[House Report 106-720]
[From the U.S. Government Publishing Office]



106th Congress                                                   Report
                        HOUSE OF REPRESENTATIVES
 2d Session                                                     106-720

======================================================================



 
      FOREIGN OPERATIONS, EXPORT FINANCING, AND RELATED PROGRAMS 
                       APPROPRIATIONS BILL, 2001

                                _______
                                

 July 10, 2000.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed

                                _______
                                

   Mr. Callahan, from the Committee on Appropriations, submitted the 
                               following

                              R E P O R T

                             together with

                            ADDITIONAL VIEWS

                        [To accompany H.R. 4811]

    The Committee on Appropriations submits the following 
report in explanation of the accompanying bill making 
appropriations for Foreign Operations, Export Financing, and 
Related Programs, and for sundry independent agencies and 
corporations for the fiscal year ending September 30, 2001, and 
for other purposes.

                        INDEX TO BILL AND REPORT

_______________________________________________________________________


                                                               Page

                                                            Bill Report
Summary of the Bill........................................
                                                                      2
Committee Recommendations..................................
                                                                      3
Title I--Export and Investment Assistance:
        Export-Import Bank of the United States............     2
                                                                      4
        Overseas Private Investment Corporation............     4
                                                                      4
        Trade and Development Agency.......................     6
                                                                      5
Title II--Bilateral Economic Assistance:
        Child Survival and Disease Programs Fund...........     6
                                                                      6
        Development Assistance.............................     8
                                                                     18
        International Disaster Assistance..................    13
                                                                     38
        Transition Initiatives.............................    13
                                                                     39
        Micro and Small Enterprise Development Program.....    14
                                                                     40
        Development Credit Program Account.................    14
                                                                     40
        Payment to the Foreign Service Retirement and 
            Disability Fund................................    16
                                                                     41
        AID Operating Expenses.............................    16
                                                                     41
        Operating Expenses of the Agency for International 
            Development, Office of the Inspector General...    17
                                                                     45
        Development Fund for Africa........................
                                                                     45
        Economic Support Fund..............................    17
                                                                     45
        International Fund for Ireland.....................    18
                                                                     54
        Assistance for Eastern Europe and the Baltic States    19
                                                                     55
        Assistance for the Independent States of the Former 
            Soviet Union...................................    22
                                                                     59
Independent Agencies:
        Inter-American Foundation..........................
                                                                     65
        African Development Foundation.....................
                                                                     65
        Peace Corps........................................    25
                                                                     66
Department of State:
        International Narcotics Control and Law Enforcement    26
                                                                     66
        Migration and Refugee Assistance...................    26
                                                                     69
        Emergency Refugee and Migration Assistance Fund....    27
                                                                     71
        Nonproliferation, Anti-terrorism, Demining and 
            Related Programs...............................    27
                                                                     72
Department of the Treasury:
        International affairs technical assistance.........    29
                                                                     76
        Debt restructuring.................................    29
                                                                     74
        United States community adjustment and investment 
            program........................................
                                                                     76
Title III--Military Assistance:
        International Military Education and Training......    33
                                                                     76
        Foreign Military Financing Program.................    34
                                                                     78
        Peacekeeping Operations............................    38
                                                                     81
Title IV--Multilateral Economic Assistance:
        Global Environment Facility........................    38
                                                                     82
        International Development Association (IDA)........    38
                                                                     82
        Multilateral Investment Guarantee Agency...........    39
                                                                     83
        Inter-American Investment Corporation..............    40
                                                                     86
        IDB Multilateral Investment Fund...................    40
                                                                     86
        Multilateral Investment Fund.......................    40
                                                                     86
        Asian Development Fund (ADF).......................    40
                                                                     86
        African Development Bank...........................    41
                                                                     87
        African Development Fund (AFDF)....................    41
                                                                     87
        European Bank for Reconstruction and Development 
            (EBRD).........................................    41
                                                                     87
        International Fund for Agricultural Development 
            (IFAD).........................................    42
                                                                     87
Department of State:
        International Organizations and Programs...........    42
                                                                     88
Title V--General Provisions................................    43
                                                                     89
House of Representatives Report Requirements...............
                                                                     94

                          Summary of the Bill

    The Committee has recommended foreign assistance and export 
financing funding at a level that is $1,851,094,000 below the 
Administration's fiscal year 2001 request of $15,132,068,000 in 
discretionary budget authority, excluding emergency funding. 
The resulting total of $13,280,974,000 in discretionary 
appropriations (excluding emergency funding) is needed to meet 
the essential requirements of the United States and its 
President in conducting foreign policy and meeting urgent 
humanitarian needs abroad.
    The section 302(b) allocation for foreign operations, 
export financing, and related programs is $13,281,000,000 in 
discretionary budget authority. The Committee recommendation of 
$13,280,974,000 in discretionary budget authority (excluding 
emergency funding) is slightly below the section 302(b) 
allocation. On a comparative basis (excluding emergency 
supplemental appropriations and including scoring adjustments) 
the Committee recommendation is $151,124,000 below the 2000 
level.

                       committee recommendations

    For export and investment assistance programs the Committee 
has recommended a gross total of $994,000,000, which is 
partially offset by collections and a negative subsidy totaling 
$298,000,000. The subsidy appropriation for the Export-Import 
Bank is $825,000,000, and the Trade and Development Agency is 
funded at $46,000,000. The Committee has provided $24,000,000 
for subsidy appropriations requested on behalf of the Overseas 
Private Investment Corporation.
    The Committee has recommended $823,179,000 of the 
$1,353,916,000 requested for the international financial 
institutions. The overall reduction is $291,839,000 below the 
fiscal year 2000 enacted level and $530,737,000 below the 
request.
    For development and humanitarian assistance, the Committee 
has recommended a total of $2,887,484,000 of which $834,000,000 
is for child survival and disease prevention programs. Another 
$1,258,000,000 is for longer-term development assistance. The 
Committee has also included $165,000,000 for disasters 
worldwide and $40,000,000 for transition initiatives previously 
funded from disaster assistance. The Committee has included 
$82,400,000 for debt restructuring for poor countries and a new 
tropical forestry debt relief program.
    The Committee has continued its highly effective Child 
Survival and Disease Programs Fund. It is designed to ensure 
that there will not be reductions in these vital programs as 
the overall bilateral assistance program is constrained. The 
emphasis is on programs that directly affect younger children, 
including basic education, and on accelerating efforts to 
eradicate diseases that threaten younger children and 
caregivers alike. The account does not include population 
assistance, which will be funded through the Development 
Assistance account. It does provide for a grant to UNICEF at a 
level of $110,000,000.
    The Committee has included a total of $740,000,000 in 
assistance to the Independent States of the Former Soviet 
Union, and $535,000,000 for Eastern Europe and the Baltic 
States.
    The Committee has recommended a total of $657,500,000 for 
refugee programs.
    For economic assistance under the Economic Support Fund, 
the Committee has recommended a total of $2,208,900,000.
    The Committee has recommended $241,600,000 for a 
Nonproliferation, Anti-terrorism and Demining account which 
includes funding for the Nonproliferation and Disarmament Fund, 
anti-terrorism assistance, demining activities, United States 
participation in the Korean Energy Development Organization 
(KEDO), and the U.S. voluntary contribution to the 
International Atomic Energy Agency (IAEA).
    For Foreign Military Financing, the Committee has 
recommended a grant program of $3,510,000,000.

               TITLE I--EXPORT AND INVESTMENT ASSISTANCE


                Export-Import Bank of the United States


                         subsidy appropriation




Fiscal year 2000 level................................      $759,000,000
Fiscal year 2001 request..............................       963,000,000
Committee recommendation..............................       825,000,000


                        administrative expenses




Fiscal year 2000 level................................       $55,000,000
Fiscal year 2001 request..............................        63,000,000
Committee recommendation..............................        62,000,000


    The Committee is recommending a subsidy appropriation for 
the Export-Import Bank of $825,000,000 and an appropriation of 
$62,000,000 for administrative expenses. Taken together, the 
recommended appropriation for the Eximbank is $73,000,000 above 
the fiscal year 2000 level and $139,000,000 less than the 
request.
    The Committee has continued prior year language limiting 
the export of nuclear technology or fuel to certain countries. 
The Committee has also included language making possible 
Export-Import Bank activity in Eastern Europe and the Baltic 
States.
    The Committee provided no additional funds for a tied-aid 
``war chest''. The estimated $315,000,000 remaining ``war 
chest'' balance for tied-aid purposes may be used to support 
loans. If more funds are needed for the war chest, the 
Committee will promptly consider any additional requests from 
the President. The Committee remains concerned about the 
potential impact of Eximbank decisions on United States foreign 
policy and human rights objectives. It reiterates language on 
mechanisms to provide greater transparency with regard to those 
concerns that was included in last year's report.

           export-import bank and the clean energy Initiative

    The Committee believes that Export-Import Bank funds should 
not be designated in advance by the President or by Congress 
for specific sectors of the economy. Once such a precedent is 
established, the character of the Eximbank will be adversely 
changed. None of the subsidy appropriation provided under this 
heading in this Act and in prior-year acts may be reserved or 
set aside for a clean energy initiative or any similar purpose.

                Overseas Private Investment Corporation


                        administrative expenses




Fiscal year 2000 level................................       $35,000,000
Fiscal year 2001 request..............................        39,000,000
Committee recommendation..............................        37,000,000


                         subsidy appropriation




Fiscal year 2000 level................................       $24,000,000
Fiscal year 2001 request..............................        24,000,000
Committee recommendation..............................        24,000,000


    The Committee is recommending a subsidy appropriation of 
$24,000,000 for the Overseas Private Investment Corporation's 
(OPIC) direct and guaranteed loan credit programs, and it is 
recommending $37,000,000 for administrative expenses.
    The Committee continues prior year language required by the 
Federal Credit Reform Act and addressing representation 
expenses and availability of funds.
    The Committee's concerns about the management and exposure 
of OPIC-guaranteed emerging market investment funds have been 
addressed by the information on the investment funds provided 
by OPIC and the General Accounting Office this year. In order 
to promote future accountability, the Committee directs OPIC to 
continue to provide on a semi-annual basis written reports 
including the following information for each investment fund: 
the identity, selection process, and professional background of 
current and past managers; the fees and compensation currently 
provided to senior management; the amount of OPIC guarantees 
and actual investments made at the end of the previous month; 
and any additional observations that OPIC may want to include.

                        opic and the environment

    The Committee encourages OPIC to provide increased support 
within the power and energy sector for investments using 
American technology that promotes a cleaner environment. 
Special attention should be given to use of proven geothermal, 
small hydro, wind, biomass and solar technologies. The 
Committee urges OPIC to continue over the next year to review 
and strengthen its policies regarding the energy and power 
sectors as they relate to the environment and private sector 
infrastructure. The ongoing review should reflect the comments 
of Congress and the public, as well as the Executive branch.

                  Funds Appropriated to the President


                      Trade and Development Agency





Fiscal year 2000 level................................       $44,000,000
Fiscal year 2001 request..............................        54,000,000
Committee recommendation..............................        46,000,000


    The Committee is recommending $46,000,000 for the Trade and 
Development Agency (TDA), an increase of $2,000,000 above the 
2000 level and $8,000,000 below the request. In collaboration 
with the U.S. National Institute of Standards and Technology, 
TDA is encouraged to support United States participation in the 
development of national technical standards compatible with 
American goods and services in key transition country markets.

                TITLE II--BILATERAL ECONOMIC ASSISTANCE


                  Funds Appropriated to the President


                  Agency for International Development

    The Committee provides two accounts for longer-term 
development assistance programs managed by the Agency for 
International Development. As in fiscal year 2000 and as 
requested in the President's budget, the bill includes an 
account for child survival, children's basic education, and 
disease prevention and treatment activities and a separate 
general development assistance account for other development 
programs in Africa, Latin America and Asia.
    Two existing regional accounts jointly managed by the 
Department of State and the Agency for International 
Development are included elsewhere in title II under ``Other 
Bilateral Assistance''. The Committee utilizes the regional 
accounts to fund most economic and political cooperation with 
Russia and the independent states of the former Soviet Union as 
well as the former captive nations of the Soviet Empire in 
Central Europe.
    There are three other structural changes from the budget 
request. Continuing long-standing practice, the Committee again 
includes a contribution to the United Nations Children's Fund 
(UNICEF) in the Child Survival and Disease Programs Fund. The 
President's request proposed to fund the voluntary contribution 
for UNICEF in ``International Organizations and Programs''.
    As it has for the past five years, the Committee again 
includes funding for long-term development assistance in sub-
Saharan Africa, other than child survival and health programs, 
in the global ``Development Assistance'' account. The 
President's budget proposed carving out from the global 
Development Assistance account a separate ``Development Fund 
for Africa'' (DFA) account. The DFA would not have included 
activities in Africa currently funded under the ``Child 
Survival and Disease Programs Fund''.
    Finally, new authority for the United States to contribute 
to an international fund for children's vaccines is included in 
the Committee recommendation for the Child Survival and Disease 
Programs Fund. The President requested funding for a 
contribution to the Global Alliance for Vaccines and 
Immunizations (GAVI) by the United States under the heading 
``International Organizations and Programs''.

                Child Survival and Disease Programs Fund





Fiscal year 2000 level................................      $715,000,000
Fiscal year 2001 request (under fiscal year 2000             769,250,000
 account structure)...................................
Committee recommendation..............................       834,000,000


    The Committee recommends $834,000,000 for the ``Child 
Survival and Disease Programs Fund'', an amount that is 
$64,750,000 above the request under the fiscal year 2000 
account structure and $119,000,000 above the amount enacted for 
2000. The recommendation includes authority for a United States 
contribution to the Global Alliance for Vaccine and 
Immunization (GAVI).
    The Child Survival and Disease Programs Fund is a 
Congressional initiative that the President now includes in the 
budget request. As a Committee priority this year, a detailed 
justification of the recommended increase is presented below.

         explanation for increase above fiscal year 2000 level

    The Committee's recommendation is higher than the 2000 
level because of three major developments over the past year. 
First, there is a growing willingness in many poor and 
developing nations to address the threat each faces from 
tuberculosis/HIV/AIDS and other infectious diseases. A few more 
cases are being reported of nations reversing the spread of 
HIV/AIDS, but AID appears to place too little attention on, and 
provides minimal support for halting, emerging epidemics. The 
Committee urges AID to focus on emerging concentrations of TB/
HIV, applying actual lessons learned from nations that halted 
and reversed the number of victims.
    Secondly, private American foundations and international 
commercial vaccine producers are now working with AID, the 
World Health Organization, and UNICEF to save children by 
reducing the cost and increasing the supply of vaccines that 
are currently used mostly in industrial countries because of 
expense. Because of the investments funded by this account in 
prior years, absorptive capacity in a number of poor nations is 
beginning to increase to the extent that they can begin to 
limit the spread of TB/HIV and properly administer vaccines. 
Such improvements in absorptive capacity cannot be sustained or 
extended without additional investment in surveillance and 
institutional capacity.
    Finally, the Committee is aware that the number of 
vulnerable children in need of international and local support 
is increasingly evident in many regions. In Africa, war and the 
impact of TB/HIV is generating a generation of child soldiers 
and orphans in several nations. International assistance may 
help adult survivors socialize and educate such vulnerable 
children, although at present there are few precedents for 
effective care and training in such dire situations. In Eastern 
Europe, Central Eurasia, and Southeast Asia, the sharply 
declining economic situation among many families in recent 
years has left more children in poorly funded orphanages, 
living on the streets, or victims of sexual predators and drug 
dealers. Solutions to the tragedy of vulnerable children must 
be local, but voluntary organizations whose private donations 
are supplemented by AID can often expedite those solutions and 
provide desperately needed material support.

      essential role of free market economic growth in development

    As popular as the Child Survival and Disease Programs Fund 
is with the American people, the Committee has resisted appeals 
to increase its funding faster. The Child Survival account is 
only one part of the U.S. effort to help others work toward the 
standards of living most Americans have achieved already. The 
Committee recognizes that the long-term benefits of the Fund 
are limited unless there are future jobs and income for the 
children we help when they grow up to be adults. Continuing AID 
support for free market approaches to economic growth remains 
essential to complete the work of child survival. In each poor 
country helped by American child survival activities, a 
balanced assistance program also requires cooperation to 
provide reasonably priced and reliable food, water, cleaner 
power, and communications as well as credit.

         Allocation of Child Survival and Disease Programs Fund

    Unless modifications are subsequently notified and agreed 
to by the Committees on Appropriations, fiscal year 2001 
appropriations for the Child Survival and Disease Programs Fund 
are deemed to be allocated as follows:

        Category                                              Allocation
Child Survival and Maternal Health......................    $290,000,000
Vulnerable children.....................................  \1\ 30,000,000
HIV/AIDS................................................     202,000,000
Other Infectious Diseases...............................  \1\ 99,000,000
Children's basic education..............................     103,000,000
Grant to UNICEF.........................................     110,000,000
                    --------------------------------------------------------
                    ____________________________________________________
Total in this account...................................     834,000,000

Basic education in Economic Support Fund................      15,000,000
Other CSD activities in ESF.............................      55,000,000
CSD activities in regional accounts.....................      45,000,000
                    --------------------------------------------------------
                    ____________________________________________________
    Total in all bilateral accounts.....................     949,000,000


    \1\ The two categories indicated include undetermined amounts for 
TB prevention among persons with HIV/AIDS and care of AIDS orphans that 
could also be included in the HIV/AIDS category.

   Definition of the budget categories within the Child Survival and 
                      Disease (CSD) Programs Fund

    In order to clarify the range of activities categorized in 
the above allocations, the Committee, in consultation with AID, 
provides the following explanation:

                 1. CHILD SURVIVAL AND MATERNAL HEALTH

Primary causes of morbidity and mortality for children and mothers

    Supporting key child health and survival interventions that 
focus on prevention, treatment, and control of the five primary 
childhood killers: diarrheal disease, acute respiratory 
infection, malnutrition, malaria (directed primarily at 
children) and vaccine preventable diseases;
    Introducing environmental health interventions to prevent 
the spread of childhood diseases from environmental factors 
such as contaminated water; and
    Improving maternal health to protect the outcome of 
pregnancy, neonatal and young infants, and to save the lives of 
mothers, by improving maternal nutrition, promoting birth 
preparedness, improving safe delivery and postpartum care, and 
managing and treating life-threatening complications of 
pregnancy and childbirth.

Micronutrients

    Supplementing, fortifying and modifying dietary behaviors 
to increase intake of key micronutrients, particularly vitamin 
A, iron, iodine, and zinc.

Polio eradication

    Partnering to strengthen polio eradication and vaccination 
programs;
    Supplemental polio immunization campaigns and improving 
routine immunization; and
    Improving acute flaccid paralysis surveillance, response 
and linkages with other disease control programs.

                       2. Vulnerable Children \1\

    Care and protection of children who are displaced or 
vulnerable with an emphasis on strengthening family and 
community capacity in identifying and responding to special 
physical, social, educational, and emotional needs including:
---------------------------------------------------------------------------
    \1\ Other accounts (e.g., Development Assistance and Economic 
Support Fund) support programs addressing the issues of children 
affected by violence and/or trafficked for illicit purposes.
---------------------------------------------------------------------------
          Under the Displaced Children and Orphans Fund, 
        children affected by war, including child soldiers, as 
        well as orphaned, abandoned and street children;
          Children affected by but not necessarily diagnosed 
        with HIV/AIDS;
          Blind children;
          Orphanages in Europe and Eurasia;
          Trafficking of young women and children; and
          Child labor.

                              3. HIV/AIDS

Prevention

    Expanding behavior change interventions to prevent and 
mitigate the impact of HIV/AIDS;
    Preventing and managing sexually transmitted diseases 
(STDs);
    Preventing and managing TB and other opportunistic diseases 
related to HIV/AIDS; and
    Reducing mother-to-child transmission of HIV/AIDS.

Care

    Increasing the capacity of public and private sector 
organizations, particularly at the home and community level, to 
prevent HIV transmission and support persons living with HIV/
AIDS, their caregivers, families and survivors;
    Treating opportunistic infections, primarily tuberculosis, 
in persons living with HIV/AIDS; and
    Caring for children with HIV/AIDS.

Surveillance

    Increasing the quality, availability, and use of evaluation 
and surveillance information.

                      4. Other Infectious Diseases

Tuberculosis (TB)

    Improving control of tuberculosis at the country level by 
expanding the application of the Directly Observed Therapy 
Short Course (DOTS) strategy and strengthening local capacity;
    Developing and testing alternative approaches for TB 
control;
    Improving surveillance of TB and of multi-drug resistant TB 
strains;
    Conducting research to identify improved technologies/
methods for TB diagnosis and treatment; and
    Preventing and treating TB in persons with HIV/AIDS and 
their caregivers.

Malaria

    Improving prevention, control and treatment of malaria and 
other infectious diseases that are not currently vaccine 
preventable.

Antimicrobial resistance and infectious diseases surveillance

    Improving interventions to reduce the spread of 
antimicrobial resistance; and
    Improving capacity for surveillance and response for 
infectious diseases, including at the local level.

                     5. Children's basic education

    Expanding access to, completion of, and/or quality of basic 
education.

    NOTE: In general, two key principles--``direct impact'' and 
``optimal use of funds''--are used when determining whether activities 
are an appropriate use for the Child Survival and Disease Programs 
Fund. Within each budget category delineated above, activities can 
include interventions such as:
          Development of management capacity and service delivery in 
        both public and private sectors;
          Provider training, quality assurance, and improved 
        supervision;
          Information, education and communication (IEC) activities;
          Data collection, analysis, and evaluations (at a reasonable 
        cost) for decision making;
          Operations and applied research;
          Assistance in securing a stable and diversified financial 
        base;
          More rational management and use of essential drugs/
        commodities; and
          Improving monitoring and surveillance capabilities.
    Health systems and human capacity strengthening are inherent 
elements of all programming aspects. Without them, the effectiveness, 
quality, equity and sustainability of child survival and maternal 
health, HIV/AIDS and infectious disease programs are questionable.

           Promoting the Integrity of the Child Survival Fund

    The Committee's effort to promote the integrity of the 
Child Survival and Disease Programs Fund has made some headway 
within AID's Office of Health and its Policy Planning Bureau. 
New guidance for child survival and disease activities was 
issued after consultation with the Committee. As a result, 
every AID employee, contractor, and grantee has been given 
direction on permissible uses of child survival and disease 
funds. The rules are now clear. The Administrator has appointed 
a coordinator of activities related to the Child Survival and 
Disease Programs Fund, as the Committee directed last year.
    More remains to be done by AID management. The budget 
justification proposes numerous activities that clearly 
separate CSD obligations from other accounts, but fail to make 
a similar distinction in the budget narrative accompanying the 
budget tables. This practice is counter to the express 
direction of the Committee.
    As the Committee has already informed the Administrator, 
proposed activities included in the fiscal year 2001 budget 
justification that combine programs, projects, and activities 
funded from this account with programs, projects, and 
activities funded from other funding sources will not be 
accepted as valid for purposes of section 515 until 
supplemental budget narratives and tables are transmitted to 
the Committee in the proper form.
    The Committee is again including bill language that 
prohibits the use of certain funds in this account for 
nonproject assistance, or cash grants, to governments. The 
provision of cash grants as general budget support for 
governments is no longer an appropriate development tool, given 
current funding constraints. To the extent that cash grants are 
necessary for countries in transition or for specific foreign 
policy goals, funds are available through the ``Economic 
Support Fund''.

        child survival and maternal health: former Soviet Union

    The Committee continues to be concerned about the low 
priority assigned to declining maternal and environmental 
health conditions and the increasing incidence of TB/HIV/AIDS 
in Russia, Ukraine, and the Central Asian republics. The 
positive results achieved with the small amounts already spent 
for such programs in recent years have been dramatic. More can 
be done with Global Bureau core funds to complement funding 
provided by the regional accounts. The Committee has included 
bill language regarding a minimum level of $45,000,000 to be 
allocated for child survival and disease programs within the 
separate account, ``Assistance to the Independent States of the 
Former Soviet Union.''

           child survival and maternal health: micronutrients

    The Committee supports continuation of programs for vitamin 
A and C deficiency, iodine deficiency and other micronutrient 
deficiencies and supports continuing these programs at least at 
the request level of $25,000,000, including a significant 
increase in the amount of funding provided for Vitamin A.
    The Committee notes that iodine deficiency disorder is the 
leading preventable cause of mental retardation in children. 
The major remaining regions with iodine deficiency are in the 
former Soviet Union and southeast Europe. The Committee 
recommends that the Administrator of AID and the coordinators 
of assistance to those regions in the Department of State 
consider providing from other accounts at least $2,500,000 in 
cooperation with Kiwanis International and UNICEF to help 
eliminate iodine deficiency in the former Soviet Union and 
Central and Eastern Europe. The provision from the Fund of up 
to $2,250,000 in other regions would help Kiwanis International 
complete its global campaign against iodine deficiency 
disorder.

         child survival and maternal health: polio eradication

    The Committee recommendation includes within the child 
survival and maternal health allocation not less than 
$25,000,000 for the final phases of the program initiated by 
the Committee in fiscal year 1996 to eradicate polio. Funds 
should be used to provide for the delivery of vaccines, for the 
development of the infrastructure necessary to implement the 
program and to help support routine immunization. This funding 
is meant to be in addition to the resources for the regular 
immunization program of the Agency for International 
Development. Rotary International and other collaborators in 
this effort have informed the Committee that polio may not be 
eradicated before the year 2002 because of the difficulty of 
access in war-torn parts of Africa.

     child survival and maternal health: vaccines and immunization

    The Committee has funded procurement of polio and other 
childhood vaccines directly through AID and indirectly through 
the grant to UNICEF over many years. As discussed earlier, 
private American foundations and international commercial 
vaccine producers are now working with AID, the World Health 
Organization, and UNICEF to save children by reducing the cost 
and increasing the supply of vaccines that are currently used 
mostly in industrial countries because of expense. Although the 
United States has been the leading donor in child health, in 
order to encourage private and other governmental donations, 
the Committee provides authority for up to $37,500,000 to be 
transferred by AID as a matching grant to a fund established 
for this purpose by the new public/private Global Alliance for 
Vaccines and Immunizations (GAVI). The allocation for the child 
survival and maternal health budget category has been adjusted 
to include GAVI. The budget request included $50,000,000 for 
GAVI under the title IV heading, ``International Organizations 
and Programs''.

                          Vulnerable Children

    The Committee directs AID to allocate $30,000,000 for 
displaced children and orphans and blind children in fiscal 
year 2001. A substantial part of these and other available 
resources are to be used in Romania, the former Yugoslavia, 
Moldova, Ukraine, Russia, and Mongolia. AID has recently 
initiated innovative programs in most of these countries at the 
urging of Congress, and the Committee directs AID to adequately 
funds these programs in fiscal year 2001.
    Care for displaced children and orphans is limited in these 
countries and in parts of Africa. Basic medical supplies are 
scarce at most institutions around the world. In some cultures, 
orphans are considered outcasts, especially those with 
disabilities of any type. Some children can become healthy with 
proper medical attention and returned to their families or 
placed with domestic or foreign families through adoption.
    Families with mentally or physically disabled children 
would benefit from community support programs such as special 
olympics.
    Older children permanently placed in orphanages are often 
dismissed from state care and thrown out on the streets to 
survive without skills. Most teenage orphans find that their 
only chance for survival is to participate in criminal acts, 
including prostitution and selling drugs. United States 
assistance in establishing a limited number of vocational-
technical centers will teach these orphans the necessary skills 
to become productive members of society.
    According to the World Health Organization there are 1.5 
million blind children around the world and another 7 million 
children suffering from extremely low levels of vision. The 
Committee recognizes the work being done by Helen Keller 
International and other organizations to assist blind children 
around the world. Blindness can be prevented and/or treated 
through simple and inexpensive methods, and many blind children 
in developing countries can be cured of their disability 
through simple operations and low cost care. The Committee 
recommends that the AID program for children's blindness be 
increased above the current level of $1,000,000.

                          hiv/aids prevention

    The Committee for several years has provided funding and 
encouragement to limit impact of the global HIV/AIDS epidemic 
in the developing world and Eastern and Central Europe. 
However, recent epidemiological reports indicate that the 
pandemic continues to worsen dramatically, particularly in 
south Asia and southern Africa. In response, several other 
donor nations are increasing their global AIDS activities and 
international institutions, notably the World Bank, are moving 
AIDS and other infectious diseases to their priority list.
    The fight against HIV/AIDS in poor countries cannot be 
defined by the U.S. government only in terms of assistance 
provided. If the Administration considers this virus a threat 
to national security, then combating it requires an integrated 
U.S. strategy involving various federal agencies. This strategy 
should be communicated directly to the Committees on 
Appropriations by the senior officials of the Department of 
State, the Centers for Disease Control, and AID. Further, U.S. 
embassies in countries where HIV is an emerging threat should 
develop strategies to address the issue diplomatically.
    As with all AID programs, the fight against HIV/AIDS 
requires ``good development partners''. The rapid increase in 
HIV infection in many poor countries can be attributed, in 
part, to government leaders' refusal to publicly acknowledge 
the crisis and their slowness in dedicating resources to fight 
it. Government leaders have a responsibility to their citizens 
to foster awareness and education, the causes of transmission, 
and the scientifically proven methods to combat it. All AID 
country strategies for HIV programs must include components to 
encourage behavioral, cultural and social change.
    The United States has long led the world's response to HIV/
AIDS and will expand its financial commitment as effective 
methods of halting and reversing the worsening pandemic emerge. 
For fiscal year 2001, the Committee urges AID to increase 
funding for all of its international AIDS and related TB 
activities from $175,000,000 in 2000 to at least $202,000,000 
in 2001. Funding for UNAIDS should also be maintained at least 
at its current level. Priority uses of the additional resources 
should include microbicides, mother-child transmission, support 
for affected orphans, and TB. As in past years, AID should 
utilize to the maximum extent community-based, nongovernmental 
organizations that have ``on the ground'' prevention and care 
programs.
    The Committee believes it is essential that increased 
funding for HIV/AIDS be tied to measurable results. Among the 
five year goals proposed by the Administration and UNAIDS, the 
Committee is especially supportive of two:
          (1) That by 2005, 50 percent of HIV infected pregnant 
        women in developing countries will have access to 
        interventions to reduce mother-to-child HIV 
        transmission, and
          (2) That by 2005, orphans affected by HIV/AIDS will 
        have access to education and food on an equal basis 
        with their non-orphaned peers.
The Committee requests that AID report, not later than March 
15, 2001 on progress to date in achieving these and other 
measurable results in its HIV/AIDS and related child survival 
and disease programs, and the Agency's expectations as to 
whether and when these goals will be met.
    The U.S. Department of State should begin documenting HIV/
AIDS-related human rights abuses for inclusion in its annual 
country human rights reports; take high level diplomatic action 
publicly condemning such violations when they occur; and 
coordinate such human rights issues within the United States 
Government.
    The Committee has been urged by many members of Congress 
and public witnesses to allocate between $60,000,000 and 
$100,000,000 for the prevention and control of tuberculosis, 
active cases of which are increasing as a result of 
opportunistic infections by persons with HIV, known as TB/HIV. 
The Committee's limited allocation and the need for balance 
among competing needs precludes it from providing $100,000,000 
for TB this year. However, based on information from health 
providers in Africa, the Committee estimates that a significant 
component of the current HIV/AIDS program is directly related 
to TB/HIV. If AID provides the Committee with better estimates 
for its TB/HIV funding at a later stage of the appropriations 
process, the Committee will take them into consideration.
    In addition to accounting for the close link between TB and 
HIV, the Committee recognizes that there is an urgent need for 
HIV and Sexually Transmitted Disease (STD) prevention methods 
within the personal control of women. Since the early 1990s, 
``topical microbicides'' have emerged as a promising new 
technology for preventing STDs, including HIV. AID and the 
National Institutes of Health have been active participants in 
the International Working Group on Microbicides that 
coordinates microbicide research and maximizes its impact. 
Currently, AID invests only $2,300,000 annually on 
microbicides. The Committee is aware that approximately 20 
potential products are in various stages of development and 
that funds are urgently needed to conduct clinical trials. The 
Committee concludes that microbicides should be given a higher 
priority within the bilateral HIV/AIDS prevention program, and 
directs AID to devote not less than $10,000,000 from all 
accounts to microbicides research and development, emphasizing 
the special circumstances of drug delivery in developing 
nations.
    In addition to microbicides, the Committee urges AID to use 
the additional funds provided in fiscal year 2001 to promptly 
address emerging concentrations of TB/HIV, regardless of 
region, applying actual lessons learned from nations that 
halted and reversed the number of victims. Not less than 
$5,000,000 is provided from the Fund and, as available, from 
regional accounts for emerging epidemics in Ukraine, Russia, 
Central Asia, and southeast Europe. Also, the Committee 
supports efforts to provide a safer blood supply in the 
Republic of South Africa and other advanced developing and 
transition countries impacted by HIV/AIDS. These efforts should 
include evaluation of promising blood decontamination 
technologies.
    The Committee anticipates that at least $8,000,000 will be 
funded from the Economic Support Fund and accounts administered 
by the Bureau for Humanitarian Response and a minimum of 
$202,000,000 from the Child Survival and Disease Programs Fund. 
The Committee directs that AID include all HIV/AIDS-related 
activities, such as TB/HIV tuberculosis prevention programs, in 
its reports on achieving these targets.

  hiv/aids: international center for health and development in Africa

    The Committee remains concerned about the implications of 
the growing health crisis in sub-Saharan Africa and recommends 
that the Centers for Disease Control (CDC) and the Agency for 
International Development give priority attention to a detailed 
proposal by the Morehouse School of Medicine. It is the 
Committee's understanding that Morehouse seeks federal funding 
to strengthen its International Center for Health and 
Development, to train African health care workers, and to 
conduct vital research on methods to improve the long-term 
health care infrastructure in Africa. Partnerships in medical 
training and education, research, and technical assistance in 
field services could be particularly beneficial to those 
African countries devastated by TB/HIV. The overseas activities 
of the Center are compatible with AID policy objectives. The 
Committee requests that AID reserve at least $2,000,000 for 
this purpose until it makes a final decision on its relevant 
component of the Morehouse Medical School proposal. AID should 
provide the Committee with a copy of its written response to 
the Morehouse proposal not later than July 31, 2000.

                   other infectious diseases: malaria

    The Committee includes not less than the budget request of 
$27,000,000 for the prevention of malaria, a re-emerging global 
killer of children and major impediment to economic development 
in many poor countries. The Bureau of Humanitarian Response is 
urged to provide not less than $2,600,000 for malaria from its 
grant program for private voluntary organizations, consistent 
with current practice.
    The challenges posed by resurgent malaria are most evident 
in Africa. The recent Abuja conference of African heads of 
state in support of the global Roll Back Malaria campaign 
demonstrated Africa's own commitment to the common effort 
against malaria. The Committee urges AID to increase its role 
in helping African partners meet the Abuja goals of saving 
500,000 children from malaria each year and protecting 15 
million pregnant women from malaria-related complications 
during pregnancy, especially low birth weight babies. Through 
an expanded partnership with the private/commercial sector and 
rapid expansion of existing child and maternal health programs, 
AID can prepare itself for future funding increases in this 
vital area.
    The Committee is aware that programs protecting pregnant 
women from malaria and responding to the emergence of drug 
resistant strains of malaria can also be counted against 
maternal health and antimicrobial resistance targets. It has no 
objection to AID adjusting its coding system to account for 
these dual purpose activities.

                other infectious diseases: tuberculosis

    The Committee recognizes that tuberculosis (TB) is the 
major infectious killer of adults in the world, killing between 
two and three million each year. This disease could result in 
the deaths of up to 30,000,000 people in the next decade. TB 
kills more women than any cause of maternal mortality and is 
the major killer of persons with AIDS. Many of these will be 
parents, whose orphans will be a burden on already stressed 
societies. In addition, the Committee notes the threat to the 
United States from this disease due to international travel and 
immigration. An estimated 15 million Americans are currently 
infected with the TB bacteria. Therefore the Committee includes 
in the allocation for other infectious diseases $55,100,000 for 
programs for the prevention, treatment, control of, and 
research on tuberculosis. At least $4,900,000 is available as 
requested in the regional account for the independent states of 
the former Soviet Union. These amounts do not include 
activities to prevent and manage opportunistic TB among those 
with HIV/AIDS and their caregivers that are funded under the 
HIV/AIDS allocation.
    The Committee notes that the Agency for International 
Development is collaborating with the Gorgas Memorial Institute 
to promote regional TB control initiatives designed to address 
the global TB epidemic--training, operational improvement, and 
new approaches to disease control. The Committee strongly 
supports the continuation of this initiative. At least 
$2,000,000 is available for these activities during fiscal year 
2001.
    In its last two reports, the Committee requested AID to 
assist Texas and Mexico combat a particularly threatening 
outbreak of tuberculosis along their border. The Agency has 
been more responsive this year, and the Committee urges 
continued cooperation with the Texas Department of Health and 
relevant offices of the federal and state governments of 
Mexico.

  other infectious diseases: antimicrobial resistance and surveillance

    The Committee supports the efforts of AID and the Centers 
for Disease Control to reduce the spread of antimicrobial 
resistance. The Committee is aware of the special problems of 
infectious diseases among patients hospitalized in Asia, Latin 
America, and Africa, and encourages AID to encourage the use of 
proven new technologies to combat antimicrobial resistance. The 
Committee has been made aware of the work in this area by the 
International Foundation for the Reduction of Infectious 
Diseases, and suggests that AID cooperate with the Foundation. 
In addition, AID is encouraged to continue improving capacity 
for surveillance and response to infectious diseases at the 
national and local levels.

   infectious diseases: collaborative research by university medical 
                                schools

    The Committee is aware of and supports the renewed 
engagement of many United States university medical schools and 
medical research facilities in the global campaign against 
infectious diseases, especially those which affect children. As 
many contributed greatly to domestic public health progress in 
earlier decades, the Committee welcomes their interest in the 
new global campaign.
    The Agency for International Development and multilateral 
health and child survival agencies benefiting from this bill 
are urged to give every consideration, and report back promptly 
in writing to the Committee, on its response to detailed 
proposals submitted by, among others:
          The International Health Learning Center at Loma 
        Linda University;
          The Gorgas Memorial Institute;
          The Tulane University School of Public Health's 
        Department of Tropical Medicine; and
          The University of Notre Dame.
    The Committee notes the ongoing dialogue between AID and 
George Mason University regarding cooperation on health 
programs in Latin America. The Committee directs AID to provide 
not less than $1,000,000 to support a proposal from George 
Mason for this purpose.
    The Committee also strongly supports research at such 
institutions, funded by AID and UNAIDS, to develop microbicides 
that could be of use in the developing world. The Committee 
requests that AID report to the Committee on a bimonthly basis 
regarding the status of proposals received from these 
institutions.

              basic education for children and child labor

    The Committee is keenly aware that a child's education 
provides an enduring opportunity for a healthier, more 
productive life. An educated and well-trained population 
directly contributes to sustained economic growth, poverty 
alleviation, and the creation of democratic institutions. 
Often, the highest poverty rates are found in nations with the 
lowest education and literacy levels. Despite progress in 
expanding access to basic education, more than 130 million 
children around the world do not attend school, and there are 
great educational disparities between boys and girls. There is 
ample evidence in research and practice that investment in 
basic education, particularly in girls' education, provides the 
critical link to improved family health, enhanced status of 
women, reduced child labor, and greater political 
participation. Education also builds the capacity countries 
require to benefit fully from trade and development 
opportunities. Such investments achieve key components of U.S. 
development strategy.
    The Committee recommends that the Secretary of State and 
the Administrator of AID establish a target funding level for 
children's basic education of $118,000,000, of which 
$103,000,000 would be derived from the Child Survival and 
Disease Programs Fund and the remainder from the Economic 
Support Fund and regional accounts.
    Studies made available to the Committee have demonstrated 
that in developing countries the greatest progress has been 
made in reducing exploitative child labor where free and 
compulsory schooling is widely available. Over the past two 
years, the Committee has urged AID to commit at least 
$10,000,000 to programs designed to expand universal access to 
free and compulsory basic education for children who are 
trapped in exploitative child labor. This year the Committee 
recommends that AID consider a proposal to provide $1,500,000 
to support Alfalit International, a private voluntary 
organization with decades of experience providing free basic 
education to children in Latin America and Africa.
    The Committee has been informed that an Executive branch 
decision was made to assign management and funding of programs 
aimed at reducing foreign exploitative child labor to the 
Department of Labor, a domestic agency. The Department of 
Labor's fiscal year 2001 budget request includes $55,000,000 
and 17 federal job equivalent positions ``to help developing 
countries with high levels of abusive child labor to enroll and 
retain these children in basic education''. None of the funds 
provided in this bill may be used for programs managed by the 
Department of Labor.

