[House Report 107-345]
[From the U.S. Government Publishing Office]



107th Congress                                                   Report
                        HOUSE OF REPRESENTATIVES
 1st Session                                                    107-345

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



 
MAKING APPROPRIATIONS FOR FOREIGN OPERATIONS, EXPORT FINANCING, AND 
  RELATED PROGRAMS FOR THE FISCAL YEAR ENDING SEPTEMBER 30, 2002, AND 
  FOR OTHER PURPOSES

                                _______
                                

               December 19, 2001.--Ordered to be printed

                                _______
                                

  Mr. Kolbe, from the committee of conference, submitted the following

                           CONFERENCE REPORT

                        [To accompany H.R. 2506]

      The committee of conference on the disagreeing votes of 
the two Houses on the amendment of the Senate to the bill (H.R. 
2506) ``making appropriations for foreign operations, export 
financing, and related programs for the fiscal year ending 
September 30, 2002, and for other purposes'', having met, after 
full and free conference, have agreed to recommend and do 
recommend to their respective Houses as follows:
      That the House recede from its disagreement to the 
amendment of the Senate, and agree to the same with an 
amendment, as follows:
      In lieu of the matter stricken and inserted by said 
amendment, insert:

That the following sums are appropriated, out of any money in 
the Treasury not otherwise appropriated, for the fiscal year 
ending September 30, 2002, and for other purposes, namely:

               TITLE I--EXPORT AND INVESTMENT ASSISTANCE


                export-import bank of the united states


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


                         subsidy appropriation


    For the cost of direct loans, loan guarantees, insurance, 
and tied-aid grants as authorized by section 10 of the Export-
Import Bank Act of 1945, as amended, $727,323,000 to remain 
available until September 30, 2005: Provided, That such costs, 
including the cost of modifying such loans, shall be as defined 
in section 502 of the Congressional Budget Act of 1974: 
Provided further, That such sums shall remain available until 
September 30, 2020 for the disbursement of direct loans, loan 
guarantees, insurance and tied-aid grants obligated in fiscal 
years 2002, 2003, 2004, and 2005: Provided further, That none 
of the funds appropriated by this Act or any prior Act 
appropriating funds for foreign operations, export financing, 
or related programs for tied-aid credits or grants may be used 
for any other purpose except through the regular notification 
procedures of the Committees on Appropriations: Provided 
further, That funds appropriated by this paragraph are made 
available notwithstanding section 2(b)(2) of the Export Import 
Bank Act of 1945, in connection with the purchase or lease of 
any product by any East European country, any Baltic State or 
any agency or national thereof.


                        administrative expenses


    For administrative expenses to carry out the direct and 
guaranteed loan and insurance programs, including hire of 
passenger motor vehicles and services as authorized by 5 U.S.C. 
3109, and not to exceed $30,000 for official reception and 
representation expenses for members of the Board of Directors, 
$63,000,000: Provided, That necessary expenses (including 
special services performed on a contract or fee basis, but not 
including other personal services) in connection with the 
collection of moneys owed the Export-Import Bank, repossession 
or sale of pledged collateral or other assets acquired by the 
Export-Import Bank in satisfaction of moneys owed the Export-
Import Bank, or the investigation or appraisal of any property, 
or the evaluation of the legal or technical aspects of any 
transaction for which an application for a loan, guarantee or 
insurance commitment has been made, shall be considered 
nonadministrative expenses for the purposes of this heading: 
Provided further, That, notwithstanding subsection (b) of 
section 117 of the Export Enhancement Act of 1992, subsection 
(a) thereof shall remain in effect until October 1, 2002.


                overseas private investment corporation


                           noncredit account


    The Overseas Private Investment Corporation is authorized 
to make, without regard to fiscal year limitations, as provided 
by 31 U.S.C. 9104, such expenditures and commitments within the 
limits of funds available to it and in accordance with law as 
may be necessary: Provided, That the amount available for 
administrative expenses to carry out the credit and insurance 
programs (including an amount for official reception and 
representation expenses which shall not exceed $35,000) shall 
not exceed $38,608,000: Provided further, That project-specific 
transaction costs, including direct and indirect costs incurred 
in claims settlements, and other direct costs associated with 
services provided to specific investors or potential investors 
pursuant to section 234 of the Foreign Assistance Act of 1961, 
shall not be considered administrative expenses for the 
purposes of this heading.


                            program account


    Such sums as may be necessary for administrative expenses 
to carry out the credit program may be derived from amounts 
available for administrative expenses to carry out the credit 
and insurance programs in the Overseas Private Investment 
Corporation Noncredit Account and merged with said account.

                  Funds Appropriated to the President


                      trade and development agency


    For necessary expenses to carry out the provisions of 
section 661 of the Foreign Assistance Act of 1961, $50,024,000, 
to remain available until September 30, 2003.

                TITLE II--BILATERAL ECONOMIC ASSISTANCE

                  Funds Appropriated to the President

    For expenses necessary to enable the President to carry out 
the provisions of the Foreign Assistance Act of 1961, and for 
other purposes, to remain available until September 30, 2002, 
unless otherwise specified herein, as follows:


           united states agency for international development


                child survival and health programs fund


    For necessary expenses to carry out the provisions of 
chapters 1 and 10 of part I of the Foreign Assistance Act of 
1961, and title I of Public Law 106-570, for child survival, 
reproductive health/family planning, assistance to combat 
tropical and other infectious diseases, and related activities, 
in addition to funds otherwise available for such purposes, 
$1,433,500,000, to remain available until expended: Provided, 
That this amount shall be made available for such activities 
as: (1) immunization programs; (2) oral rehydration programs; 
(3) health, nutrition, water and sanitation programs which 
directly address the needs of mothers and children, and related 
education programs; (4) assistance for displaced and orphaned 
children; (5) programs for the prevention, treatment, and 
control of, and research on, HIV/AIDS, tuberculosis, malaria, 
polio and other infectious diseases; and (6) family planning/
reproductive health: Provided further, That none of the funds 
appropriated under this heading may be made available for 
nonproject assistance, except that funds may be made available 
for such assistance for ongoing health programs: Provided 
further, That of the funds appropriated under this heading, not 
to exceed $125,000, in addition to funds otherwise available 
for such purposes, may be used to monitor and provide oversight 
of child survival, maternal and family planning/reproductive 
health, and infectious disease programs: Provided further, That 
the following amounts should be allocated as follows: 
$315,000,000 for child survival and maternal health; 
$25,000,000 for vulnerable children; $435,000,000 for HIV/AIDS 
including not less than $15,000,000 which should be made 
available to support the development of microbicides as a means 
for combating HIV/AIDS; $165,000,000 for other infectious 
diseases, of which $65,000,000 should be made available for the 
prevention, treatment, and control of, and research on, 
tuberculosis, and of which $65,000,000 should be made available 
to combat malaria; $368,500,000 for family planning/
reproductive health, including in areas where population growth 
threatens biodiversity or endangered species; and $120,000,000 
for UNICEF: Provided further, That of the funds appropriated 
under this heading, up to $50,000,000 may be made available, 
notwithstanding any other provision of law for a United States 
contribution to a global fund to combat AIDS, tuberculosis, and 
malaria: Provided further, That in addition to the funds made 
available elsewhere under this heading and subject to the 
regular notification procedures of the Committees on 
Appropriations, the President may make available up to an 
additional $50,000,000, notwithstanding any other provision of 
law, for a United States contribution to a global fund to 
combat AIDS, tuberculosis, and malaria, which may be derived 
from funds appropriated in title II of this Act and in title II 
of prior Acts making appropriations for foreign operations, 
export financing, and related programs: Provided further, That 
of the funds appropriated under this heading, up to $53,000,000 
may be made available for a United States contribution to The 
Vaccine Fund, and up to $10,000,000 may be made available for 
the International AIDS Vaccine Initiative: Provided further, 
That none of the funds made available in this Act nor any 
unobligated balances from prior appropriations may be made 
available to any organization or program which, as determined 
by the President of the United States, supports or participates 
in the management of a program of coercive abortion or 
involuntary sterilization: Provided further, That none of the 
funds made available under this Act maybe used to pay for the 
performance of abortion as a method of family planning or to motivate 
or coerce any person to practice abortions: Provided further, That none 
of the funds made available under this Act may be used to lobby for or 
against abortion: Provided further, That in order to reduce reliance on 
abortion in developing nations, funds shall be available only to 
voluntary family planning projects which offer, either directly or 
through referral to, or information about access to, a broad range of 
family planning methods and services, and that any such voluntary 
family planning project shall meet the following requirements: (1) 
service providers or referral agents in the project shall not implement 
or be subject to quotas, or other numerical targets, of total number of 
births, number of family planning acceptors, or acceptors of a 
particular method of family planning (this provision shall not be 
construed to include the use of quantitative estimates or indicators 
for budgeting and planning purposes); (2) the project shall not include 
payment of incentives, bribes, gratuities, or financial reward to: (A) 
an individual in exchange for becoming a family planning acceptor; or 
(B) program personnel for achieving a numerical target or quota of 
total number of births, number of family planning acceptors, or 
acceptors of a particular method of family planning; (3) the project 
shall not deny any right or benefit, including the right of access to 
participate in any program of general welfare or the right of access to 
health care, as a consequence of any individual's decision not to 
accept family planning services; (4) the project shall provide family 
planning acceptors comprehensible information on the health benefits 
and risks of the method chosen, including those conditions that might 
render the use of the method inadvisable and those adverse side effects 
known to be consequent to the use of the method; and (5) the project 
shall ensure that experimental contraceptive drugs and devices and 
medical procedures are provided only in the context of a scientific 
study in which participants are advised of potential risks and 
benefits; and, not less than 60 days after the date on which the 
Administrator of the United States Agency for International Development 
determines that there has been a violation of the requirements 
contained in paragraph (1), (2), (3), or (5) of this proviso, or a 
pattern or practice of violations of the requirements contained in 
paragraph (4) of this proviso, the Administrator shall submit to the 
Committees on Appropriations of the Senate and the House of 
Representatives, a report containing a description of such violation 
and the corrective action taken by the Agency: Provided further, That 
in awarding grants for natural family planning under section 104 of the 
Foreign Assistance Act of 1961 no applicant shall be discriminated 
against because of such applicant's religious or conscientious 
commitment to offer only natural family planning; and, additionally, 
all such applicants shall comply with the requirements of the previous 
proviso: Provided further, That for purposes of this or any other Act 
authorizing or appropriating funds for foreign operations, export 
financing, and related programs, the term ``motivate'', as it relates 
to family planning assistance, shall not be construed to prohibit the 
provision, consistent with local law, of information or counseling 
about all pregnancy options: Provided further, That nothing in this 
paragraph shall be construed to alter any existing statutory 
prohibitions against abortion under section 104 of the Foreign 
Assistance Act of 1961.


                         development assistance


    For necessary expenses to carry out the provisions of 
sections 103, 105, 106, and 131, and chapter 10 of part I of 
the Foreign Assistance Act of 1961, $1,178,000,000, to remain 
available until September 30, 2003: Provided, That $150,000,000 
should be allocated for children's basic education: Provided 
further, That none of the funds appropriated under this heading 
may be made available for any activity which is in 
contravention to the Convention on International Trade in 
Endangered Species of Flora and Fauna: Provided further, That 
of the funds appropriated under this heading and the heading 
``ChildSurvival and Health Programs Fund'', $2,000,000 should 
be made available for Laos: Provided further, That funds made available 
under the previous proviso should be made available only through 
nongovernmental organizations: Provided further, That of the funds 
appropriated under this heading that are made available for assistance 
programs for displaced and orphaned children and victims of war, not to 
exceed $32,500, in addition to funds otherwise available for such 
purposes, may be used to monitor and provide oversight of such 
programs: Provided further, That of the aggregate amount of the funds 
appropriated by this Act that are made available for agriculture and 
rural development programs, $25,000,000 should be made available for 
plant biotechnology research and development: Provided further, That 
not less than $2,300,000 should be made available for core support for 
the International Fertilizer Development Center: Provided further, That 
of the funds appropriated under this heading, not less than $18,000,000 
should be made available for the American Schools and Hospitals Abroad 
program: Provided further, That of the funds appropriated under this 
heading, not less than $275,000,000 should be made available for 
programs and activities which directly protect tropical forests, 
biodiversity and endangered species, promote the sustainable use of 
natural resources, and promote a wide range of clean energy and energy 
conservation activities, including the transfer of cleaner and 
environmentally sustainable energy technologies, and related 
activities.


                                 burma


    Of the funds appropriated under the heading ``Economic 
Support Fund'', not less than $6,500,000 shall be made 
available to support democracy activities in Burma, democracy 
and humanitarian activities along the Burma-Thailand border, 
and for Burmese student groups and other organizations located 
outside Burma: Provided, That funds made available for Burma-
related activities under this heading may be made available 
notwithstanding any other provision of law: Provided further, 
That the provision of such funds shall be made available 
subject to the regular notification procedures of the 
Committees on Appropriations: Provided further, That title II 
of the Foreign Operations, Export Financing, and Related 
Programs Appropriations Act, 2001, as enacted by section 101(a) 
of Public Law 106-429, is amended, under the heading ``Burma'', 
by inserting ``, `Child Survival and Disease Programs Fund','' 
after ``Fund''.


                   international disaster assistance


    For necessary expenses for international disaster relief, 
rehabilitation, and reconstruction assistance pursuant to 
section 491 of the Foreign Assistance Act of 1961, as amended, 
$235,500,000, to remain available until expended.


                         transition initiatives


    For necessary expenses for international disaster 
rehabilitation and reconstruction assistance pursuant to 
section 491 of the Foreign Assistance Act of 1961, $50,000,000, 
to remain available until expended, to support transition to 
democracy and to long-term development of countries in crisis: 
Provided, That such support may include assistance to develop, 
strengthen, or preserve democratic institutions and processes, 
revitalize basic infrastructure, and foster the peaceful 
resolution of conflict: Provided further, That the United 
States Agency for International Development shall submit a 
report to the Committees on Appropriations at least 5 days 
prior to beginning a new program of assistance.


                      development credit authority


                     (including transfer of funds)


    For the cost of direct loans and loan guarantees, up to 
$18,500,000, as authorized by sections 108 and 635 of the 
Foreign Assistance Act of 1961: Provided, That such funds shall 
be derived by transfer from funds appropriated by this Act to 
carry out part I of the Foreign Assistance Act of 1961, and 
under the heading ``Assistance for Eastern Europe and the 
Baltic States'': Provided further, That such funds shall be 
made available only for micro and small enterprise programs, 
urban programs, and other programs which further the purposes 
of part I of the Act: Provided further, That during fiscal year 
2002, commitments to guarantee loans shall not exceed 
$267,500,000: Provided further, That such costs shall be as 
defined in section 502 of the Congressional Budget Act of 1974: 
Provided further, That the provisions of section 107A(d) 
(relating to general provisions applicable to the Development 
Credit Authority) of the Foreign Assistance Act of 1961, as 
contained in section 306 of H.R. 1486 as reported by the House 
Committee on International Relations on May 9, 1997, shall be 
applicable to direct loans and loan guarantees provided under 
this heading. In addition, for administrative expenses to carry 
out credit programs administered by the United States Agency 
for International Development, $7,500,000, all of which may be 
transferred to and merged with the appropriation for Operating 
Expenses of the United States Agency for International 
Development: Provided further, That funds appropriated under 
this heading shall remain available until September 30, 2007.


     payment to the foreign service retirement and disability fund


    For payment to the ``Foreign Service Retirement and 
Disability Fund'', as authorized by the Foreign Service Act of 
1980, $44,880,000.


   operating expenses of the united states agency for international 
                              development


    For necessary expenses to carry out the provisions of 
section 667, $549,000,000: Provided, That none of the funds 
appropriated under this heading may be made available to 
finance the construction (including architect and engineering 
services), purchase, or long term lease of offices for use by 
the United States Agency for International Development, unless 
the Administrator has identified such proposed construction 
(including architect and engineering services), purchase, or 
long term lease of offices in a report submitted to the 
Committees on Appropriations at least 15 days prior to the 
obligation of these funds for such purposes: Provided further, 
That the previous proviso shall not apply where the total cost 
of construction (including architect and engineering services), 
purchase, or long term lease of offices does not exceed 
$1,000,000: Provided further, That of the funds appropriated 
under this heading, up to $10,000,000 may remain available 
until expended for security-related costs.


   operating expenses of the united states agency for international 
                development office of inspector general


    For necessary expenses to carry out the provisions of 
section 667, $31,500,000, to remain available until September 
30, 2003, which sum shall be available for the Office of the 
Inspector General of the United States Agency for International 
Development.

                  Other Bilateral Economic Assistance


                         economic support fund


    For necessary expenses to carry out the provisions of 
chapter 4 of part II, $2,199,000,000, to remain available until 
September 30, 2003: Provided, That of the funds appropriated 
under this heading, not less than $720,000,000 shall be 
available only for Israel, which sum shall be available on a 
grant basis as a cash transfer and shall be disbursed within 30 
days of the enactment of this Act or by October 31, 2001, 
whichever is later: Provided further, That not less than 
$655,000,000 shall be available only for Egypt, which sum shall 
be provided on a grant basis, and of which sum cash transfer 
assistance shall be provided with the understanding that Egypt 
will undertake significant economic reforms which are 
additional to those which were undertaken in previous fiscal 
years, and of which not less than $200,000,000 shall be 
provided as Commodity Import Program assistance: Provided 
further, That in exercising the authority to provide cash 
transfer assistance for Israel, the President shall ensure that 
the level of such assistance does not cause an adverse impact 
on the total level of nonmilitary exports from the United 
States to such country and that Israel enters into a side 
letter agreement in an amount proportional to the fiscal year 
1999 agreement: Provided further, That of the funds 
appropriated under this heading, $150,000,000 should be made 
available for assistance for Jordan: Provided further, That of 
the funds appropriated under this heading, $50,000,000 should 
be made available for assistance for Indonesia: Provided 
further, That not less than $15,000,000 of the funds 
appropriated under this heading shall be made available for 
Cyprus to be used only for scholarships, administrative support 
of the scholarship program, bicommunal projects, and measures 
aimed at reunification of the island and designed to reduce 
tensions and promote peace and cooperation between the two 
communities on Cyprus: Provided further, That not less than 
$35,000,000 of the funds appropriated under this heading shall 
be made available for assistance for Lebanon to be used, among 
other programs, for scholarships and direct support of the 
American educational institutions in Lebanon: Provided further, 
That notwithstanding section 534(a) of this Act, funds 
appropriated under this heading that are made available for 
assistance for the Central Government of Lebanon shall be 
subject to the regular notification procedures of the 
Committees on Appropriations: Provided further, That the 
Government of Lebanon should enforce the custody and 
international pickup orders,issued during calendar year 2001, 
of Lebanon's civil courts regarding abducted American children in 
Lebanon: Provided further, That of the funds appropriated under this 
heading, not less than $25,000,000 shall be made available for 
assistance for East Timor of which up to $1,000,000 may be transferred 
to and merged with the appropriation for Operating Expenses of the 
United States Agency for International Development: Provided further, 
That funds appropriated under this heading may be used, notwithstanding 
any other provision of law, to provide assistance to the National 
Democratic Alliance of Sudan to strengthen its ability to protect 
civilians from attacks, slave raids, and aerial bombardment by the 
Sudanese Government forces and its militia allies, and the provision of 
such funds shall be subject to the regular notification procedures of 
the Committees on Appropriations: Provided further, That in the 
previous proviso, the term ``assistance'' includes non-lethal, non-food 
aid such as blankets, medicine, fuel, mobile clinics, water drilling 
equipment, communications equipment to notify civilians of aerial 
bombardment, non-military vehicles, tents, and shoes: Provided further, 
That with respect to funds appropriated under this heading in this Act 
or prior Acts making appropriations for foreign operations, export 
financing, and related programs, the responsibility for policy 
decisions and justifications for the use of such funds, including 
whether there will be a program for a country that uses those funds and 
the amount of each such program, shall be the responsibility of the 
Secretary of State and the Deputy Secretary of State and this 
responsibility shall not be delegated.


                     international fund for ireland


    For necessary expenses to carry out the provisions of 
chapter 4 of part II of the Foreign Assistance Act of 1961, 
$25,000,000, which shall be available for the United States 
contribution to the International Fund for Ireland and shall be 
made available in accordance with the provisions of the Anglo-
Irish Agreement Support Act of 1986 (Public Law 99-415): 
Provided, That such amount shall be expended at the minimum 
rate necessary to make timely payment for projects and 
activities: Provided further, That funds made available under 
this heading shall remain available until September 30, 2003.


          assistance for eastern europe and the baltic states


    (a) For necessary expenses to carry out the provisions of 
the Foreign Assistance Act of 1961 and the Support for East 
European Democracy (SEED) Act of 1989, $621,000,000, to remain 
available until September 30, 2003, which shall be available, 
notwithstanding any other provision of law, for assistance and 
for related programs for Eastern Europe and the Baltic States: 
Provided, That not to exceed $21,500,000 of the funds 
appropriated under this heading in this Act and in prior Acts 
making appropriations for foreign operations, export financing, 
and related programs, together with not to exceed $21,500,000 
of the funds appropriated under the heading ``Economic Support 
Fund'' in this Act and such prior Acts, may be made available 
for the cost, as defined in section 502 of the Congressional 
Budget Act of 1974, of modifying direct loans and guarantees 
for the Federal Republic of Yugoslavia: Provided further, That 
funds made available for assistance for Kosovo from funds 
appropriated under this heading and under the headings 
``Economic Support Fund'' and ``International Narcotics Control 
and Law Enforcement'' should not exceed 15 percent of the total 
resources pledged by all donors for calendar year 2002 for 
assistance for Kosovo as of March 31, 2002: Provided further, 
That none of the funds made available under this Act for 
assistance for Kosovo shall be made available for large scale 
physical infrastructure reconstruction.
    (b) Funds appropriated under this heading or in prior 
appropriations Acts that are or have been made available for an 
Enterprise Fund may be deposited by such Fund in interest-
bearing accounts prior to the Fund's disbursement of such funds 
for program purposes. The Fund may retain for such program 
purposes any interest earned on such deposits without returning 
such interest to the Treasury of the United States and without 
further appropriation by the Congress. Funds made available for 
Enterprise Funds shall be expended at the minimum rate 
necessary to make timely payment for projects and activities.
    (c) Funds appropriated under this heading shall be 
considered to be economic assistance under the Foreign 
Assistance Act of 1961 for purposes of making available the 
administrative authorities contained in that Act for the use of 
economic assistance.
    (d) With regard to funds appropriated under this heading 
for the economic revitalization program in Bosnia and 
Herzegovina, and local currencies generated by such funds 
(including the conversion of funds appropriated under this 
heading into currency used by Bosnia and Herzegovina as local 
currency and local currency returned or repaid under such 
program) the Administrator of the United States Agency for 
International Development shall provide written approval for 
grants and loans prior to the obligation and expenditure of 
funds for such purposes, and prior to the use of funds that 
have been returned or repaid to any lending facility or 
grantee.
    (e) The provisions of section 529 of this Act shall apply 
to funds made available under subsection (d) and to funds 
appropriated under this heading: Provided, That notwithstanding 
any provision of this or any other Act, including provisions in 
this subsection regarding the application of section 529 of 
this Act, local currencies generated by, or converted from, 
funds appropriated by this Act and by previous appropriations 
Acts and made available for the economic revitalization program 
in Bosnia may be used in Eastern Europe and the Baltic States 
to carry out the provisions of the Foreign Assistance Act of 
1961 and the Support for East European Democracy (SEED) Act of 
1989.
    (f) The President is authorized to withhold funds 
appropriated under this heading made available for economic 
revitalization programs in Bosnia and Herzegovina, if he 
determines and certifies to the Committees on Appropriations 
that the Federation of Bosnia and Herzegovina has not complied 
with article III of annex 1-A of the General Framework 
Agreement for Peace in Bosnia and Herzegovina concerning the 
withdrawal of foreign forces, and that intelligence cooperation 
on training, investigations, and related activities between 
Iranian officials and Bosnian officials has not been 
terminated.


    assistance for the independent states of the former soviet union


    (a) For necessary expenses to carry out the provisions of 
chapters 11 and 12 of part I of the Foreign Assistance Act of 
1961 and the FREEDOM Support Act, for assistance for the 
Independent States of the former Soviet Union and for related 
programs, $784,000,000, to remain available until September 30, 
2003: Provided, That the provisions of such chapters shall 
apply to funds appropriated by this paragraph: Provided 
further, That of the funds made available for the Southern 
Caucasus region, notwithstanding any other provision of law, 
funds may be used for confidence-building measures and other 
activities in furtherance of the peaceful resolution of the 
regional conflicts, especially those in the vicinity of 
Abkhazia and Nagorno-Karabagh: Provided further, That of the 
funds appropriated under this heading, not less than $1,500,000 
should be available only to meet the health and other 
assistance needs of victims of trafficking in persons: Provided 
further, That of the funds appropriated under this heading not 
less than $17,500,000 shall be made available solely for the 
Russian Far East: Provided further, That, notwithstanding any 
other provision of law funds appropriated under this heading in 
this Act or prior Acts making appropriations for foreign 
operations, export financing, or related programs, that are 
made available pursuant to the provisions of section 807 of the 
FREEDOM Support Act (Public Law 102-511) shall be subject to 
the ceiling on administrative expenses contained in section 
807(a)(5) of the FREEDOM Support Act.
    (b) Of the funds appropriated under this heading, not less 
than $154,000,000 should be made available for assistance for 
Ukraine: Provided, That of this amount, not less than 
$30,000,000 should be made available for nuclear reactor safety 
initiatives: Provided further, That not later than 60 days 
after the date of enactment of this Act, and 120 days 
thereafter, the Department of State shall submit to the 
Committees on Appropriations a report on progress by the 
Government of Ukraine in investigating and bringing to justice 
individuals responsible for the murders of Ukrainian 
journalists.
    (c) Of the funds appropriated under this heading, not less 
than $90,000,000 shall be made available for assistance for 
Armenia.
    (d) Of the funds appropriated under this heading, 
$90,000,000 should be made available for assistance for 
Georgia.
    (e)(1) Of the funds appropriated under this heading that 
are allocated for assistance for the Government of the Russian 
Federation, 60 percent shall be withheld from obligation until 
the President determines and certifies in writing to the 
Committees on Appropriations that the Government of the Russian 
Federation:
            (A) has terminated implementation of arrangements 
        to provide Iran with technical expertise, training, 
        technology, or equipment necessary to develop a nuclear 
        reactor, related nuclear research facilities or 
        programs, or ballistic missile capability; and
            (B) is providing full access to international non-
        government organizations providing humanitarian relief 
        to refugees and internally displaced persons in 
        Chechnya.
    (2) Paragraph (1) shall not apply to--
            (A) assistance to combat infectious diseases, child 
        survival activities, or assistance for victims of 
        trafficking in persons; and
            (B) activities authorized under title V 
        (Nonproliferation and Disarmament Programs and 
        Activities) of the FREEDOM Support Act.
    (f) Of the funds appropriated under this heading, not less 
than $49,000,000 should be made available, in addition to funds 
otherwise available for such purposes, for assistance for child 
survival, environmental and reproductive health/family 
planning, and to combat HIV/AIDS, tuberculosis, and other 
infectious diseases, and for related activities.
    (g)(1) Section 907 of the FREEDOM Support Act shall not 
apply to--
            (A) activities to support democracy or assistance 
        under title V of the FREEDOM Support Act and section 
        1424 of Public Law 104-201 or non-proliferation 
        assistance;
            (B) any assistance provided by the Trade and 
        Development Agency under section 661 of the Foreign 
        Assistance Act of 1961 (22 U.S.C. 2421);
            (C) any activity carried out by a member of the 
        United States and Foreign Commercial Service while 
        acting within his or her official capacity;
            (D) any insurance, reinsurance, guarantee or other 
        assistance provided by the Overseas Private Investment 
        Corporation under title IV of chapter 2 of part I of 
        the Foreign Assistance Act of 1961 (22 U.S.C. 2191 et 
        seq.);
            (E) any financing provided under the Export-Import 
        Bank Act of 1945; or
            (F) humanitarian assistance.
    (2) The President may waive section 907 of the FREEDOM 
Support Act if he determines and certifies to the Committees on 
Appropriations that to do so--
            (A) is necessary to support United States efforts 
        to counter international terrorism; or
            (B) is necessary to support the operational 
        readiness of United States Armed Forces or coalition 
        partners to counter international terrorism; or
            (C) is important to Azerbaijan's border security; 
        and
            (D) will not undermine or hamper ongoing efforts to 
        negotiate a peaceful settlement between Armenia and 
        Azerbaijan or be used for offensive purposes against 
        Armenia.
    (3) The authority of paragraph (2) may only be exercised 
through December 31, 2002.
    (4) The President may extend the waiver authority provided 
in paragraph (2) on an annual basis on or after December 31, 
2002 if he determines and certifies to the Committees on 
Appropriations in accordance with the provisions of paragraph 
(2).
    (5) The Committees on Appropriations shall be consulted 
prior to the provision of any assistance made available 
pursuant to paragraph (2).
    (6) Within 60 days of any exercise of the authority under 
paragraph (2) the President shall send a report to the 
appropriate congressional committees specifying in detail the 
following--
            (A) the nature and quantity of all training and 
        assistance provided to the Government of Azerbaijan 
        pursuant to paragraph (2);
            (B) the status of the military balance between 
        Azerbaijan and Armenia and the impact of United States 
        assistance on that balance; and
            (C) the status of negotiations for a peaceful 
        settlement between Armenia and Azerbaijan and the 
        impact of United States assistance on those 
        negotiations.

