[Congressional Record Volume 142, Number 110 (Wednesday, July 24, 1996)]
[Senate]
[Pages S8617-S8629]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




      FOREIGN OPERATIONS, EXPORT FINANCING, AND RELATED PROGRAMS 
                        APPROPRIATIONS ACT, 1997

  Mr. LOTT. Mr. President, I ask unanimous consent that the Senate turn 
to the consideration of H.R. 3540, the foreign ops appropriations bill.
  The PRESIDING OFFICER. The clerk will report.
  The assistant legislative clerk read as follows:

       A bill (H.R. 3540) making appropriations for foreign 
     operations, export financing, and related programs for the 
     fiscal year ending September 30, 1997, and for other 
     purposes.

  The PRESIDING OFFICER. Is there objection to the immediate 
consideration of the bill?
  There being no objection, the Senate proceeded to consider the bill 
which had been reported from the Committee on Appropriations, with an 
amendment to strike all after the enacting clause and inserting in lieu 
thereof the following:

     That the following sums are appropriated, out of any money in 
     the Treasury not otherwise appropriated, for the fiscal year 
     ending September 30, 1997, and for other purposes, namely:

               TITLE I--EXPORT AND INVESTMENT ASSISTANCE


                EXPORT-IMPORT BANK OF THE UNITED STATES

       The Export-Import Bank of the United States is authorized 
     to make such expenditures within the limits of funds and 
     borrowing authority available to such corporation, and in 
     accordance with law, and to make such contracts and 
     commitments without regard to fiscal year limitations, as 
     provided by section 104 of the Government Corporation Control 
     Act, as may be necessary in carrying out the program for the 
     current fiscal year for such corporation: Provided, That none 
     of the funds available during the current fiscal year may be 
     used to make expenditures, contracts, or commitments for the 
     export of nuclear equipment, fuel, or technology to any 
     country other than a nuclear-weapon State as defined in 
     Article IX of the Treaty on the Non-Proliferation of Nuclear 
     Weapons eligible to receive economic or military assistance 
     under this Act that has detonated a nuclear explosive after 
     the date of enactment of this Act.

                         subsidy appropriation

       For the cost of direct loans, loan guarantees, insurance, 
     and tied-aid grants as authorized by section 10 of the 
     Export-Import Bank Act of 1945, as amended, $730,000,000 to 
     remain available until September 30, 1998: 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 remain 
     available until 2012 for the disbursement of direct loans, 
     loan guarantees, insurance and tied-aid grants obligated in 
     fiscal years 1997 and 1998: Provided further, That up to 
     $50,000,000 of funds appropriated by this paragraph shall 
     remain available until expended and may be used for tied-aid 
     grant purposes: Provided further, That none of the funds 
     appropriated by this paragraph may be used for tied-aid 
     credits or grants except through the regular notification 
     procedures of the Committees on Appropriations: Provided 
     further, That funds appropriated by this paragraph are made 
     available notwithstanding section 2(b)(2) of the Export-
     Import Bank Act of 1945, in connection with the purchase or 
     lease of any product by any East European country, any Baltic 
     State, or any agency or national thereof.


                        ADMINISTRATIVE EXPENSES

       For administrative expenses to carry out the direct and 
     guaranteed loan and insurance programs (to be computed on an 
     accrual basis), including hire of passenger motor vehicles 
     and services as authorized by 5 U.S.C. 3109, and not to 
     exceed $20,000 for official reception and representation 
     expenses for members of the Board of Directors, $40,000,000: 
     Provided, That necessary expenses (including special services 
     performed on a contract or fee basis, but not including other 
     personal services) in connection with the collection of 
     moneys owed the Export-Import Bank, repossession or sale of 
     pledged collateral or other assets acquired by the Export-
     Import Bank in satisfaction of moneys owed the Export-Import 
     Bank, or the investigation or appraisal of any property, or 
     the evaluation of the legal or technical aspects of any 
     transaction for which an application for a loan, guarantee or 
     insurance commitment has been made, shall be considered 
     nonadministrative expenses for the purposes of this heading: 
     Provided further, That, none of the funds made available by 
     this or any other Act may be made available to pay the salary 
     and any other expenses of the incumbent Chairman and 
     President of the Export-Import Bank unless and until he has 
     been confirmed by the United States Senate: Provided further, 
     That, notwithstanding subsection (b) of section 117 of the 
     Export Enhancement Act of 1992, subsection (a) thereof shall 
     remain in effect until October 1, 1997.


                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 $32,000,000: 
     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, $72,000,000, 
     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 1997 and 1998: Provided 
     further, That such sums shall remain available through fiscal 
     year 2005 for the disbursement of direct and guaranteed loans 
     obligated in fiscal year 1997, and through fiscal year 2006 
     for the disbursement of direct and guaranteed loans obligated 
     in fiscal year 1998. 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.

                  Funds Appropriated to the President


                      TRADE AND DEVELOPMENT AGENCY

       For necessary expenses to carry out the provisions of 
     section 661 of the Foreign Assistance Act of 1961, 
     $40,000,000: Provided, That the Trade and Development Agency 
     may receive reimbursements from corporations and other 
     entities for the costs of grants for feasibility studies and 
     other project planning services, to be deposited as an 
     offsetting collection to this account

[[Page S8618]]

     and to be available for obligation until September 30, 1997, 
     for necessary expenses under this paragraph: Provided 
     further, That such reimbursements shall not cover, or be 
     allocated against, direct or indirect administrative costs of 
     the agency.

                TITLE II--BILATERAL ECONOMIC ASSISTANCE


                  FUNDS APPROPRIATED TO THE PRESIDENT

       For expenses necessary to enable the President to carry out 
     the provisions of the Foreign Assistance Act of 1961, and for 
     other purposes, to remain available until September 30, 1997, 
     unless otherwise specified herein, as follows:


                  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, $1,290,000,000, to remain available 
     until September 30, 1998: Provided, That of the amount 
     appropriated under this heading, up to $18,000,000 may be 
     made available for the Inter-American Foundation and shall be 
     apportioned directly to that agency: Provided further, That 
     of the amount appropriated under this heading, up to 
     $10,500,000 may be made available for the African Development 
     Foundation and shall be apportioned directly to that agency: 
     Provided further, That of the funds appropriated under title 
     II of this Act that are administered by the Agency for 
     International Development and made available for family 
     planning assistance, not less than 65 percent shall be made 
     available directly to the agency's central Office of 
     Population and shall be programmed by that office for family 
     planning activities: Provided further, That of the funds 
     appropriated under this heading and under the heading 
     ``Population, Development Assistance'' that are made 
     available by the Agency for International Development for 
     development assistance activities, the amount made available 
     for sub-Saharan Africa should be in at least the same 
     proportion as the amount identified in the fiscal year 1997 
     draft congressional presentation document for development 
     assistance for sub-Saharan Africa is to the total amount 
     requested for development assistance for such fiscal year: 
     Provided further, That funds appropriated under this heading 
     shall be made available, notwithstanding any other provision 
     of law, to assist Vietnam to refom its trade regime through, 
     among other things, reform of its commercial and investment 
     legal codes: Provided further, That up to $5,000,000 of the 
     funds appropriated under this heading may be made available 
     for necessary expenses to carry out the provisions of section 
     667 of the Foreign Assistance Act of 1961: 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 or under 
     the heading ``Population, Development Assistance'', 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: 
     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: 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, up to $30,000,000 shall be 
     transferred to ``International Organizations and Programs'' 
     for a contribution to the International Fund for Agricultural 
     Development (IFAD), and that any such transfer of funds shall 
     be subject to the regular notification procedures of the 
     Committees on Appropriations: Provided further, That of the 
     funds appropriated under this heading that are made available 
     for assistance programs for displaced and orphaned children 
     and victims of war, not to exceed $25,000, in addition to 
     funds otherwise available for such purposes, may be used to 
     monitor and provide oversight of such programs: Provided 
     further, That not less than $650,000 of the funds made 
     available under this heading should be made available for 
     support of the United States Telecommunications Training 
     Institute.


                   population, development assistance

       For necessary expenses to carry out the provisions of 
     section 104(b) of the Foreign Assistance Act of 1961, 
     $410,000,000, to remain available until September 30, 1998.


                                 cyprus

       Of the funds appropriated under the headings ``Development 
     Assistance'' and ``Economic Support Fund'', not less than 
     $15,000,000 shall be made available for Cyprus to be used 
     only for scholarships, administrative support of the 
     scholarship program, bicommunal projects, and measures aimed 
     at reunification of the island and designed to reduce 
     tensions and promote peace and cooperation between the two 
     communities on Cyprus.


                                 burma

       Of the funds appropriated by this Act to carry out the 
     provisions of chapter 8 of part I and chapter 4 of part II of 
     the Foreign Assistance Act of 1961, not less than $2,500,000 
     shall be made available to support activities in Burma, along 
     the Burma-Thailand border, and for activities of Burmese 
     student groups and other organizations located outside Burma, 
     for the purposes of fostering democracy in Burma, supporting 
     the provision of medical supplies and other humanitarian 
     assistance to Burmese located in Burma or displaced 
     Burmese along the borders, and for other purposes: 
     Provided, That of this amount, not less than $200,000 
     shall be made available to support newspapers, 
     publications, and other media activities promoting 
     democracy inside Burma: Provided further, That funds made 
     available under this heading may be made available 
     notwithstanding any other provision of law: Provided 
     further, That provision of such funds shall be made 
     available subject to the regular notification procedures 
     of the Committees on Appropriations.


                  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 per centum of its total annual funding 
     for international activities from sources other than the 
     United States Government: Provided, That the requirements of 
     the provisions of section 123(g) of the Foreign Assistance 
     Act of 1961 and the provisions on private and voluntary 
     organizations in title II of the ``Foreign Assistance and 
     Related Programs Appropriations Act, 1985'' (as enacted in 
     Public Law 98-473) shall be superseded by the provisions of 
     this section, except that the authority contained in the last 
     sentence of section 123(g) may be exercised by the 
     Administrator with regard to the requirements of this 
     paragraph.
       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 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.


                   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, $190,000,000, to remain available until expended.


                           debt restructuring

       For the cost, as defined in section 502 of the 
     Congressional Budget Act of 1974, of modifying direct loans 
     and loan guarantees, as the President may determine, for 
     which funds have been appropriated or otherwise made 
     available for programs within the International Affairs 
     Budget Function 150, including the cost of selling, reducing, 
     or canceling amounts, through debt buybacks and swaps, owed 
     to the United States as a result of concessional loans made 
     to eligible Latin American and Caribbean countries, pursuant 
     to part IV of the Foreign Assistance Act of 1961; of 
     modifying direct loans extended to least developed countries, 
     as authorized under title I of the Agricultural Trade 
     Development and Assistance Act of 1954, as amended; and of 
     modifying concessional loans authorized under title I of the 
     Agricultural Trade Development and Assistance Act of 1954, as 
     amended, as authorized under subsection (a) under the heading 
     ``Debt Reduction for Jordan'' in title VI of Public Law 103-
     306, $27,000,000, to remain available until expended: 
     Provided, That none of the funds appropriated under this 
     heading shall be obligated except through the regular 
     notification procedures of the Committee on Appropriations.


         micro and small enterprise development program account

       For the subsidy 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, 1998.


                    HOUSING GUARANTY 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, $4,000,000, to remain available until September 
     30, 1998: Provided, That these funds are available to 
     subsidize loan principal, 100 percent of which shall

[[Page S8619]]

     be guaranteed, pursuant to the authority of such sections. In 
     addition, for administrative expenses to carry out guaranteed 
     loan programs, $6,000,000, 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) and, with regard to programs for central 
     and Eastern Europe and programs for the benefit of South 
     Africans disadvantaged by apartheid, section 223(j) of the 
     Foreign Assistance Act of 1961.


