[Congressional Record Volume 162, Number 33 (Tuesday, March 1, 2016)]
[Senate]
[Pages S1136-S1137]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
By Ms. MURKOWSKI (for herself, Ms. Cantwell, and Ms. Hirono):
S. 2610. A bill to approve an agreement between the United States and
the Republic of Palau; to the Committee on Energy and Natural
Resources.
Ms. MURKOWSKI. Mr. President, I am pleased to join with Senator Maria
Cantwell and Senator Mazie Hirono to introduce legislation to approve
the 2010 Agreement between the Governments of the United States and the
Republic of Palau following the Compact of Free Association Section 432
Review.
Palau's history with the United States dates back to the Battle of
Peleliu, fought between United States and Japanese forces for over two
months with the highest casualty rate of any battle in the Pacific
Theater. Following World War II, Palau became a district of the Trust
Territory of the Pacific Islands under the auspices of the United
Nations, but administered by the United States. Palau was the last
district of the Trust Territory to choose its political future, when in
1994, it became a self-governing, sovereign state and entered into a
fifty-year Compact of Free Association with the United States similar
to that of the Marshall Islands and the Federated States of Micronesia.
Under the Compact, the United States, through the Department of the
[[Page S1137]]
Interior, provides economic and financial assistance, defends Palau's
territorial integrity, and allows Palauan citizens the opportunity to
enter the United States as non-immigrants. In return, the United States
receives exclusive and unlimited access to Palau's land and waterways
for strategic purposes. U.S. assistance is intended to help Palau
develop its infrastructure and economy so that it has a sustainable
government and economy capable of functioning without the United
States' support. Section 432 of the Compact provides that after the
fifteenth, thirtieth, and fortieth anniversaries of the Compact, the
United States and Palau shall formally review the terms of the Compact
and shall consider the overall nature and development of their
relationship, including Palau's operating requirements and its progress
in meeting development objectives.
The United States can count on Palau to vote with us on a broad range
of issues, including some that are controversial and where we need
reliable allies. On a number of important resolutions that have come
before the United Nations' General Assembly, Palau stood by us and
provided critical votes. For example, in 2014, Palau voted with the
United States on 97 percent of votes before the U.N. General Assembly,
and Palau voted with the U.S. 90 percent of the time in important
votes. From 2011-2013, Palau voted with the United States 100 percent
of the time in important votes. Palau has been a steadfast ally of the
United States in international forums and we should be mindful of and
grateful for their support.
It is also important to recognize that Palau has consistently
demonstrated a commitment to the U.S.-Palau partnership under the
Compact. Palauan nationals serve in U.S. coalition missions,
participate in U.S.-led combat operations, and have given their lives
for the safety of our nation. Approximately 500 Palauan men and women
serve as volunteers in our military today, out of a population of about
21,000. Palau is indeed a strong partner who punches well above its
weight. We are grateful for their sacrifices and dedication to
promoting peace and fighting terrorism. After reviewing the progress
achieved by Palau in the first 15 years of the Compact, and with the
13th anniversary coming upon us, the administration is recommending
continued assistance, but at lower levels.
This agreement, reached in 2010, has been before Congress in prior
years and the Senate Energy and Natural Resources Committee has held
hearings on the matter. To the best of my knowledge, there is no
objection within Congress on the policy of continuing to provide
financial assistance to Palau under the Compact of Free Association.
The hang-up has been finding a viable offset to pay for that
assistance. I would note that since 2010 Congress has provided just
over $13 million in annual discretionary funding to the Government of
Palau in lieu of the Agreement's enactment--a total of over $90 million
in that timeframe. At the same time, the administration has failed to
identify an acceptable offset for a cost that is now just under $150
million over 10 years.
For such a steadfast ally, partner, and friend, whose citizens serve
in our Armed Forces for the protection of our nation, and whose
government supports the United States' position on critical issues in
international forums, we should be able to come up with a viable
funding solution. I call upon the administration to work with Congress
on this matter, find an offset, and enact the 2010 Agreement between
the United States and Palau.