                          Independent Agencies


                       inter-american foundation


    For expenses necessary to carry out the functions of the 
Inter-American Foundation in accordance with the provisions of 
section 401 of the Foreign Assistance Act of 1969, and to make 
commitments without regard to fiscal year limitations, as 
provided by 31 U.S.C. 9104(b)(3), $13,106,950.


                     african development foundation


    For expenses necessary to carry out title V of the 
International Security and Development Cooperation Act of 1980, 
Public Law 96-533, and to make commitments without regard to 
fiscal year limitations, as provided by 31 U.S.C. 9104(b)(3), 
$16,542,000: Provided, That funds made available to grantees 
may be invested pending expenditure for project purposes when 
authorized by the President of the Foundation: Provided 
further, That interest earned shall be used only for the 
purposes for which the grant was made: Provided further, That 
this authority applies to interest earned both prior to and 
following enactment of this provision: Provided further, That 
notwithstanding section 505(a)(2) of the African Development 
Foundation Act, in exceptional circumstances the board of 
directors of the Foundation may waive the $250,000 limitation 
contained in that section with respect to a project: Provided 
further, That the Foundation shall provide a report to the 
Committees on Appropriations after each time such waiver 
authority is exercised.


                              peace corps


    For necessary expenses to carry out the provisions of the 
Peace Corps Act (75 Stat. 612), $275,000,000, including the 
purchase of not to exceed five passenger motor vehicles for 
administrative purposes for use outside of the United States: 
Provided, That none of the funds appropriated under this 
heading shall be used to pay for abortions: Provided further, 
That funds appropriated under this heading shall remain 
available until September 30, 2003.

                          Department of State


          international narcotics control and law enforcement


    For necessary expenses to carry out section 481 of the 
Foreign Assistance Act of 1961, $217,000,000, to remain 
available until expended: Provided, That any funds made 
available under this heading for anti-crime programs and 
activities shall be made available subject to the regular 
notification procedures of the Committees on Appropriations: 
Provided further, That during fiscal year 2002, the Department 
of State may also use the authority of section 608 of the 
Foreign Assistance Act of 1961, without regard to its 
restrictions, to receive excess property from an agency of the 
United States Government for the purpose of providing it to a 
foreign country under chapter 8 of part I of that Act subject 
to the regular notification procedures of the Committees on 
Appropriations: Provided further, That of the funds 
appropriated under this heading, $10,000,000 should be made 
available for anti-trafficking in persons programs, including 
trafficking prevention, protection and assistance for victims, 
and prosecution of traffickers: Provided further, That of the 
funds appropriated under this heading, not more than 
$21,738,000 may be available for administrative expenses.


                     andean counterdrug initiative


    For necessary expenses to carry out section 481 of the 
Foreign Assistance Act of 1961 solely to support counterdrug 
activities in the Andean region of South America, $625,000,000, 
to remain available until expended: Provided, That in addition 
to the funds appropriated under this heading and subject to the 
regular notification procedures of the Committees on 
Appropriations, the President may make available up to an 
additional $35,000,000 for the Andean Counterdrug Initiative, 
which may be derived from funds appropriated under the heading 
``International Narcotics Control and Law Enforcement'' in this 
Act and in prior Acts making appropriations for foreign 
operations, export financing, and related programs: Provided 
further, That of the amount appropriated under this heading, 
not less than $215,000,000 shall be apportioned directly to the 
United States Agency for International Development, to be used 
for economic and social programs: Provided further, That funds 
appropriated by this Act that are used for the procurement of 
chemicals for aerial coca fumigation programs may be made 
available for such programs only if the Secretary of State, 
after consultation with the Administrator of the Environmental 
Protection Agency, the Secretary of the Department of 
Agriculture, and, if appropriate, the Director of the Centers 
for Disease Control and Prevention, determines and reports to 
the Committees on Appropriations that (1) aerial coca 
fumigation is being carried out in accordance with regulatory 
controls required by the Environmental Protection Agency as 
labeled for use in the United States, and after consultation 
with the Colombian Government to ensure that the fumigation is 
in accordance with Colombian laws; (2) the chemicals used in 
the aerial fumigation of coca, in the manner in which they are 
being applied, do not pose unreasonable risks or adverse 
effects to humans or the environment; and (3) procedures are 
available to evaluate claims of local citizens that theirhealth 
was harmed or their licit agricultural crops were damaged by such 
aerial coca fumigation, and to provide fair compensation for 
meritorious claims; and such funds may not be made available for such 
purposes after six months from the date of enactment of this Act unless 
alternative development programs have been developed, in consultation 
with communities and local authorities in the departments in which such 
aerial coca fumigation is planned, and in the departments in which such 
aerial coca fumigation has been conducted such programs are being 
implemented: Provided further, That none of the funds appropriated by 
this Act may be made available to support a Peruvian air interdiction 
program until the Secretary of State and Director of Central 
Intelligence certify to the Congress, 30 days before any resumption of 
United States involvement in a Peruvian air interdiction program, that 
an air interdiction program that permits the ability of the Peruvian 
Air Force to shoot down aircraft will include enhanced safeguards and 
procedures to prevent the occurrence of any incident similar to the 
April 20, 2001 incident: Provided further, That section 482(b) of the 
Foreign Assistance Act of 1961 shall not apply to funds appropriated 
under this heading: Provided further, That assistance provided with 
funds appropriated under this heading that is made available 
notwithstanding section 482(b) of the Foreign Assistance Act of 1961, 
as amended, shall be made available subject to the regular notification 
procedures of the Committees on Appropriations: Provided further, That 
section 3204(b)(1)(A) of Public Law 106-246 is amended by striking 
``500'' and inserting in lieu thereof ``400'', and section 
3204(b)(1)(B) of Public Law 106-246 is amended by striking ``300'' and 
inserting in lieu thereof ``400'': Provided further, That the President 
shall ensure that if any helicopter procured with funds under this 
heading is used to aid or abet the operations of any illegal self-
defense group or illegal security cooperative, such helicopter shall be 
immediately returned to the United States: Provided further, That funds 
made available under this heading shall be subject to the regular 
notification procedures of the Committees on Appropriations: Provided 
further, That of the funds appropriated under this heading, not more 
than $14,240,000 may be available for administrative expenses of the 
Department of State, and not more than $4,500,000 may be available for 
administrative expenses of the United States Agency for International 
Development.


                    migration and refugee assistance


    For expenses, not otherwise provided for, necessary to 
enable the Secretary of State to provide, as authorized by law, 
a contribution to the International Committee of the Red Cross, 
assistance to refugees, including contributions to the 
International Organization for Migration and the United Nations 
High Commissioner for Refugees, and other activities to meet 
refugee and migration needs; salaries and expenses of personnel 
and dependents as authorized by the Foreign Service Act of 
1980; allowances as authorized by sections 5921 through 5925 of 
title 5, United States Code; purchase and hire of passenger 
motor vehicles; and services as authorized by section 3109 of 
title 5, United States Code, $705,000,000, which shall remain 
available until expended: Provided, That not more than 
$16,000,000 may be available for administrative expenses: 
Provided further, That funds appropriated under this heading 
may be made available for a headquarters contribution to the 
International Committee of the Red Cross only if the Secretary 
of State determines (and so reports to the appropriate 
committees of the Congress) that the Magen David Adom Society 
of Israel is not being denied participation in the activities 
of the International Red Cross and Red Crescent Movement: 
Provided further, That not less than $60,000,000 of the funds 
made available under this heading shall be made available for 
refugees from the former Soviet Union and Eastern Europe and 
other refugees resettling in Israel.


     united states emergency refugee and migration assistance fund


    For necessary expenses to carry out the provisions of 
section 2(c) of the Migration and Refugee Assistance Act of 
1962, as amended (22 U.S.C. 260(c)), $15,000,000, to remain 
available until expended: Provided, That the funds made 
available under this heading are appropriated notwithstanding 
the provisions contained in section 2(c)(2) of the Act which 
would limit the amount of funds which could be appropriated for 
this purpose.


    nonproliferation, anti-terrorism, demining and related programs


    For necessary expenses for nonproliferation, anti-terrorism 
and related programs and activities, $313,500,000, to carry out 
the provisions of chapter 8 of part II of the Foreign 
Assistance Act of 1961 for anti-terrorism assistance, chapter 9 
of part II of the Foreign Assistance Act of 1961, section 504 
of the FREEDOM Support Act, section 23 of the Arms Export 
Control Act or the Foreign Assistance Act of 1961 for demining 
activities, the clearance of unexploded ordnance, the 
destruction of small arms, and related activities, 
notwithstanding any other provision of law, including 
activities implemented through nongovernmental and 
international organizations, section 301 of the Foreign 
Assistance Act of 1961 for a voluntary contribution to the 
International Atomic Energy Agency (IAEA) and a voluntary 
contribution to the Korean Peninsula Energy Development 
Organization (KEDO), and for a United States contribution to 
the Comprehensive Nuclear Test Ban Treaty Preparatory 
Commission: Provided, That the Secretary of State shall inform 
the Committees on Appropriations at least 15 days prior to the 
obligation of funds for the Comprehensive Nuclear Test Ban 
Treaty Preparatory Commission: Provided further, That of this 
amount not to exceed $14,000,000, to remain available until 
expended, may be made available for the Nonproliferation and 
Disarmament Fund, notwithstanding any other provision of law, 
to promote bilateral and multilateral activities relating to 
nonproliferation and disarmament: Provided further, That such 
funds may also be used for such 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 to do so following consultation with the 
appropriate committees of Congress: Provided further, That 
funds appropriated under this heading may be made available for 
the International Atomic Energy Agency only if the Secretary of 
State determines (and so reports to the Congress) that Israel 
is not being denied its right to participate in the activities 
of that Agency: Provided further, That of the funds made 
available for demining and related activities, not to exceed 
$500,000, in addition to funds otherwise available for such 
purposes, may be used for administrative expenses related to 
the operation and management of the demining program.

                       Department of the Treasury


               international affairs technical assistance


    For necessary expenses to carry out the provisions of 
section 129 of the Foreign Assistance Act of 1961 (relating to 
international affairs technical assistance activities), 
$6,500,000, to remain available until expended, which shall be 
available notwithstanding any other provision of law.


                           debt restructuring


    For the cost, as defined in section 502 of the 
Congressional Budget Act of 1974, of modifying loans and loan 
guarantees, as the President may determine, for which funds 
have been appropriated or otherwise made available for programs 
within the International Affairs Budget Function 150, including 
the cost of selling, reducing, or canceling amounts owed to the 
United States as a result of concessional loans made to 
eligible countries, pursuant to parts IV and V of the Foreign 
Assistance Act of 1961, and of modifying concessional credit 
agreements with least developed countries, as authorized under 
section 411 of the Agricultural Trade Development and 
Assistance Act of 1954, as amended, and concessional loans, 
guarantees and credit agreements, as authorized under section 
572 of the Foreign Operations, Export Financing, and Related 
Programs Appropriations Act, 1989 (Public Law 100-461), and of 
canceling amounts owed, as a result of loans or guarantees made 
pursuant to the Export-Import Bank Act of 1945, by countries 
that are eligible for debt reduction pursuant to title V of 
H.R. 3425 as enacted into law by section 1000(a)(5) of Public 
Law 106-113, $229,000,000, to remain available until expended: 
Provided, That not less than $5,000,000 of the funds 
appropriated under this heading shall be made available to 
carry out the provisions of part V of the Foreign Assistance 
Act of 1961, and up to $20,000,000 of unobligated balances of 
funds available under this heading from prior year 
appropriations acts should be made available to carry out such 
provisions: Provided further, That funds appropriated or 
otherwise made available under this heading in this Act may be 
used by the Secretary of the Treasury to pay to the Heavily 
Indebted Poor Countries (HIPC) Trust Fund administered by the 
International Bank for Reconstruction and Development amounts 
for the benefit of countries that are eligible for debt 
reduction pursuant to title V of H.R. 3425 as enacted into law 
by section 1000(a)(5) of Public Law 106-113: Provided further, 
That amounts paidto the HIPC Trust Fund may be used only to 
fund debt reduction under the enhanced HIPC initiative by--
            (1) the Inter-American Development Bank;
            (2) the African Development Fund;
            (3) the African Development Bank; and
            (4) the Central American Bank for Economic 
        Integration:
Provided further, That funds may not be paid to the HIPC Trust 
Fund for the benefit of any country if the Secretary of State 
has credible evidence that the government of such country is 
engaged in a consistent pattern of gross violations of 
internationally recognized human rights or in military or civil 
conflict that undermines its ability to develop and implement 
measures to alleviate poverty and to devote adequate human and 
financial resources to that end: Provided further, That on the 
basis of final appropriations, the Secretary of the Treasury 
shall consult with the Committees on Appropriations concerning 
which countries and international financial institutions are 
expected to benefit from a United States contribution to the 
HIPC Trust Fund during the fiscal year: Provided further, That 
the Secretary of the Treasury shall inform the Committees on 
Appropriations not less than 15 days in advance of the 
signature of an agreement by the United States to make payments 
to the HIPC Trust Fund of amounts for such countries and 
institutions: Provided further, That the Secretary of the 
Treasury may disburse funds designated for debt reduction 
through the HIPC Trust Fund only for the benefit of countries 
that--
            (a) have committed, for a period of 24 months, not 
        to accept new market-rate loans from the international 
        financial institution receiving debt repayment as a 
        result of such disbursement, other than loans made by 
        such institution to export-oriented commercial projects 
        that generate foreign exchange which are generally 
        referred to as ``enclave'' loans; and
            (b) have documented and demonstrated their 
        commitment to redirect their budgetary resources from 
        international debt repayments to programs to alleviate 
        poverty and promote economic growth that are additional 
        to or expand upon those previously available for such 
        purposes:
Provided further, That 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: Provided further, That none of the funds 
made available under this heading in this or any other 
appropriations Acts shall be made available for Sudan or Burma 
unless the Secretary of Treasury determines and notifies the 
Committees on Appropriations that a democratically elected 
government has taken office.

                     TITLE III--MILITARY ASSISTANCE

                  Funds Appropriated to the President


             international military education and training


    For necessary expenses to carry out the provisions of 
section 541 of the Foreign Assistance Act of 1961, $70,000,000, 
of which up to $3,000,000 may remain available until expended: 
Provided, That the civilian personnel for whom military 
education and training may be provided under this heading may 
include civilians who are not members of a government whose 
participation would contribute to improved civil-military 
relations, civilian control of the military, or respect for 
human rights: Provided further, That funds appropriated under 
this heading for military education and training for Indonesia 
and Guatemala may only be available for expanded international 
military education and training and funds made available for 
Algeria, Indonesia and Guatemala may only be provided through 
the regular notification procedures of the Committees on 
Appropriations.


                   foreign military financing program


    For expenses necessary for grants to enable the President 
to carry out the provisions of section 23 of the Arms Export 
Control Act, $3,650,000,000: Provided, That of the funds 
appropriated under this heading, not less than $2,040,000,000 
shall be available for grants only for Israel, and not less 
than $1,300,000,000 shall be madeavailable for grants only for 
Egypt: Provided further, That the funds appropriated by this paragraph 
for Israel shall be disbursed within 30 days of the enactment of this 
Act or by October 31, 2001, whichever is later: Provided further, That 
to the extent that the Government of Israel requests that funds be used 
for such purposes, grants made available for Israel by this paragraph 
shall, as agreed by Israel and the United States, be available for 
advanced weapons systems, of which not less than $535,000,000 shall be 
available for the procurement in Israel of defense articles and defense 
services, including research and development: Provided further, That of 
the funds appropriated by this paragraph, not less than $75,000,000 
shall be made available for assistance for Jordan: Provided further, 
That of the funds appropriated by this paragraph, not less than 
$3,500,000 should be made available for assistance for Tunisia: 
Provided further, That during fiscal year 2002, the President is 
authorized to, and shall, direct the drawdowns of defense articles from 
the stocks of the Department of Defense, defense services of the 
Department of Defense, and military education and training of an 
aggregate value of not less than $5,000,000 under the authority of this 
proviso for Tunisia for the purposes of part II of the Foreign 
Assistance Act of 1961: Provided further, That of the funds 
appropriated by this paragraph and under the heading ``International 
Narcotics Control and Law Enforcement'', not less than $2,300,000 shall 
be made available for assistance for Thailand, of which not less than 
$1,000,000 shall be made available from funds appropriated under the 
heading ``International Narcotics Control and Law Enforcement'' and 
which shall be in addition to other funds available for such purposes: 
Provided further, That of the funds appropriated by this paragraph, not 
less than $4,000,000 shall be made available for assistance for 
Armenia: Provided further, That funds appropriated by this paragraph 
shall be nonrepayable notwithstanding any requirement in section 23 of 
the Arms Export Control Act: Provided further, That funds made 
available under this paragraph shall be obligated upon apportionment in 
accordance with paragraph (5)(C) of title 31, United States Code, 
section 1501(a).
    None of the funds made available under this heading shall 
be available to finance the procurement of defense articles, 
defense services, or design and construction services that are 
not sold by the United States Government under the Arms Export 
Control Act unless the foreign country proposing to make such 
procurements has first signed an agreement with the United 
States Government specifying the conditions under which such 
procurements may be financed with such funds: Provided, That 
all country and funding level increases in allocations shall be 
submitted through the regular notification procedures of 
section 515 of this Act: Provided further, That none of the 
funds appropriated under this heading shall be available for 
assistance for Sudan and Liberia: Provided further, That funds 
made available under this heading may be used, notwithstanding 
any other provision of law, for demining, the clearance of 
unexploded ordnance, and related activities, and may include 
activities implemented through nongovernmental and 
international organizations: Provided further, That none of the 
funds appropriated under this heading shall be available for 
assistance for Guatemala: Provided further, That only those 
countries for which assistance was justified for the ``Foreign 
Military Sales Financing Program'' in the fiscal year 1989 
congressional presentation for security assistance programs may 
utilize funds made available under this heading for procurement 
of defense articles, defense services or design and 
construction services that are not sold by the United States 
Government under the Arms Export Control Act: Provided further, 
That funds appropriated under this heading shall be expended at 
the minimum rate necessary to make timely payment for defense 
articles and services: Provided further, That not more than 
$35,000,000 of the funds appropriated under this heading may be 
obligatedfor necessary expenses, including the purchase of 
passenger motor vehicles for replacement only for use outside of the 
United States, for the general costs of administering military 
assistance and sales: Provided further, That not more than $348,000,000 
of funds realized pursuant to section 21(e)(1)(A) of the Arms Export 
Control Act may be obligated for expenses incurred by the Department of 
Defense during fiscal year 2002 pursuant to section 43(b) of the Arms 
Export Control Act, except that this limitation may be exceeded only 
through the regular notification procedures of the Committees on 
Appropriations: Provided further, That foreign military financing 
program funds estimated to be outlayed for Egypt during fiscal year 
2002 shall be transferred to an interest bearing account for Egypt in 
the Federal Reserve Bank of New York within 30 days of enactment of 
this Act or by October 31, 2001, whichever is later: Provided further, 
That the ninth proviso under the heading ``Foreign Military Financing 
Program'' in title III of the Foreign Operations, Export Financing, and 
Related Programs Appropriations Act, 2001, as enacted by Public Law 
106-429, is amended by inserting ``or 2002'' after ``2001''.


                        peacekeeping operations


    For necessary expenses to carry out the provisions of 
section 551 of the Foreign Assistance Act of 1961, 
$135,000,000: Provided, That none of the funds appropriated 
under this heading shall be obligated or expended except as 
provided through the regular notification procedures of the 
Committees on Appropriations.

               TITLE IV--MULTILATERAL ECONOMIC ASSISTANCE


                  funds appropriated to the president


                  international financial institutions


                      global environment facility


    For the United States contribution for the Global 
Environment Facility, $100,500,000, to the International Bank 
for Reconstruction and Development as trustee for the Global 
Environment Facility, by the Secretary of the Treasury, to 
remain available until expended.


       contribution to the international development association


    For payment to the International Development Association by 
the Secretary of the Treasury, $792,400,000, to remain 
available until expended: Provided, That in negotiating United 
States participation in the next replenishment of the 
International Development Association, the Secretary of the 
Treasury shall accord high priority to providing the 
International Development Association with the policy 
flexibility to provide new grant assistance to countries 
eligible for debt reduction under the enhanced HIPC Initiative: 
Provided further, That the Secretary of the Treasury should 
instruct the United States executive director to the 
International Bank for Reconstruction and Development to vote 
against any water or sewage project in India that does not 
prohibit the use of scavenger labor.


      contribution to the multilateral investment guarantee agency


    For payment to the Multilateral Investment Guarantee Agency 
by the Secretary of the Treasury, $5,000,000, for the United 
States paid-in share of the increase in capital stock, to 
remain available until expended.


              limitation on callable capital subscriptions


    The United States Governor of the Multilateral Investment 
Guarantee Agency may subscribe without fiscal year limitation 
for the callable capital portion of the United States share of 
such capital stock in an amount not to exceed $25,000,000.


       contribution to the inter-american investment corporation


    For payment to the Inter-American Investment Corporation, 
by the Secretary of the Treasury, $18,000,000, for the United 
States share of the increase in subscriptions to capital stock, 
to remain available until expended.


               contribution to the asian development fund


    For the United States contribution by the Secretary of the 
Treasury to the increase in resources of the Asian Development 
Fund, as authorized by the Asian Development Bank Act, as 
amended, $98,017,050, to remain available until expended.


              contribution to the african development bank


    For payment to the African Development Bank by the 
Secretary of the Treasury, $5,100,000, for the United States 
paid-in share of the increase in capital stock, to remain 
available until expended.


              limitation on callable capital subscriptions


    The United States Governor of the African Development Bank 
may subscribe without fiscal year limitation for the callable 
capital portion of the United States share of such capital 
stock in an amount not to exceed $79,991,500.


              contribution to the african development fund


    For the United States contribution by the Secretary of the 
Treasury to the increase in resources of the African 
Development Fund, $100,000,000, to remain available until 
expended.


  contribution to the european bank for reconstruction and development


    For payment to the European Bank for Reconstruction and 
Development by the Secretary of the Treasury, $35,778,717, for 
the United States share of the paid-in portion of the increase 
in capital stock, to remain available until expended.


              limitation on callable capital subscriptions


    The United States Governor of the European Bank for 
Reconstruction and Development may subscribe without fiscal 
year limitation to the callable capital portion of the United 
States share of such capital stock in an amount not to exceed 
$123,237,803.

  contribution to the international fund for agricultural development

    For the United States contribution by the Secretary of the 
Treasury to increase the resources of the International Fund 
for Agricultural Development, $20,000,000, to remain available 
until expended.

                international organizations and programs

    For necessary expenses to carry out the provisions of 
section 301 of the Foreign Assistance Act of 1961, and of 
section 2 of the United Nations Environment Program 
Participation Act of 1973, $208,500,000: Provided, That none of 
the funds appropriated under this heading may be made available 
to the Korean Peninsula Energy Development Organization (KEDO) 
or the International Atomic Energy Agency (IAEA): Provided 
further, That not less than $6,000,000 should be made available 
to the World Food Program.

                      TITLE V--GENERAL PROVISIONS


             obligations during last month of availability


    Sec. 501. Except for the appropriations entitled 
``International Disaster Assistance'', and ``United States 
Emergency Refugee and Migration Assistance Fund'', not more 
than 15 percent of any appropriation item made available by 
this Act shall be obligated during the last month of 
availability.


                  private and voluntary organizations


    Sec. 502. (a) None of the funds appropriated or otherwise 
made available by this Act for development assistance may be 
made available to any United States private and voluntary 
organization, except any cooperative development organization, 
which obtains less than 20 percent of its total annual funding 
for international activities from sources other than the United 
States Government: Provided, That the Administrator of the 
United States Agency for International Development, after 
informing the Committees on Appropriations, may, on a case-by-
case basis, waive the restriction contained in this subsection, 
after taking into account the effectiveness of the overseas 
development activities of the organization, its level of 
volunteer support, its financial viability and stability, and 
the degree of its dependence for its financial support on the 
agency.
    (b) Funds appropriated or otherwise made available under 
title II of this Act should be made available to private and 
voluntary organizations at a level which is at least equivalent 
to the level provided in fiscal year 1995.


                    limitation on residence expenses


    Sec. 503. Of the funds appropriated or made available 
pursuant to this Act, not to exceed $126,500 shall be for 
official residence expenses of the United States Agency for 
International Development during the current fiscal year: 
Provided, That appropriate steps shall be taken to assure that, 
to the maximum extent possible, United States-owned foreign 
currencies are utilized in lieu of dollars.


                         limitation on expenses


    Sec. 504. Of the funds appropriated or made available 
pursuant to this Act, not to exceed $5,000 shall be for 
entertainment expenses of the United States Agency for 
International Development during the current fiscal year.


               limitation on representational allowances


    Sec. 505. Of the funds appropriated or made available 
pursuant to this Act, not to exceed $95,000 shall be available 
for representation allowances for the United States Agency for 
International Development during the current fiscal year: 
Provided, That appropriate steps shall be taken to assure that, 
to the maximum extent possible,United States-owned foreign 
currencies are utilized in lieu of dollars: Provided further, That of 
the funds made available by this Act for general costs of administering 
military assistance and sales under the heading ``Foreign Military 
Financing Program'', not to exceed $2,000 shall be available for 
entertainment expenses and not to exceed $125,000 shall be available 
for representation allowances: Provided further, That of the funds made 
available by this Act under the heading ``International Military 
Education and Training'', not to exceed $50,000 shall be available for 
entertainment allowances: Provided further, That of the funds made 
available by this Act for the Inter-American Foundation, not to exceed 
$2,000 shall be available for entertainment and representation 
allowances: Provided further, That of the funds made available by this 
Act for the Peace Corps, not to exceed a total of $4,000 shall be 
available for entertainment expenses: Provided further, That of the 
funds made available by this Act under the heading ``Trade and 
Development Agency'', not to exceed $2,000 shall be available for 
representation and entertainment allowances.


                 prohibition on financing nuclear goods


    Sec. 506. None of the funds appropriated or made available 
(other than funds for ``Nonproliferation, Anti-terrorism, 
Demining and Related Programs'') pursuant to this Act, for 
carrying out the Foreign Assistance Act of 1961, may be used, 
except for purposes of nuclear safety, to finance the export of 
nuclear equipment, fuel, or technology.


        prohibition against direct funding for certain countries


    Sec. 507. None of the funds appropriated or otherwise made 
available pursuant to this Act shall be obligated or expended 
to finance directly any assistance or reparations to Cuba, 
Iraq, Libya, North Korea, Iran, Sudan, or Syria: Provided, That 
for purposes of this section, the prohibition on obligations or 
expenditures shall include direct loans, credits, insurance and 
guarantees of the Export-Import Bank or its agents.


                             military coups


    Sec. 508. None of the funds appropriated or otherwise made 
available pursuant to this Act shall be obligated or expended 
to finance directly any assistance to the government of any 
country whose duly elected head of government is deposed by 
decree or military coup: Provided, That assistance may be 
resumed to such government if the President determines and 
certifies to the Committees on Appropriations that subsequent 
to the termination of assistance a democratically elected 
government has taken office: Provided further, That the 
provisions of this section shall not apply to assistance to 
promote democratic elections or public participation in 
democratic processes: Provided further, That funds made 
available pursuant to the previous provisos shall be subject to 
the regular notification procedures of the Committees on 
Appropriations.


                       transfers between accounts


    Sec. 509. None of the funds made available by this Act may 
be obligated under an appropriation account to which they were 
not appropriated, except for transfers specifically provided 
for in this Act, unless the President, prior to the exercise of 
any authority contained in the Foreign Assistance Act of 1961 
to transfer funds, consults with and provides a written policy 
justification to the Committees on Appropriations of the House 
of Representatives and the Senate.


                  deobligation/reobligation authority


    Sec. 510. Obligated balances of funds appropriated to carry 
out section 23 of the Arms Export Control Act as of the end of 
the fiscal year immediately preceding the current fiscal year 
are, if deobligated, hereby continued available during the 
current fiscal year for the same purpose under any authority 
applicable to such appropriations under this Act: Provided, 
That the authority of this subsection may not be used in fiscal 
year 2002.


                         availability of funds


    Sec. 511. No part of any appropriation contained in this 
Act shall remain available for obligation after the expiration 
of the current fiscal year unless expressly so provided in this 
Act: Provided, That funds appropriated for the purposes of 
chapters 1, 8, 11, and 12 of part I, section 667, chapter 4 of 
part II of the Foreign Assistance Act of 1961, as amended, 
section 23 of the Arms Export Control Act, and funds provided 
under the heading ``Assistance for Eastern Europe and the 
Baltic States'', shall remain available for an additional four 
years from the date on which the availability of such funds 
would otherwise have expired, if such funds are initially 
obligated before the expiration of their respective periods of 
availability contained in this Act: Provided further, That, 
notwithstanding any other provision of this Act, any funds made 
available for the purposes of chapter 1 of part I and chapter 4 
of part II of the Foreign Assistance Act of 1961 which are 
allocated or obligated for cash disbursements in order to 
address balance of payments or economic policy reform 
objectives, shall remain available until expended.


            limitation on assistance to countries in default


    Sec. 512. No part of any appropriation contained in this 
Act shall be used to furnish assistance to any country which is 
in default during a period in excess of one calendar year in 
payment to the United States of principal or interest on any 
loan made to the government of such country by the United 
States pursuant to a program for which funds are appropriated 
under this Act unless the President determines, following 
consultations with theCommittees on Appropriations, that 
assistance to such country is in the national interest of the United 
States.


                           commerce and trade


    Sec. 513. (a) None of the funds appropriated or made 
available pursuant to this Act for direct assistance and none 
of the funds otherwise made available pursuant to this Act to 
the Export-Import Bank and the Overseas Private Investment 
Corporation shall be obligated or expended to finance any loan, 
any assistance or any other financial commitments for 
establishing or expanding production of any commodity for 
export by any country other than the United States, if the 
commodity is likely to be in surplus on world markets at the 
time the resulting productive capacity is expected to become 
operative and if the assistance will cause substantial injury 
to United States producers of the same, similar, or competing 
commodity: Provided, That such prohibition shall not apply to 
the Export-Import Bank if in the judgment of its Board of 
Directors the benefits to industry and employment in the United 
States are likely to outweigh the injury to United States 
producers of the same, similar, or competing commodity, and the 
Chairman of the Board so notifies the Committees on 
Appropriations.
    (b) None of the funds appropriated by this or any other Act 
to carry out chapter 1 of part I of the Foreign Assistance Act 
of 1961 shall be available for any testing or breeding 
feasibility study, variety improvement or introduction, 
consultancy, publication, conference, or training in connection 
with the growth or production in a foreign country of an 
agricultural commodity for export which would compete with a 
similar commodity grown or produced in the United States: 
Provided, That this subsection shall not prohibit--
            (1) activities designed to increase food security 
        in developing countries where such activities will not 
        have a significant impact in the export of agricultural 
        commodities of the United States; or
            (2) research activities intended primarily to 
        benefit American producers.


