Congressional Record, Volume 143 Issue 159 (Wednesday, November 12, 1997)

[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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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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