            GRANT TO UNITED NATIONS CHILDREN'S FUND (UNICEF)

    Of the funds provided in this account, $110,000,000 is 
provided as a contribution in grant form to the United Nations 
Children's Fund. However, this does not preclude the Agency for 
International Development from providing additional funding for 
specific UNICEF projects not cited in this report, as may be 
appropriate.
    The Committee requests that the Secretary of State, in 
consultation with UNICEF, provide the Committee not later than 
September 15, 2000, a detailed financial breakout of the child 
survival and disease programs benefiting from United States 
contributions to UNICEF between 1996 and 1999, utilizing the 
categories and subcategories defined above, as well as general 
headquarters costs.

                         Development Assistance





Fiscal year 2000 level................................    $1,228,000,000
Fiscal year 2001 request..............................       948,822,000
Committee recommendation..............................     1,258,000,000


    The Committee recommends $1,258,000,000 for a general 
account for development assistance. The amount recommended is 
$309,178,000 above the budget request and $30,000,000 above the 
fiscal year 2000 level.
    Funding in this account includes worldwide activities for 
free market economic development, agriculture, rural 
development, population, adult literacy and adult basic 
education, environment, energy, science and technology and 
other programs related to longer-term development.
    The Committee recommends the continuation of bill language 
to prohibit the use of funds for any activities in 
contravention of the Convention on International Trade in 
Endangered Species (CITES) in order to address concerns that 
AID funded activities in Zimbabwe are contributing to trade in 
elephant ivory.
    The Committee recommends the transfer of up to $2,000,000, 
from the ``Development Assistance'' account, to support 
development credit activities.

                     AFRICAN DEVELOPMENT FOUNDATION

    Within the ``Development Assistance'' account, the 
Committee recommends funding for the African Development 
Foundation (ADF) at the budget request level of $16,000,000, 
which is an increase of $1,600,000 above the fiscal year 2000 
level. The Committee has once again included bill language 
allowing ADF grantees to hold funds in interest bearing 
accounts provided that any interest earned be used for the same 
purposes as the grant. Also, the Committee has provided ADF 
with authority to make project grants in excess of $250,000 
provided that the Committee be notified in advance. The 
Committee expects the ADF will only exercise this authority in 
rare instances.
    Since its inception, the ADF has provided more than 1,300 
grants in 26 African countries to build local capacity and 
emphasizing self-help. These ADF grants have helped increase 
income and expand services for Africa's poor. The Committee 
supports the efforts of the ADF staff and Board to garner 
outside funding and encourages the Foundation to continue to 
explore other sources of funding.

                       inter-american foundation

    The Committee recommends up to $10,000,000 for the Inter-
American Foundation from within the ``Development Assistance'' 
account, $10,000,000 below the budget request. The Committee 
believes the grassroots development objectives of the 
Foundation, established in 1969, are now adequately integrated 
into the programs of AID and through the work of 
nongovernmental organizations throughout the hemisphere.

                restrictions on use of population funds

    The Committee has continued prior year language in the bill 
that requires that none of the funds appropriated in this bill, 
or any unobligated balances, be made available to any 
organization or program which, as determined by the President, 
supports and participates in the management of a program of 
coercive abortion or involuntary sterilization. The bill 
language also states that funds cannot be used to pay for the 
performance of abortions as a method of family planning or to 
motivate or coerce any person to practice abortions. Further, 
the language indicates that in order to reduce reliance on 
abortions in developing countries, population funds shall be 
available only to voluntary family planning projects which 
offer, either directly or through referral, information about 
access to a broad range of family planning methods and 
services. An additional provision in the bill requires that in 
awarding grants for natural family planning under section 104 
of the Foreign Assistance Act, no applicant shall be 
discriminated against because of such applicant's religious or 
conscientious commitment to offer only natural family planning.
    The Committee also has continued prior year language that 
states that nothing in the Development Assistance account 
portion of the bill is to alter any existing statutory 
prohibitions against abortion which are included under section 
104 of the Foreign Assistance Act. Further, the Committee has 
continued prior year language which states that project service 
providers or referral agents cannot 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 is 
identical to language in the fiscal year 2000 Act.

                        PERU POPULATION PROGRAM

    The Committee is concerned by reports by an independent 
group and by the Peruvian human rights ombudsman's office 
(Defensoria del Pueblo), that informed-consent problems still 
persist in Peru after the implementation of the ``Tiahrt 
amendment'' in fiscal year 1999. The Committee directs the AID 
Office of Inspector General to investigate, report and make 
recommendations on this matter not later than March 1, 2001.
    The Committee was disturbed that AID failed to report to 
Congress the violations involving coercive family planning 
practices documented by the human rights ombudsman's office 
simply because AID funds being used (from fiscal year 1998) 
were not subject to Tiahrt restrictions. The Committee expects 
that all population funds should be held to the standard of 
current law and that, in the future, AID should err on the side 
of informing the Committee too often, rather than too rarely.
    Finally, the Committee is concerned about the continued 
relationship between population service providers and other 
welfare service providers (i.e. food, clothing, general health 
care). These services should be provided separately to ensure 
that women are not unduly pressured to accept population 
services in exchange for welfare service.
    The Committee believes that, as the largest single donor to 
Peru's population program, AID has a special responsibility for 
ensuring that these programs are truly voluntary. The Committee 
is pleased with the various protections AID is putting in place 
to ensure that the Tiahrt amendment will be enforced in Peru 
and directs AID to implement these same protections in the 
other countries receiving population funding from AID. The 
Committee is encouraged by the publication of the norms and by 
eliminating as an indicator of success or failure the number of 
family planning acceptors, both of which should be a model for 
other countries in which AID carries out population programs. 
Also, the Committee is encouraged by the planned expansion of 
AID funding to the human rights ombudsman's office not only to 
investigate cases brought to its attention but also to 
undertake ``outreach'' to victims who have not come forward.
    In order to regain confidence in AID's resolution to 
monitor and report Tiahrt amendment violations, the Committee 
directs AID to provide biannual reports, beginning not later 
than March 1, 2001, on the following:
     Its efforts to implement recommendations of the 
Inspector General.
     Its efforts to monitor and improve Peruvian family 
planning programs, in addition to the existing statutory 
reporting requirements of Tiahrt violations. These monitoring 
efforts shall include: regular contact with implementing 
partners; field visits; client surveys; and regular audits and 
inspections by AID's Inspector General, the human rights 
ombudsman's office and, as directed by Congress, the General 
Accounting Office.
     Its efforts to implement similar protections in 
other countries receiving population assistance.
     Its efforts to implement new protections and any 
reported allegations of Tiahrt amendment violations in the AID 
program in Peru.
     The steps taken to work with the Peruvian Ministry 
of Health to implement changes that ensure that population 
programs and other welfare services are provided separately.

               GLOBAL ISSUES: AID GLOBAL BUREAU PROGRAMS

    The Committee directs AID to reserve sufficient funds from 
its discretionary Development Assistance budget for the Global 
Bureau's Centers for Economic Growth and Agricultural 
Development; Environment, Energy and Infrastructure; and 
Democracy and Governance. In order for the Bureau to remain 
AID's technical center for excellence and mission support, the 
Committee has included core funding for each Center and 
component office at not less than the FY 2000 level. The 
Committee intends that each Global Bureau Center and office 
should be in a position to respond to emerging opportunities, 
reward exceptional performance, and test cost-effective 
development approaches not otherwise included in Executive 
branch and Congressional directives. In addition, each Center 
and office should use core funding to ensure that new, small, 
minority and disadvantaged contractors, cooperating 
institutions, and grantees are fully and fairly considered for 
task orders and awards.

               Global Issues: Human rights and democracy

    The Committee expects AID to give adequate weight to the 
human rights and governance practices of recipient countries, 
including as reported in the Department of State's annual 
Country Reports on Human Rights Practices. Although the 
Committee believes that need and U.S. foreign policy goals 
should be the primary criteria for determining whether or not a 
country should receive assistance, the Committee also believes 
that the assistance--whether through nongovernmental 
organizations or directly through official channels--will have 
a far greater chance of truly helping the citizens in those 
countries which respect the rule of law and the rights of their 
people. The Committee notes the disturbing recent trend by 
leaders of long-time foreign assistance recipients--in Peru, 
Zimbabwe, and Haiti, for example--to undercut democratic 
processes and to curtail respect for human rights. Further, a 
number of traditional aid recipients are currently involved in 
military conflicts and have restricted the basic freedoms of 
their citizens. AID should continue to give significant weight 
to the record of human rights and democratic development of 
proposed recipient countries in the distribution of assistance 
provided under this Act.

                 Global issues: literacy and education

    The Committee recognizes that expanding access to 
education, especially combating child and adult illiteracy, is 
critical to long-term development. The Committee is aware that 
the bulk of AID funds are for children's basic education 
programs funded through the ``Child Survival and Disease 
Programs Fund''. However, the Committee supports the work of 
Alfalit International, an educational nongovernmental 
organization dedicated to promotion of literacy, elementary 
education, and community development in Africa and Latin 
America. Alfalit's proven record during the past three decades 
has helped significantly reduce child and adult illiteracy 
throughout Latin America and Africa. The Committee directs AID 
to provide $1,500,000 for Alfalit to jointly develop and 
implement programs to combat adult illiteracy in countries in 
which AID operates.

                         global issues: energy

    The Committee urges that AID's Office of Environment, 
Energy, and Infrastructure be funded at a robust level. AID 
projects should continue to be developed and carried out in 
collaboration with U.S. industry, taking into account future 
energy resource development and United States energy security 
requirements. Projects should be undertaken in countries with 
the greatest potential for success, regardless of the presence 
of AID field missions. Included in these efforts should be 
reform, project design, innovative project financing, trade and 
reverse trade missions, training, and technology transfer and 
collaboration.
    The Committee supports AID programs designed to develop the 
commercial energy sector in Africa. Africa has great economic 
potential, which has been stifled, in part, by lack of adequate 
and reliable energy. The Committee encourages AID to work with 
committed African governments and private entities to bring 
about sectoral, legal, and regulatory changes, as well as the 
institutional capacity, necessary to develop commercial energy 
opportunities.

      Global Programs: the role of girls and women in development

    The Committee recognizes the importance of improving the 
economic and social situation of women and girls through 
respect for legal rights and expanded access to educational 
opportunities, adequate health care, and credit. The Committee 
supports the work of AID's Office of Women in Development in 
these areas. Therefore, the Committee recommends at least 
$15,000,000 for AID's Women in Development programs, including 
funds transferred to central offices from overseas missions. 
Although AID is to be commended for previously devoting 
considerable attention to the needs of women and girls, 
additional attention is needed.
    The Committee commends the work of the AID Advisory 
Committee on Voluntary Foreign Assistance (ACVFA) and its 
efforts in monitoring the implementation of AID's Gender Plan 
of Action. As a result of ACVFA's work, an assessment of the 
Gender Plan of Action will be carried out and completed before 
the end of this calendar year. The Committee looks forward to 
learning about the findings of this assessment. Further, the 
Committee supports the work of Women's Campaign International 
(WCI) in training women in political processes in emerging 
democracies and encourages AID to work with WCI in developing 
countries in which AID undertakes governance programs.

                      global issues: biodiversity

    The Committee applauds the accomplishments of AID in 
integrating biodiversity and forest management in its economic 
and social development programs. The Committee urges AID to 
consider biodiversity a high priority and is pleased with the 
Administration's budget request for biodiversity programs for 
fiscal year 2001. The Committee directs AID to provide not less 
than $70,000,000 in fiscal year 2001 for its biodiversity 
programs. Further, the Committee continues to support the use 
of nongovernmental organizations through cooperative agreements 
and other innovative, cost-effective financing vehicles. The 
Committee also urges AID to pursue conservation and tropical 
forest management in all geographic regions where globally 
outstanding habitat and species are threatened, including 
border regions and in so-called AID ``non-presence'' countries.
    The Committee recommends that AID provide $500,000 to 
support the Peregrine Fund's Neotropical Raptor Center in 
Panama to conserve birds of prey in the Panama Canal watershed 
area. The Peregrine Fund, established in 1970 as a non-profit 
organization, has partnered successfully with AID in the past. 
The Committee notes that the Center expects to receive 
significant private financing for this project as well.
    The Committee encourages AID to support the work of Earth 
University in San Jose, Costa Rica. For more than 10 years, 
Earth University has worked with more than two dozen U.S. 
universities on research projects designed to balance 
development and conservation in the areas of tropical forest 
preservation, reforestation, and biodiversity.

                     global issues: kyoto protocol

    Once again, the Committee has included a general provision, 
section 577, prohibiting the use of funds for the purpose of 
implementation, or in preparation for implementation, of the 
Kyoto Protocol.
    This provision shall not be read to restrict the 
President's constitutional authority to negotiate international 
agreements and shall not apply to any activities authorized 
under existing United States law.
    The Committee notes that the ratified United Nations 
Framework Convention on Climate Change (UNFCCC) is not self-
executing. The Committee also notes that mechanisms found 
solely in the Kyoto Protocol have never been authorized.
    The Byrd-Hagel Resolution (S. Res. 105-98), which passed 
with a vote of 95-0 in July 1997, remains the clearest 
statement of the will of the Senate with regard to the Kyoto 
Protocol. Through the prohibition contained herein, the 
Committee is committed to ensuring that the Administration not 
implement the Kyoto Protocol without prior Congressional 
consent, including approval of any implementing legislation, 
regulation, programs, or initiatives.
    To the extent that technical assistance and training, 
research and policy analysis, dissemination of findings of 
research and policy analysis, and the sponsoring of conferences 
are approved by Congress and funded by the American taxpayer, 
these activities must be balanced. Balance does not mean merely 
that there is an acknowledgment of viewpoints different from 
those of the Administration, but that qualified viewpoints are 
included in numbers equal to those representing the 
Administration's positions.
    The Committee encourages the commercial export of United 
States technology that has positive effects on energy use and 
the environment.
    The Committee notes with disapproval that nearly three 
years after the Kyoto Protocol was adopted on December 11, 
1997, it still has not been submitted to the Senate for advice 
and consent as to ratification. The Committee also notes that 
the Kyoto Protocol has not yet entered into force pursuant to 
Article 25 of the Protocol.

                       economic growth: overview

    The Committee considers free market economic growth, and 
the AID programs designed to lead directly to growth, the 
Agency's most important work in Africa, Latin America and Asia. 
Simply put, without sustained economic growth, AID's 
development programs for health, population, environment and 
other purposes, can have only marginal long-term benefits in 
poor countries.
    In the near-term, the Committee continues to support the 
use of AID resources for basic education and health improvement 
through the ``Child Survival and Disease Programs'' account. 
But improved social conditions of children only matter if the 
future economies of these countries can provide employment for 
these healthier, better educated citizens. Therefore, the 
Committee encourages AID to increase funding for free market 
economic development in its development programs in each of 
these regions.
    The Committee continues to support AID technical assistance 
programs to encourage macro-level economic growth. These 
include programs to assist with privatization of state-run 
industry and legal and regulatory reform to modify trade and 
tax barriers which stifle local entrepreneurs and which deter 
U.S. investment. In addition, AID technical help for improving 
energy, transportation, telecommunication, and finance sectors 
is key to directly improving the economic climate of poor 
countries. Essential to this, of course, AID must continue to 
search out reform-minded government leaders without whom these 
programs cannot succeed.
    AID non-project assistance programs, or cash grants, to 
encourage sectoral reform or to ease transitions from state 
control to private ownership in poor countries have had only 
limited success. When governments are already committed to 
reform, non-project assistance can boost these efforts in the 
short-term. However, attempts to encourage non-reformist 
governments into changing bad policies by offering cash 
enticements will not work. The Committee discourages the use of 
non-project assistance in Africa where access to American 
technical know-how is in higher demand than direct cash 
assistance.
    Microenterprise, while unable to alter economic indicators 
on a national scale, can significantly improve personal and 
family incomes, thus providing money for school fees, health 
supplies, and more nutritious food, and stimulating economic 
growth at the community level. Also, programs of collateral 
importance to economic growth, such as girls' and women's 
education and training programs, can assist in opening the 
marketplace to females.

                      Economic growth: agriculture

    The Committee believes that agricultural development is 
central to creating free market economic growth in developing 
countries. By helping families grow more food that is more 
nutritious, hunger, malnutrition, and disease among women and 
children become less prevalent. By increasing incomes of rural 
families, the engine of economic development in these countries 
is being started. The Committee recognizes that AID has again 
included agricultural development as one of its key goals for 
its development programs. However, the Committee is concerned 
that agriculture programs have received only slight increases 
in the past two years.
    The Committee supports partnerships between U.S. 
agribusiness and the emerging private sector agribusiness in 
developing countries. Projects to promote these partnerships 
leverage AID's development resources by increasing the private 
sector's investment of resources in developing countries, which 
leads to increased economic growth and stronger trade and 
investment ties between the U.S. and developing nations. 
Further, the Committee recommends that AID emphasize the 
private agriculture sector in its projects, including private 
farmers and household producers, credit programs, and private 
sector supply and market services.
    The Committee recommends AID consider supporting the 
establishment of a Center to Promote Biotechnology in 
International Agriculture at Tuskegee University. This center 
will promote extension and outreach aimed at policymakers, 
media, farmers and consumers in cooperation with local 
scientists with an emphasis on agricultural genetic technology 
applications designed to reduce hunger, malnutrition, and 
improving rural incomes in developing nations.
    The Committee also recommends that USAID provide $2,000,000 
for non-governmental organizations such as Food for the Poor to 
develop sustainable farming programs in Haiti.

                    Economic growth: microenterprise

    Microenterprise has proven its effectiveness in promoting 
economic growth in many of the poorest countries and allowing 
poor people, especially women, to lift themselves out of 
poverty and to create and expand micro businesses which raise 
living standards. The Committee recognizes that microenterprise 
cannot lift an entire nation out of poverty--broad policy 
reforms and responsible stewardship of resources at the 
national level are essential--but microenterprise programs can 
complement sound macroeconomic policies by providing increased 
incomes at the community level. The Committee recommends that 
microenterprise funding, including the use of local currencies, 
be provided at least at the program level provided in 2000. The 
Committee believes that AID should make its best effort to 
reach a program level of $152,000,000. Of these funds, the 
Committee expects AID will devote at least fifty percent to 
poverty lending programs. The Committee directs AID to report 
in writing not later than March 1, 2001, on the proposed fiscal 
year 2001 funding level for microenterprise and on AID's 
efforts to meet the Committees other directives regarding the 
microenterprise program.
    The Committee has modified existing bill language by 
directing that not less than one-half of all funds appropriated 
under this Act for the Microenterprise Initiative shall be for 
programs providing loans in the following amounts to very poor 
people, especially women, or for institutional support for 
organizations primarily engaged in making microenterprise 
loans: $1,000 or less in the Europe and Eurasia region, 
including North Africa; $400 or less in the Latin America 
region; and $300 or less in the rest of the world.

        economic growth: the institute for liberty and democracy

    The Committee supports the work of the Institute for 
Liberty and Democracy (ILD), which provides technical 
assistance for the establishment of property rights as a means 
of maximizing capital formation in the developing world. A 
major obstacle to free market economic growth throughout much 
of the developing world is the absence of legal instruments 
that are critical for the production of capital. As ILD, based 
in Lima, Peru, has documented extensively, many of the poor 
already possess the assets they need to make a success of 
capitalism. However, the poor hold these resources in what the 
Institute characterizes as ``defective'' forms: houses built on 
land whose ownership rights are not adequately recorded, or 
unincorporated businesses that do not have legal instruments as 
mechanisms for raising investment capital.
    The Committee recognizes that the concepts promoted by the 
Institute for Liberty and Democracy can make significant 
contributions to free market economic development in much of 
the developing world and encourages AID to increase its support 
for ILD's work. ILD programs have proven successful in Peru, 
Egypt, the Philippines and Haiti, and the Committee believes 
similar technical assistance programs can be initiated in many 
other developing countries.

     Economic growth: development of credit unions and cooperatives

    The Committee continues its support for credit union and 
cooperative development in which U.S. cooperatives share their 
self-help business approaches with developing and market 
transition countries. Cooperatives are a means to lift low-
income people out of poverty through their own efforts by 
mobilizing equity and savings for community-based economic 
growth.
    African credit union movements in more than 28 countries 
represent an excellent opportunity to provide microcredit and 
safe savings to millions of Africans. The Committee encourages 
AID to use this network to greatly expand microfinance 
programs, particularly in South Africa where the poor majority 
have had limited access to community-based financial services.
    The Committee is concerned that AID has not provided 
sufficient support for rural electric and telecommunications 
cooperatives that serve rural people in developing countries. 
AID must consider the importance of rural electrification and 
telecommunications for small business growth, and not focus 
resources solely on national policy initiatives that mostly 
benefit urban residents.

     economic growth: international intellectual property institute

    The Committee encourages AID to provide $1,000,000 to 
support the International Intellectual Property Institute 
(IIPI) in its efforts to help developing countries establish 
the minimum international standards necessary to protect and 
attract U.S. intellectual property industries. The past decade 
has seen tremendous economic growth in intellectual property 
industries such as software, music and pharmaceuticals. Yet, 
because of an inability to provide protection for such 
property, developing countries have been largely unable to 
participate in this economic expansion. AID support for IIPI 
training and technical assistance programs can promote sound 
intellectual property systems which protect American businesses 
and which foster free economic growth in developing countries.

               latin america and the caribbean: overview

    The Committee is pleased the Agency for International 
Development responded to report language from previous years 
urging that greater emphasis be provided for programs in Latin 
America and the Caribbean. The Committee reiterates its 
intention that the allocation of funds for this region through 
this account and through the ``Economic Support Fund'' should 
be at least at the combined fiscal year 2000 level, excluding 
emergency supplemental funding.
    The Committee directs that AID provide not less than 
$10,000,000 of the funds dedicated to Latin America and the 
Caribbean for grassroots programs and projects to promote 
equitable, responsive, and participatory self-help development. 
The goal of this assistance should be to focus on human 
development, foster self-reliance, and improve the quality of 
life for the people in the region.

               latin america and the caribbean: democracy

    The Committee is concerned about political stability and 
democracy in Latin America and the Caribbean. In recent years, 
democratic processes, rule of law, and more transparent 
government institutions have emerged. In fact, it is widely 
known that during much of the 1990s, the entire hemisphere, 
except for Cuba, had democratically elected governments. These 
improvements have been brought about, in part, by U.S. 
diplomacy and assistance. Unfortunately, as this past year's 
events in Ecuador, Peru, Haiti, Venezuela, Paraguay and 
elsewhere have shown, democratic institutions throughout Latin 
America remain fragile. These weak institutions undercut 
American security, economic and political goals. The Committee 
urges AID's Latin America and Global Bureaus to refocus their 
attention on democracy and governance in the region to ensure 
that the gains of the past decade are not lost. Further, to 
help ensure that Cuba's future transition from a centrally 
planned to a market-based economy can be achieved rapidly and 
peacefully, the Committee encourages AID to support the 
University of Miami's Institute for Cuban and Cuban-American 
Studies through its Cuba Transition Project (CTP).

                Latin America and the Caribbean: Mexico

    The Committee calls on the Secretary of State to encourage 
the government of Mexico and Zapatista National Liberation Army 
(EZLN) to take steps which create conditions for good faith 
negotiations that address the social, economic, and political 
causes of the conflict in Chiapas, Mexico, to achieve a 
peaceful resolution to the conflict. The Committee urges the 
Government of Mexico to give higher priority to criminal 
justice reforms that protect human rights including arbitrary 
detention, torture, disappearances, attacks against human 
rights monitors, extrajudicial killings and the failure to 
prosecute individuals responsible for these crimes. In 
addition, the Committee urges the Government of Mexico to 
implement the recommendations of the Inter-American Commission 
on Human Rights, particularly with regard to U.S. citizens and 
others who have been expelled from Mexico in violation of 
Mexican and international law. Further, the Committee was 
pleased that the United Nations High Commissioner for Human 
Rights (UNHCHR) visited Mexico last year and the Committee 
looks forward to the prompt conclusion of a technical 
cooperation agreement between the Mexican Government and the 
UNHCHR.

      latin america and the caribbean: central america initiatives

    The Committee continues to support U.S. assistance to 
Guatemala to enhance implementation of the peace accords. 
However, the Committee is concerned about a lack of progress in 
certain areas, such as strengthening Guatemala's criminal 
justice system. The Committee urges the Government of Guatemala 
to ensure diligent investigations and prosecutions of human 
rights cases, including the assassinations of Bishop Juan 
Gerardi and anthropologist Myrna Mack and the wide-scale 
intimidation of SITRABI union members. The Committee 
congratulates the Government of Guatemala for its recent 
acceptance of state responsibility for a number of cases 
pending before the Inter-American Commission on Human Rights, 
and its commitment to follow the recommendations of the 
Commission in this regard.
    The Committee has been made aware of the United States-
Honduran Presidential Program of Investments Alliance (USHPPIA) 
and encourages AID to provide at least $3,000,000 to support 
this initiative. The Administrator of AID is urged to work with 
the Metro Vision Economic Partnership for the implementation of 
this program. AID shall report to the Committee not later than 
March 1, 2001, regarding this program and is encouraged to 
include the USHPPIA in its fiscal year 2002 budget request.
    The Committee recognizes the important humanitarian gesture 
by the Government of Costa Rica to accept more than 135,000 
migrants from Nicaragua in recent years, the majority of whom 
have arrived as a result of economic problems following 
Hurricane Mitch. The Committee directs the use of AID 
resources, through a mix of grants and innovative non-sovereign 
credit programs, to support the Government of Costa Rica's 
$84,171,000 plan to provide an integrated housing, 
infrastructure and microcredit program in Costa Rica. AID's 
Latin America and Global Bureaus are directed to consult with 
the Committee during the development of this program.

            Latin america and the caribbean: parks in peril

    The Committee notes its strong support for the existing AID 
Parks in Peril program, a partnership with the private sector 
to promote biodiversity conservation in imperiled ecosystems 
throughout Latin America and the Caribbean. The Committee 
believes that protection of rare ecosystems is important from 
an environmental standpoint and also serves the long-term 
economic interests of these nations and the interests of the 
United States. AID/Parks in Peril has worked at 37 sites in 15 
different countries, comprising more than 28 million acres. It 
has made significant progress at turning ``paper parks''--those 
created by governments, but not adequately maintained--into 
genuine protected areas. Since its inception, Parks in Peril 
has received $37,500,000 from central and mission AID funds, 
formally matched by more than $14,300,000 from The Nature 
Conservancy, foreign partners, and foreign governments, and has 
indirectly leveraged more than $268,000,000 from non-AID 
sources. The Committee welcomes the prospect of ``PiP 2000'', a 
renewed program that seeks to extend the influence of Parks in 
Peril more broadly.

          Latin America and the Caribbean: Corps of Engineers

    The Committee is pleased that the State Department and AID 
have begun to utilize the planning, engineering and design, 
environmental, and technical capabilities of the U.S. Army 
Corps of Engineers, particularly in Latin America where the 
Corps has existing field offices in Honduras, El Salvador, 
Panama, Colombia, Bolivia, and Peru. A partnership between the 
Corps and AID that takes advantage of these capabilities can 
significantly contribute to the strategic interests of the 
United States. The Committee intends that the State Department 
and AID use the Corps to a greater extent to support such 
activities as child survival (water and sanitation); 
development assistance; disaster assistance; Transition 
Initiatives; and narcotics control and interdiction. Further, 
the Committee expects that the Department of State and AID will 
not establish additional engineering capabilities for 
activities that can be accomplished by the Corps. The Committee 
requests that AID and the Department of State report separately 
within 60 days of enactment into law of this Act regarding 
plans to develop programs with the Corps during fiscal year 
2001, including steps to develop a Memorandum of Agreement with 
the Corps.

                latin america and the caribbean: jamaica

    The Committee urges the government of Jamaica to take all 
steps necessary to determine the whereabouts and well being of 
a young American travel reporter, Ms. Claudia Kirschhoch, who 
has been missing since she was last seen on May 27, 2000, in 
Negril, Jamaica. Further, the Committee urges the government of 
Jamaica to cooperate fully with and avail itself to the 
assistance of the U.S. Federal Bureau of Investigation in this 
case.

                            africa: overview

    The past year has not been kind to sub-Saharan Africa. In 
fact, Africa today faces huge obstacles to achieving long-term 
economic and social development. These include:
     Natural disasters, including famine in the Horn 
and floods in southern Africa, devastating Mozambique, which 
enjoyed Africa's highest annual growth rate.
     Conflicts involving the governments of Angola, 
Burundi, Congo, Eritrea, Ethiopia, Liberia, Rwanda, Sierra 
Leone, Sudan, Uganda, and Zimbabwe, which divert national 
treasuries away from social and economic development programs.
     Diseases, especially HIV and tuberculosis, which 
are destroying millions of lives today and whose long-term 
economic toll may not be known for years. For example, 
Botswana, among the most stable and wealthy nations in Africa, 
faces HIV infection rates of more than 35 percent.
     Rulers, from Kenya to Liberia to Zimbabwe, who 
thwart the democratic wishes of their people and who misuse 
national wealth.
    While these obstacles are daunting, they are not 
insurmountable. And the United States is helping. In fiscal 
year 2000, Africa continued to receive the largest percentage 
of AID development resources of any region. Further, the 
Committee again directs AID that funding allocations from 
within the unified ``Development Assistance'' account for sub-
Saharan Africa in fiscal year 2001 be at least equal to the 
allocation provided in 2000. Also, the Committee expects that a 
significant portion of the resources provided in the ``Child 
Survival and Disease Programs Fund'', especially funds for 
infectious diseases, including HIV and TB, will directly assist 
the peoples of Africa.
    The following is an estimate of the development, 
transition, and humanitarian assistance recommended in the 
fiscal year 2001 bill for sub-Saharan Africa.

Assistance for sub-Saharan Africa \1\

Development Assistance..................................    $506,667,000
Child Survival and Disease Programs Fund................     294,673,000
African Development Foundation..........................      16,000,000
International Disaster Assistance.......................     114,000,000
AID Office of Transition Initiatives....................      12,500,000
Peace Corps.............................................      55,000,000
Refugee and Migration programs..........................     135,000,000
UNICEF \2\..............................................      54,000,000
African Development Fund................................      72,000,000
International Development Association \3\...............     288,000,000
African Development Bank................................       3,100,000
                    --------------------------------------------------------
                    ____________________________________________________
      Total.............................................  $1,550,940,000

\1\ In addition to the accounts included in this table, the Committee 
expects significant funding for sub-Saharan Africa from the security-
related accounts in the bill, including the Economic Support Fund, 
Foreign Military Financing program, International Military Education and 
Training account, International Narcotics Control and Law Enforcement 
program, humanitarian demining funds, and the Peacekeeping Operations 
account. In addition, AID expects to provide up to $161,450,000 in P.L. 
480 food assistance to Africa in fiscal year 2001 and from Debt 
Restructuring funds in this bill.
\2\ UNICEF dedicated approximately 49 percent of its resources to sub-
Saharan Africa in 1999. UNICEF expects this percentage to continue.
\3\ The IDA-12 replenishment targeted 50 percent of all IDA credits to 
sub-Saharan Africa countries.

    The Committee directs AID to continue its programs to 
address each of the challenges described above, with special 
attention to programs which lead directly to economic growth 
and increased incomes. These include agriculture, technical 
assistance for policy reform and privatization, and 
microenterprise. The Committee expects that AID funding for the 
broad range of programs in Africa will be balanced, so 
resources are available to support an integrated approach to 
development. AID programs in population, family planning, and 
child and maternal health, while valuable, do not lead directly 
to increased incomes. As such, the benefit of development 
dollars provided for these activities will be limited unless 
African nations can achieve long-term economic growth which 
creates new jobs and increases incomes of the majority of their 
citizens.
    The Committee does not recommend a separate account for the 
``Development Fund for Africa'', but notes that authorities 
available for the ``Development Fund for Africa'' apply in 
providing assistance to sub-Saharan Africa through the 
``Development Assistance'' account.

