations take place in the United States or
outside the United States).''.
\670\ 22 U.S.C. 2349aa. Delegation of Authority No. 145 (February
4, 1984) delegated the functions conferred upon the President by
chapter 8 to the Director of the Office for Combating Terrorism.
\671\ Sec. 121(a) of Public Law 104-164 (110 Stat. 1428) struck out
``Subject to the provisions of this chapter'', and inserted in lieu
thereof ``Notwithstanding any other provision of law that restricts
assistance to foreign countries (other than sections 502B and 620A of
this Act)''.
---------------------------------------------------------------------------
Sec. 572.\672\ Purposes.--Activities conducted under this
chapter shall be designed--
---------------------------------------------------------------------------
\672\ 22 U.S.C. 2349aa-1.
---------------------------------------------------------------------------
(1) to enhance the antiterrorism skills of friendly
countries by providing training and equipment to deter
and counter terrorism;
(2) to strengthen the bilateral ties of the United
States with friendly governments by offering concrete
assistance in this area of great mutual concern; and
(3) to increase respect for human rights by sharing
with foreign civil authorities modern, humane, and
effective antiterrorism techniques.
Sec. 573.\673\ Limitations.--(a) Whenever the President
determines it to be consistent with and in furtherance of the
purposes of this chapter, and on such terms and conditions
consistent with this Act as he may determine, any agency of the
United States Government is authorized to furnish services and
commodities, without charge to funds available to carry out
this chapter, to an eligible foreign country, subject to
payment in advance of the value thereof (within the meaning of
section 644(m)) in United States dollars by the foreign
country. Credits and the proceeds of guaranteed loans made
available to such countries pursuant to the Arms Export Control
Act shall not be used for such payments. Collections under this
chapter shall be credited to the currently applicable
appropriation, account, or fund of the agency providing such
services and commodities and shall be available for the
purposes for which such appropriation, account, or fund is
authorized to be used.
---------------------------------------------------------------------------
\673\ 22 U.S.C. 2349aa-2. Sec. 121(b)(1) of Public Law 104-164 (110
Stat. 1428) struck out ``Specific Authorities and'' from the section
heading. Sec. 121(b)(2) of that Public Law struck out subsec. (a) of
this section and redesignated subsecs. (b) through (f) as subsecs. (a)
through (e), respectively. Subsec. (f), however, had been struck out
previously by Public Law 104-132 (see note below). Subsec. (a) had read
as follows:
``(a) Notwithstanding section 660 of this Act, services and
commodities may be granted for the purposes of this chapter to eligible
foreign countries, subject to reimbursement of the value thereof
(within the meaning of section 644(m)) pursuant to section 632 of this
Act from funds available to carry out this chapter.''.
---------------------------------------------------------------------------
(b) The Assistant Secretary of State for Democracy, Human
Rights, and Labor \674\ shall be consulted in the \675\
determinations of the foreign countries that will be furnished
assistance under this chapter and determinations of the nature
of assistance to be furnished to each such country.
---------------------------------------------------------------------------
\674\ Sec. 163(e)(2) of the Foreign Relations Authorization Act,
Fiscal Years 1994 and 1995 (Public Law 103-236; 108 Stat. 405), amended
the title designation by striking out ``Human Rights and Humanitarian
Affairs'', and inserting in lieu thereof ``Democracy, Human Rights, and
Labor''.
\675\ Sec. 328(a)(1) of the Antiterrorism and Effective Death
Penalty Act of 1996 (Public Law 104-132; 110 Stat. 1257) struck out
``development and implementation of the antiterrorism assistance
program under this chapter, including'' at this point.
---------------------------------------------------------------------------
(c) \676\ (1) Arms and ammunition may be provided under
this chapter only if they are directly related to antiterrorism
assistance.
---------------------------------------------------------------------------
\676\ Subsec. (c), redesignated from subsec. (d) by sec. 121(b)(3)
of Public Law 104-164 (110 Stat. 1428), was amended and restated by
sec. 328(a)(2) of the Antiterrorism and Effective Death Penalty Act of
1996 (Public Law 104-132; 110 Stat. 1257). Portions were amended and
restated earlier by sec. 213(b) of Public Law 101-604 (104 Stat. 3086),
sec. 507 of Public Law 99-399 (100 Stat. 873).
In view of amendments to this subsection by Public Law 104-132,
amendments contained in sec. 121(b)(4) of Public Law 104-164 (110 Stat.
1428) cannot be executed. Sec. 121(b)(4) of that Public Law required:
``(b) limitations.--Section 573 of such Act (22 U.S.C. 2349aa-2) is
amended-- * * *
---------------------------------------------------------------------------
``(4) in subsection (c) (as redesignated)--
``(A) by striking paragraphs (1) and (2);
``(B) by redesignating paragraphs (3) through (5) as
paragraphs (1) through (3), respectively; and
``(C) by amending paragraph (2) (as redesignated) to
read as follows:
---------------------------------------------------------------------------
``(2)(A) Except as provided in subparagraph (B), funds made
available to carry out this chapter shall not be made available for the
procurement of weapons and ammunition.
``(B) Subparagraph (A) shall not apply to small arms and ammunition
in categories I and III of the United States Munitions List that are
integrally and directly related to antiterrorism training provided
under this chapter if, at least 15 days before obligating those funds,
the President notifies the appropriate congressional committees
specified in section 634A of this Act in accordance with the procedures
applicable to reprogramming notifications under such section.
``(C) The value (in terms of original acquisition cost) of all
equipment and commodities provided under this chapter in any fiscal
year may not exceed 25 percent of the funds made available to carry out
this chapter for that fiscal year.''.
---------------------------------------------------------------------------
(2) The value (in terms of original acquisition cost) of
all equipment and commodities provided under this chapter in
any fiscal year shall not exceed 30 percent of the funds made
available to carry out this chapter for that fiscal year.
(d) This chapter does not apply to information exchange
activities conducted by agencies of the United States
Government under other authority for such purposes.
(f) \677\ [Repealed--1996]
---------------------------------------------------------------------------
\677\ Subsec. (f) was added by sec. 501(c) of Public Law 99-83 (99
Stat. 221), and struck out by sec. 328(a)(3) of the Antiterrorism and
Effective Death Penalty Act of 1996 (Public Law 104-132; 110 Stat.
