[Congressional Record Volume 143, Number 159 (Wednesday, November 12, 1997)]
[House]
[Pages H10667-H10676]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




 CONFERENCE REPORT ON H.R. 2159, FOREIGN OPERATIONS, EXPORT FINANCING, 
             AND RELATED PROGRAMS APPROPRIATIONS ACT, 1998

  Mr. DIAZ-BALART, from the Committee on Rules, submitted a privileged 
report (Rept. No. 105-402) on the resolution (H. Res. 323) waiving 
points of order against the conference report to accompany the bill 
(H.R. 2159) making appropriations for foreign operations, export 
financing, and related programs for the fiscal year ending September 
30, 1998, and for other purposes, which was referred to the House 
Calendar and ordered to be printed.
  Mr. DIAZ-BALART. Mr. Speaker, by direction of the Committee on Rules, 
I call up H.R. 323 and ask for its immediate consideration.
  The Clerk read the resolution, as follows:

                              H. Res. 323

       Resolved, That upon adoption of this resolution it shall be 
     in order to consider the conference report to accompany the 
     bill (H.R. 2159) making appropriations for foreign 
     operations, export financing, and related programs for the 
     fiscal year ending September 30, 1998, and for other 
     purposes. All points of order against the conference report 
     and against its consideration are waived. The conference 
     report shall be considered as read.

                              {time}  2215

  The SPEAKER pro tempore (Mr. Calvert). The gentleman from Florida 
[Mr. Diaz-Balart] is recognized for 1 hour.
  Mr. DIAZ-BALART. Mr. Speaker, for the purpose of debate only, I yield 
the customary 30 minutes to the gentleman from Ohio [Mr. Hall], pending 
which I yield myself such time as I may consume. During consideration 
of this resolution, all time yielded is for the purpose of debate only.
  Mr. Speaker, House Resolution 323 is a standard rule for a conference 
report. It waives points of order against the conference report to 
accompany H.R. 2159, the foreign operations, commonly known as foreign 
aid, appropriations bill for fiscal year 1998 and against its 
consideration. In addition, the rule provides that the conference 
report shall be considered as read.
  Mr. Speaker, many of our colleagues may remember this bill from July 
when it was considered on the House floor. We made every effort to 
allow for the consideration by the entire House of almost every 
amendment submitted to the Committee on Rules. I believe that we have a 
balanced product in this conference report, and I will defer to the 
gentleman from Alabama [Mr. Callahan], the chairman of the Subcommittee 
on Foreign Operations, Export Financing and Related Programs, to answer 
questions about the details of the conference report we have before us 
and the compromises that have been reached to complete the conference 
report.
  Some matters have been dropped from this legislation, Mr. Speaker, 
that I believe strongly should not have been dropped, but this is a 
must-pass bill that I believe we need to pass tonight, and I think it 
is a good piece of legislation on this critical area that we bring 
before the House. I thank the gentleman from Alabama [Mr. Callahan], 
the chairman, and the gentlewoman from California [Ms. Pelosi], the 
ranking member, for their hard work on this important bill. I urge 
adoption of the rule and the conference report.
  Mr. Speaker, I reserve the balance of my time.
  Mr. HALL of Ohio. Mr. Speaker, I want to thank the gentleman from 
Florida [Mr. Diaz-Balart] for yielding me the time, and I yield myself 
such time as I may consume.
  Mr. Speaker, H. Res. 323 is obviously a rule that provides for 
consideration of the conference report on H.R. 2159, which is the bill 
that makes appropriations for foreign operations, export financing, and 
related programs in the fiscal year 1998. As the gentleman from Florida 
described, this rule waives all points of order. It provides 1 hour of 
general debate equally divided and controlled by the chairman and 
ranking minority member of the Committee on Appropriations.

[[Page H10668]]

