[Congressional Record (Bound Edition), Volume 150 (2004), Part 12]
[House]
[Pages 15796-15818]
[From the U.S. Government Publishing Office, www.gpo.gov]




      FOREIGN OPERATIONS, EXPORT FINANCING, AND RELATED PROGRAMS 
                        APPROPRIATIONS ACT, 2005

  The SPEAKER pro tempore. Pursuant to House Resolution 715 and rule 
XVIII, the Chair declares the House in the Committee of the Whole House 
on the State of the Union for the consideration of the bill, H.R. 4818.
  The Chair designates the gentleman from Texas (Mr. Thornberry) as 
chairman of the Committee of the Whole, and requests the gentleman from 
Nebraska (Mr. Terry) to assume the chair temporarily.

                              {time}  1203


                     In the Committee of the Whole

  Accordingly, the House resolved itself into the Committee of the 
Whole House on the State of the Union for the consideration of the bill 
(H.R. 4818) making appropriations for foreign operations, export 
financing, and related programs for the fiscal year ending September 
30, 2005, and for other purposes, with Mr. Terry (Chairman pro tempore) 
in the chair.
  The Clerk read the title of the bill.
  The CHAIRMAN pro tempore. Pursuant to the rule, the bill is 
considered as having been read the first time.
  Under the rule, the gentleman from Arizona (Mr. Kolbe) and the 
gentlewoman from New York (Mrs. Lowey) each will control 30 minutes.
  The Chair recognizes the gentleman from Arizona (Mr. Kolbe).
  Mr. KOLBE. Mr. Chairman, I yield myself such time as I may consume.
  I am pleased to present to the House today the funding 
recommendations of the Committee on Appropriations for fiscal year 2005 
for foreign operations, export financing, and related programs. The 
bill provides important funding for programs designed to support the 
global war on terrorism, the battle against HIV/AIDS and other 
infectious diseases, and to support the national interests of the 
United States. In the wake of September 11, 2001, such funding for our 
critical friends and allies is more important than ever.
  The committee recommends a total of $19,385,645,000 in new 
discretionary budget authority for fiscal year 2005. This represents a 
reduction of $1.932 billion from the President's budget request. On the 
other hand, the bill before us is $1.905 billion above the fiscal year 
2004 enacted level when we exclude the supplemental appropriations. If 
supplemental appropriations are included, the recommendation represents 
a decrease of $19.287 billion over the 2004 level.
  Having gotten those numbers out of the way, let me just say it is 
important that we know that this bill was developed in a bipartisan 
way, and I want to pay special tribute and give credit to the 
gentlewoman from New York (Mrs. Lowey), my ranking minority member, for 
the fine work that she has done on this bill and for engaging in a 
process that resulted in basic agreement on the components of this 
package, even if funding compromises happen to be found on both sides. 
Mr. Chairman, I believe this is the way the House of Representatives 
ought to work, and I think the gentlewoman from New York (Mrs. Lowey) 
and I have worked in a bipartisan fashion.
  In preparing this legislation, we have three overriding priorities: 
first, supporting our allies on the war on terrorism; second, 
responding to the global HIV/AIDS pandemic; and, third, supporting 
innovative approaches to foreign assistance through the Millennium 
Challenge Corporation.
  Let me summarize how this recommendation responds to those 
challenges. First, the President's budget request included important 
military assistance and counternarcotics increases for our allies in 
the global war on terrorism. That includes an increase of $350 million 
to equip the new Afghan National Army; an increase of $90 million for 
law enforcement and counternarcotics programs in Afghanistan; a new 
base program of $300 million for military assistance for Pakistan as 
they assist us in hunting terrorists along the Afghan border; an 
increase of $46 million for a total of $66 million for Poland, a major 
ally in Operation Iraqi Freedom; and an increase of $73 million, for a 
total of $2.22 billion for the State of Israel, which is our closest 
ally in the Middle East.
  The committee recommendation includes full funding for these 
increases both through new budget authority and, in the case of 
Pakistan, use of $150 million of transfer authority.
  The second priority in the President's budget request is one that we 
also met with an increase of $593 million to combat HIV/AIDS and 
related diseases, for a total of $2.2 billion. The committee 
recommendation fully meets that funding level. It includes a grant of 
$400 million for the Global Fund to fight AIDS, tuberculosis, and 
malaria, subject to conditions that improve the fund's accountability 
and efficiency. Together with the money that we expect that the House 
Labor Health and Human Services, Education and Related Agencies 
Subcommittee will include, that will mean over $2.8 billion

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will be available for HIV/AIDS programs around the world in fiscal year 
2005.
  The Global AIDS Initiative is making treatment and care available to 
a record number of people affected by the disease. In 2003, only 50,000 
people in the developing world had access to the drugs that 
dramatically reduced the impact of AIDS and extend life for years. By 
next summer, 200,000 people will have access to these drugs; and over 
the next several years, millions of infected people will be treated 
through the use of the Nevirapine for pregnant women.
  The third priority, of course, in the President's budget was a 
request for a $1.5 billion increase for the Millennium Challenge 
Corporation, for a total of $2.5 billion. Mr. Chairman, given our 
allocation, we could not recommend full funding for this initiative, 
important though it is and though I am very personally committed to it. 
However, to demonstrate our commitment to this important foreign 
assistance reform effort and to respond positively to the President's 
proposal, the recommendation does include $1.250 billion for the 
Millennium Challenge Corporation. That is an increase of $256 million 
over last year.
  As chairman, I have made the MCC a priority in this bill. I believe 
in the President's vision of a new form of development assistance where 
a country's commitment to fighting corruption, its commitment to 
reform, and its commitment to investing in its people is complemented 
by an assistance package from the United States, negotiated by the 
country in the form of a signed compact. We included the authorization 
that created the MCC in last year's appropriation bill, and the 
President can continue to count on me as a strong supporter.
  In preparing this bill, we were also faced with decreases in some 
areas of the budget, including some key non-HIV/AIDS health programs, 
and in the development assistance account. We have restored those 
reductions and, in the case of development assistance, added funds for 
basic education. I believe our development assistance program is a key 
component of our national security strategy, and it is critical to a 
positive U.S. image in foreign countries.
  Including funding for HIV/AIDS, this bill makes available $3.079 
billion for health programs overall, and that is an increase of $600 
million over last year's House-passed bill. Of this total, over $332 
million will be made available to fight TB and malaria. These funds 
help to continue the global fight against malaria, which kills one 
person every 30 seconds, most of them African children. USAID 
implements a comprehensive approach against this disease supporting the 
purchase and distribution of malaria medicines, a search for a vaccine, 
and strong prevention efforts.
  Basic education has become a signature issue for the gentlewoman from 
New York (Mrs. Lowey); so I will let her describe the details of our 
recommendation in that regard. Suffice it to say that I fully support 
her efforts to provide more educational opportunities to the 
impoverished youth of the world, especially women and children. This 
bill recommends $400 million for basic education activities. That is an 
increase from $326 million in fiscal year 2004. Report language 
accompanying the bill requires the Secretary of State to articulate an 
interagency strategy on the use of those funds so that we have a 
coherent, coordinated effort that can produce meaningful results in 
reducing illiteracy.
  The bill also supports USAID's work to support microenterprise 
lending. Report language accompanying the bill references the fiscal 
year 2004 authorization ceiling of $200 million as the program level 
the committee expects in fiscal year 2005. It is also important that 
USAID continue to use the traditional providers of microenterprise 
lending and not rely excessively on contractors for implementing this 
program.
  We continue an emphasis in our bill on helping developing countries 
build their capacity to participate in the international trading 
system. We have $517 million in the bill for trade capacity building, 
and that is the same amount as the House passed version last year.
  Fiscal year 2005 is the final year of the President's Water for the 
Poor Initiative, announced in August, 2002, in Johannesburg, South 
Africa. In all likelihood, we will exceed the 3-year goal of spending 
$970 million on water projects. Report language urges the President to 
direct $50 million to water programs in Africa with $9 million targeted 
to programs in East Africa.
  The committee continues its strong support for women's programs, 
provides that not less than $15 million in development assistance shall 
be made available to improve women's leadership capacity in recipient 
countries. This is an increase from the $11 million that we provided 
last year. In addition, from our Afghanistan assistance program, we set 
a goal of $60 million in fiscal year 2005 for programs for women and 
girls.
  The committee recommendation also responds to emerging needs, such as 
the provision of an additional $50 million for assistance for Haiti. 
Following up on my amendment to the Defense appropriation bill that 
included $95 million in supplemental assistance for the victims of the 
violence in the Darfur region of Sudan, we recommend $311 million in 
this bill for humanitarian assistance for Sudan and for the refugees 
affected by that conflict.
  Although there are no funds for Iraq in this bill, we continue our 
oversight responsibilities by mandating the continuation of an 
independent inspector general to audit the Iraq Reconstruction program. 
Without new authority, the inspector general will go out of business on 
December 28 of this year, 6 months after the Coalition Provisional 
Authority was disbanded. Section 573 of the bill provides for continued 
operations of the CPA Inspector General's Office operating under the 
supervision of the Secretary of State and providing that the $75 
million previously appropriated for the IG is to be made available only 
to the IG for his continued audit and investigative work in Iraq.
  We also provide the administration the authority they need to reduce 
Iraq's debt to our government so that the United States can negotiate 
an international debt reduction for Iraq. The sooner Iraq has financial 
stability, the sooner the government of Iraq can fund its own security 
and reconstruction needs. No new funds are provided for this purpose. 
Any funding for debt relief will come from previously appropriated 
funds.
  The bill fully funds the President's request for export finance 
agencies to promote U.S. investment overseas and create jobs in United 
States export sectors. The bill provides $317 million for those 
agencies, which include the Export-Import Bank, the Overseas Private 
Investment Corporation, and the Trade and Development Agency. About 
$311 million of that $317 million is offset by collections.
  Mr. Chairman, the United States leads the international fight against 
coca and poppy cultivation overseas. The narcotics industry has become 
a source of funding for terrorists, as well as, of course, a source of 
drugs worldwide. As part of the war on terror, the committee fully 
funds the President's request for the Andean Counterdrug Initiative at 
a level of $731 million for antinarcotics, interdiction, for 
development programs, and rule-of-law and institution-building programs 
in Colombia, Bolivia, Peru, and Ecuador.

                              {time}  1215

  Under the general anti-narcotics account, the bill fully funds anti-
narcotics and law enforcement programs in Afghanistan at a level of $90 
million, in Mexico at $40 million, and supports an existing program in 
Pakistan at $32 million.
  To support continuing United States leadership in the world for 
humanitarian responses to refugee crises, we include $776 million for 
refugee programs, and that is $26 million more than the President 
requested.
  We have $19 million, $1.5 million more than the request, for the 
Department of Treasury, to provide technical advisors to developing 
countries throughout the world.
  The committee includes full funding of $20 million for the 
President's request for debt relief for countries who

[[Page 15798]]

qualify under the Tropical Forestry Conservation Act and $75 million 
for multilateral debt relief for the poorest nations that receive 
assistance from the Heavily Indebted Poor Countries, or the HIPC, trust 
fund.
  The committee supports contributions to the Multilateral Development 
Bank and includes $1.3 billion for such contributions. While the 
committee was not able to fund the World Bank incentive fund or all the 
arrears requested by the budget because of the budgetary restraints I 
mentioned earlier, we have provided full funding of the regularly 
scheduled contributions to these banks.
  Finally, the committee has provided $323 million for voluntary 
contributions to international organizations and programs, a level $19 
million more than the request. It includes $125 million to the United 
Nations Childrens Fund, or UNICEF, an increase of $5 million for this 
important organization.
  We also have $107 million for the United Nations Development Program, 
or UNDP, and $7 million for the Fund for Victims of Torture. A total of 
$25 million is available through the United Nations Population Fund, or 
UNFPA, under the same ``Kemp-Kasten'' restrictions as exist in current 
law.
  We have had to reduce this bill by $1.9 billion from the President's 
request, as I mentioned, Mr. Chairman. Therefore, we did not or could 
not provide funding for a number of new and expanded initiatives 
requested by the President or brought to the committee's attention by 
committee members, other Members of Congress and outside groups.
  The major reductions to the President's budget include, as I have 
already mentioned, a cut of $1.25 billion to the request for the 
Millennium Challenge Corporation; a reduction of $224 million for the 
World Bank Group, including the International Development Association; 
and a cut of $95 million in debt relief. There are other reductions to 
the President's request, but we tried to retain the base funding for 
most of the programs.
  I believe this balanced bill provides important support for our most 
critical national security needs, while substantially increasing 
funding to respond to the global HIV/AIDS pandemic. It enhances our 
support for overseas development assistance and humanitarian 
assistance. It meets the high priorities of the President in these 
areas and accommodates congressional concerns as well.
  As I have said, this bill was developed in a very bipartisan manner 
and should have broad support in the House. I urge a yes vote on this 
bill.
  Before I yield the floor, I want to call the attention of the House 
to two matters that were inadvertently left out of the committee 
report. One matter involves the Surgical Implant Generation Network, 
based in Richland, Washington, which is the only organization in the 
world that provides, free of charge, an ongoing supply of training and 
orthopedic materials to surgeons in developing countries who repair 
fractures of the very poor.
  The second matter involves the Vishnevskaya Rostropovich Foundation, 
a charitable organization based in Washington, D.C., that conducts a 
mass children's vaccination initiative in the Russian Federation.
  I would urge the United States Agency for International Development 
to give strong consideration to funding proposals for these funding 
organizations.
  Mr. Chairman, I include the following charts for the Record.

