[Congressional Record Volume 142, Number 112 (Friday, July 26, 1996)]
[Senate]
[Pages S8943-S8965]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




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

  The PRESIDENT pro tempore. Under the previous order, the Senate will 
now resume the consideration of H.R. 3540, which 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 Senate resumed consideration of the bill.

       Pending:
       Simpson amendment No. 5088, to strike the provision which 
     extends reduced refugee standards for certain groups.
       Lieberman amendment No. 5078, to reallocate funds for the 
     Korean Peninsula Energy Development Organization.


                           Amendment No. 5088

  The PRESIDING OFFICER (Mrs. Frahm). There will now be 2 minutes of 
debate, equally divided, on the amendment of the Senator from Wyoming.
  Mr. SIMPSON addressed the Chair.
  The PRESIDING OFFICER. The Senator from Wyoming.
  Mr. SIMPSON. Madam President, what is the status of matters in order? 
Is the first amendment the Simpson amendment?
  The PRESIDING OFFICER. The Senator is correct.
  Mr. SIMPSON. Is that 2 minutes or 1 minute?
  The PRESIDING OFFICER. Two minutes equally divided.
  Mr. SIMPSON. Madam President, the purpose of this amendment is to go 
back to the 1980 Refugee Act. The 1980 Refugee Act provided for case-
by-case determination of all refugees.
  In 1989, we had the Lautenberg amendment, which was very appropriate 
at that time. It simply said we would presume that people who were 
Jewish or Angelical Christians or Pentacostals would be refugees. That 
was appropriate when the Soviet Union was our enemy.
  In this bill, we give them $640 million. They are a G-7 partner. They 
are our ally.
  Now we are still using 48,000 precious numbers out of an entire 
number of 78,000 to give to people who are presumed to be refugees--we 
give them the status. Some of them wait a year before they even come. 
Then we find it being misused by fraud and abuse with the Russian mafia 
coming through the system with regard to this presumption of refugee 
status.
  We ought to go back to case by case, and no one will be left out.
  Mr. LAUTENBERG addressed the Chair.
  The PRESIDING OFFICER. The Senator from New Jersey.
  Mr. LAUTENBERG. Madam President, I hope that my colleagues will vote 
against the amendment by Senator Simpson. He wants to strike out 
extension of current law, which frankly I think is essential. When we 
look at the new Russia, the former Soviet Union, we see, though they 
apparently are democratized in many areas, the fact of the matter is 
that an integral part of the political platform in the last election 
was to rail against Jews and other religions not satisfactory to them.
  Zhirinovsky, the head of the Nationalist Party, said that the way the 
country has to resolve its problems is to get rid of its Jews.
  Lebed, the now National Security Adviser to President Yeltsin, made 
derogatory remarks about Jews and about Mormons, calling them a 
``scum'' religion.
  So, if that tells you where we are going, I hope that my colleagues 
will vote against this amendment.
  The PRESIDING OFFICER. The question is on agreeing to the amendment 
of the Senator from Wyoming. On

[[Page S8944]]

this question, the yeas and nays have been ordered, and the clerk will 
call the roll.
  The assistant legislative clerk called the roll.
  The result was announced--yeas 22, nays 78, as follows:

                      [Rollcall Vote No. 246 Leg.]

                                YEAS--22

     Bond
     Brown
     Campbell
     Chafee
     Cochran
     Domenici
     Faircloth
     Gorton
     Grams
     Gregg
     Hatch
     Helms
     Jeffords
     Kassebaum
     Lugar
     McCain
     Murkowski
     Roth
     Shelby
     Simpson
     Thomas
     Thurmond

                                NAYS--78

     Abraham
     Akaka
     Ashcroft
     Baucus
     Bennett
     Biden
     Bingaman
     Boxer
     Bradley
     Breaux
     Bryan
     Bumpers
     Burns
     Byrd
     Coats
     Cohen
     Conrad
     Coverdell
     Craig
     D'Amato
     Daschle
     DeWine
     Dodd
     Dorgan
     Exon
     Feingold
     Feinstein
     Ford
     Frahm
     Frist
     Glenn
     Graham
     Gramm
     Grassley
     Harkin
     Hatfield
     Heflin
     Hollings
     Hutchison
     Inhofe
     Inouye
     Johnston
     Kempthorne
     Kennedy
     Kerrey
     Kerry
     Kohl
     Kyl
     Lautenberg
     Leahy
     Levin
     Lieberman
     Lott
     Mack
     McConnell
     Mikulski
     Moseley-Braun
     Moynihan
     Murray
     Nickles
     Nunn
     Pell
     Pressler
     Pryor
     Reid
     Robb
     Rockefeller
     Santorum
     Sarbanes
     Simon
     Smith
     Snowe
     Specter
     Stevens
     Thompson
     Warner
     Wellstone
     Wyden
  The amendment (No. 5088) was rejected.
  Mr. SIMPSON. Mr. President, I move to reconsider the vote.
  Mr. LAUTENBERG. I move to lay that motion on the table.
  The motion to lay on the table was agreed to.


                     Amendment No. 5078, As Amended

  The PRESIDING OFFICER (Mr. Coverdell). The question occurs on 
amendment No. 5078, as amended. There are 2 minutes evenly divided on 
the amendment.
  The Senate will come to order. Please remove all conversations to the 
Cloakroom.
  Will the Senators please remove audible conversations to the 
Cloakroom? The Chair requests that audible conversations be removed to 
the Cloakroom.
  The Senate will come to order. Please remove audible conversations to 
the Cloakroom.
  The Chair requests that audible conversations be removed to the 
Cloakroom so the Senate may come to order.
  Mr. ROCKEFELLER addressed the Chair.
  The PRESIDING OFFICER. The Chair recognizes the Senator from West 
Virginia.
  Mr. ROCKEFELLER. Mr. President, it is amazing to me that the 
Presiding Officer of the U.S. Senate requests silence of the Senate and 
is ignored by so many people who blatantly continue to talk while the 
Presiding Officer has now for 3 minutes requested silence.
  I hope the Presiding Officer takes whatever measures are necessary to 
get quiet in this body. It is unbelievable we would not pay attention 
to the Presiding Officer.
  The PRESIDING OFFICER. The Chair appreciates the cooperation of the 
Senator from West Virginia.
  The Chair is asking that audible conversations be removed to the 
Cloakroom so the Senate can proceed with its business.
  The Chair recognizes the Senator from Kentucky.
  Mr. McCONNELL. Mr. President, the Lieberman amendment, upon which we 
are about to vote, doubles aid to North Korea from last year's level 
from $13 million to $25 million. I expect a lot of Senators did not 
even know we were providing aid to North Korea. To provide this aid, 
President Clinton will have to say the fact that North Korea is a 
terrorist state doesn't matter.

  In addition, we know under the current agreement that the North has 
diverted oil, and nothing in this amendment will prevent that from 
continuing to happen.
  Finally, let me say, Mr. President, the House is strongly opposed to 
an increase from $13 to $25 million, which is encompassed in this 
amendment, and this is going to be an extraordinarily difficult 
position to sustain in conference, even if this amendment is approved.
  I hope that my colleagues will not approve this amendment.
  The PRESIDING OFFICER. The Chair recognizes the Senator from 
Connecticut.
  Mr. LIEBERMAN. Mr. President, this amendment, now amended in the 
second degree by Senators Murkowski and McCain, would enable the 
President to fulfill the promise made as part of the agreed framework 
signed in October 1994 to avoid the escalating probability of the North 
Koreans attaining nuclear capability and perhaps entering into a 
conflict with South Korea.
  A conflict, a major regional conflict on the Korean Peninsula, as 
Secretary Perry would say, would put countless lives in jeopardy and 
would cost billions of dollars.
  For $25 million, we have the opportunity to continue an agreement 
which, thus far, the North Koreans, at least as to the nuclear 
component, have kept.
  I yield 15 seconds to Senator Murkowski, and then the remainder of 
the time to Senator Levin.
  The PRESIDING OFFICER. The Senator from Alaska is recognized.
  Mr. MURKOWSKI. Mr. President, I thank the Senator. I assure my 
colleagues, if we don't have adequate funding, there is no point in 
pursuing this. That is the problem with the proposal that has been 
offered by the Senator from Kentucky. This requires full compliance 
with all provisions of the agreed framework, no significant diversion 
of U.S. assistance of food or oil, and full cooperation on storage of 
spent fuel.
  If we are going to do this right, we have to give them the tools to 
do it. We can't cut it in half and expect it to be done right. That is 
what we are up against here.
  It is a significant foreign policy question. I am very pleased 
Senator McCain, Senator Lieberman and others feel there is a job to be 
done over there and we can't take it lightly and we can't just cut 
funding in half.
  I might add, there is a full accounting of MIA's in this thing. There 
are more MIA's in North Korea, about 8,400, in fact.
  The PRESIDING OFFICER. The time of the Senator has expired. The Chair 
recognizes the Senator from Michigan.
  Mr. LEVIN. Mr. President, I ask unanimous consent for an additional 
10 seconds.
  The PRESIDING OFFICER. Without objection, it is so ordered.
  Mr. LEVIN. Mr. President, we are trying very hard to put the nuclear 
genie back into the bottle in North Korea. General Shalikashvili and 
the uniformed military strongly support the framework agreement that 
will allow us to do that. If we cut the funds to implement that 
agreement, instead of putting the nuclear genie back in the bottle, we 
will be breaking that bottle.
  I hope the Lieberman amendment is adopted with an overwhelming vote.
  The PRESIDING OFFICER. All time has expired. The question is on 
agreeing to amendment No. 5078, as amended. The yeas and nays have been 
ordered. The clerk will call the roll.
  The legislative clerk called the roll.
  The result was announced--yeas 73, nays 27, as follows:

                      [Rollcall Vote No. 247 Leg.]

                                YEAS--73

     Abraham
     Akaka
     Baucus
     Biden
     Bingaman
     Bond
     Boxer
     Bradley
     Breaux
     Bryan
     Bumpers
     Byrd
     Campbell
     Chafee
     Coats
     Cochran
     Cohen
     Conrad
     Coverdell
     Daschle
     Dodd
     Exon
     Feingold
     Feinstein
     Ford
     Frist
     Glenn
     Graham
     Grams
     Harkin
     Hatfield
     Heflin
     Hollings
     Inouye
     Jeffords
     Johnston
     Kassebaum
     Kennedy
     Kerrey
     Kerry
     Kohl
     Lautenberg
     Leahy
     Levin
     Lieberman
     Lugar
     McCain
     Mikulski
     Moseley-Braun
     Moynihan
     Murkowski
     Murray
     Nunn
     Pell
     Pressler
     Pryor
     Reid
     Robb
     Rockefeller
     Roth
     Santorum
     Sarbanes
     Simon
     Simpson
     Snowe
     Specter
     Stevens
     Thomas
     Thompson
     Thurmond
     Warner
     Wellstone
     Wyden

                                NAYS--27

     Ashcroft
     Bennett
     Brown
     Burns
     Craig
     D'Amato
     DeWine
     Domenici
     Dorgan
     Faircloth
     Frahm
     Gorton
     Gramm
     Grassley
     Gregg
     Hatch
     Helms
     Hutchison
     Inhofe
     Kempthorne
     Kyl
     Lott
     Mack
     McConnell
     Nickles
     Shelby
     Smith
  So the amendment (No. 5078) as amended, was agreed to.
  Mr. LEAHY. I move to reconsider the vote.

[[Page S8945]]

  Mr. LIEBERMAN. I move to lay that motion on the table.
  The motion to lay on the table was agreed to.


    international military education and training [imet]--indonesia

  Mr. COCHRAN. Mr. President, I congratulate the chairman of the 
Foreign Operations Subcommittee, Senator McConnell, and the ranking 
Democrat, Senator Leahy, for the fine job they've done putting together 
the fiscal year 1997 foreign operations appropriations bill. This 
legislation is very important in helping the United States to influence 
events and protect American interests around the world, and I know that 
the bill takes a great deal of hard work on the part of Senators 
McConnell and Leahy, and their staffs, to move it to the floor.
  One of the important functions funded by this legislation is the 
International Military Education and Training, or IMET, Program. Title 
III of this bill provides $40 million for IMET for fiscal year 1997. 
According to the Defense Department, IMET has three principal 
objectives:
  First, to encourage mutually beneficial relations and increased 
understanding between the United States and foreign countries in 
furtherance of the goals of international peace and security.
  Second, to improve the ability of participating foreign countries to 
utilize their resources, including defense articles and services 
obtained from the United States, with maximum effectiveness, thereby 
contributing to greater self-reliance by such countries; and,
  Third, to increase the awareness of nationals of foreign countries 
participating in such activities of basic issues involving 
internationally recognized human rights.
  In fiscal year 1995, 109 countries participated in IMET.
  The pending legislation includes a few restrictions on use of IMET 
funds: None of the funds appropriated are available for either Zaire or 
Guatemala, and Indonesia is eligible for what is described as an 
expanded IMET Program. With regard to Indonesia specifically, on page 
129 the bill says,

       *-*-* funds appropriated under this heading for grant 
     financed military education and training for Indonesia may 
     only be available for expanded military education and 
     training.