  I want to thank the gentleman from Alabama [Mr. Callahan] and the 
gentlewoman from California [Ms. Pelosi] for crafting this bipartisan 
legislation. In particular I thank both of them for supporting foreign 
assistance programs that benefit needy children.
  The conference agreement appropriates about $13 billion for foreign 
operations in 1998. It is an increase of about $1 billion more than 
last year but less than the President's request. It also includes 
legislative provisions, including language which gives the President 
flexibility to negotiate in the Middle East.
  Though I am pleased that the conference agreement is slightly more 
than the House level, I fear that it is inadequate to meet the global 
challenges facing the United States in its role as the sole superpower. 
Money spent wisely on foreign assistance is an investment in world 
security that directly benefits the United States and its citizens. 
Promoting world stability through foreign aid will help keep us out of 
more costly wars.
  I am particularly pleased that the bill includes $650 million for 
child survival and disease programs. These programs are really cost-
effective, and they save the lives of children in the poorest countries 
of the world. This represents an increase of $50 million for prevention 
of diseases such as tuberculosis, AIDS and malaria. The bill provides 
$100 million for UNICEF, which is an outstanding program with a proven 
track record of helping the world's needy children.
  The bill fully funds the Peace Corps at a level of $225 million, 
which is an increase of $14 million over last year's level. This is our 
country's people-to-people diplomatic corps that promotes American 
goodwill and gives Americans the opportunity to learn firsthand about 
other cultures while helping others. The bill also appropriates $190 
million for international disaster assistance, another high priority 
account, especially when we have 25 to 26 major humanitarian crises 
today in the world.
  Mr. Speaker, we are a great and we are a wealthy Nation. We can do 
better than the funding levels in this bill. However, I recognize the 
fiscal constraints which Congress has imposed upon itself. Therefore, I 
support this rule.
  Mr. Speaker, I yield back the balance of my time.
  Mr. DIAZ-BALART. Mr. Speaker, I support this rule, and I urge my 
colleagues to support it.
  Mr. Speaker, I yield back the balance of my time, and I move the 
previous question on the resolution.
  The previous question was ordered.
  The resolution was agreed to.
  A motion to reconsider was laid on the table.
  Mr. CALLAHAN. Mr. Speaker, pursuant to the rule just adopted, I call 
up the conference report on the bill (H.R. 2159) making appropriations 
for foreign operations, export financing, and related programs for the 
fiscal year ending September 30, 1998, and for other purposes.
  The Clerk read the title of the bill.
  The SPEAKER pro tempore [Mr. LaHood]. Pursuant to House Resolution 
323, the conference report is considered as having been read.
  (For conference report and statement, see prior proceedings of the 
House of today.)
  The SPEAKER pro tempore. The gentleman from Alabama [Mr. Callahan] 
and the gentlewoman from California [Ms. Pelosi] each will control 30 
minutes.
  The Chair recognizes the gentleman from Alabama [Mr. Callahan].


                             General Leave

  Mr. CALLAHAN. Mr. Speaker, I ask unanimous consent that all Members 
may have 5 legislative days within which to revise and extend their 
remarks on the conference report to accompany H.R. 2159, and that I may 
include tabular and extraneous material.
  The SPEAKER pro tempore. Is there objection to the request of the 
gentleman from Alabama?
  There was no objection.
  Mr. CALLAHAN. Mr. Speaker, I yield myself such time as I may consume. 
We are going to be very brief, I think, at least on this side, and in 
talking with the other side, they too have indicated that we have 
already basically debated this bill. But we are considering H.R. 2159, 
the appropriation bill for foreign operations in 1998.
  After adjusting for funds that are not scored against the 
subcommittee due to the budget resolution, the total in discretionary 
budget authority is $12.787 billion, which is $13 million below our 
allocation of $12.8 billion.
  With regard to funding for population planning assistance, the House 
and Senate leadership made valiant efforts to reach a compromise with 
the White House on the Mexico City policy language. Since a compromise 
was not forthcoming, at their direction we have frozen funding for 
population programs at $385 million and apportioned funds on a monthly 
basis. That is a cut of $58 million from the President's request and 
$50 million from the Senate level. That means that if the Mexico City 
provisions can be enacted into law later this session or early next 
session, Mexico City policy will apply to most all of the funds made 
available for international family planning.
  The conference agreement also includes a general provision which for 
the first time sets a cap on the amount of money in our bill for the 
Middle East. Last year the Middle East consumed $5.4 billion, or 44 
percent of our bill. The new provision in our bill sets a limit of $5.4 
billion on funds for the Middle East, thus reducing the Middle East to 
42 percent of this year's total foreign operations bill. Israel is not 
affected. Our bill protects all the funds traditionally provided to 
Israel, as well as ensuring significant amounts of money for Egypt and 
Jordan as well. Otherwise, the President can spend this money any way 
he wants, just as long as he stays under the overall $5.4 billion cap. 
This important provision will help the President and the Congress to 
prudently manage our foreign aid dollars, even as it preserves our 
support for our friends and allies in the Middle East.
  The conference report contains very strong language condemning 
Russia's increased cooperation with Iran in the nuclear and ballistic 
missile areas. Iran remains a terrorist state committed to both 
violence abroad and against its neighbors in the Middle East. Russia's 
irresponsible arms transfer policy to Iran can no longer be ignored, 
particularly press reports that Russia is providing Iran with 
sophisticated ballistic missile technology. When this is combined with 
Iran's already robust nuclear program, this can only be a formula for 
disaster.
  In an effort to encourage peace and renewal in the southern Caucasus, 
we have provided up to $250 million for that troubled region. Of that 
amount, $12.5 million is reserved for the people of Nagorno-Karabakh, 
who have gone without direct American assistance. We have also opened 
the door to more trade and commercial activities, as well as 
prodemocracy activities in Azerbaijan.
  In addition, the Senate agreed to our proposal to add $50 million to 
the Child Survival Fund for infectious disease activities. This no 
doubt is one of the most popular programs that the Congress has enacted 
in this arena in many, many decades. Many Members of our subcommittee 
have supported this initiative, and I want to acknowledge their 
assistance. The gentleman from California [Mr. Packard] has been a 
strong supporter of child survival. In addition, the gentleman from New 
Jersey [Mr. Frelinghuysen] made an important contribution in 
highlighting the importance of international efforts to combat 
tuberculosis. They and many Members from both sides of the aisle have 
written indicating their support for higher funding levels for child 
survival.
  We have also recommended, in report language, the funding for Latin 
America and the Caribbean to be increased by a modest $20 million. I 
strongly support additional assistance for the nations of our 
hemisphere, and fully expect the administration to respect this 
direction.
  We also uphold the House position on the funding for the CAMPFIRE 
program. As in the House bill, no funds may be available for any 
activity in contravention to the Convention on International Trade in 
Endangered Species, but we refused to take the anti-hunting language 
that was in the Senate amendment.
  There are a number of other provisions, Mr. Speaker, in the bill that 
are explained in the Statement of Managers. I only want to add that I 
very