                         Africa: horn of africa

    The Committee remains concerned about the fragile food 
security situation in the Horn of Africa. Famine conditions 
threaten more than 16 million people in Ethiopia, Sudan, 
Somalia, Kenya, Uganda and Djibouti. Conflict has exacerbated 
these famine conditions by hindering the delivery of 
humanitarian assistance and by creating scores of internally 
displaced people and refugees.
    The Committee supports the efforts of The International 
Research Institute for Climate Prediction (IRI) to provide 
assistance to AID's Office of Foreign Disaster Assistance in 
predicting likely effects of weather patterns on Africa--
especially the Greater Horn of Africa region. To further this 
important work, the Committee recommends that AID commit 
$500,000 for the implementation of a modeling effort focused on 
climate impacts on water, including water supply, water-borne 
diseases, and agriculture, in collaboration with the Nairobi 
Drought Monitoring Center. The Committee believes these efforts 
can help achieve greater food security and stability in the 
region. The Committee encourages AID to consider a similar 
climate prediction monitoring program for southern Africa.

                      Africa: eritrea and ethiopia

    The Committee is concerned by the military conflict between 
Ethiopia and Eritrea and is disappointed that these nations 
again returned to war, rather than peacefully resolving this 
territorial dispute. In the past year, famine has swept through 
much of Ethiopia endangering the lives of millions, but the 
Ethiopian Government continues to obstruct the delivery of 
international humanitarian assistance. Meanwhile, these two 
nations--among the poorest in the world--continue to spend 
significant resources on this conflict. Recent reports estimate 
that the two nations combined spent more than $800,000,000 on 
their militaries in 1999. These resources could have been 
directed toward social development and economic growth. The 
Committee does not support continued high levels of assistance, 
especially nonproject assistance, to nations whose governments 
choose to dedicate scarce national resources to waging war 
instead of funding programs beneficial to their citizens
    Further, the Committee is concerned that this conflict has 
undercut regional initiatives in the Horn of Africa which are 
mutually beneficial to the U.S. and countries in the region. 
The Committee has made assistance to Eritrea and Ethiopia 
subject to notification (section 520) and expects that the 
Executive Branch will not engage in programs directly with 
either government, especially those involving nonproject 
assistance or debt relief, until it can be demonstrated that 
these governments have ceased offensive military action and 
have discontinued the allocation of scarce budget resources to 
purchase weaponry.

                  Africa: Assistance to Southern Sudan

    The Committee believes that the Administration can and 
should do more to support the democratic opposition in Sudan 
with the ultimate goal of bringing peace to the people of 
southern Sudan. The Committee supports the inclusion of Sudan 
on the list of terrorist nations and encourages the 
Administration to step up efforts to isolate the Khartoum 
regime. Further, the Committee is deeply concerned about the 
allegations of trafficking of human beings and slavery in 
Sudan. The Committee directs that the Secretary of State 
provide a complete and comprehensive report about these 
allegations, and the efforts by the Department of State to 
investigate these allegations, not later than January 15, 2001.
    The Committee continues its support for Operation Lifeline 
Sudan (OLS), a multilateral effort to provide desperately 
needed food and humanitarian relief to southern Sudan, funded 
in part by AID's Bureau of Humanitarian Response (BHR). 
However, without the consent of the government of Sudan, OLS is 
unable to provide desperately needed humanitarian aid to many 
opposition-controlled regions of Sudan. The Committee urges AID 
to significantly increase resources to nongovernmental 
organizations working in areas underserved by OLS and commends 
the Administration for doing so in recent years.
    The Committee also supports AID's Sudan Transitional 
Assistance for Rehabilitation (STAR) program, begun in 1998, to 
assist in the establishment of functioning local government and 
in the operation of small-scale municipal projects. The 
existing STAR program has supported training for leaders in the 
National Democratic Alliance in the role of local government 
administration and in human rights. The Committee directs that 
not less than $5,000,000 be made available to promote 
democratization and peace and reconciliation initiatives in the 
opposition controlled territories of southern Sudan during 
fiscal year 2001. The purpose of these funds should be for 
improved local civilian administration and governance and to 
reduce conflict and ensure peace and unity in southern Sudan.
    Priority should be given to implement the framework agreed 
upon at the Yambio Economic Governance Conference. Emphasis 
shall be placed on good governance practices such as taxation, 
transparency, and accountability.
    The Committee notes also that the Wunlit, Wat and Liliir 
peace and reconciliation conferences held under the auspices of 
the New Sudan Council of Churches (NSCC), have been major 
successes in overcoming longstanding distrust between various 
ethnic groups in southern Sudan. Much of the humanitarian 
suffering in southern Sudan can be traced to south/south 
conflict. In order to consolidate these peace and 
reconciliation efforts both STAR and BHR programs should be 
expanded to these areas focusing on:
     Expansion of road rehabilitation to encourage the 
restoration of trade and economic activities in all areas of 
southern Sudan controlled by the opposition.
     Extension of agricultural rehabilitation, 
community development councils, and democracy and governance 
programs, including the training of local administrators to 
these areas.
     Provision of health care training and capacity 
building, and teacher training and school rehabilitation.
     Provision of humanitarian assistance to those 
internally displaced by the fighting in the oil field areas of 
southern Sudan.
    The Committee also encourages AID to support up to 
$5,000,000 for assistance to the National Democratic Alliance 
(NDA) in Sudan. Such funds shall support:
     NDA involvement in the peace process, including 
support to the political settlement committee, the transitional 
arrangements committee and specific negotiation sessions.
     Enhanced NDA communications, including radio 
capacity community organizing and publications.
     Ongoing expenses of the NDA civilian wing, 
including transport costs, rent and offices in the region.

                             Africa: Ghana

    The Committee recognizes that throughout Africa, 
agricultural losses due to spoilage and infestation continue to 
contribute to food insecurity and loss of economic opportunity 
in domestic and export markets. It is estimated that up to half 
of Ghana's gross domestic product is lost every year because of 
inadequate food processing and preservation systems. The 
Committee encourages AID to support a food irradiation pilot 
project in Ghana which is consistent with AID's existing free 
market economic growth objectives in that country. This project 
should serve as a model for other African nations in the areas 
of food irradiation and related management, marketing, and 
transportation.
    The Committee notes also that poor infrastructure hinders 
economic growth in Ghana. The Committee encourages AID to 
consider providing funds to the U.S. Army Corps of Engineers 
for planning, designing, and construction services for 
renovation of the Accra-Cape Coast road which serves as a vital 
economic corridor linking Ghana and Cote d'Ivoire.

                          africa: sierra leone

    The Committee remains concerned by reports that several 
governments in the region, including Liberia, continue to allow 
for lethal military equipment to be provided to the rebels in 
Sierra Leone. This action has led to the further 
destabilization of the region, hindered humanitarian relief 
delivery, and has complicated international efforts to end the 
conflict in Sierra Leone. The Committee urges the 
Administration to make every effort to encourage governments, 
especially the Liberian Government, to end their military 
support for Sierra Leone rebels. The Committee has once again 
included bill language requiring that all assistance to Liberia 
be subject to the Committee's special notification 
requirements.
    The Committee has also included bill language prohibiting 
assistance to any government if the Secretary of State 
determines there is credible evidence that such government has 
provided military support or equipment, directly or through 
intermediaries, to the Revolutionary United Front (RUF), or any 
other group intent on destabilizing the democratically elected 
government of the Republic of Sierra Leone or if there is 
credible evidence that such government has aided or abetted, 
within the previous six months, in the illicit distribution, 
transportation, or sale of diamonds mined in Sierra Leone.
    Finally, the Committee supports the use of funds under this 
Act to promote human rights generally and to bring to justice 
Foday Sankoh, Sam Bokarie, and other individuals responsible 
for the gross violations of human rights in Sierra Leone.

                        africa: higher education

    The Committee considers children's basic education the 
priority for scarce AID education resources in Africa. However, 
the Committee recognizes the importance of higher education to 
economic growth and supports the work of AID through its 
Advanced Training for Leadership and Skills (ATLAS) program 
which brings African students to American colleges and 
universities. The Committee is pleased that AID will soon begin 
an open and competitive procurement for the continuation of its 
ATLAS program in Africa. The Committee is interested also in 
the development of indigenous African colleges and universities 
and requests AID to consider the merits of supporting the 
creation of a new women's university in Africa, designed to 
train African women in health sciences, education, agriculture, 
and business.

                             asia: overview

    The Committee notes that Asia (beyond the Middle East) is a 
region of paramount strategic and economic importance to the 
United States. While Asia represents the greatest potential for 
growth in U.S. exports and investment opportunities, systemic 
economic weaknesses throughout the region continue to threaten 
these interests. The Committee is concerned that, while the 
economy of the region has largely recovered from the Asian 
financial crisis, South and East Asia still contain the largest 
concentration of poor people in the world, as well as the 
greatest land mass at risk of environmental degradation through 
poorly managed growth.
    The Committee believes that programs to support sound 
economic growth and promote U.S. trade and investment in Asia 
should continue to be a high priority for AID and directs the 
Agency to make available $60,000,000 for this purpose, as 
requested. The Agency is urgent to provide sufficient operating 
expenses to effectively manage and oversee economic growth and 
other programs in Asia, especially those in countries where AID 
does not have a field mission presence.
    The Committee notes the ongoing collaboration between AID's 
Bureau for Asia and the Near East and Boise State University in 
establishing the business school at the National Economic 
University in Vietnam. The business school is designed to teach 
the free market principles of the U.S. economy to Vietnamese 
students.
    The Committee commends the Vietnamese dissident movement 
for its attempts to start an independent media in Vietnam. 
Although both freedom of the press and freedom of expression 
are enshrined in the constitution of Vietnam, the underground 
newspaper ``Freedom Forum'' met a violent reaction from 
authorities. Currently, thousands of dissidents remain under 
arrest for their efforts to bring freedom of the press and 
democracy to their homeland. These dissidents, including 
Professor Doan Viet Hoat, have been an example of great moral 
strength and courage for other political prisoners, refusing 
offers of freedom in exchange for a renunciation of personal 
and political beliefs. The Committee commends their dedication 
to the cause of freedom and democracy in Vietnam.

                  private and voluntary organizations

    The Committee has continued prior year language that 
requires that private voluntary organizations (PVOs) obtain not 
less than 20 percent of their total funding from sources other 
than the United States Government. Special consideration should 
be extended to those PVOs that obtain private donations for 
more than half of their total funding. The Committee has 
included new language requiring that prior to waiving the 
restrictions on funds to PVOs not obtaining 20 percent of 
funding from sources other than the U.S. government, the 
Administrator of AID must notify the Committees on 
Appropriations. In addition, the Committee has continued 
language from the fiscal year 2000 Act stating that support for 
private voluntary organizations should be made available at a 
level at least equivalent to that provided in fiscal year 1995.
    The Committee continues to support private and voluntary 
organizations and cooperatives in the delivery of grassroots 
assistance. The Committee is aware that AID has begun to rely 
more heavily on contracting arrangements for large sector-wide 
programs, rather than grant programs that utilize the special 
expertise and local knowledge of PVOs and cooperatives.
    The Committee continues its strong support for adequate 
funding for AID's Office of Private and Voluntary Cooperation 
(PVC) in fiscal year 2001 at its current level of $48,000,000 
with $6,000,000 for cooperatives. PVC manages competitive 
grants for child survival, microenterprise, economic growth, 
cooperative development and the Farmer-to-Farmer program. In 
particular, PVC supports capacity-building by PVOs and 
cooperatives and their local partners that, in turn, leads to 
major innovations in effective delivery of assistance and 
leverages non-AID resources.
    PVC is central to the AID/PVO partnership and houses the 
Advisory Committee on Voluntary Foreign Assistance (ACFVA). The 
Committee looks to ACVFA to provide advice on critical 
development issues and welcomes its perspective on the future 
of foreign assistance.

              american schools and hospitals abroad (asha)

    The Committee directs AID to provide $15,000,000 from the 
funds provided in this Act for the American Schools and 
Hospitals Abroad (ASHA) program in fiscal year 2001. The 
Committee directs that none of these funds be reserved for 
programming in any future fiscal year. All funds are to be 
allocated and obligated in fiscal year 2001. The Committee 
further expects that support will be continued, as new 
resources are needed, for traditional recipients in countries 
such as Lebanon, Israel, and Egypt. The Committee expects AID 
to keep it currently informed regarding institutions which have 
received ASHA funding in previous years, but which continue to 
have significant unexpended balances. In addition, funds should 
be made available for other deserving institutions as part of a 
competitive process, including City University, of Bellevue, 
Washington, to support its ongoing programs in Slovakia and 
Bulgaria and Seton Hill College, of Greensburg, Pennsylvania, 
for its proposed collaboration with Yad Vashem's International 
School for Holocaust Studies in Israel.

                        cass scholarship program

    The Committee continues to support the work of the 
Cooperative Association of States for Scholarships (CASS) and 
supports funding for CASS at the level contained in its 
cooperative agreement with AID.

                collaborative research support programs

    The Committee supports the continuation of the 
collaborative research support programs (CRSPs) and expects AID 
to increase funding for the CRSPs in fiscal year 2001. The 
Committee is concerned that for fiscal year 2000, AID intends 
to provide only $20,000,000 for CRSPs, which is significantly 
below the Committee's recommended funding level. The Committee 
believes that CRSPs are clearly one of AID's best investments, 
funding for which should be increased rather than reduced. The 
Committee notes that agricultural research and development has 
led to greater economic development, increased income, and a 
more available food supply for the world's poor. The CRSPs have 
a significant domestic benefit as well: every dollar invested 
in agricultural research by the United States is estimated to 
be worth four dollars of expanded markets for U.S. goods and 
services overseas.

              international fertilizer development center

    The committee strongly supports the fertilizer-related 
research and development being conducted by the International 
Fertilizer Development Center (IFDC) and directs the 
Administrator of AID to make at least $2,200,000 available for 
the core grant to IFDC.

                 housing, shelter, and urban activities

    The Committee commends the progress made by the Eastern 
European Real Property Program in the Europe and Eurasia Bureau 
since 1992. As the program expands into other regions as the 
International Real Property Program (IRRP), the Committee 
recommends that other AID regional bureaus and missions 
seriously consider cooperation with the IRRP as housing, 
shelter, and urban activities are included in country 
strategies.

                           dairy development

    The Committee continues to support dairy development and 
recommends AID funding of $8,000,000 in fiscal year 2001, the 
same level as fiscal year 2000. The Committee reiterates that 
this program is designed to help the U.S. dairy industry become 
more competitive as domestic and international subsidies 
decline. The program has twin objectives. First, it is to 
assist small dairy producers, cooperatives and small and medium 
enterprise dairy plants in developing and market transition 
countries to meet the nutritional needs of their consumer by 
increasing the availability of higher-quality and value added 
dairy products in their local markets. Second, the program 
directly engages the U.S. dairy industry by helping it access 
new markets, promote American technology and expose dairy 
industry leaders to the international marketplace through 
participation in technical assistance and training overseas and 
in the United States.
    The Committee notes with favor that many U.S. dairy 
companies have participated in the program. One significant 
result has been the creation of joint ventures on the sale of 
feeds, seeds, dairy equipment, genetics, packaging technology 
and other dairy-related products. The program has helped create 
strong local partners for the benefit of the U.S. industry 
while increasing incomes for small dairy farmers, spurring 
cooperative formation and enhancing the status of women dairy 
herd caretakers. The Committee directs that the competitive 
grant process under the program continue to benefit from U.S. 
dairy industry involvement as well as meeting local development 
needs.

                   community-owned telecommunications

    The Committee believes that ensuring that developing 
countries, especially rural areas of these countries, have 
access to modern methods of communications is important to 
economic growth. The Committee notes that community-owned 
telecommunications systems, as have been successfully built in 
rural America, are effective in providing this access. The 
Committee therefore, recommends that AID provide funding for 
community-owned telecommunications projects, especially where 
viable in South and Central America through programs like the 
Power Line Communication Rural Electric initiative, and that it 
rely upon the direct experience of U.S. telephone cooperatives.

              agency response to requests for information

    The Agency for International Development and the Department 
of State are directed to respond within 15 days to requests by 
the Committee for additional information regarding programs, 
projects, and activities in the budget justification, 
reprogramming requests, or the report required by section 
568(b). Such information may include the identification of and 
funding provided to domestic and foreign cooperators, grantees, 
and contractors under programs, projects, and activities that 
are managed by regional and other central bureaus, missions, 
and embassies. The Committee expects AID to maintain a publicly 
accessible electronic database that reflects current 
information and financial data regarding its activities.

                 international executive service corps

    The Committee supports the work of the International 
Executive Service Corps (IESC), which since 1964 has undertaken 
more than 22,000 projects in 120 nations by utilizing 
volunteers to assist in business development, economic growth, 
and technology transfer. The Committee is concerned that AID 
has underutilized the IESC as a development partner in recent 
years and directs AID to renew its commitment to the IESC to 
ensure expansion of its projects in sub-Saharan Africa and in 
Latin America and the Caribbean. Further, the Committee urges 
AID to reemphisize its commitment to economic development 
through its support for small and medium-sized enterprise 
development, business support organizations and associations 
with priority for direct firm-level assistance.

                    U.S./Israel Cooperative Programs

    The Committee continues to support funding for the U.S./
Israel Cooperative Development Program (CDP). However, while 
the Committee agrees with the proposal of the Agency for 
International Development to phase-out funding for the core 
grant for this program over four years, further consultation 
with the Committee has resulted in a decision to begin the 
reduction in the coming fiscal year rather than in fiscal year 
2000. Even with the phase-out of the core grant, the Committee 
expects that institutions participating in this program will 
continue to be eligible for competitive grants from AID.

                       torture treatment centers

    Last year, the Committee recommended $7,500,000 for AID to 
support foreign treatment centers for torture victims and 
requested a report on implementation of its torture treatment 
program. The Committee was pleased to learn from this report 
that AID would award a $1,500,000 grant to support capacity 
building programs for foreign treatment centers. However, apart 
from this initiative, AID's report does not indicate any 
further support for treatment centers. Furthermore, the report 
details AID's assistance to victims of war-related atrocities 
and displacement from civil conflicts, but does not indicate 
that there has been much support for those Congress intended to 
help in passing the Torture Victims Relief Act--victims of 
torture, as traditionally understood.
    Supporting treatment centers as permanent national 
institutions is the best way of providing treatment services to 
torture victims and advocating for the elimination of torture 
globally. Accordingly, the Committee recommends $10,000,000 for 
AID to support foreign treatment centers for victims of torture 
as authorized by the Torture Victims Relief Act and the Torture 
Victims Relief Reauthorization Act of 1999. In keeping with the 
intent of this legislation, the Committee recommends these 
funds be used primarily for direct treatment services to 
victims of torture, as traditionally understood. The Committee 
directs AID to report on implementation of this recommendation 
not later than February 1, 2001.

                   international disaster assistance




Fiscal year 2000 level................................      $202,880,000
Fiscal year 2001 request (under new account structure)       165,000,000
Committee recommendation..............................       165,000,000


    The Committee recommends $165,000,000 for the International 
Disaster Assistance account, $37,880,000 below the request. 
However, the Committee notes that it has recommended 
establishment of a separate account for AID's Office of 
Transition Initiatives (OTI). Therefore, the Committee's 
recommendation for the International Disaster Assistance 
account provides the full requested amount for AID's Office of 
Foreign Disaster Assistance (OFDA) which will ensure that AID 
has adequate resources to meet all existing and projected 
disaster needs in fiscal year 2001. The Committee notes that 
section 492(b) of the Foreign Assistance Act provides the 
President with the authority to obligate up to $50,000,000 from 
other development assistance accounts including the Economic 
Support Fund in order to provide disaster assistance, if 
necessary.
    The Committee recognizes that improved disaster prevention, 
mitigation, and preparedness techniques are central to reducing 
the need for disaster assistance in future years. The Committee 
directs AID to work with Florida International University's 
International Hurricane Center and its Global Emergency 
Management Institute to collaborate on a program to train and 
educate foreign government officials in disaster preparedness, 
prevention and mitigation activities. Further, the Committee 
believes AID's response to international disasters can be 
improved by the establishment of a centralized distribution 
point for shipment of a wide variety of commodities urgently 
needed in crisis situations, such as food, shelter equipment, 
and medicine. To achieve efficiencies in distribution, the 
Committee urges AID to work with interested parties to develop 
a center for coordination of humanitarian response efforts.

                  school feeding programs for children

    The Committee supports school feeding programs carried out 
by AID's Bureau for Humanitarian Response, through private 
voluntary organizations and the World Food Program. These 
programs help improve children's basic diet and nutrition, 
increase enrollment, especially among girls, and support 
community-led health and nutrition education programs. The 
Committee notes that in fiscal year 2000, AID-supported school 
feeding programs assisted more than 1.5 million children in 21 
countries in south Asia, Latin America and sub-Saharan Africa. 
The value of this support totaled $56,500,000.
    For fiscal year 2001, the Committee supports continuation 
of these programs and directs AID to consider initiating a 
school feeding program in Sierra Leone to boost nutrition and 
school attendance in this war-ravaged country.

      OFDA Coordination with Department of State Refugee Programs

    The Committee notes that, in recent years, the Office of 
Foreign Disaster Assistance (OFDA) has become increasingly 
involved in responding to war and other man-made disasters. As 
a result, OFDA's beneficiaries in many cases overlap with 
groups traditionally assisted by the Department of State's 
Bureau of Population, Refugees, and Migration (PRM). The 
Committee commends the coordination between OFDA and PRM at the 
peak of the Kosovo crisis, in particular their practice of 
discussing project proposals with each other before making 
funding decisions. The Committee considers such coordination 
essential to ensure optimal use of taxpayer funds. The 
Committee directs OFDA and PRM to jointly develop standard 
operating procedures for cooperation whenever both agencies are 
responding to the same crisis or are present in the same 
geographic area, and methods for ensuring that these procedures 
become institutionalized. The Committee requests a report on 
these procedures not later than March 1, 2001.

                         Transition Initiatives




Fiscal year 2000 level................................  ................
Fiscal year 2001 request (under new account structure)       $55,000,000
Committee recommendation..............................       $40,000,000


    In its fiscal year 2000 report, the Committee noted that 
AID's Office of Transition Initiatives (OTI) activities were 
consuming an ever-increasing part of the International Disaster 
Assistance account. AID allocated to the Office of Transition 
Initiatives $50,000,000 in fiscal years 1999 and 2000 from 
within the International Disaster Assistance account. The 
Committee recognizes that AID's OTI activities can have 
considerable impact, with small amounts of money, in key 
transition countries. Therefore, for fiscal year 2001 the 
Committee has created an account for AID's transition 
activities. This will help ensure necessary transition 
activities as well as true disaster aid are adequately funded. 
The Committee recommends $40,000,000 for this account, compared 
to the budget request of $55,000,000. The Committee does not 
preclude AID's Office of Transition Activities from using 
resources transferred from other development accounts in this 
Act. Also, the Committee requests that AID report on a semi-
annual basis the expenditure and specific use of funds by OTI.
    The Committee supports AID's reconstruction efforts that 
include community-based reconstruction activities after the 
immediate disaster response and relief activities. The 
Committee supports the inclusion of these community-based 
development practices, which include credit unions and 
cooperatives, that not only provide immediate relief, but also 
increase long-term access to safe, affordable housing, 
community services and finance. Further, the Committee is 
pleased that AID is utilizing U.S. cooperatives as part of 
hurricane recovery efforts in Central America and political 
turmoil in East Timor and the Balkan region including 
Montenegro and Kosovo.

             Micro and Small Enterprise Development Program


                         subsidy appropriation




Fiscal year 2000 level................................        $1,500,000
Fiscal year 2001 request..............................  ................
Committee recommendation..............................         1,500,000


             estimated level of direct and guaranteed loans




Fiscal year 2000 level................................       $30,000,000
Fiscal year 2001 request..............................  ................
Committee recommendation..............................        30,000,000


                        administrative expenses




Fiscal year 2000 level................................           500,000
Fiscal year 2001 request..............................  ................
Committee recommendation..............................           500,000


    The Committee recommends $1,500,000 in a subsidy 
appropriation and $500,000 for administrative expenses for the 
Micro and Small Enterprise Development program, the same as the 
fiscal year 2000 enacted level. The budget request proposed 
merging this account into a consolidated development credit 
program.

                   Development Credit Program Account


                     (including transfer of funds)

                            program account




Fiscal year 2000 level................................       (3,000,000)
Fiscal year 2001 request..............................      (15,000,000)
Committee recommendation..............................         1,500,000
    (by transfer).....................................       (2,000,000)


                        administrative expenses




Fiscal year 2000 level................................  ................
Fiscal year 2001 request..............................        $8,000,000
Committee recommendation..............................         6,495,000


    For fiscal year 2001, the budget request proposes merging 
AID's three existing credit programs into one consolidated 
Development Credit account. This single program would include a 
consolidated credit administrative budget. The Committee 
supports consolidation of the Urban and Environmental (UE) 
credit program as well as administrative expenses associated 
with management of the existing Development Credit Authority 
and recommends $6,495,000 for operating expenses, $1,505,000 
below the requested level. The Committee does not support 
consolidation of the Micro and Small Enterprise Development 
(MSED) account.
    The Committee recommends a direct appropriation of 
$1,500,000 and has provided legislative authority to support 
continued urban credit programs. The Committee supports the use 
of up to $2,000,000, transferred from the ``Development 
Assistance'' account, to support development credit activities 
under this heading. The Committee is aware that AID has made a 
considerable effort, with the assistance of Congress and the 
Office of Management and Budget, to ensure that this new 
consolidated credit program has sound management. The Committee 
supports the use of development credit for an integrated 
municipal infrastructure and housing program in Costa Rica. The 
Committee notes that AID has undertaken similar activities in 
South Africa.

     Payment to the Foreign Service Retirement and Disability Fund





Fiscal year 2000 level................................       $43,837,000
Fiscal year 2001 request..............................        44,489,000
Committee recommendation..............................        44,489,000


    The Committee has provided the budget request for the 
mandatory payment to the Foreign Service Retirement and 
Disability Fund.

     Operating Expenses of the Agency for International Development





Fiscal year 2000 level................................      $520,000,000
Fiscal year 2001 request..............................       520,000,000
Committee recommendation..............................       509,000,000


    The Committee has recommended funding for Agency for 
International Development operating expenses at a level of 
$509,000,000 which is $11,000,000 below the Administration's 
request. The Committee has once again included a provision 
requiring AID to notify the Committee in advance of opening any 
new mission overseas and of any capital construction of 
missions or purchase or long-term lease of offices.

                  Use of Personal Service Contractors

    The Committee notes the continued use by AID of personal 
service contractors (PSCs). The Committee has traditionally 
supported this method of employing qualified individuals for 
short and medium term program implementation. However, the 
Committee notes the trend toward employing PSCs over a period 
of many years at the Agency, who carry out functions similar to 
career personnel of the Civil Service and the Foreign Service, 
but who lack comparable health, retirement, and other benefits. 
The Committee requests AID report in narrative form not later 
than March 1, 2001, on the total number of PSCs employed by the 
Agency, the average length of employment, the typical benefits 
provided to PSCs (compared to those provided to career Civil 
and Foreign Service employees), and the justification for the 
disparity in benefits.

                        fairness in contracting

    The Committee is concerned about AID's existing procedures 
regarding minimum awards under multiple award contracts. 
Current management practices on certain existing multiple award 
contracts do not allow small businesses to fairly compete for 
work.
    To reform this process AID management must address two key 
issues. First, organizations bidding for these contracts must 
be assured of receiving awards during the life of the contract 
valued at substantially more than the cost of preparing and 
submitting the original bid. While larger organizations and 
traditional AID contractors may be better able to absorb the 
upfront costs associated with the bidding process, small 
businesses--especially first-time bidders--find it difficult.
    Second, after being selected to participate in a multiple 
award contract, small businesses must be given the opportunity 
to compete for individual task orders. While discretion must be 
allowed for AID Cognizant Technical Officers (CTOs) to make 
award decisions, AID management has overall responsibility to 
ensure that each organization participating in a multiple award 
contract has received sufficient task orders so that it can be 
evaluated on its performance and considered for future work.
    Should AID not quickly initiate policies and training for 
managers of the innovative and time-saving multiple award 
contracts so as to better protect the opportunities for small, 
new, and disadvantaged contractors to fairly compete for task 
orders, the Committee is prepared to impose a legislative 
remedy or prohibit multiple award contracts. Not later than 
September 5, 2000, AID is directed to report in writing to the 
Committee on its efforts to modify its existing procedures 
regarding multiple award contracts.
    The Committee is aware that AID has established a task 
force to examine the reported decrease in participation by 
small business (including disadvantaged businesses and women-
owned businesses) in grant, cooperative agreement, and contract 
awards. The Committee urges the Agency to expand the task force 
to include mid-level Agency staff who have current experience 
in the award or technical management of acquisition and 
assistance mechanisms. Not later than 6 months after submission 
of the September report on fairness in multiple award contracts 
and task orders, the Committee directs the Administrator to 
submit a more comprehensive report to the Committee. The second 
report will summarize the results of the task force's efforts, 
including its analysis of the problem and the administrative 
options that can be taken to increase the participation of 
small business in AID acquisition and assistance. The report 
may include comments by the Office of Management and Budget and 
proposed legislation to promote fairness in contracting.

                          Working Capital Fund

    The Committee has provided limited authority for AID to 
establish a working capital fund, without fiscal year 
limitation, for expenses of the International Cooperative 
Administrative Support Services (ICASS) and for rebates from 
the use of U.S. Government credit cards. The Committee views 
this fund as a pilot project, the long-term viability of which 
will be evaluated during fiscal year 2001. The Committee 
further expects this activity will be undertaken primarily by 
those AID missions in which AID has already determined that it 
is best suited to serve as the ICASS provider. The Committee 
understands that the creation of this fund will allow AID to 
receive an estimated $250,000 in credit card rebates in fiscal 
year 2001, which are to be credited to the Agency's ``Operating 
Expenses'' account. AID's Chief Financial Officer is directed 
to consult with the Committee on a quarterly basis on the 
development and implementation of this fund in fiscal year 
2001.

                    Voluntary Separation Incentives

    The Committee has included bill language providing for the 
payment of voluntary separation incentives to AID employees for 
the purpose of eliminating positions and functions at AID. This 
provision amends the fiscal year 2000 authority. The Agency is 
directed to consult with the Committee prior to announcing to 
AID employees the positions eligible for the separation 
incentives. The Committee expects this authority to be utilized 
to reduce employment levels in Washington, D.C., not at AID's 
overseas missions.

                     Committee oversight challenges

    The Committee remains concerned about continued and 
significant weaknesses in AID's ability to provide reliable 
information to Congress regarding the exact use of funds under 
Agency control. Many of these deficiencies are not new as the 
Committee has highlighted these in past years. While progress 
has been made in certain areas, widespread deficiencies 
continue to exist in the majority of AID's financial accounting 
and management systems.
    The Committee will continue to work with senior AID 
officials to improve management and financial systems to ensure 
they meet the needs of both Congress and the Agency. The 
Committee expects AID management to implement the 
recommendations of the Inspector General in this regard and to 
be regularly consulted about Agency efforts to meet these 
requirements.
    The Committee directs AID to continue to report on a 
quarterly basis on the status of its computer systems, 
including the cumulative costs associated with design and 
implementation of its computer systems. Any costs for computer 
systems above those originally projected for fiscal year 2001 
shall be subject to prior review by the Committees on 
Appropriations. To address its computer systems deficiencies, 
the Committee requests that AID report on the viability of 
acquiring and implementing an internet-based project management 
solution that is adaptable, available for immediate use and 
supports a substantial number of software programs. In 
addition, the Committee directs that the Agency's fiscal year 
2002 budget justification will clearly identify the amounts 
requested for the AID computer operations.

                         aid budget submission

    The Committee notes that the AID budget justification still 
falls short in providing the Congress with the minimum 
information it requires to carry out its legislative and 
oversight responsibilities, and has caused an undue reporting 
burden on the Agency. It is essential that the Committee have 
at its disposal a concise budget justification document that 
presents an overall presentation of the Agency's programs and 
activities.
    In its initial fiscal year 2001 budget justification, AID 
experimented with several new approaches to displaying the 
President's request for AID-managed appropriations. The 
Committee welcomed new financial tables, additional mission 
staffing information, and more ample justification of the AID 
Operating Expenses and International Disaster assistance 
requests. The Committee rejects the experiment in aggregating 
the vast majority of AID-managed programs, projects, and 
activities by Agency ``objectives''. In practice, AID 
objectives often group together projects and activities that 
are conceptually or operationally distinct. Well known 
activities such as the Leland Initiative and the ATLAS program, 
to use two examples in Africa, can not be located or are 
concealed under impenetrable bureaucratic jargon. In many 
instances, an objective is proposed for funding by two or more 
appropriations accounts, but the accompanying budget narratives 
fail to distinguish among the component activities of the 
objective or link component activities with multiple 
appropriations accounts.
    Beyond the unacceptable practice of aggregating most 
programs, projects, and activities under Agency objectives, the 
budget justification fails to include overview budget 
narratives and tables on areas such as infectious diseases, 
microcredit, biodiversity, population, economic growth, energy, 
democracy, or agriculture. The Committee strongly recommends 
that the AID budget justification be coordinated with a new 
financial management system to produce annual budget 
justifications that fully inform the Committee with regard to 
projects, initiatives, and other traditional areas of 
congressional and executive branch interest.
    The Committee again includes a general provision, section 
576, that would require the Agency to submit an annual budget 
that contains detailed data about past, current, and requested 
financial and personnel resources for each Bureau, Central 
Office, and Field Mission. The Committee expects a draft budget 
format to be submitted for approval by the Committees on 
Appropriations not later than October 31, 2000.

                         AID physical security

    The Committee remains committed to assisting AID in 
improving its physical security needs overseas and in 
Washington. The Committee directs the Administrator of AID to 
prepare a written report detailing the agency's long-term local 
and overseas physical security requirements and the costs 
associated with these security needs, including the number of 
engineers and other technically qualified AID employees 
assigned to the security mission. The report also shall include 
information regarding the Agency's activities during the 
current fiscal year to work with other federal agencies, 
including the Department of State and the Office of Management 
and Budget, to address physical security issues.

Operating Expenses of the Agency for International Development, Office 
                        of the Inspector General





Fiscal year 2000 level................................       $25,000,000
Fiscal year 2001 request..............................        27,000,000
Committee recommendation..............................        27,000,000


    The Committee has recommended $27,000,000 for the Office of 
the Inspector General of AID for fiscal year 2001, the same as 
the budget request and $2,000,000 above the fiscal year 2000 
level. The Committee again requests that the Inspector General 
consult with the Committee no less than four times per year on 
its activities with regard to the Government Performance and 
Results Act.

                      Development Fund for Africa





Fiscal year 2000 level................................  ................
Fiscal year 2001 request..............................      $532,928,000
Committee recommendation..............................  ................


    The administration requested $532,928,000 for the 
Development Fund for Africa. The Committee provides no funds 
under this account heading. However, as stated earlier in this 
report, the Committee recognizes that development needs in sub-
Saharan Africa are great and expects AID to continue to provide 
a significant percentage of all development funds, including 
``Development Assistance'', ``Child Survival and Disease 
Programs Fund'', and humanitarian assistance resources, to the 
region.

                  Other Bilateral Economic Assistance


                         Economic Support Fund





Fiscal year 2000 level................................    $2,345,500,000
    Emergency supplemental funding....................       450,000,000
Fiscal year 2001 request..............................     2,313,000,000
Committee recommendation..............................     2,208,900,000


    The Committee recommends a total of $2,208,900,000 for the 
Economic Support Fund, an amount that is $104,100,000 below the 
request and $586,600,000 below the amount enacted for 2000. If 
emergency supplemental funding is excluded from the 
calculation, the recommended level is $136,600,000 below the 
2000 level.
    The Committee recommendation assumes a reduction of 
$160,000,000 in economic support for the Camp David countries. 
Funding for non-Camp David countries is recommended at a level 
of $673,900,000. Support for non-Camp David countries and 
activities in this account has risen from $344,600,000 in 
fiscal year 1996 to $673,900,000 in fiscal year 2001, an 
increase of $329,300,000 or approximately 96 percent.

                                ireland

    The Committee strongly supports continued funding to 
implement the Irish Peace Process Cultural and Training Program 
Act of 1998 and has provided the budget request of $5,000,000 
for this purpose. This Congressional initiative brings youths 
from Northern Ireland and designated disadvantaged areas to the 
United States for job training and related activities.