                          surplus commodities


    Sec. 514. The Secretary of the Treasury shall instruct the 
United States Executive Directors of the International Bank for 
Reconstruction and Development, the International Development 
Association, the International Finance Corporation, the Inter-
American Development Bank, the International Monetary Fund, the 
Asian Development Bank, the Inter-American Investment 
Corporation, the North American Development Bank, the European 
Bank for Reconstruction and Development, the African 
Development Bank, and the African Development Fund to use the 
voice and vote of the United States to oppose any assistance by 
these institutions, using funds appropriated or made available 
pursuant to this Act, for the production or extraction of any 
commodity or mineral for export, if it is in surplus on world 
markets and if the assistance will cause substantial injury to 
United States producers of the same, similar, or competing 
commodity.


                       notification requirements


    Sec. 515. For the purposes of providing the executive 
branch with the necessary administrative flexibility, none of 
the funds made available under this Act for ``Child Survival 
and Health Programs Fund'', ``Development Assistance'', 
``International Organizations and Programs'', ``Trade and 
Development Agency'', ``International Narcotics Control and Law 
Enforcement'', ``Andean Counterdrug Initiative'', ``Assistance 
for Eastern Europe and the Baltic States'', ``Assistance for 
the Independent States of the Former Soviet Union'', ``Economic 
Support Fund'', ``Peacekeeping Operations'', ``Operating 
Expenses of the United States Agency for International 
Development'', ``Operating Expenses of the United States Agency 
for International Development Office of Inspector General'', 
``Nonproliferation, Anti-terrorism, Demining and Related 
Programs'', ``Foreign Military Financing Program'', 
``International Military Education and Training'', ``Peace 
Corps'', and ``Migration and Refugee Assistance'', shall be 
available for obligation for activities, programs, projects, 
type of materiel assistance, countries, or other operations not 
justified or in excess of the amount justified to the 
Appropriations Committees for obligation under any of these 
specific headings unless the Appropriations Committees of both 
Houses of Congress are previously notified 15 days in advance: 
Provided, That the President shall not enter into any 
commitment of funds appropriated for the purposes of section 23 
of the Arms Export Control Act for the provision of major 
defense equipment, other than conventional ammunition, or other 
major defense items defined to be aircraft, ships, missiles, or 
combat vehicles, not previously justified to Congress or 20 
percent in excess of the quantities justified to Congress 
unless the Committees on Appropriations are notified 15 days in 
advance of such commitment: Provided further, That this section 
shall not apply to any reprogramming for an activity, program, 
or project under chapter 1 of part I of the Foreign Assistance 
Act of 1961 of less than 10 percent of the amount previously 
justified to the Congress for obligation for such activity, 
program, or project for the current fiscal year: Provided 
further, That the requirements of this section or any similar 
provision of this Act or any other Act, including any prior Act 
requiring notification in accordance with the regular 
notification procedures of the Committees on Appropriations, 
may be waived if failure to do so would pose a substantial 
riskto human health or welfare: Provided further, That in case of any 
such waiver, notification to the Congress, or the appropriate 
congressional committees, shall be provided as early as practicable, 
but in no event later than 3 days after taking the action to which such 
notification requirement was applicable, in the context of the 
circumstances necessitating such waiver: Provided further, That any 
notification provided pursuant to such a waiver shall contain an 
explanation of the emergency circumstances.


limitation on availability of funds for international organizations and 
                                programs


    Sec. 516. Subject to the regular notification procedures of 
the Committees on Appropriations, funds appropriated under this 
Act or any previously enacted Act making appropriations for 
foreign operations, export financing, and related programs, 
which are returned or not made available for organizations and 
programs because of the implementation of section 307(a) of the 
Foreign Assistance Act of 1961, shall remain available for 
obligation until September 30, 2003.


             independent states of the former soviet union


    Sec. 517. (a) None of the funds appropriated under the 
heading ``Assistance for the Independent States of the Former 
Soviet Union'' shall be made available for assistance for a 
government of an Independent State of the former Soviet Union--
            (1) unless that government is making progress in 
        implementing comprehensive economic reforms based on 
        market principles, private ownership, respect for 
        commercial contracts, and equitable treatment of 
        foreign private investment; and
            (2) if that government applies or transfers United 
        States assistance to any entity for the purpose of 
        expropriating or seizing ownership or control of 
        assets, investments, or ventures.
Assistance may be furnished without regard to this subsection 
if the President determines that to do so is in the national 
interest.
    (b) None of the funds appropriated under the heading 
``Assistance for the Independent States of the Former Soviet 
Union'' shall be made available for assistance for a government 
of an Independent State of the former Soviet Union if that 
government directs any action in violation of the territorial 
integrity or national sovereignty of any other Independent 
State of the former Soviet Union, such as those violations 
included in the Helsinki Final Act: Provided, That such funds 
may be made available without regard to the restriction in this 
subsection if the President determines that to do so is in the 
national security interest of the United States.
    (c) None of the funds appropriated under the heading 
``Assistance for the Independent States of the Former Soviet 
Union'' shall be made available for any state to enhance its 
military capability: Provided, That this restriction does not 
apply to demilitarization, demining or nonproliferation 
programs.
    (d) Funds appropriated under the heading ``Assistance for 
the Independent States of the Former Soviet Union'' for the 
Russian Federation, Armenia, Georgia, and Ukraine shall be 
subject to the regular notification procedures of the 
Committees on Appropriations.
    (e) Funds made available in this Act for assistance for the 
Independent States of the former Soviet Union shall be subject 
to the provisions of section 117 (relating to environment and 
natural resources) of the Foreign Assistance Act of 1961.
    (f) Funds appropriated in this or prior appropriations Acts 
that are or have been made available for an Enterprise Fund in 
the Independent States of the Former Soviet Union may be 
deposited by such Fund in interest-bearing accounts prior to 
the disbursement of such funds by the Fund for program 
purposes. The Fund may retain for such program purposes any 
interest earned on such deposits without returning such 
interest to the Treasury of the United States and without 
further appropriation by the Congress. Funds made available for 
Enterprise Funds shall be expended at the minimum rate 
necessary to make timely payment for projects and activities.
    (g) In issuing new task orders, entering into contracts, or 
making grants, with funds appropriated in this Act or prior 
appropriations Acts under the heading ``Assistance for the 
Independent States of the Former Soviet Union'' and under 
comparable headings in prior appropriations Acts, for projects 
or activities that have as one of their primary purposes the 
fostering of private sector development, the Coordinator for 
United States Assistance to the New Independent States and the 
implementing agency shall encourage the participation of and 
give significant weight to contractors and grantees who propose 
investing a significant amount of their own resources 
(including volunteer services and in-kind contributions) in 
such projects and activities.


   prohibition on funding for abortions and involuntary sterilization


    Sec. 518. None of the funds made available to carry out 
part I of the Foreign Assistance Act of 1961, as amended, may 
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. None of the funds made available to carry out part I 
of the Foreign Assistance Act of 1961, as amended, may be used 
to pay forthe performance of involuntary sterilization as a 
method of family planning or to coerce or provide any financial 
incentive to any person to undergo sterilizations. None of the funds 
made available to carry out part I of the Foreign Assistance Act of 
1961, as amended, may be used to pay for any biomedical research which 
relates in whole or in part, to methods of, or the performance of, 
abortions or involuntary sterilization as a means of family planning. 
None of the funds made available to carry out part I of the Foreign 
Assistance Act of 1961, as amended, may be obligated or expended for 
any country or organization if the President certifies that the use of 
these funds by any such country or organization would violate any of 
the above provisions related to abortions and involuntary 
sterilizations.


                 export financing transfer authorities


    Sec. 519. Not to exceed 5 percent of any appropriation 
other than for administrative expenses made available for 
fiscal year 2002, for programs under title I of this Act may be 
transferred between such appropriations for use for any of the 
purposes, programs, and activities for which the funds in such 
receiving account may be used, but no such appropriation, 
except as otherwise specifically provided, shall be increased 
by more than 25 percent by any such transfer: Provided, That 
the exercise of such authority shall be subject to the regular 
notification procedures of the Committees on Appropriations.


                   special notification requirements


    Sec. 520. None of the funds appropriated by this Act shall 
be obligated or expended for Colombia, Haiti, Liberia, Serbia, 
Sudan, Zimbabwe, Pakistan, or the Democratic Republic of the 
Congo except as provided through the regular notification 
procedures of the Committees on Appropriations.


              definition of program, project, and activity


    Sec. 521. For the purpose of this Act, ``program, project, 
and activity'' shall be defined at the appropriations Act 
account level and shall include all appropriations and 
authorizations Acts earmarks, ceilings, and limitations with 
the exception that for the following accounts: Economic Support 
Fund and Foreign Military Financing Program, ``program, 
project, and activity'' shall also be considered to include 
country, regional, and central program level funding within 
each such account; for the development assistance accounts of 
the United States Agency for International Development 
``program, project, and activity'' shall also be considered to 
include central program level funding, either as: (1) justified 
to the Congress; or (2) allocated by the executive branch in 
accordance with a report, to be provided to the Committees on 
Appropriations within 30 days of the enactment of this Act, as 
required by section 653(a) of the Foreign Assistance Act of 
1961.


                  child survival and health activities


    Sec. 522. Up to $15,500,000 of the funds made available by 
this Act for assistance under the heading ``Child Survival and 
Health Programs Fund'', may be used to reimburse United States 
Government agencies, agencies of State governments, 
institutions of higher learning, and private and voluntary 
organizations for the full cost of individuals (including for 
the personal services of such individuals) detailed or assigned 
to, or contracted by, as the case may be, the United States 
Agency for International Development for the purpose of 
carrying out activities under that heading: Provided, That up 
to $3,000,000 of the funds made available by this Act for 
assistance under the heading ``Development Assistance'' may be 
used to reimburse such agencies, institutions, and 
organizations for such costs of such individuals carrying out 
other development assistance activities: Provided further, That 
funds appropriated by this Act that are made available for 
child survival activities or disease programs including 
activities relating to research on, and the prevention, 
treatment and control of, HIV/AIDS may be made available 
notwithstanding any other provision of law: Provided further, 
That funds appropriated under title II of this Act may be made 
available pursuant to section 301 of the Foreign Assistance Act 
of 1961 if a primary purpose of the assistance is for child 
survival and related programs: Provided further, That of the 
funds appropriated under title II of this Act, $446,500,000 
shall be made available for family planning/reproductive 
health.


       prohibition against indirect funding to certain countries


    Sec. 523. None of the funds appropriated or otherwise made 
available pursuant to this Act shall be obligated to finance 
indirectly any assistance or reparations to Cuba, Iraq, Libya, 
Iran, Syria, North Korea, or Sudan, unless the President of the 
United States certifies that the withholding of these funds is 
contrary to the national interest of the United States.


                notification on excess defense equipment


    Sec. 524. Prior to providing excess Department of Defense 
articles in accordance with section 516(a) of the Foreign 
Assistance Act of 1961, the Department of Defense shall notify 
the Committees on Appropriations to the same extent and under 
the same conditions as are other committees pursuant to 
subsection (f) of that section: Provided, That before issuing a 
letter of offer to sell excess defense articles under the Arms 
Export Control Act, the Department of Defense shall notify the 
Committees on Appropriations in accordance with the regular 
notification procedures of such Committees if such defense 
articles aresignificant military equipment (as defined in 
section 47(9) of the Arms Export Control Act) or are valued (in terms 
of original acquisition cost) at $7,000,000 or more, or if notification 
is required elsewhere in this Act for the use of appropriated funds for 
specific countries that would receive such excess defense articles: 
Provided further, That such Committees shall also be informed of the 
original acquisition cost of such defense articles.


                       authorization requirement


    Sec. 525. Funds appropriated by this Act, except funds 
appropriated under the headings ``Peace Corps'' and ``Trade and 
Development Agency'', may be obligated and expended 
notwithstanding section 10 of Public Law 91-672 and section 15 
of the State Department Basic Authorities Act of 1956.


                           democracy programs


    Sec. 526. (a) Funds appropriated by this Act that are 
provided to the National Endowment for Democracy may be made 
available notwithstanding any other provision of law or 
regulation: Provided, That notwithstanding any other provision 
of law, of the funds appropriated by this Act to carry out 
provisions of chapter 4 of part II of the Foreign Assistance 
Act of 1961, not less than $10,000,000 shall be made available 
for assistance for activities to support democracy, human 
rights, and the rule of law in the People's Republic of China, 
of which not less than $5,000,000 should be made available for 
the Human Rights and Democracy Fund of the Bureau of Democracy, 
Human Rights and Labor, Department of State, for such 
activities, and of which not to exceed $3,000,000 may be made 
available to nongovernmental organizations located outside the 
People's Republic of China to support activities which preserve 
cultural traditions and promote sustainable development and 
environmental conservation in Tibetan communities in Tibet: 
Provided further, That funds made available pursuant to the 
authority of this section for programs, projects, and 
activities in the People's Republic of China shall be subject 
to the regular notification procedures of the Committees on 
Appropriations.
    (b) In addition to the funds made available in subsection 
(a), of the funds appropriated by this Act under the heading 
``Economic Support Fund'', not less than $10,000,000 should be 
made available for programs and activities to foster democracy, 
human rights, press freedoms, women's development, and the rule 
of law in countries with a significant Muslim population, and 
where such programs and activities would be important to United 
States efforts to respond to, deter, or prevent acts of 
international terrorism: Provided, That funds made available 
pursuant to the authority of this subsection should support new 
initiatives or bolster ongoing programs and activities in those 
countries: Provided further, That not less than $6,000,000 of 
such funds should be made available for the Human Rights and 
Democracy Fund of the Bureau of Democracy, Human Rights and 
Labor, Department of State, and not less than $4,000,000 of 
such funds should be made available to a private, non-profit 
organization authorized by Congress to strengthen democratic 
institutions worldwide through nongovernmental efforts: 
Provided further, That funds made available pursuant to the 
authority of this subsection shall be subject to the regular 
notification procedures of the Committees on Appropriations.


       prohibition on bilateral assistance to terrorist countries


    Sec. 527. (a) Funds appropriated for bilateral assistance 
under any heading of this Act and funds appropriated under any 
such heading in a provision of law enacted prior to the 
enactment of this Act, shall not be made available to any 
country which the President determines--
            (1) grants sanctuary from prosecution to any 
        individual or group which has committed an act of 
        international terrorism; or
            (2) otherwise supports international terrorism.
    (b) The President may waive the application of subsection 
(a) to a country if the President determines that national 
security or humanitarian reasons justify such waiver. The 
President shall publish each waiver in the Federal Register 
and, at least 15 days before the waiver takes effect, shall 
notify the Committees on Appropriations of the waiver 
(including the justification for the waiver) in accordance with 
the regular notification procedures of the Committees on 
Appropriations.


                          debt-for-development


    Sec. 528. In order to enhance the continued participation 
of nongovernmental organizations in economic assistance 
activities under the Foreign Assistance Act of 1961, including 
endowments, debt-for-development and debt-for-nature exchanges, 
a nongovernmental organization which is a grantee or contractor 
of the United States Agency for International Development may 
place in interest bearing accounts funds made available under 
this Act or prior Acts or local currencies which accrue to that 
organization as a result of economic assistance provided under 
title II of this Act and any interest earned on such investment 
shall be used for the purpose for which the assistance was 
provided to that organization.


                           separate accounts


    Sec. 529. (a) Separate Accounts for Local Currencies.--(1) 
If assistance is furnished to the government of a foreign 
country under chapters 1 and 10 of part I or chapter 4 of part 
II of the Foreign Assistance Act of 1961 under agreements which 
result in the generation of local currencies of that country, 
the Administrator of the United States Agency for International 
Development shall--
            (A) require that local currencies be deposited in a 
        separate account established by that government;
            (B) enter into an agreement with that government 
        which sets forth--
                    (i) the amount of the local currencies to 
                be generated; and
                    (ii) the terms and conditions under which 
                the currencies so deposited may be utilized, 
                consistent with this section; and
            (C) establish by agreement with that government the 
        responsibilities of the United States Agency for 
        International Development and that government to 
        monitor and account for deposits into and disbursements 
        from the separate account.
    (2) Uses of Local Currencies.--As may be agreed upon with 
the foreign government, local currencies deposited in a 
separate account pursuant to subsection (a), or an equivalent 
amount of local currencies, shall be used only--
            (A) to carry out chapter 1 or 10 of part I or 
        chapter 4 of part II (as the case may be), for such 
        purposes as--
                    (i) project and sector assistance 
                activities; or
                    (ii) debt and deficit financing; or
            (B) for the administrative requirements of the 
        United States Government.
    (3) Programming Accountability.--The United States Agency 
for International Development shall take all necessary steps to 
ensure that the equivalent of the local currencies disbursed 
pursuant to subsection (a)(2)(A) from the separate account 
established pursuant to subsection (a)(1) are used for the 
purposes agreed upon pursuant to subsection (a)(2).
    (4) Termination of Assistance Programs.--Upon termination 
of assistance to a country under chapter 1 or 10 of part I or 
chapter 4 of part II (as the case may be), any unencumbered 
balances of funds which remain in a separate account 
established pursuant to subsection (a) shall be disposed of for 
such purposes as may be agreed to by the government of that 
country and the United States Government.
    (5) Reporting Requirement.--The Administrator of the United 
States Agency for International Development shall report on an 
annual basis as part of the justification documents submitted 
to the Committees on Appropriations on the use of local 
currencies for the administrative requirements of the United 
States Government as authorized in subsection (a)(2)(B), and 
such report shall include the amount of local currency (and 
United States dollar equivalent) used and/or to be used for 
such purpose in each applicable country.
    (b) Separate Accounts for Cash Transfers.--(1) If 
assistance is made available to the government of a foreign 
country, under chapter 1 or 10 of part I or chapter 4 of part 
II of the Foreign Assistance Act of 1961, as cash transfer 
assistance or as nonproject sector assistance, that country 
shall be required to maintain such funds in a separate account 
and not commingle them with any other funds.
    (2) Applicability of Other Provisions of Law.--Such funds 
may be obligated and expended notwithstanding provisions of law 
which are inconsistent with the nature of this assistance 
including provisions which are referenced in the Joint 
Explanatory Statement of the Committee of Conference 
accompanying House Joint Resolution 648 (House Report No. 98-
1159).
    (3) Notification.--At least 15 days prior to obligating any 
such cash transfer or nonproject sector assistance, the 
President shall submit a notification through the regular 
notification procedures of the Committees on Appropriations, 
which shall include a detailed description of how the funds 
proposed to be made available will be used, with a discussion 
of the United States interests that will be served by the 
assistance (including, as appropriate, a description of the 
economic policy reforms that will be promoted by such 
assistance).
    (4) Exemption.--Nonproject sector assistance funds may be 
exempt from the requirements of subsection (b)(1) only through 
the notification procedures of the Committees on 
Appropriations.


  compensation for united states executive directors to international 
                         financial institutions


    Sec. 530. (a) No funds appropriated by this Act may be made 
as payment to any international financial institution while the 
United States Executive Director to such institution is 
compensated by the institution at a rate which, together with 
whatever compensation such Director receives from the United 
States, is in excess of the rate provided for an individual 
occupying a position at level IV of the Executive Schedule 
under section 5315 of title 5, United States Code, or while any 
alternate United States Director to such institution is 
compensated by the institution at a rate in excess of the rate 
provided for an individual occupying a position at level V of 
the Executive Schedule under section 5316 of title 5, United 
States Code.
    (b) For purposes of this section, ``international financial 
institutions'' are: the International Bank for Reconstruction 
and Development, the Inter-American Development Bank, the Asian 
Development Bank, the Asian Development Fund, the African 
Development Bank, the African Development Fund, the 
International Monetary Fund, the North American Development 
Bank, and the European Bank for Reconstruction and Development.


         compliance with united nations sanctions against iraq


    Sec. 531. None of the funds appropriated or otherwise made 
available pursuant to this Act to carry out the Foreign 
Assistance Act of 1961 (including title IV of chapter 2 of part 
I, relating to the Overseas Private Investment Corporation) or 
the Arms Export Control Act may be used to provide assistance 
to any country that is not in compliance with the United 
Nations Security Council sanctions against Iraq unless the 
President determines and so certifies to the Congress that--
            (1) such assistance is in the national interest of 
        the United States;
            (2) such assistance will directly benefit the needy 
        people in that country; or
            (3) the assistance to be provided will be 
        humanitarian assistance for foreign nationals who have 
        fled Iraq and Kuwait.


authorities for the peace corps, inter-american foundation and african 
                         development foundation


    Sec. 532. Unless expressly provided to the contrary, 
provisions of this or any other Act, including provisions 
contained in prior Acts authorizing or making appropriations 
for foreign operations, export financing, and related programs, 
shall not be construed to prohibit activities authorized by or 
conducted under the Peace Corps Act, the Inter-American 
Foundation Act or the African Development Foundation Act. The 
agency shall promptly report to the Committees on 
Appropriations whenever it is conducting activities or is 
proposing to conduct activities in a country for which 
assistance is prohibited.


                  impact on jobs in the united states


    Sec. 533. None of the funds appropriated by this Act may be 
obligated or expended to provide--
            (a) any financial incentive to a business 
        enterprise currently located in the United States for 
        the purpose of inducing such an enterprise to relocate 
        outside the United States if such incentive or 
        inducement is likely to reduce the number of employees 
        of such business enterprise in the United States 
        because United States production is being replaced by 
        such enterprise outside the United States; or
            (b) assistance for any project or activity that 
        contributes to the violation of internationally 
        recognized workers rights, as defined in section 
        502(a)(4) of the Trade Act of 1974, of workers in the 
        recipient country, including any designated zone or 
        area in that country: Provided, That in recognition 
        that the application of this subsection should be 
        commensurate with the level of development of the 
        recipient country and sector, the provisions of this 
        subsection shall not preclude assistance for the 
        informal sector in such country, micro and small-scale 
        enterprise, and smallholder agriculture.


                          special authorities


    Sec. 534. (a) Afghanistan, Lebanon, Montenegro, Victims of 
War, Displaced Children, and Displaced Burmese.--Funds 
appropriated in titles I and II of this Act that are made 
available for Afghanistan, Lebanon, Montenegro, and for victims 
of war, displaced children, and displaced Burmese, may be made 
available notwithstanding any other provision of law: Provided, 
That any such funds that are made available for Cambodia shall 
be subject to the provisions of section 531(e) of the Foreign 
Assistance Act of 1961 and section 906 of the International 
Security and Development Cooperation Act of 1985.
    (b) Tropical Forestry and Biodiversity Conservation 
Activities.--Funds appropriated by this Act to carry out the 
provisions of sections 103 through 106, and chapter 4 of part 
II, of the Foreign Assistance Act of 1961 may be used, 
notwithstanding any other provision of law, for the purpose of 
supporting tropical forestry and biodiversity conservation 
activities and energy programs aimed at reducing greenhouse gas 
emissions: Provided, That such assistance shall be subject to 
sections 116, 502B, and 620A of the Foreign Assistance Act of 
1961.
    (c) Personal Services Contractors.--Funds appropriated by 
this Act to carry out chapter 1 of part I, chapter 4 of part 
II, and section 667 of the Foreign Assistance Act of 1961, and 
title II of the Agricultural Trade Development and Assistance 
Act of 1954, may be used by the United States Agency for 
International Development to employ up to 25 personal services 
contractors in the United States, notwithstanding any other 
provision of law, for the purpose of providing direct, interim 
support for new or expanded overseas programs and activities 
and managed by the agency until permanent direct hire personnel 
are hired and trained: Provided, That not more than 10 of such 
contractors shall be assigned to any bureau or office: Provided 
further, That such funds appropriated to carry out the Foreign 
Assistance Act of 1961 may be made available for personal 
services contractors assigned only to the Office of Health and 
Nutrition; the Office of Procurement; the Bureau for Africa; 
the Bureau for Latin America and the Caribbean; and the Bureau 
for Asia and the Near East: Provided further, That such funds 
appropriated to carry out title II of the Agricultural Trade 
Development and Assistance Act of 1954, may be made available 
only for personal services contractors assigned to the Office 
of Food for Peace.
    (d)(1) Waiver.--The President may waive the provisions of 
section 1003 of Public Law 100-204 if the President determines 
and certifies in writing to the Speaker of the House of 
Representatives and the President pro tempore of the Senate 
that it is important to the national security interests of the 
United States.
    (2) Period of Application of Waiver.--Any waiver pursuant 
to paragraph (1) shall be effective for no more than a period 
of 6 months at a time and shall not apply beyond 12 months 
after the enactment of this Act.
    (e) During fiscal year 2002, the President may use up to 
$45,000,000 under the authority of section 451 of the Foreign 
Assistance Act, notwithstanding the funding ceiling in section 
451(a).
    (f) Small Business.--In entering into multiple award 
indefinite-quantity contracts with funds appropriated by this 
Act, the United States Agency for International Development may 
provide an exception to the fair opportunity process for 
placing task orders under suchcontracts when the order is 
placed with any category of small or small disadvantaged business.


policy on terminating the arab league boycott of israel and normalizing 
                         relations with israel


    Sec. 535. It is the sense of the Congress that--
            (1) the Arab League countries should immediately 
        and publicly renounce the primary boycott of Israel and 
        the secondary and tertiary boycott of American firms 
        that have commercial ties with Israel and should 
        normalize their relations with Israel;
            (2) the decision by the Arab League in 1997 to 
        reinstate the boycott against Israel was deeply 
        troubling and disappointing;
            (3) the fact that only three Arab countries 
        maintain full diplomatic relations with Israel is also 
        of deep concern;
            (4) the Arab League should immediately rescind its 
        decision on the boycott and its members should develop 
        normal relations with their neighbor Israel; and
            (5) the President should--
                    (A) take more concrete steps to encourage 
                vigorously Arab League countries to renounce 
                publicly the primary boycotts of Israel and the 
                secondary and tertiary boycotts of American 
                firms that have commercial relations with 
                Israel and to normalize their relations with 
                Israel;
                    (B) take into consideration the 
                participation of any recipient country in the 
                primary boycott of Israel and the secondary and 
                tertiary boycotts of American firms that have 
                commercial relations with Israel when 
                determining whether to sell weapons to said 
                country;
                    (C) report to Congress annually on the 
                specific steps being taken by the United States 
                and the progress achieved to bring about a 
                public renunciation of the Arab primary boycott 
                of Israel and the secondary and tertiary 
                boycotts of American firms that have commercial 
                relations with Israel and to expand the process 
                of normalizing ties between Arab League 
                countries and Israel; and
                    (D) encourage the allies and trading 
                partners of the United States to enact laws 
                prohibiting businesses from complying with the 
                boycott and penalizing businesses that do 
                comply.


                  administration of justice activities


    Sec. 536. Of the funds appropriated or otherwise made 
available by this Act for ``Economic Support Fund'', assistance 
may be provided to strengthen the administration of justice in 
countries in Latin America and the Caribbean and in other 
regions consistent with the provisions of section 534(b) of the 
Foreign Assistance Act of 1961, except that programs to enhance 
protection of participants in judicial cases may be conducted 
notwithstanding section 660 of that Act. Funds made available 
pursuant to this section may be made available notwithstanding 
section 534(c) and the second and third sentences of section 
534(e) of the Foreign Assistance Act of 1961.


                       eligibility for assistance


    Sec. 537. (a) Assistance Through Nongovernmental 
Organizations.--Restrictions contained in this or any other Act 
with respect to assistance for a country shall not be construed 
to restrict assistance in support of programs of 
nongovernmental organizations from funds appropriated by this 
Act to carry out the provisions of chapters 1, 10, 11, and 12 
of part I and chapter 4 of part II of the Foreign Assistance 
Act of 1961, and from funds appropriated under the heading 
``Assistance for Eastern Europe and the Baltic States'': 
Provided, That the President shall take into consideration, in 
any case in which a restriction on assistance would be 
applicable but for this subsection, whether assistance in 
support of programs of nongovernmental organizations is in the 
national interest of the United States: Provided further, That 
before using the authority of this subsection to furnish 
assistance in support of programs of nongovernmental 
organizations, the President shall notify the Committees on 
Appropriations under the regular notification procedures of 
those committees, including a description of the program to be 
assisted, the assistance to be provided, and the reasons for 
furnishing such assistance: Provided further, That nothing in 
this subsection shall be construed to alter any existing 
statutory prohibitions against abortion or involuntary 
sterilizations contained in this or any other Act.
    (b) Public Law 480.--During fiscal year 2002, restrictions 
contained in this or any other Act with respect to assistance 
for a country shall not be construed to restrict assistance 
under the Agricultural Trade Development and Assistance Act of 
1954: Provided, That none of the funds appropriated to carry 
out title I of such Act and made available pursuant to this 
subsection may be obligated or expended except as provided 
through the regular notification procedures of the Committees 
on Appropriations.
    (c) Exception.--This section shall not apply--
            (1) with respect to section 620A of the Foreign 
        Assistance Act of 1961 or any comparable provision of 
        law prohibiting assistance to countries that support 
        international terrorism; or
            (2) with respect to section 116 of the Foreign 
        Assistance Act of 1961 or any comparable provision of 
        law prohibiting assistance to the government of a 
        country that violates internationally recognized human 
        rights.