  I'm not quite sure why the phrase ``expanded'' is used, though, 
because the expanded IMET Program is in fact highly restrictive, 
allowing IMET funds for Indonesia only to be used for human rights-
related training.

  I am opposed to this provision of the bill. I know that those who 
support restrictions on IMET for Indonesia do so out of concern for the 
human rights situation in Indonesia. And there is reason for concern, 
though we should take note of the fact that the Indonesians have 
undertaken to improve their policies and actions with regard to human 
rights. Is their room for continued improvement? Of course there is, 
but excluding Indonesia from the benefits of full IMET participation is 
not the best way to help Indonesians make progress on human rights. I 
also wonder, though, why it is that of all the countries participating 
in IMET, only Indonesia is singled out for restrictions. Think about 
the other 108 fiscal year 1995 unrestricted IMET participants, Burundi, 
Ethiopia, Cambodia, Russia, and Algeria. Are we saying they don't have 
any human rights problems?
  IMET is of vital importance in helping military officers from other 
countries to learn from the example of the United States, to help 
sensitize these officers to the proper role of the military and the 
rule of law in a civil society. Bringing military officers from 
Indonesia for human rights training, under the expanded IMET, can be 
helpful. But it would be more helpful to bring Indonesian officers to 
the United States for full IMET training, thereby exposing these 
officers to daily exchanges with their American counterparts. If we 
want to help correct human rights abuse, it makes more sense to take 
officers, both junior and field grade officers, and involve them in our 
military training, side by side, with our own officers.
  As an example, every year we send hundreds of our own lieutenants 
through the infantry officers basic course at Fort Benning, GA. 
Included in these classes, as full members, are officers sent from 
other countries as part of the IMET Program. These foreign officers get 
human rights training along with the American officers in the infantry 
officers basic course, and they're also taught respect for the rule of 
law and the proper relations between military and civil authorities in 
a free society. The most important part of this experience for foreign 
military officers is not what they're taught in a classroom, though 
that is valuable. More important is the involvement in our military 
culture, being treated as equals of the American lieutenants in the 
course and learning by the example their American friends. They learn 
the role of the military in a free society, and also the 
responsibilities of each and every officer to that society.
  Indonesia is important to the United States. We shouldn't ignore the 
fact that it is the world's fourth most populous country, and we can't 
ignore the fact that our Navy must transit its sea lanes in seeking to 
move rapidly between the Pacific and the Indian Oceans. But this is 
more than simply a question of what is strictly in the national 
interest of the United States, though that alone should be sufficient. 
Indonesia is also becoming an important force for peace and stability 
in Asia, something that is also very important to the United States. 
The growing friendship between the United States and Indonesia is not 
something that should be taken lightly or for granted.
  During my recent visit to Indonesia our Ambassador, Stapleton Roy, 
was clear in expressing his desire for full access to IMET for 
Indonesia. I learned from my visit that when human rights problems 
occur, invariably it is not American-trained officers involved, but the 
officers not trained in the United States.
  If we are serious about helping our friends in Indonesia preaching to 
them about human rights is not the most productive use of our resources 
or their time. By including Indonesia in the normal IMET program, they 
learn about human rights by word and deed; we create lasting friendship 
that aren't based upon lecturing, and build support for and orientation 
toward United States policies; and, in so doing, we advance United 
States bilateral and regional interests.
  Let's be consistent. Either all nations with human rights problems 
should be excluded from full IMET participation, or none should. 
Singling out Indonesia for this treatment is not only wrong; it creates 
suspicion and misunderstanding of our reliability as a leader.
  I understand that this has been a contentious conference issue for 
this bill in the past and will not offer an amendment this year to 
strike the restrictive bill language on Indonesian IMET participation. 
I hope, though, that during the year the issue of how nations are 
permitted to participate in IMET will receive close scrutiny, and that 
consideration be given to supporting a bill that eliminates this unfair 
and ill-conceived restriction.
  Mrs. BOXER. Mr. President, I wish to express my support for the 
fiscal year 1997 Foreign Operations Appropriations Act.
  I am very pleased that this bill continues to fund United States 
commitments to our Camp David Accord partners, Israel and Egypt. 
Foreign assistance to our Middle East allies is a critical tool needed 
to keep the peace process moving ahead. Even as our overall foreign 
assistance budget declines, I believe it is imperative to maintain our 
aid programs to our Camp David partners at current levels.
  I strongly supported the Dorgan-Hatfield code of conduct amendment 
and was very disappointed that the Senate voted to table it. The United 
States is now the world's leading arms exporter. Too often, arms 
exported by the United States have been used for internal repression by 
dictators. On many occasions, arms exports have been resold to hostile 
third parties and used directly against U.S. interests. The Dorgan-
Hatfield proposal would have imposed reasonable restrictions on 
exports. I will continue to work with the amendment's sponsors to move 
the code of conduct forward.
  I also supported the McConnell-Leahy sanctions on Burma that were 
included in the committee reported version of the bill. Unfortunately, 
these sanctions were eliminated by the

[[Page S8946]]

Cohen amendment. It is universally agreed that the current regime in 
Burma is illegitimate, undemocratic, and abusive of even the most basic 
human rights standards. It is a virtual certainty that every dollar 
finding its way to the ruling party in Burma will be used to oppress 
the legitimately elected government. The United States must not 
participate in this kind of unconscionable oppression in any way.
  I also wish to explain my vote against the Helms amendment on U.N. 
taxation. Of course, I do not believe that the United Nations has the 
authority to tax U.S. citizens, nor should it. I opposed the amendment 
because I view it as totally unnecessary and as a gratuitous attack on 
valuable U.N. programs, such as development assistance and UNICEF.
  I would like to call attention to committee report language urging 
the U.S. Agency for International Development to fund microenterprise 
programs at their current levels. I supported earmarking funds for this 
purpose, but understand the managers reluctance to earmark. 
Microenterprise has been a remarkable success in the developing world. 
The small local banks created through microenterprise programs truly 
have the ability to wipe out poverty in their regions. I want to add my 
voice to that of the committee and urge AID, in the strongest possible 
terms, to allocate the maximum possible level of funding to 
microenterprise programs.
  Finally, I wish to note my opposition to the Coverdell amendment, 
which would increase funding for counterdrug programs at the expense of 
development assistance and U.N.-sponsored international organizations, 
such as UNICEF and UNFPA. I support the counterdrug program, but would 
note that its budget had been increased dramatically in the committee 
reported bill. Development assistance, on the other hand, has been 
slashed. The Coverdell amendment would exacerbate the existing 
shortfall in development assistance, and thus reduce our influence and 
leadership position in the world.
  Mr. McCONNELL. I yield back my 2 minutes.
  Mr. LEAHY. I yield back my 2 minutes.
  The PRESIDING OFFICER. Without objection, the committee substitute, 
as amended, is agreed to.
  The committee amendment, as amended, was agreed to.
  The PRESIDING OFFICER. The question is on the engrossment of the 
amendment and third reading of the bill.
  The amendment was ordered to be engrossed, and the bill to be read a 
third time.
  The bill was read a third time.
  The PRESIDING OFFICER. The Chair advises the Senator from Kentucky 
that the yeas and nays have not been ordered.
  Mr. McCONNELL. Mr. President, I ask for the yeas and nays.
  The PRESIDING OFFICER. Is there a sufficient is second?
  There is a sufficient second.
  The yeas and nays were ordered.
  The PRESIDING OFFICER. The bill having been read the third time, and 
all time having been yielded back, the question is, Shall the bill 
pass?
  The yeas and nays have been ordered, and the clerk will call the 
roll.
  The bill clerk called the roll.
  The result was announced--yeas 93, nays 7, as follows:

                      [Rollcall Vote No. 248 Leg.]

                                YEAS--93

     Abraham
     Akaka
     Ashcroft
     Baucus
     Bennett
     Biden
     Bingaman
     Bond
     Boxer
     Bradley
     Breaux
     Brown
     Bryan
     Bumpers
     Burns
     Campbell
     Chafee
     Coats
     Cochran
     Cohen
     Conrad
     Coverdell
     D'Amato
     Daschle
     DeWine
     Dodd
     Domenici
     Dorgan
     Exon
     Feingold
     Feinstein
     Ford
     Frahm
     Frist
     Glenn
     Gorton
     Graham
     Gramm
     Grams
     Grassley
     Gregg
     Harkin
     Hatch
     Hatfield
     Heflin
     Hutchison
     Inhofe
     Inouye
     Jeffords
     Johnston
     Kassebaum
     Kennedy
     Kerrey
     Kerry
     Kohl
     Kyl
     Lautenberg
     Leahy
     Levin
     Lieberman
     Lott
     Lugar
     Mack
     McCain
     McConnell
     Mikulski
     Moseley-Braun
     Moynihan
     Murkowski
     Murray
     Nickles
     Nunn
     Pell
     Pressler
     Pryor
     Reid
     Robb
     Rockefeller
     Roth
     Santorum
     Sarbanes
     Shelby
     Simon
     Simpson
     Snowe
     Specter
     Stevens
     Thomas
     Thompson
     Thurmond
     Warner
     Wellstone
     Wyden

                                NAYS--7

     Byrd
     Craig
     Faircloth
     Helms
     Hollings
     Kempthorne
     Smith
  The bill (H.R. 3540), as amended, was agreed to, as follows:
       Resolved, That the bill from the House of Representatives 
     (H.R. 3540) entitled ``An Act making appropriations for 
     foreign operations, export financing, and related programs 
     for the fiscal year ending September 30, 1997, and for other 
     purposes'', do pass with the following amendment:
       Strike out all after the enacting clause and insert:
     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

[[Page S8947]]

     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 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, $1,262,000,000, 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 
     to carry out chapter 10 of part I of the Foreign Assistance 
     Act of 1961 (relating to the Development Fund for Africa) 
     shall 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, $17,500,000 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 shall be available only for 
     support of the United States Telecommunications Training 
     Institute: Provided further, That of the amount appropriated 
     under this heading, not less than $15,000,000 shall be 
     available only for the American Schools and Hospitals Abroad 
     program under section 214 of the Foreign Assistance Act of 
     1961.


                   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

[[Page S8948]]

     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 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: Provided further, That of the funds appropriated under 
     this heading by prior appropriations Acts, $36,000,000 of 
     unobligated and unearmarked funds shall be transferred to and 
     consolidated with funds appropriated by this Act under the 
     heading ``International Organizations and Programs''.


          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: Provided 
     further, That of the funds appropriated under this heading 
     $25,000,000 shall be available for the legal restructuring 
     necessary to support a decentralized market-oriented economic 
     system, including enactment of necessary substantive 
     commercial law, implementation of reforms necessary to 
     establish an independent judiciary and bar, legal education 
     for judges, attorneys, and law students, and education of the 
     public designed to promote understanding of a law-based 
     economy.
       (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

[[Page S8949]]

     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)(1) Of the funds appropriated under title II of this 
     Act, including funds appropriated under this heading, not 
     less than $11,000,000 shall be available only for assistance 
     for Mongolia, of which amount not less than $6,000,000 shall 
     be available only for the Mongolian energy sector.
       (2) Funds made available for assistance for Mongolia shall 
     be made available in accordance with the purposes and 
     utilizing the authorities provided in chapter 11 of part I of 
     the Foreign Assistance Act of 1961.
       (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: Provided 
     further, That of the amount appropriated under this heading, 
     $5,000,000 shall be available only for a land and resource 
     management institute to identify nuclear contamination at 
     Chornobyl..
       (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, 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, 
     $213,000,000: 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: Provided, That, of the 
     funds appropriated under this heading, $2,000,000 shall be 
     available only for demining operations in Afghanistan.