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  Mr. Chairman, I reserve the balance of my time. 
  Mrs. LOWEY. Mr. Chairman, I yield myself such time as I may consume.
  Mr. Chairman, I rise in strong support of this bill. I want to begin 
by thanking the gentleman from Arizona (Chairman Kolbe) for the close 
working relationship we enjoy. The bill we consider today is the result 
of our close collaboration and represents the bipartisan commitment of 
the Subcommittee on Foreign Operations to bring a bill to the House 
floor that accurately reflects United States foreign policy priorities.
  As in the past, the gentleman from Arizona (Chairman Kolbe) has been 
a gracious colleague, and I am proud of the product of our cooperation. 
I believe this bill successfully maintains our commitment to ensure 
that foreign aid remains one of the three pillars of the United States 
national security policy, along with defense and diplomacy.
  The bill provides nearly $19.4 billion in new discretionary budget 
authority, which is over $1.9 billion below the President's request. It 
contains substantial funding for pressing needs in support of the war 
on terror, such as the reconstruction of Afghanistan, and significantly 
increases funding for HIV/AIDS programs and the Millennium Challenge 
Corporation.
  The bill fully funds and even slightly increases the President's 
request for the Emergency HIV/AIDS Initiative. Since the very beginning 
of our effort to fight HIV, the subcommittee has led the charge to 
increase funding for this key priority. While I would have preferred to 
have included even more funding, our limited 302(b) allocation 
precluded us from doing so. However, within the context of our 
allocation, the bill does provide $400 million for the Global AIDS 
Fund, the same as last year's bill, and $300 million above the 
President's request. It also provides $30 million for microbicides 
research and development and a similar amount for HIV vaccine research 
and will allow for substantial program increases for all countries 
where the United States now conducts HIV programs, even those not among 
the 15 ``focus'' countries of the President's Emergency AIDS 
Initiative.
  I am particularly pleased that we were able to preserve funding for 
other vital child survival programs, instead of cutting these as the 
President requested.
  As we continue to ramp up funding for HIV programs and respond to the 
many administration initiatives requested, most notably the Millennium 
Challenge Account, we cannot retreat from our child and maternal health 
commitments in the developing world. The progress we have made on the 
prevention and treatment of HIV/AIDS will be lost if the United States 
does not maintain its leadership role in meeting the basic health needs 
of women and children in poor countries.
  The bill provides $400 million for basic education, which is an 
increase of $75 million over last year. Increasing this commitment to 
basic education has been one of my top priorities as ranking member of 
the Subcommittee on Foreign Operations, and I am proud that funding for 
basic education has increased from $98 million in fiscal year 2000 to a 
total of $400 million for fiscal year 2005. For the first time, we have 
included funding specifically to address the issue of school fees in a 
comprehensive manner in the form of a pilot project to be undertaken by 
USAID.
  As we are all aware, crises in Haiti and Sudan have required us to 
reevaluate our funding priorities to ensure that the United States is 
leading the way to alleviate the horrible situation in these two 
countries. The bill earmarks an additional $50 million above the 
President's request for Haiti and provides a total of $311 million, $25 
million above the request, for urgent humanitarian needs in Sudan.
  Congress has already responded to the evolving humanitarian crisis in 
the Darfur region of Sudan by adding $95 million in emergency funding 
to the DOD bill. There may be additional funds needed, as we intend to 
simultaneously fund the rebuilding of southern Sudan if and when a 
peace treaty is completed. The bill does prohibit assistance to the 
government of Sudan until it has disarmed and disbanded government-
supported militia groups and allows full and unconditional access to 
the Darfur region to the UN and other humanitarian organizations. The 
government of Sudan should get the clear and unambiguous message from 
this bill that we will not tolerate continued brutality and cover-ups.
  I am particularly pleased that the bill provides funding to combat 
terrorist financing in three different accounts, along with report 
language requiring the administration to analyze the total level and 
distribution of funding for this priority across all government 
agencies. This analysis will be a critical tool in ensuring that our 
efforts are coordinated and efficient.
  I am very pleased that this aid bill once again demonstrates our 
strong commitment to maintaining Israel's economic health and its 
qualitative edge in the region. The bill also provides increased 
funding for conflict resolution programs in the Middle East and 
elsewhere and increased funding for UNICEF, UNDP and UNIFEM's program 
to prevent violence against women.
  While the gentleman from Arizona (Chairman Kolbe) and I are in 
agreement on the vast majority of issues, and, as I did say, we worked 
so well together, there are a few areas where we may disagree.
  Once again, the bill fails to include language that will restore 
funding for the life-saving activities of the United Nations Population 
Fund. I had hoped to offer an amendment today to restore funding to 
UNFPA on a limited basis to countries of clear strategic importance to 
the United States foreign policy.
  Because I discussed this amendment in depth during debate on the 
rule, I will not repeat the discussion again during the general debate, 
but I want to make it clear that I think it was a grave error not to 
include this funding for UNFPA for the six countries strategically 
placed who have clear laws against abortion and the other provisions of 
that bill which I believe make a great deal of sense and are very 
important to the entire world.
  I also want to say a few words about our overall allocation, to 
ensure that the funding levels in this bill are put into context. As my 
colleagues are surely aware, the Subcommittee on Foreign Operations was 
asked this year to make room for new administration initiatives 
alongside the core development, export financing and military 
assistance accounts usually included in the bill. The largest of these 
initiatives, the Millennium Challenge Account, was initially conceived 
of by the President 2 years ago, at which time he assured the American 
people that any funds devoted to it would be in addition to, rather 
than in place of, existing development funds.
  With an allocation nearly $2 billion below the President's request, 
however, we were hard-pressed to provide significant increases for 
priorities such as non-AIDS child survival and health, development 
assistance and refugees and migration assistance.
  While we significantly cut MCA funding from the requested level, it 
is clear that, unless the President increases his request and the 
committee decides to grant us an adequate allocation, we will continue 
to have to scrape together the money to level fund or slightly increase 
our core development priorities. This is a real concern to me. I am 
sure many of my colleagues share it. I am sure my committee chairman 
shares it as well.
  However, in conclusion, the bill we are recommending to the committee 
today represents a true bipartisan effort and funds accounts as 
equitably as possible in the context of the deep cut from the 
President's request. I support the bill enthusiastically. I hope my 
colleagues will do the same.
  In closing, I would like to thank the gentleman from Arizona 
(Chairman Kolbe) again, as well as all the members of the subcommittee 
and the associate staff. The majority staff, John, Alice, Rodney, Rob, 
Lori and Sean, and the minority staff, Mark and Beth, have been 
extraordinarily helpful in working with the chairman and me in

[[Page 15807]]

crafting the bill, and I do thank them for their efforts.
  Mr. Chairman, I reserve the balance of my time.
  Mr. KOLBE. Mr. Chairman, I am pleased to yield 4 minutes to the 
gentleman from Michigan (Mr. Knollenberg), one of the very 
distinguished members of the subcommittee who has made some very 
significant contributions to this bill and has been one of our most 
valuable members through the years.
  Mr. KNOLLENBERG. Mr. Chairman, I rise in strong support of this bill 
and encourage all of my colleagues to vote in favor of it today.
  I want to thank the gentleman from Arizona (Chairman Kolbe) and the 
gentlewoman from New York (Mrs. Lowey) for their working together to 
produce a very, very good bill. Let me also commend the staff for the 
work that they have contributed. They have addressed the chairman's, 
ranking member's and as many of the other Members' problems and 
interests as possible and done a very good job in producing an 
effective bill. I hope and expect it will receive broad bipartisan 
support today.
  Mr. Chairman, the foreign operations bill is arguably the most 
important contribution to America's foreign policy that the House of 
Representatives makes. Let me briefly highlight a few areas.
  Assistance to the Middle East is always a central part of this bill.

                              {time}  1230

   For fiscal year 2005, Israel will receive $2.2 billion in military 
assistance, $360 million in economic assistance, and $50 billion to 
resettle Jewish refugees in Israel. I strongly support all of that 
funding.
  The U.S.-Israel relationship is a cornerstone of our overall foreign 
policy, and Israel is our critical ally in the Middle East. We do 
disagree from time to time, but the U.S.-Israel relationship is 
incredibly strong.
  I also support the military and economic assistance to Egypt in this 
bill. Because of the level of cooperation we are receiving from Egypt 
in the war on terrorism and the peace process, I believe the bill 
contains the right balance of military and economic assistance for each 
at this time.
  I understand that an amendment will likely be offered today to change 
the balance of assistance to Egypt. I will strongly oppose that 
amendment, and I urge my colleagues to join me in opposing it as well.
  I am also very pleased this bill contains $35 million in economic 
support funds for Lebanon, including $4 million for the American 
educational institutions that are there. Lebanon has great potential, 
and USAID's Village Cluster Program has played an important role in the 
development of villages throughout Lebanon. I know many Members agree 
with me on that and that the continuation of this program of $35 
million is critical.
  Let me just highlight what this bill provides for Armenia. 
Unfortunately, Armenia is a landlocked country surrounded by nations on 
both sides that are hostile to it. Because transportation routes into 
Armenia are sealed, the Armenian economy is being strangled. Therefore, 
it is appropriate for the U.S. to provide substantial economic 
assistance. This bill provides $65 million in economic assistance to 
Armenia, which is an increase above the administration's request.
  We also must be very careful with the military assistance we provide 
in the Caucasus, in the South Caucasus. I believe it is absolutely 
critical to maintain complete parity in military assistance to Armenia 
and Azerbaijan. I am pleased that this bill does exactly that.
  The State Department's Middle East Partnership Initiative is becoming 
one of the most progressive reform programs in the Middle East. I am 
pleased that this bill continues to provide funding for this important 
initiative.
  There are many more valuable programs in this bill, including the 
Millennium Challenge Corporation, IMET to Greece, microcredit, and, of 
course, funding to fight the scourge of HIV/AIDS.
  Mr. Chairman, in closing, let me once again urge everybody on this 
floor, all Members on both sides, to support this bill, a good bill.
  Mrs. LOWEY. Mr. Chairman, I am pleased to yield 3 minutes to the 
gentlewoman from Michigan (Ms. Kilpatrick), an outstanding, effective 
member of the committee.
  Ms. KILPATRICK. Mr. Chairman, to my ranking member, I thank her for 
yielding me this time.
  I first want to commend the gentleman from Arizona (Chairman Kolbe) 
for running and steering the committee in such a way that we all have 
input and are able to offer our deals and suggestions, and that he 
incorporates them in this bill.
  I rise to support the Foreign Operations bill that is before us this 
afternoon. It is a good bill. If we had more money, of course we could 
do better and do more things; but the bill before us is a good bill, 
and I would urge all of our colleagues to support it.
  The funding that is included for Haiti is to be commended, $50 
million more than was asked for; and, as my colleagues know, they have 
been under floods and other kinds of problems, and people are dying 
daily. Children are dying daily. In the Sudan as well. I call upon the 
United Nations to get involved, Security Council. We have $311 million 
in this bill, and I as one Member would ask that we not move forward 
until the Sudanese government works for all of its people to protect 
all of the women and children and the people of the Sudan.
  I want to thank the chairman for accepting the amendment that we 
offered for our small businesses here in America. Already, small 
businesses can contract with our government and get contracts after 
they go through a procurement process. This Foreign Operations bill 
under my leadership also now allows our American businesses to contract 
and do business abroad under the same provisions that we have for our 
domestic businesses. So it is another opportunity for businesses to 
grow their bottom line and to employ more people.
  I too rise against the amendment that will be offered later that will 
take money out of Egypt's foreign military assistance and put it in 
another part of the Egypt budget. I am told from my staff and others 
and the Egypt embassy that they do not want that money moved at this 
time, and they work well with Israel to keep that money in their 
foreign military assistance account.
  UNICEF, United Nations Children's Education Fund, we have upped the 
number in this bill, so there are many good provisions in this bill. I 
urge my colleagues to support it. I commend the gentleman from Arizona 
(Chairman Kolbe), and our ranking member, the gentlewoman from New York 
(Mrs. Lowey) and all our committee for working together in a bipartisan 
way to bring a good Foreign Ops bill to the floor. I urge the 
acceptance of my colleagues.
  Mr. KOLBE. Mr. Chairman, I yield 4 minutes to the very distinguished 
vice chairman of the committee, the gentleman from Mississippi (Mr. 
Wicker), who has also been a great member of this committee. I have had 
the opportunity to travel with him on a number of occasions and he has 
contributed greatly to the drafting of this bill.
  Mr. WICKER. Mr. Chairman, I thank Mr. Kolbe for those words. I want 
to begin by agreeing with the gentlewoman from Michigan who just spoke 
about the bipartisan nature of this subcommittee and the product that 
we have come up with. Sometimes we are accused of partisan bickering on 
the House floor, and from time to time it is necessary to air our 
differences and raise our voices to bring attention to those 
differences in philosophy. But I just wish that the American people had 
an opportunity to watch my distinguished chairman and my distinguished 
ranking member, the gentlewoman from New York (Mrs. Lowey), and the way 
they work together on this very important aspect of our national 
security program. I want to commend them both and the full committee 
for the bipartisan nature of the bill.
  A couple of things that I would mention about it. This bill addresses 
the AIDS pandemic by providing a total of