                                 israel

    The Committee is continuing the initiative begun two years 
ago for a phased reduction in economic assistance for Israel 
that will result in the eventual elimination of ``Economic 
Support Fund'' assistance. This proposal was originally made by 
the Government of Israel in response to new economic realities 
in the Middle East.
    The Committee is also convinced that the emerging security 
threats in the Middle East are significant and warrant 
increasing military assistance to Israel by $60,000,000 in 
fiscal year 2001. However, with respect to this recommended 
increase in military assistance, the Committee must be very 
clear that it cannot commit future Congresses to the future 
appropriation of funds. Therefore, future increases in military 
assistance will require the annual review of the Congress and 
will necessarily be based upon an assessment of the security 
situation at the time.
    The Committee therefore recommends that not to exceed 
$840,000,000 in economic support shall be provided for Israel, 
which is $120,000,000 less than the fiscal year 2000 level and 
the same as the President's budget request. The Committee also 
requires in bill language that these funds be provided to 
Israel as a cash grant and that funds be disbursed within 30 
days of enactment or by October 31, 2000, whichever is later.
    The Committee has retained an overall limit on Middle East 
spending (section 568) at a level of $5,221,150,000. The 
reduction of $100,000,000 from the fiscal year 2000 ceiling 
represents the net result of a decrease of $160,000,000 in 
economic support for the Camp David countries and an increase 
of $60,000,000 in military assistance for Israel. The Committee 
intends to continue the phased reduction in the Middle East cap 
next year, a reduction that will correspond to the declining 
assistance levels for Israel and Egypt. The Committee believes 
this will provide the Administration with increased flexibility 
in the allocation of funds in the foreign operations budget for 
priority activities in other areas of the world.

                                 egypt

    As part of the Committee's ongoing review of Middle East 
aid levels, and as a result of budget constraints affecting the 
international affairs budget, the Committee has engaged in 
extensive discussions with the Government of Egypt and the 
Administration regarding appropriate future aid levels for 
Egypt. As a key friend and ally in the region, Egypt's critical 
role in the Middle East and essential contribution to the peace 
process cannot be overstated. It is the Committee's view 
therefore that changes in aid to Egypt must be implemented in 
close consultation with the Government of Egypt and in a manner 
which does not inadvertently undermine the guiding principles 
of the Camp David Accords.
    The Committee therefore recommends that not to exceed 
$695,000,000 in economic support be provided for Egypt on a 
grant basis, which is $40,000,000 less than the fiscal year 
2000 level and the same as the President's budget request. A 
cash transfer may be provided with the understanding that Egypt 
will continue to implement significant economic reforms. The 
Committee also strongly recommends that not less than 
$200,000,000 of the funds allocated for Egypt be available for 
Commodity Import Program assistance.
    The Committee is troubled by the maintenance of 
discriminatory taxes on certain United States branded consumer 
products, particularly soft drinks. Exorbitant taxes on 
American goods discourage investment, risk closure of United 
States owned facilities, and retard employment and revenue 
growth. The Administrator of AID is directed to report to the 
Committee no later than November 1, 2000 on steps taken by the 
agency with the Government of Egypt to undertake economic 
market reform aimed at correcting this discriminatory tax 
situation.

                           camp david accords

    The Committee emphasizes once again that the recommended 
levels of assistance for Israel and Egypt are based in great 
measure upon their continued participation in the Camp David 
Accords and the Egyptian-Israeli peace process.

                          non-military exports

    The Committee strongly urges the President to ensure, in 
providing cash transfer assistance to Egypt and Israel, that 
the level of such assistance does not cause an adverse impact 
on the total level of non-military exports from the United 
States to each such country.

                       economic boycott of israel

    The Committee has once again included language in the bill 
addressing the Arab League boycott of Israel under section 539 
of this Act. This language has been modified to urge that Arab 
League members normalize relations with Israel.

                                 jordan

    The Committee expresses its continued strong support for 
and appreciation of Jordan's constructive and critical role in 
the peace process and encourages the Administration, in close 
consultation and cooperation with the Congress, to continue its 
efforts to assist Jordan in both the economic and security 
areas. The Committee therefore recommends $150,000,000 in 
economic assistance for Jordan, the same as the President's 
budget request.
    The Committee also encourages Jordan to continue its 
ongoing economic reform program, which the Committee strongly 
supports.

                      middle east desertification

    The Committee expresses strong support for the initiation 
of a Middle East and Mediterranean desert development program 
to significantly increase efforts to expand regional 
cooperation in combating growing desertification in the Middle 
East and southern Mediterranean region. The Committee believes 
that such a program would be environmentally viable and 
mutually beneficial to nations in this region. Therefore, the 
Committee directs that $3,200,000 be made available for this 
activity from the Economic Support Fund, development assistance 
or any other appropriate funds made available by this Act.

                          conflict resolution

    The Committee recognizes the importance of youth training 
in conflict resolution as a tool for creating a climate of 
peace in regions of conflict. Organizations such as Interns for 
Peace can play an important role in this regard, and the 
Committee urges support for its programs. The Committee also 
commends Seeds of Peace for its commitment to helping future 
leaders of the Middle East and other regions (such as Cyprus, 
the Balkans, and South Asia) to overcome prejudice, fear, and 
other obstacles to peace, and urges AID and the Department of 
State to provide $1,000,000 in fiscal year 2001 to support the 
important work of this organization.

                           west bank and gaza

    The Committee supports assistance to the West Bank and 
Gaza. The Committee continues to believe that support by the 
United States for the economic and social development of 
Palestinians is an important contribution to the peace process. 
However, the Committee is aware this program received an 
emergency supplemental appropriation of $400,000,000 in fiscal 
year 2000. In addition, the Department of State allocated 
$85,000,000 for this program from nonemergency economic support 
in fiscal year 2000, despite direction from Congress that the 
program be maintained at an ongoing level of $75,000,000. 
Therefore the Committee believes that funding for the West Bank 
and Gaza in fiscal year 2001 should not exceed the amount 
allocated for fiscal year 1999. The Committee notes that 
funding for this program is included in the ceiling on Middle 
East assistance contained in section 568, and that any decision 
by the Administration to allocate additional resources for the 
West Bank and Gaza will necessitate decreases in funding in 
other programs of importance in the Middle East.
    The Committee remains concerned that incitement to violence 
in the West Bank and Gaza remains one of the primary obstacles 
to achieving a true peace in the Middle East. The Trilateral 
Anti-Incitement Committee, established by the Wye River 
Memorandum, should be an important mechanism for the parties to 
work together to address the problem of incitement. The 
Committee directs the Secretary of State to provide, no later 
than 90 days after the enactment of this Act, a report on the 
activity of the Trilateral Anti-Incitement Committee, and an 
analysis of its effectiveness as a tool for monitoring and 
preventing incitement within the context of the Israeli-
Palestinian peace process.

                    Palestinian Authority and UNRWA

    The Committee is concerned that the United Nations Relief 
and Works Agency for Palestinian Refugees (UNRWA) has faced 
growing budget deficits and repeated cash flow problems in 
recent years. These difficulties are due in part to a growing 
refugee population, rising inflation costs, and exchange rate 
fluctuations. However, of particular concern to the Committee 
is the fact that the Palestinian Authority (PA) is responsible 
for almost half of UNRWA's annual deficit. As of April 30, the 
PA owed UNRWA over $26,400,000 for reimbursement of value added 
taxes (VAT), port charges, and interest. Despite its publicly 
stated willingness to reimburse UNRWA, the PA has paid only a 
token sum.
    The PA's failure to pay UNRWA hurts the Palestinian refugee 
community, since UNRWA is the primary provider of education, 
health, and social relief services to Palestinian refugees. The 
PA's debt also places additional financial demands on UNRWA's 
donors. The United States has contributed $77,000,000 to 
$80,000,000 annually to UNRWA in recent years, roughly twenty 
to twenty-five percent of UNRWA's general program budget. The 
Committee urges the Administration to engage with the PA to 
ensure that it makes its payments in a timely fashion.

                            lebanon funding

    The Committee believes support for the people of Lebanon 
continues to be in the United States national interest. The 
Committee supports at least level funding for Lebanon from both 
the development assistance and Economic Support Fund accounts 
for fiscal year 2001. In that regard, the Committee strongly 
opposes the reduction of $3,000,000 for Lebanon that is 
contained in the President's budget request, and has retained 
bill language from fiscal year 2000 that directs that not less 
than $18,000,000 should be made available for Lebanon.
    The Committee recommendation includes an increase of 
$3,000,000 above the fiscal year 2000 level in order to allow 
the Agency for International Development to expand its 
development activities into the southern portion of Lebanon.
    The Committee is aware of the key role the Lebanese 
American University, American University of Beirut, and 
International College play training leaders in the region and 
directs that not less than $4,000,000 be provided for 
scholarships and direct support of the American educational 
institutions in Lebanon.

                            iraq opposition

    The Committee supports the President's request of 
$10,000,000 for support to Iraq opposition groups, and has 
included bill language in section 575 that authorizes up to 
$8,000,000 for such assistance pursuant to the provisions of 
the Iraq Liberation Act (Public Law 105-338), and up to 
$2,000,000 for groups and activities seeking the prosecution of 
Saddam Hussein and other Iraqi government officials for war 
crimes.

                                 yemen

    The Committee strongly supports the budget request of 
$4,000,000 for assistance for Yemen. Yemen is one of the 
world's least developed countries and suffers from high 
illiteracy rates, high infant mortality, low worker skills, and 
an undiversified labor force structure. Despite these problems, 
Yemen has evolved into a multi-party democracy and has also 
embarked on an ambitious IMF-sanctioned economic reform 
program. These funds will assist in this transition. The 
Committee supports using a portion of these funds to ensure 
that the election process is modernized, including updating the 
lists of eligible voters.

                                Mongolia

    The Committee includes the $12,000,000 requested for 
Mongolia under this heading and is recommending bill language 
to endorse this allocation. The Committee expects that the 
Mongolia program will include a Free Market Scholarship 
Program. The Office of Foreign Disaster Assistance is commended 
for its response to the recent natural disasters in Mongolia, 
and is urged to continue its support. In addition, the 
Committee intends that funds be made available to continue 
support at the current level for the Hovsgol National Park 
Improvement Program.

                               indonesia

    The Committee is concerned about the slow pace of 
Indonesia's transition to a more genuine democracy and free 
market economy. Indonesia's transition needs to be accelerated 
as much as possible, consistent with political will, in order 
to keep pace with the high expectations for change among a 
restive populace.
    A significant number of governmental institutions need to 
be radically altered in order to be more democratic, effective 
and accountable, requiring changed institutional structures and 
better trained personnel with a different work ethic. This is 
particularly true in the banking, power, and forestry sectors. 
Renewed economic growth depends on rapid progress in reform.
    Decentralization has vastly increased the complexity of 
achieving a successful democratic and economic transition in 
Indonesia. The decision to devolve certain key authorities 
below province level means that, in order to make the 
transition successful, AID cannot work solely with national 
level governmental institutions. Assistance to local 
governmental bodies and parliaments also will be essential.
    The Committee urges that support for strengthening local 
and national governmental institutions not be undertaken at the 
expense of continued support for nongovernmental organizations; 
NGOs continue to have a role in monitoring the government's 
transition. NGOs are also needed to provide technical support 
and advice to governmental institutions that are being changed, 
especially at the local level.
    The Committee is supportive of the higher budget requests 
for Indonesia in the Economic Support Fund, and in other AID 
accounts as available, for the following reason:
           new governmental institutional strengthening 
        activities should not unduly disrupt the traditional 
        NGO-based programs supported over several years;
           Indonesia's move to decentralize requires 
        simultaneous work at local and national levels; and
           funding flexibility is needed to respond to 
        Indonesia's still volatile environment, particularly in 
        regions such as Aceh and East Indonesia, where 
        intensive, broad based assistance may be needed to help 
        resolve conflicts and demonstrate the benefits of 
        peace.

                               east timor

    The Committee recognizes that the violence following East 
Timor's August, 1999, independent referendum destroyed a large 
part of its infrastructure and housing and forced large numbers 
of East Timorese to take refugee in West Timor. As East Timor, 
under the auspices of the United Nations Transitional 
Administration, rehabilitates its physical infrastructure, 
creates new governmental and legal structures, and prepares for 
full independence, continued United States support is critical. 
The Committee concludes that the $10,000,000 requested by the 
Administration for East Timor is insufficient, and therefore 
recommends that $25,000,000 from the Economic Support Fund and 
Transition Initiatives accounts be made available to support 
income producing projects and other reconstruction activities 
in East Timor.
    The Committee applauds the efforts of the Office of 
Transition Initiatives (OTI) which has been the primary manager 
of resources for East Timor. The Committee strongly recommends 
that as OTI phases out its activities in East Timor, AID devote 
sufficient operating expenses to establish a regular AID 
presence in East Timor that is sufficient to develop programs 
to meet East Timor's longer term development needs.

                                 china

    The Committee is recommending modification of a general 
provision (section 526) which authorizes the use of funds from 
the Economic Support Fund to provide general support and grants 
for nongovernmental organizations located outside China that 
have as their primary purpose fostering democracy in that 
country. From fiscal year 2000 funds already appropriated for 
this purpose, the Committee directs the State Department to 
make available $1,000,000 for the democracy project being 
administered by the Jamestown Foundation. In addition, 
$1,000,000 shall be made available for other projects related 
to China, including support for nongovernmental organizations 
through the National Endowment for Democracy. The Committee 
would also support rule of law programs for law students.
    The President's budget request included $28,000,000 to 
compensate China for the damage done to the Chinese Embassy in 
Belgrade during the Kosovo air campaign. The Committee is not 
recommending funds for this purpose. In addition, the 
President's request for bill language that would authorize such 
funds is not included in the Committee recommendation. Without 
such authorization, the Committee does not believe the 
provisions of chapter 4 of part II of the Foreign Assistance 
Act allow for such a transfer of funds to the Government of 
China.

                                 tibet

    The Committee recommends that $250,000 be made available 
through a nongovernmental organization, such as the National 
Endowment for Democracy, for the purpose of providing training 
and education of Tibetans in democracy activities, and 
monitoring the human rights situation in Tibet. In addition, 
language has been included in section 526 to allow for a 
continuation in funding for activities which preserve cultural 
traditions and promote sustainable development and 
environmental conservation in Tibetan communities. The 
Committee is aware of the valuable assistance the Bridge Fund 
has provide to promote Tibetan-owned and operated businesses 
and educational, cultural, and natural resource conservation 
projects in Tibet, and urges that $1,000,000 be provided for 
Fund programs.

                                 burma

    The Committee continues to be concerned about the severe 
repression faced by democratic activists in Burma, and notes 
with alarm the intensification of the military regime's 
campaign of harassment and detention of persons engaged in 
peaceful political activities. In particular, the Committee is 
alarmed by reports that citizens of Burma are arrested for 
listening to radio broadcasts by Radio Free Asia and the Voice 
of America or for possession of opposition newspapers. The 
Committee also expresses its concern about the precarious 
situation of the Burmese activists and refugees currently 
living in Thailand. The Committee commends the Thai government 
for its efforts to care for and protect the refugees. However, 
the Committee notes with alarm the recent upsurge in the Thai 
government's harassment of Burmese political activists based in 
Thailand and calls upon the State Department to work with the 
activists and the appropriate persons in the Thai government to 
provide a greater measure of security for the pro-democracy 
activists.

                                cambodia

    The Committee has continued bill language (section 570) 
from the fiscal year 2000 appropriations act that prohibits 
funding for the central Government of Cambodia.
    The Committee is very concerned about allegations of 
corruption at the Cambodian Mine Action Center (CMAC). Reports 
have circulated that senior government officials, as well as 
former Khmer Rouge officials responsible for the murders of 
foreign tourists, were the recipients of funds illegally 
transferred from CMAC accounts. The Committee directs that 
prior to the obligation of funds for CMAC from this account or 
from ``Nonproliferation, Anti-terrorism, Demining, and Related 
Programs'', the Administration should notify the appropriate 
committees of the Congress regarding the status of CMAC 
finances. At a minimum an independent audit should be conducted 
of CMAC accounts, those responsible for waste, fraud and abuse 
should be dismissed, and appropriate oversight mechanisms 
should be established. Absent significant changes at CMAC, the 
Committee believes that any future demining funds for Cambodia 
should be provided through independent nongovernmental 
organizations.

                                 cyprus

    The Committee supports the budget request of $15,000,000 
for educational and other bicommunal projects in Cyprus. These 
funds provide a basis for mutual cooperation and preparation 
for the two communities of Cyprus to live together harmoniously 
by increasing inter-communal contacts.

                    latin america and the caribbean

    With the exception of the Administration's request for 
Haiti, the Committee expects the Administration to fund 
programs for Latin America at least at the fiscal year 2000 
level. (Haiti is addressed separately below.) It remains the 
Committee's strong belief that given the importance of the 
region and the long history of United States support, it is 
essential that aid levels not be reduced further. In that 
regard, the Committee fully supports the budget request of 
$5,000,000 for the Cuba democracy program and its goal of 
promoting a peaceful transition to democracy in that country.
    The Committee continues to be concerned about the 
resolution of the cases involving the terrorist bombings of the 
Israeli Embassy and the AMIA Jewish Community Center in Buenos 
Aires, Argentina. While the Committee is pleased by the 
developments over a year ago that resulted in the announcement 
by Argentine officials that linked Iran to the unresolved 
bombings and led to a downgrading of Argentina's relationship 
with that country, the Committee urges the Secretary of State 
to continue to work with the Government of Argentina to ensure 
that progress is made in these cases, and to offer technical 
law enforcement assistance where appropriate to bring to 
justice the perpetrators of these terrorist acts.

                                 haiti

    The Committee is disappointed at the results of United 
States attempts to improve the lives of the poor majority in 
Haiti. Democratic reforms have stalled for more than two years 
and violence has escalated in Haiti. The Committee is 
particularly concerned about the dismal performance of major 
elements of the Haiti National Police and the related emergence 
of Haiti as a major transshipment point for illicit drugs into 
the United States. The Committee continues to be fully 
supportive of humanitarian assistance to the people of Haiti, 
and commends the private organizations through which such aid 
is distributed.
    Section 558 of the recommended bill would condition 
assistance to the Government of Haiti on two certifications: 
that Haiti has held free and fair elections and that it is 
fully cooperating with the United States in efforts to 
interdict the transshipment of illicit drugs.
    The bill does not include a dollar ceiling on the level of 
assistance in fiscal year 2000, but the Committee notes that 
the actual dollar amount made available for Haiti or any other 
Latin American or Caribbean nation is limited by section 
558(b).

                    human rights and democracy fund

    The Committee directs that, of the funds allocated to the 
Human Rights and Democracy Fund, $1,000,000 should be provided 
to support the Reagan/Fascell Democracy Fellows Program of the 
National Endowment for Democracy to enable activists, scholars, 
journalists, and practitioners from around the world to help 
make contributions to the strengthening of democracy in their 
respective countries. This program was authorized in section 
104(a)(2)(B) of H.R. 3427 as enacted into law as part of Public 
Law 106-113.

                              tuna treaty

    The Treaty on Fisheries between the United States and the 
governments of certain Pacific Island states, popularly known 
as the South Pacific Regional Fisheries Treaty, requires that 
$14,000,000 in economic assistance be provided annually to the 
South Pacific states. Therefore, the Committee recommends that 
the treaty obligation be met through the payment of the full 
$14,000,000 in fiscal year 2001, as requested by the President.

                         availability of funds

    The Committee has continued language that funds in this 
account are to remain available for obligation for two years.

                   notification for central programs

    The Committee is concerned that over the past few years, 
and in the fiscal year 2001 budget request, the Administration 
has increased the number and size of regional and global 
programs funded through the Economic Support Fund. Many of 
these programs are managed by the Department of State rather 
than the Agency for International Development. The Committee is 
concerned that the Department does not have the institutional 
capacity to properly manage these programs, and that they have 
not been fully justified in terms of program content. 
Therefore, in order to facilitate the oversight 
responsibilities of the Committee, bill language is recommended 
to require that such programs be subject to the regular 
notification requirements of the Committees on Appropriations.

                     International Fund for Ireland





Fiscal year 2000 level................................       $19,600,000
Fiscal year 2001 request..............................      (19,600,000)
Committee recommendation..............................        25,000,000


    The Committee recommends $25,000,000 for the International 
Fund for Ireland in support of the Anglo-Irish Accord. Funding 
of this amount was requested for this activity through the 
Economic Support Fund, but the Committee recommendation would 
continue a separate account for assistance to Ireland. The 
amount represents an increase of $5,400,000 over the fiscal 
year 2000 level and the President's budget request. The 
Committee recommendation is being made in order to express 
support for implementation of the Good Friday Agreement.
    The International Fund for Ireland plays an important role 
in promoting peace and stability in Northern Ireland. In 
addition to supporting governmental efforts to implement the 
Good Friday Agreement and encouraging investment and trade, the 
Committee recognizes the importance of community-based 
initiatives which build civil society and promote peace and 
reconciliation and it encourages the International Fund for 
Ireland to support such community-based efforts. Such 
activities could include support for the Northern Ireland 
Voluntary Trust and for Project Children, and the Committee 
urges the International Fund for Ireland to support the work of 
these organizations, if appropriate.
    The Committee also urges the Department of State to 
consider funding up to $250,000 for Project Children through 
the Economic Support Fund, if the International Fund for 
Ireland is not able to address the needs of this organization. 
However, most funding for bilateral assistance for Ireland 
should be provided through the International Fund for Ireland, 
which was specifically established for this purpose.
    The Committee strongly urges the International Fund for 
Ireland to take every step possible to ensure that all 
recipients of Fund support are promoting equality of 
opportunity and non-discrimination in employment. The Committee 
further urges the Fund to focus on those projects that hold the 
greatest potential for job creation and equal opportunity for 
the Irish people, regardless of class, creed, gender, or 
ethnicity.

          Assistance for Eastern Europe and the Baltic States





Fiscal year 2000 level................................      $535,000,000
Fiscal year 2001 request..............................       610,000,000
Committee recommendation..............................       535,000,000


    The Committee recommends $535,000,000 for Assistance for 
Eastern Europe and the Baltic States, an amount that is the 
same as the amount enacted for fiscal year 2000 but $75,000,000 
below the budget request.
    While the Committee is recommending level funding for this 
account, it is also recommending language that will allow the 
Administration to utilize local currency that has been 
generated by the loan program in Bosnia for programs in Eastern 
Europe and the Baltic States. This local currency is 
denominated in German Marks, and therefore can be used in 
Bosnia, Montenegro, Kosovo, and in other countries and regions 
of Eastern Europe. The Committee anticipates that through this 
mechanism the U.S. dollar equivalent of $50,000,000 will be 
available in fiscal year 2001 to augment the budget authority 
contained in this appropriations account. Therefore a program 
level of $585,000,000 is being recommended for this account. 
The Committee recommendation assumes a reduction of at least 
$25,000,000 in the request of $175,000,000 for assistance for 
Kosovo.
    The Committee intends that funding for democracy programs 
though the National Endowment for Democracy continue at least 
at the fiscal year 2000 level, and be provided as a transfer of 
funds pursuant to section 632(a) of the Foreign Assistance Act.
    Notifications pursuant to section 515 of this Act for the 
funds appropriated under this heading should continue to be 
provided to the Committee in the manner and under the same 
conditions in which such notifications were provided during 
fiscal year 2000.

                       burden sharing for kosovo

    The Committee remains concerned about the slow pace at 
which European donors are fulfilling their pledges for 
reconstruction in Kosovo. While the United States has disbursed 
its funds quickly, the European Commission and some European 
governments have lagged. The Committee finds these delays 
troubling, because timely disbursals of assistance are critical 
in maintaining and reinforcing stability in this region.
    The Committee notes that European donors have increased the 
pace of their disbursals in recent months. However, a gap 
remains. As of May 30 of this year, the United States had 
deployed 98 percent of the officers it had pledged to the 
international police force and had paid 100 percent of its 
pledge to the budget managed by the United Nations Interim 
Administration Mission in Kosovo (UNMIK). The comparable 
figures for other NATO and EU members were 64 percent for 
police and 79 percent for the UNMIK budget. These levels remain 
unsatisfactory.
    The Committee recommendation includes sufficient funds for 
the United States to contribute its fair share to the 
international effort in Kosovo; it does not include funds that 
would compensate for delays by other donors. In that regard, 
bill language had been included that limits assistance for 
Kosovo to 15 percent of the total pledged by all donors for 
2001, and further limits assistance to the fiscal year 2000 
level of $150,000,000. In addition, funding is prohibited for 
large scale physical infrastructure reconstruction.

                         bosnia and herzegovina

    The Committee has recommended the same bill language as in 
the fiscal year 2000 Act that prohibits the use of funds for 
the construction or repair of housing or residences, unless 
directly related to the efforts of United States troops to 
promote peace in Bosnia and Herzegovina; requires the written 
approval of the Administrator of AID for loans and projects 
under the Economic Reconstruction Program; and authorizes the 
President to withhold funds for economic revitalization for 
Bosnia if he determines that Bosnia is not in compliance with 
the Dayton Accord regarding the presence of foreign forces and 
has not terminated intelligence cooperation with Iranian 
officials. All funds are subject to the provisions of section 
532 of this Act.

                                 serbia

    The Committee intends that none of the funds provided under 
this heading, or in this Act, may be made available for 
reconstruction or development activities for the Republic of 
Serbia, outside of Kosovo. The Committee supports a 
continuation of democratization activities in Serbia. The 
Committee is recommending continuation of a general provision, 
section 537, that would prohibit funds from being made 
available for assistance other than democratization assistance 
for the Republic of Serbia. Such assistance is not appropriate 
at the present time.
    The Committee would also support the allocation of 
$350,000, either from this account or from ``Peacekeeping 
Operations'', as a voluntary contribution to the Organization 
for Security and Cooperation in Europe (OSCE) and the OSCE 
Parliamentary Assembly to facilitate contacts with democratic 
forces in Serbia and Montenegro and strengthen democracy-
building efforts on a multilateral basis.

                               montenegro

    The Committee strongly supports assistance for the Republic 
of Montenegro, and urges the Administration to make every 
effort to assist the Government of the Republic. Such 
assistance should include balance of payments support, as well 
as ongoing and new initiatives to help make the economy of 
Montenegro less dependent on trade with Serbia. The Committee 
strongly supports the President's budget request of $55,000,000 
for Montenegro for fiscal year 2001, an increase of $20,000,000 
over the fiscal year 2000 level. In addition, the Committee 
notes that on March 30, 2000, the House of Representatives 
passed H.R. 3908, the 2000 Emergency Supplemental 
Appropriations Act, by a vote of 263 to 146. That legislation 
contains $34,000,000 in supplemental funds for Montenegro.

                           The baltic states

    The Committee has included bill language that recommends 
that $5,000,000 should be provided for assistance for the 
Baltic States. Although these countries no longer have AID 
missions, they are still emerging from decades of dominance by 
the Soviet Union and continue to need United States technical 
assistance in order to emerge into the community of Western 
nations. The Committee is also concerned that the Department of 
State has focused resources from this account almost 
exclusively on southeast Europe and the Balkans to the 
detriment of the Baltic states and the other nations of central 
Europe.
    The Committee intends that these resources be used in the 
Baltics for the following purposes:
          Regional energy programs, including the privatization 
        of state-owned energy sector, assisting United States 
        energy companies interested in the region, and helping 
        to create regional grids which support the closure of 
        the Chernobyl-type reactor in Lithuania;
          Regional environment programs, such as dealing with 
        the heavy metals and nuclear waste in both the civilian 
        and military sectors;
          Anticrime and anticorruption programs, including 
        efforts to combat the Russian mafia and other organized 
        crime organizations; and
          Rule of law programs, including professional training 
        for members of judiciary and prosecutors.
    The Committee intends that activities to combat regional 
health problems also be supported for the Baltics, but the 
Administration should also consider funding such programs 
through the ``Child Survival and Disease Programs Fund''.
    The Committee directs that the Department of State and the 
Agency for International Development report to the Committees 
on Appropriations by February 1, 2001, on plans to implement 
these programs in the Baltics. The Committee does not believe 
the maintenance of such programs will require AID to open 
missions in any of these countries. Such programs can and 
should be managed on a regional basis.
    Other regional programs are appropriate as well. In Poland, 
for instance, the Committee encourages AID to support the 
efforts of the National Center for Computational Hydroscience 
and Engineering (NCCHE) as it develops processes which can be 
applied to water and soil resources issues. It is the 
Committee's understanding that the Polish Government believes 
that such problems create barriers to economic development and 
therefore has pledged to share the cost of developing these 
technologies at the NCCHE. Therefore the Committee requests 
that funds be provided to transfer this technology to the 
Polish Academy of Sciences.

              institution of higher education in Macedonia

    The Committee supports the establishment of an 
international institution of higher education in Macedonia that 
is fully accredited by the Macedonian Government. The 
Administration should ensure, to the greatest extent possible, 
that the curriculum includes courses in the English language, 
particularly in business administration. It should also 
emphasize public administration and technology, with degrees 
recognized by the Macedonian national educational system. The 
institution should be developed in conjunction with other 
donors and its policies should reflect the recommendations of 
the Organization for Security and Cooperation in Europe's High 
Commissioner for National Minorities. The Committee expects the 
Administration to provide $5,000,000 over two years for the 
establishment and support of the faculty and programs of such 
an institution and for related costs, including the 
implementation of necessary changes in the legal framework.

                          treatment of orphans

    The Committee continues to be very concerned by the 
condition of orphaned children in the Federation of Bosnia and 
Herzegovina. While Bosnian families have been reluctant to 
adopt many of these children, American families have shown an 
interest in adopting Bosnian children. Unfortunately, 
legislative barriers within the Federation have prevented 
foreign adoptions, and the Committee is very disturbed that 
little action has been taken to modify these provisions. The 
Committee strongly encourages the Government of the Federation 
of Bosnia and Herzegovina to enact legislation that will 
expedite the adoption of Bosnia children by foreign families, 
and directs the Secretary of State to report not later than 
December 1, 2000, on the steps that have been taken both by 
Bosnia and by the Department to encourage passage of such 
legislation.

                 legal initiatives and the rule of law

    The Committee encourages the Agency for International 
Development to continue to provide financial support for the 
Central and Eastern European Law Initiative (CEELI), a project 
of the American Bar Association. CEELI has received grants to 
help Central and East Europe and the NIS create new legal 
frameworks based on the rule of law rather than through party 
doctrine or caprice.
    Through a variety of program components, CEELI is making 
available legal expertise to assist countries that are in the 
process of modifying or restructuring their laws or legal 
systems. CEELI emphasizes long-term engagement country-by-
country and supports projects that facilitate extensive 
consultations with policy-makers, legal scholars, judges, and 
attorneys. CEELI has focused work in several critical priority 
areas: constitutional reform; judicial restructuring; bar 
reform; commercial law; criminal law and procedure; and legal 
education reform, and has helped develop and/or 
institutionalize self-sustaining indigenous nongovernmental 
organizations (NGOs). The Committee encourages support for this 
type of private sector involvement.
    The Committee acknowledges the efforts the Czech Republic 
has taken to move toward a market economy. However, it is 
concerned by reports that some investors and companies have not 
been provided treatment consistent with the rule of law. Of 
particular concern are reports that the investors and managers 
of NOVA-TV (Central European Media Enterprises) have not been 
treated fairly by officials of the Czech Republic. The 
Committee requests that the Government of the Czech Republic 
ensure that contracts are enforced, and that resolution of this 
matter be dealt with in a timely manner.
    In furtherance of efforts to establish the rule of law in 
central Europe and in the former Soviet Union, the Committee 
urges the Administration to fund a distance learning program of 
instruction in basic legal principles for students and 
professionals in the region. Such a program has been proposed 
by Florida State University, and the Committee urges that 
$2,000,000 be provided for this effort in fiscal year 2001. 
This should help advance the goal of assisting emerging 
democracies in building open societies through improved legal 
education.
    In addition, the Committee requests that AID review and 
fund, if appropriate, the proposal to initiate the Romanian 
American Trade Development Center which is coordinated by 
George Mason University, James Madison University, the Software 
Association of Romania, and the Romanian Research and 
Development Technology Center.

  training and exchanges in the former soviet union and central europe

    The Committee continues to support training, exchanges, and 
partnerships between the United States and the nations of 
Eurasia, Central Europe, and the southern tier of Europe. These 
programs are in the interest of the United States and important 
to sustaining democracies. The Committee recommends the 
Administration provide funding for the Russian, Eurasian, and 
East European Research and Training Program (Title VIII) at the 
fiscal year 1999 level.
    The Committee recommends the East Central European 
Scholarship Program (ECESP) be continued at least at the same 
level as fiscal year 2000 to allow the program to continue to 
address the needs of the countries in the southern tier of 
Central Europe. The Committee also urges funding of the 
proposal of the University of Northern Iowa to replicate its 
success with the Orava Project in other countries in the 
region.

                            Women's Programs

    The Committee recognizes the important role women play in 
building democratic societies and lasting peace in regions of 
conflict. Women are often at the forefront of these efforts in 
the Balkans: women's organizations in Kosovo, Bosnia, Croatia, 
and elsewhere have a history of working collaboratively across 
borders to find regional solutions to social and economic 
problems. USAID has contributed to peace building and civil 
society development in the region by supporting women leaders 
and women's organizations. The Committee encourages AID to 
continue its support for programs that involve women in 
conflict resolution.
    In this regard, the Committee is aware of the expertise of 
Women's Campaign International and World Learning's STAR 
Network and urges support for these organizations to the 
fullest extent possible.

    Assistance for the Independent States of the Former Soviet Union





Fiscal year 2000 level................................      $839,000,000
Fiscal year 2001 request..............................       830,000,000
Committee recommendation..............................       740,000,000


    The Committee recommends $740,000,000 for Ukraine, the 
Southern Caucasus states, Russia, and the Central Asian 
republics of the former Soviet Union. This is $90,000,000 less 
than the request and $99,000,000 less than the enacted fiscal 
year 2000 level.
    The Committee has included in subsection (a) prior year 
language providing the funds under this heading 
``notwithstanding any other provision of law'' and applying the 
provisions of section 498B(j) of the Foreign Assistance Act. A 
general provision (section 517) also includes long-standing 
language on human rights, and non-use of funds for enhancing 
military capacities, and providing all funds subject to 
separate notification.

                 child survival and infectious diseases

    The Committee continues to be concerned about the low 
priority assigned to declining maternal and environmental 
health conditions and the increasing incidence of TB/HIV/AIDS 
in Russia, Ukraine, and the Central Asian Republics. The 
positive results achieved with the small amounts already spent 
for such programs in recent years have been dramatic. The 
health and child survival sector can effectively absorb 
increased resources, with an immediate and personal impact on 
the demographically-stressed citizens of these nations. In 
order to demonstrate its support for these high priority 
activities that directly affect the citizens of these 
countries, the Committee has included bill language allocating 
not less than the request level of $45,000,000 for them.
    The Committee is aware of and commends the Birth Defects 
Monitoring Program recently instituted in Ukraine to detect the 
incidence of birth defects related to the Chernobyl accident. 
The Committee recommends that $1,000,000 be provided for this 
purpose in fiscal year 2001. The Committee also commends AID 
for its efforts to prevent the trafficking of young women from 
the region and expects successful programs to be expanded. A 
new program, the Primary Health Care Initiative of the World 
Council of Hellenes, has come the attention of the Committee. 
Funded by the Coordinator's Office of Humanitarian Assistance 
in fiscal year 2000 at a level of $1,000,000, this project 
merits consideration, based on its success, for $3,000,000 in 
2001.

     Healthcare International and Community Partnerships in Eurasia

    The Committee commends the American International Health 
Alliance (AIHA) and its partners in the new community-based 
primary health care partnership program in the former Soviet 
Union and Eastern Europe. This innovative program is actively 
improving local health systems in the former Soviet bloc that 
have deteriorated over the past decade, especially as they 
affect services to women and children.
    An example of a successful partnership between the 
Volgograd State Medical Academy in Russia and the University of 
Arkansas for Medical Sciences has been brought to the 
Committee's attention. This program has been mutually 
beneficial to Russia and the United States as young medical 
professionals from Russia receive advanced medical training 
delivered in a rural setting while the people of Southern 
Arkansas benefit from improved access to health providers. The 
Committee strongly recommends that AID extend and expand this 
program at an annual cost of $500,000, matched by non-Federal 
contributions.
    The Committee notes the collaboration between the AIHA and 
Carelift International, and the fact that AID has committed 
$3,700,000 over the past 12 months to Carelift International to 
provide medical equipment and related training to AIHA 
partners. The Committee understands that less than half of the 
initial two year obligation of $1,500,000 for Carelift 
International has been expended to date and that AID has 
announced its intent to obligate an additional $2,200,000 from 
fiscal year 2000 funds for expenditure in 2001-2002. The 
Committee appreciates the humanitarian work of Carelift as it 
uses its remaining $2,750,000 over the two years, and 
anticipates that the multiyear collaboration between AIHA and 
Carelift International may require $7,000,000, including future 
year appropriations.