1257). It had read as follows:
``(f) Funds made available to carry out this chapter may not be
used for personnel compensation or benefits.''.
---------------------------------------------------------------------------
Sec. 574.\678\ * * * [Repealed--1996]
---------------------------------------------------------------------------
\678\ Formerly at 22 U.S.C. 2349aa-3. Sec. 121(c) of Public Law
104-164 (110 Stat. 1428) repealed sec. 574, which had required reports
to Congress on antiterrorism assistance.
---------------------------------------------------------------------------
Sec. 574.\679\ Authorizations of Appropriations.--(a) There
are authorized to be appropriated to the President to carry out
this chapter $9,840,000 for the fiscal year 1986 and
$14,680,000 for the fiscal year 1987.
---------------------------------------------------------------------------
\679\ 22 U.S.C. 2349aa-4. Redesignated from sec. 575 to sec. 574 by
sec. 121(d) of Public Law 104-164 (110 Stat. 1428). The authorization
for fiscal year 1986 was enacted by sec. 501(a) of the International
Security and Development Cooperation Act of 1985 (Public Law 99-83; 99
Stat. 219). The authorization for fiscal year 1987 of $14,680,000 was
inserted in lieu of the amount of $9,840,000 (originally enacted by
Public Law 99-83) by sec. 401 of Public Law 99-399 (100 Stat. 862).
Previous authorizations include: fiscal year 1984--$5,000,000; fiscal
year 1985--no authorization; fiscal years 1988 through 1999--no
authorization.
Congress did not enact an authorization for fiscal year 1999.
Instead, the Foreign Operations, Export Financing, and Related Programs
Appropriations Act, 1999 (division A, sec. 101(d) of Public Law 105-
277; 112 Stat. 2681), waived the requirements for authorization, and
title II of that Act provided the following:
---------------------------------------------------------------------------
``nonproliferation, anti-terrorism, demining and related programs
---------------------------------------------------------------------------
``For necessary expenses for nonproliferation, anti-terrorism and
related programs and activities, $198,000,000, to carry out the
provisions of chapter 8 of part II of the Foreign Assistance Act of
1961 for anti-terrorism assistance, section 504 of the FREEDOM Support
Act for the Nonproliferation and Disarmament Fund, section 23 of the
Arms Export Control Act or the Foreign Assistance Act of 1961 for
demining activities, the clearance of unexploded ordnance, and related
activities, notwithstanding any other provision of law, including
activities implemented through nongovernmental and international
organizations, section 301 of the Foreign Assistance Act of 1961 for a
voluntary contribution to the International Atomic Energy Agency (IAEA)
and a voluntary contribution to the Korean Peninsula Energy Development
Organization (KEDO), and for a United States contribution to the
Comprehensive Nuclear Test Ban Treaty Preparatory Commission: Provided,
That the Secretary of State shall inform the Committees on
Appropriations at least twenty days prior to the obligation of funds
for the Comprehensive Nuclear Test Ban Treaty Preparatory Commission:
Provided further, That of this amount not to exceed $15,000,000, to
remain available until expended, may be made available for the
Nonproliferation and Disarmament Fund, notwithstanding any other
provision of law, to promote bilateral and multilateral activities
relating to nonproliferation and disarmament: Provided further, That
such funds may also be used for such countries other than the New
Independent States of the former Soviet Union and international
organizations when it is in the national security interest of the
United States to do so: Provided further, That such funds shall be
subject to the regular notification procedures of the Committees on
Appropriations: Provided further, That of the funds appropriated under
this heading not less than $35,000,000 should be made available for
demining, clearance of unexploded ordnance, and related activities:
Provided further, That of the funds made available for demining and
related activities, not to exceed $500,000, in addition to funds
otherwise available for such purposes, may be used for expenses related
to the operation and management of the demining program: Provided
further, That funds appropriated under this heading may be made
available for the International Atomic Energy Agency only if the
Secretary of State determines (and so reports to the Congress) that
Israel is not being denied its right to participate in the activities
of that Agency.''.
See also in that Act: sec. 506--Prohibition on Financing Nuclear
Goods; sec. 515--Notification Requirements; and sec. 576--Assistance
for the Middle East.
Sec. 328(b) of the Antiterrorism and Effective Death Penalty Act of
1996 (Public Law 104-132; 110 Stat. 1257) provided the following:
``(b) Assistance to Foreign Countries To Procure Explosives
Detection Devices and Other Counterterrorism Technology.--(1) Subject
to section 575(b), up to $3,000,000 in any fiscal year may be made
available--
---------------------------------------------------------------------------
``(A) to procure explosives detection devices and other
counterterrorism technology; and
``(B) for joint counterterrorism research and development
projects on such technology conducted with NATO and major non-
NATO allies under the auspices of the Technical Support Working
Group of the Department of State.
---------------------------------------------------------------------------
``(2) As used in this subsection, the term `major non-NATO allies'
means those countries designated as major non-NATO allies for purposes
of section 2350a(i)(3) of title 10, United States Code.
``(c) Assistance to Foreign Countries.--Notwithstanding any other
provision of law (except section 620A of the Foreign Assistance Act of
1961) up to $1,000,000 in assistance may be provided to a foreign
country for counterterrorism efforts in any fiscal year if--
---------------------------------------------------------------------------
``(1) such assistance is provided for the purpose of
protecting the property of the United States Government or the
life and property of any United States citizen, or furthering
the apprehension of any individual involved in any act of
terrorism against such property or persons; and
``(2) the appropriate committees of Congress are notified not
later than 15 days prior to the provision of such
assistance.''.
(b) Amounts appropriated under this section are authorized
to remain available until expended.
Sec. 575.\680\ Administrative Authorities.--Except where
expressly provided to the contrary, any reference in any law to
part I of this Act shall be deemed to include reference to this
chapter and any reference in any law to part II of this Act
shall be deemed to exclude reference to this chapter.
---------------------------------------------------------------------------
\680\ 22 U.S.C. 2349aa-5. Redesignated from sec. 576 to sec. 575 by
sec. 121(d) of Public Law 104-164 (110 Stat. 1428).