     PAYMENT TO THE FOREIGN SERVICE RETIREMENT AND DISABILITY FUND

       For payment to the ``Foreign Service Retirement and 
     Disability Fund'', as authorized by the Foreign Service Act 
     of 1980, $43,826,000.


     OPERATING EXPENSES OF THE AGENCY FOR INTERNATIONAL DEVELOPMENT

       For necessary expenses to carry out the provisions of 
     section 667, $495,000,000: Provided, That notwithstanding any 
     other provision of law, none of the funds appropriated or 
     otherwise made available by this Act may be made available 
     for expenses necessary to relocate the Agency for 
     International Development, or any part of that agency, to the 
     building at the Federal Triangle in Washington, District of 
     Columbia.


 OPERATING EXPENSES OF THE AGENCY FOR INTERNATIONAL DEVELOPMENT OFFICE 
                          OF INSPECTOR GENERAL

       For necessary expenses to carry out the provisions of 
     section 667, $28,000,000, to remain available until expended, 
     which sum shall be available for the Office of the Inspector 
     General of the Agency for International Development.

                  Other Bilateral Economic Assistance


                         ECONOMIC SUPPORT FUND

       For necessary expenses to carry out the provisions of 
     chapter 4 of part II, $2,340,000,000, to remain available 
     until September 30, 1998: Provided, That of the funds 
     appropriated under this heading, not less than $1,200,000,000 
     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, 1996, whichever is later: Provided further, That 
     not less than $815,000,000 shall be available only for Egypt, 
     which sum shall be provided on a grant basis, and of which 
     sum cash transfer assistance may be provided, with the 
     understanding that Egypt will undertake significant economic 
     reforms which are additional to those which were undertaken 
     in previous fiscal years, and of which not less than 
     $200,000,000 shall be provided as Commodity Import Program 
     assistance: Provided further, That in exercising the 
     authority to provide cash transfer assistance for Israel and 
     Egypt, the President shall ensure that the level of such 
     assistance does not cause an adverse impact on the total 
     level of non-military exports from the United States to each 
     such country: Provided further, That it is the sense of the 
     Congress that the recommended levels of assistance for Egypt 
     and Israel are based in great measure upon their continued 
     participation in the Camp David Accords and upon the 
     Egyptian-Israeli peace treaty: Provided further, That of the 
     funds appropriated under this heading, $3,000,000 shall be 
     made available to establish an independent radio broadcasting 
     service to Iran: Provided further, That none of the funds 
     appropriated under this heading shall be made available for 
     Zaire.


          assistance for eastern europe and the baltic states

       (a) For necessary expenses to carry out the provisions of 
     the Foreign Assistance Act of 1961 and the Support for East 
     European Democracy (SEED) Act of 1989, $475,000,000, to 
     remain available until September 30, 1998, which shall be 
     available, notwithstanding any other provision of law, for 
     economic assistance and for related programs for Central and 
     Eastern Europe and the Baltic States.
       (b) Funds appropriated under this heading or in prior 
     appropriations Acts that are or have been made available for 
     an Enterprise Fund may be deposited by such Fund in interest-
     bearing accounts prior to the Fund's disbursement of such 
     funds 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.
       (c) Funds appropriated under this heading shall be 
     considered to be economic assistance under the Foreign 
     Assistance Act of 1961 for purposes of making available the 
     administrative authorities contained in that Act for the use 
     of economic assistance.
       (d) With regard to funds appropriated or otherwise made 
     available under this heading for the economic revitalization 
     program in Bosnia and Herzegovina, and local currencies 
     generated by such funds (including the conversion of funds 
     appropriated under this heading into currency used by Bosnia 
     and Herzegovina as local currency and local currency returned 
     or repaid under such program)--
       (1) the Administrator of the Agency for International 
     Development shall provide written approval for grants and 
     loans prior to the obligation and expenditure of funds for 
     such purposes, and prior to the use of funds that have been 
     returned or repaid to any lending facility or grantee; and
       (2) the provisions of section 534 of this Act shall apply.
       (e) With regard to funds appropriated under this heading 
     that are made available for economic revitalization programs 
     in Bosnia and Hercegovina, 50 percent of such funds shall not 
     be available for obligation unless the President determines 
     and certifies to the Committees on Appropriations that the 
     Federation of Bosnia and Hercegovina has complied with 
     article III of annex 1-A of the General Framework Agreement 
     for Peace in Bosnia and Hercegovina concerning the withdrawal 
     of foreign forces, and that intelligence cooperation on 
     training, investigations, and related activities between 
     Iranian officials and Bosnian officials has been terminated.


  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, $640,000,000, to remain available until September 
     30, 1998: Provided, That the provisions of such chapter shall 
     apply to funds appropriated by this paragraph.
       (b) None of the funds appropriated under this heading shall 
     be transferred to the Government of Russia--
       (1) unless that Government is making progress in 
     implementing comprehensive economic reforms based on market 
     principles, private ownership, negotiating repayment of 
     commercial debt, 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.
       (c) Funds may be furnished without regard to subsection (b) 
     if the President determines that to do so is in the national 
     interest.
       (d) None of the funds appropriated under this heading shall 
     be made available to any 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: Provided further, That the restriction 
     of this subsection shall not apply to the use of such funds 
     for the provision of assistance for purposes of humanitarian, 
     disaster and refugee relief.
       (e) None of the funds appropriated under this heading 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 or nonproliferation programs.
       (f) Funds appropriated under this heading shall be subject 
     to the regular notification procedures of the Committees on 
     Appropriations.
       (g) 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.
       (h) Funds appropriated under this heading may be made 
     available for assistance for Mongolia.
       (i) Funds made available in this Act for assistance to the 
     New Independent States of the former Soviet Union shall be 
     provided to the maximum extent feasible through the private 
     sector, including small- and medium-size businesses, 
     entrepreneurs, and others with indigenous private enterprises 
     in the region, intermediary development organizations 
     committed to private enterprise, and private voluntary 
     organizations: Provided, That grantees and contractors 
     should, to the maximum extent possible, place in key staff 
     positions specialists with prior on the ground expertise in 
     the region of activity and fluency in one of the local 
     languages.
       (j) In issuing new task orders, entering into contracts, or 
     making grants, with funds appropriated under this heading or 
     in prior appropriations Acts, 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.
       (k) Of the funds made available under this heading, not 
     less than $225,000,000 shall be made available for Ukraine, 
     of which funds not less than $25,000,000 shall be made 
     available to carry out United States decommissioning 
     obligations regarding the Chornobyl plant made in the 
     Memorandum of Understanding between the Government of Ukraine 
     and the G-7 Group: Provided, That not less than $35,000,000 
     shall be made available for agricultural projects, including 
     those undertaken through the Food Systems Restructuring 
     Program, which leverage private sector resources with United 
     States Government assistance: Provided further, That 
     $5,000,000 shall be available for a small business incubator 
     project: Provided further, That $5,000,000 shall be made 
     available for screening and treatment of childhood mental and 
     physical illnesses related to Chornobyl radiation.
       (l) Of the funds made available for Ukraine, under this Act 
     or any other Act, not less than $50,000,000 shall be made 
     available to improve safety at nuclear reactors: Provided, 
     That of this amount $20,000,000 shall be provided for the 
     purchase and installation of, and training for, safety 
     parameter display or control systems at all operational 
     nuclear reactors: Provided further, That of this amount, 
     $20,000,000 shall be made available for the purchase, 
     construction,

[[Page S8620]]

     installation and training for Full Scope and Analytical/
     Engineering simulators: Provided further, That of this amount 
     such funds as may be necessary shall be made available to 
     conduct Safety Analysis Reports at all operational nuclear 
     reactors.
       (m) Of the funds made available by this Act, not less than 
     $95,000,000 shall be made available for Armenia.
       (n) Of the funds made available by this or any other Act, 
     $25,000,000 shall be made available for Georgia.
       (o) None of the funds appropriated under this heading may 
     be made available for Russia unless 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 or related nuclear research facilities or 
     programs.
       (p) Of the funds appropriated under this heading, 
     $15,000,000 shall be provided for hospital partnership 
     programs, medical assistance to directly reduce the incidence 
     of infectious diseases such as diphtheria or tuberculosis, 
     and a program to reduce the adverse impact of contaminated 
     drinking water.
       (q) Of the funds appropriated under this heading and under 
     the heading ``Assistance for Eastern Europe and the Baltic 
     States'', not less than $12,000,000 shall be made available 
     for law enforcement training and exchanges, and investigative 
     and technical assistance activities related to international 
     criminal activities: Provided, That of this amount, not less 
     than $1,000,000 shall be made available for training and 
     exchanges in Russia to combat violence against women.
       (r) Of the funds appropriated under this heading, not less 
     than $50,000,000 should be provided to the Western NIS and 
     Central Asian Enterprise Funds: Provided, That obligation of 
     these funds shall be consistent with sound business 
     practices.
       (s) Of the funds made available under this heading, not 
     less than $10,000,000 shall be made available for a United 
     States contribution to the Trans-Caucasus Enterprise Fund.
       (t) Funds appropriated under this heading or in prior 
     appropriations Acts that are or have been made available for 
     an Enterprise Fund 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 proposes 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.
       (u) Funds appropriated under this heading may not be made 
     available for the Government of Ukraine if the President 
     determines and reports to the Committees on Appropriations 
     that the Government of Ukraine is engaged in military 
     cooperation with the Government of Libya.
       (v) Of the funds appropriated under this heading, not less 
     than $15,000,000 shall be available only for a family 
     planning program for the New Independent States of the former 
     Soviet Union comparable to the family planning program 
     currently administered by the Agency for International 
     Development in the Central Asian Republics and focusing on 
     population assistance which provides an alternative to 
     abortion.
       (w) Funds made available under this Act or any other Act 
     (other than assistance under title V of the FREEDOM Support 
     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.
       (x) Of the funds appropriated under this heading, not less 
     than $2,500,000 shall be made available for the American-
     Russian Center.

                           Independent Agency


                              PEACE CORPS

       For expenses necessary to carry out the provisions of the 
     Peace Corps Act (75 Stat. 612), $205,000,000, including the 
     purchase of not to exceed five passenger motor vehicles for 
     administrative purposes for use outside of the United States: 
     Provided, That none of the funds appropriated under this 
     heading shall be used to pay for abortions: Provided further, 
     That funds appropriated under this heading shall remain 
     available until September 30, 1998.

                          Department of State


                    INTERNATIONAL NARCOTICS CONTROL

       For necessary expenses to carry out the provisions of 
     section 481 of the Foreign Assistance Act of 1961, 
     $160,000,000: Provided, That during fiscal year 1997, 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 non-lethal 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.