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$2.2 billion in global assistance to combat HIV/AIDS, as well as other 
very serious diseases. I think President Bush deserves to be commended 
for his world leadership in fighting HIV and AIDS.
  Mr. Chairman, in the year 2000, Mr. Bush ran as a compassionate 
conservative, and some people smiled about that and doubted that. I 
think President Bush has shown his leadership and strength in the 
things that he has done with regard to Afghanistan and Iraq. But when 
it comes to HIV and AIDS, President George W. Bush has shown the world 
the level of his compassion in bringing people from the conservative 
side of the spectrum to support his worldwide effort to combat HIV and 
AIDS. This is the highest level of AIDS funding in the history of our 
Republic, and so I want to commend the subcommittee, but also the 
President of the United States for his compassionate leadership in this 
matter.
  The bill provides an increase in foreign assistance for Israel. As we 
move toward a peaceful resolution to the Middle East issue, it is 
important for us in America to remember that Israel is our steadfast 
friend and ally, that they are one of the few democracies in the 
region, and that they are surrounded by sworn enemies. So as we try to 
bring the Palestinians in and we try to make everyone a little more 
friendly in that area, we do not need to forget the fact that Israel is 
our faithful ally.
  The chairman mentioned that he and I have traveled together, and 
sometimes we do not like to talk about travel when we go back to our 
constituents. But I have had an opportunity as vice chairman of this 
committee to visit in Asia and Iraq and in Afghanistan, and, with the 
ranking member, in some of the poorest areas of Africa; and it is 
heartening, Mr. Chairman, to see the level of involvement of so many 
Americans. Certainly we are proud of our troops. It just takes your 
breath away to see the young men and women of America who volunteer to 
support our country in uniform. But also, when you go to Africa and you 
see the Peace Corps volunteers, highly educated graduates of 
universities who are willing to serve for very, very little pay; when 
you see the personnel of the USAID agency and realize the fact that 
they are willing to go in harm's way, though not in a military 
capacity, but to risk their lives in very, very hostile environments to 
advance the cause of the United States, and also to do some good in an 
altruistic way, it is absolutely astonishing. It renews my faith in the 
American people and in our spirit of volunteerism.
  This is a balanced bill. I commend both the ranking member and the 
subcommittee chairman.
  Mrs. LOWEY. Mr. Chairman, I am very pleased to yield 1 minute to the 
gentleman from New Jersey (Mr. Andrews), our distinguished colleague 
who happens to have his daughter in the audience with her really 
distinguished road show for the show ``Oliver.'' So we are very happy 
to yield 1 minute to the gentleman from New Jersey (Mr. Andrews).
  Mr. ANDREWS. Mr. Chairman, I thank my very gracious friend, the 
gentlewoman from New York (Mrs. Lowey), for yielding me this time.
  Mr. Chairman, the story of boys and girls living on the street and 
starving to death in our culture is a matter of fiction. It is the 
story of Oliver Twist. But for huge numbers of people in the world 
today, it is not a matter of fiction; it is a matter of fact. Seventy 
percent of the world's population lives in countries where the per 
capita income in 1 year is equal to what Americans make in a month. 
Seventy percent of the people live in desperate poverty, and many of 
those people live in countries where the debt owed by those countries 
to Western lending institutions is huge.
  I commend the chairman and the ranking member for their initiative in 
the Millennium Challenge Account. By putting $1.25 billion into debt 
relief for these struggling countries, this is not only an act of human 
mercy; it is an act of economic intelligence that will benefit our own 
country as well as the people living in these very troubled and 
destitute countries.
  So I thank the gentleman from Arizona (Mr. Kolbe) in the majority. I 
thank my dear friend, the gentlewoman from New York (Mrs. Lowey), in 
the minority. I urge a ``yes'' vote on the bill.
  The Chairman pro tempore (Mr. Terry). The Chair would announce that 
the gentleman from Mississippi (Mr. Wicker) has 7 minutes remaining; 
the gentlewoman from New York (Mrs. Lowey) has 16\1/2\ minutes 
remaining.
  Mrs. LOWEY. Mr. Chairman, I am very pleased to yield 3 minutes to the 
gentleman from New York (Mr. Weiner), a distinguished New Yorker who 
happens to represent my former district in Queens.
  Mr. WEINER. Mr. Chairman, I thank the chairman and the ranking member 
for their fine work on this bill. This is an extraordinarily important 
bill each year. It is very easy to demagogue that we should provide the 
funding that we do; but, in fact, for relative pennies on the dollar, 
we get an enormous amount of benefit for our country.
  I rise to engage the chairman of the subcommittee in a colloquy to 
discuss the continuing humanitarian crisis in the Dominican Republic.
  This last May, as many as 2,000 Dominicans and Haitians were killed 
during flooding in the region surrounding the Haitian-Dominican border. 
In what was perhaps the worst natural disaster ever to hit the 
Caribbean, there are over 660 dead in the Dominican Republic alone, and 
tens of thousands lost their homes as entire towns were washed away.
  The flooding was a result of a confluence of two unfortunate 
circumstances. The first is obvious. It was hurricane season in the 
Caribbean and there were heavy rains. But the second, as the chairman 
knows, was that poverty in the Dominican Republic and Haiti has forced 
Haitians and Dominicans to raze entire forests. The wood they harvest 
allows them to just barely scrape by. Without trees to hold the soil 
firm, the beautiful hills of the Dominican Republic and Haiti were laid 
bare, and those living in the valleys below were made susceptible to 
the mudslides which have wreaked so much devastation.
  Mr. Chairman, the chairman of the subcommittee, the gentleman from 
Arizona (Mr. Kolbe), and the ranking member have worked hard to provide 
assistance for both the Dominican Republic and Haiti in this bill, and 
they deserve to be commended for their efforts. Haiti, torn apart 
recently by a political crisis, has been provided an additional $50 
million in an effort to jump-start their economy and stabilize the new 
government.
  The Dominicans are suffering as well. In the late 1990s, the 
Dominican economy was growing by 8 percent a year, a remarkable 
achievement. Last year, the economy shrunk and is expected to shrink 
another 1 percent this year. Inflation is near 30 percent, and 
unemployment is at 16 percent.
  Mr. Chairman, I thank the chairman of the subcommittee for his 
continuing interest in helping the people of the Dominican Republic. I 
hope he will work in conference to provide additional aid to them.
  Before the chairman has an opportunity to respond, I will yield to 
the gentlewoman from California (Ms. Solis) to add her words.
  Ms. SOLIS. Mr. Chairman, I thank the gentleman from New York, and I 
also thank the ranking member on this committee, the gentlewoman from 
New York (Mrs. Lowey), and I also want to congratulate the chairman of 
this subcommittee as well.

                              {time}  1245

  I rise today to speak about the Dominican Republic as well. I have 
some deep concerns regarding the lack of emphasis to provide sufficient 
funding to allow for people there to gather their lives again. We lost 
414 people there, 274 missing, 1,600 families displaced, 3,000 homes 
destroyed.
  We need infrastructure funding. We need homes. We need to bring some 
social awareness and hopefully infrastructure dollars there to put back 
the lives of the people that live in the Dominican Republic. Many of 
their family members live in the States. They do

[[Page 15809]]

send remittances, not nearly enough as what I think should be required 
or given and would ask that in your discussions that we can include 
them further in detail.
  Mr. WICKER. Mr. Chairman, I yield myself 15 seconds to respond to the 
previous speakers on behalf of the gentleman from Arizona (Chairman 
Kolbe). Between now and conference the gentleman from Arizona (Chairman 
Kolbe) will work with USAID to determine the needs of the government of 
the Dominican Republic with regard to this issue and to ensure the U.S. 
is being as responsive as possible.
  Mr. Chairman, I yield 3 minutes to the gentleman from Illinois (Mr. 
Kirk), a valuable member of our subcommittee.
  Mr. KIRK. Mr. Chairman, I rise in very strong support of this bill 
and the work of the gentleman from Arizona (Mr. Kolbe) and the 
gentlewoman from New York (Mrs. Lowey), our chair and ranking minority 
member.
  Mr. Chairman, many have said that the United States in this current 
campaign should build allies, that we should strengthen our ties with 
other governments, that we should back peace treaties and agreements 
that make war much less likely. This bill does that.
  In 1917, the U.S. went to war in Europe and lost hundreds of 
thousands of young men. In the following years, our government took the 
easy way out. We demobilized. We saddled allies with debt. We focused 
resources at home. It was a very popular set of decisions but also laid 
the foundation for World War II.
  One man who understood this well as a mistake was Harry Truman, a 
veteran of World War I. He saw the waste of a Second World War and knew 
that he had to do everything to prevent another conflict.
  We had to keep an army overseas. We had to lead international 
organizations. We had to help allies. These were not popular decisions, 
and Truman made these tough decisions that started this appropriations 
bill when he stood at 32 percent in the polls.
  The lessons he learned were well applied to the world after September 
11. This bill backs our allies, especially in the Middle East. It also 
provides debt relief and reduces the growth of population in countries 
that can barely create jobs for the people they already have. We have 
learned that we must be engaged and aggressive with aid and provide 
leadership in conflict regions.
  One institution Truman created was the World Bank, officially titled 
the International Bank for Reconstruction and Development. The bank 
moved quickly into occupied Japan and Germany to rebuild those 
countries. We fulfilled our obligations and built not just security 
relationships but allies.
  Years after the Bank moved in, we finally created new governments in 
Germany and Japan. The Bank has a proud tradition of moving quickly and 
keenly in new states emerging from civil war. I am the only Member of 
Congress that is an alumni of the Bank, and during my time we opened 
offices in zones of conflict in quasi states and Eastern Europe and the 
former Soviet Union.
  The Bank also provided aid to Croatia and Bosnia and Haiti. It had a 
proud staff that knew their work was dangerous but important. Given 
this, it is surprising the World Bank is now so slow to help the people 
of Iraq. Iraq is a founding member of the World Bank. After the 
coalition moved into Baghdad, the Bank launched a timely study of 
Iraq's needs, but then most action stopped.
  After the U.N. Baghdad bombing, the Bank lost a staff member and 
withdrew all of its international staff from Iraq. No one has returned, 
and the Bank has no plans to put international staff in Iraq.
  Worse, the Bank staff spent from May, 2003, until 2004 debating 
whether to recognize a new government. I think this is a call to action 
to Secretary Snow to rectify the situation and hope that we can act.
  Mrs. LOWEY. Mr. Chairman, I yield 5 minutes to the gentleman from New 
Jersey (Mr. Rothman), a good friend and distinguished, effective member 
of the committee.
  Mr. ROTHMAN. Mr. Chairman, I thank the gentlewoman from New York for 
yielding me the time.
  Allow me, Mr. Chairman, to first thank the gentleman from Arizona 
(Mr. Wicker) for all of his cooperation and that of his staff in taking 
into consideration all of our concerns, including those in the 
minority. It is greatly appreciated, and the spirit of bipartisan that 
you bring to the committee is very welcome and I believe has produced a 
very fine bill overall.
  Of course, my ranking member, the gentlewoman from New York (Mrs. 
Lowey), has done a magnificent job in leading us in so many ways to 
improve the condition of peoples around the world.
  A lot of Americans wonder why we spend any money on foreign aid at 
all. Well, it is really very simple. Of course, we have a humanitarian 
interest in making sure that people do not suffer, and we help our 
neighbors, not just those next door but across the border.
  But if one were to look at it purely selfishly, in America's national 
interest, we do not want people to go hungry. We do not want them to be 
brutalized by dictatorships. We do not want them to become resentful 
and frustrated and angry, and we do not want them to lash out at all of 
the powers in the world who live in a democracy and live in freedom, 
which is what we are facing now, people who have been deprived or who 
feel deprived, who have nothing to lose by giving up their lives, so 
they think, to destroy a world order that has ignored them.
  Mr. Chairman, I am so delighted that this bill provides money, for 
example, for microloan projects, where $100 literally given to a small 
village in Africa or in Latin America or even in Eastern Europe can 
change the whole town's economy. Buy a sewing machine and create 
garments, sell those garments and buy another sewing machine.
  Along with our aid to our allies such as the state of Israel, to 
Jordan in the Middle East, our assistance to Egypt, which hopefully 
will continue to help the situation in Gaza, number one, by preventing 
smuggling of arms from Egypt to the Palestinians that are being used 
against Israeli civilians but also to help train a security force in 
Gaza so that when Israel pulls out of Gaza, as they have announced 
their intention to do, there will be a civil order in Gaza and the 
Palestinians can control Gaza themselves and hopefully develop a 
moderate leadership that is interested in living in peace next to its 
neighbor, our number one ally and friend for 55 years, the state of 
Israel.
  I am also delighted that we have provided sufficient money for 
Armenia and Azerbaijan, money for Cyprus for bicommunal activities, 
because these are ways that areas, countries where there was 
traditionally tension between the two countries or the two entities 
within one country can find common ground, get over their historical 
differences and work together. Hopefully, that is an example for the 
whole world.
  Of course, in Haiti and the Sudan there is much to do. There is so 
much suffering in Haiti, and that is why I am proud that $75 million in 
humanitarian aid for Haiti's recovery is in the bill, and that $310 
million is in the bill for the Sudan, where there have been and are 
presently ongoing horrors, murders and rapes and slavery, literally 
slavery of men, women and children in that region. So that $310 million 
will be very well spent.
  Again, this foreign aid bill not only is in our humanitarian interest 
to do to make the world a better place and to help our neighbors live a 
better life, we want to make sure that the people of the world are well 
fed, have a job, have a chance to be free, have a chance to take care 
of their families.
  This is so important and especially now when, regardless of the 
cause, and we can debate the cause, I think it is fair to say, and most 
Americans believe, that many people in the world wonder about America's 
character. They wonder about that great Nation, shining Nation on a 
Hill, if we still have the kind of values that they thought we had.
  Well, this foreign aid bill should let them know that the people of 
the