---------------------------------------------------------------------------
Sec. 577.\681\ * * * [Repealed--1985]
---------------------------------------------------------------------------
\681\ Formerly at 22 U.S.C. 2349aa-6. Sec. 577 was repealed by sec.
501(d) of the International Security and Development Cooperation Act of
1985 (Public Law 99-83; 99 Stat. 220). The authorities under this
chapter would have expired on September 30, 1985.
---------------------------------------------------------------------------
PART III
Chapter 1--General Provisions
Sec. 601.\682\ Encouragement of Free Enterprise and Private
Participation.--(a) The Congress of the United States
recognizes the vital role of free enterprise in achieving
rising levels of production and standards of living essential
to economic progress and development. Accordingly, it is
declared to be the policy of the United States to encourage the
efforts of other countries to increase the flow of
international trade, to foster private initiative and
competition, to encourage the development and use of
cooperatives, credit unions, and savings and loan associations,
to discourage monopolistic practices, to improve the technical
efficiency of their industry, agriculture, and commerce, and to
strengthen free labor unions; and to encourage the contribution
of United States enterprise toward economic strength of less
developed friendly countries, through private trade and
investment abroad, private participation in programs carried
out under this Act (including the use of private trade channels
to the maximum extent practicable in carrying out such
programs), and exchange of ideas and technical information on
the matters covered by this subsection.
---------------------------------------------------------------------------
\682\ 22 U.S.C. 2351.
---------------------------------------------------------------------------
(b) In order to encourage and facilitate participation by
private enterprise to the maximum extent practicable in
achieving any of the purposes of this Act, the President
shall--
(1) make arrangements to find, and draw the attention
of private enterprise to opportunities for investment
and development in less developed countries and areas;
(2) establish an effective system for obtaining
adequate information with respect to the activities of,
and opportunities for, nongovernmental participation in
the development process, and for utilizing such
information in the planning, direction, and execution
of programs carried out under this Act, and in the
coordination of such programs with the ever-increasing
developmental activities of nongovernmental United
States institutions;
(3) \683\ accelerate a program of negotiating
treaties for commerce and trade, including tax
treaties, which shall include provisions to encourage
and facilitate the flow of private investment to, and
its equitable treatment in, friendly countries and
areas participating in programs under this Act;
---------------------------------------------------------------------------
\683\ Sec. 301(a)(2) of the FA Act of 1966 redesignated pars. (2),
(3), (4), (5), and (6) as pars. (3), (4), (5), (6), and (7)
respectively and added a new par. (2).
---------------------------------------------------------------------------
(4) \683\ seek, consistent with the national
interest, compliance by other countries or areas with
all treaties for commerce and trade and taxes, and take
all reasonable measures under this Act or other
authority to secure compliance therewith and to assist
United States citizens in obtaining just compensation
for losses sustained by them or payments exacted from
them as a result of measures taken or imposed by any
country or area thereof in violation of any such
treaty;
(5) \683\ to the maximum extent practicable \684\
carry out programs of assistance through private
channels and to the extent practicable in conjunction
with local private or governmental participation,
including loans under the authority of section 122
\685\ to any individual, corporation, or other body of
persons; \684\
---------------------------------------------------------------------------
\684\ Sec. 301(a)(2) of the FA Act of 1963 inserted ``to the
maximum extent practicable'' in lieu of ``wherever appropriate'', and
inserted a semicolon for the period at the end of the paragraph.
\685\ Sec. 102(g)(2)(B) of the International Development and Food
Assistance Act of 1978 (Public Law 95-424; 92 Stat. 942) inserted
``122'' in lieu of ``201''.
---------------------------------------------------------------------------
(6) \686\ take appropriate steps to discourage
nationalization, expropriation, confiscation, seizure
of ownership or control of private investment and
discriminatory or other actions, having the effect
thereof, undertaken by countries receiving assistance
under this Act, which divert available resources
essential to create new wealth, employment, and
productivity in those countries and otherwise impair
the climate for new private investment essential to the
stable economic growth and development of those
countries;
---------------------------------------------------------------------------
\686\ Pars. (6) and (7) were added by sec. 301(a)(3) of the FA Act
of 1963. Originally added as pars. (5) and (6), they were redesignated
by sec. 301(a)(2) of the FA Act of 1966.
---------------------------------------------------------------------------
(7) \686\ utilize wherever practicable the services
of United States private enterprise (including, but not
limited to, the services of experts and consultants in
technical fields such as engineering);
(8) \687\ utilize wherever practicable the services
of United States private enterprise on a cost-plus
incentive fee contract basis to provide the necessary
skills to develop and operate a specific project or
program of assistance in a less developed friendly
country or area in any case in which direct private
investment is not readily encouraged, and provide where
appropriate for the transfer of equity ownership in
such project or program to private investors at the
earliest feasible time.
---------------------------------------------------------------------------
\687\ Sec. 301(a)(3) of the FA Act of 1966 added par. (8).
---------------------------------------------------------------------------
(c) \688\ (1) There is hereby established an International
Private Investment Advisory Council on Foreign Aid to be
composed of such number of leading American business
specialists as may be selected, from time to time, by the
Administrator of the Agency for International Development for
the purpose of carrying out the provisions of this
subsection.\689\ The members of the Council shall serve at the
pleasure of the Administrator, who shall designate one member
to serve as Chairman.
---------------------------------------------------------------------------
\688\ Subsec. (c) was amended by sec. 301(a)(4) of the FA Act of
1966. It formerly read as follows:
``(c)(1) There is hereby established an Advisory Committee on
Private Enterprise in Foreign Aid. The Advisory Committee shall carry
out studies and make recommendations for achieving the most effective
utilization of the private enterprise provisions of this Act to the
head of the Agency charged with administering the programs under part I
of this Act, who shall appoint the Committee.
``(2) Members of the Advisory Committee shall represent the public
interest and shall be selected from the business, labor and
professional world, from the universities and foundations, and from
among persons with extensive experience in government. The Advisory
Committee shall consist of not more than nine members, and one of the
members shall be designated as chairman.