                    MIGRATION AND REFUGEE ASSISTANCE

       For expenses, not otherwise provided for, necessary to 
     enable the Secretary of State to provide, as authorized by 
     law, a contribution to the International Committee of the Red 
     Cross, assistance to refugees, including contributions to the 
     International Organization for Migration and the United 
     Nations High Commissioner for Refugees, and other activities 
     to meet refugee and migration needs; salaries and expenses of 
     personnel and dependents as authorized by the Foreign Service 
     Act of 1980; allowances as authorized by sections 5921 
     through 5925 of title 5, United States Code; purchase and 
     hire of passenger motor vehicles; and services as authorized 
     by section 3109 of title 5, United States Code, $650,000,000: 
     Provided, That not more than $12,000,000 shall be available 
     for administrative expenses: Provided further, That not less 
     than $80,000,000 shall be made available for refugees from 
     the former Soviet Union and Eastern Europe and other refugees 
     resettling in Israel.


     united states emergency refugee and migration assistance fund

       For necessary expenses to carry out the provisions of 
     section 2(c)  of  the  Migration  and  Refugee  Assistance  
     Act  of  1962,  as amended (22 U.S.C. 260(c)), $50,000,000, 
     to remain available until expended: Provided, That the funds 
     made available under this heading are appropriated 
     notwithstanding the provisions contained in section 2(c)(2) 
     of the Migration and Refugee Assistance Act of 1962 which 
     would limit the amount of funds which could be appropriated 
     for this purpose.


    nonproliferation, anti-terrorism, demining and related programs

       For necessary expenses for nonproliferation, anti-terrorism 
     and related programs and activities, $140,000,000 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 
     for demining 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 the acquisition and 
     provision of goods and services, or for grants to Israel 
     necessary to support the eradication of terrorism in and 
     around Israel: Provided, 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 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: 
     Provided further, That not to exceed $13,000,000 may be made 
     available to the Korean Peninsula Energy Development 
     Organization (KEDO) only for administrative expenses and 
     heavy fuel oil costs associated with the Agreed Framework: 
     Provided further, That of the funds made available to KEDO 
     for heavy fuel oil costs associated with the Agreed 
     Framework, not more than one-third of such funds may be 
     obligated within ninety days after the date of enactment of 
     this Act, not more than two-thirds of such funds may be 
     obligated within 180 days after the date of enactment of this 
     Act and the remaining funds may not be obligated until August 
     1, 1997: Provided further, That funds may be obligated for 
     such heavy fuel oil costs only if, prior to each obligation 
     of funds, the President certifies and so reports to the 
     Committees on Appropriations that North Korea is using all 
     fuel oil financed by the parties to the Agreed Framework for 
     purposes allowed by the Agreed Framework: Provided further, 
     That the obligation of such funds shall be subject to the 
     regular notification procedures of the Committees on 
     Appropriations.

                     TITLE III--MILITARY ASSISTANCE

                  Funds Appropriated to the President


             international military education and training

       For necessary expenses to carry out the provisions of 
     section 541 of the Foreign Assistance Act of 1961, 
     $40,000,000: Provided, That up to $100,000 of the funds 
     appropriated under this heading may be made available for 
     grant financed military education and training for any high 
     income country on the condition that that country agrees to 
     fund from its own resources the transportation cost and 
     living allowances of its students: Provided further, That the 
     civilian personnel for whom military education and training 
     may be provided under this heading may also include members 
     of national legislatures who are responsible for the 
     oversight and management of the military, and may also 
     include individuals who are not members of a government: 
     Provided further, That none of the funds appropriated under 
     this heading shall be available for Zaire and Guatemala: 
     Provided further, That funds appropriated under this heading 
     for grant financed military education and training for 
     Indonesia may only be available for expanded military 
     education and training.


                   foreign military financing program

                     (including transfers of funds)

       For expenses necessary for grants to enable the President 
     to carry out the provisions of section 23 of the Arms Export 
     Control Act, $3,224,000,000: Provided, That of the funds 
     appropriated by this paragraph not less than $1,800,000,000 
     shall be available for grants only for Israel, and not less 
     than $1,300,000,000 shall be available for grants only for 
     Egypt: Provided further, That the funds appropriated by this 
     paragraph for Israel shall be disbursed within

[[Page S8621]]

     thirty days of enactment of this Act or by October 31, 1996, 
     whichever is later: Provided further, That to the extent that 
     the Government of Israel requests that funds be used for such 
     purposes, grants made available for Israel by this paragraph 
     shall, as agreed by Israel and the United States, be 
     available for advanced weapons systems, of which not less 
     than $475,000,000 shall be available for the procurement in 
     Israel of defense articles and defense services, including 
     research and development: Provided further, That Poland, 
     Hungary, and the Czech Republic shall be designated as 
     eligible for the program established under section 203(a) of 
     the NATO Participation Act of 1994: Provided further, That of 
     the funds made available under this paragraph, $30,000,000 
     shall be available for assistance on a grant basis for 
     Poland, Hungary, and the Czech Republic to carry out title II 
     of Public Law 103-477 and section 585 of Public Law 104-107: 
     Provided further, That funds made available under this 
     paragraph shall be nonrepayable notwithstanding any 
     requirement in section 23 of the Arms Export Control Act: 
     Provided further, That, for the purpose only of providing 
     support for NATO expansion and the Warsaw Initiative Program, 
     of the funds appropriated by this Act under the headings 
     ``Assistance for Eastern Europe and the Baltic States'' and 
     ``Assistance for the New Independent States of the Former 
     Soviet Union'', up to a total of $20,000,000 may be 
     transferred, notwithstanding any other provision of law, to 
     the funds appropriated under this paragraph: Provided 
     further, That none of the funds made available under this 
     heading shall be available for any non-NATO country 
     participating in the Partnership for Peace Program except 
     through the regular notification procedures of the Committees 
     on Appropriations.
       For the cost, as defined in section 502 of the 
     Congressional Budget Act of 1974, of direct loans authorized 
     by section 23 of the Arms Export Control Act as follows: cost 
     of direct loans, $60,000,000: Provided, That these funds are 
     available to subsidize gross obligations for the principal 
     amount of direct loans of not to exceed $540,000,000: 
     Provided further, That the rate of interest charged on such 
     loans shall be not less than the current average market yield 
     on outstanding marketable obligations of the United States of 
     comparable maturities: Provided further, That of the funds 
     appropriated under this paragraph $20,000,000 shall be made 
     available to Poland, Hungary, and the Czech Republic: 
     Provided further, That funds appropriated under this heading 
     shall be made available for Greece and Turkey only on a loan 
     basis, and the principal amount of direct loans for each 
     country shall not exceed the following: $122,500,000 only for 
     Greece and $175,000,000 only for Turkey.
       None of the funds made available under this heading shall 
     be available to finance the procurement of defense articles, 
     defense services, or design and construction services that 
     are not sold by the United States Government under the Arms 
     Export Control Act unless the foreign country proposing to 
     make such procurements has first signed an agreement with the 
     United States Government specifying the conditions under 
     which such procurements may be financed with such funds: 
     Provided, That all country and funding level increases in 
     allocations shall be submitted through the regular 
     notification procedures of section 515 of this Act: Provided 
     further, That funds made available under this heading shall 
     be obligated upon apportionment in accordance with paragraph 
     (5)(C) of title 31, United States Code, section 1501(a): 
     Provided further, That none of the funds appropriated under 
     this heading shall be available for Zaire, Sudan, Peru, 
     Liberia, and Guatemala: Provided further, That none of the 
     funds appropriated or otherwise made available for use under 
     this heading may be made available for Colombia or Bolivia 
     until the Secretary of State certifies that such funds will 
     be used by such country primarily for counternarcotics 
     activities: Provided further, That funds made available under 
     this heading may be used, notwithstanding any other provision 
     of law, for activities related to the clearance of landmines 
     and unexploded ordnance, and may include activities 
     implemented through nongovernmental and international 
     organizations: Provided further, That not more than 
     $100,000,000 of the funds made available under this heading 
     shall be available for use in financing the procurement of 
     defense articles, defense services, or design and 
     construction services that are not sold by the United States 
     Government under the Arms Export Control Act to countries 
     other than Israel and Egypt: Provided further, That only 
     those countries for which assistance was justified for the 
     ``Foreign Military Sales Financing Program'' in the fiscal 
     year 1989 congressional presentation for security assistance 
     programs may utilize funds made available under this heading 
     for procurement of defense articles, defense services or 
     design and construction services that are not sold by the 
     United States Government under the Arms Export Control Act: 
     Provided further, That, subject to the regular notification 
     procedures of the Committees on Appropriations, funds made 
     available under this heading for the cost of direct loans may 
     also be used to supplement the funds available under this 
     heading for grants, and funds made available under this 
     heading for grants may also be used to supplement the funds 
     available under this heading for the cost of direct loans: 
     Provided further, That funds appropriated under this heading 
     shall be expended at the minimum rate necessary to make 
     timely payment for defense articles and services: Provided 
     further, That the Department of Defense shall conduct 
     during the current fiscal year nonreimbursable audits of 
     private firms whose contracts are made directly with 
     foreign governments and are financed with funds made 
     available under this heading (as well as subcontractors 
     thereunder) as requested by the Defense Security 
     Assistance Agency: Provided further, That not more than 
     $23,250,000 of the funds appropriated under this heading 
     may be obligated for necessary expenses, including the 
     purchase of passenger motor vehicles for replacement only 
     for use outside of the United States, for the general 
     costs of administering military assistance and sales: 
     Provided further, That not more than $355,000,000 of funds 
     realized pursuant to section 21(e)(1)(A) of the Arms 
     Export Control Act may be obligated for expenses incurred 
     by the Department of Defense during fiscal year 1997 
     pursuant to section 43(b) of the Arms Export Control Act, 
     except that this limitation may be exceeded only through 
     the regular notification procedures of the Committees on 
     Appropriations.


                        PEACEKEEPING OPERATIONS

       For necessary expenses to carry out the provisions of 
     section 551 of the Foreign Assistance Act of 1961, 
     $65,000,000: Provided, That none of the funds appropriated 
     under this paragraph shall be obligated or expended except as 
     provided through the regular notification procedures of the 
     Committees on Appropriations.

               TITLE IV--MULTILATERAL ECONOMIC ASSISTANCE

                  Funds Appropriated to the President

                  International Financial Institutions


            contribution to the global environment facility

       For payment to the International Bank for Reconstruction 
     and Development by the Secretary of the Treasury, for the 
     United States contribution to the Global Environment Facility 
     (GEF), $35,000,000, to remain available until September 30, 
     1998.


contribution to the interim trust fund at the international development 
                              association

       For payment to the Interim Trust Fund administered by the 
     International Development Association by the Secretary of the 
     Treasury, $626,000,000, to remain available until expended.


         contribution to the international finance corporation

       For payment to the International Finance Corporation by the 
     Secretary of the Treasury, $6,656,000, for the United States 
     share of the increase in subscriptions to capital stock, to 
     remain available until expended.


          contribution to the inter-american development bank

       For payment to the Inter-American Development Bank by the 
     Secretary  of  the Treasury, for the United States share of 
     the paid-in share portion of the increase in capital stock, 
     $25,610,667, and for the United States share of the increase 
     in the resources of the Fund for Special Operations, 
     $10,000,000, to remain available until expended.


              limitation on callable capital subscriptions

       The United States Governor of the Inter-American 
     Development Bank may subscribe without fiscal year limitation 
     to the callable capital portion of the United States share of 
     such capital stock in an amount not to exceed $1,503,718,910.


contribution to the enterprise for the americas multilateral investment 
                                  fund

       For payment to the Enterprise for the Americas Multilateral 
     Investment Fund by the Secretary of the Treasury, for the 
     United States contribution to the Fund to be administered by 
     the Inter-American Development Bank, $27,500,000 to remain 
     available until expended.


               contribution to the asian development bank

       For payment to the Asian Development Bank by the Secretary 
     of the Treasury for the United States share of the paid-in 
     portion of the increase in capital stock, $13,221,596, to 
     remain available until expended.


              limitation on callable capital subscriptions

       The United States Governor of the Asian Development Bank 
     may subscribe without fiscal year limitation to the callable 
     capital portion of the United States share of such capital 
     stock in an amount not to exceed $647,858,204.


               contribution to the asian development fund

       For the United States contribution by the Secretary of the 
     Treasury to the increases in resources of the Asian 
     Development Fund,  as  authorized  by  the  Asian  
     Development  Bank  Act,  as amended (Public Law 89-369), 
     $100,000,000, to remain available until expended.


  contribution to the european bank for reconstruction and development

       For payment to the European Bank for Reconstruction and 
     Development by the Secretary of the Treasury, $11,916,447, 
     for the United States share of the paid-in share portion of 
     the initial capital subscription, to remain available until 
     expended.


              limitation on callable capital subscriptions

       The United States Governor of the European Bank for 
     Reconstruction and Development may subscribe without fiscal 
     year limitation to the callable capital portion of the United 
     States share of such capital stock in an amount not to exceed 
     $27,805,043.