[[Page 15810]]

United States of America are as generous as always and interested in 
their well-being.
  Mr. Chairman, I ask for the support of this bill.
  Mrs. LOWEY. Mr. Chairman, I yield 2 minutes and 10 seconds to the 
gentlewoman from Texas (Ms. Jackson-Lee).
  Ms. JACKSON-LEE of Texas. Mr. Chairman, there is no doubt that this 
must be the most popular appropriations subcommittee, because so many 
of us have come to the chairman and the ranking member on many of our 
issues. Really, it deals with world harmony and world peace and the 
United States largesse or generosity to the world.
  It also has its criticisms; and I might say that, along with my 
appreciation for the gentlewoman from New York (Mrs. Lowey) and the 
gentleman from Arizona (Chairman Kolbe), I do want to acknowledge some 
concerns as I give applause.
  First of all, I want to acknowledge the strong statement that was 
made as it regards to Sudan. So many of us have lent our voices to this 
issue. I know many have traveled, and many will travel, to Sudan to 
look at the heinous and horrific acts occurring in Darfur, where Muslim 
is killing Muslim, where Arab Muslim is killing black Muslim, where 
women are being pillaged and killed. And we know for sure that there 
needs to be definitive peacekeeping.
  We also know that the governor of Khartoum needs to act, and I would 
hope when we finish this bill we will have strong, pointed language 
that the killing must stop and that we will not allow this to be 
another Rwanda.
  I also hope that we will strengthen the peace effort in Haiti, 
recognize that some of us are still concerned about the deposing of a 
democratically elected leader, but we want most of all for Haiti to be 
able to rebuild itself, and we look for those resources in this 
legislation.
  I add my voice to the concern of the Dominican Republic and Haiti in 
terms of dollars to help reconstruct.
  I also support amendments that are adding to the HIV/AIDS killer. As 
we know, the efforts in Thailand suggest that HIV/AIDS is still killing 
around the world, but I offer an amendment as well to recognize that it 
is important to provide U.S. aid to the starving countries around the 
world.
  But, Mr. Chairman, I want to add, if you will, something to 
sustainable development, to provide resources so that farmers can be 
shown how to work in droughts in Arab communities so that they can 
provide for themselves around the world. This is an important step.
  And lastly, Mr. Chairman, I hope that we will not underfund Pakistan 
when they are helping us in the war on terror. We should not vote 
against any amendment that cuts the resources for Pakistan.
  Mr. KOLBE. Mr. Chairman, I yield 2 minutes to the gentleman from 
Florida (Mr. Crenshaw), another distinguished member of our 
subcommittee.
  Mr. CRENSHAW. Mr. Chairman, there are a lot of good reasons to 
support this legislation, but let me just touch on one, the Millennium 
Challenge Account. It is a new way to deal with foreign aid and foreign 
assistance.
  The old way has run its course. We would appropriate money, hold our 
breath and hope the countries might reallow some of the things that we 
wanted to happen. And, yet, now we have a results-oriented approach. 
Because built in to these Millennium Challenge Accounts are incentives 
for countries to adopt new policies, to provide for economic and 
personal freedom, and that is a giant step forward.
  If you stop and think about it, our threats to this country in terms 
of terrorism are not going to come from rival global powers. They are 
going to come from the smaller emerging countries, smaller failing 
countries. Those are countries where they lack education, they lack the 
rule of law, they lack personal freedom; and those are countries where 
terrorism can flourish, where terrorism can fester, where terrorists 
can find sanctuary. If we want to deal with those kinds of threats, it 
seems to me we can prevent that from happening through this new 
approach where we encourage policies like the rule of law, encourage 
human rights, civil liberties, and we can build the kind of countries 
through our foreign aid that will prevent this from happening in the 
future.

                              {time}  1300

  Mr. Chairman, I encourage all of my colleagues to support this 
legislation for these and other good reasons.
  Mrs. LOWEY. Mr. Chairman, I yield 2 minutes to the gentlewoman from 
California (Ms. Millender-McDonald).
  Mr. KOLBE. Mr. Chairman, I yield 30 seconds to the gentlewoman from 
California (Ms. Millender-McDonald).
  Ms. MILLENDER-McDONALD. Mr. Chairman, let me thank the gentlewoman 
from New York (Ms. Lowey) for her ongoing strong leadership. She has 
been upfront on this issue since I have been in Congress and even 
before that.
  I would like to take this opportunity to engage in a colloquy with 
the distinguished chairman, the gentleman from Arizona (Mr. Kolbe), 
regarding pediatric HIV/AIDS treatment and care. I would also like to 
thank him for his strong leadership on this issue and his ongoing 
commitment to this cause.
  As the chairman knows, I have worked consistently for global HIV/AIDS 
treatment and prevention programs, particularly for children and 
orphans in Africa. Currently, over 14 million children have been 
orphaned by HIV/AIDS, 95 percent of them in sub-Saharan Africa. And 
while Africa is the epicenter of the pandemic, the next wave is 
projected to include China and India with between 1 to 15 million and 
20 to 25 million infected people, respectively, by 2010.
  Mr. Chairman, there is a shortage of trained health care providers 
who understand and are knowledgeable of the special needs that children 
with HIV/AIDS have.
  I have introduced H.R. 4191 that calls for establishing pediatric 
HIV/AIDS centers in 10 countries, seven in Africa and the rest in India 
and China and Guyana. These are countries with epidemic rates of HIV/
AIDS resulting in children and orphans with no social support system. 
These centers would not only provide treatment but also critical 
training and research, and they are essential.
  I hope that the chairman and the ranking member would bring forth 
their leadership in providing some assistance here.
  Mr. KOLBE. Mr. Chairman, will the gentlewoman yield?
  Ms. MILLENDER-McDONALD. I yield to the gentleman from Arizona.
  Mr. KOLBE. I thank the gentlewoman for her attention to this 
important issue. Children that are affected by HIV/AIDS are a group 
that tugs at the heart strings of all people. I have worked closely 
with USAID and the Global AIDS coordinator to develop an integrated, 
comprehensive approach to fighting this disease, and pediatric AIDS is 
a core component of that approach.
  While I applaud the gentlewoman's intentions, I believe that in some 
circumstances, integrated treatment and care centers where both adults 
and children can receive attention would be more appropriate. However, 
I will be happy to work with the gentlewoman, the Global AIDS 
coordinator, USAID, and other concerned parties to ensure that orphans 
and vulnerable children receive proper treatment, care and support, as 
part of a comprehensive approach to fighting this disease.
  Ms. MILLENDER-McDONALD. I thank the distinguished chairman and the 
gentlewoman.
  Mrs. LOWEY. Mr. Chairman, I yield 2 minutes to the gentleman from 
Oregon (Mr. Blumenauer).
  Mr. BLUMENAUER. Mr. Chairman, I thank the gentlewoman for yielding me 
time.
  I would join in the praise that I think is well deserved, commending 
the committee for what it has accomplished within a 302(b) allocation 
that is far too small, given the immense task that they have been 
assigned.
  There is truly no money that is more important for humanitarian and 
national security purposes than the money that is spent under this 
bill. For example, 10,000 people per day needlessly die from waterborne 
diseases. That is why I am pleased that the

[[Page 15811]]

chairman mentioned the funding for Water For the Poor, the $970 million 
3-year program to finish our commitment that was launched at the United 
Nations Environmental Summit in Johannesburg.
  I note the report language on Urban Programs that is to be found on 
page 21 where it is pointed out that massive urbanization occurring 
throughout the developing world is a significant problem. It has been 
identified by the CIA as one of the seven top threats to American 
security. The committee is suggesting the USAID focus on urban issues 
appears to be diminishing as the urban-specific problems are 
accelerating and seeks to have a report on this issue.
  This is critically important, and very necessary at this point.
  I would also urge continued oversight on the part of this 
subcommittee about the balance of aid between Iraq and Afghanistan. We 
have already spent 10 times as much on development assistance for Iraq, 
a smaller, richer and less seriously damaged country than Afghanistan, 
where, after all, the 9/11 attacks were launched and where we are now 
seeing over two-thirds of the global illicit heroine production.
  I am hopeful that the subcommittee can use its oversight power to 
deal with the correction of that imbalance toward this needy country.
  The CHAIRMAN. The gentlewoman from New York (Mrs. Lowey) has 2\1/4\ 
minutes remaining. The gentleman from Arizona (Mr. Kolbe) has 1\1/2\ 
minutes remaining.
  Mrs. LOWEY. Mr. Chairman, I yield 2 minutes to the gentleman from 
Providence, Rhode Island (Mr. Kennedy).
  Mr. KENNEDY of Rhode Island. Mr. Chairman, I thank the gentlewoman 
from New York (Mrs. Lowey) and the chairman for their work on this 
legislation.
  I too want to join any colleagues in saying how important a bill like 
this is, and I only hope this Congress recognizes how critical the kind 
of aid that is provided through legislation like this is in a time 
where we are trying to combat international terrorism.
  Terrorism feeds on instability. Terrorism feeds on poverty. Terrorism 
feeds on the loss of hope. And unless we build these economies, unless 
we provide stability to these countries, such as Sudan, which is 
obviously such a great tragedy, and I am pleased to see this committee 
work to try to address the needs of the Sudanese who are starving and 
dying every day. But in addition to that, Liberia; and I wanted to make 
a special note. Liberia has been racked with a civil war for over 10 
years or more. A third of their population has been driven from their 
country.
  We need to continue to support the effort to connect and build 
Liberia so that the refugees that have been scattered all around the 
world can come home and help make that country a country that can move 
into the future.
  The United States has a very close relationship with Liberia. Liberia 
was founded for former American slaves, hence the name Liberia. Its 
capital city was named after the President who did that, President 
Monroe, Monrovia. And I know that within the bill also there are funds 
for the John F. Kennedy Hospital which is the primary health care 
facility in Monrovia. And I am pleased to see that the committee has 
acknowledged that in the efforts to help rebuild Liberia and make it so 
that those people can move forward in their country.
  I thank the gentlewoman for the time.
  Mrs. LOWEY. Mr. Chairman, how much time remains?
  The CHAIRMAN. The gentlewoman from New York (Mrs. Lowey) has 15 
seconds remaining.
  Mrs. LOWEY. Mr. Chairman, I yield 15 seconds to the gentlewoman from 
Texas (Ms. Granger).
  Mr. KOLBE. Mr. Chairman, I yield the balance of my time to the 
gentlewoman from Texas (Ms. Granger).
  The CHAIRMAN. The gentlewoman from Texas (Ms. Granger) is recognized 
for 1\3/4\ minutes.
  Ms. GRANGER. Mr. Chairman, I thank the gentleman from Arizona (Mr. 
Kolbe) and ranking member, the gentlewoman from New York (Ms. Lowey), 
for their hard work on this bill.
  This is a tough appropriations year. The chairman, the ranking member 
and the entire subcommittee staff worked very diligently to create a 
good bill. It addresses some of the pressing issues: education, 
narcotics abuse, and worldwide terrorism.
  Earlier this week I had the opportunity to meet with some of the most 
well-educated Iraqi women, many with Ph.D.s and layered graduate 
degrees. Now that Saddam Hussein's oppressive regime has been removed, 
these women are socially active and involved in Iraqi politics. This 
bill recognizes that education increases awareness and activism in 
developing countries.
  The bill supports the war on terrorism by training international 
forces in hunting down al Qaeda. It increases funding to train and 
equip the new Afghan National Army. It provides money for Pakistan's 
military efforts.
  I want to thank the chairman for helping to look into the issue of 
pay for Afghanistan police recruits and instructors, a concern that I 
had and that I learned primarily of from my district. I look forward to 
working with the chairman to find a solution.
  The bill also funds programs that alleviate the international 
narcotics program. I am a member of the Speaker's Drug Task Force and 
know that narcotics control is a pressing international issue, 
especially for Afghanistan. This bill provides $329 billion to 
international narcotics control. In doing this we are showing our 
commitment to root out the main source of terrorism funds.
  I thank the chairman, the ranking member, and the subcommittee staff 
for their help on this bill.
  Ms. GINNY BROWN-WAITE of Florida. Mr. Chairman, I rise today to speak 
out against H.R. 4818, this year's Foreign Operations Appropriation 
Bill. I want to state my apprehension about what has been this Nation's 
philosophy toward international aid. Perhaps I should say, I rise today 
to restate my concerns, as much of what troubles me about our foreign 
aid philosophy is unchanged from year to year. In fact, Mr. Speaker, 
none of my worries have been reconciled. In some cases, my fear has 
grown.
  A year ago I found myself in exactly the same position. I expressed 
grave reservations regarding the way the American taxpayers' money was 
squandered abroad. I had reservations about sending so much of our 
money away when we have dire needs and deficits here at home. I had 
serious reluctance about giving money to the UN, an institution that is 
grossly inefficient, fosters anti-American sentiment, attacks our 
values and, I believe, furthers anti-Semitism. I had grave reservations 
that our money was spent to prop up regimes that oppose the war on 
terror and, in some cases, even help terrorists.
  It is often said that the definition of insanity is doing the same 
thing over and over again, expecting a different result. After voicing 
my concerns, I waited and have yet to see a significant change. I am 
someone who is accustomed to results. Because I haven't seen any, I am 
going to change my vote. Last year, I voted for the Foreign Operations 
Appropriation Bill. This year I am voting against.
  I am voting against the Foreign Operations Appropriation because I do 
not believe America should be sending money to nations that have turned 
their backs on our efforts in fighting the War on Terror when our young 
men and women are sacrificing on foreign soil. I do not believe we 
should be sending money to the UN until we can be sure that it was not 
propping up Saddam's regime through the oil for food program. We should 
not send money to the World Bank when so many of its loans have been 
failures; and I do not believe we should be sending money to fight AIDS 
in Africa when we have Americans who need healthcare here at home.
  While I am voting against the Foreign Operations Appropriation Bill, 
I know there are worthwhile causes in the bill. I am torn about my 
vote. I have always been such a strong and staunch supporter of Israel. 
As the only established democracy in the Middle East, I have always 
wholeheartedly supported aid for Israel. As one of our strongest and 
unflagging allies in the region, Israel indeed deserves our support. 
Israel has been on the frontlines in the war on terror. The Israeli 
people understand America's need to take the battle to our enemies, 
unless we want to be fighting it on the streets of New York. Our 
support for this nation is fully justified and I just wish there was 
more we could do.