                    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

                     (Including Transfers of Funds)

       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

[[Page S8950]]

     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, 
     notwithstanding any prohibitions in this or any other Act on 
     direct or indirect assistance to North Korea, not more than 
     $25,000,000 may be made available to the Korean Peninsula 
     Energy Development Organization (KEDO) only for heavy fuel 
     oil costs and other expenses associated with the Agreed 
     Framework, of which $13,000,000 shall be from funds 
     appropriated under this heading and $12,000,000 may be 
     transferred from funds appropriated by this Act under the 
     headings ``International Organization and Programs'', 
     ``Foreign Military Financing Program'', and ``Economic 
     Support Fund'': Provided further, That such funds may be 
     obligated to KEDO only if, prior to such obligation of funds, 
     the President certifies and so reports to Congress that 
     (1)(A) the United States is taking steps to assure that 
     progress is made on the implementation of the January 1, 
     1992, Joint Declaration on the Denuclearization of the Korean 
     Peninsula and the implementation of the North-South dialogue, 
     and (B) North Korea is complying with the other provisions of 
     the Agreed Framework between North Korea and the United 
     States and with the Confidential Minute; (2) North Korea is 
     cooperating fully in the canning and safe storage of all 
     spent fuel from its graphite-moderated nuclear reactors and 
     that such canning and safe storage is scheduled to be 
     completed by the end of fiscal year 1997; and (3) North Korea 
     has not significantly diverted assistance provided by the 
     United States for purposes for which such assistance was not 
     intended: Provided further, That the President may waive the 
     certification requirements of the preceding proviso if the 
     President deems it necessary in the vital national security 
     interests of the United States: Provided further, That no 
     funds may be obligated for KEDO until 30 calendar days after 
     the submission to Congress of the waiver permitted under the 
     preceding proviso: Provided further, That before obligating 
     any funds for KEDO, the President shall report to Congress on 
     (1) the cooperation of North Korea in the process of 
     returning to the United States the remains of United States 
     military personnel who are listed as missing in action as a 
     result of the Korean conflict (including conducting joint 
     field activities with the United States); (2) violations of 
     the military armistice agreement of 1953; (3) the actions 
     which the United States is taking and plans to take to assure 
     that North Korea is consistently taking steps to implement 
     the Joint Declaration on Denuclearization of the Korean 
     Peninsula and engage in North-South dialogue; and (4) all 
     instances of non-compliance with the agreed framework between 
     North Korea and the United States and the Confidential 
     Minute, including diversion of heating fuel oil: 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 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

[[Page S8951]]

     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, $700,000,000, 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 Act of 1961, and of 
     section 2 of the United Nations Environment Program 
     Participation Act of 1973, $270,000,000: 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 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

[[Page S8952]]

     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
       (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 
     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.

[[Page S8953]]

   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 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--

[[Page S8954]]

       (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
       (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

[[Page S8955]]

     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;
       (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

[[Page S8956]]

     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, Tunisia, Estonia, 
     Latvia, Lithuania, and to countries eligible to participate 
     in the Partnership for Peace and to receive assistance under 
     Public Law 101-179: Provided, That not later than May 1, 
     1997, the Secretary of State shall submit a report to the 
     Committees on Appropriations describing actions by the 
     Government of Tunisia during the previous six months to 
     improve respect for civil liberties and promote the 
     independence of the judiciary.
       (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 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''.


           restrictions concerning the Palestinian authority

       Sec. 563. 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. 564. 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. 565. 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

[[Page S8957]]

     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. 566. (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. 567. 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.

                          policy toward burma

       Sec. 568. (a) Until such time as the President determines 
     and certifies to Congress that Burma has made measurable and 
     substantial progress in improving human rights practices and 
     implementing democratic government, the following sanctions 
     shall be imposed on Burma:
       (1) Bilateral assistance.--There shall be no United States 
     assistance to the Government of Burma, other than:
       (A) humanitarian assistance,
       (B) counter-narcotics assistance under chapter 8 of part I 
     of the Foreign Assistance Act of 1961, or crop substitution 
     assistance, if the Secretary of State certifies to the 
     appropriate congressional committees that--
       (i) the Government of Burma is fully cooperating with 
     United States counter-narcotics efforts, and
       (ii) the programs are fully consistent with United States 
     human rights concerns in Burma and serve the United States 
     national interest, and
       (C) assistance promoting human rights and democratic 
     values.
       (2) Multilateral assistance.--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 funds of the respective bank to or 
     for Burma.
       (3) Visas.--Except as required by treaty obligations or to 
     staff the Burmese mission to the United States, the United 
     States shall not grant entry visas to any Burmese government 
     official.
       (b) Conditional Sanctions.--The President shall prohibit 
     United States persons from new investment in Burma, if the 
     President determines and certifies to Congress that, after 
     the date of enactment of this Act, the Government of Burma 
     has physically harmed, rearrested for political acts, or 
     exiled Daw Aung San Suu Kyi or has committed large-scale 
     repression of or violence against the Democratic opposition.
       (c) Multilateral Strategy.--The President shall seek to 
     develop, in coordination with members of ASEAN and other 
     countries having major trading and investment interests in 
     Burma, a comprehensive, multilateral strategy to bring 
     democracy to and improve human rights practices and the 
     quality of life in Burma, including the development of a 
     dialogue between the State Law and Order Restoration Council 
     (SLORC) and democratic opposition groups within Burma.
       (d) Presidential Reports.--Every six months following the 
     enactment of this Act, the President shall report to the 
     Chairmen of the Committee on Foreign Relations, the Committee 
     on International Relations and the House and Senate 
     Appropriations Committees on the following:
       (1) progress toward democratization in Burma;
       (2) progress on improving the quality of life of the 
     Burmese people, including progress on market reforms, living 
     standards, labor standards, use of forced labor in the 
     tourism industry, and environmental quality; and
       (3) progress made in developing the strategy referred to in 
     subsection (c).
       (e) Waiver Authority.--The President shall have the 
     authority to waive, temporarily or permanently, any sanction 
     referred to in subsection (a) or subsection (b) if he 
     determines and certifies to Congress that the application of 
     such sanction would be contrary to the national security 
     interests of the United States.
       (f) Definitions.--
       (1) The term ``international financial institutions'' shall 
     include the International Bank for Reconstruction and 
     Development, the International Development Association, the 
     International Finance Corporation, the Multilateral 
     Investment Guarantee Agency, the Asian Development Bank, and 
     the International Monetary Fund.
       (2) The term ``new investment'' shall mean any of the 
     following activities if such an activity is undertaken 
     pursuant to an agreement, or pursuant to the exercise of 
     rights under such an agreement, that is entered into with the 
     Government of Burma or a nongovernmental entity in Burma, on 
     or after the date of the certification under subsection (b):
       (A) the entry into a contract that includes the economical 
     development of resources located in Burma, or the entry into 
     a contract providing for the general supervision and 
     guarantee of another person's performance of such a contract;
       (B) the purchase of a share of ownership, including an 
     equity interest, in that development;
       (C) the entry into a contract providing for the 
     participation in royalties, earnings, or profits in that 
     development, without regard to the form of the participation:

     Provided, That the term ``new investment'' does not include 
     the entry into, performance of, or financing of a contract to 
     sell or purchase goods, services, or technology.

                   reports on the situation in burma

       Sec. 569. (a) Labor Practices.--Not later than 90 days 
     after the date of the enactment of this Act, the Secretary of 
     Labor, in consultation with the Secretary of State, shall 
     submit a report to the appropriate congressional committees 
     on--
       (1) Burma's compliance with international labor standards 
     including, but not limited to, the use of forced labor, slave 
     labor, and involuntary prison labor by the junta;
       (2) the degree to which foreign investment in Burma 
     contributes to violations of fundamental worker rights;
       (3) labor practices in support of Burma's foreign tourist 
     industry; and
       (4) efforts by the United States to end violations of 
     fundamental labor rights in Burma.
       (b) Definition.--As used in this section, the term 
     ``appropriate congressional committees'' means the Committee 
     on Appropriations and the Committee on Foreign Relations of 
     the Senate and the Committee on Appropriations and the 
     Committee on International Relations of the House of 
     Representatives.
       (c) Funding.--(1) There are hereby appropriated, out of any 
     money in the Treasury not otherwise appropriated, for the 
     fiscal year ending September 30, 1997, for expenses necessary 
     to carry out the provisions of this section, $30,000 to the 
     Department of Labor.
       (2) The amount appropriated by this Act under the heading 
     ``Department of State, international narcotics control'' 
     shall be reduced by $30,000.


                  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.
       (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.

[[Page S8958]]

       (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.


information on cooperation with united states anti-terrorism efforts in 
                  annual country reports on terrorism

       Sec. 580. Section 140 of the Foreign Relations 
     Authorization Act, fiscal years 1988 and 1989 (22 U.S.C. 
     2656f) is amended--
       (1) in subsection (a)--
       (A) by striking ``and'' at the end of paragraph (1);
       (B) by striking the period at the end of paragraph (2) and 
     inserting a semicolon; and
       (C) by adding at the end the following:
       ``(3) with respect to each foreign country from which the 
     United States Government has sought cooperation during the 
     previous five years in the investigation or prosecution of an 
     act of international terrorism against United States citizens 
     or interests, information on--
       ``(A) the extent to which the government of the foreign 
     country is cooperating with the United States Government in 
     apprehending, convicting, and punishing the individual or 
     individuals responsible for the act; and
       ``(B) the extent to which the government of the foreign 
     country is cooperating in preventing further acts of 
     terrorism against United States citizens in the foreign 
     country; and
       ``(4) with respect to each foreign country from which the 
     United States Government has sought cooperation during the 
     previous five years in the prevention of an act of 
     international terrorism against such citizens or interests, 
     the information described in paragraph (3)(B).''; and
       (2) in subsection (c)--
       (A) by striking ``The report'' and inserting ``(1) Except 
     as provided in paragraph (2), the report'';
       (B) by indenting the margin of paragraph (1) as so 
     designated, 2 ems; and
       (C) by adding at the end the following:
       ``(2) If the Secretary of State determines that the 
     transmittal of the information with respect to a foreign 
     country under paragraph (3) or (4) of subsection (a) in 
     classified form would make more likely the cooperation of the 
     government of the foreign country as specified in such 
     paragraph, the Secretary may transmit the information under 
     such paragraph in classified form.''.

                       female genital mutilation

       Sec. 581. (a) Limitation.--Beginning 1 year 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) has, as a cultural custom, a known history of the 
     practice of female genital mutilation;
       (2) has not made the practice of female genital mutilation 
     illegal; and
       (3) has not taken steps to implement educational programs 
     designed to prevent the practice of female genital 
     mutilation.
       (b) Definition.--For purposes of this section, the term 
     ``international financial institution'' shall include the 
     institutions identified in section 535(b) of this Act.

sense of congress regarding the united states-japan insurance agreement

       Sec. 582. (a) Findings.--The Congress makes the following 
     findings:

[[Page S8959]]

       (1) The United States and Japan share a long and important 
     bilateral relationship which serves as an anchor of peace and 
     stability in the Asia Pacific region, an alliance which was 
     reaffirmed at the recent summit meeting between President 
     Clinton and Prime Minister Hashimoto in Tokyo.
       (2) The Japanese economy has experienced difficulty over 
     the past few years, demonstrating that it is no longer 
     possible for Japan, the world's second largest economy, to 
     use exports as the sole engine of economic growth, but that 
     the Government of Japan must promote deregulation of its 
     domestic economy in order to increase economic growth.
       (3) Japan is the second largest insurance market in the 
     world and the largest life insurance market in the world.
       (4) The share of foreign insurance in Japan is less than 3 
     percent, and large Japanese life and non-life insurers 
     dominate the market.
       (5) The Government of Japan has had as its stated policy 
     for several years the deregulation and liberalization of the 
     Japan insurance market, and has developed and adopted a new 
     insurance business law as a means of achieving this publicly 
     stated objective of liberalization and deregulation.
       (6) The Governments of Japan and the United States 
     concluded in October of 1994 the United States-Japan 
     Insurance Agreement, following more than one and one-half 
     years of negotiations, in which Agreement the Government of 
     Japan reiterated its intent to deregulate and liberalize its 
     market.
       (7) The Government of Japan in June of 1995 undertook 
     additional obligations to provide greater foreign access and 
     liberalization to its market through its schedule of 
     insurance obligations during the financial services 
     negotiations of the World Trade Organization (WTO).
       (8) The United States insurance industry is the most 
     competitive in the world, operates successfully throughout 
     the world, and thus could be expected to achieve higher 
     levels of market access and profitability under a more open, 
     deregulated and liberalized Japanese market.
       (9) Despite more than one and one-half years since the 
     conclusion of the United States-Japan Insurance Agreement, 
     despite more than one year since Japan undertook new 
     commitments under the WTO, despite the entry into force on 
     April 1, 1996, of the new Insurance Business Law, the 
     Japanese market remains closed and highly regulated and thus 
     continues to deny fair and open treatment for foreign 
     insurers, including competitive United States insurers.
       (10) The non-implementation of the United States-Japan 
     Insurance Agreement is a matter of grave importance to the 
     United States Government.
       (11) Dozens of meetings between the United States Trade 
     Representative and the Ministry of Finance have taken place 
     during the past year.
       (12) President Clinton, Vice President Gore, Secretary 
     Rubin, Secretary Christopher, Secretary Kantor, Ambassador 
     Barshefsky have all indicated to their counterparts in the 
     Government of Japan the importance of this matter to the 
     United States.
       (13) The United States Senate has written repeatedly to the 
     Minister of Finance and the Ambassador of Japan.
       (14) Despite all of these efforts and indications of 
     importance, the Ministry of Finance has failed to implement 
     the United States-Japan Insurance Agreement.
       (15) Several deadlines have already passed for resolution 
     of this issue with the latest deadline set for July 31, 1996.
       (b) Sense of Congress.--It is the sense of the Congress 
     that--
       (1) the Ministry of Finance of the Government of Japan 
     should immediately and without further delay completely and 
     fully comply with all provisions of the United States-Japan 
     Insurance Agreement, including most especially those which 
     require the Ministry of Finance to deregulate and liberalize 
     the primary sectors of the Japanese market, and those which 
     insure that the current position of foreign insurers in Japan 
     will not be jeopardized until primary sector deregulation has 
     been achieved, and a three-year period has elapsed; and
       (2) failing satisfactory resolution of this matter on or 
     before July 31, 1996, the United States Government should use 
     any and all resources at its disposal to bring about full and 
     complete compliance with the Agreement.