[[Page H10669]]

much appreciate the support and input that was provided by all the 
members of the subcommittee, including the gentlewoman from California 
[Ms. Pelosi], our new ranking minority member. It has been a pleasure 
to deal with her, as well as the gentleman from Wisconsin [Mr. Obey], 
the ranking member of the full committee, on this very controversial 
and very difficult bill this year. I would also like the staff on both 
sides of the aisle to know of my sincere appreciation for all of their 
assistance.
  Mr. Speaker, I include the following tabular material for the Record:

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[[Page H10673]]

  Mr. Speaker, I reserve the balance of my time.
  Ms. PELOSI. Mr. Speaker, I yield myself such time as I may consume.
  Mr. Speaker, I rise in support of the conference report and commend 
the gentleman from Alabama [Mr. Callahan], our distinguished chairman, 
for his leadership in reaching consensus on this bill which has been 
controversial in the past. I commend also the gentleman from Louisiana 
[Mr. Livingston], the chairman of the full committee, and the gentleman 
from Wisconsin [Mr. Obey], the ranking Democrat on the full committee, 
for their leadership in reaching resolution on some of these 
controversial issues.
  As our chairman pointed out, all of the members of the committee, 
Democrat and Republican, fully participated in many of the issues 
before us. I believe that we have a good bill before us, and am pleased 
to point out some of the positive accomplishments in the bill as I join 
the gentleman from Alabama [Mr. Callahan] in commending the staff of 
the subcommittee as well as the personal staffs of Members who worked 
so hard to bring us to this point.
  Some of the positive accomplishments in the bill, Mr. Speaker, 
include retaining of the traditional amount of funding for the Middle 
East, with an additional $225 million in assistance for Jordan and 
appropriate authorities that allow the administration the flexibility 
to negotiate in that region.
  Full funding for the International Development Association, IDA, at 
$1.034 billion which includes payment in full for our arrears package. 
The IDA program is the soft window of the World Bank that provides 
funding for the poorest of the poor countries and projects. I am very, 
very pleased with the dollar amount in the bill. Our chairman is a 
tough fiscal conservative and a strict disciplinarian. He watches every 
dollar spent. I think the priorities established in funding the IDA 
were important, and I commend him for supporting that increase.
  There is $650 million in a separate child survival account which I 
call the Callahan child survival account. It includes an increase of 
$50 million for fighting infectious diseases, including tuberculosis, 
HIV/AIDS and malaria.