                                earmarks


    Sec. 538. (a) Funds appropriated by this Act which are 
earmarked may be reprogrammed for other programs within the 
same account notwithstanding the earmark if compliance with the 
earmark is made impossible by operation of any provision of 
this or any other Act: Provided, That any such reprogramming 
shall be subject to the regular notification procedures of the 
Committees on Appropriations: Provided further, That assistance 
that is reprogrammed pursuant to this subsection shall be made 
available under the same terms and conditions as originally 
provided.
    (b) In addition to the authority contained in subsection 
(a), the original period of availability of funds appropriated 
by this Act and administered by the United States Agency for 
International Development that are earmarked for particular 
programs or activities by this or any other Act shall be 
extended for an additional fiscal year if the Administrator of 
such agency determines and reports promptly to the Committees 
on Appropriations that the termination of assistance to a 
country or a significant change in circumstances makes it 
unlikely that such earmarked funds can be obligated during the 
original period of availability: Provided, That such earmarked 
funds that are continued available for an additional fiscal 
year shall be obligated only for the purpose of such earmark.


                         ceilings and earmarks


    Sec. 539. Ceilings and earmarks contained in this Act shall 
not be applicable to funds or authorities appropriated or 
otherwise made available by any subsequent Act unless such Act 
specifically so directs. Earmarks or minimum funding 
requirements contained in any other Act shall not be applicable 
to funds appropriated by this Act.


                 prohibition on publicity or propaganda


    Sec. 540. No part of any appropriation contained in this 
Act shall be used for publicity or propaganda purposes within 
the United States not authorized before the date of the 
enactment of this Act by the Congress: Provided, That not to 
exceed $750,000 may be made available to carry out the 
provisions of section 316 of Public Law 96-533.


            purchase of american-made equipment and products


    Sec. 541. To the maximum extent practicable, assistance 
provided under this Act should make full use of American 
resources, including commodities, products, and services.


           prohibition of payments to united nations members


    Sec. 542. None of the funds appropriated or made available 
pursuant to this Act for carrying out the Foreign Assistance 
Act of 1961, may be used to pay in whole or in part any 
assessments, arrearages, or dues of any member of the United 
Nations or, from funds appropriated by this Act to carry out 
chapter 1 of part I of the Foreign Assistance Act of 1961, the 
costs for participation of another country's delegation at 
international conferences held under the auspices of 
multilateral or international organizations.


              nongovernmental organizations--documentation


    Sec. 543. None of the funds appropriated or made available 
pursuant to this Act shall be available to a nongovernmental 
organization which fails to provide upon timely request any 
document, file, or record necessary to the auditing 
requirements of the United States Agency for International 
Development.


  prohibition on assistance to foreign governments that export lethal 
   military equipment to countries supporting international terrorism


    Sec. 544. (a) None of the funds appropriated or otherwise 
made available by this Act may be available to any foreign 
government which provides lethal military equipment to a 
country the government of which the Secretary of State has 
determined is a terrorist government for purposes of section 
6(j) of the Export Administration Act. The prohibition under 
this section with respect to a foreign government shall 
terminate 12 months after that government ceases to provide 
such military equipment. This section applies with respect to 
lethal military equipment provided under a contract entered 
into after October 1, 1997.
    (b) Assistance restricted by subsection (a) or any other 
similar provision of law, may be furnished if the President 
determines that furnishing such assistance is important to the 
national interests of the United States.
    (c) Whenever the waiver of subsection (b) is exercised, the 
President shall submit to the appropriate congressional 
committees a report with respect to the furnishing of such 
assistance. Any such report shall include a detailed 
explanation of the assistance to be provided, including the 
estimated dollar amount of such assistance, and an explanation 
of how the assistance furthers United States national 
interests.


 withholding of assistance for parking fines owed by foreign countries


    Sec. 545. (a) In General.--Of the funds appropriated under 
this Act that are made available for a foreign country under 
part I of the Foreign Assistance Actof 1961, an amount 
equivalent to 110 percent of the total unpaid fully adjudicated parking 
fines and penalties owed to the District of Columbia and New York City, 
New York by such country as of the date of the enactment of this Act 
that were incurred after the first day of the fiscal year preceding the 
current fiscal year shall be withheld from obligation for such country 
until the Secretary of State certifies and reports in writing to the 
appropriate congressional committees that such fines and penalties are 
fully paid to the governments of the District of Columbia and New York 
City, New York.
    (b) Definition.--For purposes of this section, the term 
``appropriate congressional committees'' means the Committee on 
Foreign Relations and the Committee on Appropriations of the 
Senate and the Committee on International Relations and the 
Committee on Appropriations of the House of Representatives.


    limitation on assistance for the plo for the west bank and gaza


    Sec. 546. None of the funds appropriated by this Act may be 
obligated for assistance for the Palestine Liberation 
Organization for the West Bank and Gaza unless the President 
has exercised the authority under section 604(a) of the Middle 
East Peace Facilitation Act of 1995 (title VI of Public Law 
104-107) or any other legislation to suspend or make 
inapplicable section 307 of the Foreign Assistance Act of 1961 
and that suspension is still in effect: Provided, That if the 
President fails to make the certification under section 
604(b)(2) of the Middle East Peace Facilitation Act of 1995 or 
to suspend the prohibition under other legislation, funds 
appropriated by this Act may not be obligated for assistance 
for the Palestine Liberation Organization for the West Bank and 
Gaza.


                     war crimes tribunals drawdown


    Sec. 547. If the President determines that doing so will 
contribute to a just resolution of charges regarding genocide 
or other violations of international humanitarian law, the 
President may direct a drawdown pursuant to section 552(c) of 
the Foreign Assistance Act of 1961, as amended, of up to 
$30,000,000 of commodities and services for the United Nations 
War Crimes Tribunal established with regard to the former 
Yugoslavia by the United Nations Security Council or such other 
tribunals or commissions as the Council may establish or 
authorize to deal with such violations, without regard to the 
ceiling limitation contained in paragraph (2) thereof: 
Provided, That the determination required under this section 
shall be in lieu of any determinations otherwise required under 
section 552(c): Provided further, That funds made available for 
tribunals other than Yugoslavia or Rwanda shall be made 
available subject to the regular notification procedures of the 
Committees on Appropriations.


                               landmines


    Sec. 548. Notwithstanding any other provision of law, 
demining equipment available to the United States Agency for 
International Development and the Department of State and used 
in support of the clearance of landmines and unexploded 
ordnance for humanitarian purposes may be disposed of on a 
grant basis in foreign countries, subject to such terms and 
conditions as the President may prescribe: Provided, That 
section 1365(c) of the National Defense Authorization Act for 
Fiscal Year 1993 (Public Law 102-484; 22 U.S.C., 2778 note) is 
amended by striking ``During the 11-year period beginning on 
October 23, 1992'' and inserting ``During the 16-year period 
beginning on October 23, 1992''.


           restrictions concerning the palestinian authority


    Sec. 549. None of the funds appropriated by this Act may be 
obligated or expended to create in any part of Jerusalem a new 
office of any department or agency of the United States 
Government for the purpose of conducting official United States 
Government business with the Palestinian Authority over Gaza 
and Jericho or any successor Palestinian governing entity 
provided for in the Israel-PLO Declaration of Principles: 
Provided, That this restriction shall not apply to the 
acquisition of additional space for the existing Consulate 
General in Jerusalem: Provided further, That meetings between 
officers and employees of the United States and officials of 
the Palestinian Authority, or any successor Palestinian 
governing entity provided for in the Israel-PLO Declaration of 
Principles, for the purpose of conducting official United 
States Government business with such authority should continue 
to take place in locations other than Jerusalem. As has been 
true in the past, officers and employees of the United States 
Government may continue to meet in Jerusalem on other subjects 
with Palestinians (including those who now occupy positions in 
the Palestinian Authority), have social contacts, and have 
incidental discussions.


               prohibition of payment of certain expenses


    Sec. 550. None of the funds appropriated or otherwise made 
available by this Act under the heading ``International 
Military Education and Training'' or ``Foreign Military 
Financing Program'' for Informational Program activities or 
under the headings ``Child Survival and Health Programs Fund'', 
``Development Assistance'', and ``Economic Support Fund'' may 
be obligated or expended to pay for--
            (1) alcoholic beverages; or
            (2) entertainment expenses for activities that are 
        substantially of a recreational character, including 
        entrance fees at sporting events and amusement parks.


                  special debt relief for the poorest


    Sec. 551. (a) Authority To Reduce Debt.--The President may 
reduce amounts owed to the United States (or any agency of the 
United States) by an eligible country as a result of--
            (1) guarantees issued under sections 221 and 222 of 
        the Foreign Assistance Act of 1961;
            (2) credits extended or guarantees issued under the 
        Arms Export Control Act; or
            (3) any obligation or portion of such obligation, 
        to pay for purchases of United States agricultural 
        commodities guaranteed by the Commodity Credit 
        Corporation under export credit guarantee programs 
        authorized pursuant to section 5(f ) of the Commodity 
        Credit Corporation Charter Act of June 29, 1948, as 
        amended, section 4(b) of the Food for Peace Act of 
        1966, as amended (Public Law 89-808), or section 202 of 
        the Agricultural Trade Act of 1978, as amended (Public 
        Law 95-501).
    (b) Limitations.--
            (1) The authority provided by subsection (a) may be 
        exercised only to implement multilateral official debt 
        relief and referendum agreements, commonly referred to 
        as ``Paris Club Agreed Minutes''.
            (2) The authority provided by subsection (a) may be 
        exercised only in such amounts or to such extent as is 
        provided in advance by appropriations Acts.
            (3) The authority provided by subsection (a) may be 
        exercised only with respect to countries with heavy 
        debt burdens that are eligible to borrow from the 
        International Development Association, but not from the 
        International Bank for Reconstruction and Development, 
        commonly referred to as ``IDA-only'' countries.
    (c) Conditions.--The authority provided by subsection (a) 
may be exercised only with respect to a country whose 
government--
            (1) does not have an excessive level of military 
        expenditures;
            (2) has not repeatedly provided support for acts of 
        international terrorism;
            (3) is not failing to cooperate on international 
        narcotics control matters;
            (4) (including its military or other security 
        forces) does not engage in a consistent pattern of 
        gross violations of internationally recognized human 
        rights; and
            (5) is not ineligible for assistance because of the 
        application of section 527 of the Foreign Relations 
        Authorization Act, Fiscal Years 1994 and 1995.
    (d) Availability of Funds.--The authority provided by 
subsection (a) may be used only with regard to funds 
appropriated by this Act under the heading ``Debt 
Restructuring''.
    (e) Certain Prohibitions Inapplicable.--A reduction of debt 
pursuant to subsection (a) shall not be considered assistance 
for purposes of any provision of law limiting assistance to a 
country. The authority provided by subsection (a) may be 
exercised notwithstanding section 620(r) of the Foreign 
Assistance Act of 1961 or section 321 of the International 
Development and Food Assistance Act of 1975.


             authority to engage in debt buybacks or sales


    Sec. 552. (a) Loans Eligible for Sale, Reduction, or 
Cancellation.--
            (1) Authority to sell, reduce, or cancel certain 
        loans.--Notwithstanding any other provision of law, the 
        President may, in accordance with this section, sell to 
        any eligible purchaser any concessional loan or portion 
        thereof made before January 1, 1995, pursuant to the 
        Foreign Assistance Act of 1961, to the government of 
        any eligible country as defined in section 702(6) of 
        that Act or on receipt of payment from an eligible 
        purchaser, reduce or cancel such loan or portion 
        thereof, only for the purpose of facilitating--
                    (A) debt-for-equity swaps, debt-for-
                development swaps, or debt-for-nature swaps; or
                    (B) a debt buyback by an eligible country 
                of its own qualified debt, only if the eligible 
                country uses an additional amount of the local 
                currency of the eligible country, equal to not 
                less than 40 percent of the price paid for such 
                debt by such eligible country, or the 
                difference between the price paid for such debt 
                and the face value of such debt, to support 
                activities that link conservation and 
                sustainable use of natural resources with local 
                community development, and child survival and 
                other child development, in a manner consistent 
                with sections 707 through 710 of the Foreign 
                Assistance Act of 1961, if the sale, reduction, 
                or cancellation would not contravene any term 
                or condition of any prior agreement relating to 
                such loan.
            (2) Terms and conditions.--Notwithstanding any 
        other provision of law, the President shall, in 
        accordance with this section, establish the terms 
        and conditions under which loans may be sold, reduced, or 
        canceled pursuant to this section.
            (3) Administration.--The Facility, as defined in 
        section 702(8) of the Foreign Assistance Act of 1961, 
        shall notify the administrator of the agency primarily 
        responsible for administering part I of the Foreign 
        Assistance Act of 1961 of purchasers that the President 
        has determined to be eligible, and shall direct such 
        agency to carry out the sale, reduction, or 
        cancellation of a loan pursuant to this section. Such 
        agency shall make an adjustment in its accounts to 
        reflect the sale, reduction, or cancellation.
            (4) Limitation.--The authorities of this subsection 
        shall be available only to the extent that 
        appropriations for the cost of the modification, as 
        defined in section 502 of the Congressional Budget Act 
        of 1974, are made in advance.
    (b) Deposit of Proceeds.--The proceeds from the sale, 
reduction, or cancellation of any loan sold, reduced, or 
canceled pursuant to this section shall be deposited in the 
United States Government account or accounts established for 
the repayment of such loan.
    (c) Eligible Purchasers.--A loan may be sold pursuant to 
subsection (a)(1)(A) only to a purchaser who presents plans 
satisfactory to the President for using the loan for the 
purpose of engaging in debt-for-equity swaps, debt-for-
development swaps, or debt-for-nature swaps.
    (d) Debtor Consultations.--Before the sale to any eligible 
purchaser, or any reduction or cancellation pursuant to this 
section, of any loan made to an eligible country, the President 
should consult with the country concerning the amount of loans 
to be sold, reduced, or canceled and their uses for debt-for-
equity swaps, debt-for-development swaps, or debt-for-nature 
swaps.
    (e) Availability of Funds.--The authority provided by 
subsection (a) may be used only with regard to funds 
appropriated by this Act under the heading ``Debt 
Restructuring''.


   restrictions on voluntary contributions to united nations agencies


    Sec. 553. (a) Prohibition on Voluntary Contributions for 
the United Nations.--None of the funds appropriated by this Act 
may be made available to pay any voluntary contribution of the 
United States to the United Nations (including the United 
Nations Development Program) if the United Nations implements 
or imposes any taxation on any United States persons.
    (b) Certification Required for Disbursement of Funds.--None 
of the funds appropriated by this Act may be made available to 
pay any voluntary contribution of the United States to the 
United Nations (including the United Nations Development 
Program) unless the President certifies to the Congress 15 days 
in advance of such payment that the United Nations is not 
engaged in any effort to implement or impose any taxation on 
United States persons in order to raise revenue for the United 
Nations or any of its specialized agencies.
    (c) Definitions.--As used in this section the term ``United 
States person'' refers to--
            (1) a natural person who is a citizen or national 
        of the United States; or
            (2) a corporation, partnership, or other legal 
        entity organized under the United States or any State, 
        territory, possession, or district of the United 
        States.


                           haiti coast guard


    Sec. 554. The Government of Haiti shall be eligible to 
purchase defense articles and services under the Arms Export 
Control Act (22 U.S.C. 2751 et seq.), for the Coast Guard: 
Provided, That the authority provided by this section shall be 
subject to the regular notification procedures of the 
Committees on Appropriations.


         limitation on assistance to the palestinian authority


    Sec. 555. (a) Prohibition of Funds.--None of the funds 
appropriated by this Act to carry out the provisions of chapter 
4 of part II of the Foreign Assistance Act of 1961 may be 
obligated or expended with respect to providing funds to the 
Palestinian Authority.
    (b) Waiver.--The prohibition included in subsection (a) 
shall not apply if the President certifies in writing to the 
Speaker of the House of Representatives and the President pro 
tempore of the Senate that waiving such prohibition is 
important to the national security interests of the United 
States.
    (c) Period of Application of Waiver.--Any waiver pursuant 
to subsection (b) shall be effective for no more than a period 
of 6 months at a time and shall not apply beyond 12 months 
after the enactment of this Act.


              limitation on assistance to security forces


    Sec. 556. None of the funds made available by this Act may 
be provided to any unit of the security forces of a foreign 
country if the Secretary of State has credible evidence that 
such unit has committed gross violations of human rights, 
unless the Secretary determines and reports to the Committees 
on Appropriations that the government of such country is taking 
effective measures to bring the responsible members of the 
security forces unit to justice: Provided, That nothing in this 
section shall be construed to withhold funds made available by 
this Act from any unit of the security forces of a foreign 
country not credibly alleged to be involved in gross violations 
of human rights:Provided further, That in the event that funds 
are withheld from any unit pursuant to this section, the Secretary of 
State shall promptly inform the foreign government of the basis for 
such action and shall, to the maximum extent practicable, assist the 
foreign government in taking effective measures to bring the 
responsible members of the security forces to justice.


    discrimination against minority religious faiths in the russian 
                               federation


    Sec. 557. None of the funds appropriated under this Act may 
be made available for the Government of the Russian Federation, 
after 180 days from the date of the enactment of this Act, 
unless the President determines and certifies in writing to the 
Committees on Appropriations and the Committee on Foreign 
Relations of the Senate that the Government of the Russian 
Federation has implemented no statute, executive order, 
regulation or similar government action that would 
discriminate, or would have as its principal effect 
discrimination, against religious groups or religious 
communities in the Russian Federation in violation of accepted 
international agreements on human rights and religious freedoms 
to which the Russian Federation is a party.


                     assistance for the middle east


    Sec. 558. Of the funds appropriated in titles II and III of 
this Act under the headings ``Economic Support Fund'', 
``Foreign Military Financing Program'', ``International 
Military Education and Training'', ``Peacekeeping Operations'', 
for refugees resettling in Israel under the heading ``Migration 
and Refugee Assistance'', and for assistance for Israel to 
carry out provisions of chapter 8 of part II of the Foreign 
Assistance Act of 1961 under the heading ``Nonproliferation, 
Anti-Terrorism, Demining and Related Programs'', not more than 
a total of $5,141,150,000 may be made available for Israel, 
Egypt, Jordan, Lebanon, the West Bank and Gaza, the Israel-
Lebanon Monitoring Group, the Multinational Force and 
Observers, the Middle East Regional Democracy Fund, Middle East 
Regional Cooperation, and Middle East Multilateral Working 
Groups: Provided, That any funds that were appropriated under 
such headings in prior fiscal years and that were at the time 
of the enactment of this Act obligated or allocated for other 
recipients may not during fiscal year 2002 be made available 
for activities that, if funded under this Act, would be 
required to count against this ceiling: Provided further, That 
funds may be made available notwithstanding the requirements of 
this section if the President determines and certifies to the 
Committees on Appropriations that it is important to the 
national security interest of the United States to do so and 
any such additional funds shall only be provided through the 
regular notification procedures of the Committees on 
Appropriations.


             energy conservation and clean energy programs


    Sec. 559. (a) Funding.--Of the funds appropriated by this 
Act, not less than $155,000,000 should be made available to 
support policies and actions in developing countries and 
countries in transition that promote energy conservation and 
efficient energy production and use; that measure, monitor, and 
reduce greenhouse gas emissions; increase carbon sequestration 
activities; and enhance climate change mitigation programs.
    (b) Greenhouse Gas Emissions Report.--Not later than 30 
days after the date on which the President's fiscal year 2003 
budget request is submitted to Congress, the President shall 
submit a report to the Committees on Appropriations describing 
in detail the following--
            (1) all Federal agency obligations and 
        expenditures, domestic and international, for climate 
        change programs and activities in fiscal year 2002, 
        including an accounting of expenditures by agency with 
        each agency identifying climate change activities and 
        associated costs by line item as presented in the 
        President's Budget Appendix; and
            (2) all fiscal year 2001 obligations and estimated 
        expenditures, fiscal year 2002 estimated expenditures 
        and estimated obligations, and fiscal year 2003 
        requested funds by the United States Agency for 
        International Development, by country and central 
        program, for each of the following: (1) to promote the 
        transfer and deployment of United States clean energy 
        technologies; (2) to assist in the measurement, 
        monitoring, reporting, verification, and reduction of 
        greenhouse gas emissions; (3) to promote carbon capture 
        and sequestration measures; (4) to help meet such 
        countries' responsibilities under the Framework 
        Convention on Climate Change; and (5) to develop 
        assessments of the vulnerability to impacts of climate 
        change and response strategies.


                                zimbabwe


    Sec. 560. The Secretary of the Treasury shall instruct the 
United States executive director to each international 
financial institution to vote against any extension by the 
respective institution of any loans, to the Government of 
Zimbabwe, except to meet basic human needs or to promote 
democracy, unless the Secretary of State determines and 
certifies to the Committees on Appropriations that the rule of 
law has been restored in Zimbabwe, including respect for 
ownership and title to property, freedom of speech and 
association.


               central america relief and reconstruction


    Sec. 561. Funds made available to the Comptroller General 
pursuant to title I, chapter 4 of Public Law 106-31, to monitor 
the provision of assistance to address the effects of 
hurricanes in Central America and the Caribbean and the 
earthquake in Colombia, shall also be available to the 
Comptroller General to monitor earthquake relief and 
reconstruction efforts in El Salvador.


                      enterprise fund restrictions


    Sec. 562. Prior to the distribution of any assets resulting 
from any liquidation, dissolution, or winding up of an 
Enterprise Fund, in whole or in part, the President shall 
submit to the Committees on Appropriations, in accordance with 
the regular notification procedures of the Committees on 
Appropriations, a plan for the distribution of the assets of 
the Enterprise Fund.


                                cambodia


    Sec. 563. (a) The Secretary of the Treasury should instruct 
the United States executive directors of the international 
financial institutions to use the voice and vote of the United 
States to oppose loans to the Central Government of Cambodia, 
except loans to meet basic human needs.
    (b)(1) None of the funds appropriated by this Act may be 
made available for assistance for the Central Government of 
Cambodia unless the Secretary of State determines and reports 
to the Committees on Appropriations that the Central Government 
of Cambodia--
            (A) is making significant progress in resolving 
        outstanding human rights cases, including the 1994 
        grenade attack against the Buddhist Liberal Democratic 
        Party, and the 1997 grenade attack against the Khmer 
        Nation Party;
            (B) has held local elections that are deemed free 
        and fair by international and local election monitors; 
        and
            (C) is making significant progress in the 
        protection, management, and conservation of the 
        environment and natural resources, including in the 
        promulgation and enforcement of laws and policies to 
        protect forest resources.
    (2) In the event the Secretary of State makes the 
determination under paragraph (1), assistance may be made 
available to the Central Government of Cambodia only through 
the regular notification procedures of the Committees on 
Appropriations.
    (c) Notwithstanding subsection (b) of this section or any 
other provision of law, funds appropriated by this Act may be 
made available for assistance for basic education and for 
assistance to the Government of Cambodia's Ministry of Women 
and Veteran's Affairs to combat human trafficking, subject to 
the regular notification procedures of the Committees on 
Appropriations.
    (d) None of the funds appropriated or otherwise made 
available by this Act may be used to provide equipment, 
technical support, consulting services, or any other form of 
assistance to any tribunal established by the Government of 
Cambodia pursuant to a memorandum of understanding with the 
United Nations unless the President determines and certifies to 
Congress that the tribunal is capable of delivering justice for 
crimes against humanity and genocide in an impartial and 
credible manner.


                    foreign military training report


    Sec. 564. (a) The Secretary of Defense and the Secretary of 
State shall jointly provide to the Congress by March 1, 2002, a 
report on all military training provided to foreign military 
personnel (excluding sales, and excluding training provided to 
the military personnel of countries belonging to the North 
Atlantic Treaty Organization) under programs administered by 
the Department of Defense and the Department of State during 
fiscal years 2001 and 2002, including those proposed for fiscal 
year 2002. 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. 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.
    (b) For purposes of this section a report to Congress shall 
be deemed to mean a report to the Appropriations and Foreign 
Relations Committees of the Senate and the Appropriations and 
International Relations Committees of the House of 
Representatives.


            korean peninsula energy development organization


    Sec. 565. (a) Of the funds made available under the heading 
``Nonproliferation, Anti-terrorism, Demining and Related 
Programs'', not to exceed $95,000,000 may be made available for 
the Korean Peninsula Energy Development Organization (hereafter 
referred to in this section as ``KEDO''), notwithstanding any 
other provision of law, only for the administrative expenses 
and heavy fuel oil costs associated with the Agreed Framework.
    (b) Such funds may be made available for KEDO only if, 15 
days prior to such obligation of funds, the President certifies 
and so reports to Congress that--
            (1) the parties to the Agreed Framework have taken 
        and continue to take demonstrable steps to implement 
        the Joint Declaration on Denuclearization of the Korean 
        Peninsula;
            (2) North Korea is complying with all provisions of 
        the Agreed Framework; and
            (3) the United States is continuing to make 
        significant progress on eliminating the North Korean 
        ballistic missile threat, including further missile 
        tests and its ballistic missile exports.
    (c) The President may waive the certification requirements 
of subsection (b) if the President determines that it is vital 
to the national security interests of the United States and 
provides written policy justifications to the appropriate 
congressional committees. No funds may be obligated for KEDO 
until 15 days after submission to Congress of such waiver.
    (d) The Secretary of State shall, at the time of the annual 
presentation for appropriations, submit a report providing a 
full and detailed accounting of the fiscal year 2003 request 
for the United States contribution to KEDO, the expected 
operating budget of KEDO, proposed annual costs associated with 
heavy fuel oil purchases, including unpaid debt, and the amount 
of funds pledged by other donor nations and organizations to 
support KEDO activities on a per country basis, and other 
related activities.
    (e) The final proviso under the heading ``International 
Organizations and Programs'' in the Foreign Operations, Export 
Financing, and Related Programs Appropriations Act, 1996 
(Public Law 104-107) is repealed.


                         plo compliance report


    Sec. 566. (a) Reporting Requirement.--The President should, 
at the time specified in subsection (b), submit a report to the 
Congress assessing the steps that the Palestine Liberation 
Organization (PLO), or the Palestinian Authority, as 
appropriate, has taken to comply with its 1993 commitments to 
renounce the use of terrorism and all other acts of violence 
and to assume responsibility over all PLO or Palestinian 
Authority elements and personnel in order to assure their 
compliance, prevent violations, and discipline violators, 
including the arrest and prosecution of individuals involved in 
acts of terror and violence. The President should determine, 
based on such assessment, whether the PLO or the Palestinian 
Authority, as appropriate, has substantially complied with such 
commitments. If the President determines based on the 
assessment that such compliance has not occurred, then the 
President should, for a period of time of not less than six 
months, impose one or more of the following sanctions:
            (1) Withdraw or terminate any waiver by the 
        President of the requirements of section 1003 of the 
        Foreign Relations Authorization Act of 1988 and 1989 
        (22 U.S.C. 5202) (prohibiting the establishment or 
        maintenance of a Palestinian information office in the 
        United States), such section to apply so as to prohibit 
        the operation of a PLO or Palestinian Authority office 
        in the United States from carrying out any function 
        other than those functions carried out by the 
        Palestinian information office in existence prior to 
        the Oslo Accords.
            (2) Designate the PLO, or one or more of its 
        constituent groups (including Fatah and Tanzim) or 
        groups operating as arms of the Palestinian Authority 
        (including Force 17) as a foreign terrorist 
        organization, in accordance with section 219(a) of the 
        Immigration and Nationality Act.
            (3) Terminate United States assistance (except 
        humanitarian and development assistance) for the West 
        Bank and Gaza Program.
    (b) Submission of Report.--The report required under 
subsection (a) should be transmitted not later than 60 days 
after the date of enactment of this Act and shall cover the 
period commencing June 13, 2001.
    (c) Update of Report.--The President should update the 
report submitted pursuant to subsection (a) as part of the next 
report required under the PLO Commitments Compliance Act of 
1989 (title VIII of Public Law 101-246).
    (d) Waiver Authority.--The President may waive any or all 
of the sanctions imposed under subsection (a) if the President 
determines and reports to the appropriate committees of the 
Congress that such a waiver is in the national security 
interests of the United States.


                                colombia


    Sec. 567. (a) Determination and Certification Required.--
Notwithstanding any other provision of law, funds appropriated 
by this Act or prior Acts making appropriations for foreign 
operations, export financing, and related programs, may be made 
available for assistance for the Colombian Armed Forces as 
follows:
            (1) not more than sixty percent of such funds may 
        be obligated after a determination by the Secretary of 
        State and a certification to the appropriate 
        congressional committees that:
                    (A) the Commander General of the Colombian 
                Armed Forces is suspending from the Armed 
                Forces those members, of whatever rank, who 
                have been credibly alleged to have committed 
                gross violations of human rights, including 
                extra-judicial killings, or to have aided or 
                abetted paramilitary groups;
                    (B) the Colombian Armed Forces are 
                cooperating with civilian prosecutors and 
                judicial authorities (including providing 
                requested information, such as the identity of 
                persons suspended from the Armed Forces and the 
                nature and cause of the suspension, and access 
                to witnesses and relevant military documents 
                and other information), in prosecuting and 
                punishing in civilian courts those members of 
                the Colombian Armed Forces, of whatever rank, 
                who have been credibly alleged to have 
                committed gross violations of human rights, 
                including extra-judicial killings, or to have 
                aided or abetted paramilitary groups;
                    (C) the Colombian Armed Forces are taking 
                effective measures to sever links (including by 
                denying access to military intelligence, 
                vehicles, and other equipment or supplies, and 
                ceasing other forms of active or tacit 
                cooperation), at the command, battalion, and 
                brigade levels, with paramilitary groups, and 
                to execute outstanding orders for capture for 
                members of such groups; and
            (2) the balance of such funds may be obligated 
        after June 1, 2002, if the Secretary of State 
        determines and certifies to the appropriate 
        congressional committees that the Colombian Armed 
        Forces are continuing to meet the criteria contained in 
        paragraphs (1)(A), (B) and (C).
    (b) Consultative Process.--At least ten days prior to 
making the determination and certification required by this 
section, and every 120 days thereafter during fiscal year 2002, 
the Secretary of State shall consult with internationally 
recognized human rights organizations regarding progress in 
meeting the conditions contained in subsection (a).
    (c) Report.--One hundred and twenty days after the 
enactment of this Act, and every 120 days thereafter during 
fiscal year 2002, the Secretary of State shall submit a report 
to the Committees on Appropriations describing actions taken by 
the Colombian Armed Forces to meet the requirements set forth 
in subsections (a)(1)(A) through (a)(1)(C); and
    (d) Definitions.--In this section:
            (1) Aided or abetted.--The term ``aided or 
        abetted'' means to provide any support to paramilitary 
        groups, including taking actions which allow, 
        facilitate, or otherwise foster the activities of such 
        groups.
            (2) Paramilitary groups.--The term ``paramilitary 
        groups'' means illegal self-defense groups and illegal 
        security cooperatives.