          sense of congress regarding the conflict in chechnya

       Sec. 583. (a) Congressional Declaration.--The Congress 
     declares that the continuation of the conflict in Chechnya, 
     the continued killing of innocent civilians, and the ongoing 
     violation of human rights in that region are unacceptable.
       (b) Sense of Congress.--The Congress hereby--
       (1) condemns Russia's infringement of the cease-fire 
     agreements in Chechnya;
       (2) calls upon the Government of the Russian Federation to 
     bring an immediate halt to offensive military actions in 
     Chechnya and requests President Yeltsin to honor his decree 
     of June 25, 1996 concerning the withdrawal of Russian armed 
     forces from Chechnya;
       (3) encourages the two warring parties to resume 
     negotiations without delay so as to find a peaceful political 
     solution to the Chechen problem; and
       (4) supports the Organization for Security and Cooperation 
     in Europe and its representatives in Chechnya in its efforts 
     to mediate in Chechnya.

  requirement for disclosure of foreign aid in report of secretary of 
                                 state

       Sec. 584. (a) Foreign Aid Reporting Requirement.--In 
     addition to the voting practices of a foreign country, the 
     report required to be submitted to Congress under section 
     406(a) of the Foreign Relations Authorization Act, fiscal 
     years 1990 and 1991 (22 U.S.C. 2414a), shall include a side-
     by-side comparison of individual countries' overall support 
     for the United States at the United Nations and the amount of 
     United States assistance provided to such country in that 
     fiscal year.
       (b) United States Assistance.--For purposes of this 
     section, the term ``United States assistance'' has the 
     meaning given the term in section 481(e)(4) of the Foreign 
     Assistance Act of 1961 (22 U.S.C. 2291(e)(4)).


report on domestic federal agencies furnishing united states assistance

       Sec. 585. (a) In General.--Not later than June 1, 1997, the 
     Comptroller General of the United States shall study and 
     report to the Congress on all assistance furnished directly 
     or indirectly to foreign countries, foreign entities, and 
     international organizations by domestic Federal agencies and 
     Federal agencies.
       (b) Definitions.--As used in this section:
       (1) Domestic federal agency.--The term ``domestic Federal 
     agency'' means a Federal agency the primary mission of which 
     is to carry out functions other than foreign affairs, 
     defense, or national security functions.
       (2) Federal agency.--The term ``Federal agency'' has the 
     meaning given the term in section 551(1) of title 5, United 
     States Code.
       (3) International organization.--The term ``international 
     organization'' has the meaning given the term in section 1 of 
     the International Organization Immunities Act (22 U.S.C. 
     288).
       (4) United states assistance.--The term ``United States 
     assistance'' has the meaning given the term in section 
     481(e)(4) of the Foreign Assistance Act of 1961 (22 U.S.C. 
     2291(e)(4)).


   restrictions on voluntary contributions to united nations agencies

       Sec. 586. (a) Prohibition on Voluntary Contributions for 
     the United Nations.--None of the funds appropriated or 
     otherwise made available by this Act may be made available to 
     pay any voluntary contribution of the United States to the 
     United Nations or any of its specialized agencies (including 
     the United Nations Development Program) if the United Nations 
     attempts to implement or impose any taxation or fee on any 
     United States persons or borrows funds from any international 
     financial institution.
       (b) Certification Required for Disbursement of Funds.--None 
     of the funds appropriated or otherwise made available under 
     this Act may be made available to pay any voluntary 
     contribution of the United States to the United Nations or 
     any of its specialized agencies (including the United Nations 
     Development Program) unless the President certifies to the 
     Congress 15 days in advance of such payment that the United 
     Nations or such agency, as the case may be, is not engaged 
     in, and has not been engaged in during the previous fiscal 
     year, any effort to develop, advocate, promote, or publicize 
     any proposal concerning taxation or fees on United States 
     persons in order to raise revenue for the United Nations or 
     any of its specialized agencies.
       (c) Definitions.--As used in this section:
       (1) The term ``international financial institution'' 
     includes the African Development Bank, the African 
     Development Fund, the Asian Development Bank, the European 
     Bank for Reconstruction and Development, the Inter-American 
     Development Bank, the International Bank for Reconstruction 
     and Development, the International Development Association, 
     the International Finance Corporation, the International 
     Monetary Fund, and the Multilateral Insurance Guaranty 
     Agency; and
       (2) The term ``United States person'' refers to--
       (A) a natural person who is a citizen or national of the 
     United States; or
       (B) a corporation, partnership, or other legal entity 
     organized under the United States or any State, territory, 
     possession, or district of the United States.

                                 haiti

       Sec. 587. The Government of Haiti shall be eligible to 
     purchase defense articles and services under the Arms Export 
     Control Act (22 U.S.C. 2751 et seq.), for the civilian-led 
     Haitian National Police and Coast Guard, except as otherwise 
     stated in law: Provided, That the authority provided by this 
     section shall be subject to the regular notification 
     procedures of the Committees on Appropriations.

            trade relations with eastern and central europe.

       Sec. 588. (a) Findings.--The Congress makes the following 
     findings:
       (1) The countries of Central and Eastern Europe, including 
     Poland, Hungary, the Czech Republic, Slovakia, Romania, 
     Slovenia, Lithuania, Latvia, Estonia, and Bulgaria, are 
     important to the long-term stability and economic success of 
     a future Europe freed from the shackles of communism.
       (2) The Central and Eastern European countries, 
     particularly Hungary, Poland, the Czech Republic, Romania, 
     Slovakia, Slovenia, Latvia, Lithuania, and Estonia, are in 
     the midst of dramatic reforms to transform their centrally 
     planned economies into free market economies and to join the 
     Western community.
       (3) It is in the long-term interest of the United States to 
     encourage and assist the transformation of Central and 
     Eastern Europe into a free market economy, which is the solid 
     foundation of democracy, and will contribute to regional 
     stability and greatly increased opportunities for commerce 
     with the United States.
       (4) Trade with the countries of Central and Eastern Europe 
     accounts for less than one percent of total United States 
     trade.
       (5) The presence of a market with more than 140,000,000 
     people, with a growing appetite for consumer goods and 
     services and badly in need of modern technology and 
     management, should

[[Page S8960]]

     be an important market for United States exports and 
     investments.
       (6) The United States has concluded agreements granting 
     most-favored-nation status to most of the countries of 
     Central and Eastern Europe.
       (b) Sense of the Congress.--It is the sense of the Congress 
     that the President should take steps to promote more open, 
     fair, and free trade between the United States and the 
     countries of Central Europe, including Poland, Hungary, the 
     Czech Republic, Slovakia, Lithuania, Latvia, Estonia, 
     Romania, and Slovenia, including--
       (1) developing closer commercial contacts;
       (2) the mutual elimination of tariff and nontariff 
     discriminatory barriers in trade with these countries;
       (3) exploring the possibility of framework agreements that 
     would lead to a free trade agreement;
       (4) negotiating bilateral investment treaties;
       (5) stimulating increased United States exports and 
     investments to the region;
       (6) obtaining further liberalization of investment 
     regulations and protection against nationalization in these 
     foreign countries; and
       (7) establishing fair and expeditious dispute settlement 
     procedures.

                limitation on foreign sovereign immunity

       Sec. 589. (a) In General.--Section 1605(a)(7) of title 28, 
     United States Code, is amended to read as follows:
       ``(7) in which money damages are sought against a foreign 
     state for personal injury or death caused by an act of 
     torture, extrajudicial killing, aircraft sabotage, hostage 
     taking, or the provision of material support or resources (as 
     defined in section 2339A of title 18) for such an act, if--
       ``(A) such act or provision of material support was engaged 
     in by an official, employee, or agent of such foreign state 
     while acting within the scope of his or her office, 
     employment, or agency;
       ``(B) the foreign state against whom the claim was 
     brought--
       ``(i) was designated as a state sponsor of terrorism under 
     section 6(j) of the Export Administration Act of 1979 (50 
     U.S.C. App. 2405(j)) or section 620A of the Foreign 
     Assistance Act of 1961 (22 U.S.C. 2371) at the time the act 
     occurred or was later so designated as a result of such act; 
     or
       ``(ii) had no treaty of extradition with the United States 
     at the time the act occurred and no adequate and available 
     remedies exist either in such state or in the place in which 
     the act occurred;
       ``(C) the claimant has afforded the foreign state a 
     reasonable opportunity to arbitrate the claim in accordance 
     with accepted international rules of arbitration; and
       ``(D) the claimant or victim was a national of the United 
     States (as that term is defined in section 101(a)(22) of the 
     Immigration and Nationality Act) when the act upon which the 
     claim is based occurred.''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall apply with respect to actions brought in United States 
     courts on or after the date of enactment of this Act.

                  sense of congress regarding croatia

       Sec. 590. (a) Findings.--The Congress makes the following 
     findings:
       (1) Croatia has politically and financially contributed to 
     the NATO peacekeeping operations in Bosnia;
       (2) The economic stability and security of Croatia is 
     important to the stability of South Central Europe; and
       (3) Croatia is in the process of joining the Partnership 
     for Peace.
       (b) Sense of Congress.--It is the Sense of Congress that:
       (1) Croatia should be recognized and commended for its 
     contributions to NATO and the various peacekeeping efforts in 
     Bosnia;
       (2) The United States should support the active 
     participation of Croatia in activities appropriate for 
     qualifying for NATO membership, provided Croatia continues to 
     adhere fully to the Dayton Peace Accords and continues to 
     make progress toward establishing democratic institutions, a 
     free market, and the rule of law.

               romania's progress toward nato membership

       Sec. 591. (a) Findings.--The Congress makes the following 
     findings:
       (1) Romania emerged from years of brutal Communist 
     dictatorship in 1989 and approved a new Constitution and 
     elected a Parliament by 1991, laying the foundation for a 
     modern parliamentary democracy charged with guaranteeing 
     fundamental human rights, freedom of expression, and respect 
     for private property;
       (2) Local elections, parliamentary elections, and 
     presidential elections have been held in Romania, with 1996 
     marking the second nationwide presidential elections under 
     the new Constitution;
       (3) Romania was the first former Eastern bloc country to 
     join NATO's Partnership for Peace program and has hosted 
     Partnership for Peace military exercises on its soil;
       (4) Romania is the second largest country in terms of size 
     and population in Central Europe and as such is strategically 
     significant;
       (5) Romania formally applied for NATO membership in April 
     of 1996 and has begun an individualized dialogue with NATO on 
     its membership application; and
       (6) Romania has contributed to the peace and reconstruction 
     efforts in Bosnia by participating in the Implementation 
     Force (IFOR).
       (b) Sense of the Congress.--Therefore, it is the sense of 
     the Congress that:
       (1) Romania is making significant progress toward 
     establishing democratic institutions, a free market economy, 
     civilian control of the armed forces and the rule of law;
       (2) Romania is making important progress toward meeting the 
     criteria for accession into NATO;
       (3) Romania deserves commendation for its clear desire to 
     stand with the West in NATO, as evidenced by its early entry 
     into the Partnership for Peace, its formal application for 
     NATO membership, and its participation in IFOR;
       (4) Romania should be evaluated for membership in the NATO 
     Participation Act's transition assistance program at the 
     earliest opportunity; and
       (5) The United States should work closely with Romania and 
     other countries working toward NATO membership to ensure that 
     every opportunity is provided.


  sense of congress regarding expansion of eligibility for holocaust 
           survivor compensation by the government of germany

       Sec. 592. (a) Findings.--The Congress makes the following 
     findings:
       (1) After nearly half a century, tens of thousands of 
     Holocaust survivors continue to be denied justice and 
     compensation by the Government of Germany.
       (2) These people who suffered grievously at the hands of 
     the Nazis are now victims of unreasonable and arbitrary rules 
     which keep them outside the framework of the various 
     compensation programs.
       (3) Compensation for these victims has been non-existent 
     or, at best, woefully inadequate.
       (4) The time has come to right this terrible wrong.
       (b) Sense of Congress.--The Congress calls upon the 
     Government of Germany to negotiate in good faith with the 
     Conference on Jewish Material Claims Against Germany to 
     broaden the categories of those eligible for compensation so 
     that the injustice of uncompensated Holocaust survivors may 
     be corrected before it is too late.