                    North American Development Bank

       For payment to the North American Development Bank by the 
     Secretary of the Treasury, for the United States share of the 
     paid-in portion of the capital stock, $56,250,000, to remain 
     available until expended.


              limitation on callable capital subscriptions

       The United States Governor of the North American 
     Development Bank may subscribe without fiscal year limitation 
     to the callable capital portion of the United States share of 
     the capital stock of the North American Development Bank in 
     an amount not to exceed $318,750,000.


                international organizations and programs

       For necessary expenses to carry out the provisions of 
     section 301 of the Foreign Assistance

[[Page S8622]]

     Act of 1961, and of section 2 of the United Nations 
     Environment Program Participation Act of 1973, $295,000,000: 
     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 not less 
     than $3,000,000 of the funds appropriated under this heading 
     shall be made available for the World Food Program: 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): Provided further, That none of the 
     funds appropriated under this heading that are made available 
     to the United Nations Population Fund (UNFPA) shall be made 
     available for activities in the People's Republic of China: 
     Provided further, That not more than $35,000,000 of the funds 
     appropriated under this heading may be made available to the 
     UNFPA: Provided further, That not more than one-half of this 
     amount may be provided to UNFPA before March 1, 1997, and 
     that no later than February 15, 1997, the Secretary of State 
     shall submit a report to the Committees on Appropriations 
     indicating the amount UNFPA is budgeting for the People's 
     Republic of China in 1997: Provided further, That any amount 
     UNFPA plans to spend in the People's Republic of China in 
     1997 shall be deducted from the amount of funds provided to 
     UNFPA after March 1, 1997 pursuant to the previous provisos: 
     Provided further, That with respect to any funds appropriated 
     under this heading that are made available to UNFPA, UNFPA 
     shall be required to maintain such funds in a separate 
     account and not commingle them with any other funds.

                      TITLE V--GENERAL PROVISIONS


             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 per centum of any appropriation item made available 
     by this Act shall be obligated during the last month of 
     availability.


     PROHIBITION OF BILATERAL FUNDING FOR INTERNATIONAL FINANCIAL 
                              INSTITUTIONS

       Sec. 502. 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.


                    LIMITATION ON RESIDENCE EXPENSES

       Sec. 503. Of the funds appropriated or made available 
     pursuant to this Act, not to exceed $126,500 shall be for 
     official residence expenses of the Agency for International 
     Development during the current fiscal year: Provided, That 
     appropriate steps shall be taken to assure that, to the 
     maximum extent possible, United States-owned foreign 
     currencies are utilized in lieu of dollars.


                         LIMITATION ON EXPENSES

       Sec. 504. Of the funds appropriated or made available 
     pursuant to this Act, not to exceed $5,000 shall be for 
     entertainment expenses of the Agency for International 
     Development during the current fiscal year.


               LIMITATION ON REPRESENTATIONAL ALLOWANCES

       Sec. 505. Of the funds appropriated or made available 
     pursuant to this Act, not to exceed $95,000 shall be 
     available for representation allowances for the Agency for 
     International Development during the current fiscal year: 
     Provided, That appropriate steps shall be taken to assure 
     that, to the maximum extent possible, United States-owned 
     foreign currencies are utilized in lieu of dollars: Provided 
     further, That of the funds made available by this Act for 
     general costs of administering military assistance and sales 
     under the heading ``Foreign Military Financing Program'', not 
     to exceed $2,000 shall be available for entertainment 
     expenses and not to exceed $50,000 shall be available for 
     representation allowances: Provided further, That of the 
     funds made available by this Act under the heading 
     ``International Military Education and Training'', not to 
     exceed $50,000 shall be available for entertainment 
     allowances: Provided further, That of the funds made 
     available by this Act for the Inter-American Foundation, not 
     to exceed $2,000 shall be available for entertainment and 
     representation allowances: Provided further, That of the 
     funds made available by this Act for the Peace Corps, not to 
     exceed a total of $4,000 shall be available for entertainment 
     expenses: Provided further, That of the funds made available 
     by this Act under the heading ``Trade and Development 
     Agency'', not to exceed $2,000 shall be available for 
     representation and entertainment allowances.


                 PROHIBITION ON FINANCING NUCLEAR GOODS

       Sec. 506. None of the funds appropriated or made available 
     (other than funds for ``Nonproliferation, Anti-terrorism, 
     Demining and Related Programs'') pursuant to this Act, for 
     carrying out the Foreign Assistance Act of 1961, may be used, 
     except for purposes of nuclear safety, to finance the export 
     of nuclear equipment, fuel, or technology.


        PROHIBITION AGAINST DIRECT FUNDING FOR CERTAIN COUNTRIES

       Sec. 507. None of the funds appropriated or otherwise made 
     available pursuant to this Act shall be obligated or expended 
     to finance directly any assistance or reparations to Cuba, 
     Iraq, Libya, North Korea, Iran, Serbia, Sudan, or Syria: 
     Provided, That for purposes of this section, the prohibition 
     on obligations or expenditures shall include direct loans, 
     credits, insurance and guarantees of the Export-Import Bank 
     or its agents.


                             MILITARY COUPS

       Sec. 508. None of the funds appropriated or otherwise made 
     available pursuant to this Act shall be obligated or expended 
     to finance directly any assistance to any country whose duly 
     elected Head of Government is deposed by military coup or 
     decree: Provided, That assistance may be resumed to such 
     country if the President determines and reports to the 
     Committees on Appropriations that subsequent to the 
     termination of assistance a democratically elected 
     government has taken office.


                       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, except for transfers 
     specifically referred to in this Act.


                  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, 1997, 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 fifteen days in advance of the deobligation and 
     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 1997.


                         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.


            LIMITATION ON ASSISTANCE TO COUNTRIES IN DEFAULT

       Sec. 512. No part of any appropriation contained in this 
     Act shall be used to furnish assistance to any country which 
     is in default during a period in excess of one calendar year 
     in payment to the United States of principal or interest on 
     any loan made to such country by the United States pursuant 
     to a program for which funds are appropriated under this Act: 
     Provided, That this section and section 620(q) of the Foreign 
     Assistance Act of 1961 shall not apply to funds made 
     available in this Act or during the current fiscal year for 
     Nicaragua, and for any narcotics-related assistance for 
     Colombia, Bolivia, and Peru authorized by the Foreign 
     Assistance Act of 1961 or the Arms Export Control Act.


                           COMMERCE AND TRADE

       Sec. 513. (a) None of the funds appropriated or made 
     available pursuant to this Act for direct assistance and none 
     of the funds otherwise made available pursuant to this Act to 
     the Export-Import Bank and the Overseas Private Investment 
     Corporation shall be obligated or expended to finance any 
     loan, any assistance or any other financial commitments for 
     establishing or expanding production of any commodity for 
     export by any country other than the United States, if the 
     commodity is likely to be in surplus on world markets at the 
     time the resulting productive capacity is expected to become 
     operative and if the assistance will cause substantial injury 
     to United States producers of the same, similar, or competing 
     commodity.
       (b) None of the funds appropriated by this or any other Act 
     to carry out chapter 1 of part I of the Foreign Assistance 
     Act of 1961 shall be available for any testing or breeding 
     feasibility study, variety improvement or introduction, 
     consultancy, publication, conference, or training in 
     connection with the growth or production in a foreign country 
     of an agricultural commodity for export which would compete 
     with a similar commodity grown or produced in the United 
     States: Provided, That this subsection shall not prohibit--
       (1) activities designed to increase food security in 
     developing countries where such activities will not have a 
     significant impact in the export of agricultural commodities 
     of the United States; or

[[Page S8623]]

       (2) research activities intended primarily to benefit 
     American producers.


                          SURPLUS COMMODITIES

       Sec. 514. The Secretary of the Treasury shall instruct the 
     United States Executive Directors of the International Bank 
     for Reconstruction and Development, the International 
     Development Association, the International Finance 
     Corporation, the Inter-American Development Bank, the 
     International Monetary Fund, the Asian Development Bank, the 
     Inter-American Investment Corporation, the North American 
     Development Bank, the European Bank for Reconstruction and 
     Development, the African Development Bank, and the African 
     Development Fund to use the voice and vote of the United 
     States to oppose any assistance by these institutions, using 
     funds appropriated or made available pursuant to this Act, 
     for the production or extraction of any commodity or mineral 
     for export, if it is in surplus on world markets and if the 
     assistance will cause substantial injury to United States 
     producers of the same, similar, or competing commodity.


                       NOTIFICATION REQUIREMENTS

       Sec. 515. For the purposes of providing the Executive 
     Branch with the necessary administrative flexibility, none of 
     the funds made available under this Act for ``Development 
     Assistance'', ``Population, Development Assistance'', 
     ``International organizations and programs'', ``Trade and 
     Development Agency'', ``International narcotics control'', 
     ``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'', ``Export-Import Bank of the United 
     States'', ``Foreign Military Financing Program'', 
     ``International military education and training'', ``Peace 
     Corps'', ``Migration and refugee assistance'', and for the 
     ``Inter-American Foundation'' and the ``African Development 
     Foundation'', 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 fifteen days in advance: Provided, That 
     comparable requirements of any similar provision in any other 
     Act shall be applicable only to the extent that funds 
     appropriated by this Act have been previously authorized: 
     Provided further, 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 per centum in excess of the quantities 
     justified to Congress unless the Committees on Appropriations 
     are notified fifteen 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 per centum 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.
       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.


limitation on availability of funds for international organizations and 
                                programs

       Sec. 516. Notwithstanding any other provision of law or of 
     this Act, none of the funds provided for ``International 
     Organizations and Programs'' shall be available for the 
     United States proportionate share, in accordance with section 
     307(c) of the Foreign Assistance Act of 1961, for any 
     programs identified in section 307, or for Libya, Iran, or, 
     at the discretion of the President, Communist countries 
     listed in section 620(f) of the Foreign Assistance Act of 
     1961, as amended: Provided, That, 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 this section or any similar provision of 
     law, shall remain available for obligation through September 
     30, 1997.


              ECONOMIC SUPPORT FUND ASSISTANCE FOR ISRAEL

       Sec. 517. The Congress finds that progress on the peace 
     process in the Middle East is vitally important to United 
     States security interests in the region. The Congress 
     recognizes that, in fulfilling its obligations under the 
     Treaty of Peace Between the Arab Republic of Egypt and the 
     State of Israel, done at Washington on March 26, 1979, Israel 
     incurred severe economic burdens. Furthermore, the Congress 
     recognizes that an economically and militarily secure Israel 
     serves the security interests of the United States, for a 
     secure Israel is an Israel which has the incentive and 
     confidence to continue pursuing the peace process. Therefore, 
     the Congress declares that, subject to the availability of 
     appropriations, it is the policy and the intention of the 
     United States that the funds provided in annual 
     appropriations for the Economic Support Fund which are 
     allocated to Israel shall not be less than the annual debt 
     repayment (interest and principal) from Israel to the United 
     States Government in recognition that such a principle serves 
     United States interests in the region.