                          illegal armed groups


    Sec. 568. (a) Denial of Visas to Supporters of Colombian 
Illegal Armed Groups.--Subject to subsection (b), the Secretary 
of State shall not issue a visa to any alien who the Secretary 
determines, based on credible evidence--
            (1) has willfully provided any support to the 
        Revolutionary Armed Forces of Colombia (FARC), the 
        National Liberation Army (ELN), or the United Self-
        Defense Forces of Colombia (AUC), including taking 
        actions or failing to take actions which allow, 
        facilitate, or otherwise foster the activities of such 
        groups; or
            (2) has committed, ordered, incited, assisted, or 
        otherwise participated in the commission of gross 
        violations of human rights, including extra-judicial 
        killings, in Colombia.
    (b) Waiver.--Subsection (a) shall not apply if the 
Secretary of State determines and certifies to the appropriate 
congressional committees, on a case-by-case basis, that the 
issuance of a visa to the alien is necessary to support the 
peace process in Colombia or for urgent humanitarian reasons.


 prohibition on assistance to the palestinian broadcasting corporation


    Sec. 569. None of the funds appropriated or otherwise made 
available by this Act may be used to provide equipment, 
technical support, consulting services, or any other form of 
assistance to the Palestinian Broadcasting Corporation.


                                  iraq


    Sec. 570. Notwithstanding any other provision of law, funds 
appropriated under the heading ``Economic Support Fund'' may be 
made available for programs benefitting the Iraqi people and to 
support efforts to bring about a political transition in Iraq: 
Provided, That not more than 15 percent of the funds (except 
for costs related to broadcasting activities) may be used for 
administrative and representational expenses, including 
expenditures for salaries, office rent and equipment: Provided 
further, That not later than 60 days after the date of 
enactment of this Act, the Secretary of State shall consult 
with the Committees on Appropriations regarding plans for the 
expenditure of funds under this section: Provided further, That 
funds made available under this heading are made available 
subject to the regular notification procedures of the 
Committees on Appropriations.


                       west bank and gaza program


    Sec. 571. For fiscal year 2002, 30 days prior to the 
initial obligation of funds for the bilateral West Bank and 
Gaza Program, the Secretary of State shall certify to the 
appropriate committees of Congress that procedures have been 
established to assure the Comptroller General of the United 
States will have access to appropriate United States financial 
information in order to review the uses of United States 
assistance for the Program funded under the heading ``Economic 
Support Fund'' for the West Bank and Gaza.


                               indonesia


    Sec. 572. (a) Funds appropriated by this Act under the 
headings ``International Military Education and Training'' and 
``Foreign Military Financing Program'' may be made available 
for assistance for Indonesian military personnel only if the 
President determines and submits a report to the appropriate 
congressional committees that the Government of Indonesia and 
the Indonesian Armed Forces are--
            (1) taking effective measures to bring to justice 
        members of the armed forces and militia groups against 
        whom there is credible evidence of human rights 
        violations in East Timor and Indonesia;
            (2) taking effective measures to bring to justice 
        members of the armed forces against whom there 
        is credible evidence of aiding or abetting illegal 
        militia groups in East Timor and Indonesia;
            (3) allowing displaced persons and refugees to 
        return home to East Timor, including providing safe 
        passage for refugees returning from West Timor and 
        demonstrating a commitment to preventing incursions 
        into East Timor by members of militia groups in West 
        Timor;
            (4) demonstrating a commitment to accountability by 
        cooperating with investigations and prosecutions of 
        members of the armed forces and militia groups 
        responsible for human rights violations in East Timor 
        and Indonesia;
            (5) demonstrating a commitment to civilian control 
        of the armed forces by reporting to civilian 
        authorities audits of receipts and expenditures of the 
        armed forces;
            (6) allowing United Nations and other international 
        humanitarian organizations and representatives of 
        recognized human rights organizations access to West 
        Timor, Aceh, West Papua, and Maluka; and
            (7) releasing political detainees.


    briefings on potential purchases of defense articles or defense 
                           services by taiwan


    Sec. 573. (a) Briefings.--Not later than 90 days after the 
date of enactment of this Act, and not later than every 120 
days thereafter during fiscal year 2002, the Department of 
State, in consultation with the Department of Defense, shall 
provide detailed briefings to the appropriate congressional 
committees (including the Committees on Appropriations) on any 
discussions conducted between any executive branch agency and 
the government of Taiwan during the preceding 120 days (or, in 
the case of the initial briefing, since the date of enactment 
of this Act) on any potential purchase of defense articles or 
defense services by the government of Taiwan.
    (b) Executive Agency Defined.--In this section, the term 
``executive branch agency'' has the meaning given the term 
``agency'' in section 551(1) of title 5, United States Code.


  restrictions on assistance to governments destabilizing sierra leone


    Sec. 574. (a) None of the funds appropriated by this Act 
may be made available for assistance for the government of any 
country for which the Secretary of State determines there is 
credible evidence that such government has knowingly 
facilitated the safe passage of weapons or other equipment, or 
has provided lethal or non-lethal military support or 
equipment, directly or through intermediaries, within the 
previous six months to the Sierra Leone Revolutionary United 
Front (RUF), Liberian Security Forces, or any other group 
intent on destabilizing the democratically elected government 
of the Republic of Sierra Leone.
    (b) None of the funds appropriated by this Act may be made 
available for assistance for the government of any country for 
which the Secretary of State determines 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.
    (c) Whenever the prohibition on assistance required under 
subsection (a) or (b) is exercised, the Secretary of State 
shall notify the Committees on Appropriations in a timely 
manner.


                    voluntary separation incentives


    Sec. 575. Section 579(c)(2)(D) of the Foreign Operations, 
Export Financing, and Related Programs Appropriations Act, 
2000, as enacted by section 1000(a)(2) of the Consolidated 
Appropriations Act, 2000 (Public Law 106-113), as amended, is 
amended by striking ``December 31, 2001'' and inserting in lieu 
thereof ``December 31, 2002''.


                     united nations population fund


    Sec. 576. (a) Limitations on Amount of Contribution.--Of 
the amounts made available under ``International Organizations 
and Programs'', not more than $34,000,000 for fiscal year 2002 
shall be made available for the United Nations Population Fund 
(hereafter in this section referred to as the ``UNFPA'').
    (b) Prohibition on Use of Funds in China.--None of the 
funds made available under ``International Organizations and 
Programs'' may be made available for the UNFPA for a country 
program in the People's Republic of China.
    (c) Conditions on Availability of Funds.--Amounts made 
available under ``International Organizations and Programs'' 
for fiscal year 2002 for the UNFPA may not be made available to 
UNFPA unless--
            (1) the UNFPA maintains amounts made available to 
        the UNFPA under this section in an account separate 
        from other accounts of the UNFPA;
            (2) the UNFPA does not commingle amounts made 
        available to the UNFPA under this section with other 
        sums; and
            (3) the UNFPA does not fund abortions.


  american churchwomen and other citizens in el salvador and guatemala


    Sec. 577. (a) To the fullest extent possible information 
relevant to the December 2, 1980, murders of four American 
churchwomen in El Salvador, and the May 5, 2001, murder of 
Sister Barbara Ann Ford and the murders of six other American 
citizens in Guatemala since December 1999, should be 
investigated and made public.
    (b) The Department of State is urged to pursue all 
reasonable avenues in assuring the collection and public 
release of information pertaining to the murders of the six 
American citizens in Guatemala.
    (c) The President shall order all Federal agencies and 
departments, including the Federal Bureau of Investigation, 
that possess relevant information, to expeditiously declassify 
and release to the victims' families such information, 
consistent with existing standards and procedures on 
classification.
    (d) In making determinations concerning declassification 
and release of relevant information, all Federal agencies and 
departments should use the discretion contained within such 
existing standards and procedures on classification in support 
of releasing, rather than withholding, such information.
    (e) All reasonable efforts should be taken by the American 
Embassy in Guatemala to work with relevant agencies of the 
Guatemalan Government to protect the safety of American 
citizens in Guatemala, and to assist in the investigations of 
violations of human rights.


              procurement and financial management reform


    Sec. 578. (a) Funding Conditions.--Of the funds made 
available under the heading ``International Financial 
Institutions'' in this Act, 10 percent of the United States 
portion or payment to such International Financial Institution 
shall be withheld by the Secretary of the Treasury, until the 
Secretary certifies to the Committees on Appropriations that, 
to the extent pertinent to its lending programs, the 
institution is--
            (1) implementing procedures for conducting annual 
        audits by qualified independent auditors for all new 
        investment lending;
            (2) implementing procedures for annual independent 
        external audits of central bank financial statements 
        for countries making use of International Monetary Fund 
        resources under new arrangements or agreements with the 
        Fund;
            (3) taking steps to establish an independent fraud 
        and corruption investigative organization or office;
            (4) implementing a process to assess a recipient 
        country's procurement and financial management 
        capabilities including an analysis of the risks of 
        corruption prior to initiating new investment lending; 
        and
            (5) taking steps to fund and implement programs and 
        policies to improve transparency and anti-corruption 
        programs and procurement and financial management 
        controls in recipient countries.
    (b) Definitions.--The term ``International Financial 
Institutions'' means the International Bank for Reconstruction 
and Development, the International Development Association, the 
International Finance Corporation, the Inter-American 
Development Bank, the Inter-American Investment Corporation, 
the Enterprise for the Americas Multilateral Investment Fund, 
the Asian Development Bank, the Asian Development Fund, the 
African Development Bank, the African Development Fund, the 
European Bank for Reconstruction and Development, and the 
International Monetary Fund.


         basic education assistance for indonesia and pakistan


    Sec. 579. (a) Of the funds made available under the heading 
``Development Assistance'' for basic education, $8,000,000 
shall be made available to Indonesia and Pakistan.
    (b) Of the funds made available under the heading 
``Economic Support Fund'' for Pakistan, not less than 
$2,500,000 shall be transferred to ``Operating Expenses of the 
United States Agency for International Development'' for the 
purpose of monitoring and implementing United States economic 
support, including that provided under the provisions of Public 
Law 107-38 and this general provision, of basic education, 
health, and democracy and governance activities in Pakistan.
    (c) Not more than 60 days after the enactment of this Act, 
the Administrator of the United States Agency for International 
Development shall report to the House Committees on 
Appropriations and International Relations and the Senate 
Committees on Appropriations and Foreign Relations on the 
Agency's proposed allocation of basic education funding for 
Indonesia and Pakistan, including in-country monitoring of 
budget support for basic education provided under Public Law 
107-38.


                 commercial leasing of defense articles


    Sec. 580. Notwithstanding any other provision of law, and 
subject to the regular notification procedures of the 
Committees on Appropriations, the authority of section 23(a) of 
the Arms Export Control Act may be used to provide financing to 
Israel, Egypt and NATO and major non-NATO allies for the 
procurement by leasing (including leasing with an option to 
purchase) of defense articles from United States commercial 
suppliers, not including Major Defense Equipment (other than 
helicopters and other types of aircraft having possible 
civilian application), if the President determines that there 
are compelling foreign policy or national security reasons for 
those defense articles being provided by commercial lease 
rather than by government-to-government sale under such Act.


                             war criminals


    Sec. 581. (a)(1) None of the funds appropriated or 
otherwise made available pursuant to this Act may be made 
available for assistance, and the Secretary of the Treasury 
shall instruct the United States executive directors to the 
international financial institutions to vote against any new 
project involving the extension by such institutions of any 
financial or technical assistance, to any country, entity, or 
municipality whose competent authorities have failed, as 
determined by the Secretary of State, to take necessary and 
significant steps to implement its international legal 
obligations to apprehend and transfer to the International 
Criminal Tribunal for the former Yugoslavia (the ``Tribunal'') 
all persons in their territory who have been publicly indicted 
by the Tribunal and to otherwise cooperate with the Tribunal.
    (2) The provisions of this subsection shall not apply to 
humanitarian assistance or assistance for democratization.
    (b) The provisions of subsection (a) shall apply unless the 
Secretary of State determines and reports to the appropriate 
congressional committees that the competent authorities of such 
country, entity, or municipality are--
            (1) cooperating with the Tribunal, including access 
        for investigators, the provision of documents, and the 
        surrender and transfer of publicly indicted persons or 
        assistance in their apprehension; and
            (2) are acting consistently with the Dayton 
        Accords.
    (c) Not less than 10 days before any vote in an 
international financial institution regarding the extension of 
any new project involving financial or technical assistance or 
grants to any country or entity described in subsection (a), 
the Secretary of the Treasury, in consultation with the 
Secretary of State, shall provide to the Committees on 
Appropriations a written justification for the proposed 
assistance, including an explanation of the United States 
position regarding any such vote, as well as a description of 
the location of the proposed assistance by municipality, its 
purpose, and its intended beneficiaries.
    (d) In carrying out this section, the Secretary of State, 
the Administrator of the United States Agency for International 
Development, and the Secretary of the Treasury shall consult 
with representatives of human rights organizations and all 
government agencies with relevant information to help prevent 
publicly indicted war criminals from benefiting from any 
financial or technical assistance or grants provided to any 
country or entity described in subsection (a).
    (e) The Secretary of State may waive the application of 
subsection (a) with respect to projects within a country, 
entity, or municipality upon a written determination to the 
Committees on Appropriations that such assistance directly 
supports the implementation of the Dayton Accords.
    (f) Definitions.--As used in this section--
            (1) Country.--The term ``country'' means Bosnia and 
        Herzegovina, Croatia and Serbia.
            (2) Entity.--The term ``entity'' refers to the 
        Federation of Bosnia and Herzegovina, Kosovo, 
        Montenegro and the Republika Srpska.
            (3) Municipality.--The term ``municipality'' means 
        a city, town or other subdivision within a country or 
        entity as defined herein.
            (4) Dayton accords.--The term ``Dayton Accords'' 
        means the General Framework Agreement for Peace in 
        Bosnia and Herzegovina, together with annexes relating 
        thereto, done at Dayton, November 10 through 16, 1995.


                               user fees


    Sec. 582. The Secretary of the Treasury shall instruct the 
United States Executive Director at each international 
financial institution (as defined in section 1701(c)(2) of the 
International Financial Institutions Act) and the International 
Monetary Fund to oppose any loan of these institutions that 
would require user fees or service charges on poor people for 
primary education or primary healthcare, including prevention 
and treatment efforts for HIV/AIDS, malaria, tuberculosis, and 
infant, child, and maternal well-being, in connection with the 
institutions' lending programs.


        heavily indebted poor countries trust fund authorization


    Sec. 583. Section 801(b)(1) of the Foreign Operations, 
Export Financing, and Related Programs Appropriations Act, 2001 
(Public Law 106-429) is amended by striking ``$435,000,000'' 
and inserting ``$600,000,000''.


                           funding for serbia


    Sec. 584. (a) Funds appropriated by this Act may be made 
available for assistance for Serbia after March 31, 2002, if 
the President has made the determination and certification 
contained in subsection (c).
    (b) After March 31, 2002, the Secretary of the Treasury 
should instruct the United States executive directors to the 
international financial institutions to support loans and 
assistance to the Government of the Federal Republic of 
Yugoslavia subject to the conditions in subsection (c): 
Provided, That section 576 of the Foreign Operations, Export 
Financing, and Related Programs Appropriations Act, 1997, as 
amended, shall not apply to the provision of loans and 
assistance to the Federal Republic of Yugoslavia through 
international financial institutions.
    (c) The determination and certification referred to in 
subsection (a) is a determination by the President and a 
certification to the Committees on Appropriations that the 
Government of the Federal Republic of Yugoslavia is--
            (1) cooperating with the International Criminal 
        Tribunal for the former Yugoslavia including access for 
        investigators, the provision of documents, and the 
        surrender and transfer of indictees or assistance in 
        their apprehension;
            (2) taking steps that are consistent with the 
        Dayton Accords to end Serbian financial, political, 
        security and other support which has served to maintain 
        separate Republika Srpska institutions; and
            (3) taking steps to implement policies which 
        reflect a respect for minority rights and the rule of 
        law, including the release of political prisoners from 
        Serbian jails and prisons.
    (d) Subsections (b) and (c) shall not apply to Montenegro, 
Kosovo, humanitarian assistance or assistance to promote 
democracy in municipalities.


     el salvador reconstruction and central america disaster relief


    Sec. 585. (a) During fiscal year 2002, not less than 
$100,000,000 shall be made available for rehabilitation and 
reconstruction assistance for El Salvador: Provided, That such 
funds shall be derived as follows: (1) from funds appropriated 
by this Act, not less than $65,000,000, of which not less than 
$25,000,000 shall be from funds appropriated under the heading 
``Economic Support Fund'', $25,000,000 should be from funds 
appropriated under the heading ``International Disaster 
Assistance'', and not less than $15,000,000 shall be from funds 
appropriated under the headings ``Child Survival and Health 
Programs Fund'' and ``Development Assistance''; and (2) from 
funds appropriated under such headings in Acts making 
appropriations for foreign operations, export financing, and 
related programs for fiscal year 1999 and prior years, not to 
exceed $35,000,000: Provided further, That none of the funds 
made available under this section may be obligated for 
nonproject assistance: Provided further, That prior to any 
obligation of funds made available under this section, the 
Administrator of the United States Agency for International 
Development (USAID) shall provide the Committees on 
Appropriations with a detailed report containing the amount of 
the proposed obligation and a description of the programs and 
projects, on a sector-by-sector basis, to be funded with such 
amount: Provided further, That of the funds made available 
under this section, up to $2,500,000 may be used for 
administrative expenses, including auditing costs, of USAID.
    (b) During fiscal year 2002, not less than $35,000,000 of 
the funds managed by the United States Agency for International 
Development should be made available for mitigation of the 
drought and rural food shortages elsewhere in Central America.


                   reports on conditions in hong kong


    Sec. 586. (a) Section 301 of the United States-Hong Kong 
Policy Act (22 U.S.C. 5731) is amended by striking ``and March 
31, 2000,'' and inserting: ``March 31, 2000, March 31, 2001, 
March 31, 2002, March 31, 2003, March 31, 2004, March 31, 2005, 
and March 31, 2006''.
      (b) The requirement in section 301 of the United States-
Hong Kong Policy Act, as amended by subsection (a), that a 
report under that section shall be transmitted not later than 
March 31, 2001, shall be considered satisfied by the 
transmittal of such report by August 7, 2001.


                   community-based police assistance


    Sec. 587. (a) Authority.--Of the funds made available to 
carry out the provisions of chapter 1 of part I and chapter 4 
of part II of the Foreign Assistance Act of 1961, up to 
$1,500,000 may be used, notwithstanding section 660 of that 
Act, to enhance the effectiveness and accountability of 
civilian police authority in Jamaica through training and 
technical assistance in internationally recognized human 
rights, the rule of law, strategic planning, and through the 
promotion of civilian police roles that support democratic 
governance including programs to prevent conflict and foster 
improved police relations with the communities they serve.
    (b) Report.--Twelve months after the initial obligation of 
funds for Jamaica for activities authorized under subsection 
(a), the Administrator of the United States Agency for 
International Development shall submit a report to the 
appropriate congressional committees describing the progress 
the program is making toward improving police relations with 
the communities they serve and institutionalizing an effective 
community-based police program.
    (c) Notification.--Assistance provided under subsection (a) 
shall be subject to the regular notification procedures of the 
Committees on Appropriations.


                             authorizations


    Sec. 588. The Secretary of the Treasury may, to fulfill 
commitments of the United States, contribute on behalf of the 
United States to the fifth replenishment of the resources of 
the International Fund for Agricultural Development. The 
following amount is authorized to be appropriated without 
fiscal year limitation for payment by the Secretary of the 
Treasury: $30,000,000 for the International Fund for 
Agricultural Development: Provided, That notwithstanding the 
dates specified in section 7 of the Export-Import Bank Act of 
1945 (12 U.S.C. 635f) and section 1(c) of Public Law 103-428, 
the Export-Import Bank of the United States shall continue to 
exercise its functions in connection with and in furtherance of 
its objects and purposes through March 31, 2002.


excess defense articles for central and southern european countries and 
                        certain other countries


    Sec. 589. Notwithstanding section 516(e) of the Foreign 
Assistance Act of 1961 (22 U.S.C. 2321j(e)), during each of the 
fiscal years 2002 and 2003, funds available to the Department 
of Defense may be expended for crating, packing, handling, and 
transportation of excess defense articles transferred under the 
authority of section 516 of such Act to Albania, Bulgaria, 
Croatia, Estonia, Former Yugoslavia Republic of Macedonia, 
Georgia, India, Kazakhstan, Kyrgyzstan, Latvia, Lithuania, 
Moldova, Mongolia, Pakistan, Romania, Slovakia, Slovenia, 
Tajikistan, Turkmenistan, Ukraine, and Uzbekistan: Provided, 
That section 105 of Public Law 104-164 is amended by striking 
``2000 and 2001'' and inserting ``2002 and 2003''.


    overseas private investment corporation and export-import bank 
                              restrictions


    Sec. 590. (a) Limitation on Use of Funds by OPIC.--None of 
the funds made available in this Act may be used by the 
Overseas Private Investment Corporation to insure, reinsure, 
guarantee, or finance any investment in connection with a 
project involving the mining, polishing or other processing, or 
sale of diamonds in a country that fails to meet the 
requirements of subsection (c).
    (b) Limitation on Use of Funds by the Export-Import Bank.--
None of the funds made available in this Act may be used by the 
Export-Import Bank of the United States to guarantee, insure, 
extend credit, or participate in an extension of credit in 
connection with the export of any goods to a country for use in 
an enterprise involving the mining, polishing or other 
processing, or sale of diamonds in a country that fails to meet 
the requirements of subsection (c).
    (c) Requirements.--The requirements referred to in 
subsection (a) and (b) are that the country concerned is 
implementing a system of controls, or taking other appropriate 
measures, that the Secretary of State determines to contribute 
effectively to preventing and eliminating the trade in conflict 
diamonds.


        modification to the annual drug certification procedures


    Sec. 591. During fiscal year 2002 funds in this Act that 
would otherwise be withheld from obligation or expenditure 
under section 490 of the Foreign Assistance Act of 1961 may be 
obligated or expended provided that:
            (1) Report.--Not later than 45 days after enactment 
        the President has submitted to the appropriate 
        congressional committees a report identifying each 
        country determined by the President to be a major drug-
        transit country or major illicit drug producing 
        country.
            (2) Designation and justification.--In each report 
        under paragraph (1), the President shall also--
                    (A) designate each country, if any, 
                identified in such report that has failed 
                demonstrably, during the previous 12 months, to 
                make substantial efforts--
                            (i) to adhere to its obligations 
                        under international counternarcotics 
                        agreements; and
                            (ii) to take the counternarcotics 
                        measures set forth in section 489(a)(1) 
                        of the Foreign Assistance Act of 1961; 
                        and
                    (B) include a justification for each 
                country so designated.
            (3) Limitation on assistance for designated 
        countries.--In the case of a country identified in a 
        report for fiscal year 2002 under paragraph (1) that is 
        also designated under paragraph (2) in the report, 
        United States assistance may be provided under this Act 
        to such country in fiscal year 2002 only if the 
        President determines and reports to the appropriate 
        congressional committees that--
                    (A) provision of such assistance to the 
                country in such fiscal year is vital to the 
                national interests of the United States; or
                    (B) commencing at any time 45 days after 
                enactment, the country has made substantial 
                efforts--
                            (i) to adhere to its obligations 
                        under international counternarcotics 
                        agreements; and
                            (ii) to take the counternarcotics 
                        measures set forth in section 489(a)(1) 
                        of the Foreign Assistance Act of 1961.
            (4) International counternarcotics agreement 
        defined.--In this section, the term ``international 
        counternarcotics agreement'' means--
                    (A) the United Nations Convention Against 
                Illicit Traffic in Narcotic Drugs and 
                Psychotropic Substances; or
                    (B) any bilateral or multilateral agreement 
                in force between the United States and another 
                country or countries that addresses issues 
                relating to the control of illicit drugs, such 
                as--
                            (i) the production, distribution, 
                        and interdiction of illicit drugs,
                            (ii) demand reduction,
                            (iii) the activities of criminal 
                        organizations,
                            (iv) international legal 
                        cooperation among courts, prosecutors, 
                        and law enforcement agencies (including 
                        the exchange of information and 
                        evidence),
                            (v) the extradition of nationals 
                        and individuals involved in drug-
                        related criminal activity,
                            (vi) the temporary transfer for 
                        prosecution of nationals and 
                        individuals involved in drug-related 
                        criminal activity,
                            (vii) border security,
                            (viii) money laundering,
                            (ix) illicit firearms trafficking,
                            (x) corruption,
                            (xi) control of precursor 
                        chemicals,
                            (xii) asset forfeiture, and
                            (xiii) related training and 
                        technical assistance;
                and includes, where appropriate, timetables and 
                objective and measurable standards to assess 
                the progress made by participating countries 
                with respect to such issues.
            (5) Application.--Section 490 (a)-(g) of the 
        Foreign Assistance Act of 1961 (22 U.S.C. 2291j) shall 
        not apply during fiscal year 2002 with respect to any 
        country identified in paragraph (1) of this section.
            (6) Statutory construction.--Nothing in this 
        section supersedes or modifies the requirement in 
        section 489(a) of the Foreign Assistance Act of 1961 
        (with respect to the International Control Strategy 
        Report) for the transmittal of a report not later than 
        March 1, 2002 under that section.


                           kenneth m. ludden


    Sec. 592. This Act may be cited as the Kenneth M. Ludden 
Foreign Operations, Export Financing, and Related Programs 
Appropriations Act, Fiscal Year 2002.
    This Act may be cited as the ``Foreign Operations, Export 
Financing, and Related Programs Appropriations Act, 2002''.
      And the Senate agree to the same.

                                   Jim Kolbe,
                                   Sonny Callahan,
                                   Joe Knollenberg,
                                   Jack Kingston,
                                   Jerry Lewis,
                                   Roger F. Wicker,
                                   Henry Bonilla,
                                   John E. Sununu,
                                   Bill Young,
                                   Nita Lowey,
                                   Nancy Pelosi,
                                   Jesse L. Jackson, Jr.,
                                   Carolyn C. Kilpatrick,
                                   Steven R. Rothman,
                                   Dave Obey,
                                 Managers on the Part of the House.

                                   Patrick J. Leahy,
                                   Daniel K. Inouye,
                                   Tom Harkin,
                                   Tim Johnson,
                                   Jack Reed,
                                   Robert C. Byrd,
                                   Mitch McConnell,
                                   Judd Gregg,
                                   Richard C. Shelby,
                                   Robert F. Bennett,
                                   Ben Nighthorse Campbell,
                                   Christopher Bond,
                                   Ted Stevens,
                                Managers on the Part of the Senate.
       JOINT EXPLANATORY STATEMENT OF THE COMMITTEE OF CONFERENCE

      The managers on the part of the House and Senate at the 
conference on the disagreeing votes of the two Houses on the 
amendment of the Senate to the bill (H.R. 2506) ``making 
appropriations for foreign operations, export financing, and 
related programs for the fiscal year ending September 30, 
2002'', submit the following joint statement to the House and 
Senate in explanation of the effect of the action agreed upon 
by the managers and recommended in the accompanying conference 
report:

               TITLE I--EXPORT AND INVESTMENT ASSISTANCE

                Export-Import Bank of the United States

                         Subsidy Appropriation

      The conference agreement appropriates $727,323,000 for 
the subsidy appropriation of the Export-Import Bank as proposed 
by the Senate, instead of $738,323,000 as proposed by the 
House. The managers have been informed that the level of 
subsidy provided will support a projected level of 
authorizations of $10,600,000,000 in 2002, approximately 
$1,400,000,000 higher than the level of authorizations in 
fiscal year 2001.

                        Administrative Expenses

      The conference agreement appropriates $63,000,000 for 
administrative expenses of the Export-Import Bank instead of 
$60,000,000 as proposed by the House and $64,000,000 as 
proposed by the Senate.

                Overseas Private Investment Corporation

      The managers are concerned about an announcement by OPIC 
that it intends to begin making bridge loans to non-
governmental organizations (NGOs) and private voluntary 
organizations (PVOs). While OPIC has provided financing to 
several PVOs since 1999, the managers are concerned that OPIC 
has not adequately consulted and informed Congress on these 
projects. Therefore, the managers direct the President of OPIC 
to consult with the Committees on Appropriations in the House 
and the Senate before any future financing for NGOs or PVOs is 
approved.
      The managers are also concerned that significant changes 
to the insurance market in the wake of the September 11, 2001 
attacks against the United States may jeopardize coverage of 
American investments overseas. The managers note that the 
inability to obtain sufficient insurance coverage could have 
significant adverse impact on large infrastructure project 
support by U.S. corporations, U.S. commercial banks, the 
Export-Import Bank, and the Overseas Private Investment 
Corporation.

                TITLE II--BILATERAL ECONOMIC ASSISTANCE

                    Compliance With Report Language

      The managers note that at times in the past, the 
Department of State and USAID have failed to respond to 
recommendations in the House and Senate Appropriations 
Committee reports, choosing instead to recognize only language 
in the statement of the managers accompanying the Conference 
Report. The managers expect the Department of State and USAID 
to follow the recommendations in the House and Senate reports, 
unless those recommendations are modified in the statement of 
the managers. In the event that the House and Senate 
Appropriations Committee reports contain conflicting 
recommendations on the same subject, the managers expect the 
Department of State and USAID to consult with the House and 
Senate Appropriations Committees regarding those 
recommendations.