    SENSE OF SENATE ON DELIVERY BY CHINA OF CRUISE MISSILES TO IRAN

       Sec. 593. (a) Findings.--The Senate makes the following 
     findings:
       (1) On February 22, 1996, the Director of Central 
     Intelligence informed the Senate that the Government of the 
     People's Republic of China had delivered cruise missiles to 
     Iran.
       (2) On June 19, 1996, the Under Secretary of State for Arms 
     Control and International Security Affairs informed Congress 
     that the Department of State had evidence of Chinese-produced 
     cruise missiles in Iran.
       (3) On at least three occasions in 1996, including July 15, 
     1996, the Commander of the United States Fifth Fleet has 
     pointed to the threat posed by Chinese-produced cruise 
     missiles to the 15,000 United States sailors and marines 
     stationed in the Persian Gulf region.
       (4) Section 1605 of the Iran-Iraq Arms Non-Proliferation 
     Act of 1992 (title XVI of Public Law 102-484; 50 U.S.C. 1701 
     note) both requires and authorizes the President to impose 
     sanctions against any foreign government that delivers cruise 
     missiles to Iran.
       (b) Sense of Senate.--It is the sense of the Senate that--
       (1) the Government of the People's Republic of China should 
     immediately halt the delivery of cruise missiles and other 
     advanced conventional weapons to Iran; and
       (2) the President should enforce all appropriate United 
     States laws with respect to the delivery by that government 
     of cruise missiles to Iran.


SENSE OF SENATE ON DELIVERY BY CHINA OF BALLISTIC MISSILE TECHNOLOGY TO 
                                 SYRIA

       Sec. 594. (a) Findings.--The Senate makes the following 
     findings:
       (1) Credible information exists indicating that defense 
     industrial trading companies of the People's Republic of 
     China may have transferred ballistic missile technology to 
     Syria.
       (2) On October 4, 1994, the Government of the People's 
     Republic of China entered into a written agreement with the 
     United States pledging not to export missiles or related 
     technology that would violate the Missile Technology Control 
     Regime (MTCR).
       (3) Section 73(f) of the Arms Export Control Act (22 U.S.C. 
     2797b(f)) states that, when determining whether a foreign 
     person may be subject to United States sanctions for 
     transferring technology listed on the MTCR Annex, it should 
     be a rebuttable presumption that such technology is designed 
     for use in a missile listed on the MTCR Annex if the 
     President determines that the final destination of the 
     technology is a country the government of which the Secretary 
     of State has determined, for purposes of section 6(j)(1)(A) 
     of the Export Administration Act of 1979 (50 U.S.C. App. 
     2405(j)(1)(A)), has repeatedly provided support for acts of 
     international terrorism.
       (4) The Secretary of State has determined under the terms 
     of section 6(j)(1)(A) of the Export Administration Act of 
     1979 that Syria has repeatedly provided support for acts of 
     international terrorism.
       (5) In 1994 Congress explicitly enacted section 73(f) of 
     the Arms Export Control Act in order to target the transfer 
     of ballistic missile technology to terrorist nations.
       (6) The presence of ballistic missiles in Syria would pose 
     a threat to United States Armed Forces and to regional peace 
     and stability in the Middle East.
       (b) Sense of Senate.--It is the sense of the Senate that--
       (1) it is in the national security interests of the United 
     States and the State of Israel to prevent the spread of 
     ballistic missiles and related technology to Syria;
       (2) the Government of the People's Republic of China should 
     continue to honor its agreement with the United States not to 
     export missiles or related technology that would violate the 
     Missile Technology Control Regime; and
       (3) the President should exercise all legal authority 
     available to the President to prevent the spread of ballistic 
     missiles and related technology to Syria.

[[Page S8961]]

REFUGEE STATUS FOR ADULT CHILDREN OF FORMER VIETNAMESE REEDUCATION CAMP 
        INTERNEES RESETTLED UNDER THE ORDERLY DEPARTURE PROGRAM

       Sec. 595. (a) Eligibility for Orderly Departure Program.--
     For purposes of eligibility for the Orderly Departure Program 
     for nationals of Vietnam, an alien described in subsection 
     (b) shall be considered to be a refugee of special 
     humanitarian concern to the United States within the meaning 
     of section 207 of the Immigration and Nationality Act (8 
     U.S.C. 1157) and shall be admitted to the United States for 
     resettlement if the alien would be admissible as an immigrant 
     under the Immigration and Nationality Act (except as provided 
     in section 207(c)(3) of that Act).
       (b) Aliens Covered.--An alien described in this subsection 
     is an alien who--
       (1) is the son or daughter of a national of Vietnam who--
       (A) was formerly interned in a reeducation camp in Vietnam 
     by the Government of the Socialist Republic of Vietnam; and
       (B) has been accepted for resettlement as a refugee under 
     the Orderly Departure Program on or after April 1, 1995;
       (2) is 21 years of age or older; and
       (3) was unmarried as of the date of acceptance of the 
     alien's parent for resettlement under the Orderly Departure 
     Program.
       (c) Supersedes Existing Law.--This section supersedes any 
     other provision of law.


                 DEMOCRATIC PEOPLE'S REPUBLIC OF KOREA

       Sec. 596. Ninety days after the date of enactment of this 
     Act, and every 180 days thereafter, the Secretary of State, 
     in consultation with the Secretary of Defense, shall provide 
     a report in a classified or unclassified form to the 
     Committee on Appropriations including the following 
     information:
       (a) a best estimate on fuel used by the military forces of 
     the Democratic People's Republic of Korea (DPRK);
       (b) the deployment position and military training and 
     activities of the DPRK forces and best estimate of the 
     associated costs of these activities;
       (c) steps taken to reduce the DPRK level of forces; and
       (d) cooperation, training, or exchanges of information, 
     technology or personnel between the DPRK and any other nation 
     supporting the development or deployment of a ballistic 
     missile capability.


        PROSECUTION OF MAJOR DRUG TRAFFICKERS RESIDING IN MEXICO

       Sec. 597. (a) Report.--(1) Not later than 30 days after the 
     date of enactment of this Act, the Administrator of the Drug 
     Enforcement Administration shall submit a report to the 
     President--
       (A) identifying the 10 individuals who are indicted in the 
     United States for unlawful trafficking or production of 
     controlled substances most sought by United States law 
     enforcement officials and who there is reason to believe 
     reside in Mexico; and
       (B) identifying 25 individuals not named under paragraph 
     (1) who have been indicted for such offenses and who there is 
     reason to believe reside in Mexico.
       (2) The President shall promptly transmit to the Government 
     of Mexico a copy of the report submitted under paragraph (1).
       (b) Prohibition.--
       (1) In general.--None of the funds appropriated under the 
     heading ``International Military Education and Training'' may 
     be made available for any program, project, or activity for 
     Mexico.
       (2) Exception.--Paragraph (1) shall not apply if, not later 
     than 6 months after the date of enactment of this Act, the 
     President certifies to Congress that--
       (A) the Government of Mexico has extradited to the United 
     States the individuals named pursuant to subsection (a)(1); 
     or
       (B) the Government of Mexico has apprehended and begun 
     prosecution of the individuals named pursuant to subsection 
     (a)(1).
       (c) Waiver.--Subsection (b) shall not apply if the 
     President of Mexico certifies to the President of the United 
     States that--
       (1) the Government of Mexico made intensive, good faith 
     efforts to apprehend the individuals named pursuant to 
     subsection (a)(1) but did not find one or more of the 
     individuals within Mexico; and
       (2) the Government of Mexico has apprehended and extradited 
     or apprehended and prosecuted 3 individuals named pursuant to 
     subsection (a)(2) for each individual not found under 
     paragraph (1).


      DEOBLIGATION OF CERTAIN UNEXPENDED ECONOMIC ASSISTANCE FUNDS

       Sec. 598. Chapter 3 of part III of the Foreign Assistance 
     Act of 1961 (22 U.S.C. 2401 et seq.) is amended by adding at 
     the end the following:

     ``SEC. 668. DEOBLIGATION OF CERTAIN UNEXPENDED ECONOMIC 
                   ASSISTANCE FUNDS.

       ``(a) Requirement to Deobligate.--
       ``(1) In general.--Except as provided in subsection (b) of 
     this section and in paragraphs (1) and (3) of section 617(a) 
     of this Act, at the beginning of each fiscal year the 
     President shall deobligate and return to the Treasury any 
     funds described in paragraph (2) that, as of the end of the 
     preceding fiscal year, have been obligated for a project or 
     activity for a period of more than 4 years but have not been 
     expended.
       ``(2) Funds.--Paragraph (1) applies to funds made available 
     for--
       ``(A) assistance under chapter 1 of part I of this Act 
     (relating to development assistance), chapter 10 of part I of 
     this Act (relating to the Development Fund for Africa), or 
     chapter 4 of part II of this Act (relating to the economic 
     support fund);
       ``(B) assistance under the Support for East European 
     Democracy (SEED) Act of 1989; and
       ``(C) economic assistance for the independent states of the 
     former Soviet Union under chapter 11 of part I of this Act or 
     under any other provision of law authorizing economic 
     assistance for such independent states.
       ``(b) Exceptions.--The President, on a case-by-case basis, 
     may waive the requirement of subsection (a)(1) if the 
     President determines and reports to the Congress that it is 
     in the national interest to do so.
       ``(c) Appropriate Congressional Committees.--As used in 
     this section, the term `appropriate congressional committees' 
     means the Committee on International Relations and the 
     Committee on Appropriations of the House of Representatives 
     and the Committee on Foreign Relations and the Committee on 
     Appropriations of the Senate.''.

          sense of senate regarding the government of burundi

       Sec. 599. (a) The Senate finds that:
       (1) The political situation in the African nation of 
     Burundi has deteriorated and there are reports of a military 
     coup against the elected Government of Burundi.
       (2) The continuing ethnic conflict in Burundi has caused 
     untold suffering among the people of Burundi and has resulted 
     in the deaths of over 150,000 people in the past two years.
       (3) The attempt to overthrow the Government of Burundi 
     makes the possibility of an increase in the tension and the 
     continued slaughter of innocent civilians more likely.
       (4) The United States and the International Community have 
     an interest in ending the crisis in Burundi before it reaches 
     the level of violence that occurred in Rwanda in 1994 when 
     over 800,000 people died in the war between the Hutu and the 
     Tutsi tribes.
       (b) Now, therefore it is the sense of the Senate that:
       (1) The United States Senate condemns any violent action 
     intended to overthrow the Government of Burundi.
       (2) Calls on all parties to the conflict in Burundi to 
     exercise restraint in an effort to restore peace.
       (3) Urges the Administration to continue diplomatic efforts 
     at the highest level to find a peaceful resolution to the 
     crisis in Burundi.

     sense of the senate regarding environmental impact assessments

       Sec. 599A. (a) Findings.--Congress finds that--
       (1) Environmental Impact Assessments as a national 
     instrument are undertaken for proposed activities that are 
     likely to have a significant adverse impact on the 
     environment and are subject to a decision of a competent 
     national authority;
       (2) in 1978 the Senate adopted Senate Resolution 49, 
     calling on the United States Government to seek the agreement 
     of other governments to a proposed global treaty requiring 
     the preparation of Environmental Impact Assessments for any 
     major project, action, or continuing activity that may be 
     reasonably expected to have a significant adverse effect on 
     the physical environment or environmental interests of 
     another nation or a global commons area;
       (3) subsequent to the adoption of Senate Resolution 49 in 
     1978, the United Nations Environment Programme Governing 
     Council adopted Goals and Principles on Environmental Impact 
     Assessment calling on governments to undertake comprehensive 
     Environmental Impact Assessments in cases in which the 
     extent, nature, or location of a proposed activity is such 
     that the activity is likely to significantly affect the 
     environment; and
       (4) on October 7, 1992, the Senate gave its advice and 
     consent to the Protocol on Environmental Protection to the 
     Antarctic Treaty, which obligates parties to the Antarctic 
     Treaty to require Environmental Impact Assessment procedures 
     for proposed activities in Antarctica.
       (b) Sense of the Senate.--It is the sense of the Senate 
     that--
       (1) the United States Government should encourage the 
     governments of other nations to engage in additional regional 
     treaties regarding specific transboundary activities that 
     have adverse impacts on the environment of other nations or a 
     global commons area; and
       (2) such additional regional treaties should ensure that 
     specific transboundary activities are undertaken in 
     environmentally sound ways and under careful controls 
     designed to avoid or minimize any adverse environmental 
     effects, through requirements for Environmental Impact 
     Assessments where appropriate.