``(3) Members of the Advisory Committee shall receive no
compensation for their services but shall be entitled to reimbursement
in accordance with section 5 of the Administrative Expenses Act of 1946
(5 U.S.C. 73b2) for travel and other expenses incurred in attending
meetings of the Advisory Committee.
``(4) The Advisory Committee shall, if possible, meet not less
frequently than once each month, shall submit such interim reports as
the Committee finds advisable, and shall submit a final report not
later than June 30, 1965, whereupon the Committee shall cease to exist.
Such reports shall be made available to the public and to the Congress.
``(5) The expenses of the Committee, which shall not exceed
$50,000, shall be paid from funds otherwise available under this
Act.''.
\689\ This function of the Administrator of AID was transferred to
the Director of IDCA, pursuant to sec. 6 of Reorganization Plan No. 2
of 1979 (establishing IDCA). The Reorganization Plan No. 2 of 1979
ceased to be effective with enactment of the Foreign Affairs Reform and
Restructuring Act of 1998, pursuant to sec. 1422(a)(1) (division G of
Public Law 105-277; 112 Stat. 2681).
---------------------------------------------------------------------------
(2) It shall be the duty of the Council, at the request of
the Administrator, to make recommendations to the Administrator
with respect to particular aspects of programs and activities
under this Act where private enterprise can play a contributing
role and to act as liaison for the Administrator to involve
specific private enterprises in such programs and
activities.\689\
(3) The members of the Advisory Council shall receive no
compensation for their services but shall be entitled to
reimbursement in accordance with section 5703 of title 5 of the
United States Code \690\ for travel and other expenses incurred
by them in the performance of their functions under this
subsection.
---------------------------------------------------------------------------
\690\ The words ``5703 of title 5 of the United States Code'' were
inserted in lieu of ``5 of the Administrative Expenses Act of 1946 (5
U.S.C. 73b2)'' by sec. 301(a) of the FA Act of 1967.
---------------------------------------------------------------------------
(4) The expenses of the Advisory Council shall be paid by
the Administrator from funds otherwise available under this
Act.
(d) \691\ It is the sense of Congress that the Agency for
International Development should continue to encourage, to the
maximum extent consistent with the national interest, the
utilization of engineering and professional services of United
States firms (including, but not limited to, any corporation,
company, partnership, or other association) or by an affiliate
of such United States firms in connection with capital projects
financed by funds authorized under this Act.\692\
---------------------------------------------------------------------------
\691\ Subsec. (d) was added by sec. 301(b) of the FA Act of 1964.
\692\ This responsibility of the agency and its Administrator was
transferred to the Director of IDCA, pursuant to sec. 6 of
Reorganization Plan No. 2 of 1979 (establishing IDCA). The
Reorganization Plan No. 2 of 1979 ceased to be effective with enactment
of the Foreign Affairs Reform and Restructuring Act of 1998, pursuant
to sec. 1422(a)(1) (division G of Public Law 105-277; 112 Stat. 2681).
---------------------------------------------------------------------------
(e) \693\ (1) The Congress finds that significantly greater
effort must be made in carrying out programs under part I of
this Act to award contracts on the basis of competitive
selection procedures. All such contracts should be let on the
basis of competitive selection procedures except in those
limited cases in which the procurement regulations governing
the agency primarily responsible for administering part I of
this Act allow noncompetitive procedures to be used.
---------------------------------------------------------------------------
\693\ Subsec. (e) was added by sec. 501 of the International
Development and Food Assistance Act of 1978 (Public Law 95-424; 92
Stat. 956).
---------------------------------------------------------------------------
(2) \694\ * * * [Repealed--1981]
---------------------------------------------------------------------------
\694\ Par. (2), which had required certain information to be
supplied to Congress within the congressional presentation materials
for development assistance in fiscal years 1980 and 1981 concerning
contracts entered into by AID without competitive selection procedures,
was struck out by sec. 734(a)(1) of the International Security and
Development Cooperation Act of 1981 (Public Law 97-113; 95 Stat. 1560).
---------------------------------------------------------------------------
Sec. 602.\695\ Small Business.--(a) Insofar as practicable
and to the maximum extent consistent with the accomplishment of
the purposes of this Act, the President shall assist American
small business to participate equitably in the furnishing of
commodities, defense articles, and services (including defense
services) financed with funds made available under this Act--
---------------------------------------------------------------------------
\695\ 22 U.S.C. 2352.
---------------------------------------------------------------------------
(1) by causing to be made available to suppliers in
the United States, and particularly to small
independent enterprises, information, as far in advance
as possible, with respect to purchases proposed to be
financed with such funds;
(2) by causing to be made available to prospective
purchasers in the countries and areas receiving
assistance under this Act information as to such
commodities, articles, and services produced by small
independent enterprises in the United States; and
(3) by providing for additional services to give
small business better opportunities to participate in
the furnishing of such commodities, articles, and
services financed with such funds.
(b) There shall be an Office of Small Business, headed by a
Special Assistant for Small Business, in such agency of the
United States Government as the President may direct, to assist
in carrying out the provisions of subsection (a) of this
section.
(c) The Secretary of Defense shall assure that there is
made available to suppliers in the United States, and
particularly to small independent enterprises, information with
respect to purchases made by the Department of Defense pursuant
to part II, such information to be furnished as far in advance
as possible.
Sec. 603.\696\ Shipping on United States Vessels.--The
ocean transportation between foreign countries of commodities
and defense articles purchased with foreign currencies made
available or derived from funds made available under this Act
or the Agricultural Trade Development and Assistance Act of
1954 as amended (7 U.S.C. 1691 et seq.), and transfers of fresh
fruit and products thereof under this Act shall not be governed
by the provisions of section 901(b) of the Merchant Marine Act
of 1936, as amended (46 U.S.C. 1241), or any other law relating
to the ocean transportation of commodities on United States
flag vessels.
---------------------------------------------------------------------------
\696\ 22 U.S.C. 2353.