           United States Agency for International Development

                Child Survival and Health Programs Fund

      The conference agreement appropriates $1,433,500,000 for 
the Child Survival and Health Programs Fund instead of 
$1,425,000,000 as proposed by the House and $1,510,500,000 as 
proposed by the Senate. The conference agreement also continues 
limitations on the use of the Fund for non-project assistance.
      The conference agreement includes language allocating 
$1,433,500,000 among six program categories in the Child 
Survival and Health Programs Fund: $315,000,000 for child 
survival and maternal health, including vaccine-preventable 
diseases such as polio; $25,000,000 for vulnerable children; 
$435,000,000 for HIV/AIDS; $165,000,000 for other infectious 
diseases; $368,500,000 for reproductive health/family planning; 
and $120,000,000 for UNICEF. The managers expect that any 
change proposed subsequent to the allocation as directed in 
bill language will be subject to the requirements of section 
515 of the Act. A definition of program categories and their 
components can be found on pages 9 through 11 of House Report 
107-142 and under the heading ``Family Planning/Reproductive 
Health'' on page 12 of Senate Report 107-58.
      Within the child survival and maternal health program, 
authority is provided to transfer up to $53,000,000 instead of 
$60,000,000 as proposed by the House and $50,500,000 as 
proposed by the Senate to The Vaccine Fund established for 
child immunization by the Global Alliance for Vaccines and 
Immunization (GAVI). The managers continue to be supportive of 
GAVI and again direct that the Committees be informed in 
writing 20 days prior to the obligation of any funds for GAVI 
on the proposed use of any U.S. contribution, particularly with 
regard to the amount to be donated for procurement of vaccines 
for children. Any in-kind contributions through USAID should be 
in addition to the $53,000,000 contribution to The Vaccine 
Fund.
      The managers note that the vulnerable children program is 
not intended to be used to assist AIDS orphans, who will be 
major beneficiaries of the HIV/AIDS program. Although the 
conference agreement does not include bill language regarding 
funding for blind children, the managers recommend not less 
than $1,300,000 for assistance for blind children. The managers 
support efforts to eliminate iodine deficiency disorder, the 
leading cause of mental retardation, and expect that at least 
$2,500,000 from the Child Survival and Health Programs Fund and 
$2,225,000 from the Europe and Eurasia regional accounts be 
provided for the Kiwanis International/UNICEF-IDD partnership 
program. USAID is also encouraged to increase support for non-
governmental organizations, such as Special Olympics, that work 
with older children, including those with cognitive 
disabilities and mild mental retardation, to teach life and job 
skills. The managers encourage USAID to explore expanding 
support for NGO programs for vulnerable children and adults in 
Southeast Asian countries where government policies impede the 
establishment of a regular USAID mission or limit government-
to-government economic cooperation. The managers also direct 
that $27,500,000 be provided to combat polio.
      The conference agreement includes $475,000,000 for HIV/
AIDS, of which $435,000,000 is allocated within this account 
and not less than $40,000,000 in other accounts and programs. 
The conference agreement includes bill language on the 
development of microbicides. The managers expect that these 
funds will be managed by the director of the HIV/AIDS division 
at USAID. In addition, the conference agreement includes up to 
$10,000,000 for a United States contribution to the 
International AIDS Vaccine Initiative.
      The managers note that the Global AIDS and Tuberculosis 
Relief Act of 2000 (P.L. 106-264) authorized that 65 percent of 
the HIV/AIDS funding be provided through non-governmental 
organizations (NGOs). The managers concur that NGOs, including 
faith-based organizations, provide invaluable services in the 
fight against HIV/AIDS. In anticipation of an increasing 
involvement of the public sector, particularly in the areas of 
treatment and the provision of interventions toreduce mother-
to-child transmission, the managers agree that assistance provided 
through NGOs in cooperation with a foreign government or using 
government facilities may be counted against the 65 percent target in 
USAID's strategy to implement the Act.
      The managers recognize the value of innovative projects 
to combat the ever-growing HIV/AIDS pandemic. The managers are 
aware of two innovative faith-based alliances and recommend 
that USAID provide not less than $2,000,000 to fund proposals 
by each NGO. The first is between a United States NGO and the 
southern African Anglican Church to provide information and 
communications technologies and platforms to strengthen 
community efforts to combat HIV/AIDS in southern Africa. The 
second is between Hope worldwide and a number of communities in 
southern Africa. The NGO seeks to replicate and extend its 
well-known Soweto Community Childcare program for orphans and 
other children affected by AIDS to other sites in Africa. The 
managers encourage USAID to seek out and support similar 
innovative programs, especially in Africa, South and Central 
Asia, and the Caribbean region.
      Within the overall Child Survival and Health Programs 
Fund, authority is provided to transfer $50,000,000 to a 
proposed global fund to fight AIDS, tuberculosis and malaria. 
Of this amount, $10,000,000 would be transferred from the 
allocation for other infectious diseases, which include 
tuberculosis and malaria. In addition, the President may use up 
to $50,000,000 from other accounts in title II of this and 
prior Acts for the fund, for a total of $100,000,000 under the 
authorities provided in this Act.
      The managers note that up to an additional $200,000,000 
is available for the proposed global fund from two other 
appropriations Acts, a total of $100,000,000 in the Child 
Survival and Disease Programs Fund under a provision of Public 
Law 107-20, and another $100,000,000 from H.R. 3061, the 
Departments of Labor, Health and Human Services, and Education 
Appropriations Act, 2002. The managers further note that the 
President's request for the fund is $200,000,000.
      The managers expect the Secretary of State and the 
Secretary of Health and Human Services to report to the 
Committees no later than April 30, 2002 on progress toward 
establishment of a global fund to combat AIDS, tuberculosis and 
malaria. If substantial progress has not been made by August 1, 
2002, in establishing a global fund on terms mutually 
acceptable to the Secretaries and the Committees, the managers 
expect that the funds intended to be contributed to the 
proposed global fund will be made available for obligation, as 
needed, for ongoing bilateral programs to fight HIV/AIDS, 
tuberculosis, and malaria.
      The managers urge that expanded resources be made 
available to mother-to-child transmission (MTCT) programs. As 
effective implementation of MTCT programs will take time, 
during which health care workers will be trained, laboratory 
and testing facilities established, and community based care 
services for HIV positive mothers developed, USAID will not be 
able to meet the Global AIDS Act's 8.3 percent MTCT funding 
target in fiscal year 2002. The managers expect that USAID will 
achieve the MTCT target by the end of fiscal year 2003.
      The conference agreement allocates $165,000,000 for other 
infectious diseases including $65,000,000 to address the global 
health threat from tuberculosis. The managers expect that a 
total of at least $75,000,000 will be provided for tuberculosis 
from all accounts.
      The other infectious diseases program also includes 
$65,000,000 for efforts to reduce the incidence of malaria and 
$35,000,000 for antimicrobial resistance and infectious 
diseases surveillance. Proper antibiotic use and increasing 
global resistance have assumed a higher priority since the 
recent bioterrorism incidents, and the managers urge USAID to 
reserve part of its increase in funding to invest in public/
private partnerships and alliances that promote more prudent 
uses of antibiotics in developing countries.
      The managers are aware that the HIV/AIDS, tuberculosis 
and malaria crises require extraordinary efforts on the part of 
the U.S. Government. USAID is encouraged to use, as 
appropriate, its existing waiver authorities regarding 
financing and procurement of goods and services, and grant 
making, in order toexpedite the provision of assistance to 
combat infectious diseases and enhance the efficiency of that 
assistance.
      The conference agreement allocates $368,500,000 for 
family planning/reproductive health within the Child Survival 
and Health Programs Fund. The Senate amendment proposed that 
not less than $395,000,000 be made available from the Child 
Survival and Health Programs Fund to carry out section 104(b) 
of the Foreign Assistance Act, regarding international 
population planning assistance. The House bill allocated 
$358,000,000 from this account for bilateral reproductive 
health/family planning assistance. The conference agreement 
provides overall funding of $446,500,000 for bilateral family 
planning/reproductive health from this account, the Economic 
Support Fund, and the regional accounts for Eastern Europe and 
the former Soviet Union in section 522.
      As the managers are concerned about logging, poaching and 
other development harmful to the environment in regions where 
population pressures threaten biodiversity and endangered 
species, such as Indonesia, Central Africa, and parts of Latin 
America, the conference agreement includes Senate language that 
urges USAID to undertake and implement reproductive health/
family planning programs in these regions.
      The managers also direct USAID to continue to provide the 
Committees with a detailed annual report not later than 
February 28, 2002, on the programs, projects, and activities 
undertaken by the Child Survival and Disease Programs Fund 
during fiscal year 2001.
      Funds appropriated for the Child Survival and Health 
Programs Fund are appropriated for programs, projects and 
activities. Funds for administrative expenses to manage Fund 
activities are provided in a separate account, with two 
exceptions included in the conference agreement: authority for 
USAID's central and regional bureaus to use up to $125,000 from 
program funds for Operating Expense-funded personnel to better 
monitor and provide oversight of the Fund; and, in section 522, 
authority to use up to $15,500,000 to reimburse other 
government agencies and private institutions for professional 
services. Any proposed transfer of appropriations from the Fund 
for administrative expenses of USAID under any other authority 
shall be subject to section 515 of this Act.
      None of the funds appropriated under this heading or the 
heading ``Child Survival and Disease Programs Fund'' in prior 
Acts making appropriations for foreign operations, export 
financing, and related programs may be allocated or reserved in 
USAID's operating year budget for a Global Development 
Alliance. Any proposed obligations for Global Development 
Alliance programs, projects or activities shall be subject to 
the regular notification procedures of the Committees on 
Appropriations.

                         Development Assistance

      The conference agreement appropriates $1,178,000,000 for 
``Development Assistance'' instead of $1,098,000,000 as 
proposed by the House and $1,245,000,000 as proposed by the 
Senate.
      The managers have increased funds for Development 
Assistance above the amount requested by the President in order 
to make additional funds available for urgent basic education, 
environment and energy conservation, and economic growth 
programs. Within the economic growth, agriculture and trade 
sector, environment and clean energy, trade promotion, and rule 
of law activities are of special interest.
      The managers have agreed to provide $150,000,000 for 
basic education under the development assistance account, 
instead of $135,000,000 as proposed by the House bill and the 
Senate amendment. In addition, $15,000,000 should be derived 
from other accounts.
      The managers also direct USAID to conduct an immediate 
review of basic education programs in countries whose 
assistance is primarily provided from the Economic Support Fund 
(ESF). Widespread anti-American sentiment in predominately 
Muslim countries has exposed a deficiency in basic education 
within countries that have received large amounts of U.S. 
assistance through ESF-funded programs. The managers urge that 
cooperative efforts be initiated with ESF-recipient countries 
to develop and implement creative basic education programs that 
strengthen the capacity and accessibility of public education 
systems. The conferees expect that expenditures from the ESF 
account for education will increase as a result of these 
efforts.
      The managers continue to be concerned about worldwide 
trafficking of women and children and urge the Department of 
State and USAID to provide $20,000,000 from title II of this 
Act, including not less than $1,500,000 under the heading 
``Independent States'' and not less than $10,000,000 under the 
heading ``International Narcotics Control and Law 
Enforcement'', to continue and expand anti-trafficking 
programs.
      The conference agreement provides that, of the funds for 
agriculture and rural development programs, $25,000,000 should 
be provided for biotechnology research and development.
      The managers strongly support the fertilizer-related 
research and development being conducted by the International 
Fertilizer Development Center (IFDC) and urge the Administrator 
of USAID to make at least $4,000,000 available to IFDC, 
including not less than $2,300,000 for its core grant, as 
provided under the Senate amendment and the House Report.
      The managers expect USAID to increase funding for the 
Collaborative Research Support Programs (CRSPs) above the 
fiscal year 2001 level. The managers recommend that USAID 
should focus on increasing the overall funds available for 
CRSPs, and consult with the Committees on directives included 
in the House and Senate reports regarding funding for the 
CRSPs. The managers note the ongoing bipartisan and bicameral 
support for the Peanut CRSP.
      The conference agreement does not contain language 
proposed in the Senate amendment providing up to $100,000 for 
an assessment of the causes of flooding along the Volta River 
in Accra, Ghana, and recommendations for solving the problem. 
The House did not address this matter. The managers support 
this endeavor, and expect $100,000 to be provided for the 
assessment.
      The managers direct that not less than $500,000 be made 
available for the United States Telecommunications Training 
Institute, a long-standing and successful program that provides 
communications and broadcasting training to professionals 
around the world. The Senate amendment includedbill language 
mandating that such funds be made available for this purpose. The House 
bill did not address this matter.
      The conference agreement provides that $18,000,000 should 
be made available for the American Schools and Hospitals Abroad 
(ASHA) program. The Senate amendment included bill language 
mandating that $19,000,000 be made available for this purpose. 
The House bill did not address this matter. The managers direct 
ASHA to give full consideration to grant proposals from all 
qualified institutions. These may include grant proposals for 
curriculum, staff support, and related expenses and for 
expansion overseas facilities owned and operated by U.S. based, 
non-profit educational institutions. No regulation, statute, or 
congressional directive precludes ASHA funds from being 
utilized for these purposes.
      The managers strongly support programs to protect the 
environment, including biodiversity and endangered species. 
They also support sustainable use of natural resources and 
sustainable agriculture and programs that conserve energy and 
promote efficient energy production and use in developing 
countries. The conference agreement includes language similar 
to the Senate bill, which provides that $275,000,000 should be 
made available for these activities. Of this amount, 
$100,000,000 should be made available for programs to protect 
biodiversity.
      The conference agreement includes language similar to the 
Senate amendment, which provides that $2,000,000 should be made 
available from ``Development Assistance'' and the ``Child 
Survival and Health Programs Fund'' for activities in Laos. 
These funds are to be made available only through 
nongovernmental organizations to address basic human needs. The 
managers are extremely troubled by the repressive policies of 
the Government of Laos. In addition to condemning the wholesale 
denial of human rights to the people of Laos, particularly the 
Hmong, the managers are concerned about a recent event in which 
several European nationals were arrested, detained in inhumane 
conditions, and eventually expelled from Laos for demonstrating 
for democracy and the release of political prisoners. The House 
bill did not address this matter.
      As a result of the situation since September 11, 2001, 
the managers support and urge USAID to include in its 
initiative to prevent conflict $2,500,000 to support 
environmental threat assessments and preventive solutions. The 
Foundation for Security and Sustainability is prepared to 
mobilize its interdisciplinary experts to address urgent 
challenges such as highly infectious diseases and environmental 
indicators to provide credible warnings as they pertain to the 
security of key regions.
      The conferees continue to strongly support dairy 
development and urge the USAID to provide $8,000,000 to fund 
new projects in fiscal year 2002, the same level provided for 
the past two years. The program has helped the U.S. dairy 
industry become more competitive through promoting American 
technology, equipment, inputs and industry-based technical 
assistance in developing and market transition countries.
      The managers support the language in House Report 107-142 
regarding education and technology in Africa, especially with 
regard to the Education of Development and Democracy Initiative 
(EDDI) and the AFTECH initiative. As such, the managers 
strongly recommend that $17,000,000 be made available for EDDI 
in fiscal year 2002, instead of the multiyear funding 
recommendation in the House Report. The managers also support 
the Republic of Congo's (Brazzaville) efforts to achieve 
economic self sufficiency and democratic reform following its 
civil war. The conferees strongly encourage USAID to support 
the Congo Republic's multi-year effort to boost local 
production of agricultural foodstuffs. This project complements 
the Agency's ongoing effort to engage the private sector in 
developing methods to achieve food security in Africa.
      The managers endorse House and Senate report language 
supporting assistance for victims of torture and recommend 
$10,000,000 for these activities, including treatment centers. 
The managers are also aware of the Hacia La Seguridad program 
in Quito, Ecuador and the United States-Honduras Program of 
Investments Alliance and encourage USAID to consider proposals 
for supporting both projects. The managers also endorse the 
Senate report language recommending support for the Navsarjan 
Trust in India.
      The managers recognize the important contributions made 
by American volunteers through the Citizens Democracy Corps and 
the International Executive Service Corps (IESC), and support 
additional funding by USAID over and above existing grants and 
cooperative agreements for both PVOs. In particular, the 
managers support proposals by the IESC to renew its technical 
assistance activities in small and medium-sized enterprises in 
Latin America, Africa, and Asia.
      The managers expect USAID to comply with the House Report 
directives, as modified below, as it develops more fully its 
Global Development Alliance concept. Until those 
recommendations have been implemented, as determined by the 
Committees, any proposed obligations from Development 
Assistance appropriations for Global Development Alliance 
programs, projects or activities shall be subject to the 
regular notification procedures of the Committees on 
Appropriations on a case-by-case basis. Overall, any allocation 
or reservation of funds for a Global Development Alliance in 
USAID's operating year budget shall be limited to $20,000,000 
during fiscal year 2002.

                                 Burma

      The conference agreement contains language that provides 
that of the funds appropriated for the Economic Support Fund, 
not less than $6,500,000 shall be made available to support 
democracy activities in Burma and for related activities 
outside of Burma. These funds are available notwithstanding any 
other provision of law, but shall be made available subject to 
the regular notification procedures of the Committees on 
Appropriations. The conference agreement also amends a similar 
provision for the fiscal year 2001 appropriations act to 
provide for the use of funds appropriated under ``Child 
Survival and Disease Programs Fund'' for activities in Burma. 
The conference agreement does not contain Senate language that 
conditioned the use of funds on the direct involvement of the 
National League for Democracy.
      The managers expect that programs and activities 
conducted inside Burma will be carried out in consultation with 
the leadership of the National League for Democracy (NLD). The 
managers do not support the provision of any assistance to the 
State Peace and Development Council (SPDC), and encourage a 
just and peaceful settlement to the political stalemate.
      The managers are deeply concerned with the detention of 
Burma's legitimately elected leader Daw Aung San Suu Kyi, and 
the imprisonment and torture of Burmese democracy activists. 
The managers recognize the humanitarian crises that exist in 
Burma today, including an explosive HIV/AIDS infection rate, 
and condemn the repressive policies of the SPDC that directly 
contribute to human suffering in that country. The managers 
denounce the SPDC's efforts to obtain a nuclear reactor and its 
recent decision to purchase ten MIG-29 fighter aircraft. These 
funds could be better used for basic health care for the 
Burmese people.
      The managers note that talks have taken place between the 
NLD and the SPDC, and a few political prisoners have been 
released. However, at the current rate it will take a decade 
before all 1,800 political prisoners are set free. The managers 
urge the immediate and unconditional release of all prisoners 
of conscience in Burma. The SPDC is also urged to allow NLD 
offices to reopen throughout Burma and to operate without 
restriction.
      The managers request that within 90 days of enactment of 
the Act, the Administrator of USAID, in consultation with the 
Under Secretary of State for Global Affairs, provide a report 
to the Committees on Appropriations on the extent of the HIV/
AIDS epidemic in Burma, including recommendations for action 
that the United States Government could take to limit the 
spread of HIV/AIDS in Burma. The recommendations may not 
include direct support to the SPDC.

                   International Disaster Assistance

      The conference agreement appropriates $235,500,000 for 
``International Disaster Assistance'', instead of $245,000,000 
as proposed by the Senate and $201,000,000 as proposed by the 
House bill. The managers have agreed to a 17.5 percent increase 
above the request in anticipation that additional resources 
will be needed for humanitarian assistance, especially in 
Central America and sub-Saharan Africa. The director of the 
Office of Foreign Disaster Assistance is to consult with the 
Committees not less than every three months, on the current 
status of commitments, obligations, and expenditures by the 
Office and on any proposals to augment ``International Disaster 
Assistance'' by transfers from other accounts.
      The conferees urge USAID to at least double its disaster 
preparedness programs and activities in South Asia by 
initiating offers of technical assistance in this area with the 
Governments of India and other regional states. Not less than 
$5,000,000 should be committed by the Office of Foreign 
Disaster Assistance to develop national and regional emergency 
response capabilities to prevent unnecessary loss of life and 
property during frequent natural disasters such as cyclones, 
earthquakes and floods. This program should be designed to 
promote regional cooperation and stability.

                         Transition Initiatives

      The conference agreement appropriates $50,000,000 for 
``Transition Initiatives'' to support USAID's Office of 
Transition Initiatives (OTI). The House bill proposed 
$40,000,000 and the Senate amendment $52,500,000 for this 
account. The conference agreement requires that USAID submit a 
report to the Appropriations Committees not less than five days 
prior to beginning a new program of assistance. The House bill 
contained a similar provision.
      The managers recognize the importance of identifying and 
supporting women leaders in post-conflict societies, and urge 
USAID and the Department of State to make women's leadership 
training a central part of U.S. transition assistance to the 
people of Afghanistan and the surrounding region. The Vital 
Voices Leadership Institute is among the groups with the 
expertise to move quickly to implement such a program. The 
conferees urge USAID and the State Department to quickly 
identify opportunities for such initiatives within Afghanistan.

                      Development Credit Authority

                     (Including Transfer of Funds)

      The conference agreement appropriates up to $18,500,000 
by transfer from funds made available under the heading 
``Development Assistance'' for the cost of loans and loan 
guarantees for USAID's Development Credit Authority, instead of 
$25,000,000 as proposed by the Senate and $12,500,000 as 
proposed by the House. In addition, the conference agreement 
includes urban programs among the potential beneficiaries and 
extends the availability of the credit subsidy authority until 
September 30, 2007, instead of until expended as proposed by 
the Senate.

   Operating Expenses of the United States Agency for International 
                              Development

      The conference agreement includes language providing that 
up to $10,000,000 may be made available until expended for 
security-related costs.

   Operating Expenses of the United States Agency for International 
                              Development

                      Office of Inspector General

      The conference agreement appropriates $31,500,000 for 
Operating Expenses of the United States Agency for 
International Development, Office of Inspector General, instead 
of $32,000,000 as proposed by the Senate and $30,000,000 as 
proposed by the House. The managers encourage the Inspector 
General to continue the policy of constructive and ongoing 
reviews of USAID's attempts to resolve its serious financial 
and human resource management and procurement challenges. The 
managers also request the Inspector General to inform the 
Committee promptly of any emerging deficiencies.

                  Other Bilateral Economic Assistance

                         Economic Support Fund

      The conference agreement appropriates $2,199,000,000 for 
the Economic Support Fund as proposed by the House instead of 
$2,239,500,000 as proposed by the Senate.
      The conference agreement includes language that provides 
not less than $200,000,000 for the Commodity Import Program in 
Egypt. The Senate amendment had proposed not less than 
$160,000,000 for this program, while the House bill did not 
address this matter.
      The conference agreement also includes language that 
provides that not less than $150,000,000 should be made 
available for assistance for Jordan. The Senate language would 
have mandated this level of support. The House bill did not 
address this matter.
      The conference agreement also includes language that 
provides that not less than $25,000,000 shall be made available 
for East Timor, including up to $1,000,000 which may be 
transferred to and merged with Operating Expenses of the United 
States Agency for International Development. The House bill did 
not address this matter.
      The conference agreement includes Senate language that 
provides that not less $15,000,000 shall be available for 
assistance for Cyprus. The House bill had similar language, but 
it provided that $15,000,000 should be made available rather 
than making this level mandatory.
      In addition, the conference report provides not less than 
$35,000,000 for assistance for Lebanon. The managers are 
concerned with the failure of the Government of Lebanon, 
despite repeated requests at the highest levels, to enforce the 
orders of Lebanese courts requiring the return of abducted 
American children in Lebanon. The conference agreement provides 
that the Government of Lebanon should enforce the custody and 
international pickup orders, issued during calendar year 2001, 
of Lebanon's civil courts regarding abducted American children 
in Lebanon. The House bill had language that provided this 
level of assistance for Lebanon, but did not include Senate 
language regarding child custody and international pickup 
orders.
      The managers are deeply concerned by reports that the 
Government of Lebanon will not cooperate with the President's 
request, made pursuant to Executive Order 13224, to freeze the 
assets of Hezbollah, a group included on the State Department's 
list of terrorist organizations. The managers will closely 
monitor the Government of Lebanon's future cooperation with 
this and other aspects of the campaign against terrorism. The 
managers note that any funding provided in this account to the 
Central Government of Lebanon is subject to Congressional 
notification.
      The conference agreement includes language that provides 
that $50,000,000 of the funds appropriated under this heading 
should be provided for Indonesia. The Senate amendment 
contained language that provided that $135,000,000 should be 
provided for Indonesia from ``Economic Support Fund'', as well 
as from ``Development Assistance'' and ``Child Survival and 
Health Programs Fund''. The House bill did not address this 
matter.
      The conference agreement does not include Senate language 
providing that not less than $10,000,000 from various accounts 
should be made available for humanitarian, economic 
rehabilitation and reconstruction, political reconciliation and 
related activities in Aceh, Papua, West Timor and Malukus. 
However, the managers direct USAID to urgently pursue 
opportunities to provide such assistance to address urgent 
needs in these impoverished and politically volatile regions. 
Funds made available for these purposes may be made available 
to and managed by the Office of Transition Initiatives.
      The managers remain concerned with the political 
situation in Indonesia, and encourage the Government to 
continue to implement needed political, legal, economic, and 
military reforms. While the managers appreciate the complex 
situation within Indonesia, they find criticism by President 
Megawati Sukarnoputri of American-led efforts to counter 
international terrorism to be dismaying.
      The managers did not include Senate language relating to 
funding for the Documentation Center of Cambodia, but recognize 
the vital research the Center provides to the people of 
Cambodia on atrocities committed by the Khmer Rouge. The 
managers expect the Department of State and USAID to provide 
sufficient levels of funding to the Center, and endorse the 
Senate report language on this matter. The managers request the 
Secretary of State to report to the Committees on 
Appropriations not later than 60 days after the enactment of 
this Act on a multi-year funding strategy for the Documentation 
Center of Cambodia.
      The conference agreement does not include Senate language 
that stated that not less than $12,000,000 should be made 
available for Mongolia. However, the managers support this 
level of funding for assistance for Mongolia, which is 
consistent with the budget request.
      The managers direct that $53,000,000 of the funds 
appropriated in this account be provided for reproductive 
health/family planning, as assumed in the budget request.
      The conferees reiterate their support for conflict 
prevention analysis in light of the events of September 11th, 
and urge the Administration to provide funding for groups 
previously cited, such as the International Crisis Group, whose 
work identifies and addresses the causes of conflict and the 
failed states which breed terrorism. The managers also 
reiterate support for important conflict resolution programs as 
described in the House and Senate reports, including funding of 
up to $1,000,000 for Seeds of Peace and up to $1,000,000 for 
the School for International Training's Conflict Transformation 
Across Cultures Program (CONTACT).
      The managers endorse the House report language regarding 
support for the International Arid Lands Consortium. In 
addition, the managers express support for the House report 
language regarding the Blaustein Institute for Desert Research.
      The conference agreement also includes House language 
that provides that funds from this account may be used, 
notwithstanding any other provision of law and subject to the 
regular notification procedures of the Committees on 
Appropriations, to provide certain specified assistance to the 
National Democratic Alliance of Sudan. The Senate amendment 
contained similar language, but included a ceiling of 
$10,000,000 on funds for this purpose.
      Significant developments in Sudan have opened the door 
for historical changes for the suffering people there. A 
special humanitarian relief flightsponsored by the United 
States and cleared by the Sudan People's Liberation Movement (SPLM) and 
the government of Sudan has delivered over eight metric tons of wheat 
to the remote Nuba Mountain area that had been cut off from 
international assistance. The United States is negotiating expanded 
delivery of food aid through air drops to the Nuba Mountains to be 
implemented by the World Food Program. In order to set up and maintain 
these proposed initiatives, the managers support additional funding for 
new programs including expanded access for humanitarian assistance, 
education, agriculture, peace building, and reconciliation in war-
affected areas of Sudan and to refugees in neighboring countries.
      The conference agreement includes language that provides, 
with respect to funds appropriated under the heading ``Economic 
Support Fund'' in this Act or prior Acts making appropriations 
for foreign operations, export financing, and related programs, 
the responsibility for policy decisions and justifications for 
the use of such funds, including whether there will be a 
program for a country that uses those funds and the amount of 
each such program, shall be the responsibility of the Secretary 
of State and the Deputy Secretary of State and this 
responsibility shall not be delegated. The managers are 
concerned that the programs and activities funded through this 
account accurately reflect both the priorities of the Secretary 
of State and the budget justification material provided to the 
Committees on Appropriations, as modified by the conference 
agreement. The managers reiterate the importance of 
Congressional intent in the programming of funds appropriated 
to the Economic Support Fund, and anticipate a cooperative 
approach during fiscal year 2002 on funding allocations and 
programming decisions. To improve accountability for the 
delivery of assistance, the managers urge the Department of 
State and the Office of Management and Budget to streamline the 
current process of apportioning Economic Support Funds so that 
the bureau or agency designated by the Secretary or Deputy 
Secretary to obligate and manage the funds is able to do so in 
a more efficient and timely manner.
      The managers endorse the Senate report language 
concerning the jurisdiction of and accelerated U.S. financial 
support for the war crimes tribunal for Sierra Leone.
      The managers encourage the State Department to support 
programs designed to connect the information technology 
networks of Central Asian and Central and Eastern European 
members of the Partnership for Peace, to help strengthen 
integration and cooperation between these nations.

                     International Fund for Ireland

      The conference agreement appropriates $25,000,000 as 
proposed by the House. The Senate amendment contained no 
provision on this matter.

          Assistance for Eastern Europe and the Baltic States

      The conference agreement appropriates $621,000,000, 
instead of $615,000,000 as proposed by the Senate and 
$600,000,000 as proposed by the House. The conference agreement 
also provides authority to provide up to $43,000,000 for debt 
relief and restructuring for the Federal Republic of Yugoslavia 
(FRY), of which not to exceed $21,500,000 would be derived from 
funds appropriated in this and prior Acts under this account, 
and not to exceed $21,500,000 would be derived from funds 
appropriated in this and prior Acts for the Economic Support 
Fund. The managers note that a modification of direct loans and 
guarantees for the FRY using funds appropriated under this Act 
or under prior year foreign operations, export financing or 
related programs appropriations Acts shall not be considered 
assistance for purposes of any provision of law limiting 
assistance to a country.
      The conference report also contains Senate language 
making a reference in paragraph (e) to paragraph (d); this is a 
technical amendment.
      The managers recommend that $3,000,000 be provided to the 
United Nations Children's Fund (UNICEF) for a program in Bosnia 
for the protection of unaccompanied children and children at 
risk of being institutionalized. The program would focus on 
reforming residential institutions, strengthening social 
welfare centers for children, and helping to prevent abuse of, 
and violence against, children in Bosnia.
      The managers direct that $10,000,000 of the funds 
appropriated in this account be provided for reproductive 
health/family planning.
      The managers recommend that funding should be provided 
for the Russian, Eurasian, and East European Research and 
Training Program (Title VIII) at a level of at least 
$5,000,000. The managers strongly recommend that the existing 
administrative mechanism within the Department of State for the 
Title VIII program be preserved.