                    INTERNATIONAL CRIMINAL TRIBUNAL

       Sec. 599B. Findings.--
       (1) The United Nations, recognizing the need for justice in 
     the former Yugoslavia, established the International Criminal 
     Tribunal for the former Yugoslavia (hereafter in this 
     resolution referred to as the ``International Criminal 
     Tribunal'');
       (2) United Nations Security Council Resolution 827 of May 
     25, 1993, requires states to cooperate fully with the 
     International Criminal Tribunal;
       (3) The parties to the General Framework Agreement for 
     Peace in Bosnia and Herzegovina and associated Annexes (in 
     this resolution referred to as the ``Peace Agreement'') 
     negotiated in Dayton, Ohio and signed in Paris, France, on 
     December 14, 1995, accepted, in Article IX, the obligation 
     ``to cooperate in the investigation and prosecution of war 
     crimes and other violations of international humanitarian 
     law'';
       (4) The Constitution of Bosnia and Herzegovina, agreed to 
     as Annex 4 of the Peace Agreement, provides, in Article IX, 
     that ``No person who is serving a sentence imposed by the 
     International Tribunal for the former Yugoslavia, and no 
     person who is under indictment by the Tribunal and who has 
     failed to comply with an order to appear before the Tribunal, 
     may stand as a candidate or hold any appointive, elective, or 
     other public office in Bosnia and Herzegovina'';
       (5) The International Criminal Tribunal has issued 57 
     indictments against individuals from

[[Page S8962]]

     all parties to the conflicts in the former Yugoslavia;
       (6) The International Criminal Tribunal continues to 
     investigate gross violations of international law in the 
     former Yugoslavia with a view to further indictments against 
     the perpetrators;
       (7) On July 25, 1995, the International Criminal Tribunal 
     issued an indictment for Radovan Karadzic, president of the 
     Bosnian Serb administration of Pale, and Ratko Mladic, 
     commander of the Bosnian Serb administration and charged them 
     with genocide and crimes against humanity, violations of the 
     law or customs of war, and grave breaches of the Geneva 
     Conventions of 1949, arising from atrocities perpetrated 
     against the civilian population throughout Bosnia-
     Herzegovina, for the sniping campaign against civilians in 
     Sarajevo, and for the taking of United Nations peacekeepers 
     as hostages and for their use as human shields;
       (8) On November 16, 1995, Karadzic and Mladic were indicted 
     a second time by the International Criminal Tribunal, charged 
     with genocide for the killing of up to 6,000 Muslims in 
     Srebrenica, Bosnia, in July 1995;
       (9) The United Nations Security Council, in adopting 
     Resolution 1022 on November 22, 1995, decided that economic 
     sanctions on the Federal Republic of Yugoslavia (Serbia and 
     Montenegro) and the so-called Republika Srpska would be 
     reimposed if, at any time, the High Representative or the 
     IFOR commander informs the Security Council that the Federal 
     Republic of Yugoslavia or the Bosnian Serb authorities are 
     failing significantly to meet their obligations under the 
     Peace Agreement;
       (10) The so-called Republika Srpska and the Federal 
     Republic of Yugoslavia (Serbia and Montenegro) have failed to 
     arrest and turn over for prosecution indicted war criminals, 
     including Karadzic and Mladic;
       (11) Efforts to politically isolate Karadzic and Mladic 
     have failed thus far and would in any case be insufficient to 
     comply with the Peace Agreement and bring peace with justice 
     to Bosnia and Herzegovina;
       (12) The International Criminal Tribunal issued 
     international warrants for the arrest of Karadzic and Mladic 
     on July 11, 1996.
       (13) In the so-called Republika Srpska freedom of the press 
     and freedom of assembly are severely limited and violence 
     against ethnic and religious minorities and opposition 
     figures is on the rise;
       (14) It will be difficult for national elections in Bosnia 
     and Herzegovina to take place meaningfully so long as key war 
     criminals, including Karadzic and Mladic, remain at large and 
     able to influence political and military developments;
       (15) On June 6, 1996, the President of the International 
     Criminal Tribunal, declaring that the Federal Republic of 
     Yugoslavia's failure to extradite indicted war criminals is a 
     blatant violation of the Peace Agreement and of United 
     Nations Security Council Resolutions, called on the High 
     Representative to reimpose economic sanctions on the so-
     called Republika Srpska and on the Federal Republic of 
     Yugoslavia (Serbia and Montenegro); and
       (16) The apprehension and prosecution of indicted war 
     criminals is essential for peace and reconciliation to be 
     achieved and democracy to be established throughout Bosnia 
     and Herzegovina.
       (b) Sense of the Senate.--It is the sense of the Senate 
     that--
       (1) the Senate finds that the International Criminal 
     Tribunal for the former Yugoslavia merits continued and 
     increased United States support for its efforts to 
     investigate and bring to justice the perpetrators of gross 
     violations of international law in the former Yugoslavia;
       (2) the President of the United States should support the 
     request of the President of the International Criminal 
     Tribunal for the former Yugoslavia for the High 
     Representative to reimpose full economic sanctions on the 
     Federal Republic of Yugoslavia (Serbia and Montenegro) and 
     the so-called Republika Srpska, in accordance with United 
     Nations Security Council Resolution 1022 (1995), until the 
     Federal Republic of Yugoslavia (Serbia and Montenegro) and 
     Bosnian Serb authorities have complied with their obligations 
     under the Peace Agreement and United Nations Security Council 
     Resolutions to cooperate fully with the International 
     Criminal Tribunal;
       (3) the NATO-led Implementation Force (IFOR), in carrying 
     out its mandate, should make it an urgent priority to detain 
     and bring to justice persons indicted by the International 
     Criminal Tribunal; and
       (4) states in the former Yugoslavia should not be admitted 
     to international organizations and fora until and unless they 
     have complied with their obligations under the Peace 
     Agreement and United Nations Security Council Resolutions to 
     cooperate fully with the International Criminal Tribunal.

          TITLE VI--NATO ENLARGEMENT FACILITATION ACT OF 1996

     SEC. 601. SHORT TITLE.

       This title may be cited as the ``NATO Enlargement 
     Facilitation Act of 1996''.

     SEC. 602. FINDINGS.

       The Congress makes the following findings:
       (1) Since 1949, the North Atlantic Treaty Organization 
     (NATO) has played an essential role in guaranteeing the 
     security, freedom, and prosperity of the United States and 
     its partners in the Alliance.
       (2) The NATO Alliance is, and has been since its inception, 
     purely defensive in character, and it poses no threat to any 
     nation. The enlargement of the NATO Alliance to include as 
     full and equal members emerging democracies in Central and 
     Eastern Europe will serve to reinforce stability and security 
     in Europe by fostering their integration into the structures 
     which have created and sustained peace in Europe since 1945. 
     Their admission into NATO will not threaten any nation. 
     America's security, freedom, and prosperity remain linked to 
     the security of the countries of Europe.
       (3) The sustained commitment of the member countries of 
     NATO to a mutual defense has made possible the democratic 
     transformation of Central and Eastern Europe. Members of the 
     Alliance can and should play a critical role in addressing 
     the security challenges of the post-Cold War era and in 
     creating the stable environment needed for those emerging 
     democracies in Central and Eastern Europe to successfully 
     complete political and economic transformation.
       (4) The United States continues to regard the political 
     independence and territorial integrity of all emerging 
     democracies in Central and Eastern Europe as vital to 
     European peace and security.
       (5) The active involvement by the countries of Central and 
     Eastern Europe has made the Partnership for Peace program an 
     important forum to foster cooperation between NATO and those 
     countries seeking NATO membership.
       (6) NATO has enlarged its membership on 3 different 
     occasions since 1949.
       (7) Congress supports the admission of qualified new 
     members to NATO and the European Union at an early date and 
     has sought to facilitate the admission of qualified new 
     members into NATO.
       (8) As new members of NATO assume the responsibilities of 
     Alliance membership, the costs of maintaining stability in 
     Europe should be shared more widely. Facilitation of the 
     enlargement process will require current members of NATO, and 
     the United States in particular, to demonstrate the political 
     will needed to build on successful ongoing programs such as 
     the Warsaw Initiative and the Partnership for Peace by making 
     available the resources necessary to supplement efforts 
     prospective new members are themselves undertaking.
       (9) New members will be full members of the Alliance, 
     enjoying all rights and assuming all the obligations under 
     the Washington Treaty.
       (10) Cooperative regional peacekeeping initiatives 
     involving emerging democracies in Central and Eastern Europe 
     that have expressed interest in joining NATO, such as the 
     Baltic Peacekeeping Battalion, the Polish-Lithuanian Joint 
     Peacekeeping Force, and the Polish-Ukrainian Peacekeeping 
     Force, can make an important contribution to European peace 
     and security and international peacekeeping efforts, can 
     assist those countries preparing to assume the 
     responsibilities of possible NATO membership, and accordingly 
     should receive appropriate support from the United States.
       (11) NATO remains the only multilateral security 
     organization capable of conducting effective military 
     operations and preserving security and stability of the Euro-
     Atlantic region.
       (12) NATO is an important diplomatic forum and has played a 
     positive role in defusing tensions between members of the 
     Alliance and, as a result, no military action has occurred 
     between two Alliance member states since the inception of 
     NATO in 1949.
       (13) The admission to NATO of emerging democracies in 
     Central and Eastern Europe which are found to be in a 
     position to further the principles of the North Atlantic 
     Treaty would contribute to international peace and enhance 
     the security of the region. Countries which have become 
     democracies and established market economies, which practice 
     good neighborly relations, and which have established 
     effective democratic civilian control over their defense 
     establishments and attained a degree of interoperability with 
     NATO, should be evaluated for their potential to further the 
     principles of the North Atlantic Treaty.
       (14) A number of Central and Eastern European countries 
     have expressed interest in NATO membership, and have taken 
     concrete steps to demonstrate this commitment, including 
     their participation in Partnership for Peace activities.
       (15) The Caucasus region remains important geographically 
     and politically to the future security of Central Europe. As 
     NATO proceeds with the process of enlargement, the United 
     States and NATO should continue to examine means to 
     strengthen the sovereignty and enhance the security of United 
     Nations recognized countries in that region.
       (16) In recognition that not all countries which have 
     requested membership in NATO will necessarily qualify at the 
     same pace, the accession date for each new member will vary.
       (17) The provision of additional NATO transition assistance 
     should include those emerging democracies most ready for 
     closer ties with NATO and should be designed to assist other 
     countries meeting specified criteria of eligibility to move 
     forward toward eventual NATO membership.
       (18) The Congress of the United States finds in particular 
     that Poland, Hungary, the Czech Republic, and Slovenia have 
     made significant progress toward achieving the stated 
     criteria and should be eligible for the additional assistance 
     described in this Act.
       (19) The evaluation of future membership in NATO for 
     emerging democracies in Central and Eastern Europe should be 
     based on the progress of those nations in meeting criteria 
     for NATO membership, which require enhancement of NATO's 
     security and the approval of all NATO members.
       (20) The process of NATO enlargement entails the agreement 
     of the governments of all NATO members in accordance with 
     Article 10 of the Washington Treaty.
       (21) Some NATO members, such as Spain and Norway, do not 
     allow the deployment of nuclear weapons on their territory 
     although they are accorded the full collective security 
     guarantees provided by article V of the Washington treaty. 
     There is no prior requirement for the stationing of nuclear 
     weapons on the territory of new NATO members, particularly in 
     the current security climate, however NATO retains the right 
     to alter its security posture at any time as circumstances 
     warrant.

[[Page S8963]]

     SEC. 603. UNITED STATES POLICY.

       It is the policy of the United States--
       (1) to join with the NATO allies of the United States to 
     adapt the role of the NATO Alliance in the post-Cold War 
     world;
       (2) to actively assist the emerging democracies in Central 
     and Eastern Europe in their transition so that such countries 
     may eventually qualify for NATO membership; and
       (3) to work to define a constructive and cooperative 
     political and security relationship between an enlarged NATO 
     and the Russian Federation.

     SEC. 604. SENSE OF THE CONGRESS REGARDING FURTHER ENLARGEMENT 
                   OF NATO.