---------------------------------------------------------------------------
Sec. 604.\697\ Procurement.--(a)(1) Limitations on
Procurement Outside the United States.--Funds made available
for assistance under this Act may be used by the President for
procurement--
---------------------------------------------------------------------------
\697\ 22 U.S.C. 2354. Sec. 597 of the Foreign Operations, Export
Financing, and Related Programs Appropriations Act, 1993 (Public Law
102-391; 106 Stat. 1694), restated sec. 604(a), which formerly read as
follows:
``Procurement.--(a) Funds made available under this Act may be used
for procurement outside the United States only if the President
determines that such procurement will not result in adverse effects
upon the economy of the United States or the industrial mobilization
base, with special reference to any areas of labor surplus or to the
net position of the United States in its balance of payments with the
rest of the world, which outweigh the economic or other advantages to
the United States of less costly procurement outside the United States,
and only if the price of any commodity procured in bulk is lower than
the market price prevailing in the United States at the time of
procurement, adjusted for differences in the cost of transportation to
destination, quality, and terms of payment.''.
See also in the Foreign Operations, Export Financing, and Related
Programs Appropriations Act, 1999, sec. 547 --Purchase of American-made
Equipment and Products.
---------------------------------------------------------------------------
(A) only in the United States, the recipient country,
or developing countries; or
(B) in any other country but only if--
(i) the provision of such assistance requires
commodities or services of a type that are not
produced in and available for purchase in any
country specified in subparagraph (A); or
(ii) the President determines, on a case-by-
case basis, that procurement in such other
country is necessary--
(I) to meet unforeseen circumstances,
such as emergency situations, where it
is important to permit procurement in a
country not specified in subparagraph
(A); or
(II) to promote efficiency in the use
of United States foreign assistance
resources, including to avoid
impairment of foreign assistance
objectives.
(2) For purposes of this subsection, the term ``developing
countries'' shall not include advanced developing countries.
(b) No funds made available under this Act shall be used
for the purchase in bulk of any commodities at prices higher
than the market price prevailing in the United States at the
time of purchase, adjusted for differences in the cost of
transportation to destination, quality, and terms of payment.
(c) \698\ In providing for the procurement of any
agricultural commodity or product thereof available for
disposition under the Agricultural Trade Development and
Assistance Act of 1954 as amended, for transfer by grant under
this Act to any recipient country in accordance with its
requirements, the President shall, insofar as practicable and
when in furtherance of the purposes of this Act, authorize the
procurement of such agricultural commodity only within the
United States except to the extent that such agricultural
commodity is not available in the United States in sufficient
quantities to supply emergency requirements of recipients under
this Act.
---------------------------------------------------------------------------
\698\ Sec. 301(b)(1) of the FA Act of 1966 struck out the word
``surplus'' which appeared before the word ``agricultural'' in three
places in this subsec. and inserted ``or product thereof available for
disposition under the Agricultural Trade Development and Assistance Act
of 1954, as amended,''. For text of the Agricultural Trade Development
and Assistance Act, see Legislation on Foreign Relations Through 1998,
vol. I-B.
---------------------------------------------------------------------------
(d) In providing assistance in the procurement of
commodities in the United States, United States dollars shall
be made available for marine insurance on such commodities
where such insurance is placed on a competitive basis in
accordance with normal trade practice prevailing prior to the
outbreak of World War II: Provided, That in the event a
participating country, by statute, decree, rule, or regulation,
discriminates against any marine insurance company authorized
to do business in any State of the United States, then
commodities purchased with funds provided hereunder and
destined for such country shall be insured in the United States
against marine risk with a company or companies authorized to
do a marine insurance business in any State of the United
States.
(e) \699\ No funds made available under this Act shall be
used for the procurement of any agricultural commodity or
product thereof outside the United States when the domestic
price of such commodity is less than parity, unless the
commodity to be financed could not reasonably be produced in
the United States in fulfillment of the objectives of a
particular assistance program under which such commodity
procurement is to be financed.
---------------------------------------------------------------------------
\699\ Subsec. (e) was added by sec. 301(b)(2) of the FA Act of
1966. The last phrase of subsec. (e), beginning with the words ``,
unless the commodity * * *'', were added by sec. 705(a) of the
International Security and Development Cooperation Act of 1980 (Public
Law 96-593; 94 Stat. 3157).
---------------------------------------------------------------------------
(f) \700\ No funds authorized to be made available to carry
out part I of this Act shall be used under any commodity import
program to make any payment to a supplier unless the supplier
has certified to the agency primarily responsible for
administering such part I, such information as such agency
shall by regulation prescribe, including but not limited to, a
description of the commodity supplied by him and its condition,
and on the basis of such information such agency shall have
approved such commodity as eligible and suitable for financing
under this Act.
---------------------------------------------------------------------------
\700\ Subsec. (f) was added by sec. 301(a) of the FA Act of 1968.
---------------------------------------------------------------------------
(g) \701\ (1) None of the funds authorized to be
appropriated or made available for obligation or expenditure
under this Act may be made available for the procurement of
construction or engineering services from advanced developing
countries, eligible under the Geographic Code 941, which have
attained a competitive capability in international markets for
construction services or engineering services.
---------------------------------------------------------------------------
\701\ Subsec. (g) was added by sec. 705(b) of the International
Security and Development Cooperation Act of 1980 (Public Law 96-533; 94
Stat. 3158).
---------------------------------------------------------------------------
(2) \702\ Paragraph (1) does not apply with respect to an
advanced developing country which--
---------------------------------------------------------------------------
\702\ Par. (2) was added by sec. 1207 of the International Security
and Development Cooperation Act of 1985 (Public Law 99-83; 99 Stat.
278).
---------------------------------------------------------------------------
(A) is receiving direct economic assistance under
chapter 1 of part I or chapter 4 of part II of this
Act, and
(B) if the country has its own foreign assistance
programs which finance the procurement of construction
or engineering services, permits United States firms to
compete for those services.
Sec. 605.\703\ Retention and Use of Certain Items and
Funds.--(a) Any commodities and defense articles procured to
carry out this Act shall be retained by, or upon reimbursement,
transferred to, and for the use of, such agency of the United
States Government as the President may determine in lieu of
being disposed of to a foreign country or international
organization, whenever in the judgment of the President the
best interests of the United States will be served thereby or
whenever such retention is called for by concurrent resolution.