    Assistance for the Independent States of the Former Soviet Union

      The conference agreement appropriates $784,000,000, 
instead of $768,000,000 as proposed by the House and 
$795,500,000 as proposed by the Senate.
      The conference agreement includes not less than 
$49,000,000 only for child survival, environmental and other 
health activities, and programs to reduce the incidence of HIV/
AIDS, tuberculosis, and other infectious diseases, including 
$15,000,000 for reproductive health/family planning.
      The managers strongly support regional cooperation 
efforts among the countries of Armenia, Azerbaijan, and 
Georgia. To further regional cooperation, the conference 
agreement continues the current six exemptions from the 
statutory restrictions on assistance to the Government of 
Azerbaijan. The managers include a provision that funds 
available for the Southern Caucasus may be used for confidence-
building measures and other activities related to the 
resolution of regional conflicts, notwithstanding any other 
provision of law, as proposed by the Senate.
      The conference agreement includes not less than 
$90,000,000 for assistance for Armenia under the heading 
``Assistance for the Independent States of the Former Soviet 
Union'' and $4,000,000 under the heading ``Foreign Military 
Financing Program''. In addition, the managers direct that not 
less than $300,000 be provided for Armenia under the heading 
``International Military Education and Training''. The managers 
endorse the provision of $5,000,000 for an education 
initiative, proposed by the Senate amendment, to provide 
computer equipment, internet access, and related assistance to 
primary and secondary schools in Armenia, and support the 
provision of assistance under title II of this Act for programs 
and activities to counter weapons of mass destruction, improve 
regional stability, increase inter-operational capabilities 
with the United States, and clear land mines.
      The conference agreement includes Senate language that 
provides a conditional waiver of section 907 of the FREEDOM 
Support Act for the purposes of providing assistance to 
Azerbaijan to counter international terrorism. The language 
makes clear the intent of Congress that the provision of such 
assistance shall not hamper or deter ongoing efforts to 
negotiate a peaceful settlement of the Nagorno-Karabagh 
conflict, or be used for offensive purposes against any 
Armenian community in the Caucasus region. The waiver is 
conditional upon cooperation with the United States in the 
international fight against terrorism, and the managers intend 
to review and reserve the right to amend the waiver language in 
the fiscal year 2003 appropriations process. In undertaking its 
review, the managers expect to consider the progress of the 
investigation by the Government of Azerbaijan into the murder 
of John Alvis, a democracy worker with the International 
Republican Institute.
      The conference agreement provides that $90,000,000 of the 
funds in this account should be provided for Georgia. The 
managers urge the Coordinator and USAID to allocate $3,000,000 
for a small business project to promote private sector 
technology start-ups in Georgia and award grantsdirectly to the 
ongoing Atlanta-Tbilisi Partnership's Sustained Healthcare Initiative, 
instead of through the American International Health Alliance as 
discussed in House Report 107-142.
      The conference agreement includes language providing that 
$154,000,000 should be made available for Ukraine, instead of 
an earmark of $180,000,000 as proposed by the Senate and a 
ceiling of $125,000,000 as proposed by the House. Of the amount 
for Ukraine, not less than $30,000,000 should be provided for 
nuclear reactor safety programs. The managers also support the 
initiation of simulator projects at the Rivne and the 
Khmelnitsky reactors, and the provision of related safety 
simulator equipment at other reactors. The managers have also 
included a Senate provision requiring the Department of State 
to report on the progress in resolving the murders of Ukrainian 
journalists. The managers endorse House report language on 
child survival and health activities in Ukraine.
      The managers have concluded that assistance for Ukraine 
can succeed only if the Government of Ukraine is committed to 
economic, legal, and democratic reforms. The managers note that 
assistance to Ukraine takes on heightened significance as 
Ukraine prepares for parliamentary elections in March 2002, the 
outcome of which may determine the country's future direction.
      The conference agreement includes conditions on 
assistance to the Government of the Russian Federation, with 
exceptions for specified humanitarian and security programs, 
with respect to its adherence in the Northern Caucasus to 
certain conventional arms and human rights conventions and 
agreements, as proposed by both the House and the Senate. The 
managers reiterate language in the Statement of the Managers 
from prior years with regard to other limitations on 
assistance, ``that assistance to combat infectious diseases, . 
. . 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.''
      The conference agreement includes language providing not 
less than $17,500,000 for the Russian Far East. The Senate 
amendment had included not less than $20,000,000 for this 
purpose. This matter was not addressed in the House bill.
      The conference agreement does not include Senate bill 
language providing that not to exceed 8 percent of the funds 
provided for any single nuclear safety project may be used to 
pay for management costs incurred by a United States agency or 
national lab in administering said project. The House did not 
address this matter. The managers endorse this cap on 
management costs.
      The conference agreement again directs the Coordinator of 
Assistance to the Independent States to obligate not less than 
$1,500,000, primarily through locally-based and indigenous 
private voluntary organizations, to reduce trafficking in women 
and children. The managers urge the Coordinator to augment 
anti-trafficking projects by continuing and strengthening law 
enforcement and other activities to reduce all forms of 
violence against women.
      United States national security interests in Central Asia 
intensified as a result of the September 11th attack on the 
United States. The managers recognize that countries in the 
region are playing a supportive role in the international 
coalition allied against terrorism and are on the front line of 
U.S. efforts to isolate and destroy the Al Queda network.
      The managers believe that the United States should 
develop a targeted foreign aid response for Central Asia to 
counter the destabilizing effects of the war against terrorism. 
As part of this response, the United States should actively 
consider micro-lending institutions. Such organizations can 
serve as a vehicle for increasing the economic participation 
and security of theworking poor and thus constitute a strategy 
to limit further marginalization and foster economic stability and 
democracy in the region.
      While only a fraction of the population of the Central 
Asia region has access to financial services, certain countries 
have strong or emerging micro-finance sectors. Kyrgyzstan has 
positioned itself as the regional leader in micro-enterprise 
development. In Pakistan, the government has recently taken 
steps to promote the development of a micro-finance industry.
      The managers believe that micro-enterprise development is 
a potentially powerful tool in striking at the root causes of 
instability that arise from the economic disenfranchisement of 
peoples in the Central Asia region. The managers request that 
USAID provide, in coordination with the National Security 
Council, the Department of the Treasury, and the Office of 
Management & Budget, an addendum to the micro-enterprise report 
to Congress required by March, 2002 under the provisions of 
P.L. 106-309.
      The managers recommend $2,000,000 to support expansion of 
the Primary Healthcare Initiative to become self-sustaining.
      The managers remain concerned that the initial budget 
request for the U.S. Russia Investment Fund (TUSRIF) is 
inadequate. The managers therefore urge that the Fund receive 
no less than an additional $50,000,000 in fiscal year 2002. As 
with the enterprise fund in Poland the managers expect that 
more rapid capitalization of TUSRIF will lead over time to a 
similar repatriation of foreign aid funds to the U.S. Treasury. 
In return for a more rapid rate of investment the conferees 
also expect that TUSRIF will develop more opportunities for 
United States companies and investors throughout Russia.
      The managers endorse House Report language under the 
heading ``Expanded Threat Reduction'' regarding collaborative 
research grants for American and Russian scholars.

                          Independent Agencies

                       Inter-American Foundation

      The conference agreement appropriates $13,106,950 as 
proposed by the Senate instead of $12,000,000 as proposed by 
the House.

                     African Development Foundation

      The conference agreement appropriates $16,542,000 as 
proposed by the Senate instead of $16,042,000 as proposed by 
the House.

                          Department of State

          international narcotics control and law enforcement

      The conference agreement provides that $10,000,000 should 
be made available for anti-trafficking in persons programs, as 
proposed by the Senate. The House addressed this matter in a 
general provision.
      The conference agreement makes available $21,738,000 for 
administrative expenses instead of $16,600,000 as proposed by 
the House and the Senate.
      The managers endorse House report language regarding 
$10,000,000 in anti-crime programs for Africa.

                     Andean Counterdrug Initiative

      The conference agreement appropriates $625,000,000, 
instead of $675,000,000 as proposed by the House and 
$547,000,000 as proposed by the Senate.
      Additionally, the conference agreement allows for the 
authority to provide up to $35,000,000 through a permissive 
transfer from the International Narcotics Control and Law 
Enforcement funds. The managers intend that this discretionary 
authority shall apply only to funds within the International 
Narcotics Control and Law Enforcement account in this Act and 
in prior Acts making appropriations for foreign operations, 
export financing, and related programs. Such a transfer is 
subject to the regular notification procedures of the House and 
Senate Committees on Appropriations. In the event of such a 
transfer, the managers intend for the funds to support 
interdiction, alternative development, or other economic 
assistance to the Andean countries. The managers emphasize that 
there are other funds for Andean nations in this Act that may 
be made available for the Andean Regional Initiative (ARI).
      The conference agreement includes no earmarks for 
Bolivia, Ecuador, or Venezuela as proposed by the Senate. The 
House did not address this matter. The managers strongly 
support the provision of $86,000,000 for assistance for 
Bolivia, and $33,000,000 for assistance for Ecuador. The 
managers note the success these countries have had in combating 
narcotics cultivation and trafficking, and expect the 
Department of State to ensure that successful programs and 
activities continue under the ARI.
      The conference agreement does not include Senate bill 
language making available $2,000,000 for democracy-building 
activities in Venezuela. The managers strongly support efforts 
to promote democracy, the rule of law, and civil society in 
Venezuela and note with concern that the country remains a 
significant transit route for illegal drugs destined for the 
United States.
      The conference report does not include language proposed 
by the Administration that would have exempted funds 
appropriated in fiscal year 2002 and subsequent fiscal years 
from the limitation imposed in section 3204(a) of the Emergency 
Supplemental Act, 2000 (P.L. 106-246). It is the conferees' 
understanding that funds appropriated in this Act that are made 
available in support of Plan Colombia satisfy the conditions 
set forth in section 3204(a) of the Emergency Supplemental Act, 
2000 (P.L. 106-246).
      The managers are concerned that funds included in P.L. 
106-246 for assistance for the Colombian Fiscalia Human Rights 
Office, have been allocated without consultation with the 
Appropriations Committees for purposes that do not address this 
unit's priority needs of security, mobility and communications 
equipment for prosecutors, in particular for those prosecutors 
based in secondary cities and outlying regions. The managers 
direct the Department of State and Department of Justice to 
consult with the committees prior to the obligation or 
expenditure of funds appropriated in this Act or in P.L. 106-
246 for administration of justice programs in Colombia 
regarding the use of such funds.
      The Colombian National Police (CNP) anti-drug unit has 
the lead law enforcement role in the overall fight against 
illicit drugs and a commendable human rights record. The CNP 
has already been provided at least 8 Black Hawks and nearly 30 
Huey II helicopters by the United States to carry out this 
important drug fighting function including providing protection 
of the eradication planes. The managers believe it is vital 
that the CNP now be provided adequate spare parts and 
maintenance monies to keep this equipment flying at the high 
rates of operation that has been seen to date. The managers 
expect the Department of State to maximize the U.S. investment 
in these expensive helicopters and other equipment provided the 
CNP by providing adequate parts.
      The conference agreement includes language, similar to 
the Senate amendment, requiring consultations, a determination 
and report by the Secretary of State to ensure that chemicals 
used in the aerial fumigation of coca do not pose unreasonable 
health or safety risks to humans or the environment, and that 
the fumigation is conducted in accordance with regulatory 
controls in the U.S. as described in the January 23, 2001 State 
Department health and safety report on aerial spraying. 
Additionally, the managers have required the Secretary of State 
to consult with the Colombian government to ensure that the 
spraying is in accordance with Colombian laws.
      The managers are concerned with the lack of effective 
procedures for evaluating claims of local citizens that their 
health was harmed or their licit agricultural crops were 
damaged by such fumigation. The managers are informed that, in 
order to correct these problems, new procedures for handling 
claims have been put in place. The conference agreement 
requires the Secretary to determine and report that procedures 
are available to evaluate such claims, and the managers direct 
the Secretary to report to the Committees on Appropriations not 
later than 90 days after enactment on the effectiveness of 
these new procedures.
      The managers are concerned that coca eradication in some 
areas has proceeded before effective alternative development 
programs have been in place, and that some farmers in those 
areas have already replanted coca. In order to ensure that 
farmers whose coca is eradicated have alternative sources of 
income, access to markets and social services, the Conference 
Agreement includes Senate language requiring that within 6 
months of the date of enactment alternative development 
programs have been developed in consultation with communities 
and local authorities in each department in which aerial 
fumigation is planned, and that such programs are being 
implemented in each department in which aerial coca fumigation 
has been conducted.
      The conference agreement includes the Senate provision 
requiring the return of any helicopter found to aid or abet 
paramilitary groups. The House did not address this matter.
      While the managers fully appreciate the linkages between 
narco-traffickers and Colombian guerrilla movements and 
paramilitary organizations, they remain concerned with the 
prospects of involvement by the United States in Colombia's 
civil war. The managers strongly express reservations and 
objections to any mission creep in Colombia beyond ongoing 
counterdrug efforts.
      The conference agreement includes a provision prohibiting 
funds for the resumption of flights in support of a Peruvian 
air interdiction program until a system of enhanced safeguards 
are in place. The conference agreement differs from the 
conditions on funding for Peru as proposed by the House. The 
first condition, the submission of a report by the Secretary of 
State, has been provided to the Congress. The second condition 
requires that the resumption of flights in Peru must include 
enhanced safeguards, and to date the State Department has not 
decided to resume flights in Peru. The Senate did not address 
this matter.
      The conference agreement makes available $14,240,000 for 
administrative expenses of the Department of State and 
$4,500,000 for the U.S. Agency for International Development.

                    Migration and Refugee Assistance

      The conference agreement appropriates $705,000,000, 
instead of $715,000,000 as proposed by the House and 
$735,000,000 as proposed by the Senate. The primary reason for 
this level of funding is that $100,000,000 in supplemental 
funding for Migration and Refugee Assistance has already been 
provided to deal with the refugee crisis in Central Asia, which 
will help to relieve pressure on the fiscal year 2002budget for 
this account. The managers expect that this level of funding will not 
be misinterpreted as a lack of support for Migration and Refugee 
Assistance by the Administration when submitting future budget 
requests. The conference agreement makes available $16,000,000, for 
administrative expenses as proposed by the Senate instead of 
$15,000,000 as proposed in the House.
      Although refugee crises are often temporary, the managers 
are aware that in many instances it is necessary to provide 
relief services over an extended period of time. The managers 
encourage USAID and the State Department to invest in basic 
health, education services, and food production industries in 
developing countries where there are longer-term refugee 
crises.
      The conference agreement prohibits funds for headquarters 
costs of the International Committee of the Red Cross (ICRC) 
until the Secretary of State certifies that the Magen David 
Adom Society of Israel is not being denied participation in 
ICRC activities, as proposed by the House. The Senate amendment 
did not address this matter.
      The managers are concerned with the increasing dangers 
facing humanitarian relief workers in conflict zones, and 
endorse Senate report language directing the Secretary of State 
to submit a report by April 1, 2002, on efforts to improve the 
safety of relief workers.
      The conference agreement also includes Senate language 
that provides not less than $60,000,000 for refugees from the 
former Soviet Union and Eastern Europe and other refugees 
resettling in Israel. The House bill did not address this 
matter.

    Nonproliferation, Anti-terrorism, Demining and Related Programs

      The conference agreement appropriates $313,500,000 
instead of $311,000,000 as proposed by the House and 
$318,500,000 as proposed by the Senate.
      The managers intend that funds in this account be 
allocated as follows:

                        [In thousands of dollars]

Nonproliferation and Disarmament Fund.........................   $14,000
Export control assistance.....................................    17,000
International Atomic Energy Agency............................    50,000
CTBT Preparatory Commission...................................    20,000
Korean Peninsula Economic Development Organization (KEDO).....    90,500
Anti-terrorism assistance.....................................    38,000
Terrorist Interdiction Program................................     4,000
Demining......................................................    40,000
Small arms destruction........................................     3,000
Science Centers...............................................    37,000
      Total...................................................   313,500

      The conference agreement includes language that requires 
that the Secretary of State inform the Committees on 
Appropriations at least 15 days prior to the obligation of 
funds for the Comprehensive Nuclear Test Ban Treaty (CTBT) 
Preparatory Commission. The House bill would have required a 20 
day informational period, while the Senate amendment would have 
required a 10 day informational period.
      The conference agreement includes Senate language 
authorizing not to exceed $500,000 for administrative expenses 
associated with the demining program. The House bill did not 
address this matter. The conference agreement does not contain 
Senate language stating that $40,000,000 should be used for 
demining, clearance of unexploded ordnanceand related 
activities; however, the managers support the budget request of 
$40,000,000 for these purposes.
      The conference agreement does not contain Senate language 
providing that $3,500,000 should be available to support the 
Small Arms Destruction Initiative. The managers strongly 
support a level of $3,000,000 for this program and endorse the 
Senate report language on this matter.

                       Department of the Treasury

               International Affairs Technical Assistance

      The conference agreement provides $6,500,000 for the 
International Affairs Technical Assistance program of the 
Department of the Treasury, instead of $6,000,000 as proposed 
by the House, the Senate, and the President's request. The 
managers direct that the additional $500,000 be used to assist 
HIPC countries in Africa and will be in addition to the 
$3,000,000 already dedicated to existing Treasury International 
Affairs Technical Assistance programs and activities in Africa.

                           debt restructuring

      The conference agreement appropriates $229,000,000 for 
debt restructuring instead of $224,000,000 as proposed by the 
House and $235,000,000 as proposed by the Senate. The managers 
make available $5,000,000 in fiscal year 2002 funds and up to 
$20,000,000 from unobligated balances for implementation of the 
Tropical Forest Conservation Act. The remainder of the amount 
provided for debt restructuring may be used at the 
Administration's discretion, subject to certain reporting and 
notification requirements, either for bilateral debt 
restructuring or for United States contributions to the Heavily 
Indebted Poor Country (HIPC) Trust Fund administered by the 
World Bank.

                     TITLE III--MILITARY ASSISTANCE

             International Military Education and Training

      The conference agreement appropriates $70,000,000, 
instead of $65,000,000 as proposed by the House and $75,000,000 
as proposed by the Senate. The conference agreement also 
contains language providing that up to $3,000,000 may be 
available until expended, instead of $1,000,000 as proposed by 
the House and $5,000,000 as proposed by the Senate.
      The conference agreement does not include Senate language 
that would have required notification for assistance for 
Zimbabwe, the Democratic Republic of Congo, Cote D'Ivoire and 
The Gambia. The managers note that assistance for Zimbabwe and 
the Democratic Republic of Congo is subject to the notification 
provisions of section 520 of this Act. Prior to any decision to 
obligate funds for Cote D'Ivoire, the managers expect that the 
Departments of State and Defense will consult with the 
Committees on Appropriations.
      The conference agreement provides that funding for 
Algeria shall be subject to the regular notification procedures 
of the Committees on Appropriations as proposed by the Senate. 
The House bill did not address this matter.
      The conference agreement does not contain language that 
would have provided not less than $600,000 for Armenia. 
However, the managers support funding for a program for Armenia 
at a level of not less than $300,000.
      The managers urge that a program for Colombia to define 
structures and processes for responding to armed conflict and 
maintaining civilian control of the military be considered at 
the Naval Postgraduate School.

                   Foreign Military Financing Program

      The conference agreement appropriates $3,650,000,000 
instead of $3,627,000,000 as proposed by the House and 
$3,674,000,000 as proposed by the Senate.
      The conference agreement includes Senate language that 
provides not less than $75,000,000 for assistance for Jordan. 
The House bill did not address this matter.
      The conference agreement includes language that provides 
that not less than $3,500,000 in grant assistance should be 
made available for Tunisia, as well as language mandating not 
less than $5,000,000 in drawdowns of defense articles, 
services, and education and training for Tunisia. The Senate 
amendment directed the allocation of $5,000,000 and $5,000,000, 
respectively, for these activities. The House bill did not 
address this matter.
      The conference agreement contains language that provides 
not less than $2,300,000 for assistance for Thailand, of which 
not less than $1,000,000 shall be derived from funds 
appropriated under the heading ``International Narcotics 
Control and Law Enforcement'' in addition to funds otherwise 
available for such purposes. The Senate amendment proposed 
similar language, but did not address a transfer from 
``International Narcotics Control and Law Enforcement''. The 
House bill did not address this matter. The managers are agreed 
that this grant assistance shall be made available for one-time 
costs associated with border security.
      The conference agreement contains Senate language that 
provides not less than $4,000,000 for assistance for Armenia. 
The House bill did not address this matter.
      The conference agreement also contains Senate language 
that amends the ninth proviso under this heading in Public Law 
106-429 to allow for a mandated drawdown of defense articles, 
services, and education and training for Georgia for 2001 or 
2002. The House bill did not contain a provision on this 
matter.

                        Peacekeeping Operations

      The conference agreement appropriates $135,000,000 as 
proposed by the House instead of $140,000,000 as proposed by 
the Senate.

               TITLE IV--MULTILATERAL ECONOMIC ASSISTANCE

                  International Financial Institutions

                      Global Environment Facility

      The conference agreement appropriates $100,500,000 for 
the Global Environment Facility instead of $82,500,000 as 
proposed by the House and $109,500,000 as proposed by the 
Senate.

       Contribution to the International Development Association

      The conference agreement appropriates $792,400,000 
instead of $803,400,000 as proposed by the House and 
$775,000,000 as proposed by the Senate. The managers have 
included modified language as proposed by the Senate, regarding 
instructions to the U.S. executive director to the 
International Bank for Reconstruction and Development (IBRD) to 
vote against water or sewage projects in India that do not 
prohibit the use of scavenger labor. The House did not address 
this matter. Manual scavenging is a particular occupation in 
India only for Dalits or ``untouchables'' that entails waste 
collection and disposal through primitive and squalid means. 
Over 500,000 Dalits in India are employed as manual scavengers, 
and Dalits who seek to avoid this demeaning and unhealthy labor 
are often denied other jobs. India is one of the largest 
borrowers from the World Bank with over $11 billion in IBRD 
loans in 2001, some of which fund government sanitation 
programs. Given that the Indian government has banned manual 
scavenging, once these laws are implemented there would be 
other employment opportunities for Dalits. The managers urge 
the IBRD to work with the Indian government to improve the 
economic and social status of Dalits.

      Contribution to the Multilateral Investment Guarantee Agency

      The conference agreement appropriates $5,000,000 for 
paid-in capital for the Multilateral Investment Guarantee 
Agency. Approval for a subscription to the appropriate amount 
of callable capital is also included in the conference 
agreement. The House and Senate included authority for callable 
capital only.

       Contribution to the Inter-American Investment Corporation

      The conference agreement appropriates $18,000,000 for a 
United States contribution to the Inter-American Investment 
Corporation, instead of $10,000,000 as proposed by the House 
and $20,000,000 as proposed by the Senate.

               Contribution to the Asian Development Fund

      The conference agreement appropriates $98,017,050 for the 
Asian Development Fund, instead of $93,017,050 as proposed by 
the House and $103,017,050 as proposed by the Senate.

                International Organizations and Programs

      The conference agreement provides $208,500,000 instead of 
$196,000,000 as proposed by the House and $218,000,000 as 
proposed by Senate.
      The conference agreement provides that $6,000,000 should 
be made available for the World Food Program, as proposed by 
the Senate. The House did not include this language.
      The managers support $5,000,000 from this account for a 
United States contribution to the United Nations Voluntary Fund 
for Victims of Torture Program, as recommended in the House and 
Senate Reports, and $97,100,000 for the United Nations 
Development Program, as recommended in the House and Senate 
Reports.
      The conferees urge that $60,000 be provided to cover the 
expenses relating to the development of a Guide to Best 
Practice by the Permanent Bureau of the Hague Convention on 
Private International Law to cover theapplication of the Hague 
Convention on Civil Aspects of International Child Abduction.
      The managers intend that funds in this account be 
allocated as follows:

                        [In thousands of dollars]

UN Fund for Tech. Cooperation in Human Rights.................    $1,500
UN Voluntary Fund for Victims of Torture......................     5,000
OAS Fund for Strengthening Democracy..........................     2,500
World Food Program............................................     6,000
UNDP..........................................................    97,100
UNIFEM........................................................     1,000
OAS Development Assistance....................................     5,500
WTO...........................................................     1,000
ICAO Aviation Programs........................................       300
UNEP..........................................................    10,750
Montreal Protocol.............................................    25,000
International Conservation Programs (CITES/ITTO/IUCN/Ramsar/
    CCD)......................................................     7,700
IPCC/UNFCCC...................................................     7,400
International Contributions for Scientific Educational & 
    Cultural Activities.......................................     1,750
World Meteorological Organization.............................     2,000
UNFPA.........................................................    34,000
                    --------------------------------------------------------------
                    ____________________________________________________