                              russia-iran

    The Committee again recommends language dealing with 
Russian nuclear and ballistic missile cooperation with Iran. 
The language is identical with that contained in existing law. 
The Committee remains extremely disturbed by reports, which 
indicate that Russian entities are extensively engaged with 
Iran in cooperative projects that significantly enhance Iran's 
ballistic missile capabilities. The ballistic missile 
cooperation, combined with Russian nuclear cooperation with 
Iran, represent a significant step in Iran's efforts to obtain 
a comprehensive, highly sophisticated weapons of mass 
destruction capability. The Committee reiterates the language 
from the fiscal year 2000 Statement of the Managers ``that 
assistance to combat infectious diseases, child survival and 
non-proliferation activities, support for regional and 
municipal governments, and partnerships between United States 
hospitals, universities, judicial training institutions and 
environmental organizations and counterparts in Russia should 
not be affected by this section.''

                                Chechnya

    The Committee is very concerned about continuing military 
actions by the Russian Federation in and around Chechnya. In 
addition to possible human rights violations by the forces of 
the Russian Federation, this large military presence is a 
violation of article V of the Treaty on Conventional Armed 
Forces in Europe. Therefore the Committee is recommending bill 
language that prohibits assistance for the Government of the 
Russian Federation until the Secretary of State certifies that 
the Russian Federation is in compliance with article V of the 
Treaty on Conventional Armed Forces in Europe regarding forces 
deployed in the flank zone in and around Chechnya.
    The Committee does not intend that assistance to combat 
infectious diseases, child survival and non-proliferation 
activities, support for regional and municipal governments, and 
partnerships between United States hospitals, universities, 
judicial training institutions and environmental organizations 
and counterparts in Russia would be affected by this provision.

 Southern Caucasus region: Armenia, Azerbaijan, and Georgia victims of 
                     the nagorno-karabagh conflict

    Again this year, the Committee designates as a high 
priority U.S. assistance to the victims of the Nagorno-Karabagh 
conflict, both those residing in and displaced from Nagorno-
Karabagh. With regard to the former, the Committee directs, 
without further delay, that the remainder of the $20,000,000 in 
humanitarian assistance initially provided in the fiscal year 
1998 Act be released for obligation. With regard to the latter, 
the Committee requests the Secretary of State to report in 
writing to the Committee within 15 days of the enactment of 
this bill on the amounts of assistance provided by the United 
States, other bilateral donors, and international organizations 
to such displaced persons in 1998 and 1999, the estimates for 
2000, and the projections for 2001, the gap between 
requirements and projected donor totals in 2001, and measures 
taken by the United States to meet its share of any projected 
gap in 2001 between requirements and projected resources for 
such displaced persons.

       support of peaceful resolution of South Caucasus conflicts

    The Committee reiterates themes included in its last three 
reports:
    The extent and timing of United States and multilateral 
assistance, other than humanitarian assistance, to the 
government of any country in the Caucasus region should be 
proportional to its willingness to cooperate with the Minsk 
Group and other efforts to resolve regional conflicts.
    In furtherance of a peaceful resolution to the Nagorno-
Karabagh conflict, and in support of the confidence building 
measures discussed at NATO and OSCE summits, the Committee 
strongly supports confidence-building measures among the 
parties to the conflict. Such measures could include 
strengthening compliance with the cease-fire, studying post-
conflict regional development such as water management, 
transportation routes and infrastructure, establishing a youth 
exchange program and other collaborative and humanitarian 
initiatives to foster greater understanding among the parties 
and reduce hostilities.
    The Committee remains concerned that the important Office 
of Special Negotiator for Nagorno-Karabagh and NIS Regional 
Conflicts within the U.S. State Department has often lacked 
timely support from the Department of State. Given the lack of 
progress in settling the conflicts in Nagorno-Karabagh and 
Abkhazia, the Committee again urges the Secretary of State to 
move forthwith to appoint a high-level, long-term Special 
Negotiator to facilitate direct negotiations and any other 
contacts that will bring peace to the people of the South 
Caucasus. The Secretary is further urged to remain engaged in 
the regional peace process.
    The Committee has been apprised that on May 18, 2000, the 
Minsk Group convened a meeting of 19 international 
organizations to assess their ability to respond effectively 
and efficiently to a peace settlement between Armenia and 
Azerbaijan. This ``reference group'' agreed that, if peace 
could be achieved, hundreds of millions of dollars would become 
available for reconstruction and resettlement. The reference 
group is preparing to send a needs assessment team to the 
region to develop an accurate technical analysis of the funding 
requirements in the event of a peace settlement.
    The Committee has included renewed authority for the 
President to provide humanitarian assistance to the region, 
notwithstanding the restrictions of Section 907 of the FREEDOM 
Support Act. The bill language is unchanged from last year. 
This exemption allows for direct assistance by American NGOs to 
refugees and displaced persons throughout the region, including 
those in Nagorno-Karabagh. The Committee understands that 
humanitarian assistance may include a broad range of activities 
and partnerships with United States hospitals and universities 
in maternal and children's health, eldercare, basic education 
and environmental health.
    The Committee also reiterates the statement contained in 
prior year reports on this bill that its actions regarding 
Armenia and Azerbaijan are not meant to express a view on the 
political status of Nagorno-Karabagh.

                                armenia

    The Committee recommends continuation of current law 
providing that not less than a fixed percentage of the funds 
appropriated under this heading is allocated for Armenia. For 
2001, the percentage is 12.5 or one-eighth. The Committee 
intends that a significant part of the assistance for Armenia 
continue to support small enterprises and housing in the 1988 
earthquake zone. The Committee is aware of the work of the 
Armenian Technology Group in assisting the Armenian private 
sector in a seed multiplication program. The Committee supports 
the expansion of these efforts in additional countries in the 
Central Asia region.

                                georgia

    The Committee recommends continuation of current law 
providing that not less than a fixed percentage of the funds 
appropriated under this heading is allocated for Georgia. For 
2001, the percentage is 12.5 or one-eighth. The Committee 
intends that that a significant part of the assistance for 
Georgia continue to be provided for technical security 
assistance for border and export control.

                               azerbaijan

    The Committee recommends renewing the current one-year 
waiver of section 907 for activities in support of democracy in 
Azerbaijan and for activities in support of American business 
in Azerbaijan by the Trade and Development Agency, the Export-
Import Bank, OPIC, and the U.S. Foreign Commercial and 
Agricultural Services. It also includes humanitarian assistance 
in the waiver.

                                ukraine

    The Committee notes that one of the most important elements 
of private sector development is agriculture and rural industry 
based on agriculture. The Committee supports continuing efforts 
to help emerging small, private farms and independent private 
suppliers and marketing operations in the independent states. 
The survival of viable smaller private enterprises where few or 
none have existed before will be a benchmark for AID's decade-
long involvement in Ukraine and the entire region.
    As private sector development is expedited by the 
introduction of community-owned telecommunications systems, 
universal access to information gives small-scale producers 
information about market conditions that allow their businesses 
or farms to succeed. The Committee strongly advises AID to 
emphasize community-based telecommunications projects in its 
regional initiatives.
    The Committee supports consideration of a terminal three 
year grant of up to $5,000,000 to enable the Ukrainian Land and 
Resource Management Center to complete its goal of becoming 
self-sustaining.

                       expanded threat reduction

    The request included $141,000,000 for the second year of an 
Expanded Threat Reduction (ETR) program, of which $87,000,000 
is requested under this heading and $54,000,000 is requested 
from the ``Nonproliferation, Anti-terrorism, Demining, and 
Related Activities'' account. The Committee includes 
$78,000,000 for programs justified as part of the ETR, 
including $14,000,000 for the bilateral U.S. Civilian Research 
and Development Foundation (CRDF) in this account, and not less 
than the request of $15,000,000 for the Georgia Border Security 
and Related Law Enforcement Assistance Program.
    The Committee recommends that of the amounts provided for 
ETR activities, up to $2,000,000 be made available for 
collaborative research grants for American and Russian scholars 
concerning the enhancement of verification of arms control and 
nonproliferation agreements, confidence-building measures to 
enhance international security, and economic and political 
studies of defense conversion. The Committee recommends that 
the Department of State make use of such organizations as the 
National Council for Eurasian and East European Research in 
establishing and administering this program.

                   Detention of Edmond Pope in Russia

    The Committee notes with deep concern the imprisonment of 
Edmond Pope by the Government of the Russian Federation. A 
retired U.S. Navy Captain, Mr. Pope was in Russia on behalf of 
the Applied Research Lab at the Pennsylvania State University 
to arrange for a new testing facility contract for a high-speed 
underwater technology project. Based on the facts as they have 
been presented to the Committee, this was a legitimate, open 
business transaction and the technology being purchased has 
been declared to be available through commerical sale. The 
Committee expresses its strong support for his immediate 
release. Until the charges are dismissed and Mr. Pope is 
released from prison, the Committee recommends that the 
Administration sharply curtail new financial support for Russia 
and technological exchanges with the Russian Federation.

                            enterprise funds

    The Committee is concerned that the initial funding 
allocations made to the U.S. Russia Investment Fund (TUSRIF) 
and the Western NIS Enterprise Fund in fiscal year 2000 were 
inadequate. The Committee urges the State Department and AID to 
provide not less than $50,000,000 to TUSRIF over the fiscal 
years 2000 and 2001, as the Fund demonstrates its ability to 
promote the development of a market economy in Russia. The 
Committee commends the Fund's innovative housing mortgage 
program. In return for a more rapid rate of Federal investment 
in TUSRIF, the Committee expects it to work more closely with 
United States companies and investors and with businesses 
located in the vicinity of U.S. regional investment cities.
    The Committee welcomed the return of $40,000,000 to the 
U.S. Treasury by the Fund's companion enterprise fund in 
Poland, and anticipates the receipt of an additional 
$80,000,000 in fiscal years 2000 and 2001. The Committee 
expects that more rapid capitalization of the U.S. Russian 
Investment Fund may lead over time to a similar repatriation of 
foreign aid funds to the U.S. Treasury.

                         violence against women

    The Committee continues to be very concerned about the 
incidence of violence against women in Russia, Ukraine, and 
Central Asia and the indifference of many law enforcement 
officials to such crimes. Funds should be made available to 
improve the response of Russia's and Central Asia's law 
enforcement and judicial system to women victims of violence.

                      religious freedom in russia

    The Committee continues to be concerned about the dire 
consequences to several religious groups resulting from 
regional enforcement of the religious freedom statute in the 
Russian Federation.
    The recommended bill again includes language addressing 
this matter that is identical with language in the 1999 and 
2000 Acts.
    The Committee does not intend that the limitation on 
assistance to the ``Government of the Russian Federation'' 
limit assistance for regional and municipal governments or 
partnerships between United States hospitals and universities 
and counterpart institutions in Russia.

                          Independent Agencies


                       Inter-American Foundation





Fiscal year 2000 level................................      ($5,000,000)
Fiscal year 2001 request..............................        20,000,000
Committee recommendation..............................      (10,000,000)


    The Committee recommends up to $10,000,000 for the Inter-
American Foundation, provided through the ``Development 
Assistance'' account. This is $10,000,000 below the budget 
request.

                     African Development Foundation





Fiscal year 2000 level................................     ($14,400,000)
Fiscal year 2001 request..............................        16,000,000
Committee recommendation..............................      (16,000,000)


    The Committee recommends funding for the African 
Development Foundation at a level of $16,000,000, provided 
through the ``Development Assistance'' account. This is the 
mechanism used in fiscal year 2000, instead of a separate 
account as requested by the President. This is an increase of 
$1,600,000 above the fiscal year 2000 level.

                              Peace Corps





Fiscal year 2000 level................................      $245,000,000
Fiscal year 2001 request..............................       275,000,000
Committee recommendation..............................       258,000,000


    The Committee recommends $258,000,000 for the Peace Corps, 
an amount that is $17,000,000 less than the budget request and 
$13,000,000 above the amount enacted for fiscal year 2000. 
Prior year language addressing purchase of motor vehicles, 
abortion, and availability of funds has been continued in the 
bill. The Committee supports the work of the Peace Corps and of 
its volunteers who currently work in 77 countries.

                          Department of State


          International Narcotics Control and Law Enforcement





Fiscal year 2000 level................................      $305,000,000
Fiscal year 2001 request..............................       312,000,000
Committee recommendation..............................       305,000,000


    The Committee recommends $305,000,000 for ``International 
Narcotics Control and Law Enforcement''. This is $7,000,000 
below the budget request and the same as the fiscal year 2000 
level. The Committee has included bill language requiring that 
all funds in this account for anti-crime activities be notified 
in advance to the Committees on Appropriations, including those 
which make use of ``notwithstanding'' authority. The Committee 
notes that section 520 of the bill applies to the use of 
Narcotics Control and Law Enforcement funds for Colombia. The 
Committee supports the use of up to $10,000,000 from funds 
under this heading for Law Enforcement Training and Demand 
Reduction programs.
    The Committee continues to support a strong U.S. 
counternarcotics assistance program in order to protect U.S. 
communities from the ravages of drugs, and believes INL has 
considerable resources, made available through annual and 
supplemental appropriations, to meet these challenges.

                                Colombia

    The Committee commends the continued efforts of the 
democratically elected Colombian Government to advance a peace 
process to resolve the conflict in Colombia. President 
Pastrana's decision to seek a negotiated settlement with the 
Revolutionary Armed Forces of Colombia (FARC) guerrilla group--
known for its ruthless policies of kidnapping, extortion and 
murder of innocent civilians--will be lengthy and difficult. 
The Committee urges all sides in the Colombian conflict to make 
renewed efforts to achieve a peaceful, negotiated settlement, 
and encourages the U.S. State Department to continue to support 
these difficult efforts.
    The Committee is concerned about reports of serious 
violations of basic human rights and urges all parties to 
adhere to recognized standards of international humanitarian 
law. The Committee believes that the Government of Colombia 
must move decisively to carry out arrest warrants for 
paramilitary leaders and to ensure that any links between 
official security forces and paramilitary activities are ended.
    The Committee calls on the Department of State to ensure 
that all U.S. laws regarding human rights, including section 
564 of this Act, are strictly applied in Colombia. In addition, 
the Committee requests that the Secretary of State submit to 
the Appropriations Committees a semi-annual report beginning 
not later than March 1, 2001, with respect to Colombia. Each 
report shall include an accounting of all aircraft, vehicles, 
boats and lethal equipment (other than ammunition) transferred 
to Colombia's military or police with funds made available 
under this title. Further, the report shall contain an 
accounting of the number of U.S. Armed Forces personnel 
deployed or assigned to duty in Colombia at any time during the 
preceding 180 days with funds made available under this title, 
the length and purpose of the deployment or assignment, and the 
associated costs and force protection risks.
    The Committee directs the Department of State to report not 
later than March 1, 2001, on the use of funds appropriated in 
Public Law 106-31 for counterdrug research and development and 
specifically on the uses of funds for mycoherbicide research, 
development, and use.

                                  Peru

    The Committee continues to be concerned about the serious 
setbacks to democracy, human rights and the rule of law in Peru 
under the government of President Alberto Fujimori. The April 
9, 2000, and May 29, 2000, presidential and congressional 
elections in Peru were tainted by widespread irregularities and 
fraud. Pre-election monitoring delegations by the Carter Center 
and National Democratic Institute determined that ``the 
conditions for a fair election campaign have not been 
established. Irreparable damage to the integrity of the 
electoral process has already been done.'' The Committee notes 
the systematic harassment--largely attributed to the Peruvian 
National Intelligence Service (SIN)--faced by journalists in 
Peru. The Committee is also concerned about the Fujimori 
government's tight control over the judiciary and the continued 
imprisonment of hundreds of Peruvians on terrorism charges.
    The Committee directs the Secretary of State to urge the 
Government of Peru to accept the ruling of the Organization of 
American States' Inter-American Court of Human Rights, to 
restore freedom of the press in Peru, including the return to 
Baruch Ivcher of both his Peruvian citizenship and channel 2 
television station and to ensure a prompt and fair review of 
the hundreds of Peruvians in jail on terrorism charges.

                                Bolivia

    The Committee is pleased with the extraordinary success of 
the Bolivian government's program, known as the ``Dignity 
plan'', to eradicate illegal coca leaf production and 
completely end the country's illegal drug trade by 2002. This 
effort represents one of the most ambitious elements of our 
hemisphere's war on drugs and should be seen as a model for 
other nations to follow. The Bolivian government has put 
forward a comprehensive fiscal year 2001 budget and program to 
continue to eradicate and interdict illegal coca, provide 
alternative development for Bolivia's agricultural sector and 
bolster drug prevention programs. The Committee expects the 
State Department to provide Bolivia with the highest level of 
funding possible in order to assist Bolivia meet its ambitious 
goals under its ``Dignity plan''.

                     due process of law in ecuador

    The Committee requests the Secretary of State to submit a 
report to the Committees on Appropriations not later than 
February 1, 2001, which shall evaluate the Ecuadoran judicial 
process including arrests, prosecution, full trial process, and 
sentencing and confirmation process with respect to United 
States citizens prosecuted in that country since January 1, 
1996. The evaluation shall determine whether actions in these 
stages have been in compliance with the Ecuadoran Constitution 
and legal code and shall evaluate the impact of U.S. foreign 
assistance to Ecuador on the effectiveness and lawfulness of 
the Ecuadoran judicial system.

                              Philippines

    The Committee is concerned with the increasing illegal drug 
trafficking into the United States from East Asia, especially 
in Vietnam, Cambodia and the Philippines. The Committee 
continues to support International Narcotics Control programs 
in East Asia designed to strengthen law enforcement 
institutions so they can better deal with increases in drug 
trafficking. Further, the Committee encourages INL to enhance 
its existing regional counter-drug cooperation programs in this 
region. The Committee is aware of current steps being taken by 
the Philippine National Police to effectively combat narcotics 
trafficking, but notes that the National Police lack resources 
to meet these requirements. Therefore, the Committee supports 
the use of INL resources to upgrade Philippine National Police 
equipment, including maritime and air assets and surveillance 
equipment, to support mutually beneficial counter-drug 
programs.

                      Assistance to Plan Colombia





Fiscal year 2000 Emergency Supplemental request.......      $818,000,000
Fiscal year 2001 request..............................       256,000,000
Committee recommendation..............................  ................


    The Committee has not provided funding in its fiscal year 
2001 recommendation for Plan Colombia. The budget request for 
fiscal year 2001 for assistance for Plan Colombia is 
$256,000,000. The Committee has addressed both the fiscal year 
2000 emergency supplemental appropriation budget request and 
the fiscal year 2001 budget request for Plan Colombia 
separately.
    The Committee continues to support Plan Colombia, the 
Colombian Government's effort to halt the flow of drugs into 
the United States and to aid Colombian local and national 
governing ability. While funding for Plan Colombia is addressed 
separately, funds from the ``International Narcotics Control 
and Law Enforcement'' account in this Act will directly support 
Plan Colombia. The Committee directs INL to consider purchasing 
American-made mobile field hospitals to support the existing 
Colombian Army counternarcotics battalion in Southern Colombia. 
The Committee believes that these field hospitals also can 
serve as health clinics for rural communities, providing health 
care to underserved regions. The Committee directs that up to 
$10,000,000 from funds under this heading and from any funds 
made available to support Plan Colombia for this purpose.
    To help improve human rights and to strengthen democracy, 
the Committee encourages up to $1,200,000 for the University of 
Notre Dame from the ``International Narcotics Control and Law 
Enforcement'' account and from any funds made available to 
support Plan Colombia. These funds will support Notre Dame's 
program of human rights, democracy, and conflict resolution 
training for a broad spectrum of Colombian Government and civic 
leaders. The Committee expects Notre Dame to receive private 
funding to complement the U.S. Government's commitment to this 
activity and to conduct the essential elements of this program 
in Colombia.

                    Migration and Refugee Assistance





Fiscal year 2000 level................................      $625,000,000
Fiscal year 2001 request..............................       658,212,000
Committee recommendation..............................       645,000,000


    The Committee recommends $645,000,000 for ``Migration and 
Refugee Assistance'', an amount that is $13,212,000 below the 
request but is $20,000,000 more than the amount enacted for 
fiscal year 2000. A limitation of $14,852,000 is recommended 
for administrative expenses, as requested.

                            Tibetan refugees

    The Committee supports continued funding to assist Tibetan 
refugees and directs $2,000,000 for this purpose. The Committee 
requests that the Department of State coordinate with the 
Agency for International Development in determining the funding 
responsibility for long-term assistance for Tibetan refugees, 
including assistance to refugees residing in India. In that 
regard, the Committee would support the proposal to fund the 
Tibetan Resettlement Project in Dehradum, consistent with 
Tibetan cultural practices.

                         Resettlement in Israel

    The Committee supports $60,000,000 for the resettlement of 
Russian, Eastern European and other humanitarian migrants in 
Israel, consistent with House Report No. 105-401. The Committee 
notes that the resurgence of anti-Semitism in Russia has led to 
a significant increase in Jewish emigration to Israel in the 
past eighteen months. In light of the unsettled conditions in 
Russia and the increased number of immigrants arriving in 
Israel, the Committee believes that this level of funding 
should be sustained to ensure a continuation of the programs 
now serving this population.

                   unaccompanied and at-risk children

    The Committee supports funding for programs for 
unaccompanied and at-risk refugee children. The Committee 
recommends that the Department of State provide funding through 
nongovernmental organizations and United Nations agencies for 
children who are orphaned, separated from their parents, or 
have other special needs as a result of armed conflict or other 
causes of forced migration. This funding should support 
programs whose principal goal--rather than merely a collateral 
benefit--is to assist children in these situations.

                Africa refugee admissions and assistance

    The Committee commends the Department of State for 
increasing the refugee admissions program's focus on refugees 
most in need of rescue, particularly those from sub-Saharan 
Africa. Admissions of refugees from Africa increased from 7,000 
in fiscal year 1998 to 13,000 in fiscal year 1999, an increase 
of approximately 85 percent. The Department of State has 
informed the Committee that it expects to admit 18,000 refugees 
from Africa in fiscal year 2000, an increase of more than 70 
percent. The Committee encourages the Department of State to 
continue giving priority to refugees most in need of rescue, 
including those from Africa.
    The Committee is concerned about significant disparities in 
funding for assistance to refugees in different regions of the 
world. In the past decade, while refugee programs in Europe 
have received strong support, many programs in Africa have been 
severely under-funded.
    The Committee is aware that the Department of State 
traditionally contributes twenty to twenty-five percent of the 
funds required for refugee programs managed by the United 
Nations High Commissioner for Refugees and certain other 
international relief agencies. The Committee encourages the 
Department to exercise more flexibility, where appropriate, to 
compensate for the disparities noted above. So, for example, 
the United States might contribute 10 percent to a program in 
Europe that attracts substantial funding from other governments 
but 50 percent to an effective program in Africa that is being 
neglected by other donors.

                                Staffing

    The Committee supports appropriate staffing to ensure 
effective management of the funds in this account. For this 
reason, the Committee has endorsed the Department of State's 
request for an increase in administrative funds, which will pay 
for additional personnel in the Bureau of Population, Refugees, 
and Migration. The Committee recognizes that the Bureau's work 
has become more labor-intensive in recent years as it has 
channeled more funds through nongovernmental organizations and 
increased refugee admissions from locations that are difficult 
to access. Still, the Committee is concerned that, because the 
current staffing pattern has evolved in part in response to 
crises, it may be skewed toward certain areas of the world. 
While the Bureau's staffing must adjust for crises, it should 
not be crisis-driven.
    The Committee requests the Bureau to compare the numbers of 
staff members working on different issues and geographic areas 
with the Bureau's responsibilities in those areas and, if 
appropriate, to make adjustments. In assessing its 
responsibilities in a geographic area, the Bureau should 
consider criteria such as the number of countries/crises 
grouped together; the amount of assistance resources flowing 
there; the number of organizations receiving Bureau funds in 
that area; the volume of admissions from that region; and 
political reporting requirements. In assessing its staffing 
level, it should consider all categories of personnel, 
including Washington and field-based, direct hire and 
contractors, American and foreign nationals, etc. The Committee 
directs the Bureau to develop a plan for shifting additional 
staff as required when crises emerge and reducing their numbers 
when the crises subside. The Committee requests that the Bureau 
report to the Committee not later than March 1, 2001, on both 
of these directives.

                         Coordination with OFDA

    The Committee notes that, in recent years, the Bureau of 
Population, Refugees, and Migration (PRM) has increased its 
direct funding of nongovernmental organizations. As a result, 
it is now using many of the same implementing partners as AID's 
Office of Foreign Disaster Assistance (OFDA) to carry out 
similar activities. The Committee commends the coordination 
between PRM and OFDA at the peak of the Kosovo crisis, in 
particular their practice of discussing project proposals with 
each other before making funding decisions. The Committee 
considers such coordination essential to ensure optimal use of 
taxpayer funds. The Committee directs PRM and OFDA to jointly 
develop standard operating procedures for cooperation whenever 
both agencies respond to the same crisis or are present in the 
same geographic area, and methods for ensuring that these 
procedures become institutionalized. The Committee requests a 
report on the implementation of these directives not later than 
March 1, 2001.

     United States Emergency Refugee and Migration Assistance Fund





Fiscal year 2000 level................................       $12,500,000
Fiscal year 2001 request..............................        20,000,000
Committee recommendation..............................        12,500,000


    The Committee recommends $12,500,000 for the Emergency 
Refugee and Migration Assistance (ERMA) Fund, which is the same 
as the 2000 enacted level and $7,500,000 below the 2001 budget 
request.
    The Committee notes that, as of June 1, 2000, the ERMA Fund 
maintained a balance of $145,309,659. This balance is more than 
twice the amount the ERMA Fund has carried forward into any 
previous fiscal year. The Committee considers it appropriate 
for the ERMA Fund to maintain a sizable balance, since the 
purpose of this account is to facilitate a quick response to 
humanitarian emergencies. Still, the Committee believes that, 
with the current balance in the Fund, a larger appropriation to 
this account cannot be justified.
    The Committee is concerned that the Administration may be 
using an overly stringent standard in judging whether to draw 
down the ERMA Fund. The primary criterion for the use of these 
resources should be the emergency needs of refugees and other 
persons who fall within the mandate of the ERMA Fund. The 
Committee directs the Administration to use this Fund when 
these populations face serious threats to their security or 
physical well-being and other resources are not available to 
address these threats. The Committee does not wish to see a 
situation in which critical humanitarian needs go unmet while a 
large fund created to address these needs remains untouched.

    Nonproliferation, Anti-terrorism, Demining and Related Programs





Fiscal year 2000 level................................      $216,600,000
Fiscal year 2001 request..............................       346,740,000
Committee recommendation..............................       241,600,000


    The Committee recommends a total appropriation of 
$241,600,000 for ``Nonproliferation, Anti-terrorism, Demining 
and Related Programs'', an amount that is $105,140,000 below 
the request but $25,000,000 above the fiscal year 2000 enacted 
level.
    The Committee recommendation funds the President's budget 
request for this account with three major exceptions:
          Funding for the Korean Peninsula Energy Development 
        Organization (KEDO) is recommended at the fiscal year 
        2000 enacted level of $35,000,000, a reduction of 
        $20,000,000 from the President's request;
          Funding for a new Center for Antiterrorism and 
        Security Training (CAST) has not been provided, a 
        reduction of $30,000,000 from the President's request; 
        and
          Funding for Science Centers is provided at a level of 
        $25,000,000, rather than $45,000,000 as requested by 
        the President.
    In addition, the Committee has not addressed the request of 
$41,240,000 associated with funding for the Lockerbie bombing 
trial in the Netherlands (including $6,000,000 in advance 
appropriations). The budget amendment containing this funding 
proposal was received on Monday, June 5, 2000, and the 
Committee has had little opportunity to review the merits of 
the request. The Committee notes that one of the proposed 
offsets for this additional funding is not under the 
jurisdiction of the Subcommittee on Foreign Operations, Export 
Financing, and Related Programs, and the other offset proposed 
would not be scored as negative budget authority by the 
Congressional Budget Office. Thus the Administration has not 
proposed legitimate offsets for this additional spending that 
are available for use by the Subcommittee on Foreign 
Operations.
    Funding for the proposed Center for Antiterrorism and 
Security Training (CAST) has not been provided, both due to 
budget constraints and due to the fact that funding for 
domestic law enforcement training is not under the jurisdiction 
of the Subcommittee on Foreign Operations, Export Financing, 
and Related Programs. Although the proposal for CAST includes 
training for foreign law enforcement purposes, the Committee 
believes that these needs can be met by training at existing 
facilities and encourages the Department of State to coordinate 
with the Federal Law Enforcement Training Center (FLETC) and 
the Department of Justice in this regard. To the extent that 
other Federal entities were seeking to participate in the 
proposed training facility, such needs should be pursued 
through the proper subcommittees of jurisdiction.
    The Committee has included bill language from 2000 that 
imposes the requirement for notice prior to the obligation of 
funds for the CTBT Preparatory Commission.
    The Committee strongly encourages the Department of State 
to consult with the Government of Pakistan on efforts to 
increase anti-terrorism and anti-crime cooperation. Increased 
activities in this regard would benefit both the United States 
and Pakistan.
    The following is a chart that indicates fiscal year 2000 
funding for the programs covered by this account, as well as 
the President's request for fiscal year 2001 and the Committee 
recommendation:

                                            [In thousands of dollars]
----------------------------------------------------------------------------------------------------------------
                                                               Fiscal year       President's        Committee
                          Program                                 2000             request       recommendation
----------------------------------------------------------------------------------------------------------------
Nonproliferation and Disarmament Fund.....................            15,000            15,000            15,000
Export control assistance.................................            14,530            14,000            14,100
IAEA contribution.........................................            43,000            47,000            47,000
CTBT Preparatory Commission...............................            14,000            21,500            21,500
KEDO......................................................            35,000            55,000            35,000
Anti-terrorism assistance.................................            33,000            38,000            38,000
Center for Antiterrorism and Security Training............  ................            30,000  ................
Terrorist Interdiction Program............................             1,250             4,000             4,000
Demining..................................................            40,000            40,000            40,000
Small Arms Destruction....................................  ................             2,000             2,000
Science Centers...........................................             (\1\)            45,000            25,000
Lockerbie trial costs.....................................  ................            41,240  ................
    Minus advance appropriations..........................  ................            -6,000  ................
                                                           -----------------------------------------------------
      New budget authority................................           216,600           346,740          241,600
----------------------------------------------------------------------------------------------------------------
\1\ (Science Center program funded in the account ``Assistance for the Independent States of the Former Soviet
  Union'' in fiscal year 2000).

                 nonproliferation and disarmament fund

    The Committee supports the Administration's request and 
recommends $15,000,000 for the Nonproliferation and Disarmament 
Fund (NDF). The Committee strongly supports the core 
nonproliferation activities of the NDF which are designed to 
provide the Secretary of State with a flexible funding source 
to respond to urgent, unanticipated nonproliferation activities 
of immediate concern to the United States. Longer term 
programmatic activities should be funded separately and 
therefore are subject to the normal conditions for legislative 
oversight and review.

                          kedo burden sharing

    The Committee is recommending $35,000,000 for KEDO, rather 
than $55,000,000 as requested by the Administration. The 
Committee continues to strongly believe it is essential that 
other nations share the financial burden in responding to the 
North Korean nuclear threat. The United States stations 
approximately 37,000 uniformed Americans in South Korea and 
spends over $2,500,000,000 per year to ensure stability and 
peace on the Korean peninsula. The Committee fully expects 
other nations to do their share and help fund the heavy fuel 
oil component of the Agreed Framework. This matter is also 
addressed in section 572 of this Act.
    The Committee is also concerned by reports that North Korea 
does not have the personnel to effectively or safely operate a 
nuclear reactor, or the infrastructure to deliver the 
electricity to the North Korean people. Without progress in 
these areas, North Korea will be incapable of using the light 
water reactors as was intended in the Agreed Framework. 
Therefore the Committee requests that the Department of State 
report by January 15, 2001, on the progress North Korea is 
making, if any, to build the infrastructure capable of 
distributing electricity and train the personnel necessary to 
operate two light water nuclear reactors.

                       Department of the Treasury


                           Debt Restructuring





Fiscal year 2000 level................................      $123,000,000
Fiscal year 2001 request..............................       262,000,000
Committee recommendation..............................        82,400,000


    The Committee recommends $82,400,000 for debt restructuring 
for fiscal year 2001. This is $40,600,000 below the amount 
enacted in 2000, and $179,600,000 below the request. The 
Committee supports the request for bilateral debt relief and 
provides funding for that purpose. It also directs that 
$13,000,000 be used to implement the Tropical Forest 
Conservation Act of 1998, the same as the amount made available 
in fiscal year 2000, but $24,000,000 less than the request for 
that purpose.
    The Committee recommendation gives the Secretary of the 
Treasury flexibility to use the appropriations provided under 
this heading, other than the $13,000,000 reserved for 
implementation of the Tropical Forest Conservation Act, for 
bilateral debt relief or as a United States contribution to 
certain multilateral development banks that lack sufficient 
resources to fund debt relief commitments made to heavily 
indebted poor countries.

                            hipc trust fund

    The vehicle for any such contributions to multilateral 
development banks is expected to be a Heavily Indebted Poor 
Country (HIPC) Trust Fund that was created and is administered 
by the International Bank for Reconstruction and Development. 
The HIPC Trust Fund accepts contributions from more developed 
countries to help the Inter-American Development Bank, the 
African Development Bank, the Central American Bank for 
Economic Integration, and possibly other financial 
institutions, to defray the cost of writing down unserviceable 
debt owed by certain member countries.
    The following table indicates the current financial status 
of the HIPC Trust Fund:

                            [As of May 22, 2000, amounts in millions of U.S. dollars]
----------------------------------------------------------------------------------------------------------------
                                                                   Contributions
                                                                     received         Pledges          Total
----------------------------------------------------------------------------------------------------------------
Australia.......................................................              12  ..............              12
Austria.........................................................  ..............              19              19
Belgium.........................................................               4              36              40
Canada..........................................................             102  ..............             102
Denmark.........................................................              26              35              61
Finland.........................................................              15              11              26
France..........................................................  ..............             199             199
Germany.........................................................              24             219             243
Greece..........................................................               1               9              10
Ireland.........................................................              15               4              19
Italy...........................................................  ..............             162             162
Japan...........................................................              10             190             200
Luxembourg......................................................               1               2               3
Netherlands.....................................................             131              38             169
New Zealand.....................................................               2  ..............               2
Norway..........................................................              42  ..............              42
Portugal........................................................              15               7              22
Spain...........................................................              15             113             128
Sweden..........................................................              28              20              48
Switzerland.....................................................              30              30              60
United Kingdom..................................................              36             280             316
United States...................................................  ..............             600             600
                                                                 -----------------------------------------------
    Total.......................................................             509           1,974           2,483
----------------------------------------------------------------------------------------------------------------

    The Committee supports the noble mission undertaken by vast 
numbers of private citizens, civic organizations, and religious 
leaders to forgive poor country debt during the jubilee 
millennium year of 2000. It is the Committee's view, based on 
more than a half century of experience in funding foreign 
assistance, that the elaborate HIPC Initiative will be 
extremely difficult to implement. Public and private vigilance 
will be required to ensure that domestic budgetary savings 
resulting from reduced sovereign debt payments under the HIPC 
Initiative will, in fact, be used by poor country governments 
solely for economic growth and social/health activities aimed 
at poverty alleviation. The Committee has found itself unable 
to obtain from official sources basic information about HIPC, 
such as the amount of actual cash flow savings by participants. 
Instances of questionable expenditures by initial HIPC 
participants, such as Uganda's lease-purchase of an advanced 
corporate jet aircraft for its president, have reinforced the 
Committee's deliberate and cautious approach to funding for the 
HIPC Trust Fund.

             conditions on contributions to hipc trust fund

    The Committee has included bill language prohibiting United 
States contributions to the HIPC Trust Fund on behalf of any 
country credibly reported to be a gross violator of 
internationally recognized human rights or is engaged in a 
civil or military conflict that undermines its ability to 
fulfill the HIPC criteria regarding poverty alleviation.
    The Committee also has recommend bill language that 
conditions funding for the HIPC Trust Fund on Agreement that 
new lending to HIPC participants by beneficiary multilateral 
development banks be deferred for up to 30 months. It is the 
Committee's intent that debt reduction under the enhanced HIPC 
Initiative not be taken as a signal for renewed lending by 
international financial institutions or export financing 
agencies. In the short-term, these countries should take a 
``time out'' from sovereign lending.