                              {time}  2230

  It includes full funding for the refugee assistance, disaster 
assistance, and full funding for the Peace Corps.
  Our chairman has pointed out the creation of a new fund for 
assistance to the countries of the South Caucasus in the New 
Independent States. The fund would provide a total of $250 million, 
with close to $90 million each for Armenia and the country of Georgia. 
Additional assistance is made available for Nagorno-Karabagh, and there 
is additional money left in the fund when the Minsk process, I hope, 
brings peace to the region and is concluded successfully.
  Our chairman has referenced, and I will too, the provisions for 
assistance to Russia expressing our concern about Russia's 
proliferation of missiles to Iran as well as our concern about freedom 
of religion in Russia. In cooperation with Senator Smith in the Senate 
we were able to reach an appropriate compromise on that language.
  We have added funds to the request for the Export-Import Bank and 
fully funded the Overseas Private Investment Corporation, OPIC. As my 
colleagues know, part of our function as the Subcommittee on Foreign 
Operations, Export Financing and Related Programs is to fund exports, 
the insurance and financing of exports, growing our economy by 
increasing our exports abroad. OPIC and Export-Import Bank are created 
for that purpose. We also fund the TDA, the Trade Development Agency, 
administration in this bill. Both of the promotion programs, Export-
Import and OPIC, are therefore robustly funded and fully authorized.
  Total funding in the bill is at $12.8 billion plus $300 million in 
international bank arrears, which is very close to the administration's 
request. Through the Congress working its will through the committee 
process, we were able to grow the funding that started out at a much 
lower figure in this House. I think we are at an appropriate level now.
  As our chairman suggested, there is a compromise on the Mexico City 
language. The international family planning provisions of this 
legislation represent, I think, an appropriate compromise which enables 
us to reduce the number of abortions worldwide by providing the funding 
for international family planning with conditions which I consider 
onerous but acceptable; that is, monthly monitoring; I mean, excuse me, 
monthly metering of the funding. That is, in any given month, no more 
than 8.34 percent of the total amount is able to be obligated; that is, 
one-twelfth of the annual appropriation.
  In addition to that, language requiring the full pursuit of war 
criminals in Bosnia and Croatia as a condition for further assistance 
to those countries was included. I thank our colleagues, the gentleman 
from Maryland [Mr. Cardin] and the gentleman from Maryland [Mr. Hoyer], 
for their leadership on these issues. And again, in addition, 
appropriate restrictions on aid to Cambodia and the Democratic Republic 
of the Congo are included.
  I am concerned, however, Mr. Speaker, that the committee did not 
include funding and authorization for the New Arrangements to Borrow. 
The New Arrangements to Borrow, or NAB, is a set of emergency credit 
lines, a kind of reserve tank for use by the International Monetary 
Fund in the event of serious temporary threats to global financial 
stability.
  The multilateral burden-sharing aspects of this new mechanism are 
impressive. The U.S.'s $3.5 billion would leverage over $20 billion in 
commitments from 24 other countries. The $3.5 billion in budget 
authority for the NAB is not scored as a budget outlay and thus neither 
increases the deficit nor crowds out other Federal programs.
  Recent events in Southeast Asia illustrate the continuing risk to the 
stability of global financial markets and demonstrate the importance of 
the IMF to the American regional and global interest. The Asian crisis 
clearly highlights the need for sufficient emergency resources to 
safeguard stability and protect the financial system and the American 
economy from the damaging ripple effects of widespread shocks.
  The NAB, the New Arrangements to Borrow, in other words known as NAB, 
is a necessary addition to these resources. Simply put, our national 
interests and global leadership insist that we support the 
authorization and the appropriation. However that provision is not in 
the legislation.
  But all in all, I am very, very proud to join with our distinguished 
chairman, the gentleman from Alabama [Mr. Callahan], in supporting this 
legislation and urge its passage and urge an aye vote from our 
colleagues.
  Mr. Speaker, I reserve the balance of my time.
  Mr. CALLAHAN. Mr. Speaker, I yield myself such time as I may consume.
  Mr. Speaker, we just have a couple of speakers who are going to speak 
very briefly. We have already debated the bill. It is essentially the 
same bill that we passed through the House with a few Senate changes.
  Mr. Speaker, I yield such time as he may consume to the gentleman 
from New York [Mr. Gilman], the chairman of the Committee on 
International Relations.
  (Mr. GILMAN asked and was given permission to revise and extend his 
remarks.)
  Mr. GILMAN. Mr. Speaker, I commend the gentleman from Alabama [Mr. 
Callahan], the distinguished chairman of the Subcommittee on Foreign 
Operations, Export Financing and Related Programs of the Committee on 
Appropriations, for bringing this measure to the floor at this time.
  However, Mr. Speaker, it is important during the debate to point out 
what is not being accomplished in this foreign operations 
appropriations conference, and while I will not oppose this measure, I 
did want to bring these factors to the attention of the House.
  Mr. Speaker, last week the House and the Senate leadership made a 
proposal to attach four major portions of the foreign relations 
authorization bill to the foreign operations appropriations conference 
report, and those sections included the basic authorizations for the 
State Department and related accounts, the U.N. reform and arrearage 
package, the European Security Act, and the foreign affairs agencies 
consolidation provisions. Those additions to the appropriations bill 
reflected the work of the authorization conference.

[[Page H10674]]

  Regrettably, our conference was not completed because, like the 
appropriators, we were unable to resolve the Mexico City issue. We have 
now reached a cease-fire on the foreign operations bill as filed by the 
gentleman from Alabama [Mr. Callahan], and in the final bill they 
dropped the Mexico City policy, they dropped the U.N. reform measure, 
they dropped the State authorization bill, they dropped the IMF new 
arrangements to borrow and the European Security Act; all of them 
dropped out of the foreign operations conference report, and that 
action resulted in other losses, including the deadbeat diplomat 
language and the diplomatic immunity measure, key reports on Cuban 
immigration and the Libertad Act, the Speaker's language increasing 
broadcasting to Communist China, and availability pay increases for our 
diplomatic security agents.
  I urged the Committee on Rules and the House leadership to include 
the State Department authorization along with the European Security Act 
in the foreign operations conference report. Regrettably, that request 
was not accommodated, and we come to the end of this session without 
those important noncontroversial provisions taking effect.
  As an authorizing committee chairman, we are frustrated by the 
actions taken that preserve the Committee on Appropriations at the 
price of the authorizing committees. This is also true in the case of 
the upcoming Commerce-Justice-State appropriations bill which is 
expected to carry a full year waiver of the requirement for an 
authorizing bill, a full year waiver for authorizations.