Any commodities or defense articles so retained may be disposed
of without regard to provisions of law relating to the disposal
of property owned by the United States Government, when
necessary to prevent spoilage or wastage of such commodities or
defense articles or to conserve the usefulness thereof. Funds
realized from any disposal or transfer shall revert to the
respective appropriation, fund, or account used to procure such
commodities or defense articles or to the appropriation, fund,
or account currently available for the same general purpose.
---------------------------------------------------------------------------
\703\ 22 U.S.C. 2355. Sec. 301(a)(1) of the FA Act of 1965 inserted
``Certain Items and Funds'' for ``Items'' in the section heading.
---------------------------------------------------------------------------
(b) Whenever commodities are transferred to the United
States Government as repayment of assistance under this Act,
such commodities may be used in furtherance of the purposes and
within the limitations of this Act.
(c) \704\ Funds realized as a result of any failure of a
transaction financed under authority of part I of this Act to
conform to the requirements of this Act, or to applicable rules
and regulations of the United States Government, or to the
terms of any agreement or contract entered into under authority
of part I of this Act, shall revert to the respective
appropriation, fund, or account used to finance such
transaction or to the appropriation, fund, or account currently
available for the same general purpose.
---------------------------------------------------------------------------
\704\ Subsecs. (c) and (d) were added by sec. 301(a)(2) of the FA
Act of 1965.
---------------------------------------------------------------------------
(d) \704\ Funds realized by the United States Government
from the sale, transfer, or disposal of defense articles
returned to the United States Government by a recipient country
or international organization as no longer needed for the
purpose for which furnished shall be credited to the respective
appropriation, fund, or account used to procure such defense
articles or to the appropriation, fund, or account currently
available for the same general purpose.
Sec. 606.\705\ Patents and Technical Information.--(a)
Whenever, in connection with the furnishing of assistance under
this Act--
---------------------------------------------------------------------------
\705\ 22 U.S.C. 2356.
---------------------------------------------------------------------------
(1) an invention or discovery covered by a patent
issued by the United States Government is practiced
within the United States without the authorization of
the owner, or
(2) information, which is (A) protected by law, and
(B) held by the United States Government subject to
restrictions imposed by the owner, is disclosed by the
United States Government or any of its officers,
employees, or agents in violation of such restrictions,
the exclusive remedy of the owner, except as provided in
subsection (b) of this section, is to sue the United States
Government for reasonable and entire compensation for such
practice or disclosure in the district court of the United
States for the district in which such owner is a resident, or
in the United States Court of Federal Claims \706\ within six
years after the cause of action arises. Any period during which
the United States Government is in possession of a written
claim under subsection (b) of this section before mailing a
notice of denial of that claim does not count in computing the
six years. In any such suit, the United States Government may
plead any defense that may be pleaded by a private person in
such an action. The last paragraph of section 1498(a) of title
28 of the United States Code shall apply to inventions and
information covered by this section.
---------------------------------------------------------------------------
\706\ Reference to the United States Claims Court was inserted in
lieu of a reference to the Court of Claims by sec. 160(a)(6) of the
Federal Courts Improvement Act (Public Law 97-164; 96 Stat. 48).
Subsequently, sec. 902(b) of Public Law 102-572 (106 Stat. 4516)
provided that any reference, in law or in Federal documents, to the
United States Claim Court should be deemed to be a reference to the
United States Court of Federal Claims.
---------------------------------------------------------------------------
(b) Before suit against the United States Government has
been instituted, the head of the agency of the United States
Government concerned may settle and pay any claim arising under
the circumstances described in subsection (a) of this section.
No claim may be paid under this subsection unless the amount
tendered is accepted by the claimant in full satisfaction.
(c) Funds appropriated pursuant to this Act shall not be
expended by the United States Government for the acquisition of
any drug product or pharmaceutical product manufactured outside
the United States if the manufacture of such drug product or
pharmaceutical product in the United States would involve the
use of, or be covered by, an unexpired patent of the United
States which has not previously been held invalid by an
unappealed or unappealable judgment or decree of a court of
competent jurisdiction, unless such manufacture is expressly
authorized by the owner of such patent.
Sec. 607.\707\ Furnishing of Services and Commodities.--(a)
Whenever the President determines it to be consistent with and
in furtherance of the purposes of part I and within the
limitations of this Act, any agency of the United States
Government is authorized to furnish services and commodities on
an advance-of-funds or reimbursement basis to friendly
countries, international organizations, the American Red Cross,
and voluntary nonprofit relief agencies registered with and
approved by the Agency for International Development \708\
(including foreign voluntary nonprofit relief agencies so
registered and approved when no United States voluntary
nonprofit relief agency is available).\709\ Such advances or
reimbursements may be credited to the currently applicable
appropriation, account, or fund of the agency concerned and
shall be available for the purposes for which such
appropriation, account, or fund is authorized to be used, under
the following circumstances:
---------------------------------------------------------------------------
\707\ 22 U.S.C. 2357. Subsection designation ``(a)'' was added by
sec. 301(b) of the FA Act of 1968. Presidential authority in sec. 607
was delegated to the Secretary of State and to the Administrator of the
Agency for International Development, respectively, for matters within
their respective areas of responsibility, pursuant to a Presidential
memorandum of February 16, 1995 (60 F.R. 10793).
\708\ The reference to the Agency for International Development was
substituted in lieu of a reference to the Advisory Committee on
Voluntary Foreign Aid by sec. 121 of the International Development
Cooperation Act of 1979 (Public Law 96-53; 93 Stat. 366).
\709\ The parenthetical phrase was added by sec. 122(a) of the
International Development and Food Assistance Act of 1977 (Public Law
95-88; 91 Stat. 541). Subsec. (b) of sec. 122 further instructed the
President to issue regulations ``governing registration with and
approval by the Advisory Committee on Voluntary Foreign Aid of foreign
nonprofit agencies.''.
---------------------------------------------------------------------------
(1) Advances or reimbursements which are received
under this section within one hundred and eighty days
after the close of the fiscal year in which such
services and commodities are delivered.