                         bolivia and mozambique

    The Committee is familiar with the progress made by the two 
countries named in bill language, Bolivia and Mozambique, and 
supports their efforts to escape from the multilateral debt 
trap and provide better economic and social opportunities for 
their citizens. The large increase recommended for this account 
is a vote of confidence in the leaders and people of Bolivia 
and Mozambique, who have earned special consideration because 
of the reforms they have undertaken with some success. Based on 
information the Committee has received from the Department of 
the Treasury, it is highly likely that all of the 
appropriations provided for debt reduction will be needed for 
Bolivia and Mozambique.

       accountability and future support for the hipc initiative

    The Committee again requests quarterly reports on 
obligations made from this account, and on the purposes for 
which the funds are obligated. During the first quarter of the 
fiscal year, the Department of the Treasury should continue to 
report to the Committee pursuant to the regular notification 
procedures of the Committees on Appropriations on the intended 
use of the funds provided in this account. Such report should 
specify the countries that would receive debt restructuring 
during fiscal year 2001. The Committee understands that credit 
ratings can fluctuate during the year, thus resulting in a 
change in the budget cost necessary to restructure debt. If the 
cost of debt relief for the poorest countries is recalculated 
upward, it will necessitate a decrease in the funds allocated 
for concessional debt relief.
    The Committee notes that section 502 of the recommended 
bill prohibits the use of any AID funds for the purpose of 
direct repayment of a foreign country's obligations to an 
international financial institution. The Debt Restructuring 
account is the sole source of funds for debt relief or debt 
forgiveness in this bill.

               International Affairs Technical Assistance





Fiscal year 2000 level................................        $1,500,000
Fiscal year 2001 request..............................         7,000,000
Committee recommendation..............................         2,000,000


    The Committee recommends $2,000,000 under this heading for 
international technical assistance by the Department of the 
Treasury, an amount that is $5,000,000 less than the request 
and $500,000 above last year's level.

       United States Community Adjustment and Investment Program





Fiscal year 2000 level................................       $10,000,000
Fiscal year 2001 request..............................        10,000,000
Committee recommendation..............................  ................


    The Committee is not recommending additional appropriations 
at this time for a domestic program for community investment 
and adjustment within the United States.

                     TITLE III--MILITARY ASSISTANCE


                  Funds Appropriated to the President


             International Military Education and Training





Fiscal year 2000 level................................       $50,000,000
Fiscal year 2001 request..............................        55,000,000
Committee recommendation..............................        52,500,000


    The Committee recommends $52,500,000 for the International 
Military Education and Training program, which represents an 
increase of $2,500,000 above the fiscal year 2000 level but is 
$2,500,000 below the requested level.

                        indonesia and guatemala

    The Committee includes prior year bill language limiting 
Indonesia and Guatemala to Expanded IMET only. Funding for 
Indonesia is subject to notification.

                             expanded imet

    The Committee strongly supports the continuation of 
Expanded IMET (E-IMET) programs. In that regard, the Committee 
notes that part of the success of the E-IMET programs is 
dependent on appropriate equipment critical to the learning 
process. For example, equipment that enhances simultaneous 
translation capacity or remote or distance learning 
teleconferencing could greatly advance the reach and efficiency 
of E-IMET programs. Yet, there is no consideration within the 
program budget for such needs. Consequently, the Committee 
requests that the Administration make funds available within 
the E-IMET program as needed to support equipment and other 
infrastructure requirements of E-IMET programs.
    The Committee is aware of a proposal by the Center for 
Civil-Military Relations (CCMR) at the Naval Postgraduate 
School for a peacebuilding curriculum that would provide the 
expertise, problem-solving and management skills for a cadre of 
peacebuilding experts who would plan for and conduct 
peacekeeping and post-peacekeeping development operations. The 
Committee urges the Department of Defense and the Department of 
State to consider funding the costs of foreign students 
attending CCMR for this purpose.

                  report on foreign military training

    The Committee has continued a general provision (sec. 571) 
requiring a detailed report on foreign military training. The 
bill language requires the Secretary of Defense and the 
Secretary of State to jointly provide to the Congress by March 
1, 2001, a report on all overseas military training provided to 
foreign military personnel under programs administered by the 
Department of Defense and the Department of State during fiscal 
years 2000 and 2001, including those proposed for fiscal year 
2001. This report shall include, for each such military 
training activity, the foreign policy justification and purpose 
for the training activity, the cost of the training activity, 
the number of foreign students trained and their units of 
operation, and the location of the training. The report does 
not cover training associated with military sales or training 
for personnel from countries belonging to the North Atlantic 
Treaty Organization. In addition, this report shall also 
include, with respect to United States personnel, the 
operational benefits to United States forces derived from each 
such training activity and the United States military units 
involved in each such training activity. This report may 
include a classified annex if deemed necessary and appropriate. 
However, the Committee emphasizes strongly that it expects this 
report to be unclassified and believes that the classified 
annex should be used only when necessary to protect 
intelligence sources or methods.

                         school of the americas

    While funds in this Act are not the primary funding source 
for the School of the Americas, the Committee continues to 
carefully review the activities of the School of the Americas 
to make certain that grant IMET funds used to support students 
at the School are being appropriately utilized to support 
United States national security objectives and to improve the 
professionalism of Latin American militaries. As a result, the 
Committee includes prior year bill language which makes clear 
the Committee's intent that the School not engage in any 
inappropriate training activities. To support this objective, 
the Committee withholds the obligation of IMET funds to support 
training at the School of the Americas until the Secretary of 
Defense certifies that the instruction and training provided by 
the School of the Americas is fully consistent with training 
and doctrine, particularly with respect to the observance of 
human rights, provided by the Department of Defense to United 
States military students at Department of Defense institutions 
whose primary purpose is to train United States military 
personnel. It is not the intent of the Committee that ``fully 
consistent'' be interpreted as identical to U.S. training. The 
Committee's concern is specifically with respect to human 
rights training, in which case the Committee believes training 
by the School of the Americas should be fully consistent with 
the United States Government's statutory and executive order 
obligations and limitations in this area. In addition, the bill 
requires that the Secretary of Defense submit to the Committees 
on Appropriations by January 15, 2001, a report detailing the 
training activities of the School of the Americas and a general 
assessment regarding the performance of its graduates during 
1998 and 1999.
    In order to provide an even higher level of assurance that 
funds provided for the School of the Americas are used in a 
manner that is in accordance with American values, a new 
proviso is recommended that prohibits funding for the School of 
the Americas until the Secretary of State, without delegation, 
certifies that the instruction and training provided by the 
School of the Americas is consistent with United States foreign 
policy objectives and helps support the observance of human 
rights in Latin America.

                           imet availability

    The Committee has retained language from fiscal year 2000 
which provides that, of the funds made available for IMET, 
$1,000,000 may remain available until expended.

                   Foreign Military Financing Program





Fiscal year 2000 level................................    $3,420,000,000
    Emergency supplemental funding....................     1,375,000,000
Fiscal year 2001 request..............................     3,538,200,000
Committee recommendation..............................     3,510,000,000


    The Committee recommends $3,510,000,000 in Foreign Military 
Financing grants. This program level is $1,285,000,000 below 
the fiscal year 2000 level and $28,200,000 below the 
President's request. If emergency supplemental funding is 
excluded from the calculation, the recommended level is 
$90,000,000 above the fiscal year 2000 level. The funding level 
assumes an increase above last year's level of $60,000,000 for 
Israel, as requested by the President.

                                 israel

    The Committee recommends a total Foreign Military Financing 
(FMF) Program of not to exceed $1,980,000,000 in grants for 
Israel which shall be available within 30 days of enactment or 
by October 31, 2000, whichever is later.
    It is the Committee's view that while Israel's economy has 
improved significantly in recent years, the security situation 
in the Middle East may have worsened. Therefore, the Committee 
is convinced the United States must make every effort to carry 
out its long-standing policy of ensuring that Israel's 
technological edge is maintained. As a result, the Committee 
has provided an increase of $60,000,000 above the fiscal year 
2000 level, as requested by the President. The Committee also 
believes that a sustained military improvement program will be 
required over the next ten years, at an annual rate of 
approximately $60,000,000, to assist Israel in responding to 
these emerging security challenges. However, with respect to 
this recommended increase in military assistance, the Committee 
must be very clear that it cannot commit future Congresses to 
the future appropriation of funds. Therefore, future increases 
in military assistance will require the annual review of the 
Congress and will necessarily be based upon an assessment of 
the security situation at the time.
    The Committee also recommends that, to the extent that the 
Government of Israel requests that FMF grant funds for Israel 
be used for such purposes, and as agreed by Israel and the 
United States, funds may be made available for advanced weapons 
systems of which $520,000,000 shall be available for the 
procurement in Israel of defense articles and defense services, 
including research and development. This represents a 
$15,000,000 increase over the fiscal year 2000 level and 
reflects a recognition by the Committee of Israel's need for 
similar annual increases over the next few years in order to 
provide Israel with increased flexibility in meeting the 
emerging security challenges in the Middle East.

                                phalcon

    The Committee is very disturbed by reports that Israel is 
preparing to provide China with an airborne radar system that 
could threaten both the forces of democratic Taiwan and the 
United States in the region surrounding the Taiwan Strait. The 
Committee intends to revisit this issue as the appropriations 
process moves forward.

                                 jordan

    The Committee strongly supports the Administration's 
efforts to improve Jordanian security and therefore recommends 
full funding of the President's request of $75,000,000 for 
Jordan. Under the able leadership of the late King Hussein and 
the new King Abdullah, Jordan plays a critical role in 
supporting peace and security in the Middle East. The Committee 
is well aware that Jordan's security requirements are 
extensive, particularly in the areas of ground force 
modernization and border security.

                                 egypt

    The Committee recommends a total of not to exceed 
$1,300,000,000 in Foreign Military Financing grants for Egypt.
    Pursuant to the President's budget request bill language is 
recommended that would require that funds estimated to be 
outlayed for Egypt during fiscal year 2001 shall be disbursed 
within 30 days of enactment of this Act or by October 31, 2000, 
whichever is later. The Committee fully appreciates Egypt's 
strategic location, its immediate proximity to Libya and Sudan 
both of which have supported international terrorism; its 
critical contribution during the Gulf War in resisting Iraqi 
aggression; and its essential role in the Middle East peace 
process. The Committee is convinced that continued military 
cooperation between Egypt and the United States remains in the 
national security interests of both countries. Neverthless, the 
Committee is concerned about ongoing violence experienced by 
the Christian minority in Egypt. The Committee urges Egypt to 
expedite the investigations of the murders of 2000 and 1998 in 
Al-Kosheh, and of the 1998 interrogations.

                              the baltics

    The Committee supports continued provision of sufficient 
assistance through this account and through ``International 
Military Education and Training'' for Estonia, Latvia, and 
Lithuania. Previous years' funding has significantly supported 
the commendable efforts of these countries to attain Western 
military standards and to improve their capacities to 
contribute to international security through the provision of 
peacekeepers to international peacekeeping missions. The 
Committee urges continued support for the Baltic states at 
least at the fiscal year 2000 level.

                     partnership for peace nations

    The Committee strongly supports funding for the Partnership 
for Peace (PFP) program, and intends that most of the non-Camp 
David increase of $30,000,000 provided in this account should 
be allocated for PFP and for the North Atlantic Treaty 
Organization (NATO) accession countries, as well as for 
programs in Africa.

                   partnership for peace notification

    The Committee continues prior year language which requires 
that no FMF grant assistance shall be available for any non-
NATO country participating in the Partnership for Peace program 
except through the regular notification procedures of the 
Committees on Appropriations.

                        administrative expenses

    The Committee has recommended a limitation on 
administrative expenses of $30,495,000. This is $2,505,000 less 
than the level requested by the President and the same as the 
fiscal year 2000 level. If additional resources become 
available as the appropriations process continues, the 
Committee will revisit this issue.

                  foreign military financing surcharge

    The Committee has included a limitation on Foreign Military 
Financing operating costs of $340,000,000. This limitation may 
be waived pursuant to the regular notification procedures of 
the Committees on Appropriations. This is $10,000,000 more than 
the fiscal year 2000 level and $5,000,000 more than the 
request, but reflects updated estimates of operating costs for 
the coming fiscal year.

                          fmf expenditure rate

    The Committee continues prior year language that requires 
that Foreign Military Financing funds be expended at the 
minimum rate necessary to make timely payments for defense 
articles and services. In addition, it continues language 
providing that such funds shall be obligated upon apportionment 
in order to allow for the orderly execution of program funds.

                         procurement agreements

    The Committee has continued prior year language requiring 
recipients of Foreign Military Financing grants to sign 
agreements with the United States prior to using FMF funds to 
finance the procurement of any item not sold by the United 
States under the Arms Export Control Act.

                              prohibitions

    The Committee has included bill language prohibiting 
military assistance to Sudan and Liberia. The Administration 
did not request military assistance for Sudan or Liberia for 
fiscal year 2001. However, the Committee is concerned that 
funds requested under the Africa Regional Stability program, 
which the Committee supports, could be made available for these 
countries. Therefore, the Committee expects that the report 
required by section 653(a) of the Foreign Assistance Act will 
specify the countries which would receive allocations under the 
Africa Regional Stability program funded from this account.
    Although the Committee notes the continued implementation 
of the Guatemalan peace agreement, the Committee believes it is 
premature to remove the prohibition on military assistance for 
Guatemala in fiscal year 2001.

                        Peacekeeping Operations





Fiscal year 2000 level................................      $153,000,000
Fiscal year 2001 request..............................       134,000,000
Committee recommendation..............................       117,900,000


    The Committee recommends $117,900,000 for voluntary 
contributions for international peacekeeping operations. This 
amount is $35,100,000 below the level provided in fiscal year 
2000, and is $16,100,000 below the President's request.

               TITLE IV--MULTILATERAL ECONOMIC ASSISTANCE


                  International Financial Institutions


            Contribution to the Global Environment Facility





Fiscal year 2000 level................................       $35,800,000
Fiscal year 2001 request..............................       175,567,000
Committee recommendation..............................        35,800,000


    The Committee recommends $35,800,000 for the Global 
Environment Facility (GEF), administered by the World Bank. The 
recommendation is $139,767,000 below the request and the same 
as the amount enacted for 2000.
    In arriving at its recommendation, the Committee notes that 
concerns about the GEF serving as a ``back door'' means of 
securing developing country participation in the Kyoto Protocol 
to the Framework Convention on Climate Change appear to be 
unfounded. GEF predates the Kyoto Protocol by 6 years, and more 
than two-thirds of GEF projects support cross-border activities 
in the areas of biodiversity, clean water, and ozone layer 
protection. Almost all of its ``climate change'' program 
supports energy efficiency and clean energy projects.

       Contribution to the International Development Association





Fiscal year 2000 level................................      $775,000,000
Fiscal year 2001 request..............................       835,570,000
Committee recommendation..............................       576,600,000


    The Committee is providing $576,600,000 for an additional 
U.S. contribution to the Twelfth Replenishment of the 
International Development Association (IDA), a reduction of 
$198,400,000 below the 2000 enacted level. This is $258,970,000 
less than the amount requested by the Administration.
    In order to protect heavily indebted poor countries (HIPC) 
from falling back into the debt trap and to reduce the demand 
for additional appropriations requests for multilateral debt 
relief, the Committee has included language withholding from 
immediate obligation part of the appropriation for IDA. Release 
of these withheld funds is linked to IDA-12 making substantial 
resources available for grants in lieu of loans to countries 
that meet the HIPC scheme criteria for debt reduction based on 
economic and social development strategies.
    The Committee directs the Secretary of the Treasury to 
vigorously advocate that the upcoming pledging session for IDA 
provide all-grant assistance to each HIPC debt forgiveness 
beneficiary for a period of 3 years following its HIPC decision 
point. With respect to its support for multilateral debt 
forgiveness under certain conditions and conversion of IDA to 
an agency making poverty alleviation grants, the Committee 
concurs with the March, 2000 recommendations of the 
International Financial Institution Advisory Commission (the 
Meltzer Commission).

                              ida and iran

    Recently the World Bank resumed lending to Iran, ignoring 
the opposition of the United States and Iran's support for 
terrorist groups in the Middle East. Because of the budgetary 
situation and the Bank's decision to resume lending to Iran, 
the Committee is unable to provide the full amount requested 
for IDA-12.

      Contribution to the Multilateral Investment Guarantee Agency





Fiscal year 2000 level................................        $4,000,000
Fiscal year 2001 request..............................        16,000,000
Committee recommendation..............................         4,900,000


    The Committee is providing $4,900,000 for an additional 
U.S. payment to the World Bank's Multilateral Investment 
Guarantee Agency, an increase of $900,000 above the 2000 
enacted level. This is $11,100,000 less than the amount 
requested by the Administration.

              General Concerns About the World Bank Group


                        private sector strategy

    The Committee again commends the IDA-12 Deputies for 
recognizing the critical role undertaken by the private sector 
in developing countries. The entire World Bank Group should 
have a complementary and not competitive role with private 
sector investment in developing countries. The Committee urges 
the Secretary of the Treasury to work with the World Bank Group 
to develop a private sector strategy that is consistent with 
its commitment to sustainable economic growth, including a 
social and environmental investment screen for World Bank Group 
lending that supports the private sector.

                               Montenegro

    The Committee is aware that, as a part of the Federal 
Republic of Yugoslavia, the Republic of Montenegro currently is 
unable to access World Bank financing. The World Bank's charter 
prohibits use of its regular resources for the benefit of non-
members. However, in cases that its Board determines to be 
exceptional (e.g. Kosovo, West Bank/Gaza), the Bank can provide 
grants from its net income, administer and coordinate bilateral 
resources, and provide technical assistance. The Committee 
believes Montenegro is an exceptional case and should be deemed 
so by the World Bank Board. The current government in 
Montenegro is committed to a democratic, multi-ethnic society 
and should not be penalized due to the actions of the federal 
government in Belgrade. The Committee strongly urges the 
Department of the Treasury and the United States Executive 
Director at the World Bank to take all steps necessary to 
persuade the Bank to provide grant aid and technical assistance 
to the Republic of Montenegro.

                         environment and energy

    The Committee continues to be disappointed that overall the 
World Bank Group has failed to shift its lending portfolios 
toward environmentally sustainable economic development. AID 
data show a decrease in lending for environmental projects 
since 1994, while projects with potentially irreversible 
environmental impacts continue to dominate the portfolio.
    The Committee recommends that the Bank expand its current 
negative investment list to include projects that cause 
potentially irreversible harm to the environment as defined by 
internationally recognized standards, such as projects using 
persistent organic pollutants (POP). The exclusion list 
maintained by the Overseas Private Investment Corporation could 
be used as a model. The Committee directs the Secretary of the 
Treasury to work with the World Bank on expansion of its 
``negative list'' and to report to the Committee on progress 
made on this matter not later than March 1, 2001.
    The Committee is aware that there is ample private 
financing for the energy sector in most developing countries, 
although inappropriate forms of public control have acted as a 
significant investment barrier in some. It is also aware that 
over the past 25 years, energy remains a valuable resource but 
is no longer scarce. Central Asia and Africa are now recognized 
as important future alternatives to dependence on Middle East 
fossil fuel energy, and wind power is becoming commercially 
viable in some regions. The Committee no longer anticipates a 
global energy shortage in the foreseeable future. However, 
where affordable and cleaner energy is not available, job 
growth, poverty alleviation, and health improvement all come to 
an abrupt halt and often decline.
    As the primary justification for using public money in the 
energy and extractive sectors is to underpin economic 
development with sound policy, both technical assistance 
through AID and financial participation by the multilateral 
banks must focus on putting into place new policies, laws, and 
regulations that would otherwise not occur. These serve to 
insure that the income from valuable natural resources benefits 
the population at large, not just a few officials at the 
receiving end of the transaction. The involvement of AID, OPIC 
or the World Bank can provide support for the efforts of United 
States companies that seek to protect the environment and 
corporate reputations in their dealings with foreign leaders 
who demonstrate minimal concern for the welfare of their own 
citizens or good governance.

                               education

    The Committee commends the World Bank for its renewed 
commitment to education lending, as articulated at the World 
Education Forum in Senegal. The World Bank's efforts to help 
developing countries attain the goal of universal, free basic 
education by 2015 will be critical if these countries are to 
meet this objective. The Committee directs the Secretary of the 
Treasury to report to the Committee not later than March 15, 
2001, on the progress of the World Bank's education sector 
programs.

 environmental and social assessment of structural adjustment programs

    The Committee notes that more than three-eighths of the 
World Bank's portfolio supports structural adjustment. This 
type of lending is exempt from the environmental assessment 
guidelines that cover individual projects. An internal World 
Bank study concluded that the Bank rarely considers the 
environmental and social impacts of these loans when they are 
in the design process. The Committee directs the Secretary of 
the Treasury and the U.S. Executive Director at the World Bank 
to work with management to institute a dynamic, participatory 
process to assess the environmental and social impacts of 
structural adjustment loans, and to report to the Committee on 
progress toward this goal not later than June 15, 2001.

                        the global AIDS epidemic

    The Committee commends the World Bank for increasing its 
attention to the world AIDS epidemic. The Committee requests 
that the Secretary of the Treasury provide the Committee with a 
brief, written update by February 1, 2001, on the World Bank 
Group's global AIDS activities. The update should focus on how 
the Bank is measuring the success of its programs relative to 
the five year goals on prevention and care promulgated by the 
UNAIDS program.

              environmental and social safeguard policies

    Although the World Bank has instituted social and 
environmental safeguard policies on issues including indigenous 
peoples, involuntary resettlement, and information disclosure, 
the Committee notes that implementation has not been 
consistent. The Bank's approval of the China Western Poverty 
Reduction Project in June, 1999, indicates that the institution 
continues to face a gap between policy and practice. The 
Committee directs the Secretary of the Treasury and the U.S. 
Executive Director at the World Bank to work with the Bank 
management to create an incentives framework to ensure that 
these policies are implemented in a consistent manner 
throughout the Bank.
    The Committee is aware that the Executive Board of the 
World Bank recently approved a Chad-Cameroon petroleum project, 
a public-private partnership which is expected to help the 
people of Chad by increasing annual revenues for Chad by up to 
50 percent. The Committee expects the World Bank to provide 
fair compensation, both for lost income and lost property, to 
families who may be displaced when oil production begins. In 
order to promote full implementation of the exceptional 
environmental and social safeguards associated with this 
project, the Committee recommends that the World Bank establish 
an independent evaluation panel, including a balanced cross-
section of affected, indigenous organizations in Chad and 
Cameroon and the public/private partners in the project. The 
evaluation panel would allow for ongoing, informal and 
unimpeded public consultation on the costs and benefits 
associated with the project.

                            inspection panel

    The Committee continues its interest in the functioning of 
the World Bank's Independent Inspection Panel. Future support 
for the World Bank Group by the Committee may be linked to the 
Inspection Panel's ability to function in an unimpeded and 
effective manner.
    The Committee urges World Bank management to publicly 
disclose the Inspection Panel's findings on its investigation 
of the China Western Poverty Reduction Project in advance of 
action by the Executive Board to proceed with implementation of 
the project.

                 Inter-American Development Bank Group

    The Committee notes that for the first time in many years 
there is no request for additional purchases of ordinary or 
callable capital stock of the Inter-American Development Bank. 
For the second year, there is no request for the Bank's 
concessional window, the Fund for Special Operations, which is 
now self-sustaining as a result of repayments of prior year 
loans. Nonetheless, the Inter-American Development Bank expects 
to benefit from appropriations provided under the heading 
``Debt Restructuring'' in title II for the purpose of repaying 
unsustainable loans previously incurred by heavily indebted 
poor countries in the region.

                 Inter-American Investment Corporation





Fiscal year 2000 level................................       $16,000,000
Fiscal year 2001 request..............................        34,000,000
Committee recommendation..............................         8,000,000


    The Committee recommends an appropriation of $8,000,000 of 
the scheduled annual United States purchase of share capital of 
the Inter-American Investment Corporation. The recommendation 
is $26,000,000 less than the request and $8,000,000 less than 
the 2000 enacted level. Because of budgetary constraints, the 
Committee is unable to provide funds for purchases of equity 
capital that are past due.
    For the past 10 years, the Inter-American Investment 
Corporation has supported small and medium private enterprises 
in Latin America and the Caribbean through strategic equity 
investments and loans. The small and medium enterprise sector 
is the major source of new jobs and economic growth in the 
region, but is generally overlooked by multilateral banks that 
focus on the public sector and bilateral donor agencies that 
focus on microenterprise credit. The current policy of limiting 
loans and equity investments to companies owned by Latin 
American and Caribbean entrepreneurs is under review. The 
Committee commends the Corporation for its efforts to promote 
investment in the Caribbean region.

                      Multilateral Investment Fund





Fiscal year 2000 level................................  ................
Fiscal year 2001 request..............................       $25,900,000
Committee recommendation..............................        10,000,000


    The Committee recommends an appropriation of $10,000,000 
for the Multilateral Investment Fund, a level that is 
$15,900,000 less than the request. An additional $10,000,000 
from the United States will release a substantial part of the 
$140,000,000 already made available by other member countries.

                      Asian Development Bank Group

    There is no request in the 2001 budget for paid-in or 
callable capital stock of the Asian Development Bank.

               Contribution to the Asian Development Fund





Fiscal year 2000 level................................       $77,000,000
Fiscal year 2001 request..............................       125,000,000
Committee recommendation..............................        72,000,000


    The Committee recommends an appropriation of $72,000,000 
for the concessional Asian Development Fund, an amount that is 
$5,000,000 below the amount provided in fiscal year 2000 and 
$53,000,000 less than the amount requested.

                        African Development Bank





Fiscal year 2000 level................................        $4,100,000
Fiscal year 2001 request..............................         6,100,000
Committee recommendation..............................         3,100,000


    The Committee recommends an appropriation of $3,100,000 for 
the African Development Bank, an amount that is $1,000,000 
below the amount provided in fiscal year 2000 and $3,000,000 
below the amount requested for fiscal year 2001.

                    (Limitation on callable capital)




Fiscal year 2000 level................................     ($64,000,000)
Fiscal year 2001 request..............................      (95,983,000)
Committee recommendation..............................      (49,574,000)


    The African Development Bank expects to benefit from 
appropriations provided under the heading ``Debt 
Restructuring'' in title II for the purpose of repaying 
unsustainable loans previously incurred by heavily indebted 
poor countries in the region.

              Contribution to the African Development Fund





Fiscal year 2000 level................................      $128,000,000
Fiscal year 2000 request..............................       100,000,000
Committee recommendation..............................        72,000,000


    The recommendation for the soft loan African Development 
Fund is $72,000,000, $56,000,000 below the amount provided in 
fiscal year 2000, and $28,000,000 less than the amount 
requested.

  Contribution to the European Bank for Reconstruction and Development


                            paid-in capital




Fiscal year 2000 level................................       $35,778,717
Fiscal year 2001 request..............................        35,778,717
Committee recommendation..............................        35,778,717


                    (Limitation on callable capital)




Fiscal year 2000 level................................    ($123,237,803)
Fiscal year 2001 request..............................     (123,237,803)
Committee recommendation..............................     (123,237,803)


    The Committee is recommending $35,778,717 for the European 
Bank for Reconstruction and Development. This amount is 
identical to the appropriation provided in fiscal year 2000 and 
the same as the President's request.

  Contribution to the International Fund for Agricultural Development





Fiscal year 2000 level................................      ($5,000,000)
Fiscal year 2001 request..............................       (5,000,000)
Committee recommendation..............................         5,000,000


    The Committee is restoring a separate appropriation for the 
International Fund for Agricultural Development, reflecting the 
assumption of responsibility for this multilateral institution 
by the Department of the Treasury in February, 2000. The fiscal 
year 2001 recommendation is $5,000,000, the same as the request 
and the amount provided in 2000, equally divided between the 
``Development Assistance'' and ``International Organizations 
and Programs'' accounts.

                International Organizations and Programs





Fiscal year 2000 level................................      $183,000,000
Fiscal year 2001 request (under fiscal year 2000             199,000,000
 account structure)...................................
Committee recommendation..............................       183,000,000


    The Committee has recommended $183,000,000 for 
International Organizations and Programs. This is the same as 
the fiscal year 2000 level. As in fiscal year 2000, the 
Committee recommends $110,000,000 for a grant to UNICEF in the 
``Child Survival and Disease Programs Fund'' under title II. 
Further, the Committee is recommending funding for the Global 
Alliance for Vaccines and Immunizations (GAVI) in the ``Child 
Survival and Disease Programs Fund'' account as well. 
Therefore, on a comparable basis, the recommendation is 
$16,000,000 below the President's request.
    The Committee recommendation also continues prior year bill 
language prohibiting the use of funds for the Korean Peninsula 
Energy Development Organization (KEDO) or the International 
Atomic Energy Agency (IAEA). Both organizations are funded 
under ``Nonproliferation, Anti-Terrorism, Demining and Related 
Programs''.
    The Committee requires the Department of State to report 
back to the Committee within 90 days and submit all United 
Nations Fund For Population Activities (UNFPA) agreements that 
have been signed with local, provincial and national 
governments of China relating to administration of UNFPA 
programs in China.

                   united nations development program

    The Committee supports efforts by the new administrator of 
the United Nations Development Program (UNDP) to reform and 
focus the institution on a limited number of achievable goals, 
principally on improving governance in poor and developing 
countries. The Committee's recommendation supports the budget 
request of $90,000,000 for UNDP.

                  international conservation programs

    The Committee supports continued U.S. contributions to the 
World Conservation Union (IUCN) and the important programs that 
IUCN assists in implementing. As the world becomes more focused 
on protecting its environment, IUCN plays a critical role in 
developing conservation initiatives and facilitating the 
protection of the environment without compromising expansion of 
economies. The Committee recommends that the State Department 
increase its support for IUCN within the International 
Conservation Programs account.

          united nations voluntary fund for victims of torture

    The Committee supports not less than $3,000,000 for the 
U.S. contribution to the UN Voluntary Fund for Victims of 
Torture. Assisting these centers not only reinforces U.S. 
opposition to human rights violations but has proven to be an 
effective method for lessening the incidence of torture and 
promotes human rights and democracy abroad.

                      TITLE V--GENERAL PROVISIONS

    The Committee recommends that several of the general 
provisions carried in the fiscal year 2000 act be deleted. 
These provisions are either addressed elsewhere in permanent 
law, have been considered by the appropriate authorizing 
committee, or are no longer necessary.
    The Committee recommends the following new and revised 
general provisions.
    Sec. 508, ``Military Coups'' is modified to specify that 
funds shall be prohibited for any country whose duly elected 
head of government is deposed by decree or military coup; prior 
year language could have been read to apply only to situations 
in which a military coup or military decree resulted in a 
leader being deposed.
    Sec. 510, ``Deobligation/Reobligation Authority'' is 
modified by removing subsection (a), which would have allowed 
the deobligation and reobligation of funds appropriated to 
carry out the Foreign Assistance Act of 1961; this provision is 
no longer used. Subsection (b), regarding funds appropriated to 
carry out the Arms Export Control Act, would be retained.
    Sec. 511, ``Availability of Funds'' is modified to add 
funds appropriated to carry out chapter 12 of part I of the 
Foreign Assistance Act to the list of funds that may remain 
available until expended if obligated before the expiration of 
their periods of availability, and to nullify the final proviso 
of title VI of the fiscal year 2000 appropriations act.
    Sec. 517, ``Independent States of the Former Soviet Union'' 
is modified by deleting subsection (b), and by modifying the 
notification requirement with regard to independent states 
other than Russia and Ukraine.
    Sec. 520, ``Special Notification Requirements'' is modified 
to delete Pakistan and Panama and add Eritrea, Ethiopia, and 
Zimbabwe.
    Sec. 522, ``Child Survival and Disease Prevention 
Activities'' is modified by deleting the final proviso that 
would have allowed funds made available for family planning 
activities to be made available notwithstanding section 512 of 
this Act and section 620(q) of the Foreign Assistance Act.
    Sec. 526, ``Democracy in China'' is modified by adding 
language to allow for grants to be made to the National 
Endowment for Democracy (NED) in a manner consistent with 
section 503(a) of the National Endowment for Democracy Act and 
certain Comptroller General decisions; to allow NED to be 
deemed the ``awarding agency'' for purposes of implementing OMB 
Circular A-122; to allow up to $1,000,000 for support of 
nongovernmental organizations located outside China to support 
activities which preserve cultural traditions and promote 
sustainable development and environmental conservation in 
Tibetan communities in that country; and to modify language 
from the fiscal year 2000 Act to allow for a grant to the 
Jamestown Foundation.
    Sec. 527, ``Prohibition on Bilateral Assistance to 
Terrorist Countries'' is modified by deleting a provision that 
would have waived all other provisions of law.
    Sec. 528, ``Report on Implementation of Supplemental 
Appropriations'' is a new general provision requiring four 
quarterly reports from the Secretary of State on the use of 
funds appropriated under title VI of the Foreign Operations, 
Export Financing, and Related Programs Appropriations Act, 
2000.
    Sec. 530, ``Stingers in the Persian Gulf Region'' is 
modified to allow the United States to sell or make available 
Stingers to any country bordering the Persian Gulf in order to 
replace, on a one-for-one basis, Stingers previously furnished 
to such a country, provided that the Stingers to be replaced 
are nearing the scheduled expiration of their shelf-life.
    Sec. 538, ``Special Authorities'' is modified to remove the 
references to Romania and Kosovo, which are no longer 
necessary, and to extend the authority of chapter 4 of part II 
of the Foreign Assistance Act to subsection (b).
    Sec. 539, ``Policy on Terminating the Arab League Boycott 
of Israel and Normalizing Relations with Israel'' is modified 
by changing the title; by adding language noting that only 
three Arab League nations have full diplomatic relations with 
Israel; by adding language asking the President to urge Arab 
countries to normalize their relations with Israel; and 
requiring an annual report to Congress on the specific steps 
being taken by the United States and the progress achieved to 
end the Arab League boycott of Israel and to expand the process 
of normalizing ties between Arab League countries and Israel.
    Sec. 540, ``Administration of Justice Activities'' is 
modified by changing the heading from ``Anti-Narcotics 
Activities''.
    Sec. 541, ``Eligibility for Assistance'' is modified to add 
funds appropriated to carry out chapter 12 of part I of the 
Foreign Assistance Act to the list of funds that may be used to 
provide assistance to nongovernmental organizations 
notwithstanding other restrictions on assistance to a country.
    Sec. 553, ``Landmines'' is modified by deleting a proviso 
that changed permanent law.
    Sec. 558, ``Limitation on Assistance for Haiti'' is 
modified by conditioning assistance to the Government of Haiti 
on the holding of free and fair elections and full cooperation 
with United States efforts to halt the transshipment of illicit 
drugs through Haiti to the United States.
    Sec. 561, ``Haiti'' is modified by deleting the Haitian 
National Police from the organizations in Haiti that are 
eligible to purchase defense articles and services.
    Sec. 568, ``Assistance for the Middle East'' is modified by 
reducing the cap on Middle East spending from $5,321,150,000 to 
$5,221,150,000.
    Sec. 572, ``Korean Peninsula Energy Development 
Organization'' is modified by limiting funds for KEDO to 
$35,000,000 with one rather than two branches of funding, and 
providing certification requirements similar to those included 
in the fiscal year 2000 act.
    Sec. 575, ``Iraq Opposition'' is modified by authorizing 
rather than mandating up to $8,000,000 for Iraqi democratic 
opposition groups and up to $2,000,000 for groups and 
activities seeking to prosecute Saddam Hussein and other Iraqi 
officials for war crimes; in addition, no funds may be made 
available for administrative expenses of the Department of 
State.
    Sec. 576, ``Agency for International Development Budget 
Justification'', is modified to clarify terms and establish a 
linkage with section 515 of the Act.
    Sec. 579, ``Indonesia'' is modified by conforming the 
restriction on ``International Military Education and 
Training'' with the limitation on Indonesia included under that 
heading and by updating subsection (4) to reflect the 
termination of UNTERFET.
    Sec. 580, ``Man and the Biosphere'' is modified by removing 
the limitation on programs in the United States.
    Sec. 582, ``Restriction on United States Assistance for 
Certain Reconstruction Efforts in Central Europe'' is modified 
by applying the provision on the procurement of United States 
origin articles and services to all of Eastern Europe, rather 
than just southeast Europe, and removing the subsection on 
definitions.
    Sec. 583, ``Restrictions on Assistance to Governments 
Destabilizing Sierra Leone'' is a new provision regarding the 
prohibition of funds to governments engaged in certain 
activities involving rebels in Sierra Leone.
    Sec. 584, ``Voluntary Separation Incentives'' amends 
existing law to provide additional authority for the Agency for 
International Development to extend voluntary separation 
incentives to certain employees.
    Sec. 585, ``Working Capital Fund'', is a new provision that 
allows the Agency for International Development to establish a 
working capital fund.
    Sec. 588, ``American Churchwomen in El Salvador'', is 
modified to delete the reporting requirement.
    Sec. 589, ``HIPC Trust Fund Conditions'', is a new section 
that provides that beginning in fiscal year 2002, funds shall 
be appropriated for the HIPC Initiative only under certain 
specified conditions.
    Sec. 590 is a new general provision providing that none of 
the funds made available in this Act may be used to pay for the 
performance of abortion or to lobby for or against abortion.
    Sec. 591, ``Procurement and Financial Management Reform'', 
is a new section that withholds funds from international 
financial institutions until the Secretary of the Treasury 
certifies that the institution is implementing certain anti-
corruption measures.