      Total...................................................   208,500

                      TITLE V--GENERAL PROVISIONS

      (Note: If House and Senate language is identical except 
for a different section number or minor technical differences, 
the section is not discussed in the Statement of Managers.)
Sec. 505. Limitation on Representational Allowances
      The conference agreement sets a limitation of $125,000 on 
representation allowances from funds appropriated under 
``Foreign Military Financing Program,'' instead of $150,000 as 
proposed by the House and $100,000 as proposed by the Senate.
Sec. 507. Prohibition Against Direct Funding for Certain Countries
      The conference agreement does not include Senate language 
that adds a prohibition of direct assistance to the government 
of any nation that the President determines is harboring, has 
financed, or is financing terrorists involved in the attacks of 
September 11, 2001. The House did not include such a provision. 
The managers note that the President has the authority to 
undertake this action and are confident he will exercise this 
authority should the need arise.
Sec. 508. Military Coups
      The conference agreement includes revised language that 
specifies that funds shall be prohibited for the government of 
any country whose duly elected head of government is deposed by 
decree or military coup, but it does not include broader 
conditions for the resumption of assistance, as proposed by the 
House. The House bill and the Senate amendment did not include 
the words ``government of''. Prior year language has been 
further modified to permit the provision of assistance to 
promote democratic elections or public participation in 
democratic processes.
Sec. 515. Notification Requirements
      The conference agreement reflects a technical change 
proposed by the Senate to include ``Andean Counterdrug 
Initiative'' in the list of accounts that are subject to 
notification pursuant to this section. The House did not 
address this matter. The conference agreement does not include 
Senate language, not in the House bill, that imposed 
notification requirements on drawdowns pursuant to section 
506(a)(2) of the Foreign Assistance Act. The managers note that 
section 506(b)(1) of such Act already requires notifications 
for drawdowns made for the purposes and under the authorities 
of several provisions of law, including chapter 8 of part I of 
the Foreign Assistance Act relating to international narcotics 
control assistance.
Section 518. Prohibition on Funding for Abortions and Involuntary 
        Sterilization
      The conference agreement does not include prior year 
language prohibiting the use of funds to lobby for or against 
abortion, as proposed by the House bill. The conference 
agreement moves the ban on use of funds for lobbying to 
language under the heading ``Child Survival and Health Programs 
Fund'', as proposed by the Senate amendment.
Sec. 520. Special Notification Requirements
      The conference agreement adds ``Serbia'' as proposed in 
the Senate amendment to the list of countries subject to the 
special notification procedures of this section, but does not 
include ``Burma'', ``Ethiopia'' and ``Eritrea'' as recommended 
by the Senate.
Sec. 522. Child Survival and Health Activities
      The conference agreement authorizes USAID to use up to 
$15,500,000 from the ``Child Survival and Health Programs 
Fund'' and up to $3,000,000 from ``Development Assistance'' for 
technical experts from other government agencies, universities, 
and other institutions. The managers have increased this 
authority in order to accelerate implementation and oversight 
of USAID's expanded infectious disease and basic education 
activities. The managers direct USAID to provide the Committees 
with a detailed multi-year workforce planning strategy not 
later than March 15, 2002, that includes target dates and 
anticipated costs or savings to replace or reclassify the 
majority of the additional temporary personnel authorized by 
this section and by section 534(c) with direct hire USAID 
Operating Expenses-funded personnel.
      A new subsection provides that $446,500,000 shall be made 
available for reproductive health/family planning activities 
from funds appropriated by this Act, including $368,500,000 
from the Child Survival and Health Programs Fund, $53,000,000 
from the Economic Support Fund, $15,000,000 from Assistance to 
the Independent States of the Former Soviet Union, and 
$10,000,000 from Assistance to Eastern Europe and the Baltic 
States. The managers have provided these funds in recognition 
of the continuing unmet need for basic reproductive health/
family planning services in developing countries, where 95 
percent ofnew births will occur. The managers have designated 
funds for the two regions of Eastern Europe and the former Soviet Union 
where the high frequency of abortion adversely affects women's 
reproductive health.
Section 523. Prohibition Against Indirect Funding to Certain Countries
      The conference agreement does not include Senate language 
that adds a prohibition of indirect assistance to the 
government of any nation that the President determines is 
harboring, has financed, or is financing, terrorists involved 
in the attacks of September 11, 2001. The House did not include 
such a provision. The managers note that the President has the 
authority to undertake this action and are confident he will 
exercise this authority should the need arise.
Sec. 525. Authorization Requirement
      The conference agreement includes language that provides 
that funds appropriated by this Act may be obligated and 
expended notwithstanding section 10 of Public Law 91-672 and 
section 15 of the State Department Basic Authorities Act of 
1956, as provided in the House bill and the Senate amendment. 
It includes Senate language exempting the accounts 
``International Military Education and Training'' and ``Foreign 
Military Financing Program'' from these waivers.
Sec. 526. Democracy Programs
      The conference agreement contains language in subsection 
(a) that authorizes funding for certain democracy programs. It 
includes language similar to the Senate amendment that provides 
that not less than $10,000,000 shall be made available for 
activities to support democracy, human rights, and the rule of 
law in the People's Republic of China. Of these funds, the 
managers support the programming of not less than $5,000,000 
through the Human Rights and Democracy Fund of the Bureau of 
Democracy, Human Rights and Labor, Department of State. In 
addition, subsection (a) authorizes funding of not to exceed 
$3,000,000 for nongovernmental organizations located outside 
the People's Republic of China to support activities that 
preserve cultural traditions and promote sustainable 
development and environmental conservation in Tibetan 
communities in Tibet, as authorized in the House bill. The 
House bill did not address democracy activities in China. The 
managers are aware of the valuable assistance the Bridge Fund 
has provided to promote Tibetan-owned and operated businesses 
and educational, cultural, and natural resource conservation 
projects and urge that substantial funds be made available to 
the Bridge Fund and its subgrantees.
      The conference agreement does not include Senate language 
that would have authorized funding of activities of the United 
States-Asia Environmental Partnership within China. The House 
bill did not address this matter.
      The managers intend that within the amount identified 
above, funds be made available to continue support for 
democracy programs for Tibet and China as described in the 
House report.
      The conference agreement also includes language in 
subsection (b) that recommends that not less than $10,000,000 
from funds appropriated to the Economic Support Fund should be 
made available for programs and activities to foster democracy, 
human rights, press freedoms, women's development, and the rule 
of law in countries with a significant Muslim population, and 
where such programs and activities would be important to United 
States efforts to respond to, deter, or prevent acts of 
international terrorism. The language further specifies that 
such funds should support new initiatives or bolster ongoing 
programs and activities in those countries, and that not less 
than $6,000,000 should be made available for the State 
Department's Human Rights and Democracy Fund of the Bureau 
ofDemocracy, Human Rights, and Labor, and not less than $4,000,000 
should be made available for the National Endowment for Democracy 
(NED). The funds for NED should be made available using the authority 
of section 632(b) of the Foreign Assistance Act. The conference 
agreement is similar to language contained in section 592 of the Senate 
amendment. The House bill did not address these matters.
      The conference agreement does not contain language 
allocating not less than $2,000,000 for programs and activities 
that train emerging Afghan women leaders in civil society 
development and democracy building. However, the managers 
strongly support such programs and urge the Department of State 
to provide up to $2,000,000 for such activities.
      In addition to the funding authorized in this section and 
ongoing funding to support the maintenance of the Reagan/
Fascell Fellowship Program, the managers support the budget 
request for the Human Rights and Democracy Fund of the 
Department of State.
Sec. 532. Authorities for the Peace Corps, Inter-American Foundation, 
        and African Development Foundation
      The conference agreement does not include language, as 
proposed by the Senate, to include a waiver of prohibitions 
against certain activities for the International Fund for 
Agricultural Development (IFAD) from International 
Organizations and Programs funds. IFAD is no longer funded from 
the International Organizations and Programs account.
Sec. 534. Special Authorities
      The conference agreement deletes language proposed by the 
House that provided that section 576 of the Foreign Operations, 
Export Financing, and Related Programs Act, 1997, as amended, 
shall not apply to the provision of assistance to the Federal 
Republic of Yugoslavia. The Senate amendment contained 
identical language in a general provision, and this matter is 
addressed in section 584 of the conference agreement.
      The conference agreement does not contain language from 
the House bill that was not in the Senate amendment that would 
have subjected energy programs aimed at reducing greenhouse gas 
emissions to the regular notification requirements of the 
Committees on Appropriations. In addition, it does not contain 
a reference in the Senate amendment that was not in the House 
bill that adds the Global Development Alliance initiative to 
the provisions of this section.
      The conference agreement authorizes the President to use 
up to $45,000,000 under the authority of section 451 of the 
Foreign Assistance Act, rather than $50,000,000 as proposed by 
the House and $35,000,000 as proposed by the Senate.
      The conference agreement includes language from the 
Senate amendment that was not in the House bill that states 
that in entering into multiple award indefinite-quantity 
contracts, USAID may provide an exception to the fair 
opportunity process for placing task orders under such 
contracts when the order is placed with any category of small 
or small disadvantaged business.
      The managers request that USAID place a high priority on 
generating meaningful opportunities for small businesses to 
compete for procurement of the agency. Specifically, of the 
multiple award indefinite quantity contract that will replace 
the current Support for Economic Growth and Institutional 
Reform/Legal and Institutional Reform contract, the managers 
support USAID's decision to define ``fair opportunity'' for 
task orders in excess of $750,000 as requiring the submission 
of resumes of proposed personnel or technical proposals from 
businesses eligible to compete for such task orders.
      By one year after enactment of this act, the managers 
look forward to a report on the effect of this change in 
promoting small business competition and participation in the 
contract, USAID's views as to whether such an approach should 
be extended to other multiple award indefinite quantity 
contracts, and an identification of annual benchmarks by which 
USAID will look to evaluate itself for advancing the ability of 
small businesses to participate and effectively compete in the 
procurement process.
      USAID is strongly encouraged to take such other steps 
that would improve the participation of small businesses, as 
either prime or subcontractors, in future indefinite quantity 
contracts and to report to the Committees on Appropriations any 
legal or regulatory impediments to achieving this objective.
Sec. 539. Ceilings and Earmarks
      The conference agreement includes Senate language that 
restores prior year language regarding earmarks and minimum 
funding levels. The House bill did not address this matter.
Sec. 545. Withholding of Assistance for Parking Fines Owed by Foreign 
        Countries
      The conference agreement allows 110 percent of the total 
amount of unpaid fully adjudicated parking fines and penalties 
owed by foreign countries to New York City, New York, to be 
withheld from obligation for assistance to such country, as 
proposed by the Senate. The managers have modified similar 
prior year language relating to parking fines and penalties 
owed by foreign governments to the District of Columbia.
Sec. 547. War Crimes Tribunals Drawdown
      The conference agreement includes House language 
authorizing up to $30,000,000 in drawdowns of commodities or 
services for war crimes tribunals instead of $35,000,000 as 
proposed by the Senate. It includes Senate language that 
authorizes such drawdowns for tribunals authorized or 
established by the United Nations Security Council. The 
conference agreement deletes House language that specifies that 
any drawdown made under this section shall not be construed as 
an endorsement or precedent for the establishment of any 
standing or permanent international criminal tribunal or court. 
The managers note that section 705 of H.R. 3427, as enacted 
into law as part of H.R. 3194 (Public Law 106-113) prohibits 
the obligation of any funds for use by, or for support of, the 
International Criminal Court.
Sec. 548. Landmines
      The conference agreement contains Senate language, not 
addressed in the House bill, that amends Public Law 102-484 to 
extend the ban on the export of landmines until October 23, 
2008.
Sec. 553. Restrictions on Voluntary Contributions to United Nations 
        Agencies
      The conference agreement is the same as current law, as 
proposed by the House. The Senate did not address this matter.
Sec. 557. Discrimination Against Minority Religious Faiths in the 
        Russian Federation
      The conference agreement retains prior year language as 
proposed by the House bill. The Senate amendment proposed 
technical modifications.
Sec. 558. Assistance for the Middle East
      The conference agreement contains House language that 
imposes a spending ceiling of $5,141,150,000 on specified 
assistance for the Middle East. The Senate amendment did not 
address this matter.
Sec. 559. Energy Conservation and Clean Energy Programs
      The conference agreement requires the Executive Office of 
the President to submit an updated and revised annual 
government-wide report on federal activities and costs relating 
to climate change and greenhouse gas emissions. The report is 
due not later than 30 days following the date the President's 
budget is submitted to Congress, instead of on the same day 
that the budget is submitted as proposed by the Senate.
      The managers have included a new provision, similar to 
the Senate proposal, that not less than $155,000,000 should be 
made available to support policies and actions in certain 
countries that promote energy conservation and efficient energy 
production and use; that measure, monitor, and reduce 
greenhouse gas emissions; increase carbon sequestration 
activities; and enhance climate change mitigation programs. The 
House bill did not address this matter.
Sec. 560. Zimbabwe
      The conference agreement includes the provision as 
included in the Senate amendment to direct the Secretary of the 
Treasury to instruct the United States executive directors to 
the international financial institutions to vote against loans 
to the Government of Zimbabwe, except humanitarian assistance 
and the promotion of democracy. The House did not address this 
matter.
Sec. 561. Central America Relief and Reconstruction
      The conference agreement extends current law by providing 
authority to allow funds appropriated in Public Law 106-31 to 
be used by the Comptroller General to monitor earthquake relief 
and reconstruction activities in El Salvador. The House did not 
address this matter.
Sec. 563. Cambodia
      The conference agreement prohibits assistance to the 
central Government of Cambodia, unless the Secretary of State 
certifies to Congress that certain conditions have been met. 
The conditions governing the restoration of assistance are 
similar to those contained in the Senate amendment. However, 
exceptions to the ban on assistance are provided for basic 
education as proposed by the House and activities conducted by 
the Ministry of Women and Veteran's Affairs to combat human 
trafficking as proposed by the Senate. The conference agreement 
contains House language on the provision of assistance through 
international financial institutions.
      The managers remain concerned with Cambodia's political, 
legal, and economic development, and the lack of independence 
of its judiciary. The managers strongly condemn acts of 
intimidation and violence against the democratic opposition in 
the run up to commune council elections next year, and note 
with concern human rights violations that are committed by 
government, police, and military officials with impunity. The 
conference agreement also contains the provisions of section 
591 of the Senate amendment that conditions assistance to any 
Khmer Rouge tribunal established by the Government of Cambodia 
on a determination and certification to Congress that the 
tribunal is capable of delivering justice for crimes against 
humanity in an impartial and credible manner.
Section 566. PLO Compliance Report
      The conference agreement contains language that states 
that the President should undertake certain assessments 
regarding actions of the Palestinian Liberation Organization or 
the Palestinian Authority, and should impose certain sanctions 
based on those assessments. The House bill would have mandated 
such assessments and certain sanctions. The Senate amendment 
did not address this matter.
Section 567. Colombia
      The conference agreement includes a modified version of 
the Senate provision on Colombia. The House did not address 
this matter. The managers are concerned with the alarming 
number of human rights violations and massacres of civilians in 
Colombia by paramilitary forces, kidnapping and other abuses by 
guerrilla forces, as well as persistent reports of aiding and 
abetting of paramilitaries by some units of the Colombian Armed 
Forces. The conference agreement includes language that 
provides for the obligation of 60 percent of funds appropriated 
for the Colombian Armed Forces if certain conditions relating 
to human rights are met, and for the obligation of the balance 
of funds after June 1, 2002 if such are conditions are met.
      The conditions on assistance to the Colombian Armed 
Forces require suspending individuals, of whatever rank, who 
have been credibly alleged to have committed gross violations 
of human rights or to have aided or abetted paramilitary 
groups. By ``suspending'' the managers refer to removal from 
active duty and assignment to administrative duties only 
without combat responsibilities or command of troops in the 
field, pending investigation and prosecution, when civilian 
prosecutors determine there is credible evidence to support 
such allegations.
      The conditions on assistance to the Colombian Armed 
Forces also require their cooperation with civilian prosecutors 
and judicial authorities, in prosecuting and punishing in 
civilian courts members of the Armed Forces who have been 
credibly alleged to have committed gross violations of human 
rights or aided or abetted paramilitary groups, including 
members who have been suspended for allegedly committing such 
crimes.
Section 568. Illegal Armed Groups
      The conference agreement includes the provision in the 
Senate amendment prohibiting the Secretary of State from 
issuing visas to individuals with ties to illegal armed groups 
in Colombia. The House did not address this matter.
Sec. 570. Iraq
      The conference agreement includes language similar to 
that in the Senate amendment, which provides that funds from 
the Economic Support Fund may be made available for programs 
benefiting the Iraqi people and to support efforts to bring 
about political transition in Iraq. The conference agreement 
also includes language that establishes a ceiling of 15 percent 
on administrative and representational expenses, except for 
costs related to broadcasting activities. It also includes 
language that directs the Administration to consult with the 
Committees on Appropriations within 60 days of enactment 
regarding its plans for the use of these funds.
      The managers are troubled by the recent audit conducted 
by the State Department Inspector General on the use of prior 
year funds appropriated for this program. The managers also 
note that this section does not impose restrictions on which 
groups may receive these funds or on the use of funds for 
activities inside Iraq. As part of the consultation process 
regarding the use of these funds, the managers expect the 
Department to identify options for the transfer of funding for 
this program to a more appropriate source.
Sec. 572. Indonesia
      The conference agreement provision regarding military 
assistance to Indonesia is similar to current law, except that 
it allows for civilian officials to participate in Expanded 
IMET activities. The House bill and the Senate amendment both 
included 4 prior year provisions under which a Presidential 
report and determination could result in a resumption of 
military assistance to Indonesia that is funded in this bill. 
The revised language includes new subsections relating to 
civilian control of the armed forces and the release of 
political detainees and it expands the geographical scope of 
the retained subsections beyond Timor island to other parts of 
Indonesia.
      While the conference agreement does not include a 
specific reference to the murders of American citizen Carlos 
Caceres and two other United Nations humanitarian workers in 
West Timor on September 6, 2000, the managers insist that any 
determination that effective measures are being taken to 
investigate and bring to justice militia groups involved in 
human rights violations would accord special consideration to 
the just punishment for the killers of the United Nations 
humanitarian workers in West Timor.
Sec. 573. Briefings on Potential Purchases of Defense Articles or 
        Defense Services by Taiwan
      The conference agreement includes language similar to the 
House bill, which requires the State Department, in 
consultation with the Department of Defense, to provide 
briefings to the appropriate congressional committees 
(including the Committees on Appropriations) on any discussions 
conducted between the Administration and the Government of 
Taiwan concerning the potential purchase of defense articles or 
defense services by the Government of Taiwan. The briefings are 
to occur 90 days after enactment and every 120 days thereafter, 
during fiscal year 2002.
Sec. 574. Restrictions on Assistance to Governments Destabilizing 
        Sierra Leone
      The conference agreement prohibits assistance to any 
government for which the Secretary of State has credible 
evidence that such government has, within the previous six 
months, provided military support for, facilitated safe passage 
of weapons or other equipment to, or which has assisted illicit 
diamond trading which benefits the Revolutionary United Front 
in Sierra Leone, Liberian security forces, or any other group 
intent on destabilizing Sierra Leone. This section is similar 
to the Senate amendment. The House provision was identical to 
current law.
Sec. 576. United Nations Population Fund
      The conference agreement provides that not more than 
$34,000,000 from the ``International Organizations and 
Programs'' account shall be made available for the United 
Nations Fund for Population Activities, including UNFPA 
programs to combat HIV/AIDS, instead of not less than 
$40,000,000 as proposed by the Senate and not more than 
$25,000,000 as proposed by the House. The United States 
contribution to the UNFPA is subject to a number of conditions 
regarding UNFPA activities, including a provision relating to 
UNFPA activities in the People's Republic of China as proposed 
by the House.
      The conference agreement provides that not more than 
$34,000,000 shall be made available for a United States 
contribution to the United Nations Fund for Population 
Activities (UNFPA). The managers recognize and support the 
family planning/reproductive health activities, and HIV/AIDS 
activities, conducted by UNFPA, and understand that a portion 
of the United States contribution to UNFPA will be used for 
HIV/AIDS activities. None of the United States contribution to 
UNFPA may be made available for activities in the People's 
Republic of China. The Senate amendment addressed this matter 
under the heading ``International Organizations and Programs'' 
in title IV.
Sec. 577. American Churchwomen and Other Citizens in El Salvador and 
        Guatemala
      The conference agreement contains language similar to 
that in the Senate amendment that provides that information on 
certain murders in El Salvador and Guatemala is being released 
to the victims' families. The House bill only addressed certain 
murders in El Salvador.
Sec. 578. Procurement and Financial Management Reform
      The conference agreement includes language similar to a 
House provision withholding 10 percent of the funds made 
available for international financial institutions until the 
Secretary of the Treasury certifies that a number of 
procurement and financial management reforms are being 
implemented. The Senate did not address this matter. The 
modified provision deletes a reporting requirement.
Sec. 579. Basic Education Assistance for Indonesia and Pakistan
      The conference agreement includes language that provides 
not less than $8,000,000 from Development Assistance for basic 
education activities in Indonesia and Pakistan. The managers 
expect that $3,000,000 will be provided for Indonesia and 
$5,000,000 for Pakistan. House and Senate language did not 
refer to Indonesia.
      The managers have also included language providing that 
$2,500,000 from the Economic Support fund shall be transferred 
to Operating Expenses of the United States Agency for 
International Development for the purpose of monitoring and 
implementing United States economic and development assistance 
for Pakistan, including the $500,000,000 that was provided in 
economic assistance under the provisions of Public Law 107-38, 
the Emergency Supplemental Appropriations Act for Recovery from 
and Response to Terrorist Attacks on the United States, FY 2001 
and the funds made available under this general provision for 
Pakistan. The funds would be derived from the amount for 
Pakistan in the fiscal year 2002 budget request for the 
Economic Support Fund.
      The managers request the Administrator of USAID, after 
consultation with the Secretary of State, to report to the 
relevant committees not later than 60 days after enactment of 
the Act on the Agency's proposals for implementing basic 
education activities in Indonesia and expanding ongoing 
education assistance for Pakistan. The report should include 
USAID's plans to use its operating expenses to provide in-
country monitoring of agreements between the United States and 
Pakistan to provide cash grants in support of Pakistan's 
education and other social sectors, utilizing funds made 
available under the provisions of Public Law 107-38.
Sec. 581. War Criminals
      The conference agreement contains language similar to 
that in both the House bill and Senate amendment regarding war 
criminals in the Balkans.
Sec. 582. User Fees
      The conference agreement extends current law by requiring 
the Secretary of the Treasury to instruct the United States 
executive directors of the international financial institutions 
(IFIs) to oppose loans that would impose user fees on poor 
people for primary education and healthcare. While the managers 
did not include Senate language adding structural adjustment 
schemes, debt relief, and Poverty Reduction Strategy Papers 
(PRSPs) to the prohibition, the managers do not intend this 
exclusion to be interpreted as an endorsement for user fees on 
the poor in such actions. It is the managers' understanding 
that the Treasury Department opposes user fees on the poor and 
that this is now Treasury's policy with regard to all IFI 
actions. The managers support this policy and expect it to 
continue and to be applied in Treasury's careful review process 
for PRSPs, which are subject to IFI review but not a vote. The 
managers direct the Secretary of the Treasury to examine the 
use of user fees by the World Bank, their impact on the poor, 
and whether such user fees exemption schemes for the poor are 
successful. The managers direct the Secretary to report back 
these findings to the House and Senate Committees on 
Appropriations before April 15, 2002.
Sec. 584. Funding for Serbia
      The conference agreement authorizes funding for Serbia as 
proposed by the House but does not include a maximum funding 
level as proposed by the Senate. The conference agreement 
includes language similar to the House bill that conditions 
assistance for Serbia that may be made available after March 
31, 2002, on continued cooperation with the International 
Criminal Tribunal for the former Yugoslavia, the termination of 
financial and other support to Republika Srpska institutions, 
and respect for the rule of law including the release of 
political prisoners. The provision regarding therelease of 
political prisoners was included in the Senate amendment but not in the 
House bill.
      The managers recognize the efforts of Serbian democrats 
and reformers to implement much needed reforms necessitated by 
years of corruption and political violence, and expect that up 
to $115,000,000 will be provided for assistance for Serbia, in 
addition to regional funds that may become available, as 
appropriate. The managers have also provided authority for debt 
forgiveness for the Federal Republic of Yugoslavia in title II 
of this Act.
Sec. 585. El Salvador Reconstruction and Central America Disaster 
        Relief
      The conference agreement includes a modified version of 
the House and Senate provisions making $100,000,000 available 
for reconstruction assistance for El Salvador and $35,000,000 
in USAID-managed assistance for drought victims elsewhere in 
Central America.
Sec. 586. Reports on Conditions in Hong Kong
      The conference agreement contains Senate language that 
amends section 301 of the United States-Hong Kong Policy Act to 
allow for annual reports on conditions in Hong Kong until March 
31, 2006. The House bill did not address this matter.
Sec. 587. Community-Based Police Assistance
      The conference agreement includes language similar to the 
Senate language authorizing use of certain USAID-administered 
funds in title II of this Act for support for civilian police 
in Jamaica, notwithstanding section 660 of the Foreign 
Assistance Act. The House did not address this matter. The 
conference agreement includes a ceiling on funds for this 
purpose at a level of $1,500,000.
Sec. 588. Authorizations
      The conference report includes the authorization for the 
International Fund for Agricultural Development, but not the 
Asian Development Fund. The Senate amendment included 
authorizations for both organizations. The House did not 
address this matter. The managers have also included an 
extension of the Export-Import Bank's charter until March 31, 
2002.
Sec. 589. Excess Defense Articles for Central and Southern European 
        Countries and Certain Other Countries
      The conference agreement contains Senate language not in 
the House bill that authorizes the provision of excess defense 
articles for central and southern European countries and 
certain other countries. The House bill did not address this 
matter.
Sec. 591. Modification to the Annual Drug Certification Procedures
      The conference agreement waives the annual drug 
certification process for one year on a global basis. The 
Senate amendment provided a waiver for the Western Hemisphere 
only. The House did not address this matter.
Sec. 592. Kenneth M. Ludden
      The conference agreement includes language similar to 
that proposed by the Senate regarding a short title for the 
Act.

                PROVISIONS NOT ADOPTED BY THE CONFEREES

      The conference agreement does not include section 567 of 
the House bill regarding ``Man and the Biosphere''. The Senate 
amendment did not address this matter.
      The conference report does not include section 578 of the 
Senate amendment regarding ``Funding for Private 
Organizations''. The Senate amendment did not address this 
matter.
      The conference report does not include section 580 of the 
House bill regarding ``Improving Global Health Through Safe 
Injections''. The Senate amendment did not address this matter. 
The managers concur with the language on safe injections under 
the heading ``Child Survival and Health Programs'' contained in 
Senate Report 107-58.
      The conference report does not include section 580 of the 
Senate amendment regarding Cuba. The House did not address this 
matter. The managers are concerned about U.S. counternarcotics 
policy with respect to Cuba and the lack of authoritative 
information from the Government of Cuba with regard to drug 
trafficking through Cuba. The managers realize that Cuba's 
unique geography presents an appealing environment to air and 
maritime smugglers and recognize the national security threat 
posed by illicit drug production, distribution, and 
consumption, and crimes related thereto, particularly those in 
the Western Hemisphere. The managers are aware that there are 
reports of Cuba's willingness to cooperate with the U.S. in 
aiding U.S. interdiction of illicit drug distribution, as well 
as other reports that Cuba facilitates drug smuggling. 
Therefore the managers expect that not later than 6 months 
after the date of the enactment of this Act, the Secretary of 
State shall report to the Congress regarding the following: (1) 
the extent, if any, of the direct involvement of the Government 
of Cuba in illegal drug trafficking; (2) the likelihood that 
U.S. international narcotics assistance to the Government of 
Cuba would decrease the flow of drugs transiting through Cuba, 
and (3) the degree to which the Government of Cuba is 
exchanging with U.S. agencies drug-related law enforcement 
information. Additionally, the managers encourage the 
Administration, not later than 9 months after the date of the 
enactment of this Act, to transmit to Congress any legislation 
necessary to decrease the flow of drugs to or from Cuba.
      The conference agreement does not include section 582 of 
the House bill prohibiting the use of funds in this Act for a 
contribution to the UN International Narcotics Control Board. 
Funds for such this purpose are not within the jurisdiction of 
this Act. The Senate did not address this matter.
      The conference agreement does not include section 582 of 
the Senate amendment requiring that housing constructed with 
development assistance funds in this Act be wheelchair 
accessible. The House bill did not address this matter. 
However, the managers expect USAID to ensure that doors in 
houses or other facilities constructed with funds administered 
by USAID are of a sufficient width to accommodate wheelchairs.
      The conference agreement does not include section 583 of 
the House bill regarding the ``Buy America Act''. The Senate 
amendment did not address this matter.
      The conference agreement does not include section 584 of 
the House bill regarding the ``Funding for Trafficking Victims 
Protection Act of 2000''. The Senate amendment did not address 
this matter. However, the managers concur that trafficking in 
persons is a matter of urgency, and address related funding 
issues in report language under the heading ``Development 
Assistance'', and in bill and report language under the 
headings ``Assistance for the Independent States of the Former 
Soviet Union'' and ``International Narcotics Control and Law 
Enforcement''.
      The conference agreement does not contain section 584 of 
the Senate amendment regarding democracy and human rights 
programs. This matter is addressed under section 526 of the 
conference report.
      The conference agreement does not include section 585 of 
the Senate amendment regarding a report on the use of defense 
articles, defense services, and financial assistance to 
Uzbekistan. The House bill did not address this matter. The 
managers recognize and appreciate that Uzbekistan is providing 
logistical support and facilities for United States military 
and humanitarian operations in Afghanistan. However, the 
managers are aware of reports by the Department of State of 
serious human rights violations by members of Uzbek security 
forces. Therefore, the managers direct the Secretary of State 
to submit two reports to the appropriate congressional 
committees not later than four months after the date of 
enactment and ten months thereafter, describing in detail (1) 
the defense articles, defense services, and financial 
assistance provided by the United States to Uzbekistan during 
the six-month period ending 30 days prior to the submission of 
such report; and (2) the use during such period of defense 
articles, defense services, and financial assistance provided 
by the United States by units of the Uzbek Ministry of National 
Security or Ministry of Internal Affairs.
      The conference agreement does not include section 586 of 
the Senate amendment expressing the Sense of the Senate on 
humanitarian assistance for Afghanistan. The House bill did not 
address this matter. The managers are concerned with the plight 
of Afghan refugees, and the status of women within Afghanistan 
who are emerging from years of repression under the Taliban. 
The managers support substantial United States contributions of 
humanitarian assistance for the people of Afghanistan, 
particularly through overland truck convoys, and efforts to 
ensure that Afghan women are included in planning the future 
reconstruction of Afghanistan and equal opportunities for women 
throughout Afghan society.
      The conference agreement does not include section 589 of 
the Senate amendment expressing the Sense of the Senate 
regarding the role of women in the reconstruction of 
Afghanistan. The House bill did not address this matter. The 
managers address this matter under the heading ``Development 
Assistance''.
      The conference agreement does not include section 591 of 
the Senate amendment regarding restrictions on funding for the 
Cambodian Genocide Tribunal. The substance of Senate section 
591 is contained in section 563 of the conference report.
      The conference agreement does not include section 593 of 
the Senate amendment regarding an increased Peace Corps 
presence in Muslim countries. The House bill did not address 
this matter. While the managers support the concept of the 
Senate language, a key concern of the managers is the safety of 
Peace Corps volunteers around the world. The managers direct 
the Director of the Peace Corps to undertake a study to 
determine the feasibility of an increase in volunteers in 
predominantly Muslim countries and to submit a report to the 
appropriate congressional committees not later than 6 months 
after the date of enactment. The study should make the 
determinations required by the Senate language but also should 
include a detailed description of measures the agency plans to 
implement in fiscal year 2002 to increase volunteers' safety.
      The conference agreement does not include section 594 of 
the Senate amendment regarding machine readable passports. The 
House bill did not address this matter. The managers note that 
this matter has been addressed in Public Law 107-56.
      The conference agreement does not include section 595 of 
the Senate amendment regarding Sudan. The House bill did not 
address this matter.
      The conference agreement does not include section 598 of 
the Senate amendment regarding projects honoring the victims of 
terrorist attacks. The House bill did not address this matter.
      The conference report does not include section 599 of the 
Senate bill regarding a conditional waiver of section 907 of 
the FREEDOM Support Act. This language is included in title II 
of the conference report. The House bill did not address this 
matter.
      The conference report does not include section 599A of 
the Senate amendment regarding the Federal Investigation 
Enhancement Act of 2001. The House bill did not address this 
matter.

                   Conference Total--With Comparisons

      The total new budget (obligational) authority for the 
fiscal year 2002 recommended by the Committee of Conference, 
with comparisons to the fiscal year 2001 amount, the 2002 
budget estimates, and the House and Senate bills for 2002 
follow:

                        [In thousands of dollars]

New budget (obligational) authority, fiscal year 2001...     $15,021,168
Budget estimates of new (obligational) authority, fiscal 
    year 2002...........................................      15,212,631
House bill, fiscal year 2002............................      15,212,173
Senate bill, fiscal year 2002...........................      15,568,880
Conference agreement, fiscal year 2002..................      15,390,780
Conference agreement compared with:
    New budget (obligational) authority, fiscal year 
      2001..............................................        +369,612
    Budget estimates of new (obligational) authority, 
      fiscal year 2002..................................        +178,149
    House bill, fiscal year 2002........................        +178,607
    Senate bill, fiscal year 2002.......................        -178,100

                                   Jim Kolbe,
                                   Sonny Callahan,
                                   Joe Knollenberg,
                                   Jack Kingston,
                                   Jerry Lewis,
                                   Roger F. Wicker,
                                   Henry Bonilla,
                                   John E. Sununu,
                                   Bill Young,
                                   Nita Lowey,
                                   Nancy Pelosi,
                                   Jesse L. Jackson, Jr.,
                                   Carolyn C. Kilpatrick,
                                   Steven R. Rothman,
                                   Dave Obey,
                                 Managers on the Part of the House.

                                   Patrick J. Leahy,
                                   Daniel K. Inouye,
                                   Tom Harkin,
                                   Tim Johnson,
                                   Jack Reed,
                                   Robert C. Byrd,
                                   Mitch McConnell,
                                   Judd Gregg,
                                   Richard C. Shelby,
                                   Robert F. Bennett,
                                   Ben Nighthorse Campbell,
                                   Christopher Bond,
                                   Ted Stevens,
                                Managers on the Part of the Senate.

                                  
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