   PROHIBITION ON FUNDING FOR ABORTIONS AND INVOLUNTARY STERILIZATION

       Sec. 518. None of the funds made available to carry out 
     part I of the Foreign Assistance Act of 1961, as amended, may 
     be used to pay for the performance of abortions as a method 
     of family planning or to motivate or coerce any person to 
     practice abortions. None of the funds made available to carry 
     out part I of the Foreign Assistance Act of 1961, as amended, 
     may be used to pay for the performance of involuntary 
     sterilization as a method of family planning or to coerce or 
     provide any financial incentive to any person to undergo 
     sterilizations. None of the funds made available to carry out 
     part I of the Foreign Assistance Act of 1961, as amended, 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. None of the funds made available to carry out part 
     I of the Foreign Assistance Act of 1961, as amended, may be 
     obligated or expended for any country or organization if the 
     President certifies that the use of these funds by any such 
     country or organization would violate any of the above 
     provisions related to abortions and involuntary 
     sterilizations: Provided, That none of the funds made 
     available under this Act may be used to lobby for or against 
     abortion.


               population planning assistance limitations

       Sec. 519. (a) Prohibition on Abortion Funding.--None of the 
     funds made available under this Act may be used to pay for 
     the performance of abortion as a method of family planning, 
     or to coerce or motivate any person to practice abortions.
       (b) Prohibition on Abortion Lobbying.--None of the funds 
     made available under this Act may be used to lobby for or 
     against abortion.
       (c) Eligibility.--In determining eligibility for assistance 
     from funds appropriated to carry out section 104 of the 
     Foreign Assistance Act of 1961, nongovernmental and 
     multilateral organizations shall not be subjected to 
     requirements more restrictive than the requirements 
     applicable to foreign governments for such assistance.


                         reporting requirement

       Sec. 520. The President shall submit to the Committees on 
     Appropriations the reports required by section 25(a)(1) of 
     the Arms Export Control Act.


                   special notification requirements

       Sec. 521. None of the funds appropriated in this Act shall 
     be obligated or expended for Colombia, Guatemala, Haiti, 
     Liberia, Pakistan, Sudan, or Zaire except as provided through 
     the regular notification procedures of the Committees on 
     Appropriations.


              DEFINITION OF PROGRAM, PROJECT, AND ACTIVITY

       Sec. 522. For the purpose of this Act, ``program, project, 
     and activity'' shall be defined at the Appropriations Act 
     account level and shall include all Appropriations and 
     Authorizations Acts earmarks, ceilings, and limitations with 
     the exception that for the following accounts: Economic 
     Support Fund and Foreign Military Financing Program, 
     ``program, project, and activity'' shall also be considered 
     to include country, regional, and central program level 
     funding within each such account; for the development 
     assistance accounts of the Agency for International 
     Development ``program, project, and activity'' shall also be 
     considered to include central program level funding, either 
     as (1) justified to the Congress, or (2) allocated by the 
     executive branch in accordance with a report, to be provided 
     to the Committees on Appropriations within thirty days of 
     enactment of this Act, as required by section 653(a) of the 
     Foreign Assistance Act of 1961.


                   child survival and aids activities

       Sec. 523. Up to $8,000,000 of the funds made available by 
     this Act for assistance for family planning, health, child 
     survival, and AIDS, may be used to reimburse United States 
     Government agencies, agencies of State governments, 
     institutions of higher learning, and private and voluntary 
     organizations for the full cost of individuals (including for 
     the personal services of such individuals) detailed or 
     assigned to, or contracted by, as the case may be, the Agency 
     for International Development for the purpose of carrying out 
     family planning activities, child survival activities and 
     activities relating to research on, and the treatment and 
     control of, acquired immune deficiency syndrome in developing 
     countries: Provided, That funds appropriated by this Act that 
     are made available for child survival activities or 
     activities relating to research on, and the treatment and 
     control of, acquired immune deficiency syndrome may be made 
     available notwithstanding any provision of law that restricts 
     assistance to foreign countries: Provided further, That funds 
     appropriated by this Act that are made available for family 
     planning activities may be made available notwithstanding 
     section 512 of this Act and section 620(q) of the Foreign 
     Assistance Act of 1961.


       prohibition against indirect funding to certain countries

       Sec. 524. None of the funds appropriated or otherwise made 
     available pursuant to this Act

[[Page S8624]]

     shall be obligated to finance indirectly any assistance or 
     reparations to Cuba, Iraq, Libya, Iran, Syria, North Korea, 
     or the People's Republic of China, unless the President of 
     the United States certifies that the withholding of these 
     funds is contrary to the national interest of the United 
     States.


                           RECIPROCAL LEASING

       Sec. 525. Section 61(a) of the Arms Export Control Act is 
     amended by striking out ``1996'' and inserting in lieu 
     thereof ``1997''.


                NOTIFICATION ON EXCESS DEFENSE EQUIPMENT

       Sec. 526. 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.


                       authorization requirement

       Sec. 527. Funds appropriated by this Act may be obligated 
     and expended notwithstanding section 10 of Public Law 91-672 
     and section 15 of the State Department Basic Authorities Act 
     of 1956.


       Prohibition on Bilateral Assistance to Terrorist Countries

       Sec. 528. (a) Notwithstanding any other provision of law, 
     funds appropriated for bilateral assistance under any heading 
     of this Act and funds appropriated under any such heading in 
     a provision of law enacted prior to enactment of this Act, 
     shall not be made available to any country which the 
     President determines--
       (1) grants sanctuary from prosecution to any individual or 
     group which has committed an act of international terrorism, 
     or
       (2) otherwise supports international terrorism.
       (b) The President may waive the application of subsection 
     (a) to a country if the President determines that national 
     security or humanitarian reasons justify such waiver. The 
     President shall publish each waiver in the Federal Register 
     and, at least fifteen days before the waiver takes effect, 
     shall notify the Committees on Appropriations of the waiver 
     (including the justification for the waiver) in accordance 
     with the regular notification procedures of the Committees on 
     Appropriations.


                 commercial leasing of defense articles

       Sec. 529. Notwithstanding any other provision of law, and 
     subject to the regular notification procedures of the 
     Committees on Appropriations, the authority of section 23(a) 
     of the Arms Export Control Act may be used to provide 
     financing to Israel, Egypt and NATO and major non-NATO allies 
     for the procurement by leasing (including leasing with an 
     option to purchase) of defense articles from United States 
     commercial suppliers, not including Major Defense Equipment 
     (other than helicopters and other types of aircraft having 
     possible civilian application), if the President determines 
     that there are compelling foreign policy or national security 
     reasons for those defense articles being provided by 
     commercial lease rather than by government-to-government sale 
     under such Act.


                         competitive insurance

       Sec. 530. All Agency for International Development 
     contracts and solicitations, and subcontracts entered into 
     under such contracts, shall include a clause requiring that 
     United States insurance companies have a fair opportunity to 
     bid for insurance when such insurance is necessary or 
     appropriate.


                  stingers in the persian gulf region

       Sec. 531. Except as provided in section 581 of the Foreign 
     Operations, Export Financing, and Related Programs 
     Appropriations Act, 1990, the United States may not sell or 
     otherwise make available any Stingers to any country 
     bordering the Persian Gulf under the Arms Export Control Act 
     or chapter 2 of part II of the Foreign Assistance Act of 
     1961.


                          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 may be used for the 
     purpose for which the assistance was provided to that 
     organization.


           competitive pricing for sales of defense articles

       Sec. 533. Direct costs associated with meeting a foreign 
     customer's additional or unique requirements will continue to 
     be allowable under contracts under section 22(d) of the Arms 
     Export Control Act. Loadings applicable to such direct costs 
     shall be permitted at the same rates applicable to 
     procurement of like items purchased by the Department of 
     Defense for its own use.


                           separate accounts

       Sec. 534. (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 appropriate 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 provisions of this 
     subsection shall supersede 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.
       (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.


  compensation for united states executive directors to international 
                         financial institutions

       Sec. 535. (a) No funds appropriated by this Act may be made 
     as payment to any international financial institution while 
     the United States Executive Director to such institution is 
     compensated by the institution at a rate which, together with 
     whatever compensation such Director receives from the United 
     States, is in excess of the rate provided for an individual 
     occupying a position at level IV of the Executive Schedule 
     under section 5315 of title 5, United States Code, or while 
     any alternate United States Director to such institution is 
     compensated by the institution at a rate in excess of the 
     rate provided for an individual occupying a position at level 
     V of the Executive Schedule under section 5316 of title 5, 
     United States Code.
       (b) For purposes of this section, ``international financial 
     institutions'' are: the International Bank for Reconstruction 
     and Development, the Inter-American Development Bank, the 
     Asian Development Bank, the Asian Development Fund, the 
     African Development Bank, the African Development Fund, the 
     International Monetary Fund, the North American Development 
     Bank, and the European Bank for Reconstruction and 
     Development.


         Compliance With United Nations Sanctions Against Iraq

       Sec. 536. (a) Denial of Assistance.--None of the funds 
     appropriated or otherwise made available pursuant to this Act 
     to carry out the Foreign Assistance Act of 1961 (including 
     title IV of chapter 2 of part I, relating to the Overseas 
     Private Investment Corporation) or the Arms Export Control 
     Act may be used to provide assistance to any country that is 
     not in compliance with the United Nations Security Council 
     sanctions against Iraq, Serbia or Montenegro unless the 
     President determines and so certifies to the Congress that--
       (1) such assistance is in the national interest of the 
     United States;
       (2) such assistance will directly benefit the needy people 
     in that country; or

[[Page S8625]]

       (3) the assistance to be provided will be humanitarian 
     assistance for foreign nationals who have fled Iraq and 
     Kuwait.
       (b) Import Sanctions.--If the President considers that the 
     taking of such action would promote the effectiveness of the 
     economic sanctions of the United Nations and the United 
     States imposed with respect to Iraq, Serbia, or Montenegro, 
     as the case may be, and is consistent with the national 
     interest, the President may prohibit, for such a period of 
     time as he considers appropriate, the importation into the 
     United States of any or all products of any foreign country 
     that has not prohibited--
       (1) the importation of products of Iraq, Serbia, or 
     Montenegro into its customs territory, and
       (2) the export of its products to Iraq, Serbia, or 
     Montenegro, as the case may be.


                       pow/mia military drawdown

       Sec. 537. (a) Notwithstanding any other provision of law, 
     the President may direct the drawdown, without reimbursement 
     by the recipient, 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 not to exceed $15,000,000 in fiscal year 
     1997, as may be necessary to carry out subsection (b).
       (b) Such defense articles, services and training may be 
     provided to Vietnam, Cambodia and Laos, under subsection (a) 
     as the President determines are necessary to support 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 to ensure the safety of United States 
     Government personnel engaged in such cooperative efforts and 
     to support United States Department of Defense-sponsored 
     humanitarian projects associated with the POW/MIA efforts. 
     Any aircraft shall be provided under this section only to 
     Laos and only on a lease or loan basis, but may be provided 
     at no cost notwithstanding section 61 of the Arms Export 
     Control Act and may be maintained with defense articles, 
     services and training provided under this section.
       (c) The President shall, within sixty days of the end of 
     any fiscal year in which the authority of subsection (a) is 
     exercised, submit a report to the Congress which identifies 
     the articles, services, and training drawn down under this 
     section.


                 mediterranean excess defense articles

       Sec. 538. 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.