[[Page 15812]]

  I would like to point out that there is hope. We have learned some of 
the lessons of our foreign aid insanity. I have much admiration for the 
President's Millennium Challenge Accounts. The Millennium Challenge 
Corporation changes the direction of our foreign aid. This assistance 
is based on criteria that reflects our values. In order to receive aid 
through Millennium Challenge Accounts countries must sign compacts that 
they pledge to govern justly, invest in their people, promote economic 
freedom and fight corruption. In addition to acknowledging to these 
principles in advance, these countries also agree to be monitored and 
will forfeit future aid if they don't make regular progress towards 
meeting these goals. There are 16 criteria by which countries agree to 
be judged and I am hopeful this results based approach will promote 
greater responsibility in our foreign aid programs.
  Mr. Chairman, I am voting against the foreign aid bill because too 
much of our taxpayer's dollars are wasted on misguided and misdirected 
programs. It is my hope that in the future we will hold international 
institutions to higher standards of accountability and promoting 
freedom.
  Ms. JACKSON-LEE of Texas. Mr. Chairman, I rise in opposition to the 
amendment that was to be offered by Congressman Ron Paul, which seeks 
to strip Pakistan of necessary resources.
  H.R. 4818, without the Paul amendment, allocates up to $200,000,000 
to Pakistan in the form of direct loans and guarantees; enables unused 
funds (up to $150,000,000) appropriated under the ``Economic Support 
Fund'' and ``Foreign Military Financing Program'' to provide assistance 
for Pakistan; makes funds appropriated in title I and II of this bill 
available to Pakistan, as well as victims of war, displaced children 
and victims of trafficking; and finally, it allows funds allocated to 
Department of Defense to be expanded for crafting, packing, handling 
and transportation of excess defense articles to various countries, 
including Pakistan.
  The funding provided in the bill, without the Paul amendment, will 
act as a tool in the global war against terrorism, as Pakistan has been 
our partner in this effort. This assistance will create programs 
combating the spread of disease such as HIV/AIDS, and will continue to 
foster a much needed trusted relationship in that region of the world. 
Finally, our assistance will help educate the children of Pakistan, who 
will be the leaders of tomorrow. As chair of the Congressional 
Children's Caucus, I have witnessed how often we forget to provide for 
our children, who lose international attention and priority during 
times of active military engagement.
  With our assistance, we have been able to witness Pakistan's economic 
trade and investment improvements, health care improvement, the 
promotion of democracy and human rights, increased education provision, 
and the further development of science and technology in Pakistan. By 
continuing to assist this nation, we will continue a true partnership 
that promotes world peace and security, and uncaps Pakistan's vast 
untapped economic potential to the benefit of both Pakistan and the 
United States.
  The United States has enjoyed a strong relationship with the 
government and people of Pakistan since the founding of the modern 
state in 1947, and Pakistan has proven to be an indispensable ally 
during both the Cold War and the War on Terror.
  Pakistan's strategically important location and unwavering support 
have played a decisive role helping to remove the Taliban regime from 
Afghanistan and the capture of hundreds of wanted al-Qaeda terrorists. 
Pakistan has suffered thousands of casualties and has been a victim of 
numerous terrorist acts on their own soil because of their 
steadfastness with our nation in the War on Terror.
  Stripping assistance from Pakistan sends out the wrong message; such 
an act is disrespectful and most importantly it is dangerous. By 
choosing to single out and exclude Pakistan from access to our 
financial assistance, we show them how unappreciative we are for their 
efforts to aid us in the War against terrorism. Pakistan has been 
committed to assisting us in the effort to stomp out terrorism, and has 
proven this commitment by capturing hundreds of terrorists found in 
Afghanistan and all over the world.
  Congressman Paul asserts that, ample evidence exists proving that 
Osama bin Laden is a current free resident of Pakistan, and highlights 
the ineffectiveness of their aid thus far. I ask you to question the 
validity of this intelligence. Is this the same intelligence used, 
which caused our nation to believe that Sadam Hussein was harboring 
weapons of mass destruction? I ask that you also reflect upon our own 
nation as to how effective we have been in capturing Osama bin Laden 
ourselves. Playing the blame game has no place here, and only acts to 
alienate and ostracize a valued ally in the War on Terrorism. 
Congressman Paul's amendment suggests that because Osama bin Laden may 
be currently at-large in Pakistan, we should strip our funding from a 
nation that has provided us with enormous amounts of aid in our effort 
to stomp out terrorism.
  Finally, Mr. Chairman, I would like to urge my colleagues to remember 
the fact that we called upon the help of Pakistan during both the Cold 
War and the War on Terrorism, and in both instances they helped us. 
Without the knowledge of the future, it would be very unwise to cut off 
a country that we may need yet another time in the future. There is 
absolutely no reason to strain our ties with Pakistan by denying them 
the assistance needed.
  Mr. JACKSON of Illinois. Mr. Chairman, I rise to commend Chairman Jim 
Kolbe, Ranking Member Nita Lowey, the other members of the Foreign 
Operations Appropriations Subcommittee and the majority and minority 
staffs for the bipartisan, collegial spirit during our oversight 
hearings and the subcommittee and full committee markups.
  I feel privileged to have worked with such a fine group of people. We 
all know this is a difficult appropriations year, and I am grateful to 
Chairman Kolbe and the subcommittee staff for their even-handed 
approach to drafting the FY 2005 Foreign Operations bill.
  I support this bill, despite the lack of resources. The Chairman and 
the subcommittee staff incorporated most of my requests that 
significantly improve funding for health and development programs for 
those suffering in the developing world--especially in Africa. I thank 
them for that.
  During my tenure on this subcommittee, I have always fought for more 
funds for sub-Saharan Africa. When the President submitted his budget 
for the Foreign Operations bill earlier this year, he proposed several 
cuts in Development Assistance and Child Survival funds to scores of 
specific African countries. Development Assistance funds are crucial to 
the long-term, sustainable development of these countries because they 
fund agriculture, education, environment, democracy, and governance 
programs. Child Survival funds are important because they combat 
infectious diseases such as HIV/AIDS, malaria, and tuberculosis.
  Moreover, during our oversight hearings, administration witnesses did 
not put forward a coherent or credible plan when it came to solving the 
long-term health and development problems of sub-Saharan Africa.
  After working with the Chairman and the Ranking Member, we restored 
these cuts and improved the bill.
  Let me be the first to say that this bill is not perfect. Overall, it 
is almost $2 billion below the President's request. Our commitment to 
the Global Fund to Fight AIDS, TB and Malaria is severely underfunded 
by possibly hundreds of millions of dollars, and although funding for 
the Peace Corps has been increased from last year relative to FY 2004, 
it is $70 million below the President's FY 2005 request.
  Moreover, this bill is $95 million below the President's request for 
Debt Restructuring and $13 million below our commitment for the Global 
Environment Facility.
  One of the more troubling aspects of this bill is that the Rules 
Committee did not make in order a very thoughtful amendment by my 
Ranking Member, Representative Lowey.
  Representative Lowey's amendment would have provided much needed 
health care resources through UNFPA programs in only 6 countries of 
strategic and national security importance to the U.S.: Iraq, 
Afghanistan, Jordan, Pakistan, Kenya and Tazania and would continue to 
prohibit funding for any individual UNFPA country that has been cited 
for violating Kemp-Kasten.
  Despite these omissions, I plan to support this bill. The House 
should not let the perfect be the enemy of the good.
  Although I think this bill underfunds the Global Fund, it is $300 
million above the President's request. This bill is $228 million above 
the President's request for Child Survival and Health Programs. It is 
$100 million above the President's request for Development Assistance, 
and $27 million above the President's request for Migration and Refugee 
Assistance.
  Also, this bill includes $12 million for conflict resolution and a 
$17 million increase for International Organizations and Programs.
  All of the cuts requested in the Child Survival and Health Programs 
were restored, and $6 million has been included for obstetric fistula 
prevention and repair. All of the cuts requested for sub-Saharan 
African countries in Child Survival and Development Assistance accounts 
have been restored and there is a $15 million African school fee 
reduction incentive fund.
  The Chairman and the Ranking Member have produced a solid piece of 
legislation despite the lack of resources they were provided.