  The CJS authorization waiver is like a noose around the neck of our 
authorizing committee and Senator Helms' committee. As long as a waiver 
provision is in that bill, the administration is going to find excuses, 
any excuse, not to deal with us in a straightforward, forthright 
manner. The administration will always rely on the Committee on 
Appropriations to bail them out.
  To avoid that kind of a problem, I recommend limiting the waiver of 
the authorization requirement to March 1, 1998, to give us the month of 
February to work things out under a hard deadline that both the 
Congress and the administration must meet. If the authorization waiver 
is not limited, I see little chance for our authorization bill to pass 
at a later date. That will jeopardize the elimination of ACDA, the 
consolidation of USIA, U.N. reforms and U.N. arrearages, the European 
Security Act, and dozens of others of foreign policy priorities that 
the Congress is concerned about.
  I thank the gentleman for having yielded this time to me. As I stated 
before, I will support this measure. However, I wanted to call these 
problems to the attention of our colleagues.
  Ms. PELOSI. Mr. Speaker, I yield 5 minutes to the distinguished 
gentleman from Wisconsin [Mr. Obey], the ranking member of the full 
committee; longtime chair of the Subcommittee on Foreign Operations, 
Export Financing and Related Programs; and I thank him for his 
leadership in helping us bring this consensus bill to the floor.
  Mr. OBEY. Mr. Speaker, I thank the gentlewoman for the time.
  Mr. Speaker, let me simply say that I am supporting and inclined to 
support this bill, but I have serious concerns about it. One, Mr. 
Speaker, is that this bill has consistently, when it left the House, 
been relatively free of earmarks. But then it goes over to the Senate, 
and when it emerges from the Senate, it almost looks as though it is a 
document designed more to facilitate congressional fund-raising than it 
is to facilitate the promotion of the United States' national interest.
  There are numerous earmarks which are added to the point where, for 
instance, in the portion of this bill which used to be focused on aid 
to Russia and former republics in the Soviet Union, so much has been 
earmarked that at this point one individual American, George Soros, 
will in the next 5 years be giving assistance to Russia which is more 
effective than that of the United States Government. I do not think 
that represents a rational allocation of resources on our part.
  But I must also say that I think this bill has two serious gaps. What 
has happened evidently is that in retaliation for the fact that Mexico 
City language, desired by some Members of the House, is not contained 
in this bill, because of that fact, we now have in retaliation a 
determination to eliminate from this bill all funding for the IMF 
program that has been mentioned by the gentlewoman from California [Ms. 
Pelosi] and also to eliminate from the State-Justice-Commerce bill any 
provision providing for funding of our arrearages at the United 
Nations. I believe that that is definitely not in the interests of the 
United States.
  On the first issue, we right now have seen the beginning effects of 
the exploding currency crisis in Asia. We saw our own stock market 
decline by around 500 points, in very large part triggered by the fact 
that Asian markets are extremely unstable and are likely to remain so 
for some time to come.
  I think it is a grave omission for the Congress, bordering on 
irresponsibility, for this Congress not to provide at least some bridge 
authority for the administration to meet any additional currency crisis 
if it would occur in Asia.
  We have three choices. If one occurs, we can either do nothing or we 
can try to foot the bill largely on our own in order to stabilize the 
currency situation, or we can try to rely on the multilateral approach 
which would reduce our own financial exposure. But the congressional 
majority has determined that that is not to be provided. I think that 
is a grave mistake.
  Secondly, at this moment we are trying to marshal the most united 
approach possible in the United Nations in whatever action we choose or 
we find necessary to take against Saddam Hussein. We do not strengthen 
our leverage in getting effective United Nations action when we do not 
pay our bills. We have about $900 million in arrearages owed to the 
United Nations.
  It seems to me that at least to put ourselves in a better position to 
strengthen our leadership in that institution, we should at least 
provide the $100 million that was requested this year as the down 
payment on finally ending that arrearage situation.
  I find it troubling that we are going to follow a high-risk strategy 
in both the Asian currency situation and the Iraqi situation simply in 
order to engage in payback because certain people did not get the 
language they wanted with respect to Mexico City.
  So, Mr. Speaker, I would simply rise to caution Members of the House 
that we are running a high-risk strategy and this country may pay a 
very high price for the omission that we are talking about here this 
evening.