               provisions retained from fiscal year 2000

    The following general provisions from the fiscal year 2000 
Act are retained in the fiscal year 2001 Act unchanged except 
for technical corrections, references to fiscal year 2001, and 
new section numbers where appropriate:
    Sec. 501. Obligations During Last Month of Availability.
    Sec. 502. Prohibition of Bilateral Funding for 
International Financial Institutions.
    Sec. 503. Limitation on Residence Expenses.
    Sec. 504. Limitation on Expenses.
    Sec. 505. Limitation on Representational Allowances.
    Sec. 506. Prohibition on Financing Nuclear Goods.
    Sec. 507. Prohibition Against Direct Funding of Certain 
Countries.
    Sec. 509. Transfers Between Accounts.
    Sec. 512. Limitation on Assistance to Countries in Default.
    Sec. 513. Commerce and Trade.
    Sec. 514. Surplus Commodities.
    Sec. 515. Notification Requirements.
    Sec. 516. Limitation on Availability of Funds for 
International Organizations and Programs.
    Sec. 518. Prohibition on Funding for Abortions and 
Involuntary Sterilization.
    Sec. 519. Export Financing Transfer Authorities.
    Sec. 521. Definition of Program, Project, and Activity.
    Sec. 523. Prohibition Against Indirect Funding to Certain 
Countries.
    Sec. 524. Notification on Excess Defense Equipment.
    Sec. 525. Authorization Requirement.
    Sec. 529. Competitive Insurance.
    Sec. 531. Debt-for-Development.
    Sec. 532. Separate Accounts.
    Sec. 533. Compensation for U.S. Executive Directors to 
International Financial Institutions.
    Sec. 534. Compliance with United Nations Sanctions against 
Iraq.
    Sec. 535. Authorities for the Peace Corps, The Inter-
American Foundation and the African Development Foundation.
    Sec. 536. Impact on Jobs in the United States.
    Sec. 537. Funding Prohibition for Serbia.
    Sec. 542. Earmarks.
    Sec. 543. Ceilings and Earmarks.
    Sec. 544. Prohibition on Publicity and Propaganda.
    Sec. 545. Purchase of American-made Equipment and Products.
    Sec. 546. Prohibition of Payments to United Nations 
Members.
    Sec. 547. Consulting Services.
    Sec. 548. Private Voluntary Organizations--Documentation.
    Sec. 549. Prohibition on Assistance to Foreign Countries 
that Export Lethal Military Equipment to Countries Supporting 
International Terrorism.
    Sec. 550. Withholding of Assistance for Parking Fines Owed 
by Foreign Countries.
    Sec. 551. Limitation on Assistance for the PLO for the West 
Bank and Gaza.
    Sec. 552. War Crimes Tribunals Drawdown.
    Sec. 554. Restrictions Concerning the Palestinian 
Authority.
    Sec. 555. Prohibition of Payment of Certain Expenses.
    Sec. 556. Special Debt Relief for the Poorest.
    Sec. 557. Authority to Engage in Debt Buybacks or Sales.
    Sec. 559. Requirement for Disclosure of Foreign Aid in 
Report of Secretary of State.
    Sec. 560. Restrictions on Voluntary Contributions to United 
Nations Agencies.
    Sec. 562. Limitation on Assistance to the Palestinian 
Authority.
    Sec. 563. Limitation on Assistance to Security Forces.
    Sec. 564. Restrictions on Assistance to Countries Providing 
Sanctuary to Indicted War Criminals.
    Sec. 565. To Prohibit Foreign Assistance to the Government 
of the Russian Federation Should it Enact Laws Which Would 
Discriminate Against Minority Religious Faiths in the Russian 
Federation.
    Sec. 566. Greenhouse Gas Emissions.
    Sec. 567. Aid to the Government of the Democratic Republic 
of the Congo.
    Sec. 569. Enterprise Fund Restrictions.
    Sec. 570. Cambodia.
    Sec. 571. Foreign Military Financing Report.
    Sec. 573. African Development Foundation.
    Sec. 574. Prohibition on Assistance to the Palestinian 
Broadcasting Corporation.
    Sec. 577. Kyoto Protocol.
    Sec. 578. West Bank and Gaza Program.
    Sec. 581. Consultations on Arms Sales to Taiwan.
    Sec. 586. Contributions to United Nations Population Fund.
    Sec. 587. Authorization for Population Planning.

TITLE VI--MOZAMBIQUE, MADAGASCAR AND SOUTHERN AFRICA REHABILITATION AND 
                             RECONSTRUCTION


                     Bilateral Economic Assistance


                  Funds Appropriated to the President


                  Agency for International Development

                   International Disaster Assistance




Fiscal year 2000 level................................  ................
Fiscal year 2000 emergency supplemental budget request      $200,000,000
Committee recommendation..............................       160,000,000


    The Committee recommends $160,000,000 for emergency 
supplemental appropriations for Mozambique, Madagascar, and 
southern Africa rehabilitation and reconstruction in the 
aftermath of cyclones Gloria, Eline, and Hudah. These funds are 
provided for the ``International Disaster Assistance'' account. 
The emergency supplemental budget request, transmitted to 
Congress on April 21, 2000, totaled $200,000,000, to be 
provided through the ``Economic Support Fund'', ``International 
Disaster Assistance'' and AID ``Operating Expenses'' accounts. 
All of these funds are made available only to the extent that 
the President makes an official budget request that includes 
designation of the entire amount as an emergency requirement.
    In addition to these funds, the Committee has been made 
aware that the overall United States Government commitment to 
Mozambique, Madagascar, and the rest of the region so far 
totals more than $40,000,000 and AID intends to reprogram 
$32,000,000 in existing funds for regional rehabilitation and 
reconstruction efforts. Therefore, including funds recommended 
under this title, the United States response to these cyclones 
is expected to total more than $232,000,000 as described below.

 United States Support for Mozambique, Madagascar, and Southern Africa 
                   Reconstruction and Rehabilitation




AID Office of Foreign Disaster Assistance.............       $19,174,279
AID Existing Funds Reprogrammed.......................        32,000,000
Department of Defense.................................        21,000,000
Committee Emergency Supplemental recommendation.......       160,000,000
                                                       -----------------
    Total.............................................       232,174,279


    The Committee expects that the majority of funds will be 
provided for Mozambique and Madagascar, which suffered the most 
damage from these cyclones and the resultant flooding. The 
Committee expects AID to provide funding to Mozambique, 
Madagascar, and Botswana at the requested level. Funds for 
other countries in the region and support for the Southern 
Africa Development Community (SADC) are not the priority for 
these supplemental funds. The Committee directs that no funds 
be made available to the government of Zimbabwe. Further, the 
Committee has included bill language prohibiting the use of 
funds under this title for nonproject assistance. Also, to 
ensure that projects can proceed without interruption, the 
Committee allows up to $12,000,000 of the funds appropriated 
under this title to be charged to obligations of previously 
appropriated funds. The Committee provides that up to 
$5,000,000 of the funds under this title may be used for 
administrative purposes, and may be merged with AID's operating 
expenses budget.
    The Committee commends the efforts of the Agency for 
International Development, the Department of Defense and the 
Department of State for their immediate response to the 
humanitarian crisis created by these cyclones. However, the 
Committee is concerned about the United States Government's 
ability to swiftly engage in longer-term rehabilitation efforts 
in Mozambique, Madagascar and southern Africa. The Committee 
notes that AID's reconstruction efforts in Central America have 
progressed very slowly. In fact, the majority of emergency 
supplemental funds appropriated in response to Hurricane Mitch 
in Central America more than one year ago have not yet been 
expended.
    The Administrator of AID is directed to report in writing 
to the Committees on Appropriations prior to the obligation of 
any funds under this title. The report shall include a detailed 
plan regarding a description of the projects and programs to be 
carried out with these funds; the exact uses of administrative 
expenses; and the Bureau within AID primarily responsible for 
carrying out these projects. The Committee supports the 
Administration's proposal that AID develop a detailed 
implementation plan, which includes project milestones, against 
which progress can be measured, and expects these milestones to 
be included in AID's report to the Committee. AID is directed 
to consult with the Committee at the earliest date regarding 
the proposed uses of funds under this title.

              House of Representatives Report Requirements


                           Transfer of Funds

    Pursuant to clause 3(f)(2) of rule XIII of the Rules of the 
House of Representatives, the following is submitted describing 
the transfer of funds provided in the accompanying bill. There 
are no transfers recommended in the accompanying bill.

                              Rescissions

    Clause 3(f)(2) of rule XIII of the Rules of the House of 
Representatives requires a separate listing of rescissions. 
There are no rescissions recommended in the accompanying bill.

                        Constitutional Authority

    Clause 3(d)(1) of rule XIII of the Rules of the House of 
Representatives states that:

          Each report of a committee on a bill or joint 
        resolution of a public character, shall include a 
        statement citing the specific powers granted to the 
        Congress in the Constitution to enact the law proposed 
        by the bill or joint resolution.

    The Committee on Appropriations bases its authority to 
report this legislation from Clause 7 of Section 9 of Article I 
of the Constitution of the United States of America which 
states:

          No money shall be drawn from the Treasury but in 
        consequence of Appropriations made by law * * *

    Appropriations contained in this Act are made pursuant to 
this specific power granted by the Constitution.

               Changes in the Application of Existing Law

    Pursuant to clause 3(f), rule XIII of the Rules of the 
House of Representatives, the following statements are 
submitted describing the effects of provisions in the 
accompanying bill which directly or indirectly change the 
application of existing law. Most of the language has been 
provided in previous measures including supplementals for the 
departments and agencies carried in the accompanying bill.
    1. The bill contains appropriations for a number of items 
for which authorizations for fiscal year 2001 have not yet been 
enacted. The bill allows funds appropriated in the bill to be 
obligated in the absence of a prior authorization of 
appropriations.
    2. The bill provides that a few of the appropriations shall 
remain available for obligation beyond the current fiscal year. 
In all cases it is deemed desirable to carry such language in 
order to provide for orderly administration of such programs 
and effective use of funds.
    3. The bill contains a number of general provisions and 
other language which have been carried in the bill in past 
years.
    4. Under ``Export-Import Bank of the United States'', funds 
are prohibited for the export of nuclear equipment, fuel, or 
technology to any country other than a nuclear-weapon state as 
defined in Article IX of the Treaty on the Non-Proliferation of 
Nuclear Weapons eligible to receive economic or military 
assistance that has detonated a nuclear explosive after the 
date of enactment.
    5. Under ``Overseas Private Investment Corporation'', the 
Corporation is authorized to make expenditures, and it is 
stated that administrative expenses shall not include project-
specific costs and other related costs. In addition, funds are 
authorized to be derived by transfer from the noncredit 
account. Finally, funds are authorized for administrative 
expenses by transfer from the noncredit account.
    6. Under ``Child Survival and Disease Programs Fund'' the 
bill contains authorities for the use of the fund that were 
contained in the fiscal year 2000 Act and are consistent with 
the Foreign Assistance Act; in addition, funds may be made 
available for nonproject assistance only for ongoing health 
programs; in addition, language is provided that indicates how 
the funds should be allocated among various activities, and up 
to $37,500,000 is authorized to be made available for a 
contribution to the Global Fund for Children's Vaccines; in 
addition, $19,000,000 is designated as emergency funding.
    7. Under ``Development Assistance'' the bill contains 
provisions relating to abortion and family planning that were 
carried in the fiscal year 2000 Act; in addition, up to 
$10,000,000 may be made available for the Inter-American 
Foundation and up to $16,000,000 may be made available for the 
African Development Foundation, and funds are apportioned 
directly to those organizations; in addition, no funds may be 
made available for any activity which is in contravention to 
the Convention on International Trade in Endangered Species of 
Flora and Fauna (CITES); in addition, not to exceed $25,000, in 
addition to funds otherwise available for such purposes, may be 
used to monitor and provide oversight of programs for displaced 
and orphaned children and victims of war; in addition, of funds 
made available for the Microenterprise Initiative, not less 
than one-half should be made available for programs providing 
loans in the specified amounts (in 1995 United States dollars) 
to very poor people, particularly women, or for institutional 
support of organizations engaged in making such loans ($1,000 
or less in the Europe and Eurasia region, including North 
Africa; $400 or less in the Latin America region; and $300 or 
less in the rest of the world).
    8. Under ``Private and Voluntary Organizations'', the 
Committee includes a provision that funds appropriated under 
title II should be made available to PVOs at a level which is 
at least equivalent to the level provided in fiscal year 1995. 
It also continues provisions continued from last year on 
minimum funds from private sources.
    9. Under ``International Disaster Assistance'', funds are 
made available for relief, rehabilitation and reconstruction 
assistance; in addition, a new account entitled ``Transition 
Initiatives'' is established with similar authorities, 
including assistance to develop, strengthen, or preserve 
democratic institutions and processes, revitalize basic 
infrastructure, and foster the peaceful resolution of conflict; 
in addition, the new account requires a report at least 5 days 
prior to beginning a program of assistance.
    10. Under ``Development Credit Programs'', authority is 
provided to guarantee up to 70 percent of the principal amount 
of any loans notwithstanding existing law; in addition, a 
separate account ``Micro and Small Enterprise Development 
Program Account'' is retained with the same authorities as the 
fiscal year 2000 Act.
    11. Under ``Economic Support Fund'', funds are available as 
cash grants to Israel and Egypt. Funds for Israel are made 
available within 30 days of enactment or by October 31, 2000, 
whichever is later. In addition, the cash grant to Egypt is 
provided with the understanding that significant economic 
reforms will be undertaken, and the cash grant to Israel is 
provided with direction to the President that he ensure that 
the level of assistance does not cause an adverse impact on the 
level of non-military exports from the United States to such 
country and that Israel enter into a side letter agreement 
equivalent to 1999.
    12. Under ``Debt Restructuring'', funds are authorized for 
purposes consistent with existing law, except that funds 
appropriated for concessional debt relief are authorized for 
``IDA-only'' countries; in addition, funds may be paid to the 
``Heavily Indebted Poor Countries Trust Fund'' for the U.S. 
share of repayment of debt owed by Bolivia and Mozambique; in 
addition, any international financial institution in receipt of 
such U.S. contributions is required to notify the Secretary of 
the Treasury that no new loans or credits will be extended to 
such member country for a period of up to 30 months; in 
addition, the Secretary of the Treasury is required to provide 
to the Committees on Appropriations full documentation relating 
to commitments by such countries to redirect resources to 
poverty alleviation or economic growth programs; and in 
addition, any limitation of subsection (e) of section 411 of 
the Agricultural Trade Development and Assistance Act of 1954 
shall not apply to funds appropriated under this heading.
    13. In title II, funds are appropriated for the 
administrative costs of the Development Credit Program and the 
Micro and Small Enterprise program, and such funds may be 
transferred to the operating expenses account of the Agency for 
International Development.
    14. Under ``Assistance for Eastern Europe and the Baltic 
States'', funds are made subject to section 532 of this Act.
    15. Under ``International Fund for Ireland'', $25,000,000 
is provided, which shall be expended at the minimum rate 
necessary to make timely payment for projects and activities.
    16. Under ``Assistance to Eastern Europe and the Baltic 
States'', funds are provided notwithstanding any other 
provision of law for economic assistance; funds are made 
available as if they were considered economic assistance under 
the Foreign Assistance Act; funds for Bosnia are subject to 
certain conditions, including limitations on funds for housing. 
Funds available for an Enterprise Fund are authorized to be 
deposited in interest-bearing accounts, and shall be expended 
at the minimum rate necessary to make timely payments for 
projects and activities; in addition, assistance for Kosovo is 
limited to 15% of the total pledges made by all donors as of 
January 1, 2001; in addition, notwithstanding certain 
provisions of law, local currencies generated by, or converted 
from, funds appropriated by this Act and by previous 
appropriations Acts for Bosnia may be made available for 
purposes of the Foreign Assistance Act of 1961 and the Support 
for East European Democracy (SEED) Act of 1989, subject to 
notification.
    17. Under ``Assistance for the Independent States of the 
Former Soviet Union'', the Committee has included a limitation 
on the amount of assistance that may be made available for any 
one country in the region; it has also retained language 
concerning cooperation between Russia and Iran; in addition, 
exceptions are made to the application of section 907 of the 
FREEDOM Support Act; funds for the Government of Russia are 
subject to certain limitations; and certain authorities are 
granted for the use of funds appropriated for Enterprise Funds 
that were carried in the fiscal year 2000 Act; in addition, no 
funds are available for the Government of the Russian 
Federation if the Secretary of State cannot certify that they 
are in compliance with the flank zone limitations of the Treaty 
on Conventional Armed Forces in Europe.
    18. Under ``International Narcotics Control and Law 
Enforcement'', anti-crime programs are subject to notification.
    19. Funding is provided for ``Migration and Refugee 
Assistance'', and a limitation of $14,852,000 is provided for 
administrative expenses.
    20. Under ``United States Emergency Refugee and Migration 
Assistance Fund'', funds are provided notwithstanding the 
limitations contained in section 2(c)(2) of the Migration and 
Refugee Assistance Act of 1962.
    21. Under ``Nonproliferation, Anti-terrorism, Demining, and 
Related Programs'', funds are made available to countries other 
than the Independent States of the former Soviet Union and 
international organizations when it is in the national security 
interest of the United States; funds are made available 
notwithstanding any other provision of law; and the use of 
funds is made subject to the notification procedures of the 
Committees on Appropriations; funds are authorized to be made 
available for the IAEA, KEDO, and the CTBT Preparatory 
Commission, and funds are authorized for IAEA only to the 
extent Israel is not being denied its right to participate in 
the activities of that Agency.
    22. Under ``Debt Restructuring'', funds are available for 
the cost of selling, reducing, or canceling debt owed to the 
United States, for modifying concessional debt agreements with 
least developed countries.
    23. Under ``International Military Education and 
Training'', the IMET for Indonesia and Guatemala shall be only 
for expanded military education and training and funds for 
Indonesia will be subject to notification; the language limits 
obligation of funds for the School of the Americas pending 
certifications by the Secretary of Defense and Secretary of 
State; and requires a report on the School of the Americas.
    24. Under ``Foreign Military Financing Program'', the 
Committee has provided that not less than $520,000,000 in FMF 
grants should be available for the procurement in Israel of 
defense articles and defense services, and that FMF grants for 
any non-NATO country participating in the Partnership for Peace 
program shall be subject to the Committee's regular 
notification procedures.
    25. Under ``Foreign Military Financing Program'', funds 
estimated to be outlayed for Egypt in fiscal year 2001, and 
funds appropriated for Israel, shall be disbursed within 30 
days of enactment or by October 31, 2000, whichever is later; 
in addition, funds are nonrepayable notwithstanding section 23 
of the Arms Export Control Act; in addition, certain 
authorities that were contained in the fiscal year 2000 Act are 
continued in this Act.
    26. Under ``Peacekeeping Operations'', funds are made 
available subject to the regular notification procedures of the 
Committees on Appropriations.
    27. Under title IV, funds for a number of international 
financial institutions are made available for contributions; 
funds are made available for the United States share of the 
paid-in portion of the increase in capital stock of certain 
institutions; and limitations are placed on callable capital 
subscriptions.
    28. Under ``Contribution to the European Bank for 
Reconstruction and Development'', the Committee has provided 
$35,778,717 for the purchase of stock during fiscal year 2001 
and placed a limit on callable capital.
    29. Under ``Contribution to the International Development 
Association'', $10,000,000 is withheld from obligation until 
the Secretary of the Treasury notifies the Committees on 
Appropriations that agreement has been reached by the Executive 
Board of the International Bank for Reconstruction and 
Development that future assistance to member countries 
participating in debt reduction through HIPC shall, to the 
extent allowed by Bank policy and resources, be on a grant 
basis.
    30. Under ``International Organizations and Programs'', the 
Committee has prohibited and conditioned the funding of certain 
organizations and programs.
    31. Under ``General Provisions'':
    Sec. 508, ``Military Coups'' is modified to specify that 
funds shall be prohibited for any country whose duly elected 
head of government is deposed by decree or military coup; prior 
year language could have been read to apply only to situations 
in which a military coup or military decree resulted in a 
leader being deposed.
    Sec. 510, ``Deobligation/Reobligation Authority'' is 
modified by removing subsection (a), which would have allowed 
the deobligation and reobligation of funds appropriated to 
carry out the Foreign Assistance Act of 1961; this provision is 
no longer used. Subsection (b), regarding funds appropriated to 
carry out the Arms Export Control Act, would be retained.
    Sec. 511, ``Availability of Funds'' is modified to add 
funds appropriated to carry out chapter 12 of part I of the 
Foreign Assistance Act to the list of funds that may remain 
available until expended if obligated before the expiration of 
their periods of availability, and to nullify the final proviso 
of title VI of the fiscal year 2000 Appropriations Act.
    Sec. 517, ``Independent States of the Former Soviet Union'' 
is modified by deleting the proviso under subsection (b) which 
provided the President with the authority to waive the 
restriction of that subsection if it is in the national 
security interest of the United States, and by modifying the 
notification requirement with regard to independent states 
other than Russia and Ukraine.
    Sec. 520, ``Special Notification Requirements'' is modified 
to delete Pakistan and Panama and add Eritrea, Ethiopia, 
Zimbabwe.
    Sec. 522, ``Child Survival and Disease Prevention 
Activities'' is modified by deleting the final proviso that 
would have allowed funds made available for family planning 
activities to be made available notwithstanding section 512 of 
this Act and section 620(q) of the Foreign Assistance Act.
    Sec. 526, ``Democracy in China'' is modified by adding 
language to allow for grants to be made to the National 
Endowment for Democracy (NED) in a manner consistent with 
section 503(a) of the National Endowment for Democracy Act and 
certain Comptroller General decisions; to allow NED to be 
deemed the ``awarding agency'' for purposes of implementing OMB 
Circular A-122; to allow up to $1,000,000 for support of 
nongovernmental organizations located outside China to support 
activities which preserve cultural traditions and promote 
sustainable development and environmental conservation in 
Tibetan communities in that country; and to modify language 
from the fiscal year 2000 Act to allow for a grant to the 
Jamestown Foundation.
    Sec. 527, ``Prohibition on Bilateral Assistance to 
Terrorist Countries'' is modified by deleting a provision that 
would have waived all other provisions of law.
    Sec. 528, ``Report on Implementation of Supplemental 
Appropriations'' is a new general provision requiring four 
quarterly reports from the Secretary of State on the use of 
funds appropriated under title VI of the Foreign Operations, 
Export Financing, and Related Programs Appropriations Act, 
2000.
    Sec. 530, ``Stingers in the Persian Gulf Region'' is 
modified to allow the United States to sell or make available 
Stingers to any country bordering the Persian Gulf in order to 
replace, on a one-for-one basis, Stingers previously furnished 
to such a country, provided that the Stingers to be replaced 
are nearing the scheduled expiration of their shelf-life.
    Sec. 538, ``Special Authorities'' is modified to remove the 
references to Romania and Kosovo, which are no longer 
necessary, and to extend the authority of chapter 4 of part II 
of the Foreign Assistance Act to subsection (b).
    Sec. 539, ``Policy on Terminating the Arab League Boycott 
of Israel and Normalizing Relations with Israel'' is modified 
by changing the title; by adding language noting that only 
three Arab League nations have full diplomatic relations with 
Israel; by adding language asking the President to urge Arab 
countries to normalize their relations with Israel; and 
requiring an annual report to Congress on the specific steps 
being taken by the United States and the progress achieved to 
end the Arab League boycott of Israel and to expand the process 
of normalizing ties between Arab League countries and Israel.
    Sec. 540, ``Administration of Justice Activities'' is 
modified by changing the heading from ``Anti-Narcotics 
Activities''.
    Sec. 541, ``Eligibility for Assistance'' is modified to add 
funds appropriated to carry out chapter 12 of part I of the 
Foreign Assistance Act to the list of funds that may be used to 
provide assistance to nongovernmental organizations 
notwithstanding other restrictions on assistance to a country.
    Sec. 553, ``Landmines'' is modified by deleting a proviso 
that changed permanent law.
    Sec. 558, ``Limitation on Assistance for Haiti'' is 
modified by conditioning assistance to the Government of Haiti 
on the holding of free and fair elections and full cooperation 
with United States efforts to halt the transshipment of illicit 
drugs through Haiti to the United States.
    Sec. 561, ``Haiti'' is modified by deleting the Haitian 
National Police from the organizations in Haiti that are 
eligible to purchase defense articles and services.
    Sec. 568, ``Assistance for the Middle East'' is modified by 
reducing the cap on Middle East spending from $5,321,150,000 to 
$5,221,150,000.
    Sec. 572, ``Korean Peninsula Energy Development 
Organization'' is modified by limiting funds for KEDO to 
$35,000,000 with one rather than two branches of funding, and 
providing certification requirements similar to those included 
in the fiscal year 2000 Act.
    Sec. 575, ``Iraq Opposition'' is modified by authorizing 
rather than mandating up to $8,000,000 for Iraqi democratic 
opposition groups and up to $2,000,000 for groups and 
activities seeking to prosecute Saddam Hussein and other Iraqi 
officials for war crimes; in addition, no funds may be made 
available for administrative expenses of the Department of 
State.
    Sec. 576, ``Agency for International Development Budget 
Justification'', is modified to clarify terms and establish a 
linkage with section 515 of the Act.
    Sec. 579, ``Indonesia'' is modified by conforming the 
restriction on ``International Military Education and 
Training'' with the limitation on Indonesia included under that 
heading and by updating subsection (4) to reflect the 
termination of UNTERFET.
    Sec. 580, ``Man and the Biosphere'' is modified by removing 
the limitation on programs in the United States.
    Sec. 582, ``Restriction on United States Assistance for 
Certain Reconstruction Efforts in Central Europe'' is modified 
by applying the provision on the procurement of United States 
origin articles and services to all of Eastern Europe, rather 
than just southeast Europe, and removing the subsection on 
definitions.
    Sec. 583, ``Restrictions on Assistance to Governments 
Destabilizing Sierra Leone'' is a new provision regarding the 
prohibition of funds to governments engaged in certain 
activities involving rebels in Sierra Leone.
    Sec. 584, ``Voluntary Separation Incentives'' amends 
existing law to provide additional authority for the Agency for 
International Development to extend voluntary separation 
incentives to certain employees.
    Sec. 585, ``Working Capital Fund'', is a new provision that 
allows the Agency for International Development to establish a 
working capital fund.
    Sec. 588, ``American Churchwomen in El Salvador'', is 
modified to delete the reporting requirements.
    Sec. 589, ``HIPC Trust Fund Conditions'', provides that 
beginning in fiscal year 2002, funds shall be appropriated for 
the HIPC initiative only under certain specified conditions.
    Sec. 590 is a new provision providing that none of the 
funds made available in this Act may be used to pay for the 
performance of abortion or to lobby for or against abortion.
    Sec. 591, ``Procurement and Financial Management Reform'', 
is a new provision that withholds funds from international 
financial institutions until the Secretary of the Treasury 
certifies that the institution is implementing certain anti-
corruption measures.

                  Appropriations Not Authorized by Law

    Pursuant to clause 3(f) of rule XIII of the Rules of the 
House of Representatives, the following table lists the 
appropriations in the accompanying bill which, in whole or in 
part, are not authorized by law:

Trade and Development Agency
Child Survival and Disease Programs Fund
Development Assistance
International Disaster Assistance
Transition Initiatives
Development Credit Programs
AID Operating Expenses
AID Operating Expenses, Office of Inspector General
Economic Support Fund
International Fund for Ireland
Assistance for Eastern Europe and the Baltic States
Assistance for the Independent States of the Former Soviet 
        Union
Inter-American Foundation
African Development Foundation
Peace Corps
International Narcotics Control and Law Enforcement
Migration and Refugee Assistance
Nonproliferation, Anti-Terrorism, Demining and Related Programs
Debt Restructuring (in part)
International Military Education and Training
Foreign Military Financing Program
Peacekeeping Operations
International Fund for Agricultural Development
International Organizations and Programs

                   Comparison With Budget Resolution

    Clause 3(c)(2) of rule XIII of the Rules of the House of 
Representatives requires an explanation of compliance with 
section 308(a)(1)(A) of the Congressional Budget and 
Impoundment Control Act of 1974 (Public Law 93-344), as 
amended, which requires that the report accompanying a bill 
providing new budget authority contain a statement detailing 
how the authority compares with the reports submitted under 
section 302 of the Act for the most recently agreed to 
concurrent resolution on the budget for the fiscal year from 
the Committee's section 302(a) allocation.

                                            [In millions of dollars]
----------------------------------------------------------------------------------------------------------------
                                                        302(b) allocation--                 This bill--
                                                 ---------------------------------------------------------------
                                                      Budget                          Budget
                                                     authority        Outlays        authority        Outlays
----------------------------------------------------------------------------------------------------------------
Discretionary...................................          13,281           7,980          13,281          14,974
Mandatory.......................................              44              44              44             44
----------------------------------------------------------------------------------------------------------------
Note.--The outlays in this bill are technically in excess of the subcommittee section 302(b) suballocation.
  However, prior to floor consideration, the Committee intends to file a revised 302(b) suballocation that will
  eliminate the excess.

                      Five-Year Outlay Projections

    In compliance with section 308(a)(1)(B) of the 
Congressional Budget and Impoundment Control Act of 1974 
(Public Law 93-344), as amended, the following table contains 
five-year projections associated with the budget authority 
provided in the accompanying bill:




Fiscal year 2001......................................             5,109
Fiscal year 2002......................................             3,840
Fiscal year 2003......................................             2,483
Fiscal year 2004......................................               760
Fiscal year 2005......................................               934


               Assistance to State and Local Governments

    In accordance with section 308(a)(1)(C) of the 
Congressional Budget and Impoundment Control Act of 1974 
(Public Law 93-344), as amended, the financing assistance to 
State and local governments is as follows:
    The amounts recommended in the accompanying bill contain no 
budget authority or budget outlays for State or local 
governments.

          Compliance With Rule XIII, Cl. 3(e) (Ramseyer Rule)

  In compliance with clause 3(e) of rule XIII of the Rules of 
the House of Representatives, changes in existing law made by 
the bill, as reported, are shown as follows (existing law 
proposed to be omitted is enclosed in black brackets, new 
matter is printed in italic, existing law in which no change is 
proposed is shown in roman):

 SECTION 526 OF THE FOREIGN OPERATIONS, EXPORT FINANCING, AND RELATED 
                        APPROPRIATIONS ACT, 2000

                    (PUBLIC LAW 106-113--APPENDIX B)

                           democracy in china

  Sec. 526. Notwithstanding any other provision of law that 
restricts assistance to foreign countries, funds appropriated 
by this Act for ``Economic Support Fund'' may be made available 
to provide general support and grants for nongovernmental 
organizations located outside the People's Republic of China 
that have as their primary purpose fostering democracy in that 
country, and for activities of nongovernmental organizations 
located outside the People's Republic of China to foster 
democracy in that country: Provided, That none of the funds 
made available for activities to foster democracy in the 
People's Republic of China may be made available for assistance 
to the government of that country, except that funds 
appropriated by this Act under the heading ``Economic Support 
Fund'' that are made available for the National Endowment for 
Democracy or its grantees may be made available for activities 
to foster democracy in that country notwithstanding this 
proviso and any other provision of law: Provided further, That 
funds made available pursuant to the authority of this section 
shall be subject to the regular notification procedures of the 
Committees on Appropriations: Provided further, That 
notwithstanding any other provision of law that restricts 
assistance to foreign countries, of the funds appropriated by 
this Act under the heading ``Economic Support Fund'', 
$1,000,000 shall be made available to the [Robert F. Kennedy 
Memorial Center for Human Rights] Jamestown Foundation for a 
project to disseminate information and support research about 
the People's Republic of China, and related activities.

 SECTION 579 OF THE FOREIGN OPERATIONS, EXPORT FINANCING, AND RELATED 
                   PROGRAMS APPROPRIATIONS ACT, 2000


  VOLUNTARY SEPARATION INCENTIVES FOR EMPLOYEES OF THE UNITED STATES 
                  AGENCY FOR INTERNATIONAL DEVELOPMENT

    Sec. 579. (a) * * *

           *       *       *       *       *       *       *

    (c) Authority To Provide Voluntary Separation Incentive 
Payments.--
          (1) * * *
          (2) Amount and treatment of payments.--A voluntary 
        separation incentive payment under this section--
                   (A) * * *

           *       *       *       *       *       *       *

                  (D) may not be made except in the case of any 
                employee who voluntarily separates (whether by 
                retirement or resignation) on or before 
                [December 31, 2000] December 31, 2001;

           *       *       *       *       *       *       *

                              ----------                              


           SECTION 635 OF THE FOREIGN ASSISTANCE ACT OF 1961

    Sec. 635. General Authorities.--(a) * * *

           *       *       *       *       *       *       *

    (l)(1) There is hereby established a working capital fund 
for the United States Agency for International Development 
which shall be available without fiscal year limitation for the 
expenses of personal and nonpersonal services, equipment and 
supplies for: (A) International Cooperative Administrative 
Support Services; and (B) rebates from the use of United States 
Government credit cards.
    (2) The capital of the fund shall consist of the fair and 
reasonable value of such supplies, equipment, and other assets 
pertaining to the functions of the fund as the Administrator 
determines, rebates from the use of United States Government 
credit cards, and any appropriations made available for the 
purpose of providing capital, less related liabilities.
    (3) The fund shall be reimbursed or credited with advance 
payments for services, equipment or supplies provided from the 
fund from applicable appropriations and funds of the agency, 
other Federal agencies and other sources authorized by section 
607 of this Act at rates that will recover total expenses of 
operation, including accrual of annual leave and depreciation. 
Receipts from the disposal of, or payments for the loss or 
damage to, property held in the fund, rebates, reimbursements, 
refunds, and other credits applicable to the operation of the 
fund may be deposited in the fund.
    (4) The agency shall transfer to the Treasury as 
miscellaneous receipts as of the close of the fiscal year such 
amounts which the Administrator determines to be in excess of 
the needs of the fund.
    (5) The fund may be charged with the current value of 
supplies and equipment returned to the working capital of the 
fund by a post, activity or agency and the proceeds shall be 
credited to current applicable appropriations.