                          cash flow financing

       Sec. 539. For each country that has been approved for cash 
     flow financing (as defined in section 25(d) of the Arms 
     Export Control Act, as added by section 112(b) of Public Law 
     99-83) under the Foreign Military Financing Program, any 
     Letter of Offer and Acceptance or other purchase agreement, 
     or any amendment thereto, for a procurement in excess of 
     $100,000,000 that is to be financed in whole or in part with 
     funds made available under this Act shall be submitted 
     through the regular notification procedures to the Committees 
     on Appropriations.


authorities for the peace corps, the inter-american foundation and the 
                     african development foundation

       Sec. 540. Unless expressly provided to the contrary, 
     provisions of this or any other Act, including provisions 
     contained in prior Acts authorizing or making appropriations 
     for foreign operations, export financing, and related 
     programs, shall not be construed to prohibit activities 
     authorized by or conducted under the Peace Corps Act, the 
     Inter-American Foundation Act, or the African Development 
     Foundation Act. The appropriate agency shall promptly report 
     to the Committees on Appropriations whenever it is conducting 
     activities or is proposing to conduct activities in a country 
     for which assistance is prohibited.


                  impact on jobs in the United States

       Sec. 541. None of the funds appropriated by this Act may be 
     obligated or expended to provide--
       (a) any financial incentive to a business enterprise 
     currently located in the United States for the purpose of 
     inducing such an enterprise to relocate outside the United 
     States if such incentive or inducement is likely to reduce 
     the number of employees of such business enterprise in the 
     United States because United States production is being 
     replaced by such enterprise outside the United States;
       (b) assistance for the purpose of establishing or 
     developing in a foreign country any export processing zone or 
     designated area in which the tax, tariff, labor, environment, 
     and safety laws of that country do not apply, in part or in 
     whole, to activities carried out within that zone or area, 
     unless the President determines and certifies that such 
     assistance is not likely to cause a loss of jobs within the 
     United States; or
       (c) assistance for any project or activity that contributes 
     to the violation of internationally recognized workers 
     rights, as defined in section 502(a)(4) of the Trade Act of 
     1974, of workers in the recipient country, including any 
     designated zone or area in that country: Provided, That in 
     recognition that the application of this subsection should be 
     commensurate with the level of development of the recipient 
     country and sector, the provisions of this subsection shall 
     not preclude assistance for the informal sector in such 
     country, micro and small-scale enterprise, and smallholder 
     agriculture.


               authority to assist bosnia and herzegovina

       Sec. 542. (a) The President is authorized to direct the 
     transfer, subject to prior notification of the Committees on 
     Appropriations, to the government of Bosnia and Herzegovina, 
     without reimbursement, of defense articles from the stocks of 
     the Department of Defense and defense services of the 
     Department of Defense of an aggregate value of not to exceed 
     $100,000,000 in fiscal years 1996 and 1997: Provided, That 
     the President certifies in a timely fashion to the Congress 
     that the transfer of such articles would assist that nation 
     in self-defense and thereby promote the security and 
     stability of the region.
       (b) Within 60 days of any transfer under the authority 
     provided in subsection (a), and every 60 days thereafter, the 
     President shall report in writing to the Speaker of the House 
     of Representatives and the President pro tempore of the 
     Senate concerning the articles transferred and the 
     disposition thereof.
       (c) 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 provided under this section.


    RESTRICTIONS ON THE TERMINATION OF SANCTIONS AGAINST SERBIA AND 
                               MONTENEGRO

       Sec. 543. (a) Restrictions.--Notwithstanding any other 
     provision of law, no sanction, prohibition, or requirement 
     described in section 1511 of the National Defense 
     Authorization Act for Fiscal Year 1994 (Public Law 103-160), 
     with respect to Serbia or Montenegro, may cease to be 
     effective, unless--
       (1) the President first submits to the Congress a 
     certification described in subsection (b); and
       (2) the requirements of section 1511 of that Act are met.
       (b) Certification.--A certification described in this 
     subsection is a certification that--
       (1) there is substantial progress toward--
       (A) the realization of a separate identity for Kosova and 
     the right of the people of Kosova to govern themselves; or
       (B) the creation of an international protectorate for 
     Kosova;
       (2) there is substantial improvement in the human rights 
     situation in Kosova;
       (3) international human rights observers are allowed to 
     return to Kosova; and
       (4) the elected government of Kosova is permitted to meet 
     and carry out its legitimate mandate as elected 
     representatives of the people of Kosova.
       (c) Waiver Authority.--The President may waive the 
     application in whole or in part, of subsection (a) if the 
     President certifies to the Congress that the President has 
     determined that the waiver is necessary to meet emergency 
     humanitarian needs or to achieve a negotiated settlement of 
     the conflict in Bosnia-Herzegovina that is acceptable to the 
     parties.

                          special authorities

       Sec. 544. (a) Funds appropriated in title II of this Act 
     that are made available for Afghanistan, Lebanon, and 
     Cambodia, and for victims of war, displaced children, 
     displaced Burmese, humanitarian assistance for Romania, and 
     humanitarian assistance for the peoples of Bosnia and 
     Herzegovina, Croatia, and Kosova, may be made available 
     notwithstanding any other provision of law: Provided, That 
     any such funds that are made available for Cambodia shall be 
     subject to the provisions of section 531(e) of the Foreign 
     Assistance Act of 1961 and section 906 of the International 
     Security and Development Cooperation Act of 1985: Provided 
     further, That none of the funds appropriated by this Act may 
     be made available, and funds previously obligated may not be 
     expended, for assistance for any country or organization that 
     the Secretary of State determines is cooperating, tactically 
     or strategically, with the Khmer Rouge in their military 
     operations, or to the military of any country that is not 
     acting vigorously to prevent its members from facilitating 
     the export of timber from Cambodia by the Khmer Rouge: 
     Provided further, That the Secretary of State shall submit 
     reports to the Committees on Appropriations on February 15, 
     1997 and September 15, 1997, on whether there are any 
     countries, organizations, or militaries for which assistance 
     is prohibited under the previous proviso, the basis for such 
     conclusions and, if appropriate, the steps being taken to 
     terminate assistance.
       (b) Funds appropriated by this Act to carry out the 
     provisions of sections 103 through 106 of the Foreign 
     Assistance Act of 1961 may be used, notwithstanding any other 
     provision of law, for the purpose of supporting tropical 
     forestry and energy programs aimed at reducing emissions of 
     greenhouse gases, and for the purpose of supporting 
     biodiversity conservation activities: Provided, That such 
     assistance shall be subject to sections 116, 502B, and 620A 
     of the Foreign Assistance Act of 1961.
       (c) During fiscal year 1997, the President may use up to 
     $40,000,000 under the authority of section 451 of the Foreign 
     Assistance Act of 1961, notwithstanding the funding ceiling 
     contained in subsection (a) of that section.
       (d) The Agency for International Development may employ 
     personal services contractors, notwithstanding any other 
     provision of law, for the purpose of administering programs 
     for the West Bank and Gaza.


        policy on terminating the arab league boycott of israel

       Sec. 545. It is the sense of the Congress that--
       (1) the Arab League countries should immediately and 
     publicly renounce the primary boycott of Israel and the 
     secondary and tertiary boycott of American firms that have 
     commercial ties with Israel; and
       (2) the President should--
       (A) take more concrete steps to encourage vigorously Arab 
     League countries to renounce publicly the primary boycotts of 
     Israel and the secondary and tertiary boycotts of American 
     firms that have commercial relations with Israel as a 
     confidence-building measure;

[[Page S8626]]

       (B) take into consideration the participation of any 
     recipient country in the primary boycott of Israel and the 
     secondary and tertiary boycotts of American firms that have 
     commercial relations with Israel when determining whether to 
     sell weapons to said country;
       (C) report to Congress on the specific steps being taken by 
     the President to bring about a public renunciation of the 
     Arab primary boycott of Israel and the secondary and tertiary 
     boycotts of American firms that have commercial relations 
     with Israel; and
       (D) encourage the allies and trading partners of the United 
     States to enact laws prohibiting businesses from complying 
     with the boycott and penalizing businesses that do comply.


                       ANTI-NARCOTICS ACTIVITIES

       Sec. 546. (a) Of the funds appropriated or otherwise made 
     available 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 in 
     accordance with the provisions of section 534 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 the third sentence of section 
     534(e) of the Foreign Assistance Act of 1961. Funds made 
     available pursuant to subsection (a) for Bolivia, Colombia 
     and Peru may be made available notwithstanding section 534(c) 
     and the second sentence of section 534(e) of the Foreign 
     Assistance Act of 1961.


                       ELIGIBILITY FOR ASSISTANCE

       Sec. 547. (a) Assistance Through Nongovernmental 
     Organizations.--Restrictions contained in this or any other 
     Act with respect to assistance for a country shall not be 
     construed to restrict assistance in support of programs of 
     nongovernmental organizations from funds appropriated by this 
     Act to carry out the provisions of chapters 1 and 10 of part 
     I of the Foreign Assistance Act of 1961: Provided, That the 
     President shall take into consideration, in any case in which 
     a restriction on assistance would be applicable but for this 
     subsection, whether assistance in support of programs of 
     nongovernmental organizations is in the national interest of 
     the United States: Provided further, That before using the 
     authority of this subsection to furnish assistance in support 
     of programs of nongovernmental organizations, the President 
     shall notify the Committees on Appropriations under the 
     regular notification procedures of those committees, 
     including a description of the program to be assisted, the 
     assistance to be provided, and the reasons for furnishing 
     such assistance: Provided further, That nothing in this 
     subsection shall be construed to alter any existing statutory 
     prohibitions against abortion or involuntary sterilizations 
     contained in this or any other Act.
       (b) Public Law 480.--During fiscal year 1997, restrictions 
     contained in this or any other Act with respect to assistance 
     for a country shall not be construed to restrict assistance 
     under the Agricultural Trade Development and Assistance Act 
     of 1954: Provided, That none of the funds appropriated to 
     carry out title I of such Act and made available pursuant to 
     this subsection may be obligated or expended except as 
     provided through the regular notification procedures of the 
     Committees on Appropriations.
       (c) Exception.--This section shall not apply--
       (1) with respect to section 620A of the Foreign Assistance 
     Act or any comparable provision of law prohibiting assistance 
     to countries that support international terrorism; or
       (2) with respect to section 116 of the Foreign Assistance 
     Act of 1961 or any comparable provision of law prohibiting 
     assistance to countries that violate internationally 
     recognized human rights.


                                earmarks

       Sec. 548. (a) Funds appropriated by this Act which are 
     earmarked may be reprogrammed for other programs within the 
     same account notwithstanding the earmark if compliance with 
     the earmark is made impossible by operation of any provision 
     of this or any other Act or, with respect to a country with 
     which the United States has an agreement providing the United 
     States with base rights or base access in that country, if 
     the President determines that the recipient for which funds 
     are earmarked has significantly reduced its military or 
     economic cooperation with the United States since enactment 
     of the Foreign Operations, Export Financing, and Related 
     Programs Appropriations Act, 1991; however, before exercising 
     the authority of this subsection with regard to a base rights 
     or base access country which has significantly reduced its 
     military or economic cooperation with the United States, the 
     President shall consult with, and shall provide a written 
     policy justification to the Committees on Appropriations: 
     Provided, That any such reprogramming shall be subject to the 
     regular notification procedures of the Committees on 
     Appropriations: Provided further, That assistance that is 
     reprogrammed pursuant to this subsection shall be made 
     available under the same terms and conditions as originally 
     provided.
       (b) In addition to the authority contained in subsection 
     (a), the original period of availability of funds 
     appropriated by this Act and administered by the Agency for 
     International Development that are earmarked for particular 
     programs or activities by this or any other Act shall be 
     extended for an additional fiscal year if the Administrator 
     of such agency determines and reports promptly to the 
     Committees on Appropriations that the termination of 
     assistance to a country or a significant change in 
     circumstances makes it unlikely that such earmarked funds can 
     be obligated during the original period of availability: 
     Provided, That such earmarked funds that are continued 
     available for an additional fiscal year shall be obligated 
     only for the purpose of such earmark.