[[Page 15813]]

I cannot stress enough how much I have enjoyed my work this year on the 
Foreign Operations Subcommittee as we addressed the problems and 
concerns of the developing world. I encourage my colleagues to support 
this bill.
  Mr. CROWLEY. Mr. Chairman, I rise today in strong support of this 
bipartisan legislation crafted by Mr. Kolbe and my good friend from New 
York, Ms. Lowey.
  Representing one of the most diverse Congressional districts, I know 
how important U.S. foreign assistance is to nations around the world 
and I have seen the success of our assistance firsthand.
  I am pleased to see the committee increased international development 
assistance--this is a positive step by the U.S.
  We cannot afford to offer only military assistance to front line 
states in the war on terrorism. Our Nation must address some of the 
root causes that attract young men and women to the extremists like 
poverty, lack of education, and the lack of freedom in their countries.
  I thank the Chairman and Ranking Member for supporting priorities of 
mine, including the Asian University for Women that is located in 
Bangladesh and increased funding for the Peace and Reconciliation 
programs in this legislation. I believe these types of programs are a 
step in the right direction to help solve some of the problems that we 
face around the world.
  This bill also includes $25 million for the United Nations Population 
Fund. But we all know that money will not be released by this 
administration, because the administration seems determined to hinder 
the health of women around the world. And this bill continues to 
mandate the onerous Global Gag Rule, which keeps funding away from 
groups such as the Bangladeshi Rural Advancement Committee and their 
work to improve child and maternal health.
  While I am saddened to see these horrible policies continued there is 
much good in this bill particularly when you look at the Middle East. I 
strongly support the $2.2 billion in foreign military funding and 
economic aid in this bill for Israel. At this critical point of the 
peace process we must make sure that our friend and close ally receives 
all the support they need to protect themselves from terrorists and the 
states that support them.
  While I am pleased about the support for Israel as well as Jordan, a 
steadfast ally and proponent of stability, I believe the United States 
must do more to combat the anti Israeli and Western stances taken by 
our supposed allies like Saudi Arabia. The anti-Semitic statements made 
by Crown Prince Abdullah show the true feelings of this so called 
ally--my colleagues and I have raised our outrage and it is time for 
the Administration to speak out against these types of slanderous 
statements.
  Egypt will all receive full funding under this bill and I am pleased 
to see that the Egyptians are starting to take a more active role in 
the peace process and working to close terrorist smuggling rings in 
Gaza.
  I urge my colleagues to support this bill.
  Mr. NUSSLE. Mr. Chairman, I rise today to speak on H.R. 4818, the 
Foreign Operations, Export Financing, and Related Programs 
Appropriations Act of Fiscal Year 2005. This is the [seventh] bill we 
are considering pursuant to the 302(b) allocations adopted by the 
Appropriations Committee on June 9th. I am pleased to report that it is 
consistent with the levels established by the conference report to S. 
Con. Res. 95, the concurrent resolution on the budget for fiscal year 
2005, which the House adopted as its fiscal blueprint on May 19th.
  H.R. 4818 provides $19.429 billion in new budget authority, which is 
within the 302(b) allocation to the House Appropriations Subcommittee 
on Foreign Operations, Export Financing and Related Programs, and 
outlays of $26.742 billion. The bill contains no emergency-designated 
new budget authority, nor does it include rescissions of previously-
enacted appropriations.
  Accordingly, the bill complies with section 302(f) of the Budget Act, 
which prohibits consideration of bills in excess of an appropriations 
subcommittee's 302(b) allocation of budget authority and outlays 
established in the budget resolution.
  I commend Chairman Kolbe's efforts to prioritize our foreign 
operations funding to respond to the global HIV/AIDS pandemic, to 
support our allies in the global war on terrorism, and to support 
innovative approaches to foreign assistance.
  In addition, I strongly support the record level of $2.2 billion in 
funding provided in the bill to combat HIV/AIDS, tuberculosis, and 
malaria; of which almost $1.26 billion is funded under the Global HIV/
AIDS account, $885 million under the Child Survival and Health Programs 
Fund, and $54 million through other accounts.
  I am pleased the Appropriations Committee was able to prioritize our 
critical funding needs for foreign operations within the fiscally 
responsible manner outlined in the budget resolution and, therefore, 
urge my colleagues to support H.R. 4818.
  Mr. PORTMAN. Mr. Chairman, I rise today to express my support for 
H.R. 4818, the FY 2005 Foreign Operations Appropriations bill, and I 
want to commend Chairman Kolbe and Ranking Member Lowey for including 
$20 million for the Tropical Forest Conservation Act. This is the 
amount requested by President Bush in his FY 2005 Budget submission.
  The TFCA is based on the previous Bush administration's Enterprise 
for Americas Initiative, and authorizes the President to restructure 
debt in exchange for conservation of threatened tropical forests 
worldwide.
  Tropical forests are important. They absorb carbon dioxide from the 
atmosphere to help reduce greenhouse gases. They help regulate rainfall 
on which agriculture and coastal resources depend, and their plants are 
a vital source of new medicines, including treatments for cancer.
  Regrettably, about 30 million acres of tropical forests (an area 
larger than the State of Pennsylvania) are lost each year because many 
countries are forced to exploit timber and other natural resources to 
generate revenue to pay their external debt.
  Seven TFCA agreements have been concluded to date: Bangladesh, El 
Salvador, Belize, Peru, the Philippines, Panama and Colombia. These 
agreements have generated more than $70 million in long-term income 
tropical forest conservation and will contribute to the conservation of 
40 million acres of tropical forests. Private donors have contributed 
more than $5 million to TFCA swaps, leveraging the U.S. government 
funds. Active deals are currently being negotiated with Jamaica and Sri 
Lanka. Several other countries that have expressed interest or are 
eligible for TFCA.
  On June 24th, The International Relations Committee unanimous 
approved H.R. 4654, a bipartisan bill I introduced with our colleague, 
Tom Lantos, and 32 other cosponsors to reauthorize TFCA through FY 
2007. That bill was developed with the Bush administration, the Nature 
Conservancy, the World Wildlife Fund, Conservation International and 
the Wildlife Conservation Society. We expect H.R. 4654 to come to the 
floor in the near future.
  TFCA is a worthy program that is working well. The Bush 
Administration is a strong proponent of the Tropical Forest 
Conservation Act, and it has bipartisan support in the Congress. I 
again thank the leadership for providing the funding in H.R. 4818 so 
TFCA can continue to protect some of the world's most threatened 
natural resources.
  Mr. GREENWOOD. Mr. Chairman, today, as the House considers the 
Foreign Operations Appropriations Act of 2005, I respectfully submit 
the following statement into the record in order to raise awareness of 
an issue that I have found most distressing. For over three years, I 
have been working on behalf of a company in my district, Pennsylvania 
Ship Supply Inc. (PA Ship) to resolve a financial dispute with a 
Ukrainian entity, the Black Sea Shipping Company (BLASCO).
  PA Ship is a company that provides ancillary services to ships at 
ports around the world. My office has been working on behalf of this 
company since June of 2001, although PA Ship's problems with BLASCO 
began much earlier. In 1996, PA Ship provided services to the BLASCO 
ship m/v Sosnogorsk in the amount of $17,242.44. Shortly thereafter, 
BLASCO filed for bankruptcy. To this date, PA Ship has yet to receive 
payment for the services it provided BLASCO.
  This matter is made all the more alarming by the fact that BLASCO is 
a state owned company. My office has made numerous attempts, through 
the Department of State, to resolve this issue. Unfortunately, the 
government of the Ukraine has been either unwilling or unable to 
provide much more than contact information for the Director and Deputy 
Head of the Ukrainian State Department of Sea and River Transport. 
Further inquiries from the U.S. Embassy to these agencies in the 
Ukrainian government have been ignored.
  I find this lack of concern on behalf of the Ukrainian government 
unacceptable. Ukrainian officials have indicated to my office that 
BLASCO's bankruptcy had been a major scandal in the Ukraine when it 
first surfaced in the mid-1990s. It is also my understanding that PA 
Ship was not the only company that has yet to receive payment for 
services rendered prior to BLASCO filing for bankruptcy.
  The government of the Ukraine has a well-established history of 
ignoring the concerns of its international partners. Since 1993, 
Ukraine has been seeking to gain accession to the World Trade 
Organization (WTO). Negotiations between the government of the Ukraine

[[Page 15814]]

and the WTO working party assigned to examine its application have 
yielded very little progress. Concerns about Ukraine's persistent 
failure to take effective action against significant levels of optical 
media piracy and to implement intellectual property laws that provide 
adequate and effective protection have prompted the United States Trade 
Representative to place Ukraine on its ``Priority Foreign Country'' 
list in its 2004 special 301 report, an action which could ultimately 
lead to an investigation. This dubious distinction is highlighted by 
the fact that the Ukraine is the only country to be placed on this list 
for this year.
  I urge the office of the United States Trade Representative to 
advocate for the suspension of the WTO working party's negotiations 
with the Ukrainian government until these and other outstanding issues 
have been resolved.
  Mr. STARK. Mr. Chairman, I rise in support of the Foreign Operations 
Appropriations Act for Fiscal Year 2005.
  There are many important initiatives in this bill, specifically: the 
extra funding for economic assistance to some of the poorest countries 
in the world, the additional funding for the Emergency Plan for AIDS 
Relief, and the sizable funding allocation for the implementation of 
development programs to support women in Afghanistan. This will help 
improve the lives of poor people in every corner of the globe.
  As the AIDS epidemic continues to wipe out enormous segments of the 
world's population, funding to improve and implement effective medical 
programs and infrastructure is vital. America has a responsibility to 
stem this horrific epidemic that claims hundreds if not thousands of 
lives every day. This bill provides significant funds toward that 
effort and thus deserves our support.
  Even as I vote for this bill today, however, I have serious concerns 
about this Congress' proclivity for taxpayer subsidization of foreign 
militaries and U.S. defense contractors. The bill continues this 
wrongheaded policy when Congress ought to be working to reduce the 
number of weapons in the world.
  I am also strongly concerned about the restrictions placed on the $25 
million provided to the U.N. Population Fund or UNFPA. Throughout the 
last three decades, UNFPA has provided over $6 billion in assistance to 
more than 150 countries for maternal and child health care and 
voluntary family planning. My Republican colleagues have successfully 
sought, year after year, to hobble this international health program 
under the dictates of their extreme ideological agenda, despite its 
success in lifting the yoke of poverty and disease from people around 
the world. Simple compassion tells us to provide funding for this 
effort without unfounded restrictions preventing UNFPA from fully 
addressing the interconnected issues of health, family planning and 
poverty.
  Although I am frustrated by the lack of commitment to disarmament and 
family planning programs in our annual foreign operations bills, I 
cannot deny the significance of so many other initiatives included in 
this bill, most notably the commitment to fighting global AIDS. I look 
forward to working with like-minded colleagues and advocates to improve 
this bill before it returns to the House as a conference report.
  Ms. JACKSON-LEE of Texas. Mr. Chairman, I rise to support the current 
bill and to applaud Chairman Kolbe and Ranking Member Lowey for their 
hard work and leadership in crafting an effective piece of legislation. 
However, in making appropriations for the entire nation, it is 
virtually impossible to have a complete assessment or to profess a 
complete breadth of knowledge of the regions that need the most 
assistance--because this is an ever-changing issue.
  Thus, I have offered an amendment. I support H.R. 4818, but I also 
urge that not less than $5 million be appropriated for agricultural 
development in sub-Saharan Africa. This money would not only provide 
assistance to needy farmers and villages, but it would also strengthen 
infrastructure and encourage sustainable agriculture growth.
  Providing small farmers and villages within the assistance and the 
resources necessary to plant, harvest, and distribute food crops is an 
essential component of development in Africa. In my amendment I propose 
doing much more than just giving small farmers money to buy farming 
products such as shovels, seeds, and livestock. I propose that we also 
improve infrastructure such as roads, irrigation canals, wells, and 
storage facilities. From this small investment, rural farmers will be 
able to reap profits for seasons and years to come. This is essence of 
sustainable development.
  Mr. Chairman, without such measures toward systemic change, 
populations all over the world will continue to be faced food 
shortages. It is estimated that there are already 842 million 
undernourished people in the world, 798 million of which lived in 
developing countries and 34 million of which live in developing 
countries. It is clear that this is an issue that affects both poor and 
rich countries.
  The African continent, however, is undeniably the hardest hit. The 
continent claims 24 of the 34 countries experiencing food emergencies. 
The sub-Saharan African region is feeling the brunt of this crisis with 
some 207 million people in 1999-2001 facing and experiencing food 
shortages. That amounts to nearly 26 percent of the sub-Saharan 
population facing inadequate access to nutritious food supplies.
  Such widespread hunger plays a crucial role in sub-Saharan African 
societies. There are implications for education. When a child does not 
have the proper nourishment in his breakfast, it is impossible to 
expect him to perform well in school. There are implications for public 
health. When a mother's body is ravaged by the effects of HIV/AIDS, it 
is impossible to expect that anti-retroviral drugs will ameliorate her 
situation when food is a requirement for taking such powerful drugs. 
There are implications for peace and security. When a young man's 
meager wages are not enough to help provide for his family, it is 
implausible to expect that he will not go to whatever lengths necessary 
to secure some sort of food for his family. Mr. Chairman, the United 
States is invested in improving the state of education, health, and 
peace in sub-Saharan countries. This will not be possible without 
providing for improvements in rural agriculture by providing assistance 
to small farmers.
  Those living in poor, rural areas are the most vulnerable. They 
comprise 70 percent of the continent's population and are the most in 
need of agricultural development because their livelihoods are 
dependent on agriculture.
  Small farmers produce the food that feeds the men, women, babies, and 
the elders living in the small villages scattered across the arid 
landscape of Africa. If we neglect Africa's rural population, we 
neglect Africa's backbone. If we provide these farmers with the 
necessary resources to shore up inefficient and antiquated 
infrastructure we open the door to alleviating a host of other problems 
that plague almost 70 percent of Africa's rural population that depend 
on agriculture.
  My proposal would allow for the development of small-scale 
irrigation, water and drainage, post-harvest storage, crop 
intensification, crop and livestock diversification, and rural 
infrastructure. Such improvements to infrastructure would encourage 
sustainable development and lead to a decrease in food shortage in the 
short and long run.
  The Special Programme for Food Security of the Food and Agriculture 
organization of the United Nations (FAO) along with other international 
NGOs is already making headway in Africa and other continents to reduce 
the food shortage crisis. We must acknowledge the benefits of 
agricultural improvement and its subsequent benefits for other areas of 
life for those living in rural communities and villages.
  Mr. Chairman, for the reasons stated above, I support H.R. 4818 with 
the principles set forth in the amendment that I offer.
  The CHAIRMAN. All time for general debate has expired.
  Pursuant to the rule, the bill shall be considered for amendment 
under the 5-minute rule.
  During consideration of the bill for amendment, the Chair may accord 
priority in recognition to a Member offering an amendment that he has 
printed in the designated place in the Congressional Record. Those 
amendments will be considered read.
  The Clerk will read.
  The Clerk read as follows:

                               H.R. 4818

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled, That the 
     following sums are appropriated, out of any money in the 
     Treasury not otherwise appropriated, for the fiscal year 
     ending September 30, 2005, and for other purposes, namely:

               TITLE I--EXPORT AND INVESTMENT ASSISTANCE

                Export-Import Bank of the United States

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

[[Page 15815]]

     Weapons eligible to receive economic or military assistance 
     under this Act, that has detonated a nuclear explosive after 
     the date of the enactment of this Act: Provided further, That 
     notwithstanding section 1(c) of Public Law 103-428, as 
     amended, sections 1(a) and (b) of Public Law 103-428 shall 
     remain in effect through October 1, 2005.