(2) Advances or reimbursements received pursuant to
agreements executed under this section in which
reimbursement will not be completed within one hundred
and eighty days after the close of the fiscal year in
which such services and commodities are delivered:
Provided, That such agreements require the payment of
interest at the current rate established pursuant to
section 2(b)(1)(B) of the Export-Import Bank Act of
1945 (59 Stat. 526), and repayment of such principal
and interest does not exceed a period of three years
from the date of signing of the agreement to provide
the service: Provided further, That funds available for
this paragraph in any fiscal year shall not exceed
$1,000,000 of the total funds authorized for use in
such fiscal year by chapter 1 of part I of this Act,
and shall be available only to the extent provided in
appropriation Acts. Interest shall accrue as of the
date of disbursement to the agency or organization
providing such services.\710\
---------------------------------------------------------------------------
\710\ Sec. 315 of Public Law 94-161 (89 Stat. 849) inserted the
words to this point commencing with ``Such advances or reimbursements
may be credited * * *'' in lieu of ``Such advances or reimbursements
which are received under this section within one hundred and eighty
days after the close of the fiscal year in which such services and
commodities are delivered, may be credited to the current applicable
appropriation, account, or fund of the agency concerned and shall be
available for the purposes for which such appropriation, account, or
fund is authorized to be used.''.
---------------------------------------------------------------------------
(b) \711\ When any agency of the United States Government
provides services on an advance-of-funds or reimbursable basis
under this section, such agency may contract with individuals
for personal service abroad or in the United States to perform
such services or to replace officers or employees of the United
States Government who are assigned by the agency to provide
such services. Such individuals shall not be regarded as
employees of the United States Government for the purpose of
any law administered by the Civil Service Commission.\712\
---------------------------------------------------------------------------
\711\ Sec. 522 of the International Development and Food Assistance
Act of 1978 (Public Law 95-424; 92 Stat. 959) redesignated subsec. (b)
(as added by FA Act of 1968) as subsec. (c) and added a new subsec.
(b).
\712\ Sec. 102 of the Reorganization Plan No. 2 of 1978 (43 F.R.
36037; 92 Stat. 3783) transferred all functions vested by statute in
the Civil Service Commission to the Director of the Office of Personnel
Management.
---------------------------------------------------------------------------
(c) \711\ (1) Except as provided in subsection (d),\713\ no
Government-owned excess property shall be made available under
this section, section 608, or otherwise in furtherance of the
purposes of part I of this Act, unless, before the shipment of
such property for use in a specified country (or transfer, if
the property is already in such country), the agency
administering such part I has approved such shipment (or
transfer) and made a written determination--
---------------------------------------------------------------------------
\713\ The words ``except as provided in subsec. (d),'' were added
by sec. 129(1)(B) of the Foreign Relations Authorization Act, Fiscal
Years 1986 and 1987 (Public Law 99-93; 99 Stat. 419). Sec. 129(1)(A) of
the Act also redesignated pars. (1), (2) and (3) as (A), (B) and (C).
---------------------------------------------------------------------------
(A) \713\ that there is a need for such property in
the quantity requested and that such property is
suitable for the purpose requested;
(B) \713\ as to the status and responsibility of the
designated end-user and his ability effectively to use
and maintain such property; and
(C) \713\ that the residual value, serviceability,
and appearance of such property would not reflect
unfavorably on the image of the United States and would
justify the costs of packing, crating, handling,
transportation, and other accessorial costs, and that
the residual value at least equals the total of these
costs.
(d) \714\ The Secretary of State, acting through the
Assistant Secretary of State for Oceans and International
Environmental and Scientific Affairs, is authorized to transfer
to any friendly country, international organization, the
American Red Cross, or other voluntary nonprofit relief agency
described in subsection (a), Government-owned excess property
made available under this section or section 608 in order to
support activities carried out under part I of this Act which
are designed to enhance environmental protection in foreign
countries if the Secretary of State makes a written
determination--
---------------------------------------------------------------------------
\714\ Subsec. (d) was added by sec. 129(2) of the Foreign Relations
Authorization Act, Fiscal Years 1986 and 1987 (Public Law 99-93; 99
Stat. 419).
---------------------------------------------------------------------------
(1) that there is a need for such property in the
quantity requested and that such property is suitable
for the purpose requested;
(2) as to the status and responsibility of the
designated end-user and his ability effectively to use
and maintain such property; and
(3) that the residual value, serviceability, and
appearance of such property would not reflect
unfavorably on the image of the United States and would
justify the costs of packing, crating, handling,
transportation, and other accessorial costs, and that
the residual value at least equals the total of these
costs.
Sec. 608.\715\ Advance Acquisition of Property.--(a) It is
the sense of the Congress that in furnishing assistance under
part I excess personal property, or (if a substantial savings
would occur) other property already owned by an agency of the
United States Government, should be utilized wherever
practicable in lieu of or supplementary to the procurement of
new items for United States-assisted projects and
programs.\716\ The President is authorized to maintain in a
separate account, which shall, notwithstanding section 1210 of
the General Appropriation Act, 1951 (64 Stat. 765), be free
from fiscal year limitations, $5,000,000 of funds made
available under chapter 1 of part I,\717\ which may be used to
pay costs (including personnel costs) \718\ of acquisition,
storage, renovation and rehabilitation, packing, crating,
handling transportation, and related costs of property
classified as domestic or foreign excess property pursuant to
the Federal Property and Administrative Services Act of 1949,
as amended (40 U.S.C. 471 et seq.), any property available from
an agency of the United States Government \719\ or other
property, in advance of known requirements therefor for use in
furtherance of the purposes of part I: Provided, That the
amount of property classified as domestic excess property
pursuant to the Federal Property and Administrative Services
Act of 1949, as amended, held at any one time pursuant to this
section shall not exceed $15,000,000 in total original
acquisition cost. Property acquired pursuant to the preceding
sentence may be furnished (1) pursuant to any provision of part
I for which funds are authorized for the furnishing of
assistance, in which case the separate account established
pursuant to this section shall be repaid from funds made
available for such provision for all costs incurred, or (2)
pursuant to section 607, in which case such separate account
shall be repaid in accordance with the provisions of that
section for all costs incurred.