       It is the sense of the Congress that in order to promote 
     economic stability and security in Slovakia, Estonia, Latvia, 
     Lithuania, Romania, Bulgaria, Albania, Moldova, and Ukraine--
       (1) the United States should continue and expand its 
     support for the full and active participation of these 
     countries in activities appropriate for qualifying for NATO 
     membership;
       (2) the United States Government should use all diplomatic 
     means available to press the European Union to admit as soon 
     as possible any country which qualifies for membership;
       (3) the United States Government and the North Atlantic 
     Treaty Organization should continue and expand their support 
     for military exercises and peacekeeping initiatives between 
     and among these nations, nations of the North Atlantic Treaty 
     Organization, and Russia; and
       (4) the process of enlarging NATO to include emerging 
     democracies in Central and Eastern Europe should not be 
     limited to consideration of admitting Poland, Hungary, the 
     Czech Republic, and Slovenia as full members to the NATO 
     Alliance.

     SEC. 605. SENSE OF THE CONGRESS REGARDING ESTONIA, LATVIA, 
                   AND LITHUANIA.

       In view of the forcible incorporation of Estonia, Latvia, 
     Lithuania into the Soviet Union in 1940 under the Molotov-
     Ribbentrop Pact and the refusal of the United States and 
     other countries to recognize that incorporation for over 50 
     years, it is the sense of the Congress that--
       (1) Estonia, Latvia, and Lithuania have valid historical 
     security concerns that must be taken into account by the 
     United States; and
       (2) Estonia, Latvia, and Lithuania should not be 
     disadvantaged in seeking to join NATO by virtue of their 
     forcible incorporation into the Soviet Union.

     SEC. 606. DESIGNATION OF COUNTRIES ELIGIBLE FOR NATO 
                   ENLARGEMENT ASSISTANCE.

       (a) In General.--The following countries are designated as 
     eligible to receive assistance under the program established 
     under section 203(a) of the NATO Participation Act of 1994 
     and shall be deemed to have been so designated pursuant to 
     section 203(d) of such Act: Poland, Hungary, the Czech 
     Republic, and Slovenia.
       (b) Designation of Other Countries.--The President shall 
     designate other emerging democracies in Central and Eastern 
     Europe as eligible to receive assistance under the program 
     established under section 203(a) of such Act if such 
     countries--
       (1) have expressed a clear desire to join NATO;
       (2) have begun an individualized dialogue with NATO in 
     preparation for accession;
       (3) are strategically significant to an effective NATO 
     defense; and
       (4) meet the other criteria outlined in section 203(d) of 
     the NATO Participation Act of 1994 (title II of Public Law 
     103-447; 22 U.S.C. 1928 note).
       (c) Rule of Construction.--Subsection (a) does not preclude 
     the designation by the President of Estonia, Latvia, 
     Lithuania, Romania, Slovakia, Bulgaria, Albania, Moldova, 
     Ukraine, or any other emerging democracy in Central and 
     Eastern Europe pursuant to section 203(d) of the NATO 
     Participation Act of 1994 as eligible to receive assistance 
     under the program established under section 203(a) of such 
     Act.

     SEC. 607. AUTHORIZATION OF APPROPRIATIONS FOR NATO 
                   ENLARGEMENT ASSISTANCE.

       (a) In General.--There are authorized to be appropriated 
     $60,000,000 for fiscal year 1997 for the program established 
     under section 203(a) of the NATO Participation Act of 1994.
       (b) Availability.--Of the funds authorized to be 
     appropriated by subsection (a)--
       (1) not less than $20,000,000 shall be available for the 
     subsidy cost, as defined in section 502(5) of the Credit 
     Reform Act of 1990, of direct loans pursuant to the authority 
     of section 203(c)(4) of the NATO Participation Act of 1994 
     (relating to the ``Foreign Military Financing Program'');
       (2) not less than $30,000,000 shall be available for 
     assistance on a grant basis pursuant to the authority of 
     section 203(c)(4) of the NATO Participation Act of 1994 
     (relating to the ``Foreign Military Financing Program''); and
       (3) not more than $10,000,000 shall be available for 
     assistance pursuant to the authority of section 203(c)(3) of 
     the NATO Participation Act of 1994 (relating to international 
     military education and training).
       (c) Rule of Construction.--Amounts authorized to be 
     appropriated under this section are authorized to be 
     appropriated in addition to such amounts as otherwise may be 
     available for such purposes.

     SEC. 608. REGIONAL AIRSPACE INITIATIVE AND PARTNERSHIP FOR 
                   PEACE INFORMATION MANAGEMENT SYSTEM.

       (a) In General.--Funds described in subsection (b) are 
     authorized to be made available to support the implementation 
     of the Regional Airspace Initiative and the Partnership for 
     Peace Information Management System, including--
       (1) the procurement of items in support of these programs; 
     and
       (2) the transfer of such items to countries participating 
     in these programs, which may include Poland, Hungary, the 
     Czech Republic, Slovenia, Slovakia, Estonia, Latvia, 
     Lithuania, Romania, Bulgaria, Moldova, Ukraine, and Albania.
       (b) Funds Described.--Funds described in this subsection 
     are funds that are available--
       (1) during any fiscal year under the NATO Participation Act 
     of 1994 with respect to countries eligible for assistance 
     under that Act; or
       (2) during fiscal year 1997 under any Act to carry out the 
     Warsaw Initiative.

     SEC. 609. EXCESS DEFENSE ARTICLES.

       (a) Priority Delivery.--Notwithstanding any other provision 
     of law, the provision and delivery of excess defense articles 
     under the authority of section 203(c) (1) and (2) of the NATO 
     Participation Act of 1994 and section 516 of the Foreign 
     Assistance Act of 1961 shall be given priority to the maximum 
     extent feasible over the provision and delivery of such 
     excess defense articles to all other countries except those 
     countries referred to in section 541 of the Foreign 
     Operations, Export Financing, and Related Programs 
     Appropriations Act, 1995 (Public Law 103-306; 108 Stat. 
     1640).
       (b) Cooperative Regional Peacekeeping Initiatives.--The 
     Congress encourages the President to provide excess defense 
     articles and other appropriate assistance to cooperative 
     regional peacekeeping initiatives involving emerging 
     democracies in Central and Eastern Europe that have expressed 
     an interest in joining NATO in order to enhance their ability 
     to contribute to European peace and security and 
     international peacekeeping efforts.

     SEC. 610. MODERNIZATION OF DEFENSE CAPABILITY.

       The Congress endorses efforts by the United States to 
     modernize the defense capability of Poland, Hungary, the 
     Czech Republic, Slovenia, and any other countries designated 
     by the President pursuant to section 203(d) of the NATO 
     Participation Act of 1994, by exploring with such countries 
     options for the sale or lease to such countries of weapons 
     systems compatible with those used by NATO members, including 
     air defense systems, advanced fighter aircraft, and 
     telecommunications infrastructure.

     SEC. 611. TERMINATION OF ELIGIBILITY.

       Section 203(f) of the NATO Participation Act of 1994 (title 
     II of Public Law 103-447; 22 U.S.C. 1928 note) is amended to 
     read as follows:
       ``(f) Termination of Eligibility.--(1) The eligibility of a 
     country designated under subsection (d) for the program 
     established in subsection (a) shall terminate 30 days after 
     the President makes a certification under paragraph (2) 
     unless, within the 30-day period, the Congress enacts a joint 
     resolution disapproving the termination of eligibility.
       ``(2) Whenever the President determines that the government 
     of a country designated under subsection (d)--
       ``(A) no longer meets the criteria set forth in subsection 
     (d)(2)(A);
       ``(B) is hostile to the NATO Alliance; or
       ``(C) poses a national security threat to the United 
     States,

     then the President shall so certify to the appropriate 
     congressional committees.
       ``(3) Nothing in this title affects the eligibility of 
     countries to participate under other provisions of law in 
     programs described in this Act.''.

     SEC. 612. AMENDMENTS TO THE NATO PARTICIPATION ACT.

       (a) Conforming Amendment.--The NATO Participation Act of 
     1994 (title II of Public Law 103-447; 22 U.S.C. 1928 note) is 
     amended in sections 203(a), 203(d)(1), and 203(d)(2) by 
     striking ``countries emerging from communist domination'' 
     each place it appears and inserting ``emerging democracies in 
     Central and Eastern Europe''.
       (b) Definitions.--The NATO Participation Act of 1994 (title 
     II of Public Law 103-446; 22 U.S.C. 1928 note) is amended by 
     adding at the end the following new section:

     ``SEC. 206. DEFINITIONS.

       ``The term `emerging democracies in Central and Eastern 
     Europe' includes, but is not limited to, Albania, Bulgaria, 
     the Czech Republic, Estonia, Hungary, Latvia, Lithuania, 
     Moldova, Poland, Romania, Slovakia, Slovenia, and Ukraine.''.

     SEC. 613. DEFINITIONS.

       As used in this title:
       (1) Emerging democracies in central and eastern europe.--
     The term ``emerging democracies in Central and Eastern 
     Europe'' includes, but is not limited to, Albania, Bulgaria, 
     the Czech Republic, Estonia, Hungary, Latvia, Lithuania, 
     Moldova, Poland, Romania, Slovakia, Slovenia, and Ukraine.
       (2) NATO.--The term ``NATO'' means the North Atlantic 
     Treaty Organization.

                TITLE VII--MIDDLE EAST DEVELOPMENT BANK

     SEC. 701. SHORT TITLE.

       This title may be cited as the ``Bank for Economic 
     Cooperation and Development in the Middle East and North 
     Africa Act''.

     SEC. 702. ACCEPTANCE OF MEMBERSHIP.

       The President is hereby authorized to accept membership for 
     the United States in the Bank for Economic Cooperation and 
     Development in the Middle East and North Africa (in this 
     title referred to as the ``Bank'') provided for by the 
     agreement establishing the Bank (in this title referred to as 
     the ``Agreement''), signed on May 31, 1996.

     SEC. 703. GOVERNOR AND ALTERNATE GOVERNOR.

       (a) Appointment.--At the inaugural meeting of the Board of 
     Governors of the Bank, the Governor and the alternate for the 
     Governor of the International Bank for Reconstruction and 
     Development, appointed pursuant to section 3 of the Bretton 
     Woods Agreements Act, shall serve ex-officio as a Governor 
     and the alternate for

[[Page S8964]]

     the Governor, respectively, of the Bank. The President, by 
     and with the advice and consent of the Senate, shall appoint 
     a Governor of the Bank and an alternate for the Governor.
       (b) Compensation.--Any person who serves as a governor of 
     the Bank or as an alternate for the Governor may not receive 
     any salary or other compensation from the United States by 
     reason of such service.

     SEC. 704. APPLICABILITY OF CERTAIN PROVISIONS OF THE BRETTON 
                   WOODS AGREEMENTS ACT.

       Section 4 of the Bretton Woods Agreements Act shall apply 
     to the Bank in the same manner in which such section applies 
     to the International Bank for Reconstruction and Development 
     and the International Monetary Fund.

     SEC. 705. FEDERAL RESERVE BANKS AS DEPOSITORIES.

       Any Federal Reserve Bank which is requested to do so by the 
     Bank may act as its depository, or as its fiscal agent, and 
     the Board of Governors of the Federal Reserve System shall 
     exercise general supervision over the carrying out of these 
     functions.

     SEC. 706. SUBSCRIPTION OF STOCK.

       (a) Subscription Authority.--
       (1) In general.--The Secretary of the Treasury may 
     subscribe on behalf of the United States to not more than 
     7,011,270 shares of the capital stock of the Bank.
       (2) Effectiveness of subscription commitment.--Any 
     commitment to make such subscription shall be effective only 
     to such extent or in such amounts as are provided for in 
     advance by appropriations Acts.
       (b) Limitations on Authorization of Appropriations.--For 
     payment by the Secretary of the Treasury of the subscription 
     of the United States for shares described in subsection (a), 
     there are authorized to be appropriated $1,050,007,800 
     without fiscal year limitation.
       (c) Limitations on Obligation of Appropriated Amounts for 
     Shares of Capital Stock.--
       (1) Paid-in capital stock.--
       (A) In general.--Not more than $105,000,000 of the amounts 
     appropriated pursuant to subsection (b) may be obligated for 
     subscription to shares of paid-in capital stock.
       (B) Fiscal year 1997.--Not more than $52,500,000 of the 
     amounts appropriated pursuant to subsection (b) for fiscal 
     year 1997 may be obligated for subscription to shares of 
     paid-in capital stock.
       (2) Callable capital stock.--Not more than $787,505,852 of 
     the amounts appropriated pursuant to subsection (b) may be 
     obligated for subscription to shares of callable capital 
     stock.
       (d) Disposition of Net Income Distributions by the Bank.--
     Any payment made to the United States by the Bank as a 
     distribution of net income shall be covered into the Treasury 
     as a miscellaneous receipt.

     SEC. 707. JURISDICTION AND VENUE OF CIVIL ACTIONS BY OR 
                   AGAINST THE BANK.

       (a) Jurisdiction.--The United States district courts shall 
     have original and exclusive jurisdiction of any civil action 
     brought in the United States by or against the Bank.
       (b) Venue.--For purposes of section 1391(b) of title 28, 
     United States Code, the Bank shall be deemed to be a resident 
     of the judicial district in which the principal office of the 
     Bank in the United States, or its agent appointed for the 
     purpose of accepting service or notice of service, is 
     located.