                         CEILINGS AND EARMARKS

       Sec. 549. Ceilings and earmarks contained in this Act shall 
     not be applicable to funds or authorities appropriated or 
     otherwise made available by any subsequent Act unless such 
     Act specifically so directs.


                        EXCESS DEFENSE ARTICLES

       Sec. 550. (a) During fiscal year 1997, the authority of 
     section 519 of the Foreign Assistance Act of 1961, as 
     amended, may be used to provide nonlethal excess defense 
     articles to countries for which United States foreign 
     assistance has been requested and for which receipt of such 
     articles was separately justified for the fiscal year, 
     without regard to the restrictions in subsection (a) of 
     section 519.
       (b) During fiscal year 1997, the authority of section 516 
     of the Foreign Assistance Act of 1961, as amended, may be 
     used to provide defense articles to Jordan, Estonia, Latvia, 
     Lithuania, and to countries eligible to participate in the 
     Partnership for Peace and to receive assistance under Public 
     Law 101-179.
       (c) Section 516(f) of the Foreign Assistance Act of 1961, 
     as amended, is repealed.
       (d) Section 31(d) of the Arms Export Control Act is amended 
     by deleting the words ``or pursuant to sales under this 
     Act''.


                 PROHIBITION ON PUBLICITY OR PROPAGANDA

       Sec. 551. No part of any appropriation contained in this 
     Act shall be used for publicity or propaganda purposes within 
     the United States not authorized before the date of enactment 
     of this Act by the Congress: Provided, That not to exceed 
     $750,000 may be made available to carry out the provisions of 
     section 316 of Public Law 96-533.


                       USE OF AMERICAN RESOURCES

       Sec. 552. To the maximum extent possible, assistance 
     provided under this Act should make full use of American 
     resources, including commodities, products, and services.


           prohibition of payments to united nations members

       Sec. 553. None of the funds appropriated or made available 
     pursuant to this Act for carrying out the Foreign Assistance 
     Act of 1961, may be used to pay in whole or in part any 
     assessments, arrearages, or dues of any member of the United 
     Nations.


                          consulting services

       Sec. 554. The expenditure of any appropriation under this 
     Act for any consulting service through procurement contract, 
     pursuant to section 3109 of title 5, United States Code, 
     shall be limited to those contracts where such expenditures 
     are a matter of public record and available for public 
     inspection, except where otherwise provided under existing 
     law, or under existing Executive order pursuant to existing 
     law.


             private voluntary organizations--documentation

       Sec. 555. None of the funds appropriated or made available 
     pursuant to this Act shall be available to a private 
     voluntary organization which fails to provide upon timely 
     request any document, file, or record necessary to the 
     auditing requirements of the Agency for International 
     Development.


  PROHIBITION ON ASSISTANCE TO FOREIGN GOVERNMENTS THAT EXPORT LETHAL 
   MILITARY EQUIPMENT TO COUNTRIES SUPPORTING INTERNATIONAL TERRORISM

       Sec. 556. (a) None of the funds appropriated or otherwise 
     made available by this Act may be available to any foreign 
     government which provides lethal military equipment to a 
     country the government of which the Secretary of State has 
     determined is a terrorist government for purposes of section 
     40(d) of the Arms Export Control Act. The prohibition under 
     this section with respect to a foreign government shall 
     terminate 12 months after that government ceases to provide 
     such military equipment. This section applies with respect to 
     lethal military equipment provided under a contract entered 
     into after the date of enactment of this Act.
       (b) Assistance restricted by subsection (a) or any other 
     similar provision of law, may be furnished if the President 
     determines that furnishing such assistance is important to 
     the national interests of the United States.
       (c) Whenever the waiver of subsection (b) is exercised, the 
     President shall submit to the appropriate congressional 
     committees a report with respect to the furnishing of such 
     assistance. Any such report shall include a detailed 
     explanation of the assistance to be provided, including the 
     estimated dollar amount of such assistance, and an 
     explanation of how the assistance furthers United States 
     national interests.


 withholding of assistance for parking fines owed by foreign countries

       Sec. 557. (a) In General.--Of the funds made available for 
     a foreign country under part I of the Foreign Assistance Act 
     of 1961, an amount equivalent to 110 percent of the total 
     unpaid fully adjudicated parking fines and penalties owed to 
     the District of Columbia by such country as of the date of 
     enactment of this Act shall be withheld from obligation for 
     such country until the Secretary of State certifies and 
     reports in writing to the appropriate congressional 
     committees that such fines and penalties are fully paid to 
     the government of the District of Columbia.
       (b) Definition.--For purposes of this section, the term 
     ``appropriate congressional committees'' means the Committee 
     on Foreign Relations and the Committee on Appropriations of 
     the Senate and the Committee on International Relations and 
     the Committee on Appropriations of the House of 
     Representatives.


    limitation on assistance for the plo for the west bank and gaza

       Sec. 558. None of the funds appropriated by this Act may be 
     obligated for assistance for the

[[Page S8627]]

     Palestine Liberation Organization for the West Bank and Gaza 
     unless the President has exercised the authority under 
     section 604(a) of the Middle East Peace Facilitation Act of 
     1995 (title VI of Public Law 104-107) or any other 
     legislation to suspend or make inapplicable section 307 of 
     the Foreign Assistance Act of 1961 and that suspension is 
     still in effect: Provided, That if the President fails to 
     make the certification under section 604(b)(2) of the Middle 
     East Peace Facilitation Act of 1995 or to suspend the 
     prohibition under other legislation, funds appropriated by 
     this Act may not be obligated for assistance for the 
     Palestine Liberation Organization for the West Bank and Gaza.


                 export financing transfer authorities

       Sec. 559. Not to exceed 5 percent of any appropriation 
     other than for administrative expenses made available for 
     fiscal year 1997 for programs under title I of this Act may 
     be transferred between such appropriations for use for any of 
     the purposes, programs and activities for which the funds in 
     such receiving account may be used, but no such 
     appropriation, except as otherwise specifically provided, 
     shall be increased by more than 25 percent by any such 
     transfer: Provided, That the exercise of such authority shall 
     be subject to the regular notification procedures of the 
     Committees on Appropriations.


                          war crimes tribunals

       Sec. 560. 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 
     authority of section 552(c) of the Foreign Assistance Act of 
     1961, as amended, may be used to provide up to $25,000,000 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 60 days after the date of enactment of 
     this Act, and every 180 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 and intelligence 
     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.


               transportation of excess defense articles

       Sec. 561. Notwithstanding section 519(f) of the Foreign 
     Assistance Act of 1961, during fiscal year 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 sections 
     516 and 519 to countries eligible to participate in the 
     Partnership for Peace and to receive assistance under Public 
     Law 101-179.


                               landmines

       Sec. 562. Notwithstanding any other provision of law, 
     demining equipment available to any department or agency and 
     used in support of the clearing of landmines and unexploded 
     ordnance for humanitarian purposes may be disposed of on a 
     grant basis in foreign countries, subject to such terms and 
     conditions as the President may prescribe: Provided, That 
     section 1365(c) of the National Defense Authorization Act for 
     Fiscal Year 1993 (Public Law 102-484; 22 U.S.C., 2778 note) 
     is amended by striking out ``During the five-year period 
     beginning on October 23, 1992'' and inserting in lieu thereof 
     ``During the eight-year period beginning on October 23, 
     1992''.


              moratorium on use of antipersonnel landmines

       Sec. 563. (a) United States Moratorium.--Notwithstanding 
     any other provision of law, for a period of one year 
     beginning three years after the date of enactment of Public 
     Law 104-107, the United States shall not use antipersonnel 
     landmines except along internationally recognized national 
     borders or in demilitarized zones within a perimeter marked 
     area that is monitored by military personnel and protected by 
     adequate means to ensure the exclusion of civilians.
       (b) Definition and Exemptions.--For the purposes of this 
     section:
       (1) Antipersonnel landmine.--The term ``antipersonnel 
     landmine'' means any munition placed under, on, or near the 
     ground or other surface area, delivered by artillery, rocket, 
     mortar, or similar means, or dropped from an aircraft and 
     which is designed, constructed or adapted to be detonated or 
     exploded by the presence, proximity, or contact of a person.
       (2) Exemptions.--The term ``antipersonnel landmine'' does 
     not include command detonated Claymore munitions.


           restrictions concerning the Palestinian authority

       Sec. 564. None of the funds appropriated by this Act may be 
     obligated or expended to create in any part of Jerusalem a 
     new office of any department or agency of the United States 
     Government for the purpose of conducting official United 
     States Government business with the Palestinian Authority 
     over Gaza and Jericho or any successor Palestinian governing 
     entity provided for in the Israel-PLO Declaration of 
     Principles: Provided, That this restriction shall not apply 
     to the acquisition of additional space for the existing 
     Consulate General in Jerusalem: Provided further, That 
     meetings between officers and employees of the United States 
     and officials of the Palestinian Authority, or any successor 
     Palestinian governing entity provided for in the Israel-PLO 
     Declaration of Principles, for the purpose of conducting 
     official United States Government business with such 
     authority should continue to take place in locations other 
     than Jerusalem. As has been true in the past, officers and 
     employees of the United States Government may continue to 
     meet in Jerusalem on other subjects with Palestinians 
     (including those who now occupy positions in the Palestinian 
     Authority), have social contacts, and have incidental 
     discussions.


               prohibition of payment of certain expenses

       Sec. 565. None of the funds appropriated or otherwise made 
     available by this Act under the heading ``international 
     military education and training'' or ``foreign military 
     financing program'' for Informational Program activities may 
     be obligated or expended to pay for--
       (1) alcoholic beverages;
       (2) food (other than food provided at a military 
     installation) not provided in conjunction with Informational 
     Program trips where students do not stay at a military 
     installation; or
       (3) entertainment expenses for activities that are 
     substantially of a recreational character, including entrance 
     fees at sporting events and amusement parks.


                        humanitarian assistance

       Sec. 566. The Foreign Assistance Act of 1961 is amended by 
     adding immediately after section 620H the following new 
     section:
       ``Sec. 620I. Prohibition on Assistance to Countries That 
     Restrict United States Humanitarian Assistance.--
       ``(a) In general.--No assistance shall be furnished under 
     this Act or the Arms Export Control Act to any country when 
     it is made known to the President that the government of such 
     country prohibits or otherwise restricts, directly or 
     indirectly, the transport or delivery of United States 
     humanitarian assistance.
       ``(b) Exception.--Assistance may be furnished without 
     regard to the restriction in subsection (a) if the President 
     determines that to do so is in the national security interest 
     of the United States.''.


            purchase of american-made equipment and products

       Sec. 567. (a) Sense of Congress.--It is the sense of the 
     Congress that, to the greatest extent practicable, all 
     equipment and products purchased with funds made available in 
     this Act should be American-made.
       (b) Notice Requirement.--In providing financial assistance 
     to, or entering into any contract with, any entity using 
     funds made available in this Act, the head of each Federal 
     agency, to the greatest extent practicable, shall provide to 
     such entity a notice describing the statement made in 
     subsection (a) by the Congress.


        limitation of funds for north american development bank

       Sec. 568. None of the funds appropriated in this Act under 
     the heading ``North American Development Bank'' and made 
     available for the Community Adjustment and Investment Program 
     shall be used for purposes other than those set out in the 
     binational agreement establishing the Bank.