Mr. President, I ask unanimous consent that a letter of support be
printed in the Record.
There being no objection, the material was ordered to be printed in
the Record, as follows:
February 22, 2016.
Hon. Joseph R. Biden, Jr.,
President of the Senate,
Washington, DC.
Dear Mr. President: Enclosed is draft legislation to amend
Title I of Public Law 99-658 (100 Stat 3672), regarding the
Compact of Free Association between the Government of the
United States of America and the Government of Palau
(Compact). This legislation would approve and implement the
results of the mandated 15-year review of the Compact, as
well as the Agreement Between the Government of the United
States of America and the Government of the Republic of Palau
(Compact Review Agreement), signed on September 3, 2010. We
strongly urge this draft bill be introduced, referred
appropriately, and passed in Congress at the earliest
opportunity.
The relationship between the United States and Palau, as
embodied in the Compact, is grounded in shared history,
friendship, and a strong partnership in national security,
especially with respect to the Asia-Pacific region. In the
Battle of Peleliu, in Palau, more than 1,500 American
servicemen lost their lives, and more than 8,000 were
wounded, resulting in one of the costliest battles in the
Pacific in World War II. After the war, the United States
assumed administrative authority over Palau as part of the
Trust Territory of the Pacific Islands and in 1994 Palau
became a sovereign nation in free association with the United
States under the Compact of Free Association. The Compact
provides U.S. military forces full authority and
responsibility for security and defense matters in or
relating to Palau. Conversely, the United States has the
extraordinary advantage of being able to deny other nations'
military forces access to Palau, an important element of our
Pacific strategy for defense of the U.S. homeland.
In addition to the important historical and security
relationship, Palau has consistently demonstrated a
commitment to the U.S.-Palau partnership under the Compact.
Palauan nationals have served in U.S. coalition missions and
participated in U.S. led combat operations. Palauan citizens
volunteer in large numbers in the U.S. military. Since
September 11, 2001, seven Palauans have lost their lives in
combat. At the United Nations, Palau has voted with the
United States more than 95 percent of the time, including on
key foreign policy issues.
The Compact has seen the goal of self-governance and
democracy in Palau realized. However, to bolster this
progress and maintain stability in the region, we must now
help to ensure Palau's financial independence. By approving
the Compact Review Agreement, the pending legislation would
extend U.S. assistance through 2024, helping to meet and
achieve this critical goal. Under the agreement, Palau has
committed to undertake economic, legislative, financial, and
management reforms. Additionally, this agreement assures the
United States can withhold economic assistance in the absence
of significant further progress in implementing meaningful
reforms.
The Statutory Pay-As-You-Go Act of 2010 requires that the
cumulative effects of revenue and direct spending legislation
in a congressional session meet a pay-as-you-go (PAYGO)
requirement. In total, such legislation should not increase
the on-budget deficit; if it does, it would produce a
sequestration if it is not fully offset by the end of the
congressional session. This draft bill would increase
mandatory outlays and the on-budget deficit as shown below:
FISCAL YEARS
[Dollars in millions]
------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
2017 2018 2019 2020 2021 2022 2023 2024 Total
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Deficit Impact.................................................... 46 26 20 17 15 14 6 5 149
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This proposal would increase direct spending, and it is
therefore subject to the Statutory PAYGO Act and should be
considered in conjunction with all other proposals that are
subject to the Act. Approving the results of the Agreement is
important to the national security of the United States,
stability in the Western Pacific region, our bilateral
relationship with Palau, and to the United States' broader
strategic interests in the Asia-Pacific region. We stand
ready, as always, to provide you with any information and
assistance necessary to help secure the passage of this
legislation.
Sincerely,
Sally Jewell,
Secretary, Department of the Interior.
Heather Higginbottom,
Deputy Secretary for Management and Resources, Department
of State.
Robert O. Work,
Deputy Secretary, Department of Defense.
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