     SEC. 708. EFFECTIVENESS OF AGREEMENT.

       The Agreement shall have full force and effect in the 
     United States, its territories and possessions, and the 
     Commonwealth of Puerto Rico, upon acceptance of membership by 
     the United States in the Bank and the entry into force of the 
     Agreement.

     SEC. 709. EXEMPTION FROM SECURITIES LAWS FOR CERTAIN 
                   SECURITIES ISSUED BY THE BANK; REPORTS 
                   REQUIRED.

       (a) Exemption from Securities Laws; Reports to Securities 
     and Exchange Commission.--Any securities issued by the Bank 
     (including any guaranty by the Bank, whether or not limited 
     in scope) in connection with borrowing of funds, or the 
     guarantee of securities as to both principal and interest, 
     shall be deemed to be exempted securities within the meaning 
     of section 3(a)(2) of the Securities Act of 1933 and section 
     3(a)(12) of the Securities Exchange Act of 1934. The Bank 
     shall file with the Securities and Exchange Commission such 
     annual and other reports with regard to such securities as 
     the Commission shall determine to be appropriate in view of 
     the special character of the Bank and its operations and 
     necessary in the public interest or for the protection of 
     investors.
       (b) Authority of Securities and Exchange Commission to 
     Suspend Exemption; Reports to the Congress.--The Securities 
     and Exchange Commission, acting in consultation with such 
     agency or officer as the President shall designate, may 
     suspend the provisions of subsection (a) at any time as to 
     any or all securities issued or guaranteed by the Bank during 
     the period of such suspension. The Commission shall include 
     in its annual reports to the Congress such information as it 
     shall deem advisable with regard to the operations and effect 
     of this section.

     SEC. 710. TECHNICAL AMENDMENTS.

       (a) Annual Report Required on Participation of the United 
     States in the Bank.--Section 1701 (c)(2) of the International 
     Financial Institutions Act (22 U.S.C. 262r(c)(2)) is amended 
     by inserting ``Bank for Economic Cooperation and Development 
     in the Middle East and North Africa,'' after ``Inter-American 
     Development Bank''.
       (b) Exemption From Limitations and Restrictions on Power of 
     National, Banking Associations To Deal in and Underwrite 
     Investment Securities of the Bank.--The seventh sentence of 
     paragraph 7 of section 5136 of the Revised Statutes of the 
     United States (12 U.S.C. 24) is amended by inserting ``Bank 
     for Economic Cooperation and Development in the Middle East 
     and North Africa,'' after ``the Inter-American Development 
     Bank''.
       (c) Benefits for United States Citizen-Representatives to 
     the Bank.--Section 51 of Public Law 91-599 (22 U.S.C. 276c-2) 
     is amended by inserting ``the Bank for Economic Cooperation 
     and Development in the Middle East and North Africa,'' after 
     ``the Inter-American Development Bank,''.
       This Act may be cited as the ``Foreign Operations, Export 
     Financing, and Related Programs Appropriations Act, 1997''.
  Mr. McCONNELL. Mr. President, I move to reconsider the vote by which 
the bill, as amended, was passed.
  Mr. INOUYE. I move to lay that motion on the table.
  The motion to lay on the table was agreed to.
  Mr. McCONNELL. Mr. President, I move that the Senate insist on its 
amendment, request a conference with the House on the disagreeing 
votes, and the Chair be authorized to appoint conferees on the part of 
the Senate.
  The motion was agreed to, and the Presiding Officer (Mr. Coverdell) 
appointed Mr. McConnell, Mr. Specter, Mr. Mack, Mr. Jeffords, Mr. 
Gregg, Mr. Shelby, Mr. Bennett, Mr. Hatfield, Mr. Leahy, Mr. Inouye, 
Mr. Lautenberg, Mr. Harkin, Ms. Mikulski, Mrs. Murray, and Mr. Byrd 
conferees on the part of the Senate.
  Mr. McCONNELL. Mr. President, let me take a couple of minutes. I will 
take my 2 minutes now.
  Mr. President, I think the bill we just passed by an overwhelming 
vote serves U.S. vital interests. The Camp David Accord commitments are 
in the bill. There is full funding for the NIS. The New Independent 
States of the former Soviet Union are earmarked for Ukraine, Armenia, 
and Georgia, and there is a significant commitment to nuclear safety 
improvements in Ukraine. As a result of the amendment of the occupant 
of the Chair, there is full funding for our narcotics effort. NATO 
expansion--we are taking further steps down the road to NATO expansion 
not only with the provisions in the underlying bill but also with the 
amendment of Senator Brown last night which designated Poland, Hungary, 
and the Czech Republic eligible for $50 million, the transition fund 
which is part of the underlying original bill. So I think it is an 
important step in the right direction.
  I thank in particular my long-time assistant Robin Cleveland for her 
outstanding work on this piece of legislation, and Jim Bond from the 
Appropriations Committee who always does an excellent job, and also Tim 
Rieser of the minority staff, who we always enjoy working with, and 
certainly my friend and colleague Pat Leahy who it is a pleasure to 
work with. I have enjoyed our association on this kind of legislation 
over the last few years, and I look forward to working with him in the 
future on it.
  Mr. President, I yield the floor.
  Mr. LEAHY addressed the Chair.
  The PRESIDING OFFICER. The Chair recognizes the Senator from Vermont.
  Mr. LEAHY. Mr. President, I congratulate the distinguished chairman 
in getting the foreign operations bill through in record-setting time. 
For the last few years, even though we have had to work without an 
authorizing bill, we have moved this bill through each year in record 
time. I appreciate the fact that he has had a strong commitment to our 
responsibilities worldwide.
  I worry that at a time--as I said earlier, when it is so easy to get 
the quick applause lines back home for Members of Congress--when they 
say, ``Well, by gosh. I will never send money to foreign countries,'' 
or, ``We are only going to spend it here at home,'' that really what 
they are saying is that we are not going to develop our export markets 
worldwide; we are not going to help establish democracy so we do not 
have to send our men and women into harm's way to protect American 
interests when democracy fails; and that we as the most wealthy nation 
history has never known we are not going to carry out our moral 
responsibility to help those who are less fortunate.
  I think next year the President, whoever that may be, and the leaders 
of this committee and the House committee, the leaders of the Senate 
and the House, whoever they may be, ought to sit down and honestly face 
the whole question of what our foreign assistance programs should 
consist of as we enter the next century.

[[Page S8965]]

  Senator McConnell has taken a very progressive attitude as he always 
has on this. Many others want to make it a political kickball. I hope 
after the elections that enough people in both parties would sit down 
to form a bipartisan consensus, which is always the best way to develop 
foreign policy, and determine how we should spend our money.
  It should not escape the notice of Members that over a dozen 
countries spend a larger percentage of their budget on foreign aid and 
foreign policy than we do. Many of these countries face difficult 
budgetary problems as we do. Some actually spend more dollars; Japan, 
for example. Some of these countries do it out of altruism but most do 
not. Most of them do it out of hard-eyed realism. They know that the 
money they spend is helping to create jobs and, frankly, Mr. President, 
I would expect that there are those in a country like Japan which 
relies heavily on exports who are delighted to see the United States 
withdrawing from the world stage because they know what is going to 
happen. But the reality is that it is in everyone's interest, both ours 
and our allies, for the United States, the world's oldest democracy, 
the world's strongest military power, and the world's largest economy, 
to remain actively engaged.
  It is the American workers who will be laid off because exports 
decline. It will be Americans who will be a greater burden on their 
Government because the jobs leave our shores. Our competitors will 
increase their foreign markets because they have taken an interest in 
foreign aid and they have created jobs in the developing countries--in 
Asia, Latin America, and we are seeing the beginnings of a potentially 
huge market in Africa. Our markets in Europe and the First World are 
very saturated. If we are going to expand out exports, it is going to 
be in the Third World, where 95 percent of new births are occurring.
  So that is the nonaltruistic argument. If we want to look at just 
dollars and cents, I hope that those who go home and make the great 
speeches and get the applause for cutting foreign aid will also at the 
same time say, oh, and by the way, that plant that once exported 
tractors that just closed and those 500 workers who are without jobs, I 
helped that, too. I helped close that plant. I helped shut off our 
access to markets worldwide, because that is really what they do.
  Then ultimately we should ask ourselves the moral question. We in 
this country spend a few pennies per capita in some of the poorest 
parts of the world such as sub-Saharan Africa, a few pennies per capita 
even though we are the wealthiest nation on Earth. We are less than 5 
percent of the world's population, but we use a quarter of the world's 
resources. We have a moral responsibility. In this bill, when we cut 
everything from UNICEF to assistance for refugees, we should ask 
ourselves: what do we stand for? Are we really living up to our 
responsibility to help ease the suffering of the billion or more people 
who go hungry every day?
  As appropriators we have done the very best we could with the 
resources and the allocation we had. We have really tried to be 
responsible in all of these areas. But sooner or later, we are going to 
have to sit down and ask, can we year after year continue to cut these 
programs? Not if we expect to preserve or influence in the world as a 
protector of democracy and human rights, not if we expect to see our 
economy grow, not if we expect to alleviate some of the misery in the 
world.
  With that, Mr. President, I will yield, but I do thank not only my 
distinguished colleague from Kentucky but also Robin Cleveland, who he 
mentioned and whose willingness to work in a bipartisan way with my 
staff was very appreciated, and Jim Bond, the clerk of the Foreign 
Operations Subcommittee, who I have worked with now for 22 years in the 
Senate and for whom I have great respect and appreciation. I also want 
to mention Juanita Rilling of the Committee staff, who has been an 
especially strong voice for protecting programs that benefit needy 
women and children; Anne Bordonaro, a Vermont intern from South 
Burlington who has been assisting the Foreign Operations Subcommittee 
this summer, and Emelie East, who is a member of the Appropriations 
Committee staff and manages the affairs of four different 
subcommittees; and the man who does the work of 20, Tim Rieser, who has 
worked on everything from the landmine ban to trying to make sure that 
we are responsible in what we do. Tim, who does the work on our side of 
the authorizing and appropriating committees, and does it on 20-hour 
days, deserves credit and our thanks. He is typical of many on our 
Senate staffs on both sides who are the unsung heroes who make this 
place work. I also want to thank several other staff members on our 
side who helped along the way, including Dick D'Amato of the 
Appropriations Committee staff whose expertise in trade issues was very 
helpful, and who worked hard to ensure that humanitarian assistance can 
get to needly people in Azerbaijan. Diana Olbaum of the Foreign 
Relations Committee staff was as always a great help, as was Janice 
O'Connell, and Sheila Murphy of the majority leader's office.
  I see the distinguished majority leader on the floor, and I yield the 
floor.
  The PRESIDING OFFICER. The Chair recognizes the majority leader.
  Mr. LOTT. Mr. President, I extend my appreciation to the 
distinguished Senator from Kentucky [Mr. McConnell], for the 
outstanding work he did in managing this bill, and also to the Senator 
from Vermont, who is always ready to go to work and do the job. They 
indicated they could do it in a reasonable period of time, and while I 
like for the subcommittee chairmen to get their bills through in 3 
hours or less on the appropriations committees, I think they did an 
excellent job. They did take 16 hours and 15 minutes, which is pretty 
good considering the long history on foreign operations appropriations 
bills. There were 11 rollcall votes.
  So the Senate is certainly working and producing results, and I thank 
these two Senators and all Senators for their cooperation and their 
work in completing the foreign operations appropriations bill.
  I might say the Senate now, I believe, has completed action on five 
appropriations bills. We are ready to begin on the sixth one. I see the 
Senator from New Mexico is ready to go. I understand that the order of 
last night provided that the Senate is now to begin consideration of 
the energy and water appropriations bill. The managers have indicated 
that they would anticipate amendments to be offered to that bill today. 
Therefore, I will announce that additional rollcall votes can be 
expected today unless an agreement can be reached to limit the 
amendments to the energy and water appropriations bill.
  Also, it is my intent and hope that a similar agreement can be 
reached with respect to the legislative appropriations bill for Monday, 
thereby allowing all votes to be set at 10 a.m. on Tuesday. So all 
Senators are urged to cooperate in formulating that agreement. If we 
can do that, we could work today on energy and water, Monday on the 
legislative appropriations bill, and then have them both completed with 
the votes at 10 a.m. on Tuesday.
  I hope all Senators who intend to offer amendments to the energy and 
water appropriations bill will do so as early as possible today so that 
we can complete action, advise the Members what they can expect on the 
bill, and then move on to the remaining appropriations bills.
  Mr. President, I yield the floor to the chairman of the energy and 
water appropriations bill.

                          ____________________