                     limitation on funds for burma

       Sec. 569. Until such time as the President determines and 
     certifies to the Committees on Appropriations that an elected 
     government of Burma has been allowed to take office, the 
     following sanctions shall be imposed on Burma:
       (1) No national of the United States shall make any 
     investment in Burma;
       (2) United States assistance to Burma is prohibited;
       (3) The Secretary of the Treasury shall instruct the United 
     States executive director of each international financial 
     institution to vote against any loan or other utilization of 
     the funds of the respective bank to or for Burma; and
       (4) Except as required by Treaty obligations, any Burmese 
     national who formulates, implements, or benefits from 
     policies which hinder the transition of Burma to a democratic 
     country shall be ineligible to receive a visa and shall be 
     excluded from admission to the United States.


                  special debt relief for the poorest

       Sec. 570. (a) Authority To Reduce Debt.--The President may 
     reduce amounts owed to the United States (or any agency of 
     the United States) by an eligible country as a result of--
       (1) guarantees issued under sections 221 and 222 of the 
     Foreign Assistance Act of 1961; or
       (2) credits extended or guarantees issued under the Arms 
     Export Control Act.
       (b) Limitations.--
       (1) The authority provided by subsection (a) may be 
     exercised only to implement multilateral official debt relief 
     and referendum agreements, commonly referred to as ``Paris 
     Club Agreed Minutes''.
       (2) The authority provided by subsection (a) may be 
     exercised only in such amounts or to such extent as is 
     provided in advance by appropriations Acts.
       (3) The authority provided by subsection (a) may be 
     exercised only with respect to countries with heavy debt 
     burdens that are eligible to borrow from the International 
     Development Association, but not from the International Bank 
     for Reconstruction and Development, commonly referred to as 
     ``IDA-only'' countries.
       (c) Conditions.--The authority provided by subsection (a) 
     may be exercised only with respect to a country whose 
     government--
       (1) does not have an excessive level of military 
     expenditures;
       (2) has not repeatedly provided support for acts of 
     international terrorism;
       (3) is not failing to cooperate on international narcotics 
     control matters;
       (4) (including its military or other security forces) does 
     not engage in a consistent pattern of gross violations of 
     internationally recognized human rights; and
       (5) is not ineligible for assistance because of the 
     application of section 527 of the Foreign Relations 
     Authorization Act, fiscal years 1994 and 1995.

[[Page S8628]]

       (d) 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''.
       (e) Certain Prohibitions Inapplicable.--A reduction of debt 
     pursuant to subsection (a) shall not be considered assistance 
     for purposes of any provision of law limiting assistance to a 
     country. The authority provided by subsection (a) may be 
     exercised notwithstanding section 620(r) of the Foreign 
     Assistance Act of 1961.


             authority to engage in debt buybacks or sales

       Sec. 571. (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 shall 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''.


          sanctions against countries harboring war criminals

       Sec. 572. (a) Bilateral Assistance.--Funds appropriated by 
     this Act under the Foreign Assistance Act of 1961 or the Arms 
     Export Control Act may not be provided for any country 
     described in subsection (c).
       (b) Multilateral Assistance.--The Secretary of the Treasury 
     shall instruct the United States executive directors of the 
     international financial institutions to work in opposition 
     to, and vote against, any extension by such institutions of 
     financing or financial or technical assistance to any country 
     described in subsection (c).
       (c) Sanctioned Countries.--A country described in this 
     subsection is a country the government of which knowingly 
     grants sanctuary to persons in its territory for the purpose 
     of evading prosecution, where such persons--
       (1) have been indicted by the International Criminal 
     Tribunal for the former Yugoslavia, the International 
     Criminal Tribunal for Rwanda, or any other international 
     tribunal with similar standing under international law, or
       (2) have been indicted for war crimes or crimes against 
     humanity committed during the period beginning March 23, 1933 
     and ending on May 8, 1945 under the direction of, or in 
     association with--
       (A) the Nazi government of Germany;
       (B) any government in any area occupied by the military 
     forces of the Nazi government of Germany;
       (C) any government which was established with the 
     assistance or cooperation of the Nazi government; or
       (D) any government which was an ally of the Nazi government 
     of Germany.


                   LIMITATION ON ASSISTANCE FOR HAITI

       Sec. 573. (a) None of the funds appropriated or otherwise 
     made available by this Act, may be provided to the Government 
     of Haiti until the President reports to Congress that--
       (1) the Government is conducting thorough investigations of 
     extrajudicial and political killings; and
       (2) the Government is cooperating with United States 
     authorities in the investigations of political and 
     extrajudicial killings.
       (b) Nothing in this section shall be construed to restrict 
     the provision of humanitarian, development or electoral 
     assistance.
       (c) The President may waive the requirements of this 
     section if he determines and certifies to the appropriate 
     committees of Congress that it is in the national interest of 
     the United States or necessary to assure the safe and timely 
     withdrawal of American forces from Haiti.


  limitation on funds to the territory of the bosniac-croat federation

       Sec. 574. Funds appropriated by this Act for activities in 
     the internationally-recognized borders of Bosnia and 
     Herzegovina (other than refugee and disaster assistance and 
     assistance for restoration of infrastructure, to include 
     power grids, water supplies and natural gas) may only be made 
     available for activities in the territory of the Bosniac-
     Croat Federation.


                 united states government publications

       Sec. 575. Beginning in fiscal year 1997, all United States 
     Government publications shall refer to the capital of Israel 
     as Jerusalem.


              extension of certain adjudication provisions

       Sec. 576. The Foreign Operations, Export Financing, and 
     Related Programs Appropriations Act, 1990 (Public Law 101-
     167) is amended--
       (1) in section 599D (8 U.S.C. 1157 note)--
       (A) in subsection (b)(3), by striking ``and 1996'' and 
     inserting ``1996, and 1997''; and
       (B) in subsection (e), by striking out ``October 1, 1996'' 
     each place it appears and inserting ``October 1, 1997''; and
       (2) in section 599E (8 U.S.C. 1255 note) in subsection 
     (b)(2), by striking out ``September 30, 1996'' and inserting 
     ``September 30, 1997''.


                        transparency of budgets

       Sec. 577. (a) Limitation.--Beginning three years after the 
     date of the enactment of this Act, the Secretary of the 
     Treasury shall instruct the United States Executive Director 
     of each international financial institution to use the voice 
     and vote of the United States to oppose any loan or other 
     utilization of the funds of their respective institution, 
     other than to address basic human needs, for the government 
     of any country which the Secretary of the Treasury 
     determines--
       (1) does not have in place a functioning system for a 
     civilian audit of all receipts and expenditures in the 
     portions of its budget that fund activities of the armed 
     forces and security forces;
       (2) has not provided a summary of a current audit to the 
     institution; and
       (3) has not provided to the institution an accounting of 
     the ownership and financial interest in revenue-generating 
     enterprises of the armed forces and security forces.
       (b) Definition.--For purposes of this section, the term 
     ``international financial institution'' shall include the 
     institutions identified in section 535(b) of this Act.


                       promotion of human rights

       Sec. 578. A senior official, or former senior official, of 
     a government that receives funds appropriated by this Act, 
     who applies for a visa to travel to the United States, shall 
     be denied such visa if the Secretary of State has credible 
     evidence that such official has committed, ordered or 
     attempted to thwart the investigation of a gross violation of 
     an internationally recognized human right: Provided, That for 
     purposes of this section ``senior official'' includes an 
     officer of the armed forces or security forces: Provided 
     further, That the Secretary of State may waive the 
     restrictions of this section on a case-by-case basis if he 
     determines and reports to the Committees on Appropriations 
     that to do so is important to the national interest of the 
     United States.


                               guarantees

       Sec. 579. Section 251(b)(2)(G) of the Balanced Budget and 
     Emergency Deficit Control Act of 1985 is amended by striking 
     ``fiscal year 1994 and 1995'' and inserting in lieu thereof 
     ``fiscal years 1994, 1995, and 1997'' in both places that 
     this appears.
       This Act may be cited as the ``Foreign Operations, Export 
     Financing, and Related Programs Appropriations Act, 1997''.

  Mr. LOTT. Mr. President, the managers of the bill will do their 
opening statements now. I believe that they have some amendments that 
they can clear.
  I yield to the chairman for any explanation of how they intend to 
proceed tonight, or the first thing in the morning.
  Mr. McCONNELL. I thank the leader.
  In addition to doing our opening statements, Senator Coverdell has an 
amendment which he is prepared to lay down and we could schedule a vote 
at whatever time you think appropriate.
  Mr. LOTT. Mr. President, 9:30 in the morning would be the appropriate 
time. I believe that we can get the Members here and continue to have 
serious work and complete this very important bill very quickly; 
hopefully, tomorrow.
  Mr. President, I have another unanimous-consent request then, unless 
there is something else to be said about the foreign ops appropriations 
bill.

[[Page S8629]]



                           EXECUTIVE SESSION

                                 ______
                                 

                           EXECUTIVE CALENDAR

  Mr. LOTT. Mr. President, I ask unanimous consent that the Senate 
immediately proceed to executive session to consider the following 
nominations on the Executive Calendar: No. 574 and No. 589.
  I further ask unanimous consent that the nominations be confirmed en 
bloc, the motions to reconsider be laid upon the table, the President 
be immediately notified of the Senate's action, and the Senate then 
return to legislative session.
  The PRESIDING OFFICER. Without objection, it is so ordered.
  The nominations considered and confirmed en bloc are as follows:
       Nanette K. Laughrey, of Missouri, to be United States 
     District Judge for the Eastern and Western Districts of 
     Missouri.
       Dean D. Pregerson, of California, to be United States 
     District Judge for the Central District of California.


                    NOMINATION OF DEAN D. PREGERSON

  Mrs. BOXER. Mr. President, I want to thank the majority and minority 
leaders as well as the Judiciary Committee chairman, Orrin Hatch, and 
ranking member, Senator Biden, for moving an outstanding judicial 
nominee, Dean Douglas Pregerson, to the floor for confirmation to the 
United States District Court for the Central District of California.
  The Central District of California includes the counties of Los 
Angeles, Orange, Riverside, San Bernardino, San Luis Obispo, Santa 
Barbara and Ventura.
  Dean Pregerson has been a practicing attorney in California and in 
the Territory of Guam for the past 18 years. He has tremendous 
experience in a broad range of legal issues and a record of exceptional 
performance in many different aspects of the practice of law. He has 
been a public defender, a legal aid lawyer, and a litigator of a wide 
variety of civil and criminal matters in both State and Federal courts. 
He is currently a partner in the Los Angeles law firm of Pregerson, 
Richman and Luna, where he has personally litigated many issues, 
including contract and commercial actions, intellectual property 
matters, and personal injury disputes.
  Mr. Pregerson has a long record of service to his community. For the 
past 5 years, he has been a board member of Bet Tzedek Legal Services, 
which provides free legal help to about 12,000 Los Angelenos a year. He 
is on the advisory board of the GSA/Salvation Army homeless shelter of 
Bell, CA, which provides food, housing, and other services to more than 
200 men and women each day. He began his service for the Recreation and 
Parks Commission of Los Angeles in 1989, and served a term as its 
president. He has been a member of the Los Angeles Memorial Coliseum 
Commission.
  Dean Pregerson has garnered high praise from many colleagues and 
associates. Los Angeles Mayor Richard Riordan, in a letter to Judiciary 
Committee Chairman Hatch in February of this year, said he, ``strongly 
supports Dean's nomination'' and believes that he will be a judge ``who 
combines legal talents with a firm commitment to uphold the traditional 
and proper role of the judiciary.'' Los Angeles Sheriff Sherman Block 
writes that Dean Pregerson will be ``tough, fair-minded, and committed 
to enforcing the law'' as a Federal judge and he conveys his strong 
support for his confirmation.
  Again, I commend our leaders for bringing this nomination to the 
floor and confirming an individual who will be a great asset to the 
Federal bench and to the State of California.

                          ____________________