                         subsidy appropriation

       For the cost of direct loans, loan guarantees, insurance, 
     and tied-aid grants as authorized by section 10 of the 
     Export-Import Bank Act of 1945, as amended, $125,700,000, to 
     remain available until September 30, 2008: Provided, That 
     such costs, including the cost of modifying such loans, shall 
     be as defined in section 502 of the Congressional Budget Act 
     of 1974: Provided further, That such sums shall remain 
     available until September 30, 2023, for the disbursement of 
     direct loans, loan guarantees, insurance and tied-aid grants 
     obligated in fiscal years 2005, 2006, 2007, and 2008: 
     Provided further, That none of the funds appropriated by this 
     Act or any prior Act appropriating funds for foreign 
     operations, export financing, and related programs for tied-
     aid credits or grants may be used for any other purpose 
     except through the regular notification procedures of the 
     Committees on Appropriations: Provided further, That funds 
     appropriated by this paragraph are made available 
     notwithstanding section 2(b)(2) of the Export-Import Bank Act 
     of 1945, in connection with the purchase or lease of any 
     product by any East European country, any Baltic State or any 
     agency or national thereof.


                        administrative expenses

       For administrative expenses to carry out the direct and 
     guaranteed loan and insurance programs, including hire of 
     passenger motor vehicles and services as authorized by 5 
     U.S.C. 3109, and not to exceed $30,000 for official reception 
     and representation expenses for members of the Board of 
     Directors, $73,200,000: Provided, That the Export-Import Bank 
     may accept, and use, payment or services provided by 
     transaction participants for legal, financial, or technical 
     services in connection with any transaction for which an 
     application for a loan, guarantee or insurance commitment has 
     been made: Provided further, That, notwithstanding subsection 
     (b) of section 117 of the Export Enhancement Act of 1992, 
     subsection (a) thereof shall remain in effect until October 
     1, 2005.

                Overseas Private Investment Corporation


                           noncredit account

       The Overseas Private Investment Corporation is authorized 
     to make, without regard to fiscal year limitations, as 
     provided by 31 U.S.C. 9104, such expenditures and commitments 
     within the limits of funds available to it and in accordance 
     with law as may be necessary: Provided, That the amount 
     available for administrative expenses to carry out the credit 
     and insurance programs (including an amount for official 
     reception and representation expenses which shall not exceed 
     $35,000) shall not exceed $42,885,000: Provided further, That 
     project-specific transaction costs, including direct and 
     indirect costs incurred in claims settlements, and other 
     direct costs associated with services provided to specific 
     investors or potential investors pursuant to section 234 of 
     the Foreign Assistance Act of 1961, shall not be considered 
     administrative expenses for the purposes of this heading.


                            program account

       For the cost of direct and guaranteed loans, $24,000,000, 
     as authorized by section 234 of the Foreign Assistance Act of 
     1961, to be derived by transfer from the Overseas Private 
     Investment Corporation Non-Credit Account: Provided, That 
     such costs, including the cost of modifying such loans, shall 
     be as defined in section 502 of the Congressional Budget Act 
     of 1974: Provided further, That such sums shall be available 
     for direct loan obligations and loan guaranty commitments 
     incurred or made during fiscal years 2005 and 2006: Provided 
     further, That such sums shall remain available through fiscal 
     year 2013 for the disbursement of direct and guaranteed loans 
     obligated in fiscal year 2005, and through fiscal year 2014 
     for the disbursement of direct and guaranteed loans obligated 
     in fiscal year 2006.
       In addition, such sums as may be necessary for 
     administrative expenses to carry out the credit program may 
     be derived from amounts available for administrative expenses 
     to carry out the credit and insurance programs in the 
     Overseas Private Investment Corporation Noncredit Account and 
     merged with said account.

                  Funds Appropriated to the President


                      trade and development agency

       For necessary expenses to carry out the provisions of 
     section 661 of the Foreign Assistance Act of 1961, 
     $51,500,000, to remain available until September 30, 2006.

                TITLE II--BILATERAL ECONOMIC ASSISTANCE

                  Funds Appropriated to the President

       For expenses necessary to enable the President to carry out 
     the provisions of the Foreign Assistance Act of 1961, and for 
     other purposes, to remain available until September 30, 2005, 
     unless otherwise specified herein, as follows:


           united states agency for international development

                child survival and health programs fund

                     (including transfer of funds)

       For necessary expenses to carry out the provisions of 
     chapters 1 and 10 of part I of the Foreign Assistance Act of 
     1961, for child survival, health, and family planning/
     reproductive health activities, in addition to funds 
     otherwise available for such purposes, $1,648,500,000, to 
     remain available until September 30, 2006: Provided, That 
     this amount shall be made available for such activities as: 
     (1) immunization programs; (2) oral rehydration programs; (3) 
     health, nutrition, water and sanitation programs which 
     directly address the needs of mothers and children, and 
     related education programs; (4) assistance for children 
     displaced or orphaned by causes other than AIDS; (5) programs 
     for the prevention, treatment, control of, and research on 
     HIV/AIDS, tuberculosis, polio, malaria, and other infectious 
     diseases, and for assistance to communities severely affected 
     by HIV/AIDS, including children displaced or orphaned by 
     AIDS; and (6) family planning/reproductive health: Provided 
     further, That none of the funds appropriated under this 
     heading may be made available for nonproject assistance, 
     except that funds may be made available for such assistance 
     for ongoing health activities: Provided further, That of the 
     funds appropriated under this heading, not to exceed 
     $250,000, in addition to funds otherwise available for such 
     purposes, may be used to monitor and provide oversight of 
     child survival, maternal and family planning/reproductive 
     health, and infectious disease programs: Provided further, 
     That the following amounts should be allocated as follows: 
     $330,000,000 for child survival and maternal health; 
     $28,000,000 for vulnerable children; $330,000,000 for HIV/
     AIDS; $185,000,000 for other infectious diseases; and 
     $375,500,000 for family planning/reproductive health: 
     Provided further, That of the funds appropriated under this 
     heading, and in addition to funds allocated under the 
     previous proviso, not less than $400,000,000 shall be made 
     available, notwithstanding any other provision of law, except 
     for the United States Leadership Against HIV/AIDS, 
     Tuberculosis and Malaria Act of 2003 (117 Stat. 711; 22 
     U.S.C. 1701 et seq.), for a United States contribution to the 
     Global Fund to Fight AIDS, Tuberculosis and Malaria (the 
     ``Global Fund''), and shall be expended at the minimum rate 
     necessary to make timely payment for projects and activities: 
     Provided further, That up to 5 percent of the funds made 
     available under the previous proviso may be made available to 
     the United States Agency for International Development for 
     technical assistance related to the activities of the Global 
     Fund: Provided further, That of the funds appropriated under 
     this heading, $65,000,000 may be made available for a United 
     States contribution to The Vaccine Fund, and up to $6,000,000 
     may be transferred to and merged with funds appropriated by 
     this Act under the heading ``Operating Expenses of the United 
     States Agency for International Development'' for costs 
     directly related to international health, but funds made 
     available for such costs may not be derived from amounts made 
     available for contributions under this and preceding 
     provisos: Provided further, That none of the funds made 
     available in this Act nor any unobligated balances from prior 
     appropriations may be made available to any organization or 
     program which, as determined by the President of the United 
     States, supports or participates in the management of a 
     program of coercive abortion or involuntary sterilization: 
     Provided further, That none of the funds made available under 
     this Act may be used to pay for the performance of abortion 
     as a method of family planning or to motivate or coerce any 
     person to practice abortions: Provided further, That none of 
     the funds made available under this Act may be used to lobby 
     for or against abortion: Provided further, That in order to 
     reduce reliance on abortion in developing nations, funds 
     shall be available only to voluntary family planning projects 
     which offer, either directly or through referral to, or 
     information about access to, a broad range of family planning 
     methods and services, and that any such voluntary family 
     planning project shall meet the following requirements: (1) 
     service providers or referral agents in the project shall not 
     implement or be subject to quotas, or other numerical 
     targets, of total number of births, number of family planning 
     acceptors, or acceptors of a particular method of family 
     planning (this provision shall not be construed to include 
     the use of quantitative estimates or indicators for budgeting 
     and planning purposes); (2) the project shall not include 
     payment of incentives, bribes, gratuities, or financial 
     reward to: (A) an individual in exchange for becoming a 
     family planning acceptor; or (B) program personnel for 
     achieving a numerical target or quota of total number of 
     births, number of family planning acceptors, or acceptors of 
     a particular method of family planning; (3) the project shall 
     not deny any right or benefit, including the right of access 
     to participate in any program of general welfare or the right 
     of access to health care, as a consequence of any 
     individual's decision not to accept family planning services; 
     (4) the project shall provide family planning acceptors 
     comprehensible information on the health benefits and risks 
     of the method chosen, including those conditions that might

[[Page 15816]]

     render the use of the method inadvisable and those adverse 
     side effects known to be consequent to the use of the method; 
     and (5) the project shall ensure that experimental 
     contraceptive drugs and devices and medical procedures are 
     provided only in the context of a scientific study in which 
     participants are advised of potential risks and benefits; 
     and, not less than 60 days after the date on which the 
     Administrator of the United States Agency for International 
     Development determines that there has been a violation of the 
     requirements contained in paragraph (1), (2), (3), or (5) of 
     this proviso, or a pattern or practice of violations of the 
     requirements contained in paragraph (4) of this proviso, the 
     Administrator shall submit to the Committees on 
     Appropriations a report containing a description of such 
     violation and the corrective action taken by the Agency: 
     Provided further, That in awarding grants for natural family 
     planning under section 104 of the Foreign Assistance Act of 
     1961 no applicant shall be discriminated against because of 
     such applicant's religious or conscientious commitment to 
     offer only natural family planning; and, additionally, all 
     such applicants shall comply with the requirements of the 
     previous proviso: Provided further, That for purposes of this 
     or any other Act authorizing or appropriating funds for 
     foreign operations, export financing, and related programs, 
     the term ``motivate'', as it relates to family planning 
     assistance, shall not be construed to prohibit the provision, 
     consistent with local law, of information or counseling about 
     all pregnancy options: Provided further, That nothing in this 
     paragraph shall be construed to alter any existing statutory 
     prohibitions against abortion under section 104 of the 
     Foreign Assistance Act of 1961: Provided further, That to the 
     maximum extent feasible, taking into consideration cost, 
     timely availability, and best health practices, funds 
     appropriated in this Act that are made available for condom 
     procurement shall be made available only for the procurement 
     of condoms manufactured in the United States: Provided 
     further, That information provided about the use of condoms 
     as part of projects or activities that are funded from 
     amounts appropriated by this Act shall be medically accurate 
     and shall include the public health benefits and failure 
     rates of such use.


                Amendment No. 20 Offered by Mr. Sherman

  Mr. SHERMAN. Mr. Chairman, I offer an amendment.
  The CHAIRMAN. The Clerk will designate the amendment.
  The text of the amendment is as follows:

        Amendment No. 20 offered by Mr. Sherman:
       In the item relating to ``United States Agency for 
     International Development-child survival and health programs 
     fund'', after the aggregate dollar amount, insert the 
     following: ``(increased by $290,000,000)''.
       In the item relating to ``United States Agency for 
     International Development-child survival and health programs 
     fund'', after the third dollar amount, insert the following: 
     ``(increased by $290,000,000)''.
       In the item relating to ``contribution to the international 
     development association'', after the aggregate dollar amount, 
     insert the following ``(reduced by $359,000,000)''.