---------------------------------------------------------------------------
\715\ 22 U.S.C. 2358. Title II of the Foreign Operations, Export
Financing, and Related Programs Appropriations Act, 1999 (division A,
sec. 101(d) of Public Law 105-277; 112 Stat. 2681), provided the
following:
---------------------------------------------------------------------------
``department of state
``international narcotics control and law enforcement
---------------------------------------------------------------------------
``For necessary expenses to carry out section 481 of the Foreign
Assistance Act of 1961, $261,000,000: * * * Provided further, That
during fiscal year 1999, the Department of State may also use the
authority of section 608 of the Foreign Assistance Act of 1961, without
regard to its restrictions, to receive excess property from an agency
of the United States Government for the purpose of providing it to a
foreign country under chapter 8 of part I of that Act subject to the
regular notification procedures of the Committees on Appropriations.''.
\716\ This sentence was added by sec. 301(b) of the FA Act of 1967.
The phrases within the sentence of ``or (if substantial savings would
occur) other property already owned by an agency of the United States
Government,'' and ``or supplementary to'' were added by sec. 701(1) of
the International Security and Development Cooperation Act of 1981
(Public Law 97-113; 95 Stat. 1544).
\717\ The words ``chapter 1 of part I'' were inserted in lieu of
``section 212'' by sec. 102(g)(2)(C) of the International Development
and Food Assistance Act of 1978 (Public Law 95-424; 92 Stat. 942).
\718\ The words ``(including personnel costs),'' were added by sec.
301(c) of the FA Act of 1966.
\719\ The words ``any property available from an agency of the
United States Government,'' were added by sec. 701(2) of the
International Security and Development Cooperation Act of 1981 (Public
Law 97-113; 95 Stat. 1544).
---------------------------------------------------------------------------
(b) Property classified as domestic excess property under
the Federal Property and Administrative Services Act of 1949,
as amended, shall not be transferred to the agency primarily
responsible for administering part I for use pursuant to the
provisions of part I or section 607 unless (1) such property is
transferred for use exclusively by an agency of the United
States Government, or (2) it has been determined in the same
manner as provided for surplus property in section 203(j) of
the Federal Property and Administrative Services Act of 1949,
as amended, that such property is not needed for donation
pursuant to that subsection. The foregoing restrictions shall
not apply to the transfer in any fiscal year for use pursuant
to the provisions of part I of amounts of such property with a
total original acquisition cost to the United States Government
not exceeding $45,000,000.
Sec. 609.\720\ * * * [Repealed--1998]
---------------------------------------------------------------------------
\720\ Formerly at 22 U.S.C. 2359. Sec. 533(a)(5) of the Foreign
Operations, Export Financing, and Related Programs Appropriations Act,
1999 (division A, sec. 101(d) of Public Law 105-277; 112 Stat. 2681)
repealed sec. 609, which had read as follows. See also footnote at sec.
531(d) of this Act.
``Sec. 609. Special Account.--(a) In cases where any commodity is
to be furnished on a grant basis under chapter 4 of part I under
arrangements which will result in the accrual of proceeds to the
recipient country from the sale thereof, the President shall require
the recipient country to establish a Special Account, and
---------------------------------------------------------------------------
``(1) deposit in the Special Account, under terms and
conditions as may be agreed upon, currency of the recipient
country in amounts equal to such proceeds;
``(2) make available to the United States Government such
portion of the Special Account as may be determined by the
President to be necessary for the requirements of the United
States Government: Provided, That such portion shall not be
less than 10 per centum in the case of any country to which
such minimum requirement has been applicable under any Act
repealed by this Act; and
``(3) utilize the remainder of the Special Account for
programs agreed to by the United States Government to carry out
the purposes for which new funds authorized by this Act would
themselves be available: Provided, That whenever funds from
such Special Account are used by a country to make loans, all
funds received in repayment of such loans prior to termination
of assistance to such country shall be reused only for such
purposes as shall have been agreed to between the country and
the United States Government.
---------------------------------------------------------------------------
``(b) Any unencumbered balances of funds which remain in the
Account upon termination of assistance to such country under this Act
shall be disposed of for such purposes as may, subject to approval by
Act of the Congress, be agreed to between such country and the United
States Government.''.
---------------------------------------------------------------------------
Sec. 610.\721\ Transfer Between Accounts.--(a) \722\
Whenever the President determines it to be necessary for the
purposes of this Act, not to exceed 10 per centum of the funds
made available for any provision of this Act (except funds made
available pursuant to title IV of chapter 2 of part I or for
section 23 of the Arms Export Control Act) \723\ may be
transferred to, and consolidated with, the funds made available
for any \723\ provision of this Act, (except funds made
available under chapter 2 of part II of this Act) \724\ and may
be used for any of the purposes for which such funds may be
used, except that the total in the provision for the benefit of
which the transfer is made shall not be increased by more than
20 per centum of the amount of funds made available for such
provision.
---------------------------------------------------------------------------
\721\ 22 U.S.C. 2360. Subsection designation ``(a)'' and subsec.
(b) were added by sec. 301(a) of the FA Act of 1962.
title V of the Foreign Operations, Export Financing, and Related
Programs Appropriations Act, 1999 (division A, sec. 101(d) of Public
Law 105-277; 112 Stat. 2681), provided the following:
---------------------------------------------------------------------------
``transfers between accounts
---------------------------------------------------------------------------
``Sec. 509. None of the funds made available by this Act may be
obligated under an appropriation account to which they were not
appropriated, except for transfers specifically provided for in this
Act, unless the President, prior to the exercise of any authority
contained in the Foreign Assistance Act of 1961 to transfer funds,
consults with and provides a written policy justification to the
Committees on Appropriations of the House of Representatives and the
Senate: Provided, That the exercise of such authority shall be subject
to the regular notification procedures of the Committees on
Appropriations.''.
\722\ In a memorandum of September 30, 1998, the President ``hereby
determine[d] that, to provide support for the establishment and
functioning of the court proposed to be established in The Netherlands
for the trail of suspects in the Pan Am 103 bombing case, it is
necessary for the purposes of the [Foreign Assistance] Act [of 1961]
that $3 million of funds made available for section 23 of the Arms
Export control Act for fiscal year 1998 for the costs of direct
loans,and $4, 945,800 of funds made available for section 551 of the
[Foreign Assistance] Act for fiscal year 1998, be transferred to, and
consolidated with, funds made available for