                              {time}  2245

  Mr. CALLAHAN. Mr. Speaker, I yield such time as he may consume to the 
gentleman from Michigan [Mr. Knollenberg].
  Mr. KNOLLENBERG. Mr. Speaker, I thank the gentleman from Alabama, 
Chairman Callahan, for yielding me this time.
  Mr. Speaker, I rise in strong support of the conference report to 
H.R. 2159. Each member of this subcommittee in both the House and the 
Senate have worked very, very hard in a bipartisan fashion to craft a 
bill that reflects, I think, our Nation's international priorities, 
while maintaining the fiscal responsibility.
  I commend the House and the Senate chairmen for continuing our strong 
commitment to the Middle East, and also to democracy in Russia, while 
addressing the grave concerns we have about Russia and their exports of 
nuclear ballistic missile technology to Iran. The conference report so 
stipulates that aid to Russia is contingent upon stopping the spread of 
any technology which would bolster Iran.
  Finally, I am very pleased with provisions in the conference report 
dealing with the ongoing conflicts in the Caucasus. The conference 
report provides, and I think most importantly, to include a 
recommendation for $12.5 million in aid to meet the pressing needs of 
the people in the Nagorno Karabagh. I commend the managers for 
recognizing the tremendous humanitarian aid that is needed in the 
Nagorno Karabagh and look forward to working with the body and 
administration to ensure that that vital funding is delivered promptly 
and in accordance with congressional intent.
  Members of the subcommittee, I would like to thank all of them, and 
thank again.

[[Page H10675]]