                          Full Committee Votes

    Pursuant to the provisions of clause 3(a)(1)(b) of rule 
XIII of the House of Representatives, the results of each 
rollcall vote on an amendment or on the motion to report, 
together with the names of those voting for and those voting 
against, are printed below:

                             ROLLCALL NO. 1

    Date: June 27, 2000.
    Measure: Foreign Operations, Export Financing, and Related 
Programs Appropriations Bill, FY 2001.
    Motion by: Ms. Pelosi.
    Description of Motion: To provide fiscal year 2000 
contingent emergency supplemental appropriations of 
$210,000,000 for the Heavily Indebted Poor Countries Trust 
Fund.
    Results: Rejected 21 yeas to 32 nays.
        Members Voting Yea            Members Voting Nay
Ms. DeLauro                         Mr. Aderholt
Mr. Dicks                           Mr. Boyd
Mr. Dixon                           Mr. Callahan
Mr. Edwards                         Mr. Cramer
Mr. Farr                            Mr. Cunningham
Mr. Forbes                          Mr. DeLay
Mr. Hinchey                         Mr. Dickey
Mr. Jackson                         Mrs. Emerson
Ms. Kilpatrick                      Mr. Frelinghuysen
Mrs. Lowey                          Mr. Goode
Mrs. Meek                           Ms. Granger
Mr. Mollohan                        Mr. Hobson
Mr. Moran                           Mr. Istook
Mr. Obey                            Mr. Kingston
Mr. Olver                           Mr. Knollenberg
Ms. Pelosi                          Mr. Kolbe
Mr. Price                           Mr. Latham
Mr. Sabo                            Mr. Lewis
Mr. Serrano                         Mr. Miller
Mr. Visclosky                       Mr. Murtha
Mr. Wolf                            Mr. Nethercutt
                                    Mrs. Northup
                                    Mr. Peterson
                                    Mr. Porter
                                    Mr. Regula
                                    Mr. Rogers
                                    Mr. Sununu
                                    Mr. Tiahrt
                                    Mr. Walsh
                                    Mr. Wamp
                                    Mr. Wicker
                                    Mr. Young
                          Full Committee Votes

    Pursuant to the provisions of clause 3(a)(1)(b) of rule 
XIII of the House of Representatives, the results of each 
rollcall vote on an amendment or on the motion to report, 
together with the names of those voting for and those voting 
against, are printed below:

                             rollcall no. 2

    Date: June 27, 2000.
    Measure: Foreign Operations, Export Financing, and Related 
Programs Appropriations Bill, FY 2001.
    Motion by: Mrs. Lowey.
    Description of Motion: To provide that foreign non-
governmental organizations and multilateral organizations shall 
not be subject to requirements more restrictive than those that 
apply to United States non-governmental organizations receiving 
assistance under Part I of the Foreign Assistance Act of 1961 
or shall be ineligible for such assistance solely on the basis 
of health or medical services provided by such organizations 
that do not violate U.S. Federal or relevant foreign laws.
    Results: Rejected 26 yeas to 34 nays.
        Members Voting Yea            Members Voting Nay
Mr. Boyd                            Mr. Aderholt
Ms. DeLauro                         Mr. Bonilla
Mr. Dicks                           Mr. Callahan
Mr. Dixon                           Mr. Cunningham
Mr. Edwards                         Mr. DeLay
Mr. Farr                            Mr. Dickey
Mr. Frelinghuysen                   Mrs. Emerson
Mr. Hinchey                         Mr. Forbes
Mr. Hoyer                           Mr. Goode
Mr. Jackson                         Ms. Granger
Ms. Kaptur                          Mr. Hobson
Ms. Kilpatrick                      Mr. Istook
Mr. Kolbe                           Mr. Kingston
Mrs. Lowey                          Mr. Knollenberg
Mrs. Meek                           Mr. Latham
Mr. Moran                           Mr. Lewis
Mr. Obey                            Mr. Miller
Mr. Olver                           Mr. Mollohan
Mr. Pastor                          Mr. Murtha
Ms. Pelosi                          Mr. Nethercutt
Mr. Porter                          Mrs. Northup
Mr. Price                           Mr. Packard
Ms. Roybal-Allard                   Mr. Peterson
Mr. Sabo                            Mr. Regula
Mr. Serrano                         Mr. Rogers
Mr. Visclosky                       Mr. Skeen
                                    Mr. Sununu
                                    Mr. Taylor
                                    Mr. Tiahrt
                                    Mr. Walsh
                                    Mr. Wamp
                                    Mr. Wicker
                                    Mr. Wolf
                                    Mr. Young
                          Full Committee Votes

    Pursuant to the provisions of clause 3(a)(1)(b) of rule 
XIII of the House of Representatives, the results of each 
rollcall vote on an amendment or on the motion to report, 
together with the names of those voting for and those voting 
against, are printed below:

                             rollcall No. 3

    Date: June 27, 2000.
    Measure: Foreign Operations, Export Financing, and Related 
Programs Appropriations Bill, FY 2001.
    Motion By: Mr. Knollenberg.
    Description of Motion: To clarify the application of a 
limitation on funding of activities related to the Kyoto 
Protocol to the Framework Convention on Climate Change to not 
restrict funding for any activity otherwise authorized by law.
    Results: Adopted 51 yeas to 1 nay.


               Members Voting Yea                   Members Voting Nay



Mr. Aderholt             Mr. Mollohan             Mr. Sununu
Mr. Bonilla              Mr. Murtha
Mr. Boyd                 Mrs. Northup
Mr. Callahan             Mr. Obey
Mr. Cramer               Mr. Olver
Mr. Cunningham           Mr. Packard
Ms. DeLauro              Mr. Pastor
Mr. Dicks                Ms. Pelosi
Mr. Dixon                Mr. Peterson
Mr. Farr                 Mr. Porter
Mr. Forbes               Mr. Price
Mr. Frelinghuysen        Mr. Regula
Mr. Goode                Mr. Rogers
Mr. Granger              Ms. Roybal-Allard
Mr. Hinchey              Mr. Sabo
Mr. Hoyer                Mr. Serrano
Mr. Istook               Mr. Skeen
Mr. Jackson              Mr. Taylor
Ms. Kaptur               Mr. Tiahrt
Ms. Kilpatrick           Mr. Visclosky
Mr. Knollenberg          Mr. Walsh
Mr. Kolbe                Mr. Wamp
Mr. Lewis                Mr. Wicker
Mrs. Lowey               Mr. Wolf
Mrs. Meek                Mr. Young
Mr. Miller


                          Full Committee Votes

    Pursuant to the provisions of clause 3(a)(1)(b) of rule 
XIII of the House of Representatives, the results of each roll 
call vote on an amendment or on the motion to report, together 
with the names of those voting for and those voting against, 
are printed below:

                             rollcall no. 4

    Date: June 27, 2000.
    Measure: Foreign Operations, Export Financing, and Related 
Programs Appropriations Bill, FY 2001.
    Motion by: Ms. Pelosi.
    Description of Motion: To increase funding to combat HIV/
AIDS by $30,000,000 and reduce an equal amount from foreign 
military financing.
    Results: Rejected 22 yeas to 29 nays.
        Members Voting Yea            Members Voting Nay
Ms. DeLauro                         Mr. Aderholt
Mr. Dicks                           Mr. Bonilla
Mr. Dixon                           Mr. Boyd
Mr. Edwards                         Mr. Callahan
Mr. Farr                            Mr. Cramer
Mr. Forbes                          Mr. Frelinghuysen
Mr. Hinchey                         Mr. Goode
Mr. Hoyer                           Ms. Granger
Mr. Jackson                         Mr. Hobson
Ms. Kaptur                          Mr. Kingston
Ms. Kilpatrick                      Mr. Knollenberg
Mrs. Lowey                          Mr. Kolbe
Mrs. Meek                           Mr. Lewis
Mr. Murtha                          Mr. Miller
Mr. Obey                            Mrs. Northup
Mr. Olver                           Mr. Packard
Mr. Pastor                          Mr. Peterson
Ms. Pelosi                          Mr. Porter
Ms. Roybal-Allard                   Mr. Regula
Mr. Sabo                            Mr. Rogers
Mr. Serrano                         Mr. Skeen
Mr. Visclosky                       Mr. Sununu
                                    Mr. Taylor
                                    Mr. Tiahrt
                                    Mr. Walsh
                                    Mr. Wamp
                                    Mr. Wicker
                                    Mr. Wolf
                                    Mr. Young
                                    
                                    

                            ADDITIONAL VIEWS

    The allocation of resources for the Fiscal Year 2001 
Foreign Operations bill of $13.281 billion will not enable this 
President or the next to carry out an effective foreign policy 
that meets our national security requirements. The low level of 
funding will hinder our ability to respond to and confront 
ongoing development and security challenges around the world.
    Unfortunately, again this year funding levels in the bill 
have been reduced well below the Administration's request, and 
this has resulted in a bill, which will be difficult to 
support. At one point this bill had an allocation of nearly 
$13.6 billion, which is still well below the Administration's 
request, but would have been a good starting point. Because of 
floor action on other appropriations bills, however, the 
allocation was reduced to its current level of $13.281 billion, 
which makes it $1.539 billion or 10% below the Administration's 
request.
    As the world continues rapidly changing we have an 
unprecedented opportunity and indeed a responsibility to 
provide global leadership through the spread of democracy and 
the promise of economic growth. The allocation of discretionary 
budget resources this year has once again failed to recognize 
this fundamental fact, and our foreign policy goals will be 
shortchanged.
    In addition the overall priorities within the bill are 
skewed. While the overall request has been reduced by 10%, the 
amounts requested to address the problems of infectious 
disease, poverty alleviation, access to family planning, and 
debt relief in Africa, Latin America, and Asia have been cut in 
a disproportionate manner.
    The bill contains only $82 million of the $472 million in 
pending requests for Debt relief. This amount will not even 
provide enough resources to enable two countries, Bolivia and 
Mozambique, who have met all necessary conditions to obtain 
relief, to actually get it. There are many other countries on 
the verge of qualifying for relief who simply will not receive 
it, if this funding level is not increased. The bill also 
contains a moratorium for countries, who receive debt relief 
from obtaining new loans from both the concessional and market 
loan windows of the international financial institutions. The 
lack of adequate funding for debt relief and the imposition of 
these undue restrictions on these poor countries clearly 
demonstrates fundamental opposition to the goals of this 
initiative. The Jubilee 2000 campaign for debt relief for the 
world's poorest countries enjoys a wide measure of support 
throughout the United States and with a broad spectrum of 
religious leaders and organizations. It is time for us to make 
this funding a priority and to remove undue restrictions.
    The bill contains only $202 million of the $244 million 
requested to combat HIV/AIDs. While we support the increases in 
the bill for the Child Survival and Disease account and the 
increases for fighting tuberculosis and providing more for 
basic education, it should not come at the expense of funding 
to combat HIV/AIDs. The staggering impact of this disease on 
the health and development of affected nations has made it 
imperative that prevention measures be augmented by strategies 
to build capacity to deliver care. The challenges presented to 
develop such a multidimensional approach in which effective 
care and prevention programs would be delivered in tandem 
requires resources.A consensus within the international 
community to provide more resources for combating HIV/AIDs has 
finally begun. The United States has the responsibility to be 
in the forefront of this effort, and we simply cannot fail to 
meet this challenge by shortchanging these programs.
    The bill also reduces funding for lending to poor countries 
by drastically cutting funds for the International Development 
Association, the African Development Bank and Fund, and the 
Asian Development Fund by 32% below the requested levels. 
Overall cuts to all programs in the bill which benefit Africa 
and Latin America are 15%, which is unacceptable. While this 
bill does contain some funding to respond to the flood 
disasters in southern Africa, it is unclear whether that 
emergency funding will be finally approved by Congress.
    Funds requested for family planning programs are cut to 
$385 million, which is 29% below requested levels. In addition 
the bill contains objectionable language on the Mexico City 
policy, which seeks to impose restrictions on foreign 
organizations which are contrary to the principles of free 
speech and the laws of the United States.
    The Global Environment Facility has been funded at a level 
of $36 million against a request of $176 million, which will 
endanger its ability to continue environmental lending. In 
addition the bill contains undue restrictions on programs to 
reduce harmful emissions and global warming.
    There are many accounts and programs in the bill that are 
funded at levels which we support. Increases have been provided 
to the Child Survival and Diseases account and the Peace Corps 
for example. However, the bill is in serious need of 
correction. The last minute reduction in the allocation and the 
fact that these reductions were made in programs which most 
directly affect the poorest countries in the world, has forced 
us into a position of confrontation and division, which we 
regret.
    Foreign aid should not be immune from budget cuts; however, 
it should not be the victim of skewed priorities. Robust and 
well-directed foreign assistance programs are essential for our 
national security and are supported by a majority of the 
American people. The process of building stability throughout 
the world by combating infectious disease and poverty, working 
for conflict resolution, enhancing democratization, and 
fostering the conditions for economic growth ultimately 
benefits all of us.

                                   Nancy Pelosi.
                                   Carolyn Kilpatrick.
                                   Nita Lowey.
                                   Jesse Jackson, Jr.

                 ADDITIONAL VIEW OF HON. FRANK R. WOLF

    While I commend the Committee for the action it has taken 
regarding Sierra Leone, I think the U.S. can do more, and I 
have been asking the Administration to address this issue. I 
have attached my correspondence with Secretary of State 
Madeleine Albright and with President Clinton that outlines my 
concerns with U.S. policy toward Sierra Leone. I have also 
submitted the most recent statement of policy by the State 
Department, evidenced in a letter from Ambassador Richard 
Holbrooke. Ambassador Holbrooke's letter is a step in the right 
direction. I have also included an article from the Washington 
Post that reports that Liberia has been arming the rebels of 
Sierra Leone.

                                                    March 16, 2000.
Hon. Madeleine Korbel Albright,
Secretary of State,
Washington DC.
    Dear Madam Secretary: I write today about the worsening 
situation in Sierra Leone. Congressman Tony Hall and I visited 
Sierra Leone last December. We were horrified at the atrocities 
we saw. Throughout the country, rebel groups have tortured, 
killed, and maimed thousands of people to gain control of the 
country's diamond industry, fueling the trade in illicit 
``conflict diamonds.'' Across a broad spectrum, the conditions 
in Sierra Leone were among the worse I have ever seen in the 
many places I've visited in the world.
    At the time of our visit, it was too early to determine the 
effectiveness of the Lome Peace Accord and the rebels' 
compliance with it. In my trip report, which I have enclosed 
for you, I outlined several recommendations about the 
developing situation in Sierra Leone and the prospective 
response and involvement of the United States and Europe in 
achieving peace and stability in the region. In light of the 
current situation in Sierra Leone, I want to reiterate those 
recommendations with you.
    First, the flow of conflict diamonds from rebel held areas 
must stop. Reports indicate that rebel forces still control 
most of the diamond producing regions in Sierra Leone, 
suggesting that the trafficking of these diamonds is going to 
continue to fuel bloodshed upon the people of Sierra Leone. 
Reports indicate that an overwhelming majority of rebels have 
not disarmed and that they have control of most, if not all, of 
the diamond producing region. This condition cannot be 
tolerated by the U.S., Europe, ECOMOG, and the United Nations.
    Congressman Hall has introduced legislation, H.R. 3188, to 
certify the country of origin of all diamonds. Thus a diamond 
buyer will know where a diamond has been mined and a purchaser 
can avoid buying conflict diamonds. Passage of Congressman 
Hall's bill will be a huge stride in ending this practice. Your 
support for this important legislation would be very helpful.
    My report stated that every effort should be made to 
support the disarmament program in Sierra Leone. Reports 
indicate that not only are the rebels not disarming, but they 
have repeatedly confronted at gunpoint ECOMOG and U.N. 
peacekeepers and taken their weapons, ammunition, armored 
personnel carriers, etc. Bold action is needed from the 
Administration on this matter. I urge you to issue a statement 
and a fixed date, that you think is reasonable and helpful, to 
the rebels making clear when the rebels should be completely 
disarmed and what action the U.S. will take if they are not 
disarmed.
    Promised U.S. action if the rebels do not comply with the 
conditions for disarmament should be:
          They and their families will not be allowed entry 
        into the U.S., Britain or any other country--no visas 
        should be issued to rebels or their family members;
          If the rebels' have bank accounts in the U.S. and in 
        Europe, they should be frozen and they should be denied 
        access to these accounts and to future commerce with 
        the U.S., bank accounts of rebel family members should 
        be included in this prohibition too;
          The rebel leaders should be declared war criminals by 
        the U.S. and other Western countries and direct its 
        intelligence and police agencies to actively pursue 
        apprehending rebels who have not disarmed.
    These same conditions should also be applied to Liberian 
Charles Taylor and all Liberians who have assisted the rebels 
in Sierra Leone. It has come to my attention that Taylor 
escaped from a Massachusetts prison and fled to Liberia. Taylor 
and many Liberians have blood on their hands from their support 
of these rebels. By being the primary conduit for trading the 
conflict diamonds mined by the rebels, and by reportedly 
supplying the rebels with military assistance, Taylor and 
others have fueled the atrocities committed by the rebels upon 
the people of Sierra Leone. The U.S. should enact similar 
measures and conditions against Taylor and other Liberians as 
those I proposed for the rebels in Sierra Leone.
    If the rebels are not disarmed and if Taylor and other 
Liberians continue to traffic in conflict diamonds and to 
provide the rebels with military assistance, Taylor and others 
should be named as war criminals and they should not be allowed 
to travel outside of their country. You should fix a date that 
you think is reasonable and helpful.
    Lastly, I ask that the U.S. continue to bolster its efforts 
to bring relief, aid, and ultimately reconciliation to the 
region. U.S. leadership in helping the people of Sierra Leone 
recover from the brutality is integral in creating stability 
and peace in the region.
    I do appreciate you taking the time to visit Sierra Leone. 
It was a good thing to do.
    I would be happy to discuss with you in more detail my 
recommendations and observations. Thank you for your 
consideration.
    Best wishes.
            Sincerely,
                                             Frank R. Wolf,
                                                Member of Congress.

    P.S. I have enclosed an unedited, graphic video of some of 
the atrocities that occurred in Sierra Leone. I hope that you 
or someone you trust will look at this video.
                                ------                                

                                                       May 1, 2000.
Hon. William J. Clinton,
The President, The White House,
Washington, DC.
    Dear Mr. President: I am writing to you about the 
continuing tragedy in Sierra Leone.
    As you know, although a tenuous peace is in place, the 
former rebels from the Revolutionary United Front (RUF) are 
disarming at a slow to minimal rate. Numerous reports indicate 
that the RUF has taken weapons from U.N. peacekeepers at gun 
point. Reports also indicate that atrocities such as rape, 
intimidation, and forced conscription are continuing by the 
supposedly disbanded RUF.
    Present and former RUF units still operate and control 
certain sections of the country, specifically the diamond 
producing areas.
    I have enclosed a letter which I sent to Secretary Albright 
outlining proposed action that the U.S. should take if the RUF 
continues its atrocities, occupation, and reluctance to disarm 
by a to be determined designated date.
    The entire country of Sierra Leone will continue to 
experience suffering and turmoil unless leadership is exercised 
by the U.S.
    You must do something (see my letter to Secretary Albright 
for proposed courses of U.S. action). I urge you to act 
quickly.
    Best wishes.
            Sincerely,
                                             Frank R. Wolf,
                                                Member of Congress.
                                ------                                

                                                      May 19, 2000.
Hon. William J. Clinton,
The President, The White House,
Washington, DC.
    Dear Mr. President: I want to share with you this editorial 
from today's New York Times that calls for Sierra Leonian rebel 
leader Foday Sankoh to be tried as a war criminal.
    Your African policy has done little to address and prevent 
the large-scale human rights violations that occurred in 
Rwanda, Sudan, and now in Sierra Leone.
    You now have a chance to act by speaking out and declaring 
Sankoh, and his associates, war criminals because of the 
documented atrocities they committed, promoted, or fueled 
against the people of Sierra Leone.
    I have previously written to you about Sierra Leone and 
have enclosed a copy of my correspondence with you on this 
subject.
    I urge you to promptly name Sankoh and his associates war 
criminals to prevent further bloodshed and to send a message 
throughout Africa that the U.S. is serious in going after 
people who have killed, maimed, and wreaked havoc on so many 
people's lives.
    I also urge you to support Congressman Tony Hall's 
legislation, H.R. 3188, which would require diamonds bought and 
sold in the U.S. to be certified as to their country of origin. 
This legislation would help address the problem of the 
trafficking of ``conflict diamonds'' that have fueled the 
atrocities in Sierra Leone and other conflicts in Africa.
    Best wishes.
            Sincerely,
                                             Frank R. Wolf,
                                                Member of Congress.
                                ------                                


                [From the New York Times, May 19, 2000]

                        Prosecuting Foday Sankoh

    For the last decade Foday Sankoh has led one of the world's most 
brutal guerrilla movements. His Revolutionary United Front has 
terrorized Sierra Leone by murdering thousands of civilians, gang-
raping women and girls, and chopping off the limbs of suspected 
opponents. Mr. Sankoh's arrest this week is therefore welcome news. It 
is imperative that he now be charged and tried for war crimes.
    Mr. Sankoh was a party to the 1999 Lome peace accord that was to 
have ended Sierra Leone's brutal civil war. That accord failed in part 
because it granted Mr. Sankoh immunity from prosecution for previous 
war crimes, thereby reinforcing the cycle of violent lawlessness in 
which the rebel leader and his murderous associates have thrived. Mr. 
Sankoh's forces have clearly broken their end of the bargain by 
refusing to disarm and restarting the war. Whether the previous amnesty 
should now be rescinded can be argued either way. But there is no 
disputing that Mr. Sankoh's forces have committed countless crimes 
since the accord was signed that would not be covered by the amnesty. 
On these they should unquestionably be prosecuted.
    Under normal circumstances, it is best for people to be tried in 
the countries where they committed their crimes. But Sierra Leone's 
government does not have the means to guarantee an orderly trial or due 
process in such a highly charged case. Witness protection would be 
impossible, and there is the danger of mob justice. Neighboring 
Liberia's former dictator, Samuel K. Doe, for example, was captured by 
a rebel gang in 1990, stripped naked and tortured to death. That crude 
vengeance ratcheted up the cycle of violence and criminality that 
continues to haunt Liberia.
    A trial for Mr. Sankoh must be conducted according to international 
standards before impartial judges, affording the accused access to 
counsel and the means to wage an effective defense. This is the kind of 
case for which the International Criminal Court was created two years 
ago. Since that court is not yet functioning, the best approach is to 
create an international tribunal like those the U.N. has established 
for Rwanda and the former Yugoslavia. It would have a mandate to try 
not just Mr. Sankoh but his confederates, as well as leaders of other 
fighting factions that have committed heinous crimes. Extensive 
evidence has already been assembled by rights groups, but the U.N. 
should be prepared to send an investigative team to Sierra Leone to 
document war crimes.
    Mr. Sankoh's arrest may complicate efforts to secure the release of 
the remaining 270 U.N. peacekeepers held hostage by the rebels. But it 
should now be clear that any attempt to enlist Mr. Sankoh as a partner 
in peace is doomed to fail. Bringing him to justice is the best way to 
curb the anarchy that lies at the root of Sierra Leone's agony.
                                 ______
                                 
                          The Representative of the
            United States of America to the United Nations,
                                                      May 30, 2000.
Hon. Judd Gregg,
U.S. Senate,
Washington, DC.
    Dear Mr. Chairman: Allow me to thank you again for your 
courtesy and for our exchange of views on peacekeeping issues. 
I know the Secretary also appreciates your discussion with her 
on May 20, and I would like to follow up on both conversations. 
I have shared our discussions with Secretary Albright, Sandy 
Berger, and Jack Lew, all of whom expressed their appreciation 
of your decision to release the funds for Kosovo and for your 
readiness to meet with the Australian Ambassador to resolve the 
East Timor peacekeeping ``hold.''
    You asked for a letter encapsulating our discussion on 
Sierra Leone and Congo. After close consultation with Secretary 
Albright, let me review where we stand on each issue:
    First, Sierra Leone. Let me posit five principles that we 
will use to govern our policy. First, the United States does 
not believe that Foday Sankoh should play any role whatsoever 
in the future political process in Sierra Leone, and we will 
continue to press this point. He must be held accountable for 
his actions. Second, we strongly support the British military 
presence in Sierra Leone, which has played a key role in 
restoring a measure of stability to Freetown. We are discussing 
with the British their continuing role, and on May 23 London 
announced an important training program for the Sierra Leone 
army, something that they will undertake at their own expense 
outside the UN system. Third, the objective should be to ensure 
that regional and international forces in Sierra Leone, 
together with the armed forces of the Government of Sierra 
Leone, have the capacity to disrupt RUF control of Sierra 
Leone's diamond producing areas, the main source of RUF income. 
Completely eliminating them as a military force is not likely 
to be possible at an acceptable cost, but sharply reducing 
their sources of financial support and restricting their 
capability to threaten the people or Government of Sierra Leone 
is within reach of sufficient numbers of properly trained, 
equipped, and well-led troops and is vitally important.
    The most likely nations to carry the burden would be 
Nigeria and Ghana, with the backing of other ECOWAS states. 
Other nations who are already rushing troops to Sierra Leone 
include India, Jordan and Bangladesh. Most potential troop 
contributors from the region are likely to require better 
equipment and training if they are to contribute meaningfully. 
Pentagon and EUCOM assessment teams are studying the issue 
urgently. If our objectives are to be accomplished, the U.S. 
will need to be ready, with congressional support and funding, 
to provide our share of an international effort to provide 
equipment and training to those who are willing to do the 
military job--including the governments of Sierra Leone and 
other countries in the region. Any direct training of 
contributing country troops by U.S. military personnel would be 
done outside Sierra Leone and no U.S. combat troops would be 
deployed to Sierra Leone. We will have to work out the 
relationship between such an operation and the UN, recognizing 
that for many countries a UN role is preferable--but we must 
ensure that the mandate is robust. Fourth, since there is 
virtually no real government structure left in Sierra Leone, if 
the security situation can be stabilized a longer term 
international effort will be needed to help build viable 
institutions in Sierra Leone. It will take time, but in the 
long run, the rest of the effort will be unsuccessful if it is 
not accompanied by this component. However, this cannot start 
until the situation is stabilized, and there is no present 
funding request for this function. Fifth (this is a point I 
failed to mention in our meeting) we must develop a 
corresponding political strategy for dealing appropriately with 
Liberia's President, Charles Taylor, and with the illicit 
diamond trade that fuels conflict and criminality in the 
region.
    On the Congo, the problems are still daunting, but there 
has been some real movement since I first discussed this issue 
with you in late February:
          (A) On May 4, in my presence, the Kabila Government 
        signed the Status of Forces Agreement with the UN--an 
        essential precondition for any UN deployment;
          (B) Kabila has said he would accept South African 
        troops;
          (C) The Lusaka parties signed a new cease-fire 
        agreement effective April 14, calming the situation on 
        the ground considerably;
          (D) The UN Security Council Mission negotiated on May 
        8 a cease-fire between the Ugandans and Rwandans who 
        were fighting in Kisangani (Congo's third largest, and 
        perhaps most strategic, city): Regional leaders 
        subsequently secured agreement between Rwanda and 
        Uganda on a detailed disengagement plan;
          (E) The Presidents of Rwanda and Uganda asked for 
        immediate UN assistance in support of demilitarizing 
        Kisangani;
          (F) All the parties to the war in the Congo has asked 
        for the UN observer mission as soon as possible to 
        implement the Lusaka Ceasefire Agreement;
          (G) The South Africans sent a high-level military 
        mission in New York to discuss their role in Congo, and 
        the Pakistanis (among others) are about to send troops. 
        The South Africans met with a joint State-Pentagon-NSC 
        team to discuss close coordination.
    Of course, not all the news from Congo is positive. While 
progressing, the political dialogue called for by Lusaka is off 
to a slow start; the UN and the OAU military observer missions 
have not meshed sufficiently; some of the rebels still violate 
the cease-fire on occasion; and there are many other lesser 
problems. Still there is a real desire for some resolution to 
these issues by most parties. What is required next is a step-
by-step test of their commitments to implement their own 
``African agreement for an African problem.'' This is one of 
our highest priorities.
    As we both said to you, neither the Secretary nor I are 
certain that Lusaka will succeed. But we are certain that 
Lusaka will fail if the UN does not take the next series of 
steps to support it, as called for by all parties. The recent 
progress supports this view, I believe.
    For the United States, this will require the unblocking of 
$41 million of reprogrammed peacekeeping funds for the current 
fiscal year for Congo. We believe that this request does not 
put our national prestige on the line; it is a UN operation 
(with no U.S. troops in the UN operation). However, if we do 
not pay our share, we are concerned that the UN will be unable 
to bring in adequate and properly equipped troops, and the 
resulting failure of the mission will be attributed, however 
unfairly, to the United States.
    Our arrears on the current operation in Sierra Leone limit 
our ability to promote effectively the critical policy 
objectives outlined in this letter. More broadly, failure to 
pay our share of these missions risks seriously undermining our 
all-out effort to carry the Helms-Biden reform package, on 
which we are making real progress. You will note several recent 
news articles regarding our forward movement on a wide range of 
issues, including the admission of Israel to a UN regional 
grouping (after 40 years!), the new GAO report that shows UN 
progress, and the first debate in 27 years on revising the UN 
peacekeeping scale. All this forward movement will greatly 
benefit from your support and I thank you for your thoughtful 
involvement in this process.
    I hope this letter is responsive to your request. If I can 
be of any further assistance, please do not hesitate to contact 
me or my colleagues in the State Department.
            Sincerely,
                                              Richard C. Holbrooke.
                                 ______
                                 

                  [From the Washington Post, June 18]

                  Liberia Reportedly Arming Guerrillas

                           (By Douglas Farah)

    Monrovia, Liberia--Sierra Leone's rebels have been freshly 
reinforced by Liberia with arms and recruits and are preparing to fight 
than let U.N. peacekeeping forces take over their diamond-mining 
strongholds, say Western intelligence officials and West African 
sources with direct knowledge of the events.
    In the past two weeks, Liberian President Charles Taylor has sent 
several convoys of trucks loaded with weapons, food and medicine across 
the border to the rebels of the Revolutionary United Front (RUF) in the 
Kono region of northeastern Sierra Leone, according to the sources.
    Taylor has also sponsored military training for several hundred RUF 
fighters at his own security forces' main camp, they said. Most of the 
reinforced RUF units are led by Sam Bockarie, a longtime rebel leader 
better known as Mosquito who is now living in Monrovia under Taylor's 
protection.
    For months, Western military and intelligence officials have 
reported Taylor's tactic support for the rebels and friendship with 
their leaders. But in recent days intelligence officials, diplomats and 
sources with direct knowledge of RUF activities say his support has 
become more active and the threat of a wider regional war is growing. 
These sources say Taylor's recent reinforcement of the rebels is due to 
his determination to either maintain RUF control over the bulk of 
Sierra Leon's diamond fields, or back a new RUF escalation of the war. 
While Taylor acknowledges a friendship and historical ties with RUF 
leaders, he denies that he is arming the rebels now.
    The rebels' support from Taylor and from the president of nearly 
Burkina Faso is the latest turn in nearly two decades of intertwined 
West African wars--conflicts that, at their inception, pitted brutal, 
corrupt U.S.-backed governments against revolutionaries trained and 
armed by Libyan leader Moammar Gadhafi. In the 1980s and `90s, Gadhafi 
backed the rise of Taylor, RUF leader Foday Sankoh and the president of 
Burkina Faso, Blaise Compaore. While Libya's influence has waned in 
recent years, its proteges still cooperate closely, intelligence 
analysts said.
    The current crisis arose last month when Sankoh refused to disarm 
the RUF as called for in a July 1999 peace agreement. The situation 
deteriorated when the rebels kidnapped about 500 U.N. peacekeepers and 
Sankoh fled the capital. Taylor, under international pressure, secured 
the peacekeepers's release. Sankoh was arrested by government troops 
and remains in prison.
    Last week, British Foreign Secretary Robin Cook told Parliament 
that ``there is continuing evidence establishing close links between 
the rebels in Sierra Leone and supporters in Liberia.'' The European 
Union suspended $48 million in aid to Liberia to pressure it to halt 
what another British Foreign Office minister, Keith Vaz, called ``the 
flow of illicit weapons to the [RUF] rebels . . . from outside.''
    Scholars and diplomats say Taylor backs the RUF because he profits 
from the sale of diamonds they mine, and because the rebels employ many 
of Taylor's impoverished former militia fighters, who otherwise would 
be a threat to his regime. ``If you can't give Taylor what he gets from 
Sierra Leone, you can't give him anything and he won't stop,'' said 
Ibrahim Abdullah, a historian at South Africa's University of the 
Western Cape who studies the RUF and Liberia.'' What he is getting from 
Sierra Leone is jobs for his boys and diamonds.''
    Confidential RUF documents found in Sankoh's house after he fled 
show he was shipping diamonds out of Sierra Leone through Liberia, with 
Taylor's knowledge. The documents also show that Sankoh was growing 
increasingly angry at Taylor because Taylor was taking 90 percent of 
the profits.
    In an effort to protect his interests without escalating the war, 
Taylor, with Campaore's backing, has pushed for a truce in Sierra Leone 
that would leave the rebels in charge of the main diamond fields. 
Thathas been rejected by Sierra Leone and the region's major power, 
Nigeria, and tensions are growing.
    Last week, senior officials in both Liberia and Sierra Leone warned 
that the war could spill into Liberia. Sierra Leone's deputy defense 
minister, Hinga Norman, said his troops would take on Taylor if 
necessary to finish off the rebels.
    Daniel Chea, Liberia's defense minister, responded by warning 
Sierra Leone not to ``threaten this country with war, especially one 
that you cannot win. . . . Stop blaming your war on Liberia.''
    Intelligence analysts and sources close to Taylor said he cannot 
allow the rebels to lose the war, in part because he has taken millions 
of dollars from foreign investors, in the form of licensing fees, to 
allow them to mine Sierra Leone's diamonds. ``That is why he is 
pressing for a cease-fire, where the rebels control the mine, or there 
will be all-out war,'' said one source familiar with RUF operations.
    Liberian Information Minister Joe Mulbah denied the allegations, 
telling the BBC recently that his government ``has never sanctioned the 
traffic of diamonds or guns. We are not involved [in Sierra Leone] . . 
. and I challenge anyone to prove us wrong when we say we have nothing 
to do with diamond deals in Sierra Leone.''
    Sources with direct knowledge said mercenaries from South Africa 
and Burkina Faso who are working for Taylor have trained fighters under 
rebel leader Mosquito's command at Taylor's training camp in Gbtala, 90 
miles northeast of Monrovia. They said Mosquito's men are equipped with 
surface-to-air missiles, assault rifles, antitank weapons and other 
arms from a 66-ton shipment that moved through Burkina Faso.
    In Burkina Faso earlier this month, Compaore played host to senior 
RUF commanders to plan military and political strategy, diplomats and 
intelligence analysts said. In return for their support, Taylor and 
Compaore receive diamonds from the RUF, which are then sold on the 
international diamond market, intelligence sources and U.N. 
investigators said.
    Taylor, Sankoh and Compaore have been linked since the mid-1980s, 
according to academics, intelligence analysts and participants in the 
early days of the revolutionary fervor that swept the region. Liberia's 
U.S.-backed dictator, Samuel Doe, accused Taylor, then a senior 
Liberian bureaucrat, of stealing government funds. When Taylor fled to 
the United States, he was arrested at Doe's request, but escaped to 
Burkina Faso.
    According to historians and regional experts, Compaore enlisted 
Liberian aid in the killing of then-President Thomas Sankara, after 
which Compaore seized power in Burkina Faso.
    Taylor launched his revolt against Doe in 1989, then helped Sankoh 
found the RUF in 1991. Compaore, Taylor and Sankoh, as well as many of 
their senior commanders, trained at Libya's World Revolutionary 
Headquarters in the 1980s. The Reagan administration regarded Libya as 
a primary sponsor of international terrorism and saw Doe as a reliable 
ally. It poured $500 million in aid into Doe's Liberia and pressured 
Nigeria and other pro-Western governments to intervene militarily, 
using Sierra Leone as a base, to fight Taylor. But Taylor ultimately 
fought to a draw, signed a cease-fire and won a presidential election 
in 1997.
    Troops sent by Taylor and Compaore fought alongside the RUF in 
Sierra Leone, and the RUF helped Taylor's troops, while Compaore 
supplied both with a secure arms pipeline, according to investigators.
    ``The deal was that the RUF would help Taylor `liberate' Liberia 
and afterward would provide a base for the RUF to enter Sierra Leone,'' 
said Abdullah. ``When the RUF entered Sierra Leone there was a 
Burkinabe [Burkina Faso] force under their command that Taylor arranged 
to send in. All the arms for Taylor and the RUF came from Burkina Faso, 
and were bought in Ukraine. The payment for all this was diamonds that 
went through Liberia, Burkina Faso and the Ivory Coast.'' That basic 
route still works, intelligence officials said.
    ``Until that iron triangle is broken, there will be turmoil in the 
region,'' said one intelligence official. ``There is too much history, 
too much money and too much blood for them to stop now, and they view 
losing the RUF as the beginning of the end.''

                                                     Frank R. Wolf.

                                
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