  Mr. KOLBE. Mr. Chairman, I ask unanimous consent that debate on this 
amendment and any amendments thereto be limited to 20 minutes, to be 
equally divided and controlled by the proponent and myself as the 
opponent.
  The CHAIRMAN. Is there objection to the request of the gentleman from 
Arizona?
  There was no objection.
  The CHAIRMAN. The gentleman from California (Mr. Sherman) will 
control 10 minutes on his amendment. The gentleman from Arizona (Mr. 
Kolbe) will control 10 minutes in opposition to the amendment.
  The Chair recognizes the gentleman from California (Mr. Sherman).
  Mr. SHERMAN. Mr. Chairman, I yield myself 3 minutes.
  I introduced this amendment on behalf of myself and the gentlewoman 
from Florida (Ms. Ros-Lehtinen). The gentlewoman is the chairwoman of 
the subcommittee that deals with the Middle East on the Committee on 
International Relations. I am the ranking member of that subcommittee 
of that committee that deals with terrorism and nuclear proliferation.
  We are both concerned that the World Bank has decided to make loans 
of $359 million to the government of Iran. We are also both concerned 
that we have an opportunity here to help the Child Survival Account, to 
save perhaps millions of children's lives simply by providing it more 
funding than this bill provides, to those programs that provide 
immunization, those that treat diarrhea and other easily curable 
diseases. So we see an opportunity both to deal with the World Bank's 
decision and to increase child survival.
  Mr. Chairman, just a couple of months ago, the World Bank, over 
American objections, approved $359 million for Iran. They did so at the 
same time that the IAEA was deliberating not whether Iran was 
developing nuclear weapons, we all know that they are, but the degree 
to which they should be sanctioned for their clear violation of nuclear 
proliferation control agreements.
  Now, the government of Iran spends the minimum necessary on domestic 
projects in order to stay in power. This $359 million allows them to 
fund those minimal domestic projects. Then the government of Iran uses 
what is left over to develop nuclear weapons and to support terror. It 
is the number one state sponsor of terror as identified by the United 
States State Department.
  So this bill as presently written puts money in the World Bank. One 
quarter of the World Bank's assets and funds, roughly, are those of the 
American taxpayer, and then $359 million is going from the World Bank 
to Iran.

                              {time}  1315

  We need to make it clear that Members do not have to go back to their 
districts and defend sending American tax dollars to Tehran at a time 
when they are developing nuclear weapons.
  We also need to help the child survival accounts. I would have wanted 
to cut $359 million from the World Bank and add a full $359 million to 
child survival. As a result of the outlay rules and timing of outlays, 
this amendment was in order only if we increased child survival by $290 
million. So if my colleagues are fiscal conservatives, this amendment 
saves the government $69 million, but, more importantly, it funds some 
of the very best U.S. AID programs. It provides additional money for 
child survival and maternal health. It provides for those very 
effective treatments for easily curable and preventable diseases.
  This amendment enhances the bill.
  Mr. Chairman, I reserve the balance of my time.
  Mr. KOLBE. Mr. Chairman, I am pleased to yield 2 minutes to the 
distinguished gentlewoman from New York (Mrs. Lowey), the ranking 
member.
  Mrs. LOWEY. Mr. Chairman, I rise in opposition reluctantly to this 
amendment.
  While I have absolutely no sympathy for the government of Iran and 
would strongly prefer that the World Bank not approve loans to that 
country, I oppose this amendment because its passage will not in any 
way affect lending to Iran.
  What the amendment would do is cut $359 million from the 
International Development Association, which is almost half of the 
proposed fiscal year 2005 U.S. contribution. IDA funds loans to the 
poorest countries in the world, mostly African countries, at low rates 
of interest and on a long-term repayment schedule.
  IDA is the source of much of the capital that poor countries use to 
rebuild vital infrastructure and deal with the chronic problems of poor 
health and education systems. The World Bank, through the IDA loan 
window, has spent over $1 billion to combat HIV/AIDS to date. The bank 
is also the center for the ``Education for All'' initiative, which aims 
to provide a free, primary education to the 110 million children around 
the world who currently do not attend school.
  Because the subcommittee's 302(b) allocation was $1.9 billion below 
the President's request, we had to make some tough choices. In that 
context, the funding currently in the bill for IDA represents a $200 
million cut from the President's request. I am certainly not totally 
satisfied with the quality of the World Bank's lending programs and 
will be monitoring closely the result of the new Performance Evaluation 
Scheme. The cuts the committee made were in that context, but cutting 
further would be a mistake and would only serve to reduce the bank's 
overall lending capacity without in any way affecting Iran.
  I urge opposition to the amendment.

[[Page 15817]]


  Mr. SHERMAN. Mr. Chairman, I yield 4 minutes to the gentlewoman from 
Florida (Ms. Ros-Lehtinen).
  Ms. ROS-LEHTINEN. Mr. Chairman, I thank my friend, my distinguished 
colleague from California, for the time, and I rise in strong support 
of the Sherman/Ros-Lehtinen amendment and ask my colleagues to render 
their full support to it.
  Iran's unconventional weapons program, and its fondness for using 
terrorism as statecraft, have made this pariah state a litmus test of 
the war on terror.
  For at least two decades, the Iranian regime has been pursuing a 
covert nuclear program. It has undertaken a number of efforts for the 
manufacture and testing of centrifuge components, including at 
facilities owned by military industrial organizations.
  According to multiple reports of the International Atomic Energy 
Agency, the Iranian regime's deceptions and nuclear activities have 
dealt with the most sensitive aspects of the nuclear cycle.
  Just last month, after the international community once again called 
on Iran to ``come clean'' with its efforts to develop a nuclear weapons 
capability, the Iranian foreign minister and the secretary of Iran's 
Supreme National Security Council retorted that Iran has to be 
recognized by the international community as a member of the nuclear 
club and that Iran is on an irreversible path, their own words, toward 
becoming a nuclear state.
  It is, therefore, imperative that the international community join 
forces to deny Iran any and all avenues to bring to a halt Iran's 
progress on this path.
  This Chamber has repeatedly articulated this position. Most recently, 
we adopted by an overwhelming vote H. Con. Res. 398 which clearly 
underscored the denial of financial and other resources to Iran is an 
overarching priority for the United States.
  Yet, through the World Bank, Iran is receiving hundreds of millions 
of dollars in loans.
  Now, we will hear some argue that these loans are for nonlethal 
programs. However, given the fungible nature of the fund, there is no 
effective way of preventing the manipulation of these funds.
  We certainly cannot trust the terrorist regime in Teheran to apply 
those World Bank funds to good, humanitarian use; and, as we have 
discovered recently with the investigations into the UN's handling of 
the Oil-For-Food program, we certainly cannot trust international 
institutions to practice due diligence and oversight.
  Further, even if the loans are applied for basic services in Iran, 
that just enables Iran's mullahs to increase their budget allocations 
to fund terrorist activities and intensify their efforts to develop 
nuclear weapons.
  The Sherman/Ros-Lehtinen amendment seeks to bring an end to this 
farce. Given that this is an appropriations bill, we cannot go even 
further. However, the amendment is a good first step.
  The amendment seeks to cut U.S. contributions to the World Bank by an 
amount equal to its recent loans to Iran. In turn, it shifts these 
funds to U.S. AID's child survival programs; that is, it denies funds 
to the Iranian regime while helping prevent children from dying from 
preventable or easily treatable diseases, providing them with 
immunizations and other inexpensive treatments.
  I ask my colleagues to vote an overwhelming ``yes'' on the Sherman-
Ros-Lehtinen amendment.
  Mr. KOLBE. Mr. Chairman, I am the only other speaker I have, if the 
gentleman is prepared to yield back the balance of his time.
  The CHAIRMAN. The gentleman from California (Mr. Sherman) has 3\1/2\ 
minutes remaining.
  Mr. SHERMAN. Mr. Chairman, I yield myself such time as I may consume.
  First, let me deal with this view that somehow the World Bank is not 
the World Bank, it is separate agencies. It is true the World Bank has 
five different departments, but as the World Bank's own Web site says 
in referring to the two departments in question now, the IBRD and the 
IDA are run on the same lines. They share the same staff and 
headquarters, report to the same president and evaluate projects with 
the same standards. They go on to say the IDA simply takes the money 
out of a different drawer. So, if we are funding the World Bank, we 
funding the World Bank.
  This vote on this amendment is our only chance this year to vote to 
put economic pressure on the government of Iran that is developing 
nuclear weapons. It is the only chance we have this year to respond to 
the World Bank and to show how we feel when they send our money to a 
government that our State Department has identified as the number one 
state sponsor of terrorism. It is our only chance to respond to the 
investigation of Senator Lugar, who has shown that many experts 
estimate that between 5 percent and 25 percent of the money we send to 
the World Bank is misused; and it is our best opportunity to vote to 
increase child survival and to save children's lives, whether they are 
dying from diarrhea or dying from diseases for which immunization is 
possible.
  This is our chance to speak as a caucus and to say that time for 
business as usual is over. We can walk out of here saying, well, we 
disagree with the World Bank, but there is nothing we can do about it. 
But then we have to go back to our districts, when a nuclear mushroom 
cloud explodes first in a test in Iran and then, God forbid, in a 
hostile use by the Iranian government, and defend our votes to support 
a bill, part of the money of which ended up in Tehran.
  I see the gentleman from Minnesota (Mr. Kennedy) here, and I do not 
know whether he wishes time. I commend the gentleman for his efforts to 
make sure that we deal with the World Bank, and I appreciate his 
support for this amendment.
  Mr. Chairman, I yield back the balance of my time.
  Mr. KOLBE. Mr. Chairman, I yield myself the balance of my time.
  The Sherman amendment is really not about Iran. It is about depriving 
the poorest countries in the world of development assistance for basic 
education, for health care, for HIV/AIDS prevention and treatment, and 
for environmental protection programs. It is about blocking the path 
towards achieving the Millennium Development Goals. I do not think this 
Congress wants to be remembered for this.
  I know that Iran is a politically sensitive issue, and none of us 
believe that the World Bank should be making loans in Iran, but the 
funding contained in the foreign operations bill is for IDA, the 
concessional lending program of the World Bank which is designed to 
help the poorest countries of the world, with per capita incomes of $1 
to $2 per day.
  Mr. Chairman, Iran is not eligible to use the resources of IDA. The 
projects approved for Iran were funded by the IBRD, which is the market 
rate lending program of the bank. IBRD does not receive appropriated 
funds. There is no fungibility between IDA and IBRD resources.
  So, Mr. Chairman, restricting the appropriations of funds to IDA will 
not affect Iran in any way. However, it will cut funding that supports 
development and health programs in sub-Saharan Africa and the poorest 
countries of Asia and Latin America. Over half of IDA resources are 
programmed for sub-Saharan Africa, and many of the programs would be 
supported on a grant basis, no longer just loans.
  Diverting these funds into bilateral programs would deny six times, 
that is, again, six times, as much funding as the gentleman's cut. For 
every $1 of U.S. taxpayer money that goes into IDA, other donors and 
resources provide $6 of support. So if we cut this, we cut out six 
times as much of the money that goes to sub-Saharan Africa and other of 
the poorest countries of the world.
  Mr. Chairman, I have already made what I think is a difficult 
decision to cut World Bank funding by $211 million below the request. 
Another $359 million cut would probably put U.S. leadership at risk at 
the bank, in addition to putting at risk billions of dollars of 
assistance for poor countries in Africa, Asia and Latin America.

[[Page 15818]]

  To reiterate, Mr. Chairman, Iran is not eligible for IDA finances. 
IDA funding, which is the subject of this bill, the only source of 
funding that is in this bill for the World Bank, Iran is not eligible 
for any of those sources, and Iran would not be affected by a cut in 
funding to the IDA.
  I urge my colleagues to oppose this amendment.
  Mr. Chairman, I yield back the balance of my time.
  The CHAIRMAN. The question is on the amendment offered by the 
gentleman from California (Mr. Sherman).
  The question was taken; and the Chairman announced that the noes 
appeared to have it.
  Mr. SHERMAN. Mr. Chairman, I demand a recorded vote.
  The CHAIRMAN. Pursuant to clause 6 of rule XVIII, further proceedings 
on the amendment offered by the gentleman from California will be 
postponed.
  Mr. KOLBE. Mr. Chairman, I move that the Committee do now rise.
  The motion was agreed to.
  Accordingly, the Committee rose; and the Speaker pro tempore (Mr. 
Cantor) having assumed the chair, Mr. Thornberry, Chairman of the 
Committee of the Whole House on the State of the Union, reported that 
that Committee, having had under consideration the bill (H.R. 4818) 
making appropriations for foreign operations, export financing, and 
related programs for the fiscal year ending September 30, 2005, and for 
other purposes, had come to no resolution thereon.

                          ____________________