  The gentleman from Alabama, Chairman Callahan, the ranking member, 
the gentlewoman from California [Ms. Pelosi], and all of those who 
contributed to the difficult decisions made to bring this bill to the 
floor. I believe the managers have united to craft a bill that will 
maintain U.S. leadership and strengthen our influence across the globe.
  I ask for Members to support this conference report.
  Ms. PELOSI. Mr. Speaker, I am pleased to yield 3 minutes to the 
gentlewoman from New York [Mrs. Lowey], a distinguished member of the 
subcommittee.
  (Mrs. LOWEY asked and was given permission to revise and extend her 
remarks.)
  Mrs. LOWEY. Mr. Speaker, I rise in strong support of H.R. 2159. In 
deference to our chairman, I will be very brief.
  I want to thank our distinguished chairman and the ranking minority 
member for the really outstanding work they did in bringing together a 
strong bipartisan bill. We appreciate their efforts. It has been long, 
and it has been hard, but we are glad that it is coming to conclusion, 
because this bill does strike a delicate balance on a number of very 
controversial issues. I thank them for their leadership.
  This bill includes, Mr. Speaker, the full $3 billion aid package for 
Israel, the critical $80 million for refugee resettlement assistance. 
Although the development assistance account is lower than the 
administration requested, it does include a critical $15 million 
increase for international microcredit programs. Microcredit is a 
critical tool in the fight to eradicate poverty worldwide, and it 
enjoys bipartisan support in the Congress and this administration.
  Providing these small low-interest loans to the millions of low-
income entrepreneurs around the world would be a major step toward the 
eradication of poverty. This is especially true among women, who are 
very often the heads of households and benefit tremendously from 
microcredit programs.
  This is a critical time for microcredit. We have come a long way this 
year alone, but we must do more, and the increase in this bill will 
allow us to help thousands of people pull themselves out of poverty.
  Mr. Speaker, I just want to say that I do remain concerned about 
several accounts in this bill. The critical population assistance 
account includes onerous restrictions, including monthly metering and a 
freeze at last year's level that I oppose. I know that our chairman and 
the chairman of the full committee have worked very hard to come to a 
satisfactory solution to this issue.
  I am also concerned that the administration has not been given the 
critical new arrangements to borrow that it has sought for the 
International Monetary Fund. However, Mr. Speaker, on the whole, this 
bill represents a good compromise between the gentleman from Alabama, 
Chairman Callahan, the ranking member, the gentlewoman from California 
[Ms. Pelosi and all the members of this subcommittee. Again, I want to 
thank them for the cooperation, and I strongly urge passage of the 
bill.
  Mr. CALLAHAN. Mr. Speaker, I yield such time as he may consume to the 
gentleman from New Jersey [Mr. Frelinghuysen], a member of the 
subcommittee.
  Mr. FRELINGHUYSEN. Mr. Speaker, I rise in support of the conference 
agreement and thank the gentleman from Alabama [Mr. Callahan], for his 
leadership in bringing this bill to a conclusion.
  In this conference report we provide the essential tools to promote 
and protect America's leadership and interests around the globe. With 
this bill we maintain our strong commitment to Israel and to the Middle 
East peace process, we provide critical funding for child survival 
programs, and we continue America's long-standing support for 
development assistance for the poorest of the poor, including 
international family planning programs. We provide support for the new 
democracies of Eastern Europe, and we place increased emphasis on 
important priorities in our own hemisphere.
  Further, we have provided resources to help American companies enter 
new markets, to protect global environmental resources, and to combat 
threat of international narcotics and terrorism from reaching our 
shores. These investments are made, Mr. Speaker, for less than 1 
percent of the overall Federal budget and within the framework of our 
balanced budget plan.
  Again, Mr. Speaker, I congratulate the gentleman from Alabama [Mr. 
Callahan] for all of his efforts.
  Ms. PELOSI. Mr. Speaker, I am pleased to yield 3 minutes to the 
gentleman from New Jersey [Mr. Pallone], who has been a leader on the 
issue of the Caucasus region, particularly Armenia and Nagorno 
Karabagh.
  Mr. PALLONE. Mr. Speaker, I want to urge support for the bill that we 
are considering tonight. The conference report contains important 
provisions affecting Armenia and the Caucasus region, most of which I 
support. I do want to express my respect and gratitude for the 
gentleman from Alabama, Chairman Callahan, for his willingness to 
listen to the concerns of the Armenian community, and particularly I 
want to salute the ranking member, the gentlewoman from California [Ms. 
Pelosi], and Members of the Subcommittee on Foreign Operations, 
particularly the gentleman from Illinois [Mr. Porter] and the gentleman 
from Michigan [Mr. Knollenberg] for their tireless efforts on behalf of 
Armenia, the Nagorno Karabagh, and the cause of peace and stability in 
the Caucasus, and I also want to thank the gentleman from New Jersey 
[Mr. Frelinghuysen].
  This bill provides an unprecedented $12.5 million in humanitarian aid 
to Nagorno Karabagh. Despite relentless opposition from the 
administration, the lobbyists for Azerbaijan and Turkey, the bill 
provides, for the first time, an earmark of humanitarian assistance for 
the people of Karabagh.
  These funds will help refugees, internally displaced persons and 
needy civilians in Nagorno Karabagh. This is the first time this has 
been approved by Congress and signifies the beginning of U.S.-
administered assistance programs to Nagorno Karabagh.
  Earlier this year, I became the first Member of the U.S. Congress to 
address the Parliament of Nagorno Karabagh, and I expressed regret that 
the United States had disengaged itself from the courageous people of 
Karabagh. But this legislation provides a welcome change.
  In addition, the bill provides us with $87.5 million for the Republic 
of Armenia, a former Soviet republic that is making huge strides in 
terms of democracy and market economy, but still needs our help.
  While I am pleased that the bill retains the ban on government-to-
government economic aid to Azerbaijan, I regret that the legislation 
carves out several major exemptions for OPIC, the Overseas Private 
Investment Corporation, to provide political risk insurance to U.S. 
companies investing in Azerbaijan, and for TDA, the Trade Development 
Agency, funding for feasibility studies and other related economic 
development projects.
  The ban on direct aid to Azerbaijan, section 907 of the Freedom 
Support Act of 1997, is an important law, passed to encourage 
Azerbaijan to lift its blockades of Armenia and Nagorno Karabagh. 
Azerbaijan has not complied with the basic condition of section 907, 
lifting the blockades, so the sanctions should not be relaxed.
  While I regret the exemptions to section 907 that have been carved 
out, I appreciate the fact that the conferees resisted the strong 
pressure to repeal section 907 outright.
  I also want to express my appreciation to the conferees for the $52.5 
million discretionary fund established for the Caucasus to restore 
transportation, communication and other infrastructure between the 
States of the Caucasus, funds to which Azerbaijan is not entitled until 
it complies with section 907.
  I also appreciate the fact that the House conferees held out for 
insisting that 50 percent of the aid to Turkey be provided through 
nongovernmental organizations to promote democracy and build a civil 
society. American taxpayers have contributed millions to Turkey. It is 
only right that we should expect that country to respect some of our 
American values.
  Finally, I want to state for the record that I regret that the bill 
before us relaxes some sanctions on Pakistan

[[Page H10676]]

which were imposed because of concerns over Pakistan's nuclear 
proliferation activities. But I do want to thank the conferees for 
maintaining the prohibition on IMET assistance to Pakistan.
  Overall, this is a good conference report, and I urge my colleagues 
to support it.
  Mr. CALLAHAN. Mr. Speaker, I yield such time as he may consume to the 
gentleman from Georgia, also a member of our subcommittee.
  Mr. KINGSTON. Mr. Speaker, I just want to say, I think this bill has 
a lot of good things. It is a product of a great compromise and a lot 
of work.
  One of the things I think is very significant and that is a debate we 
do not have much in our country is what is going on with the nuclear 
weapons stockpile in Russia. We often concentrate on a lot of issues, 
but we never ask ourselves as a country, as free people, what are they 
doing with all their nuclear arms? This bill starts to address that by 
withholding assistance to the Russian Government unless we know exactly 
what they are doing with their nuclear arsenal, and hopefully they are 
not selling it around the globe.
  There are a lot of good things in here. It increases international 
narcotics control by $17 million over last year, bringing the 1998 
level to $230 million.
  But there are some things it does not do which have been addressed, 
and we look forward to working with the administration on that.
  We want to address the issue of the U.N. arrearage. We think that the 
United Nations has taken too big of an assessment against the United 
States, and we want to work through that. We also want to work with 
this IMF funding to have stability in some of the developing countries.
  We look forward to working with the administration on that and 
solving these problems, and we also hope the administration will work 
with us in making sure that none of this money goes to groups who 
choose to lobby for liberalization of abortion laws, and also groups 
who may tend to have some of their own moneys used to support abortion.
  We think there are a lot of things we can get together with the 
administration on, and we look forward to that process. Hopefully the 
authorization bill that will come maybe as early as tomorrow will 
address this.
  Mr. CALLAHAN. Mr. Speaker, I yield 1 minute to the gentleman from 
Iowa [Mr. Leach].
  Mr. LEACH. Mr. Speaker, I want to thank the distinguished chairman 
for yielding me time. Let me say I think his leadership on this issue 
has been nothing less than estimable, and I intend to support his bill, 
but I think all of us in this body have to understand that the 
intricacies of single-issue group politics is bedeviling our foreign 
policy at this time and jeopardizing the national interests of the 
United States.
  If this Congress adjourns without passing fast track, without passing 
U.N. reform and arrearages, and if we do nothing about the IMF 
replenishment, there is a distinct possibility that tomorrow will not 
be the last day of this year's session. The last two issues are of 
vital significance this week, and we may well be called back into a 
special session. This Member would support it.
  The fact of the matter is we need to address the U.N. at this time. 
We need to address international economic circumstances as implied in 
the IMF. I am hopeful we will do so.

                              {time}  2300

  Ms. PELOSI. Mr. Speaker, I yield myself such time as I may consume.
  I too want to associate myself with the remarks of the gentleman from 
Iowa [Mr. Leach] in regard to the IMF replenishment and the U.N. 
arrearages. I hope that before this Congress adjourns, that those 
issues will be appropriately addressed and successfully addressed.
  I believe that our chairman, the gentleman from Alabama [Mr. 
Callahan], as I mentioned, has provided great leadership in this 
legislation, which is almost a match of the administration's request in 
terms of funding in order to promote U.S. global leadership, promote 
our exports, maintain the peace, alleviate poverty, and to maintain the 
peace, I think I said that twice, but it deserves mentioning more than 
one time.
  Mr. Speaker, in the interests of time, we are not going to hear from 
all of the Democrats on the committee, but I want to acknowledge the 
distinguished service of the gentleman from Illinois [Mr. Yates] and 
the gentleman from California [Mr. Torres], who did not speak, in 
addition to the gentleman from Wisconsin [Mr. Obey] and the gentlewoman 
from New York [Mrs. Lowey].
  But I know I speak for them and our Republican colleagues on the 
committee when I extend our best wishes to the gentleman from 
Pennsylvania [Mr. Foglietta], a member of our subcommittee who today 
left our committee and was sworn in as the U.S. Ambassador to Italy. I 
think every Member of this House is very proud of the service of Mr. 
Foglietta here, wishes him much success in his new endeavor personally, 
and especially for our great country.
  With that, I urge our colleagues to support this legislation.
  Mr. Speaker, I yield back the balance of my time.
  Mr. CALLAHAN. Mr. Speaker, it is my intention in just a second to 
yield back, but I yield myself such time as I may consume to briefly 
explain that the President requested $16.8 billion, and the House 
passed $12.26 billion. The Senate sent us a message of $16.8 billion, 
and the conference resolved it at $13.1 billion, but the net 
appropriation is $12.7 billion, very close to what we passed in the 
House.
  Some of the remarks that were made about the IMF, as well as the U.N. 
problem, have great merit and I do not deny that. But once again, this 
is the foreign operations appropriation bill. We are cutting the 
President's request by $4 billion. That is basically where we were. At 
this time, Mr. Speaker, I ask for a favorable vote.
  Mr. FOX of Pennsylvania. Mr. Speaker, I rise in support of the 
Foreign Operations Appropriations bill for two main reasons.
  First, the appropriation for Israel will help to insure the survival 
of this thriving democracy in the Middle East. No other country has 
greater ties to America.
  Second, I am pleased that Armenia will benefit from this legislation 
by increased recognition of its importance to the United States and 
support by our country.
  Mr. Speaker, I have no further requests for time, and I yield back 
the balance of my time.
  The SPEAKER pro tempore (Mr. LaHood). Without objection, the previous 
question is ordered on the conference report.
  There was no objection.
  The SPEAKER pro tempore. The question is on the conference report.
  Pursuant to clause 7 of rule XV, the yeas and nays are ordered.
  Pursuant to clause 5 of rule I, further proceedings on this question 
will be postponed.

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